The Problem with Recalls

Photo: kalleboo

This week, Apple announced that it will be recalling the first-generation iPod Nano.

I happen to have one, and it’s been working without a hitch since 2006. I’ve never had an incentive to replace it for a few key reasons: I think it’s aesthetically pleasing, storage space isn’t a problem for me, and battery life isn’t a problem either — I use it on my daily commute. I also prefer buttons to touch screens.

But after seeing photos of a melting iPod due to the battery problem, I’m inclined to take part. Especially after I learned I’d be getting the same product, just new and without the fear of fire.

Here’s the hidden cost of a recall, though: Apple will send the new product to me 6 to 8 weeks after they’ve received my old one. That’s more than two months that I’m expected to live without a device I use every day. That cost is far greater to me than the $129 I’d pay for a new iPod. With so many Apple stores in the world, why not just let people take their recalled device into a store for an immediate replacement? But then again, this probably works out better for Apple: I’ll be buying a new iPod, and Mom will get the recall replacement in her Christmas stocking.

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  1. Clancy says:

    From Apple’s perspective, you buying a new ipod is not a bug, it’s a feature.

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  2. James says:

    In a rational world, they’d just mail you a new battery, or let you pick one up at your Apple store, and you could put it in yourself, as you can with most battery-powered devices.

    But then, this is Apple.

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    • Geoff says:

      Imagine Ford trying to pull a stunt like this … 6 weeks w/o a ride.
      Apple’s CYA is annoying and self-serving.

      [WORDPRESS HASHCASH] The poster sent us ’0 which is not a hashcash value.

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  3. Jim says:

    Even better would be a cross-ship option. You provide a credit card number to cover your failure to return the dud, and they ship immediately. This is done all the time in business.

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  4. Dave says:

    That’s some serious consumer surplus. You value your use of an iPod nano at > $65/month? Would you seriously have paid the NPV of $65/month for the expected life (which is frankly probably 3 years?) when you originally bought it?

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    • Joshua Northey says:

      With modern electronics consumer surplus has become extremely large. I would probably trade away half my houses sqft to maintain my internet connection, yet the sqft costs me 10X as much.

      I would easily pay $100/month for an Ipod if my only options were say walkmans. Of course I have other options so the surplus is kind of whacky to calculate. If I could just replace my Ipod with SOny’s mp3 player the surplus might only be more like $10/month.

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    • SteveAK says:

      Yep!

      We pay crazy amounts of money above the minimum necessary for houses, cars, and all sorts of luxuries.

      Different people have different preferences. Some people get really upset if the hot water goes out for a few days and they have to take freezing cold showers (that didn’t bother me); others would be really bugged if they had no cable TV (which I don’t even use).

      So, yeah, if I had the money to spare an mp3 player could easily be worth that much. It’s fortunate that they are so stupidly cheap, considering their immense value.

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  5. Greg says:

    Hidden due to low comment rating. Click here to see.

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  6. Joe Dokes says:

    In reality Apple will probably have it sent back to you in much less than 6 to 8 weeks.

    But if your time is so valuable, you could simply replace the battery yourself. Prices for replacement batteries range from 2-7 dollars. Of course you will need to learn how to open the case.

    Regards,

    Joe Dokes

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  7. Duncan says:

    Have you considered buying a new iPod, sending your existing one back, then putting the replacement they send you on eBay?

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  8. BC says:

    I agree that 6-8 weeks is unacceptable but instead of blowing $130 wouldn’t be easier to find another temporary solution such as streaming media, using the built in mp3 player most phones come with, or in a fit of desparation turn on the radio? (I know that last one is rough).

    I have never owned a standalone mp3 player but I have never lacked personalized commercial free music.

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    • James says:

      “…or in a fit of desparation turn on the radio?”

      Radio? Didn’t that become obsolete about the same time vinyl records did?

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