So you’re thinking of buying a new computer…
Where do you start? There are so many brands and models of computers
available, and it can all be a little overwhelming when you start to look
around.
How do you decide what type of computer you need? And
perhaps more importantly, how do you decide what the best value is?
I have sold computers professionally for almost 20 years, and there are
certain “tricks of the trade” that most computer stores and
salespeople use. Knowing these secrets can make your decision easier and will
help you buy the right computer for your
needs.
1. Buy What You Need, Maybe a Little More
One of the most important things you can do when buying a new computer is make a list
of the things that you will be using it for. There are so many different models
- with different capabilities - that you can easily buy more, or less, than you
really need if you don’t.
If this is your first computer, this can be a
little tougher. Until you’ve used a computer, it’s hard to
know exactly what you might want to do with it beyond the obvious, like
connecting to the internet.
Regardless, you should think about some of the things you might want to do.
Some possibilities include:
Connect to the internet
Play games
Digital photography
Digital
video
Type documents
Accounting
Design
websites
Programming
Digital scrapbooking
Geneology
Some of these
things need more power than others. For example, connecting to the internet
really doesn’t need a lot of power. Even the most basic computer available will
probably work just fine.
Digital video and many games need a lot more power. If you don’t get a fast
enough computer with enough
memory, you’ll be disappointed with the performance.
Knowing what you’re going to be using your computer for will help
your salesperson, whether they’re on the phone, the internet or standing in
front of you, recommend the best system for your needs.
As a general rule you’re always better off buying more power than you need
rather than less, but buying too much can be a waste of money.
2. Warranty Considerations
Computer warranties are
one of the most confusing and obscure parts of your purchase. Most manufacturers
have cut back on their customer service to the point where poor service has
become a given.
The three most common options are onsite, carry-in or manufacturer’s depot
service.
Onsite service can be helpful, but think about whether you want to have to be
available for a technician to come and diagnose your computer, and possibly
have to come back with parts at another time.
Carry in service is a good option, but find out whether the service center is
factory authorized for warranty repairs, as well as whether the technicians are
all certified.
Shipping your computer to a factory
service center can take a long time - sometimes a number of weeks. It also
creates risk that your computer will be damaged
or even lost in shipping. In some cases, the manufacturer will even replace your
computer
with another unit and ship it back to you, rather than repairing it. This can
result in your losing any information that was on your system and having to
reload all your software.
Another aspect of the warranty to find out about is technical support. Find
out if the computer manufacturer
offers a toll-free phone number and what the quality of service is like.
The better computer salespeople
will be honest about this and tell you if a company’s service leaves something
to be desired. You can also do some research on the internet - most of the computer
magazines like PC Magazine and PC World have annual customer service comparisons
that rate the larger computer companies.
Always find out how the warranty is handled before making your decision. Even
if it doesn’t influence your choice, knowing what to expect if something does go
wrong will save some nasty surprises down the road.
3. Can You Negotiate the Price Down?
A computer is a relatively
large investment - anywhere from a few hundred to a few thousand dollars. Many
computer
buyers expect that there is a significant amount of “wiggle room” on the
price.
The reality is that most computer hardware - the
physical pieces like the computer, monitor and
printer - is sold at very low profit margins. Often, computer systems are
even sold at or below the dealer cost. When you’re buying a computer, it never hurts
to ask for a better deal, but don’t be surprised if you only get a few dollars
off, if anything.
Over the close to 20 years I sold computers, I watched the profit margins go
from over 40% to less than 5%. It’s almost embarassing to offer a $20 discount
on a $2500 computer system, but
that could mean the difference between making and losing money on the sale.
What you can do to get the best price is to do some comparison shopping. Most
computer
stores offer price-matching guarantees, so if you find your computer for less at
another store, most dealers will match or beat that price, even if it means they
lose money.
4. How Do Computer Stores Make Any
Money?
You might be wondering how these computer stores make any
money if they’re selling computer for so little
profit.
Their money is made on add-on items. The highest profit areas in most computer stores
are cables and “consumable” products such as printer ink and paper.
Printer ink is a huge money-maker for most computer stores (even
more so for the printer manufacturers). Why is this? Once you’ve bought a
printer, you’re going to have to replace your ink at some point, and continue to
replace it as it runs out.
Most chain computer stores and
office supply stores that carry a large selection of ink cartridges make more
from ink than they do from the computers themselves.
Cables also have huge markups. A cable that costs the store $2-3 will often
sell for $20-30. That’s ten times their cost!
If you’re buying a new computer, you will
likely need to buy some cables. Some items - printers, for example - don’t often
include the cables needed to hook them up.
Many printers also come with “starter” ink cartridges that are only
half-full. You might also want to pick up some extra ink cartridges.
This is where you should be able to negotiate a better price. Don’t expect
the salesperson to throw them in for nothing, but they should be willing to
offer you a better price. After all, if you’re happy with their service, you’ll
probably continue to buy your ink, paper and other products from that store in
the future.
5. What Software is Included?
The last secret of buying a new computer has to do with
the software that is included. Most new computer systems include
quite a few programs and sometimes the value of the software can be quite
high.
Something to watch out for when looking at the included software is “trial
versions” or “limited editions”.
Many programs that are preloaded are either crippled versions that don’t have
all the features of the full program, or trial versions that will only run for a
certain amount of time before they expire.
Computer are often sold
with trial versions of the following types of software:
antivirus
firewall
MS Office or other office suites
Accounting -
both business and personal
The computer manufacturers
generally don’t make it easy to tell whether the software on their systems are
trial versions or limited versions. This is a question that you should
specifically ask if you can’t find the answer in their promotional
information.
If you’re buying a new computer with trial
versions of the software, keep in mind that you will need to pay to continue
using it after the trial period is over. This is an added cost that you need to
consider as part of your overall budget.
These five “secrets” of buying a new computer are fairly
common sense, but they are not always made clear up front. Knowing what to ask
will help you in two ways. First, you can be sure you are getting the right
computer
for your needs.
Second, if the salesperson or company that you’re dealing with explains these
things to you without being asked, you’ll know you’re dealing with someone who
is honest and upfront.
Knowing you can trust the people you’re dealing with is an invaluable feature
of your new computer system.
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