40% off certificate

[hmlevine]

Just received my umc-1, however there was no certificate in box for the 40% off when upgrading processors any body out there come across this.

thanks hal

[upinsmoke]

Don't think there is a certificate per say (could be wrong). They have records of people that purchased products and go by that.

[LCSeminole]

From what I understand, none of the UMC-1's have come with a certificate. They'll either be issued at a later date or Emotiva will just keep up with the original owner in their records.

[DYohn]

I do not understand how Emotiva can offer such low prices AND a 40% discount for future up-graders. While I understand that a scheme like that is very attractive to buyers and can help get a nascent brand name off the ground, I will be very surprised if it is a policy that can continue. They HAVE to be losing money on upgrade purchases at $699 list price...

[RSavage]

Feb 26, 2010 11:50:57 GMT -5 DYohn said:

I will be very surprised if it is a policy that can continue.

I completely agree. But can you just imagine the pissing and moaning when they announce that 'from x-date forward, there will be no more 40% deals.'

Providing a great product at a fair price is plenty to attract customers. I don't see any reason to give the stuff away. But then again, it's not my business. I just want to see Emotiva thrive.....for purely selfish reasons

Ray

[monkeypimp]

Feb 26, 2010 11:50:57 GMT -5 DYohn said:

I do not understand how Emotiva can offer such low prices AND a 40% discount for future up-graders. While I understand that a scheme like that is very attractive to buyers and can help get a nascent brand name off the ground, I will be very surprised if it is a policy that can continue. They HAVE to be losing money on upgrade purchases at $699 list price...

Especially when they are shipping them in via air freight....That is why I think very few upgraders have seen them so far....

Once a big boat gets here I bet we see all the upgraders filled quickly.

And I remember Dan L. saying that after the 30 day trial period that a Credit card style 40% coupon will be mailed out as to stop anyone from buying and then returning the unit but keeping the card.

[jmilton]

Feb 26, 2010 11:30:17 GMT -5 upinsmoke said:

Don't think there is a certificate per say (could be wrong). They have records of people that purchased products and go by that.

I have mine.....

[paintedklown]

Feb 26, 2010 12:13:32 GMT -5 jmilton said:

Feb 26, 2010 11:30:17 GMT -5 upinsmoke said:

Don't think there is a certificate per say (could be wrong). They have records of people that purchased products and go by that.

I have mine.....

ROFLMAO!!! Seriously, that is too funny. ;D

[roadrunner]

Emotiva has posted in the Lounge that the "40% Certificates" will be sent to the original purchaser AFTER the 30-Day Trial Period has expired. Doing this eliminates the administrative headaches on handling situations where the UMC-1 is returned during the trial period but the certificate is not returned.

This policy makes even more sense during this initial period where Emotiva is extending the trial period until the FW issues have been stabilized. Once you receive your certificate be sure to safely file it away. If you lose or misplace the certificate it will not be replaced.

[DYohn]

Feb 26, 2010 12:00:54 GMT -5 RSavage said:

Feb 26, 2010 11:50:57 GMT -5 DYohn said:

I will be very surprised if it is a policy that can continue.

I completely agree. But can you just imagine the pissing and moaning when they announce that 'from x-date forward, there will be no more 40% deals.'

Providing a great product at a fair price is plenty to attract customers. I don't see any reason to give the stuff away. But then again, it's not my business. I just want to see Emotiva thrive.....for purely selfish reasons

Ray

Absolutely.

NOTE: None of the following statements are pointed at anyone on this forum and are not meant to be taken personally, so please do not take them that way, and if i offend anyone I apologize.

Emotiva's business model seems to straddle a very precarious line. On the one hand, offering super low prices is good for consumers (me included!) and helps the company move tons of product. On the other, if profit margins are shaved too close to the bone it doesn't take much to start cutting that bone. Your margin for error is very small, and your ability to react to issues very limited. Plus, economic theory says that pricing gear too low invites a couple of unintended effects, such as some consumers assuming "low price = low quality" or that "corners must have been cut" and generating suspicion of something that appears to be "too good to be true." Especially if a company like Emotiva introduces a product like the UMC-1 that competes with other products costing several times the price, suspicion of "how'd they do that?" is pretty natural. Plus, if statements about pricing are made that then must be reneged because of too low profit margins, charges of "lying" or "trustworthiness" arise, when in fact they are necessary business decisions. A business is first and foremost designed to make money for its owners/shareholders.

And then there's the "Wal Mart mentality" where low prices cause some consumers to expect more and more for less and less. This is exacerbated when a company introducing a new brand name offers steep discounts or rebates against already lower than the market pricing. So called "bottom feeders" and "scalpers" will emerge - those who are only purchasing the gear for the low prices, with the hope of either getting more than they paid for or of re-selling later at a profit.

I do not know what Emotiva's product margins are but at my company I always set pricing for at least a 50% gross product margin, and some of our products are more like 80%. This way we can sustain our business and the buyers feel like they are getting a "quality" product and are often willing to pay a bit more for it.

There is also the question of deciding what market segment a company want to serve. In the A/V world, designing and building outstanding separates such as Emotiva's product line but then selling them at price points that attract entry-level users, those who would otherwise likely purchase much less expensive and much simpler to operate receivers can be dangerous. It brings non-enthusiast mainstream consumers to a product line that might actually require enthusiast-level understanding to properly operate. It would be like buying a Ferrari for the price of a Toyota and then being overwhelmed by the complexity of the machine and the maintenance and attention required to operate it properly.

In my opinion, once the software is 100% stable on the UMC-1 it is a product that really should retail for closer to $1500. Similar products from Onkyo or Rotel or Denon retail for more than that, and the only other processors using the same chip set are what, the Cary at $3500 and the Krell at $30K?

All this is to say: the Emotiva pricing model is pretty unique and I am happy to take advantage of it. But I do not see how it can be sustained, or even if it SHOULD be sustained. I say buy lots, and buy it now while the prices remain low.

[/soapbox]

[monkeypimp]

Here is Dan's Post from this thread emotivalounge.proboards.com/index.cgi?board=preamps&action=display&thread=8739&page=2 regarding the 40% coupons:

"Hi All,
The 40% certificate is sent to the owner after the trial period, for obvious reasons. This certificate is in the form of a "gift card" with a specific S/N printed on it. Looks just like a credit card.

It is sent to the mailing address of the original shipment.

This card is the same as cash. The only person allowed to upgrade is the person in physical possion of the card. Treat it like cash! No replacement will be issued under any circumstances.

If you purchase a used processor with the expectation of owning the upgrade, make sure you have the physical card. You can always call us to check the eligibility of the number printed on the card.

So, we'll be sending these out to the first batch of customers in a couple of weeks after you have all had time to digest the UMC- with its corrected SW.

All of this advice will be on the UMC-1 page and on our terms and conditions pages shortly.

Hope this helps.
Big Dan "

[RSavage]

You said a mouthful David....well put !

Ray

[DYohn]

Feb 26, 2010 12:54:57 GMT -5 RSavage said:

You said a mouthful David....well put !

Ray

Thanks, it's just some thoughts that have been on my mind for a while... I could be completely off base, of course.

[paintedklown]

Feb 26, 2010 12:39:43 GMT -5 DYohn said:

Feb 26, 2010 12:00:54 GMT -5 RSavage said:

I completely agree. But can you just imagine the pissing and moaning when they announce that 'from x-date forward, there will be no more 40% deals.'

Providing a great product at a fair price is plenty to attract customers. I don't see any reason to give the stuff away. But then again, it's not my business. I just want to see Emotiva thrive.....for purely selfish reasons

Ray

Absolutely.

NOTE: None of the following statements are pointed at anyone on this forum and are not meant to be taken personally, so please do not take them that way, and if i offend anyone I apologize.

Emotiva's business model seems to straddle a very precarious line. On the one hand, offering super low prices is good for consumers (me included!) and helps the company move tons of product. On the other, if profit margins are shaved too close to the bone it doesn't take much to start cutting that bone. Your margin for error is very small, and your ability to react to issues very limited. Plus, economic theory says that pricing gear too low invites a couple of unintended effects, such as some consumers assuming "low price = low quality" or that "corners must have been cut" and generating suspicion of something that appears to be "too good to be true." Especially if a company like Emotiva introduces a product like the UMC-1 that competes with other products costing several times the price, suspicion of "how'd they do that?" is pretty natural. Plus, if statements about pricing are made that then must be reneged because of too low profit margins, charges of "lying" or "trustworthiness" arise, when in fact they are necessary business decisions. A business is first and foremost designed to make money for its owners/shareholders.

And then there's the "Wal Mart mentality" where low prices cause some consumers to expect more and more for less and less. This is exacerbated when a company introducing a new brand name offers steep discounts or rebates against already lower than the market pricing. So called "bottom feeders" and "scalpers" will emerge - those who are only purchasing the gear for the low prices, with the hope of either getting more than they paid for or of re-selling later at a profit.

I do not know what Emotiva's product margins are but at my company I always set pricing for at least a 50% gross product margin, and some of our products are more like 80%. This way we can sustain our business and the buyers feel like they are getting a "quality" product and are often willing to pay a bit more for it.

There is also the question of deciding what market segment a company want to serve. In the A/V world, designing and building outstanding separates such as Emotiva's product line but then selling them at price points that attract entry-level users, those who would otherwise likely purchase much less expensive and much simpler to operate receivers can be dangerous. It brings non-enthusiast mainstream consumers to a product line that might actually require enthusiast-level understanding to properly operate. It would be like buying a Ferrari for the price of a Toyota and then being overwhelmed by the complexity of the machine and the maintenance and attention required to operate it properly.

In my opinion, once the software is 100% stable on the UMC-1 it is a product that really should retail for closer to $1500. Similar products from Onkyo or Rotel or Denon retail for more than that, and the only other processors using the same chip set are what, the Cary at $3500 and the Krell at $30K?

All this is to say: the Emotiva pricing model is pretty unique and I am happy to take advantage of it. But I do not see how it can be sustained, or even if it SHOULD be sustained. I say buy lots, and buy it now while the prices remain low.

[/soapbox]

Very well put and nicely stated. I LOVE my two Emotiva amps and plan on getting SEVERAL more peices of their gear. They have great products at great prices and I would LOVE to see it stay that way. If that means I order up a UMC-1 and NEVER get a certificate for 40% off a future processor then so be it. I would rather have less out of pocket than a coupon for a possible future purchase any day of the week.

NOTE: This message is not intended to make anyone angry or to upset any readers. It is just an honest look at the way I feel. I did receive my e-mail regarding when my UMC-1 should be available and I have every intention of ordering it up. It's a fantastic deal!!!

[mobileusa]

so from what i understand, the discount will NOT apply to the XMC...

[paintedklown]

Feb 26, 2010 14:53:19 GMT -5 mobileusa said:

so from what i understand, the discount will NOT apply to the XMC...

That is my understanding as well. The reason is because the XMC is not in the same series as the previous processor and the UMC-1. The XMC is to become Emotivas "reference level" processor. Someone please correct me if I am wrong.

[UT-Driven]

Feb 26, 2010 14:53:19 GMT -5 mobileusa said:

so from what i understand, the discount will NOT apply to the XMC...

Correct. If you buy a UMC-1, the certificate won't work on the XMC-1. They are both in the same generation. You would need to wait for the UMC-2 or XMC-2 (or RMC-2 or whatever moniker if they have a reference pre-pro coming).

Doug

[Wideawake]

Well put, David. I was wondering the same about Emo's pricing. Perhaps they can still keep price points low enough if they discontinue the 40% upgrade on processors and do away with their several yearly sales. I'm shooting myself in the foot here since I'm eagerly awaiting the XMC-1 but I'd rather give up the 40% upgrade coupon than have Emotiva close their doors.

[sbavnut]

Look here ---- emotiva.com/upgrade.shtm

The "terms" clearly state that "Emotiva reserves the right to modify or terminate this offer at any time without prior notice."

1. They need to decrease the discount to something more manageable - no more than 25%. Set a date ahead of time (May 31??) - give people a 2 month notice - then reduce the discount for all orders after that date.

2. Set a date (May 31?) and increase the price of the UMC-1 to $800. Remember, the nearest competitor (Integra DHC 40.1 is $1,200).

3. Set a realistic price for the XMC-1 ($1250???).

4. The lower priced amps could do with a 10% increase and still undercut anyone else out there by 20%...

The above points REALLY sound weird - coming from a customer (charge more... huh?) ........ but I TOTALLY agree with this - " just want to see Emotiva thrive.....for purely selfish reasons ..."

[barrynj]

One thing I notice about the the competition that will effect their price difference is the competition is not Internet Direct, so their product goes from manufacturer, to distributor, to retail. Often leftover stock from those companies goes for 1/2 it's original MSRP or less when the new models come out. I think Emotiva will be just fine with their fiscal health and their pricing model