View Full Version : why do on-resellers play games with showing pricing??


david(dallas)
10-27-07, 10:55 AM
Why do some online resellers require you to add the item to the cart before they will show you a price? A couple of site sponsers require this along with some on Amazon.
Example, I see this when shopping for a Pioneer Plazma.
Is it somehow related to Pioneer not wanting onliners to quote prices and they get around it this way? Or possible some other reason. A strange practice..

Supergiant
10-27-07, 11:56 AM
I'd like to know this as well. I doubt anybody will go "Oh well I have 3 plasmas in my cart, I guess I have no choice but to pay for them now.." What's up with this?

creemail
10-27-07, 12:06 PM
The reason is that manufacturer's have strict pricing guidelines for most retailers. It is a function of the manufacturer and not the retailer. If the retailer says you have abide by certain rules in order for them to sell that product they are willing abide their rules.

Chris

powerdog
10-27-07, 01:30 PM
I think it's because they agree with the mfr to not go below a certain advertised price, but by putting it in the cart, clicking "show me a better price", "email me a better price" etc. you're technically requesting an individual quote that can be lower. It's a technicality, but that's how it works for a lot of consumer goods. Roman, am I off base here?

deadcrowsflywest
10-27-07, 01:38 PM
strict pricing guidlines...

I'm sure a degree they have some...and some legalities as well..but when seller A does this and seller B>F do not that kind of erases that theory or makes it seem like something else is going down....


can you see it now...

I am head of pioneer and in order for u to sell our TV's u must have potential buyers place them in they're online shoppoing cart to show the price....Our studies show that 10% more purchases occur this way..lol..and I wouldn't doubt it

I think it can it be done for more trafficing and clicks..but, again...that's just a guess.

creemail
10-27-07, 01:42 PM
Also factor in that most manufacturer's would prefer for retailers to stick with MAP pricing. 9 times out of 10 this doesn't happen, but their are guidelines within companies contracts to retailers that explain that....

Chris

powerdog
10-27-07, 01:51 PM
I'm sure a place like Crutchfield does very well selling to people who want nothing but the list price. No "add to cart" tricks...just top dollar for those who want a simple transaction and need advice/handholding by the salespeople.

GC3
10-27-07, 02:33 PM
Also factor in that most manufacturer's would prefer for retailers to stick with MAP pricing. 9 times out of 10 this doesn't happen, but their are guidelines within companies contracts to retailers that explain that....

Chris
people...please read creemail's statement (not that these guys need me to defend them)...there are no "tricks" involved...my understanding of how this works is that online resellers sign MAP (manufacturer advertised pricing) agreements in order to become "authorized" dealers....they agree not to advertise below that price...that doesn't mean you can't ask for a lower price and they can't sell at a lower price...if you believe they are trying to hoodwink you then just stick with BB, CC, and B&Ms...and take what you can get haggling face to face

go research "MAP" before jumping to conclusions

powerdog
10-27-07, 03:36 PM
I for one do NOT believe they're trying to hoodwink me. I just mean that it feels like a fairly insubstantial barrier to getting the real price. You see $500 listed, it has a button that says "email me a better price," and its pretty obvious the listed price isn't what you'll pay. So they're not advertising an amount, but they are advertising that they actually charge less.

QZ1
10-27-07, 07:14 PM
Authorized online retailers are frequently in price search engines (and, always in general search engines), so, this way, the selling price is not directly accessible for those price shopping. One has to go to the authorized retailer site, despite the price, and add the item to the cart, to see the lesser price.

Cleveland Plasma
10-27-07, 07:34 PM
online resellers sign MAP (manufacturer advertised pricing) agreements in order to become "authorized" dealers....

That is correct, actually these agreements state much more that that.

RUSTY PELICAN
10-27-07, 08:18 PM
my understanding of how this works is that online resellers sign MAP (manufacturer advertised pricing) agreements in order to become "authorized" dealers....they agree not to advertise below that price...that doesn't mean you can't ask for a lower price and they can't sell at a lower price...if you believe they are trying.

Yeah, but the "local authorized dealers" and their newspaper printed ads don't hide the sale price. For example, you'll see the 50" 720p Panasonic PX75U shown with the MSRP $1999, but also the "save $600" right below [or $1400 net price right now at Fry's Electronics].

Why should the "online" price be initially hidden, when you're 1-2 clicks away from seeing the real sale price? Well, unless it's like Costco's website, which for the items required to add to the cart [for the sale price], you actually have to set up an online account, and log-in to see the net sale price.

GC3
10-27-07, 10:40 PM
Yeah, but the "local authorized dealers" and their newspaper printed ads don't hide the sale price. For example, you'll see the 50" 720p Panasonic PX75U shown with the MSRP $1999, but also the "save $600" right below [or $1400 net price right now at Fry's Electronics].

Why should the "online" price be initially hidden, when you're 1-2 clicks away from seeing the real sale price? Well, unless it's like Costco's website, which for the items required to add to the cart [for the sale price], you actually have to set up an online account, and log-in to see the net sale price.

1. MSRP not equal to MAP

2. Sometimes, the "add to cart" is a device to simplify the dealer's life by facilitating quick and easy price changes to respond to market forces...for example if you have been tracking the price of the denon 605 receiver at "One-Call" you will have observed the actual selling price has actually RISEN $30 over the last 30 days or so...

creemail
10-27-07, 10:48 PM
That is why its important to have an extensive e-commerce shopping cart software to help facilitate and manage pricing. Their is nothing to hide with retailers. Some retailers prefer to do business this way. It provides one on one customer interaction, but some customers prefer to add the item(s) to their shopping cart without any interaction. I can completely understand the customer's reaction to this....

Chris

powerdog
10-28-07, 09:29 AM
What I like least is the requirement to phone for the actual price. Telephone is not an appliance I enjoy using. However, I will say that Roman and his crew -- just made a purchase from them -- were as pleasant and efficient as everyone says.

chaz01
10-28-07, 04:49 PM
I'd like to know this as well. I doubt anybody will go "Oh well I have 3 plasmas in my cart, I guess I have no choice but to pay for them now.." What's up with this?

LOL

Whatever the reasons or agreements, it's just plain dumb. We all click on "add to cart" and then remove form cart or exit window to check price. OK, so price search engines are omitted. that is a valid reason I suppose, but for the less lazy, there's always surfing prices (which we all do I'm sure).

Wouldn't it be funny if the BM stores did this. "Excuse me salesperson, how much is this 100" plasma?". "Well sir, you'll have to add it to your cart and go stand in line to find out".

RomanInvision
10-28-07, 07:05 PM
I will make this easy for everyone. Pioneer does not allow to list pricing so they have restrictions and that is why some sites say call for pricing or add to cart to see the price. :)