Misleading DSE sale on sony tv's this weekend

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mortonman

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# 36283 22-Jun-2009 20:00

A rant about misleading sales

Popped into DSE last night looking for a car stereo and got attracted to the sony tv's at the back. They had a KDL V5500 priced at $2399 incl the 20% off. I though 20% off is a good deal. Looking at the nice shiny full HDTV's my love for my SD panny started to wane. I did a bit of digging and ...
DSE has been selling the same TV since the 9th June for $2599. Their current flyer doesn't state that this model is on sale at $2599

The small print referred to the "everyday" price.

“Everyday” is deemed to be the product price prior to any discount. Where a product is already discounted the discount offer will be honoured. Should the discount be less than 20% off the everyday price it will be increased to a total of 20%. Offer is valid until the 22nd June 2009, no lay-bys, no rainchecks, no holds, no customer orders or store transfers."

I raised this at the New lynn store last night. They were pretty busy but one of the saleman said the everyday price was $2799 not the $2599 as in their brochure.

I went into the Wyndham St store this afternoon and asked them about the everyday price. Their saleman said the $2599 wasn't the everyday price. I asked him what the everyday price actually was. He had to look it up on the system not the website. The DSE system had the TV as $2899.

What annoys me is that DSE were selling the TV at $2399 (incl 20%) which would make the everyday price $2999 but 2 stores both thought the everyday price was less.

Noel Leeming and Bond and Bond both are selling the TV at $2399 and 2499 respectively. Their advertising material claims $200 and $100 of the price meaning both of these shops believe the "normal " price is $2599.

I have passed my moment of wishing to upgrade but wonder how many people purchased a TV this weekend believing they were getting 20% off but not realising that in fact it is 20% off a price that no-one at DSE seems to know about. Shops really should show the pre discount price so a proper judgement on the accuracy of the saving can be made.

I know the sony rrp s $2999 but DSE didn't state its based off the rrp otherwise it would have been a lot clearer.

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59 posts

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# 227499 22-Jun-2009 20:11

I would check out Harvey Norman - they have some pretty sharp prices on TVs
e.g. a couple of months ago I got the Bravia 40X4500 for $3300 ($1700 off retail). Sony also had a HT + PS3 (worth ~ $2000) for $200 promo. Might want to wait out for another promo - Sony seem to have quite a few of them!
Don't forget to haggle on prices. Always worth a shot!

mortonman

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# 227505 22-Jun-2009 20:17

Mine was more of an impulse thought of a good deal. What has annoyed me is the lack of clarity of sale prices.
I am from the uk originally and they seem to be a lot stricter on how you advertise and sell

NickiB

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# 227512 22-Jun-2009 20:36

Another tale to add the long list that continues to confirm DSE are totally going downhill. They treat their staff like crap too. Will be interesting to check their website tomorrow and see what the price returns to...

nOOb alert

Bung

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# 227524 22-Jun-2009 21:18

mortonman: A rant about misleading sales

The small print referred to the "everyday" price.

“Everyday” is deemed to be the product price prior to any discount. Where a product is already discounted the discount offer will be honoured. Should the discount be less than 20% off the everyday price it will be increased to a total of 20%. Offer is valid until the 22nd June 2009, no lay-bys, no rainchecks, no holds, no customer orders or store

Reading the Consumer Fair Trading Act comments it seems that the Commerce Commission tends to regard an actual price that's lasted 30 days as being the new everyday price.

rscole86

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# 227526 22-Jun-2009 21:19

Bung:
Reading the Consumer Fair Trading Act comments it seems that the Commerce Commission tends to regard an actual price that's lasted 30 days as being the new everyday price.

Yes, but that does not apply to supermarkets ;) Well its not enforced anyway.

billgates

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# 227539 22-Jun-2009 21:36

NickiB: Another tale to add the long list that continues to confirm DSE are totally going downhill. They treat their staff like crap too. Will be interesting to check their website tomorrow and see what the price returns to...

So does every other company. I enjoyed my time at DSE. If you have 1 bad store manager then you cannot expect the same for every other branches.

Do whatever you want to do man.

paradoxsm

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# 227558 22-Jun-2009 22:26

Such businesses have to be such cut-throat at the moment, it's a recession and margins are often very low in electronics and often only recovered in the huge margin on "extras" such as cables, optional accessories and batteries. Remember also the dollar is low against other currencies so prices may fluctuate.

mortonman

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# 227604 23-Jun-2009 07:44

paradoxsm: Such businesses have to be such cut-throat at the moment, it's a recession and margins are often very low in electronics and often only recovered in the huge margin on "extras" such as cables, optional accessories and batteries. Remember also the dollar is low against other currencies so prices may fluctuate.

Businesses should be cut throat with each other. It is called competition. Businesses using false advertising only cheats the consumer.

DSE have the TV back to $2599 today with no mention that it is a special price. The 20% calculator at DSE must have been malfunctioning.

Nice to know you can trust your friendly corporate these days!

srob

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# 227619 23-Jun-2009 08:35

An Interesting article on Stuff today regarding missleading sale price advertising.
http://www.stuff.co.nz/business/industries/2524874/Sales-snip-might-not-be-a-bargain-watchdog

Bung

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# 227637 23-Jun-2009 09:58

Over to you mortonman, email DSE with your complaint and a link to the Stuff story.

NickiB

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# 227648 23-Jun-2009 10:26

So does every other company. I enjoyed my time at DSE. If you have 1 bad store manager then you cannot expect the same for every other branches.

I note 'enjoyed', as in past tense, wheras I was highlighting that they are going downhill since recently and still ongoing. It's not my story to tell and it's way way off topic, but the issues my friend had went all the way to head office. In fact the store manager was great, so I stand by my comment that, on the whole, they are treating their staff like crap. I used to be in there every week for something, now I avoid it unless absolutely necessary.

nOOb alert

NickiB

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# 227688 23-Jun-2009 13:40

I'm with Bung, you should definitely follow up. Checked the website today, it's back to only $2599, which means the "20%" off was in fact more like 7-8%

nOOb alert

Johnnyrs

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# 229147 29-Jun-2009 11:11

I've noticed DSE has been doing this a lot recently - ie putting their everyday prices up and then calculating discounts from this price. It is completely illegal and against commerce commission rules. Naughty!!!

The practise is fairly recent as I bought a plasma 18 months ago and they honoured the 20% off the last price they advertised (which was $500 off the "RRP")

Ragnor

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# 229155 29-Jun-2009 11:24

What about Briscoes who have an amazing end of world armageddon 1000% percent off sale every other weekend?

I think the average consumer is savvy enough look at the real cost of what the item is at the point in time they are looking at it, then mentally compare it against the price at competitors that they know about.

Marketing fluff is and will always be marketing fluff.

Johnnyrs

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# 229200 29-Jun-2009 14:22

Briscoes does follow the "rules" though by starting at one price and discounting from there - not bringing it down then putting it up then down again - thereby confusing the customer. DSE's strategy appears to be an effort to do this...

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