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Thread: Analysis - The return of mom and pop: Jon Peddie speaks

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    Analysis - The return of mom and pop: Jon Peddie speaks

    Graphics guru and renowned industry analyst Jon Peddie shares his analysis of the US technology retail environment with HEXUS.channel.
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    Re: Analysis - The return of mom and pop: Jon Peddie speaks

    it may be new to the PC industry but the split into high service, high margin, low volume & high volume, low margin, low service outlets with the accompanying death of the middle market has been around in other fields for a couple of years.

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    Re: Analysis - The return of mom and pop: Jon Peddie speaks

    On a slightly related note, today I went into my local PC shop to get some DVD-RW disks, and saw an BFG 8800GTS for £273! No idea how they can still be doing business at those prices, it's 35% over online prices.

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    Re: Analysis - The return of mom and pop: Jon Peddie speaks

    Quote Originally Posted by Mblaster View Post
    On a slightly related note, today I went into my local PC shop to get some DVD-RW disks, and saw an BFG 8800GTS for £273! No idea how they can still be doing business at those prices, it's 35% over online prices.
    For that exact reason - someone can buy one - and they make more money than if you sold 5 at online prices..?

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    Re: Analysis - The return of mom and pop: Jon Peddie speaks

    The answer to the price differential question is (almost certainly) really simple

    If you go into the high street with cash in one hand and your system in the other, then companies like YOYOtech with sell you the card and then help you get it installed

    Buying over the web - for any market - is perfect when you have ~100% confidence in what you are doing

    In the UK, for graphic cards etc, that's probably something like 750,000 people

    But UK will see the shipment of around 11 million systems in 2008 (of which as many as 1.4 million could be upgradeable desktops into consumers)

    And that does not include the installed base (i.e. people who bought in the past)

    The (minimum) 750,000 gap between upgraders who are confident and those who are not is where the high street guys can win

    Sure, PC World etc will offer an upgrade service - but you will almost certainly be paying for it

    Local stores can offer this expertise (open chassis, install card, close chassis, boot) as a value add - that REALLY adds value

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