Check out how one shop that looks like a newsagency but is not a newsagency in Melbourne is promoting Christmas cards. Their pitch is up to 70% off. The sign should say up to 70% off a retail price we made up that has no real connection with what we actually paid for this stock.
Looking at the stock as I did yesterday, I doubt any of the cards would ever have been priced in retail at $16.95 as they claim on their sign. Their pitch is inaccurate in my view.
At $4.95 the price is about right for these cards. They are nothing special. Some appear to be remainder stock from last year while others are cards I’d expect in a discount variety store.
My initial reaction is to be frustrated at this retailer making what I think is a dishonest pitch and in doing so taking business from the nearby newsagent and card retailers. The reality is we cannot legislate that our competitors act honourably and ethically. All we can do is ensure our offer is the best it can be in terms of value and its presentation.
retailers promoting only on price may get sales for some of their deals but they will not attract loyal shoppers as their shoppers will remember price ahead of range, experience and value. Give people a brand or specific product they really want and price is less of an issue.
Mark, if these cards were never for sale for $16.95 then this retailer is in breach of fair trading laws and can be prosecuted.
Dean it’s a hard case to prove without their invoices as evidence. I’m comforted by their awful display.
The onus is on the retailer to prove that they sold them at $16.95 (as they claim on the sign). What they paid for the cards is irrelevant.
I believe one of the jewellery franchises was prosecuted for precisely this type of false advertising. But who will police it.
Mark
you say it looks like a newsagency but is not what do you mean by that?
Andy, just that. This shop looks like a newsagency: cards, diaries, calendars, lotteries, gifts. But it’s not a newsagency.
Mark
I don’t understand why it is not a newsagency if sells all these things why is it not a newsagency?
It has no magazine department. Also, it is a dirty, disorganised and appalling shop. It does not deserve the shingle.
I have a shop across from me that has red SALE signs plastered all over it year round. Some say “50% off” whilst others say “up to 80% OFF”
The fact is, there never is a sale. The stock is put out at and advertised as being on “SALE” from the word go. I know this from staff that work in there. They have never reduced an item to a lower price from when it goes on display.
Obviously the owner truly believes that the big red signs are irresistible to visitors to the area which is what he preys on.
Aside from looking very ordinary and poor retail practice there must be some law against this rubbish?
My husband was a ticket writer when they were all done by hand. One of his clients always had “Closing Down Sales”. He never closed and we can only assume he did close his shop at the end of the day and re-open the next!
Terrific story Carol.