Hardware Reference
In-Depth Information
are many services that list what various vendors charge. We use http://
www.pricescan.com , http://www.pricewatch.com , http://www.pricegrabber.
com , and http://www.froogle.com . These services may list 20 or more dif-
ferent vendors, and the prices for a particular item may vary dramatically.
We discard the top 25% and the bottom 25% and average the middle 50%
to decide a reasonable price for the item.
• Many components are sold in retail-boxed and OEM forms. The core com-
ponent is likely to be similar or identical in either case, but important details
may vary. For example, processors are available in retail-boxed versions
that include a CPU cooler and a three-year warranty. They are also avail-
able as OEM components (also called tray packaging or white box ) that do
not include the CPU cooler and have only a 90-day warranty. OEM items
are not intended for retail distribution, so some manufacturers provide
no warranty to individual purchasers. OEM components are fine, as long
as you understand the differences and do not attempt to compare prices
between retail-boxed and OEM.
• The market for PCs and components is incredibly competitive and mar-
gins are razor-thin. If a vendor advertises a component for much less than
other vendors, it may be a “loss leader.” More likely, though, particularly if
its prices on other items are similarly low, that vendor is cutting corners,
whether by using your money to float inventory, by shipping returned
products as new, by charging excessive shipping fees, or, in the ultimate
case, by taking your money and not shipping the product. If you always
buy from the vendor with the rock-bottom price, chances are you'll waste
a lot of time hassling with returns of defective, used, or discontinued
items and dealing with your credit card company when the vendor fails
to deliver at all. Ultimately, you're likely to spend more money than you
would have by buying from a reputable vendor in the first place.
• The actual price you pay may vary significantly from the advertised price.
When you compare prices, include all charges, particularly shipping
charges. Reputable vendors tell you exactly how much the total charges
will be. Less reputable vendors may forget to mention shipping charges,
which could be very high. Some vendors break out the full manufacturer
pack into individual items. For example, if a retail-boxed hard drive in-
cludes mounting hardware, some vendors will quote a price for the bare
drive without making it clear that they have removed the mounting hard-
ware and charge separately for it. Also be careful when buying products
that include a rebate from the maker. Some vendors quote the net price
after the rebate without making it clear that they are doing so.
• Some vendors charge more for an item ordered via their 800 number
than they do for the same item ordered directly from their website. Some
others add a fixed processing fee to phone orders. These charges reflect
the fact that taking orders on the Web is much cheaper than doing it by
phone, so this practice has become common. In contrast, some of our fa-
vorite vendors do not even provide telephone order lines.
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