Commerce Commission watching "Sales" from retailers

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tripp

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# 214438 11-May-2017 16:48

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Lets hope retailers start playing by the rules a bit better, I know of more than 1 IT retailer that falls into the "Exaggerated discounts" area

http://www.nzherald.co.nz/business/news/article.cfm?c_id=3&objectid=11853710

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# 1779759 11-May-2017 16:53

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But what will the Briscoes lady do for a job if she can't advertise their best ever sale every week.....

mattwnz

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# 1779760 11-May-2017 16:55

I have been concerned about this for a while myself, and did contact them about one retailer recently. But I have noticed it elsewhere too. Didn't hear anything back, but maybe they are using my example in support of the other concerns they have had. More people though do need to report things they see, as at the end of the day, it isn't good for consumers. Personally I would prefer to see lower everyday pricing, rather than 'sale' rotations.

tripp

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# 1779768 11-May-2017 17:06

Here is an example

1 retailer saying RRP for an on sale item is $120.20 excluding gst

http://www.aquilatech.co.nz/productDetail.asp?idProduct=NETXCL1002

Another retailer saying its $128.99 excluding gst

https://www.pbtech.co.nz/product/NETXCL1002/Xclaim-Indoor-Single-Band-24GHz--5GHz-Selectable-8

mattwnz

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# 1779785 11-May-2017 17:45

Although the RRP could have changed between when two companies uploaded the product.

Another one that I have seen recently, is a NZ company advertising 'best prices'. But then discovering that their prices were more than the RRP of the manufacturer, and were double that of another NZ retailer. Best prices to me, means the lowest price.

DarthKermit

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# 1779786 11-May-2017 17:49

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The word 'sale' just makes me roll my eyes these days. Don't care what they're tryin' to flog off.

mattwnz

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# 1779789 11-May-2017 17:56

I don't mind them as long as they only occur a few times a year. I believe France has it right, where they limit sales, and means consumers are buying a good price throughout the year. Nz has a lack of competition in many areas, so for many things, especially building related, we do pay though the nose. I am buying building products at the moment, and it is amazing the price difference between the RRP and the price you can get by shopping around. On average I am probably saving 30% ish.

kobiak

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# 1779810 11-May-2017 18:33

last time I bought something just because it was on sale, 2 years ago, the warehouse, boxing day.

We needed AA batteries as we stopped at shop on the way to camping. Missus saw box of chocolate for $5 and big sale sign. I was like, yeah, let's grab it.

2 weeks later, we stopped at the warehouse again. Same box of chocolate normal price of $3.50...

Retailers lost me that moment. Before buying anything now, I will double check pricespy/priceme/competitors/overseas. I'm very glad if ComCom penalise big name retailer some big millions for their dirty tactics.

helping others at evgenyk.nz

sbiddle

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# 1779826 11-May-2017 19:09

I purchased a new office chair from Warehouse Stationery about a month ago. After having missed their prior sale 2 weeks earlier (due to no stock at the store I went to get it from) and the one prior which was 2 weeks before that I finally got one.

If you look at their pricing they basically put one of their chairs on special for 50% or so off and alternate it every week. If you miss it on special you just have to wait a couple of weeks for the same model to come on special again.

mattwnz

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# 1779853 11-May-2017 19:57

sbiddle:

If you look at their pricing they basically put one of their chairs on special for 50% or so off and alternate it every week. If you miss it on special you just have to wait a couple of weeks for the same model to come on special again.

Doesn't the law say that something on special, has to be on special for a lessor time, than it is on the market at the regular price, if they are to claim it is being discounted. eg Full price for 2 weeks, then on sale for a week, then back at full price for 2 weeks, then back on sale for a week. etc. So many retailers are probably fully complying with the law. It could be the the law needs to be rewritten

sbiddle

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# 1779860 11-May-2017 20:12

mattwnz:

sbiddle:

If you look at their pricing they basically put one of their chairs on special for 50% or so off and alternate it every week. If you miss it on special you just have to wait a couple of weeks for the same model to come on special again.

Doesn't the law say that something on special, has to be on special for a lessor time, than it is on the market at the regular price, if they are to claim it is being discounted. eg Full price for 2 weeks, then on sale for a week, then back at full price for 2 weeks, then back on sale for a week. etc. So many retailers are probably fully complying with the law. It could be the the law needs to be rewritten

You've hit the nail on the head. What many of these retailers are doing is not illegal, but simply dodgy.

The problem from a retail perspective is that Kathmandu single handed pretty much screwed the entire retail industry in both NZ and Australia. They lead customers to believe that a sale should be 50% off, which in turn has lead to a retail industry where inflated everyday margins to allow for heavy discounting are now the norm at many of our big name retailers.

coffeebaron

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# 1779867 11-May-2017 20:27

@sbiddle will be pleased with no more traffic jams as Godfrey's will no longer be able to have their amazing once in a lifetime vacuum cleaner sales every week.

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