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To: Meathead who wrote (43510)	12/31/1997 6:51:00 PM
From: Road Walker	Read Replies (3) \| Respond to of 186894

Meathead, Consumer buying patterns From the article that Michael posted: "The vaunted technology gods of today could become the consumer product mills of tomorrow. How these businesses adapt is a question that may not require an immediate answer, but it is not going away." The PC IS becoming a mainstram consumer product, and as it matures into that space, it should conform to the rules that generally apply to other consumer products. Usually, in MATURE consumer products, assuming a good-better-best-premium marketing stategy, you get UNIT sales of approximatly: GOOD (in this case sub 1K PC's) - 40% BETTER (in this case 1K to 1.5K) - 35% BEST (in this case 2K prox.) - 20% PREMIUM (in this case 2.5K+) - 5% ASP's usually end up somewhere slightly above the "better" products. Let me also say that this is a very immature industry, that the coming cost and price transition offers many opportunities for success and failure. I am saying that when PC's matures as a consumer product (5-10 years?), these numbers are about what we should see. The one thing that is a big ? to me is that PC's will remain a home AND business product, which screws up any speculaltion on it's future based on how other consumer products evolved. John