If you are considering updating your home with new appliances, you will certainly want to take advantage of appliance rebates.
Appliance manufacturers need to sell their wares as their businesses depend on consistent sales. So when their products don’t sell as well as they want, manufacturers do just about the only thing they can – offer special deals to encourage buying. Often these are in the form of price cuts, but quite often appliance manufacturers rely on appliance rebates to tempt the customer.
These rebates aren’t always well advertised, and sometimes the stores selling appliances aren’t even aware of the deals. However, there are appliance rebates to be found and the savings may be well worth the search effort.
As an example of a rebate offered by an appliance manufacturer, take a look at this deal from GE: If you buy four GE appliances, they will give you $500. If you buy three, you get $300. Buy two and get $100 back on your purchase. [1]
The above example shows a common tactic among appliance manufacturers – encouraging bulk purchases. Much like how retailers can often get better deals by buying in bulk, appliance manufacturers are willing to offer customers a cheaper total price (when appliance rebates are factored in) if you buy in bulk. They can get away with these lower prices because the sale is more sure than that of a single appliance; more of the stock is taken and accounted for, so they can operate closer to their margin without worrying about unsold stock. [2]
Plus having customers buy many of the same brand does more than let the company benefit from better economies of scale: It increases customer loyalty. If you have five appliances all made by one company, then you know fairly well what to expect from that brand. The next time you go to buy an appliance, you will have a favorable opinion of the brand you already own so much of (assuming that your appliances met your expectations, of course). By offering deals like the one that GE offered, companies can help attract lifelong customers, which is one of the keys to long-term success in a commodity market. [3]
Finding rebates can occasionally be a bit difficult, but a simple online search should give you some results. If you can’t find anything relevant, check out the site of major appliance manufacturers. Try to find a page that mentions rebates or promotions, as both are likely to save you money. If you can’t find anything provided by the manufacturers, check out the sites of nearby stores. Often the major retailers will have a product line that isn’t selling well, and they will be more than happy to offer you a deal to make room for newer merchandise.
Appliance rebates aren’t always advertised or well-known, but a little time searching for these deals could save hundreds of dollars. Whether it’s a new refrigerator or air conditioning system you need, there’s a good chance an appliance rebate is available.
Sources:
1. http://www.geappliances.com/rebates_promotions/
2. http://www.investopedia.com/terms/e/economiesofscale.asp
3. http://en.wikipedia.org/wiki/loyalty_business_model
