Price Matching And Undercutting – The Alternatives

Have you ever wondered why people still shop at online stores where items cost more than at other stores? Why don’t those stores just price match or under cut their competitors?

Well, for one thing, bigger stores might have economies of scale but they might have higher overheads too. If price matching and undercutting is going to end up eating into profits, staying afloat might be a challenge.

So, stores like that bank on other methods to attract customers. They know they won’t attract everyone, but as long as the volume they attract can make them a profit, that’s all they need.

Proven Methods
The strategies these stores use are not new. However, they have been proven to work. Yet again, I shall use an example from sports shoe stores.

Return Policy
The bigger stores can afford to offer one thing that smaller ones selling the same items at a cheaper prices can’t – a 60-day Return Policy with a No Questions Asked Guarantee. You can actually return the shoes you bought if you do not like them within 60-days and get your money back. No strings attached other than you have to pay for shipping them back.

Free Shipping
They usually tie that in with free shipping just to add value to the offer. But that’s not all because if you want to convince people to choose you instead of the other guy, you’re going to have to throw in the kitchen sink as well. Or at least look like you’re including the kitchen sink. Perception is everything nowadays.

Toll-Free Numbers…With A Twist
So what else are these stores offering? Well, there’s a toll-free number shoppers could call to get advice on what kind of shoes to buy. This is not just useful to newbies but also to runners who would like to try a different type of shoe to suit a certain running style or race. It’s like getting professional advice for free.

Stores use the toll-free calls to cross sell products too. That’s one of the best times to do it especially after trust is gained. A well trained call specialist’s number one skill has to be listening…for opportunities.

If a caller says he is looking for a shoes that’s a bit wider at the forefoot because he keeps getting blisters, along with a pair of shoes, the call specialist could recommend/cross sell blister resistant socks and even suggest techniques the caller could use to avoid or treat blisters. That piece of advice alone could tip the scales in the store’s favor.

Recent Posts:

Similar Posts: