How to sell vacuums and eliminate dealers....
Dusty
Hello Dusty:
I'll agree on the first point: How to sell vacuums. MIELE is taking a page from vacuum history. But on the second point, I agree only with a huge caveat. If MIELE drops the price to the typical big box store price range of $200-$250, yes dealers will drop MIELE. But, if MIELE holds the line on the prices [like this Mistrel upright for $459] dealers will flourish with parts and repairs AND sell more MIELES both new and used to boot.
I mentioned awhile ago that MIELE wants to dominate the vacuum market with canisters and uprights. I still believe this. Selling MIELE-S in COSTCO stores is proof.
These are difficult economic times for appliance sales. Down on average 12 percent in 2008 and 2009 is looking just as bad. Selling a top tier quality made German vacuum at a premium price in big box store venues is smart business.
One can only ask why MIELE waited so long. The answer is probably because it just introduced its own line of MIELE made uprights.
As a consumer faced with a vacuum purchase and a budget for $500, I'd buy a German made MIELE before a Chinese/Malaysian made vacuum of the same price/more. And when I needed parts and service, I'd go to a authorized MIELE dealer to safeguard, protect my vacuum's longevity and my initial investment.
Carmine D.
This message was modified May 14, 2009 by CarmineD