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Christmas Sale?

Featured Replies

PMDG don't do sales. The only discounts you'll find are for the boxed copies of PMDG addons which are manufactured by their partners e.g. Aerosoft

  • Author

PMDG don't do sales. The only discounts you'll find are for the boxed copies of PMDG addons which are manufactured by their partners e.g. Aerosoft

 

That's unfortunate....

Chris Magnus

HR Manager

Air Jamaica Virtual Airlines and Cargo (http://www.airjamaicavirtualairlinesandcargo.org)
YP7ieCq.png

  • Commercial Member

It's an electronic product...why would you offer a sale on a product that has virtually no input cost?

 

Sales are traditionally used to get rid of excess inventory, particularly because that inventory had an input cost - they had to pay to have it made. In the case of digital items, this is not the case.

Kyle Rodgers

It would be nice to have a sale and another developer currently has one so I used the opportunity to buy their C-130, for 10 euros its a great catch.

Alex Jevdic KORD/KHOT/KPWK

A<380 love at first flight

  • Author

It's an electronic product...why would you offer a sale on a product that has virtually no input cost?

 

Sales are traditionally used to get rid of excess inventory, particularly because that inventory had an input cost - they had to pay to have it made. In the case of digital items, this is not the case.

 

And yet other developers are having sales. The point of a sale is to move product at a time when your sales may be slow and to generate interest. I'm not sure I agree with them not having input costs as I'm sure there are costs to running the website (equipment depreciation, bandwidth and maintenance costs, admin costs, etc.) as well as development costs for on-going projects. Also, not having current manufacturing or storage costs does not preclude them from having sales.

Chris Magnus

HR Manager

Air Jamaica Virtual Airlines and Cargo (http://www.airjamaicavirtualairlinesandcargo.org)
YP7ieCq.png

I hope they kinda do, as the 600/700 and 747 are the only ones I don't own besides the 1900, which isn't for FSX anyways.

 

I would love to have a full PMDH hangar, but I am afraid of what the wife would do to me if I "completed my connection". Lol

William Sequeira

Their products are worth more than their current price tags, I'd hate to see them go any lower.

Boeing777_Banner_Betateam.jpg
 

- Luke Pabari

  • Commercial Member

It would be nice to have a sale and another developer currently has one so I used the opportunity to buy their C-130, for 10 euros its a great catch.

 

Sure, but said developer needs to have said sales in order to generate interest in their products. In my experience, it hasn't been worth it to pay more than 10E, especially when I'm getting charged by piece.

 

And yet other developers are having sales. The point of a sale is to move product at a time when your sales may be slow and to generate interest. I'm not sure I agree with them not having input costs as I'm sure there are costs to running the website (equipment depreciation, bandwidth and maintenance costs, admin costs, etc.). Also, not having current manufacturing or storage costs does not preclude them from having sales.

 

Right. Other developers have different drives. You don't see Ferrari running out and having Christmas sales, now do you? Nah, not really. They could certainly slash the price around Christmas and sell a few more cars, but selling more isn't their primary objective. Now, I'm not trying to say PMDG has the haughty air of Ferrari about them...

 

Those aren't input costs. Those are indirect costs, or in other terms "the cost of doing business." Go have a look at your old (or future) Econ books. Input costs would be directly associated with the creation of the product. The purchase of access to Boeing data for the 737, or the aircraft they used in their photo evaluations, as examples, were directly related to the NGX, and could therefore be input costs. In the digital realm, though, those input costs aren't as important as they would be with physical products. As such, you can essentially say there are no input costs (they don't have to pay per unit costs to create the product, or distribute it, directly).

 

I also did not say that it would preclude them. What I did say, however, is that there's no motivation. If I have essentially zero input costs, why would I have a sale? If the whole team decided not to release the 777, they'd still have an awesome product that they created for themselves. They've already been paid in that manner. Now, by selling it, they just get more of a benefit. So, if they sell 3000, they get $21000 to split (minus your indirect expenses you mentioned). I wouldn't argue with that. Dropping the price may bring in some who were on the fringe, but I'd argue that you wouldn't get a ton (unless you dropped it significantly - which honestly looks more like pandering or cheapening the product in my eyes), so why waste the effort?

 

Beyond that, each time you sell a product, you're potentially placing yourself in a position that requires you to help them (especially if you'd like them to return for a product in the future). People who pay less for a product tend not to take it as seriously, in general. With that, you're bound to have more issues dealing with those customers than you would the customer who paid full price. That full price customer saw the value in the full price, and will likely expend the effort on their own to get said full price from the product. The person who scored it at half price may do that, but unless they happened to get lucky in timing, they knew about the product at its full price and waited. With that, they weren't serious enough to but it at full price, so why would they look at it in the same light at half price?

 

Lastly, if you're known to have sales (as in the above-mentioned developer), people are likely to wait for said sale. So, those extra sales you tack on to "breathe in new life" are essentially just being shifted from those who would otherwise buy it at full price. They know you'll have a holiday sale, so they wait. The argument that you're just boosting sales in a slow time actually becomes you shooting yourself in the foot. You just created your own slow sales period.

 

Without regular price cuts, your sales likely look like this (theoretical/hypothetical levels here):

5 5 5 5 5 5 5 5 5 5 4 4 4 4 4 4 4 4 3 3 3 3 3 2 2 2 2 2 1 1 1 1 1 1 1 1 1 1 ->

 

With regular price cuts, your sales likely look like this:

5 5 5 4 4 4 4 4 3 3 3 3 2 2 1 1 1 1 1 4 4 4 4 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 ->

 

The initial interest drops off sooner because some know a sale will happen in the future, and will wait. Because of this, you miss out on a ton of full price sales. Those buyers then wait for the price cut in the future, and buy then. So, those buyers who would have otherwise paid full price are now waiting to pay less than full price. Granted, more than just those would-be buyers will show up for the discount, but you're only pushing those would-be buyers into that discounted time, which costs you, compared to the no sale approach.

 

Again, as it's a digital product, you don't go in the hole first to have to recoup those costs, or eliminate inventory. With digital media, there's really no reason to have sales.

Kyle Rodgers

Sure, but said developer needs to have said sales in order to generate interest in their products. In my experience, it hasn't been worth it to pay more than 10E, especially when I'm getting charged by piece.

 

I wouldn't mind paying 30-40 for the C130, sure it isn't PMDG quality but the plane isn't that bad either. I'm not really a 747 guy so I wouldn't consider buying the 747 at full price but if there was a holiday sale on it I wouldn't mind plucking down some change for it to fly it once in awhile.

Alex Jevdic KORD/KHOT/KPWK

A<380 love at first flight

  • Author

Sure, but said developer needs to have said sales in order to generate interest in their products. In my experience, it hasn't been worth it to pay more than 10E, especially when I'm getting charged by piece.

 

 

 

Right. Other developers have different drives. You don't see Ferrari running out and having Christmas sales, now do you? Nah, not really. They could certainly slash the price around Christmas and sell a few more cars, but selling more isn't their primary objective. Now, I'm not trying to say PMDG has the haughty air of Ferrari about them...

 

Those aren't input costs. Those are indirect costs, or in other terms "the cost of doing business." Go have a look at your old (or future) Econ books. Input costs would be directly associated with the creation of the product. The purchase of access to Boeing data for the 737, or the aircraft they used in their photo evaluations, as examples, were directly related to the NGX, and could therefore be input costs. In the digital realm, though, those input costs aren't as important as they would be with physical products. As such, you can essentially say there are no input costs (they don't have to pay per unit costs to create the product, or distribute it, directly).

 

I also did not say that it would preclude them. What I did say, however, is that there's no motivation. If I have essentially zero input costs, why would I have a sale? If the whole team decided not to release the 777, they'd still have an awesome product that they created for themselves. They've already been paid in that manner. Now, by selling it, they just get more of a benefit. So, if they sell 3000, they get $21000 to split (minus your indirect expenses you mentioned). I wouldn't argue with that. Dropping the price may bring in some who were on the fringe, but I'd argue that you wouldn't get a ton (unless you dropped it significantly - which honestly looks more like pandering or cheapening the product in my eyes), so why waste the effort?

 

Beyond that, each time you sell a product, you're potentially placing yourself in a position that requires you to help them (especially if you'd like them to return for a product in the future). People who pay less for a product tend not to take it as seriously, in general. With that, you're bound to have more issues dealing with those customers than you would the customer who paid full price. That full price customer saw the value in the full price, and will likely expend the effort on their own to get said full price from the product. The person who scored it at half price may do that, but unless they happened to get lucky in timing, they knew about the product at its full price and waited. With that, they weren't serious enough to but it at full price, so why would they look at it in the same light at half price?

 

Lastly, if you're known to have sales (as in the above-mentioned developer), people are likely to wait for said sale. So, those extra sales you tack on to "breathe in new life" are essentially just being shifted from those who would otherwise buy it at full price. They know you'll have a holiday sale, so they wait. The argument that you're just boosting sales in a slow time actually becomes you shooting yourself in the foot. You just created your own slow sales period.

 

Without regular price cuts, your sales likely look like this (theoretical/hypothetical levels here):

5 5 5 5 5 5 5 5 5 5 4 4 4 4 4 4 4 4 3 3 3 3 3 2 2 2 2 2 1 1 1 1 1 1 1 1 1 1 ->

 

With regular price cuts, your sales likely look like this:

5 5 5 4 4 4 4 4 3 3 3 3 2 2 1 1 1 1 1 4 4 4 4 1 1 1 1 1 1 1 1 1 1 1 1 1 1 1 ->

 

The initial interest drops off sooner because some know a sale will happen in the future, and will wait. Because of this, you miss out on a ton of full price sales. Those buyers then wait for the price cut in the future, and buy then. So, those buyers who would have otherwise paid full price are now waiting to pay less than full price. Granted, more than just those would-be buyers will show up for the discount, but you're only pushing those would-be buyers into that discounted time, which costs you, compared to the no sale approach.

 

Again, as it's a digital product, you don't go in the hole first to have to recoup those costs, or eliminate inventory. With digital media, there's really no reason to have sales.

 

Gotcha. Still, a sale would be nice..

Chris Magnus

HR Manager

Air Jamaica Virtual Airlines and Cargo (http://www.airjamaicavirtualairlinesandcargo.org)
YP7ieCq.png

  • Commercial Member

Still, a sale would be nice..

 

Definitely wouldn't disagree with that. I'm always for a good deal.

Just wanted to point out some of the reasons you occasionally don't see them.

Kyle Rodgers

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