I sometimes feel a bit bad about price checking items in a local shop against the web. For example, I wanted to buy some climbing shoes recently. I have never bought a pair before, had no idea what I should be looking for and what size I should get. I went to a local climbing specialist, they talked me through the options, fitted me for a shoe, etc. At that point I could have left the store and bought the shoes on eBay for about 75% of what they would have cost in the store, but I didn't - I chose to pay full price because the store offered me a valuable service. If that store hadn't been there I couldn't have tried on the shoes. So I think there is a place for paying more for goods when you want/need extra assistance.<p>In the case of huge stores like BestBuy that are basically like a warehouse with pretty much no customer service except at the checkout I would have no problem buying from the cheapest alternative provider (Amazon/ebay/whatever).
The "Expected growth in merchandise purchases made on cell phones" graph in this article may be the worst one I have ever seen. They extrapolated an exponential growth curve from <i>one point</i>. They only have data for 2009! Not even 2010, much less the 2014 they plotted out to!
I'm hoping that this trend ends with the re-introduction of something I've long felt is missing from the American shopping experience. The ability to haggle.<p>Circumstances surrounding items in stores change by the minute. Things like demand, how long an item has been at a store, the fact that an updated model was just released, etc. American retail stores seem bound to the retail price set in the computer even when that price has been made absurd by unfolding circumstances. It would be much better if the staff were empowered to deal than to ship unsellables off to some giant auction house to get pennies on the dollar.<p>Of course, that would mean creating a chain of authority in stores ending with giving minimum wage employees <i>responsibility</i>. Then again, if you can give them a cut for upselling those ridiculous "monster" cables, they may relish the opportunity.
I go to Borders all the time to find things I should buy on Amazon. I rarely buy anything. Why would I when I can get the same book half price and have it in 2 days (or now instantly on my Kindle)? Borders doesn't offer enough additional value to make me feel bad about this. I'd have to be stupid to pay their premium.<p>Yet, when I buy fly fishing equipment, I almost always buy from a local store—and even the "big box" store, Orvis, offers a fantastic in-store customer experience. Why am I loyal? Because they don't try to sell me crap. They let me hang out and talk fishing. They help me find new spots and learn about new techniques. There's a huge value add, and I'm willing to pay a premium.<p>Big box stores put a lot of mom and pops out of business in the 90s and 2000s. Now they're getting killed by online retailers. I'm not sure who's going to take out Amazon, but I wouldn't be surprised if there's some level of resurgence when it comes to local retailers who focus on service.
People need to square up in their heads that the retail experience necessitates higher prices. If you don't want to pay the higher prices, that's fine - but then what are you doing in the store in the first place? Pretty much everything is cheaper online. If you need to go to best buy or borders to find the product you want on amazon, the whole process is unsustainable.<p>Also, just like supporting locally owned business, supporting locally operated business is in your best interests. They create local jobs and contribute to the local tax base.<p>I know this isn't a popular opinion, but the sales tax disparity needs to go. The states get triple penalized by it - lack of tax revenue, lack of jobs and it creates a disincentive to online retailers to spread their operations. Maybe they all need to drop it entirely and raise income taxes to make it up (which isn't a bad idea, sales tax being at least somewhat regressive). If not, they need to find a way to collect it.<p>I have no doubt that this trend will accelerate though, I am guilty of doing it myself. Just like we didn't really realize what we had lost with local farming and the corner hardware store until they were mostly gone, we probably won't realize how much we miss local retail until there a huge portion of goods simply can't be found in person.
At least shoppers with bar code scanners are still visiting stores. What should really be striking fear and terror into the hearts of retailers are shoppers who never set foot in stores anymore, people who, like me, order everything online.
Instead of checking the price, I check on the reviews for the product while I am in store, especially if that product is something I am not familiar with. Recently I went to shop for a compact camera with no particular brand in mind, I went to the shop, checked out what's on offer, and read the reviews on the spot via my iPhone. This process helped me to weed out a few cameras, and finally I got a camera (Canon Ixus 130) at a price that I am happy with. Since I already know the pros and cons of this camera, I must say I am quite happy with my purchase as it removes a lot of uncertainty from the purchase (No, AFAIK, most shops in Singapore don't provide refund or exchange for purchases...)
I wonder if there's an opportunity here. What if you had a store where you couldn't actually buy stuff (well you could order stuff from affiliate partners) and it cost money to enter?<p>Sort of like a fair but always running and on a central position. A gadget paradise of sorts. I think it would work.
While it's true that this trend favors those who are price leaders, there is another opportunity. As people are connected with reviews, content, and comments from other users new conversations can take place between the retailer and their customers.<p>That's an opportunity for retailers to do targeted marketing with deals, specialized advertising and in store games, so that they are not just competing on price but on the long term relationship and buying patterns of the customer.
Best Buy doesn't care about people price checking GPS units, they care about people price checking HDMI cables. Watch for cell blockers to be installed near the cable isle.