So considering that the MSRP on this drop was understated ($75, which is for the VG-10 version), and that this drop was pulled early, it looks like there might have been a slight mix-up here on what seemed like an incredibly good deal - $57 for a titanium framelock S35VN folder! I hit 'join' the moment I saw the price and specs, and it honestly didn't occur to me that it might be a mistake until the drop ended early.
So from here out, it looks like one of three things can happen: (1) Massdrop calls this whole thing off and gives us all refunds; (2) Massdrop says, "Sorry guys, this drop was intended for the VG-10 version and we made a mistake. We can either give you the VG-10 version or give you a refund, your choice," or (3) Massdrop bites the bullet and ships us S35VN titanium framelocks as per the drop.
I think (1) and (2) are probably within Massdrop's rights (at least, they should be if their lawyers are halfway decent). However, (3) would obviously make me (and a bunch of others) very happy, so I'm posting this early to make the case for (3). I sure hope Massdrop is listening.
First, the figures.
Calculating backwards from the figure they gave for how much we all "saved" versus the stated MSRP on this drop, it looks like 52 of us joined this drop at $57 each. The titanium framelock Vigor can be had out there at $109. At bulk price, I'm guessing MD can get it at maybe $10 - $20 cheaper, so that's a cost price of $89 - $99, meaning a loss of around $32 - $42 per person if MD honours this drop. In aggregate, MD might make a loss of $1,664 - $2,394 (increasing the margin for error, that's $1,500 to $2,500). Even if MD's cost price is $109 (quite unlikely), MD's total exposure would be a maximum of about $2,700. In reality, whatever the gross figure is, the blow would be softened further because this can probably be booked as a loss, which leads to tax savings down the road.
In commercial terms, a sum of $1,500 to $2,700 is not a great deal of money; particularly not to a healthy SME like Massdrop with a capitalization of at least $47.85M (based on publicly available sources). In fact, $2,700 is probably a fraction of Massdrop's marketing and/or PR budget. I mention marketing and PR specifically because this represents a unique marketing/PR opportunity.
Nothing and nobody is perfect, and mistakes happen to the best of us. What separates good companies from great ones is how they react to mistakes when they happen. LL.Bean has been well-loved for decades, mostly because of its legendary no questions asked lifetime warranty. Japanese car brands are increasingly being considered more reliable than European brands because they often issue recalls before car owners even realize anything is wrong, unlike some European brands which have been slow to issue recalls, and in some cases have even been caught cheating. Amazon's customers don't think twice about shopping on its faceless, gargantuan retail platform because they know that returns and refunds are easy, and Amazon will give them the benefit of the doubt. These policies all cost money, but the great companies that choose this route reap rich rewards in terms of brand recognition and trustworthiness, as well as customer satisfaction and loyalty.
So the ball is now in Massdrop's court. Do you want to be a good company, or a great one?
So from here out, it looks like one of three things can happen: (1) Massdrop calls this whole thing off and gives us all refunds; (2) Massdrop says, "Sorry guys, this drop was intended for the VG-10 version and we made a mistake. We can either give you the VG-10 version or give you a refund, your choice," or (3) Massdrop bites the bullet and ships us S35VN titanium framelocks as per the drop.
I think (1) and (2) are probably within Massdrop's rights (at least, they should be if their lawyers are halfway decent). However, (3) would obviously make me (and a bunch of others) very happy, so I'm posting this early to make the case for (3). I sure hope Massdrop is listening.
First, the figures. Calculating backwards from the figure they gave for how much we all "saved" versus the stated MSRP on this drop, it looks like 52 of us joined this drop at $57 each. The titanium framelock Vigor can be had out there at $109. At bulk price, I'm guessing MD can get it at maybe $10 - $20 cheaper, so that's a cost price of $89 - $99, meaning a loss of around $32 - $42 per person if MD honours this drop. In aggregate, MD might make a loss of $1,664 - $2,394 (increasing the margin for error, that's $1,500 to $2,500). Even if MD's cost price is $109 (quite unlikely), MD's total exposure would be a maximum of about $2,700. In reality, whatever the gross figure is, the blow would be softened further because this can probably be booked as a loss, which leads to tax savings down the road.
In commercial terms, a sum of $1,500 to $2,700 is not a great deal of money; particularly not to a healthy SME like Massdrop with a capitalization of at least $47.85M (based on publicly available sources). In fact, $2,700 is probably a fraction of Massdrop's marketing and/or PR budget. I mention marketing and PR specifically because this represents a unique marketing/PR opportunity.
Nothing and nobody is perfect, and mistakes happen to the best of us. What separates good companies from great ones is how they react to mistakes when they happen. LL.Bean has been well-loved for decades, mostly because of its legendary no questions asked lifetime warranty. Japanese car brands are increasingly being considered more reliable than European brands because they often issue recalls before car owners even realize anything is wrong, unlike some European brands which have been slow to issue recalls, and in some cases have even been caught cheating. Amazon's customers don't think twice about shopping on its faceless, gargantuan retail platform because they know that returns and refunds are easy, and Amazon will give them the benefit of the doubt. These policies all cost money, but the great companies that choose this route reap rich rewards in terms of brand recognition and trustworthiness, as well as customer satisfaction and loyalty.
So the ball is now in Massdrop's court. Do you want to be a good company, or a great one?