JB Hi-Fi sees end to deep discount campaigns
JB HI-FI boss Terry Smart has called an end to the aggressive price war in home electronics that last year delivered shoppers big discounts on TVs and other entertainment goods but which hacked away at retailer margins and cost hundreds of millions of dollars in sector profits.
Mr Smart said the consumer would still be in the box seat to get great deals, although they should not expect the kind of steep discounting battles that sometimes included a buy-one-get-one-free offer as leading retailers panicked and dumped stock at any price.
In general, the consumer electronics category does not have as big a price gap to close compared with other categories such as apparel and cosmetics that for years have been sold in Australia at inflated prices.
Australia has been described as ''treasure island'' by retail industry observers because hapless consumers have been overpaying relative to the rest the international community and suppliers have been making a big margin out of it.
(This is a major reason Apple and Microsoft have been ordered to appear before a parliamentary committee and explain why Australian consumers pay far more than those overseas for information technology goods).