econ 101
I remember my high school teacher explain why Coca Cola was most expensive than Generic soda. Because, “The cost of advertising is passed to the customer and is reflected in the retail price.” I suppose that was my first lesson in P&L management.
Palm just announced they will spend $25 Million to promote the Treo 680. This is just the Treo 680, by the way, not any of their other products. Geez! No wonder why the thing costs $399. If you live in San Francisco, Los Angeles or New York, watch out for their “new” ad implementation - Treo Accost Agents….
From their campaign statement:
“Street teams touting the devices will show off the ability to use the Web while on the road by stopping people on the street and allowing them to perform interactions (such as making travel arrangements or dinner reservations) on the spot.”
On a personal note, I did like my Palm Pilot, so I’m glad they’re back with a better product. I miss talking into my “calculator” (as one of my friends put it).
via Brand Week
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