Here are some thoughts I had regarding these questions:
1. What are some of the challenges computer buyers face?
• They don’t understand the lingo. They wouldn’t know a duo
core processor if it bit them. Yet we’re asking them to choose
between a duo core and a quad core processor. They don’t know
how much memory they need, what megahertz speed they
need, or what software will or will not run on your operating
• The confusion outlined above causes buyers to forget, or
overlook, what it is that they’re really trying to accomplish
with their computer. Lacking a clear goal for making the pur-
chase, they often choose the wrong solution.
• Many personal computer users would like to change to your
computer, if for no other reason than to avoid the virus and
spy attacks they experience with PCs. The problem is that they
don’t want to learn a new operating system. Either they don’t
feel that they have the time or they’d rather use their time in
2. Can bundling help them overcome these challenges?
There are several options available to you:
• Bundling according to budget limitations is one way. You
could offer one model that has basic functionality, a second
model with some bells and whistles, and the innovator’s delight
—the model that has every feature imaginable.
• You could also bundle by stage of life:
(a) You could have a version for small children that has age-
appropriate games, movies, and music—all designed to
tap into the child’s natural curiosity and engender a love
(b) Another version could target older students who have pa-
pers to write as well as a burning desire to stay connected
with their friends. The Internet with its research capabil-
ities and email and voice mail availability would be the
essential elements of this package.
(c) Business owners and career professionals have yet other
needs. They need productivity tools including CRM (cus-
tomer relationship management) software, mobile con-
tact capabilities, performance measurement tools, etc.
118 Pricing for Proﬁt