Each year I see a different version of my favorite car. Sometimes the newest model has minor tweaks, or sometimes it seems like a totally new vehicle design. Why do companies “retire” products? Of course, the obvious answer may be that the company wants the previous model to seem obsolete so it can sell the newest and greatest look. However, manufacturers may “retire” a product design for a number of reasons.
Extremely trendy products have to be moved out so new trendy products can entice the consumer’s fancy. New trends may feature different colors, different materials, different sizes. In some cases, the materials used to make the product may no longer be available, or the prices for particular materials may have increased so much that the product doesn’t provide profitability. It could be that the machinery to manufacture the product is on the verge of wearing out and the company doesn’t want to spend hundreds of thousands of dollars to repair the machinery given the anticipated sales of the product.
The 1958 Edsel car, considered by most as a having a design way before its time, attracted attention, but did not become a commercial success. If a product doesn’t make the company money, the company discontinues it.
When a garment fits like size 10, but is marked a size 14, there will be serious issues when trying to sell it. There may be nothing defective about the garment, it is just marked wrong, creating a great “sale” bargain for the size 10 customer.
Retailers like Morgan Fitzgerald’s have Brighton and Hairuwear product retirement sales because new products are on order, or there may be limited supplies available of the retired merchandise. Product retirement discounts can provide great deals and quality.
Nancy Pride owns Morgan Fitzgerald’s and Merle Norman located at 3800 South Texas Avenue, one mile north of University Drive. 979 268 0608 www.fitzyou.com