Penny-Pinching Shoppers May Get PC Deals Soon
Date : 23 Oct 2008 Category : Technology
NewsFactor NetworkSo far, PC prices appear to be holding steady. But buyers may get better deals soon as computer companies try to avoid getting stuck with a pile of unsold inventory on Dec. 31.
Analyst Roger Kay of Endpoint Technologies said the unofficial start date for holiday PC promotions has crept earlier in recent years. This year, Kay said, computer makers are feeling panicky and wondering if they'll even make it through October without slashing prices.
"People with a lot of money are still going to come out and buy whatever they want," Kay said. "But there's a whole big pack of folks in the middle that are going to be looking at trade-offs."
PC makers generally reap thin profit margins, so don't expect prices to drop precipitously. In addition to whatever price cuts they do make, companies also are likely to offer more package deals that include free software or hardware add-ons to make more expensive machines look like a better deal. They may also rely on the age-old practice of luring shoppers with a low-end, cheaper configuration, but try hard to up-sell pricier, more powerful machines.
Four of the top PC makers, Dell Inc., Hewlett-Packard Co., Acer Inc. and Lenovo Group Ltd., wouldn't comment on prices or new products set to launch in coming months. HP's marketing efforts have focused recently on the TouchSmart line, touch-screen PCs that range from $1,300 to more than $2,000. The No. 3 U.S. computer maker, Apple Inc., already unveiled its holiday season lineup, with only modest price cuts, such as trimming the lowest-priced MacBook to $999 from $1,099.
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