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View Full Version : Best Buy's Anti-Sales Trick People Into Overpaying for Computers



jetdawgg
05-24-10, 10:16 PM
How's this for scummy? Lately, Best Buy has been raising the price of and advertising one computer per week. People assume its on sale and get suckered into overpaying for items that drop in price the following week.

A Consumerist reader noticed the trend and broke it down:

In this week's ad, there is a Dell, sku 9693191, for $649.99. Regular price is $629.99. An HP, sku 9705373, is advertised for $699.99; regular price is $649.99. Last week, a Toshiba, sku 9705221, was advertised for $499.99, this week it's back to regular price, $479.99. Likewise, a Dell, sku 9693191, was advertised for $649.99 last week, and this week it's back to its regular price of $629.99.
Now, this isn't false advertising, as Best Buy never claims these items are on sale. But by sticking them in their weekly ads with the prices highlighted, they're certainly giving the impression that they are. So when someone sees the ad, assumes the computer they want is available for cheaper than normal and then buys it, they're essentially paying an idiot tax for not doing their homework.

It's pretty low, even for Best Buy. So much for building trust with your customers! [Consumerist]


Send an email to Adam Frucci, the author of this post, at adam@gizmodo.com.

How's this for scummy? Lately, Best Buy has been raising the price of and advertising one computer per week. People assume its on sale and get suckered into overpaying for items that drop in price the following week.

A Consumerist reader noticed the trend and broke it down:

In this week's ad, there is a Dell, sku 9693191, for $649.99. Regular price is $629.99. An HP, sku 9705373, is advertised for $699.99; regular price is $649.99. Last week, a Toshiba, sku 9705221, was advertised for $499.99, this week it's back to regular price, $479.99. Likewise, a Dell, sku 9693191, was advertised for $649.99 last week, and this week it's back to its regular price of $629.99.
Now, this isn't false advertising, as Best Buy never claims these items are on sale. But by sticking them in their weekly ads with the prices highlighted, they're certainly giving the impression that they are. So when someone sees the ad, assumes the computer they want is available for cheaper than normal and then buys it, they're essentially paying an idiot tax for not doing their homework.

It's pretty low, even for Best Buy. So much for building trust with your customers! [Consumerist]


Send an email to Adam Frucci, the author of this post, at adam@gizmodo.com.

http://gizmodo.com/5546203/best-buys-anti%20sales-trick-people-into-overpaying-for-computers

TinDragon
05-24-10, 10:28 PM
Idiot tax. I like it.
As much as I hate to say it, I gotta side with Best Buy on this one... they're just using Darwinism to their advantage. Kinda sleazy, yeah, but seriously, all people need to do is like a 5 minute Google search to avoid getting caught on this.

hussaf
05-24-10, 10:55 PM
Wish I was Best Buy.....never trust a chain store anyway. But then again, I'm a research hound when it comes to making (expensive) purchases....plus I often pay more to support a local business (or I'll pay more for better customer service).

FattyTheFerret
05-25-10, 01:26 AM
they're essentially paying an idiot tax for not doing their homework. good with me. this is the "free market" at work

Best Buy is one of the worst places from which to buy a computer. At least it's not as bad as buying one from the PX/NEX/MCX/AAFES. Even less homework done...

WXSgt
05-25-10, 11:33 AM
lol i just bought a computer this past saturday from them. but *****ed my way into them way lowering the price ended up getting over 100 off of everything i got. but on the same note a computer with the same specs elsewhere would have cost me over a grand tower only mine cost 680

Zulu 36
05-25-10, 12:07 PM
Caveat emptor.

indygti
05-25-10, 12:48 PM
That's we in the bizz call "marketing."

While slightly off topic, this post reminded me of a tactic one of my business professors used when he was regional manager for Kroger Groceries. During thanksgiving they implemented a "10 for $10" sale on stuff like canned sweet potatoes, green beans, rolls, etc. The consumer thought, "Oh cool, 10 things for a dollar a piece, that's a sweet deal!" When in reality, canned green beans were original advertised at 69 cents, or whatever the actual price is. So they were really getting price gouged while they thought they were saving money. He ended up making the company millions because from this marketing plan. Needless to say, he doesn't have to work very hard the rest of his life.

hussaf
05-26-10, 02:37 PM
I had a relative that worked at Best But and he said that computers and such are usually a really good deal and not priced much more over what they pay...but that peripherals, cables, and the like are all like 200% marked up. But this was like 10 years ago.

temarti
05-26-10, 02:43 PM
there is little to no margin in computers and TVs, however you are right about the accesories there is plenty of margin there, 200% is a bit high, 45 - 65% would be reasonable

oldtop
05-26-10, 03:28 PM
@jetdawgg...my brother this surprises you????? This is, and has been a tactic used by retailers for years and years. Every retailer from department stores to grocery stores pull this one, put an ad in the paper or on tv for a particular "sale" item..jack up the price of the "sale"item, and then show the "discount" with an out the door price that is higher than the normal retail price. Jewelry stores are known for using this tactic also. Seems that all you need to do with some folke is put the word SALE on an item, and they will buy it, even when the SALE price is higher than the regular price. Same - Same with DIET foods...put DIET on it and it sells, even if it has more calories and fat than the non-diet marked product.
Welcome to the wonderful world of sleazy marketing...PS...DON'T go to a used car dealer my friend, you're likely to really get your feathers ruffled!!!LOL

Wyoming
05-26-10, 04:14 PM
How come 12.99, or 25.99 or 20.99?
Why not just 13 or 26 or 21?

Same ****. 12.99 sounds less than 13.