corbett wrote:You make an interesting accusation Do Yoda. One I never thought of.
A middle man must hold inventory which in the case of Switch is a 3rd party building in England, Hong Kong and somewhere else I think.
You say Switch has broken the Advertising Standards Authority of New Zealand code of conduct by stating they are direct sales when infact, as you rightly point out, a middle man holds the inventory.
Do you have any more proof of this breach of advertising rules?
Switch's "3 party" distribution warehouses do not constitute as "middle men". Middle men = Retailers.
I don't see how Switch broke any advertising rules. Switch is simply a manufacturer who also sells direct. It's no different than let's say Slingshot who's also a manufacturer who also sells direct. Neither Switch nor Slingshot are retailers in the traditional sense, but in the 21st century, here in the US at least, it's become common place for brands to sell direct. This modern method of sales has it's pros and cons, but none the less, it's becoming more prevalent. Some companies have even taken it the next level... have you been to (or seen) an Apple store? How they go about selling direct and the associated pricing they set forth is based entirely on their established business plan.
Da Yoda wrote:[Neither Switch nor Slingshot are retailers in the traditional sense, but in the 21st century, here in the US at least, it's become common place for brands to sell direct.
I think this is the disconnect. Traditionally we're used to the "margin system" business model of supporting an independent retailer. Since the retail environment has dramatically changed over the years, manufacturers are now investing in becoming "retailers" themselves. However the industry does not label them as a "retailer" because they also manufacture, market, supply, warranty/repair, etc said products.
Switch stated they are a direct sale business, which is correct. No breach took place from what I can tell. Their statement was truthful and accurate. Where they store and ship their products is irrelevant to what and how they advertise.