Free Maybe, But That Does Not Mean No Cost
We all like something that's free; at least free to us, the buyer or consumer. The buyer loves to get a good deal. It could be for a house, a refrigerator, a pick up truck, or a stock tip, a good deal, especially if it's free, or below what we perceive is a good price, is reason to celebrate.
The idea about free has been on my mind recently because I hear that four letter word, free, so often. On the radio-free offers for newsletters and business development tips, on websites-webinars and classes, on TV an extra do-hickey and all you pay is shipping and handling, and in new home communities-free sod or appliance packages.
Of course none of the above items is without cost. Although the end user does not pay for the product or service, someone will pay. Perhaps it's a sunk cost that the business owner decides to eat. But the business owner cannot eat this sort of expense forever, or they will become a former business owner. Another way the business owner can handle the free product or service is to embed the cost into another product or service.
This is not to criticize the business practice of offering a freebie. As I show clients homes in new home developments, sales counselors will highlight how their product line differs from a competitor's. In some cases, the builder who bundles more features in the base price looks better than the builder who has a lower base price, but allows the buyer to add on upgrades on a one by each basis. The buyer should take a close look at the options because the bundle may look better on first glance, but it's not always the best option.
I've been listening to some of the debate on health care issues, and commercials about Medicare, health insurance, etc. Since I'm on the way to qualifying for Medicare, if it's still available, I listen to the wording on some of the commercials. The word free is usually somewhere in the spiel. I know the medical service will be free or lower cost to the senior citizen, but somebody will have to eventually pay the cost. Not to get all political, or anti-government, but we should all understand that whether it is regarding real estate, or health insurance, free to the consumer, does not mean no cost. Somebody, eventually, will have to pay the price.
My Networks: http://rlty.me/SanAntonioRealtor
18756 Stone Oak Parkway
San Antonio Texas 78258
Coldwell Banker D'Ann Harper Realtors®
Texas Real Estate License # 0566780
Texas Law requires all real estate licensees to give the following information about brokerage services: http://www.trec.state.tx.us/pdf/contracts/OP-K.pdf
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