I found it cheaper on the Internet!
Posted by John Deery
Don’t you love shopping on the Internet? You can research items to learn more about features and benefits, find lots of selection, cheap prices, and have things shipped to your home in a few days. There is no need to contend with waiting in line to pay – and no having to deal with annoying salespeople. Oh wait – you own a retail store and you don’t want people to shop on the Internet. You want them to shop in your store. Hmmm….
Or, how about when customers (many these days) comes into your store and you spend lots of time with them and when they’re ready to buy they ask you for a discount and say, “I can buy it on the Internet for a cheaper price.” Don’t you get annoyed? What’s a retailer to do?
I am a co-owner of a company that sells Point of Sale Systems to retailers. And guess what? My customers (you - retail store owners) do the same thing to us. We provide valuable services, research retail software and point of sale hardware devices (POS scanners, POS printers, etc.) that work perfectly with them. We’ve had retailers ask us for ‘make and model numbers’ so they can buy them on the Internet. I’m reminded of the story of the person who brings a steak into his favorite restaurant and asks them to cook it – medium rare please.
The question is - what do you say to people when they ask you for a discount because they can buy it cheaper elsewhere? If it’s a legitimate competitor down the street, that’s one thing. (I addressed that in a previous blog.) If it’s the Internet, that’s quite another. The customer seeking an Internet discount clearly places no value on you having taken the time to research the products you’re selling. They don’t appreciate the fact that they can touch and feel the products in your store. Nor, do they value how you intend to stand behind want you sell. Does the Internet reseller have a stake in your community and give back to that same community in ways that are meaningful?
Perhaps they do value all of the above. Hey, they’re standing in your store, ready to make a purchase – and they just want a discount. Other retailers have taught customers they should ask for one. If you’re not going to give a discount, it’s your job to tell them why.
If you have:
- Carefully selected your products – tell them why what you sell is unique and better
- Assisted them in making a careful and well-thought-out selection – remind them of as much
- Stand behind what you sell – tell them why and how they can trust you because you intend to be here a long time
- Give back to the community – tell them how and why it’s important (10% of our profits go to…)
If you do none of the above then match the price, or risk having them walk. That’s the only value (price) you provide.
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If you're researching POS software, here's a handy way to organize that research so you can ask the same question of every vendor you speak with. POS Checklist.
