Mattress Mack looses $7mil on SB promo

[jperg2]

Super Bowl promotion gives away millions in furniture

http://www.click2houston.com/news/super-bowl-promotion-gives-away-millions-in-furniture/-/1735978/24251020/-/sse0oy/-/index.html

[Rudy]

Good.

[UNTFan23]

/sigh

[TheTastyGreek]

/sigh

Your just being a hater. Whose to say theirs any reason to sigh?

[Cerebus]

He will more than make it up in free advertising and increased sales from the promotion itself.

It's almost like this guy is a self made man who built a fortune out of gimmicky self promotion...

[UNTFan23]

Your just being a hater. Whose to say theirs any reason to sigh?

Yeah, its won of those things that really frustrates me two know end butt eye have come too except it.

[HoustonEagle]

Well he did not really lose 7 million. I would bet his cost are less than 50%. The promotion also brought in additional sales that would help offset. Then factor in all the additional free publicity. Ole Mattress mac will once again come out smelling like a rose and good on him. Don't begrudge the man anything.

[Rudy]

Don't begrudge him for the way he acted when we fired his little buddy?

Ok.

[3XL]

not sure Mack lost 7M...the way I understand it...retailers buy large insurance claims to hedge this type of promo...so only out the cost to insure & promote the event..

[Stix]

i just hope he does it again next year, when I think I'll be ready to replace all the furniture in my house!

[HoustonEagle]

Don't begrudge him for the way he acted when we fired his little buddy?

Ok.

Was it ideal? No. That said his donation came at a time when few were stepping up and was sorely needed. So I could care less the name on the practice field the money was pivotal.

Edited February 3, 2014 by HoustonEagle

[DeepGreen]

not sure Mack lost 7M...the way I understand it...retailers buy large insurance claims to hedge this type of promo...so only out the cost to insure & promote the event..

Exactly! Maybe even insuring the furniture at retail. Mac knows what he's doing.

Don't begrudge the man. He gave UNT $1 million when we really needed it. Oh, who was supposed meet him at the SuperDome?

[rcade]

not sure Mack lost 7M...the way I understand it...retailers buy large insurance claims to hedge this type of promo...so only out the cost to insure & promote the event..

He says the offer was not insured. I don't think an insurer would have covered this promotion, because it's too likely to happen. Seattle was only a small underdog.

[UNTFan23]

He says the offer was not insured. I don't think an insurer would have covered this promotion, because it's too likely to happen. Seattle was only a small underdog.

The real question is MM quoting retail value or wholesale value of the merch. he gave away on the promotion.

[rcade]

Don't begrudge him for the way he acted when we fired his little buddy?

Yeah, we totally should be mad at an alumnus who can write million-dollar checks and has given one to UNT in the past.

Anyone know if Mack has warmed up to the hiring of McCarney? You'd think that Irish surname would help.

[rcade]

The real question is MM quoting retail value or wholesale value of the merch. he gave away on the promotion.

Surely he's quoting the largest dollar value he can. To do otherwise is like telling a prospective girlfriend the size of your junk and rounding down.

[Rudy]

Yeah, we totally should be mad at an alumnus who can write million-dollar checks and has given one to UNT in the past.

Anyone know if Mack has warmed up to the hiring of McCarney? You'd think that Irish surname would help.

Yeah, I'm pretty sure the bridge is burned. If you saw the video, he has a Coogar High Helmet in his office. He wants nothing to do with us.

[Daddy Dumpsalot]

not sure Mack lost 7M...the way I understand it...retailers buy large insurance claims to hedge this type of promo...so only out the cost to insure & promote the event..

Last sentence: "For those of you who are wondering, he does not have insurance for this and says he will be paying it out of his company."

[DirtySavage]

I'm happy with his million and how we used it. No hate in my heart.

[rcade]

I'm happy with his million and how we used it. No hate in my heart.

Me too. I'm not mad at Dickey any more despite the rancor at the end. He put our football team on a nice run when any kind of success was desperately needed.

He's the OC at Memphis and I hope he does well there.

[adman]

Furniture markups are huge. They have to be because it isn't every day you're going out to buy a couch or a dresser. The $7MM quoted is list price on that stuff. What Mac gave away was probably about a $500K- $1.4MM in goods. Still nothing to sneeze at but factor in that people in Houston were talking about buying furniture on a weekend when no one is talking about buying furniture coupled with the add-ons (delivery fees, set up fees, upholstery protection, etc etc) and it was great marketing on his part for next to nothing relative to the press. Dudes no dummy.

[Rudy]

I'm happy with his million and how we used it. No hate in my heart.

Me too. I'm not mad at Dickey any more despite the rancor at the end. He put our football team on a nice run when any kind of success was desperately needed.

He's the OC at Memphis and I hope he does well there.

For the record, I'm not mad with Dickey, or how we spent the money. As I recall, he acted like a bit of an ass when Dickey was fired.

[rcade]

For the record, I'm not mad with Dickey, or how we spent the money. As I recall, he acted like a bit of an ass when Dickey was fired.

He took out a full-page ad protesting the Dickey firing and said that UNT should either take his name off the practice field and put Dickey's there or give his $1 million to the One O'Clock Band.

One weird thing about his request: Most (or all) of his money was already spent on athletic facilities at that point, so there wasn't any to give back.

[Stan R]

He got his wish. Darell Dickey practice fields. At the time I rolled my eyes when I heard they had named it that. Now I appreciate it and think it is appropriate. People's attitudes on topics can change with time.

[3XL]

Furniture markups are huge. They have to be because it isn't every day you're going out to buy a couch or a dresser. The $7MM quoted is list price on that stuff. What Mac gave away was probably about a $500K- $1.4MM in goods. Still nothing to sneeze at but factor in that people in Houston were talking about buying furniture on a weekend when no one is talking about buying furniture coupled with the add-ons (delivery fees, set up fees, upholstery protection, etc etc) and it was great marketing on his part for next to nothing relative to the press. Dudes no dummy.

disagree...furniture margins are fairly modest...there is a cost to doing business. I would guess that huge mark ups would better describe the bottled water or grab & go coffee industry.

M-Mac's cost of goods is probably closer to $4.2M....not $500K or $1.4M

"he claims he didnt have insurance?....don't forget....he's a pretty sharp promoter....and here we are...talking about his store/brand"

Edited February 5, 2014 by 3XL