Clark Howard's Tips

Cheap electronics coming

June 5, 2008

For the last 10 years, electronics manufacturers have had great success with getting marketers to convince you to go up-market with your purchase. But today, electronics manufacturers realize that consumers are pinched and they're now fighting just to get a sale -- forget about the up-sale.

Sales of flat screens are softening and the price is dropping. For example, Sony is coming out with a new line of HDTVs that will be significantly cheaper than Sonys have been. Historically, Sony has used the cachet of its name to charge higher prices. But that's going to be changing. They won't be as cheap as a Vizio, but they'll almost be there.

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The Wall Street Journal, meanwhile, reports that camera makers are hitting key price figures ($89-$109 instead of $300) to drum up sales. Anything below $200 is a magic figure in electronics that usually invites men to make impulse purchases.

When August comes around, computers will be the cheapest they've ever been. Look for laptops around $300. The Intel folks have a new processor called the Atom that should routinely help yield prices in the $200s.

So you may not need to spend big bucks on electronics. Look around and see what you can get for under the $200 mark. There may be no reason to go above it.

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