Tuesday, Nov 22, 2011 at 00:00
This whole price matching this is a complicated stratergy.
On the vast majority of purchases it never comes into play, because most customers are conned by the "we have the cheapest prices" statement...its a
bluff, and some stores don't like having their
bluff called.
Often to their pain, some stores end up bleeding from the @#$e, over their price match polocy
bluff, remember that manager will be on bonuses and penalties.....so guess why they get narky.
second, a great many times they will only match precisely the same item, so the distributers are carefull not to supply the exact same product or package to two different chains. Or the stores are very carefull not to package the same as the opposition.....This has been going on for decades.
The real con is the magical disapearing stock....some stores are known for removing product from display when a price match would hurt them too much.
"OH sorry that is not a stock item"....yeh funny it was on the shelves last week and it will be back on the shelves when the oppositions sale ends.
The retail industry is in real trouble over this whole discounting thing....so many of the retailers are lazy and poorly skilled, so they take the easy option and sell on price alone.
30 years ago there was full retail margin between wholesale and recomended retail price on whitegoods ( stoves, fridges, washers), then the discounting started.
about 15 years ago the wholsalers stopped giving the retailers a full margin, because they knew that would all just piss it up against the wall.
Now we find it is even worse, they have started to cheapen the product, and now both the service and the product get crappier and crappier.
So who is to blame, the customer or the retailer..a very good question.
But margin shrinkage is a high profile issue in retail, and it has come to a point where these retalers will try every nasty trick in the book to claw back any margin that they possibly can....Margin shrinkage will be a top subject at every sales meeting.
Wondered why the whole retail playing fields is littered with the corpses of dead retail companies......Clive Peters, is the most recent to bite the dust, but there have been plenty before.
I for one would be prepared to pay a little more for some good quality product and some better service.
cheers
AnswerID:
470607
Follow Up By: AlbyNSW - Tuesday, Nov 22, 2011 at 20:13
Tuesday, Nov 22, 2011 at 20:13
I was recently in Officeworks and they were changing some price tags on some items and the assistant told me they get notification from head office several times a day to adjust an items price to match a competitors advertised price in line with there advertised policy of always being the best price
It was good to see that they were living up to there promise
FollowupID:
745165
Follow Up By: The Bantam - Tuesday, Nov 22, 2011 at 23:29
Tuesday, Nov 22, 2011 at 23:29
Yeh they are marking the prices down so they don't have to eat the extra 10%.
cheers
FollowupID:
745195