What a quick way to kill your business..

[Oldgamer]

Not the ones around here. We are paying for advertisement, much like my cable channels that have paid programming from 11pm till 8am.

I don't know what kind of shows you go to, so I am speaking from my experience and the ones I have been to.

 

[Oldgamer]

That is a dick move, to be sure. Using the resources that make a business more expensive and then buying from a business that is cheaper because it does not provide those resources is simply dishonest.


I certainly would not patronize any business that charges me to browse, but then I don't do the reverse either. If I have to go to Best Buy to see something to know whether I want it, then I'll buy it from Best Buy. If I'm buying online, I'll use online resources to make my decision.

These are two different things that are being talked about here.

Taking up a sales persons time with multitudes of questions and advice then not buying is kind of lame, but we are talking about a woman who wants to charge people money to enter her establishment and view her products.

I think Lotus summed it up quiet nicely on the marketing aspect of this. Scroll up if you missed his post.

 

[desura]

What would be smart would be for the store to force the manufacturers to pay extra.

 

[Oldgamer]

I'll answer,

By having a business model and practices that are condusive to growth vs. contraction.

Its not whether or not what the business is doing is justified, its whether or not its conducive to growth, and I assure you its not.

In markets where service is a distinguishing factor, charging for what your competition does not charge for is going to lead to a loss of business.

How are you going to pay the workers when your bankrupt? Its bad enough brick and mortar are already in rough shape and can hardly compete on price, lets introduce policies that are counter to service, which by all accounts is the only competitive distinction from online business.

I might also add that this is poor customer service on this woman's part. Customer service is anything that can be done for the customer that enhances their customer experience. This is not a way to enhance her potential customers experience. No matter how accurately a business may see their definition of customer service, they still have to live up to what their customers think customer service is.

Going by the model of the five needs of every customer:

Service
Price
Quality
Action
Appreciation

Where does this owner of this business lack in her approach to charging her potential customers a fee to just view her merchandise? See the needs of the customer above.

There is a high cost for losing customers, and once lost is, it is very expensive to gain that lost revenue back. She is dooming her business if she takes this approach.

 

[Charles Kozierok]

The problem is how common the behavior is. I don't blame retailers for taking action either.

Of course, whether it will actually be effective or not is another matter. As others have suggested, they may just be shooting themselves in the foot.

I actually just sent a letter to Consumer Reports after I read an article where they actually suggested people go to stores to check out appliances even if they are going to buy them online. I was rather shocked that they would endorse this sort of thing.

 

[Oldgamer]

The problem is how common the behavior is. I don't blame retailers for taking action either.

I actually just sent a letter to Consumer Reports after I read an article where they actually suggested people go to stores to check out appliances even if they are going to buy them online. I was rather shocked that they would endorse this sort of thing.

Why not? They are showing people how they can better price shop. How to go about finding a product for the best price and do comparisons.

 

[Oldgamer]

BestBuy recently said they were changing their tactic because they realized many of their shoppers were just there to look at stuff, then would go to other vendors and buy it cheaper.

Because of this, they are now pricematching Amazon, Tiger, etc... Basically all the popular places that usually ALWAYS beat them on price.

Honestly, now I'm more apt to go into a best buy and buy something if I know I can get them to match Newegg or Tiger.

Frys does the same thing, and it is very effective. This is a fantastic marketing ploy to gain new customers and keep current ones.

 

[Jaepheth]

Clearly we need to have retail employees work for tips.

This way good service will be rewarded. Also, brick and mortar stores can remain competitive because they'll be able to take advantage of the same loophole that restaurants do and not pay the floor employees minimum wage (in many states).

 

[Jeffg010]

It is funny how many people think this is stupid but Costco who charges a membership fee is doing the same thing. People on this board think Costco the best B&M store out there. Yes it is a one time fee per year but it is the same thing charging people to shop there.

 

[Charles Kozierok]

Why not?

Because it is encouraging freeloading. That is not in the best interests of consumers, because that behavior, if it doesn't stop, will eventually lead to the end of many retail stores as we know them today.

 

[jackschmittusa]

Charging admission to an ordinary store is stupid (the business model of offering discounts and perks for a membership fee is different). They would never get my business.

The customer experience is of paramount importance for any retailer. You create a negative one like this before the customer even gets gets in the door and you will lose.

I buy where I shop when it comes to brick and mortar stores and have preferences about where to shop first based on past experiences.

 

[Oldgamer]

It is funny how many people think this is stupid but Costco who charges a membership fee is doing the same thing. People on this board think Costco the best B&M store out there. Yes it is a one time fee per year but it is the same thing charging people to shop there.

Places like Sams and Cosco actually give value to what you are paying in the way of a membership fee. You are getting substantially lower prices and with that membership fee you also get coupons, and discounts, and rebates continually through membership. They aren't charging you a membership fee just look at their merchandise.

There is no value to the customers by charging a fee just to look at the product when they can simply go to another store or go online and view that same product and its cost for free.

 

[Oldgamer]

double post

 

[Oldgamer]

Because it is encouraging freeloading. That is not in the best interests of consumers, because that behavior, if it doesn't stop, will eventually lead to the end of many retail stores as we know them today.

What is the customer free loading? To look at this woman's merchandise and view her prices? How is what this woman is doing going to enhance her customers experience?

 

[Jeffg010]

Places like Sams and Cosco actually give value to what you are paying in the way of a membership fee. You are getting substantially lower prices and with that membership fee you also get coupons, and discounts, and rebates continually through membership. They aren't charging you a membership fee just look at their merchandise.

There is no value to the customers by charging a fee just to look at the product when they can simply go to another store or go online and view that same product and its cost for free.

Oh really I get tons of rebates, 2% gas and groceries and coupons from plenty of B&M stores and these places have no membership fees. Spin it all you want it is the same thing.

 

[Oldgamer]

Oh really I get tons of rebates, 2% gas and groceries and coupons from plenty of B&M stores and these places have no membership fees. Spin it all you want it is the same thing.

If you feel that you are getting value in paying a fee to walk into a business to simply view their merchandise and comparison shop, then have at it. More power to you, its your money. But I can guarantee you the majority of people out there will feel differently and will feel the need to be more frugal with their money.

 

[Charles Kozierok]

What is the customer free loading? To look at this woman's merchandise and view her prices? How is what this woman is doing going to enhance her customers experience?

Retail stores charge more than online stores because they have to pay the costs associated with having showrooms -- rent, heat, air conditioning, lighting, fixtures, maintenance, repairs, salaries, payroll taxes, benefits, and so forth.

If you go in to use the showroom of a store, and find something you like, and then refuse to buy from them because you can get a better deal online, you are freeloading off of that store.

 

[MomentsofSanity]

Retail stores charge more than online stores because they have to pay the costs associated with having showrooms -- rent, heat, air conditioning, lighting, fixtures, maintenance, repairs, salaries, payroll taxes, benefits, and so forth.

If you go in to use the showroom of a store, and find something you like, and then refuse to buy from them because you can get a better deal online, you are freeloading off of that store.

I've shopped like that for decades, long before the proliferation of online retailers. I still don't really buy things online but suddenly I would have to pay just for the priviledge of seeing what is offered and what price by a merchant?

Seems counter productive to someone like me. I will spend a lot of time before I make a major purchase comparison shopping, checking for sales etc... You charge me to go in and look I just won't even consider your establishment in my decision making out of principle.

 

[waggy]

Retail stores charge more than online stores because they have to pay the costs associated with having showrooms -- rent, heat, air conditioning, lighting, fixtures, maintenance, repairs, salaries, payroll taxes, benefits, and so forth.

If you go in to use the showroom of a store, and find something you like, and then refuse to buy from them because you can get a better deal online, you are freeloading off of that store.

that's just fucking stupid..

 

[Midwayman]

The business went from having some chance at getting some of my money to having no chance at getting any of it. Good luck with that business model. Charging to go into a store is dumb. Charging for a consult with a rebate on purchase I could see. If I can't even look around first it is an automatic no-go.

 

[s0me0nesmind1]

BestBuy recently said they were changing their tactic because they realized many of their shoppers were just there to look at stuff, then would go to other vendors and buy it cheaper.

Because of this, they are now pricematching Amazon, Tiger, etc... Basically all the popular places that usually ALWAYS beat them on price.

Honestly, now I'm more apt to go into a best buy and buy something if I know I can get them to match Newegg or Tiger.

Slightly off-topic - but I hate the concept of "Price Matching" fucking price matching, beat their fucking price or shut up. The fact that you're not pricing with your competitors in the first place is enough for me to say screw off - but to say "Oh no don't go, we will MATCH that price" is laughable.

 

[waggy]

The business went from having some chance at getting some of my money to having no chance at getting any of it. Good luck with that business model. Charging to go into a store is dumb. Charging for a consult with a rebate on purchase I could see. If I can't even look around first it is an automatic no-go.

/this

 

[Charles Kozierok]

that's just fucking stupid..

Thanks for your thoughtful counter-argument. :whiste:

I still don't really buy things online but suddenly I would have to pay just for the priviledge of seeing what is offered and what price by a merchant?

You wouldn't. Most people wouldn't. I agree that this particular move is probably counter-productive, I'm just sympathetic to the store owner, because of all the freeloaders out there who abuse the services that retail stores provide.

 

[lotus503]

Oh really I get tons of rebates, 2% gas and groceries and coupons from plenty of B&M stores and these places have no membership fees. Spin it all you want it is the same thing.

Its not the same thing at all.

1 proposes charging people for entering a store and looking around.

the other is charging for membership (which has its privileges).

Its a difference is perception of the marketing of the business in question perception is reality in the sales and marketing world.

 

[lotus503]

Retail stores charge more than online stores because they have to pay the costs associated with having showrooms -- rent, heat, air conditioning, lighting, fixtures, maintenance, repairs, salaries, payroll taxes, benefits, and so forth.

If you go in to use the showroom of a store, and find something you like, and then refuse to buy from them because you can get a better deal online, you are freeloading off of that store.

I have two types of purchases I typically make

1. Stuff I want and want a deal on
2. Stuff I want and don't want to wait for

Stores that offer the service I like are where I shop for #2

for number #1 its usually online with good return policies.

Whenever I am going to buy a television for example I go to the local best buy and window shop, they are always helpful, and thats why they get my business for #2, have a hard drive fail on my media server I usually run down to best buy and grab one.

Not because they have great hard drive deals but because I patronize places that give good service when price isn't a driver.


So no I am not freeloading when I window shop TVs at best buy yet buy online.