Aussies rage at ‘strings attached’ iPad sales; forced bundling claimed

“Aussie iPad buyers are raging at an electronics chain they claimed refused to sell them the fondle slabs unless they bought a bag load of superfluous accessories too,” The Register reports.

“JB Hi-Fi has had to publicly affirm it had no such policy, and has offered refunds to any buyers who feel they have been stuck with redundant kit,” The Register reports.

“Pad coveters who bought their devices from some branches of JB Hi-Fi have hit the net down under to complain that sales assistants told them they could not buy the device without buying screen protectors, docking stations or other electro-fluff, including Telstra Sims,” The Register reports. “They were variously told the restriction was “company policy” or Apple-imposed policy.”

The Register reports, “Any such restrictions would contravene Australia’s consumer laws… JB Hi-Fi’s boss Terry Smart told the Sydney Morning Herald that he couldn’t say for sure whether it was the actions of a few overzealous staff, but that the firm would address the problem. It would refund any unwanted goodies, he said.”

Full article here.

MacDailyNews Take: Gizmodo article blaming Apple in 3, 2…

22 Comments

  1. @ Norm–

    There is nothing wrong with capitalism.

    If Apple, and auto dealers for that matter, want to bundle products, and make it policy to only sell them in bundes, I have no problem with that.

    The only problem with it is if they were indeed telling people that this is the policy, even if it isn’t.

    There may be an upsell quota involved. That wouldn’t make it any better, but it would serve as an explanation.

    –Posted from my job… at a US car dealership.

  2. @Comment from: TheConfuzed1

    “@ Norm–

    There is nothing wrong with capitalism.

    If Apple, and auto dealers for that matter, want to bundle products, and make it policy to only sell them in bundes, I have no problem with that.

    The only problem with it is if they were indeed telling people that this is the policy, even if it isn’t.

    There may be an upsell quota involved. That wouldn’t make it any better, but it would serve as an explanation.

    –Posted from my job… at a US car dealership.”

    Sorry, but forcing people to buy something they don’t want is NOT capitalism – it’s communism.

    I say it’s high time the authorities had a good long look at the bundling tactics of car dealers.

  3. @ the mac that roared ( barked??)
    “Sorry, but forcing people to buy something they don’t want is NOT capitalism – it’s communism. .”

    NO one is being forced to buy anything. Bundling is a subject for local laws but I am pretty sure you cannot go to a car dealer and buy an engine, or a car with NO tires. There are certain groupings that are not meant to open. Trust me, no one was holding a gun to the Apple iPad buyers there saying, “YOU MUST BUY THIS”.

    Because there is a difference.

    Just a thought,
    en

  4. Exclusive territories are not capitalism and dealerships are dependent on limiting the number of dealers in an area. They frequently collude to fix prices and engage in other anti-consumer and anti-capitalist practices.

    Car dealers are the reason the American auto industry went under. Instead of building products for the consumers, they built products for car dealers, thinking dealers are their real customers. How long before we’re buying Chinese-made electric cars from Wal-Mart?

  5. “Sorry, but forcing people to buy something they don’t want is NOT capitalism – it’s communism.”

    BS, it’s neither. It’s not an ideology it’s a common business practice.My dog likes her beef dog food, but it always bundled with either chicken or turkey which she doesn’t care for. Why do businesses do this? Who knows, personally I think it is stupid.

    In the case of the iPad, I know the margin is razor thin. The difference between full retail and buying with my staff discount is about $1.50! In other words, they only make money on the accessories.

  6. I never said anyone forced to buy the iPad. I’m talking about the things they’re forcing you to buy even if all you want is the iPad. A common business practice it may be, but that doesn’t make it right. Why do you think that Aussie company is doing all that back pedaling?
    As for the comments on authorities, yeah, let’s get rid of them all – government, police, the judicial system, public works, everything. After all, who needs those pesky laws, who needs roads?That ought to work right? Businesses will always do the right thing. Right? Heck, Apple doesn’t need any stinkin’ authorities to enforce their right to protect their IP ’cause other business should have the right to just go ahead and steal their hard work. They don’t like that? Tough shit. At least there are no authorities to get in the way of true free market capitalism. Oh yeah.

  7. The Aussies and the Brits are always raging about something if you believe what the hit whore journalist post, I think they call it flaming, but being journalist they are protect by law or so they claim. Where’s Vlad the impaler when you need him? He knew how to take of the BS artist in his time.

  8. Apple are being exclusive with which dealers get iPads and ASIC and ACCC need to regulate the IT distribution business in Australia or be faced with selected Big retailers ripping off clients. Smaller dealers have been calling on Apple to allow them access to stock, for direct marketing and for thier corporate clients that are rolling out industry managment systems. These clients what to deal with an account manager not a snotty kid in a retail shop.

  9. I purchased my 64gig3g iPad from JB hifi and at no time was forced to buy a thing, I did want a case and screen protector and 3G microsim and I did buy those at the time… But wasn’t forced or told I needed too

  10. As an Australian (living in Australia) let me add my two cents’ worth (as against people going off on a tangent on communism; or making sweeping statements about this country or that from the comfort of some North American abode).

    JB Hi-Fi put themselves across as a budget electronics/hi-fi outfit. They are not. In their catalogues their prices are listed with words such as; “amazing”, “nuts”, “go crazy”. However, when you compare the prices you find that that they are on par or more expensive than other competitors.

    Recently I bought a Panasonic plasma TV and at Harvey Norman the set was $200 cheaper than the same model at JB. Likewise when I bought Snow Leopard at JB their catalogue describes the listed price as “crazy”. Except the listed price was that advertised by Apple. And that price was the same in every sales outlet (selling Snow Leopard) throughout the country.

    JB HI-Fi use very pushy advertising to come across as slick n’ hip and suck in young consumers. No, it’s not illegal but you do have to wonder about their ethics.

    Now the one thing that I found interesting is that this problem only happened at JB and at more than one outlet. Sounds like a corporate stuff-up from JB and I guess someone went “crazy” or went “nuts” when they dreamed up this approach.

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