(Lousy) Best Price Guarantee - Worth Supporting?

cktftw on 27/08/2015 - 19:46

Is a lousy best price guarantee like Dan Murphy's really worth supporting?
They often just beat a competitor's price by 5 or 10 cents.
With say like Officeworks, where they actually beat the price by 5%, I can understand.

Take the recent Chivas deal for example.
By supporting DM, instead of 1st choice, aren't we just creating a monopoly?
1st choice will best thinking what's the point of them lowering the price, when everyone will just go to DM and get it for 10 cents cheaper.
In the long run no competitor would probably bother putting up a bargain anymore.

Until DM make their price beat guarantee something meaningful (at least 5%), I'd rather support the original competitor.

Financial

Comments

  • Settero on 27/08/2015 - 20:13

    um… are you going to drive to another store over 5 or 10 cents ?.
    the price guarantees keep prices relatively similar in different stores, this is a good outcome

  • ozhunter on 27/08/2015 - 20:38

    Pretty sure no one would drive to DM to save 5 cents. Likewise, if another store was 5 cents cheaper, you wouldn't go there(if DM is closer) to save 5 cents.

  • inherentchoice on 27/08/2015 - 21:14
    +1

    I love Jetstar's 10%.

    Even if Tigerair has a sale fare for $20 I still go to the extra effort of getting it for $18 on Jetstar. Plus it saves the $8 credit card fee so I can use the travel insurance on the credit card. Winning.

    • Maki on 28/08/2015 - 08:32

      I haven't tried to match flights…can we actually do that? The departure time are always different so they are not the "same product"?

  • DealzEddy123 on 27/08/2015 - 22:11

    No it's not worth supporting… dunno wat you're asking, you already know the answer

  • DealzEddy123 on 27/08/2015 - 22:12
    +1

    they do the price guaruntee thing to make people subconciously think their prices are unbeatable and make them the first stop for liqour

  • cktftw on 27/08/2015 - 22:20

    The reason I'm posting is hoping to get more people to support competitors..so the market becomes more competitive..and we all benefit

    • ozhunter on 27/08/2015 - 22:45
      +1

      Most people would always go to the store that is most convenient to them. No reason to go to the competitors to save a few cents. Some reasons that customers might go out of their way would be because of the past experiences, return policy, customer service, ease of warranty.

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