twesterm said: Bodhesatva said: Munkeh said: Do any people buy protection plans for the PS3? |
I actually didn't want to mention this, because it seemed a little insulting -- but I haven't sold one in over a month, so... I don't know. I'd say based on the previous months, about 1/2 do, Munkeh. My general feeling is that people have a perception that the Wii and PS3 are reasonably solid machines, while the 360 has some issues. That is entirely editorial and based only on my perceptions of how people behave, though. |
Slightly off topic but I use to work in Geek Squad, and let me tell you, not buying the protection plan for any system or item is fairly silly. People use to come in all the time with broken shit (iPods, cameras, PC's, printers, PS2's, TV's, vacuum cleaners, ect.) and always got pissed off when I told them they had to pay if they wanted me to do anything for them because they didn't bother buying any kind of waranties. Also, buy buy warranties on MP3 players, especially iPods. All of those break all the time and you'll save yourself a fair amount of grief. /off topic |
When you buy a protection plan from Best Buy, Best Buy is effectively selling you overpriced insurance. A good rule of thumb is to never insure something you can afford to write a check for. So, for example, if you buy a Wii and it is a cheap enough item for you to write a check for and replace yourself, you "self insure". This means you don't pay Best Buy for insurance -- if you buy a lot of electronics that have a normal failure rate (maybe 3%), you'll come out way ahead if you don't buy the protection plans.
The math is simple. Say the Wii has a 3% failure rate during the life of the protection plan (let's say 3 years). Say that 2% of Wiis fail within the first 15 months and 1% fail after. Under this scheme, you have a 1% chance of your Wii failing and Nintendo not covering it, and you have a 0% chance of having a problem in the first 15 months that Nintendo won't cover. Since the Wii is currently a $250 item, this means self insurance would be $2.50 for that item if you *assume* that you'll have to buy a new console at $250 when your Wii fails. It's unlikely the Wii will still be $250 by that time, of course, and it's unlikely you won't be able to get it repaire by Nintendo for even less, so $2.50 is really a worst-case guess. The Best Buy coverage would cetainly be 10x that because they make a HUGE profit on their protection plans.
For consoles like the Wii, the protection plan from Best Buy is valueless because you will not be able to keep your virtual console games, etc.
Of course, you're playing probabilities. You could get unlucky. You could have to send your Wii in to Nintendo when it is just 16 months old and they might charge you to repair it.
The Xbox 360, quite obviously, doesn't have a normal failure rate. Still, you have a one year warranty from Microsoft and at least they let you keep your hard drive when you get a repair from them.