Election Bet With Customers Costs Houston Furniture Magnate $10M
We've all seen the ads. Is he crazy? Yes, sometimes genius is. Magnanimous Houston-based furniture magnate Jim "Mattress Mack" McIngvale will refund $10M in purchases based on last week's presidential election results. This year, Mattress Mack offered refunds to customers who bought over $2k and correctly guessed the political party that would win the presidency. The $10M payout seems steep, but if Hillary had won, Mattress Mack would've had to refund around $13M, reports the Houston Chronicle.
Around 4,000 customers will receive a 100% refund on their purchase or a Gallery Furniture gift certificate worth 150% of the value.
This isn't the first time Mattress Mack has gained national attention. Last year, he launched "85 And It's Free," betting on if a barrel of West Texas Crude was $85 or more at closing on Dec. 31—it wasn't even close. In 2014, Gallery Furniture refunded over $12M from three promotions, two based on the Texans' performance and one on the Astros. Despite the payouts, Mattress Mack insists he sees "tremendous long-term benefit" from the promotions. [Chron]
