Saturday, March 17, 2007

Do retailers discounts mean anything?

Retailers are concerned about the reaction from customers on deals and discounts that they offer consumers. With so much information available in the media and comparison shopping, consumers often know the prices of the products and realize that they are not really getting a discount. The recent expose about Tesco doubling its prices of fruits and vegetables one week and then offering a 50% discount a few days later has caused discontent among consumers. The problem could be attributed to the fact that consumers expect discounted prices regardless of what price they are paying or what product they are buying.

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