Keurig economy?

Make something kewl and unique that people really like and it works! At first. Charge a #### load of money for it and guarantee the thing.

...

Washer on the fritz? Again? Get another one, pal! Computer?

I know no one who has NOT had their Keurig fail. It is also simple as pie to get it replaced. Is this the economic model of the 21st century to come???

Green Mountain (i.e. Kuerig) is not in the coffee maker business. It's in the coffee business. It breaks even or loses money selling those home brewers (especially if we're considering costs associated with selling them, e.g. warranty coverage). It sells them to you so that it can sell you K-Cups - the brewers just facilitate what it does to make profits. That being the case, it doesn't want you having to wait to get one repaired - or worse still, having to decide whether you're willing to spend more money to buy another one - when the one you have stops working properly. It wants as many people as reasonably possible to have working brewers so it can sell lots of K-Cups. That's why it allows, e.g., Mr. Coffee to make and sell compatible brewers.

If its primary business was selling coffee makers, it might have different warranty policies, different quality assurance standards / policies, and offer the machines at different price points. Likewise, if McDonalds' primary business was selling eating utensils it might have different policies regarding how freely it allows its stores to hand them out (and, perhaps, more focus on their quality). As it is however, McDonalds wants to sell you food and it seems to think that allowing you easy (and cheap) access to the utensils you need to eat that food is good policy. It's probably right about that.

Is this where we are headed? Car broke? Just go to Bed Bath and Beyond, no receipt, no nothing, and get you a new one???

If a car manufacturer could sell cars such that it retained some amount of control over the fuel that was needed to make those cars go, and it made considerable profit whenever you bought that fuel, we might well see a situation where you could drive your malfunctioning car into some sort of dealership (or, if need be, leave it where it is) and drive right back out with a properly functioning car. They'd fix up your old ride and have it ready for the next person in need of a quick replacement. We might also see cheaper cars (both in terms of cost to produce and cost to consumer), especially those big gas-guzzling ones. Get your brand new Hummer H1 here, just $9,999. :yahoo:
 

Larry Gude

Strung Out
Green Mountain (i.e. Kuerig) is not in the coffee maker business. It's in the coffee business. It breaks even or loses money selling those home brewers (especially if we're considering costs associated with selling them, e.g. warranty coverage). It sells them to you so that it can sell you K-Cups - the brewers just facilitate what it does to make profits. That being the case, it doesn't want you having to wait to get one repaired - or worse still, having to decide whether you're willing to spend more money to buy another one - when the one you have stops working properly. It wants as many people as reasonably possible to have working brewers so it can sell lots of K-Cups. That's why it allows, e.g., Mr. Coffee to make and sell compatible brewers.

If its primary business was selling coffee makers, it might have different warranty policies, different quality assurance standards / policies, and offer the machines at different price points. Likewise, if McDonalds' primary business was selling eating utensils it might have different policies regarding how freely it allows its stores to hand them out (and, perhaps, more focus on their quality). As it is however, McDonalds wants to sell you food and it seems to think that allowing you easy (and cheap) access to the utensils you need to eat that food is good policy. It's probably right about that.



If a car manufacturer could sell cars such that it retained some amount of control over the fuel that was needed to make those cars go, and it made considerable profit whenever you bought that fuel, we might well see a situation where you could drive your malfunctioning car into some sort of dealership (or, if need be, leave it where it is) and drive right back out with a properly functioning car. They'd fix up your old ride and have it ready for the next person in need of a quick replacement. We might also see cheaper cars (both in terms of cost to produce and cost to consumer), especially those big gas-guzzling ones. Get your brand new Hummer H1 here, just $9,999. :yahoo:

It could be fun to follow this out; Given the housing problem, Home Depot and Lowe's could buy up all the excess inventory for pennies on the dollar and hand 'em out like candy; "For Sale by owner; Fixer upper! HUGE lawn! Needs dry wall and paint, cabinets, electric, appliances, landscaping (plenty of afternoon shade which is ESPECIALLY good for gerber daisies), all sorts of #### needs fixin'! 4 bedroom 3 1/2 bath (once you've built the other bath and a half) HUGE garage (once the addition is done!) driveway could use some work as well as the deck. Free his and hers pick up trucks for the first 1,000,000 buyers; $9,999.99"
 

Larry Gude

Strung Out
How about...

"Free schooling! Free health care! All sorts of free ####! Just cross the border!"

Wait. We tried that...
 

nomoney

....
I've had to replace my Keurig twice.

So let's do some math:

I paid about $120 for the original machine. Since then Keurig has replaced it twice at no charge. Comes out to $40 per machine, plus I get free K-Cups and Buy 2- Get 2 discounts with each new brewer. Oh, and they replace it with the newer model.

In a moment of impatience while waiting for my last new brewer to come in, I bought a B&D normal old coffee maker for back up. It was $30 and leaks all over the place. Did B&D replace it for me? No. By the time I used it, I'd thrown away the packaging and receipt so tough noogs for me.

So the $30 to B&D, a major and diverse company, was completely wasted. Might as well have thrown that money in the trash. But the $120 to Keurig bought me a coffee brewer for life with free upgrades.

I'm digging the Keurig business model.

Ours has started leaking....how did you go about replacing it? Just go to their website?
 

vraiblonde

Board Mommy
PREMO Member
Patron
Ours has started leaking....how did you go about replacing it? Just go to their website?

Go to the website and find the number, give them a call. Their customer service is excellent. The rep will ask you a few questions, walk you through possible fix if applicable, then arrange for you to receive a new machine if yours is unfixable.

EZPZ.
 

Railroad

Routinely Derailed
I got a little frustrated (I know, what a shocker) with my B&D and removed the parts that were making it leak all over the place. You have to leave the carafe in place till it's done brewing, but no more leaks. Total investment about $40. I could never see buying a one-cup brewer for myself for home use, and by the time I'm at work I shift to diet sodas.

I do have a Braun one-cup brewer that's about 10 years old and works great (I used it when on travel back in the day). It's small and very basic, simple and makes a great cup of coffee. (I used to grind up a few day's worth and put it in a zip-loc bag and bring it with me).
 

bohman

Well-Known Member
It could be fun to follow this out; Given the housing problem, Home Depot and Lowe's could buy up all the excess inventory for pennies on the dollar and hand 'em out like candy; "For Sale by owner; Fixer upper! HUGE lawn! Needs dry wall and paint, cabinets, electric, appliances, landscaping (plenty of afternoon shade which is ESPECIALLY good for gerber daisies), all sorts of #### needs fixin'! 4 bedroom 3 1/2 bath (once you've built the other bath and a half) HUGE garage (once the addition is done!) driveway could use some work as well as the deck. Free his and hers pick up trucks for the first 1,000,000 buyers; $9,999.99"

That is a fascinating thought, and probably not that far off base. (don't get your head all swelled up 'cause someone said that, Larry) We've spent a lot of decades now builiding cheaper and cheaper products, and charging people more and more for consumable type of items & services. No company wants to build you something dependable; if it keeps working you won't buy another one.
 

FromTexas

This Space for Rent
Go to the website and find the number, give them a call. Their customer service is excellent. The rep will ask you a few questions, walk you through possible fix if applicable, then arrange for you to receive a new machine if yours is unfixable.

EZPZ.

The key here is they really make all their money on the k-cups. The machine probably doesn't cost them that much to manufacture. :yay:
 

itsbob

I bowl overhand
The key here is they really make all their money on the k-cups. The machine probably doesn't cost them that much to manufacture. :yay:

JUST like printers...

Buy a printer for $50 then their proprietary cartridges cost twice that.
 
Green Mountain Coffee (i.e. Keurig) is getting slammed in pre-market trading this morning after it provided worse than expected forward guidance in its earnings release yesterday afternoon. By slammed I mean off about 40%, from about $50 / share to about $30 / share.

Green Mountain also announced yesterday that it's made a deal that will make Eight O'Clock coffee, Good Earth tea, and Tetley tea available for the Keurig K-Cup system.
 
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