Price Drops
Financial Management

Price Drops

I was reading an article how the iPhone has dropped in price by $200 already and as we all know it hasn’t been around for that long yet. Apparently there are a lot of unhappy campers over this and Apple has offered to give owners a $100 gift card for the people who bought it.

This got me wondering on just how long of a time period do people on average tolerate when it comes to a product dropping in price without feeling swindled or that you made a bad purchase. I’m sure we have all had experienced something like that where you bought something just to find out that a few days later the same item is say 30% cheaper.

On average, for myself items under a $100 I would be fully okay with price drops that occur after three months. For expensive things over $500 I usually expect the price to not change dramatically until after about a year. The large difference is mostly due to how for more expensive items I would put a lot of thought and research before purchasing the items. Seeing it drop so quickly is kind of like a way to say I didn’t really do a good enough job researching ahead of time. I personally wouldn’t expect the vendor to compensate me for it though like with this iPhone incident since it would be my own decision to buy it in the first place.

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