PAYING THE PRICE: Desperate retailers race to the bottom with tantalizing false hope of low prices

Desperate, delusional retailers believe low-balling fearful consumers will cause a stampede of business. Not in this new world.

Doing what you’ve always done only gives you want you’ve always got. At best, some possible short term success, but long term brand and credibility erosion.

Who cares, as long as you’re doing something-anything to drive business, even if the feel good activity of selling price actually masks sustainable accomplishment of transporting people to comfortable living.

The holy grail of price merchandising is wholly full of holes. And the first rule of holes is: Stop digging and praying that preying on consumers with low prices to get’ em into the stores is nothing more than mercantile idolatry.

There’s a war out there. On the battleground, applying the weak bandage of questionable low prices can’t stop the bleeding from a terrible economy and some avoidable self-inflicted wounds. From decades of neglecting to prepare for the real fight for survival, many retailers have become their own worst enemies.

They have fought with insufficient ammunition. Lacking consumer knowledge and discipline, mercenary merchants have battled with hollow price bombast, diversion and gimmickry to lure cautious, suspicious and smart consumers who can’t be shell- shocked to take the bait to be switched.

No quick solution, no matter what the traffic darling-charlatans shout, stomp and stammer about driving quick bidness. The quick answer for sustained business takes time, and the time is now for merchants to start becoming a dream destination for people wanting to live more comfortably.

That’s the story that trumps price. Always has and always will. Especially now, when people wisely want to invest whatever discretionary money is left after paying all the higher prices fuel and food. No fueling, no business.

The counterintuitive way to persuade consumers is stressing the lasting virtue and value of comfortable living, with emphasis on the importance home life — family, friends and fun. Given the cost of gasoline, people are staying home.

It’s time for a return of the progressive dinner party. Designers, merchants and retailers are mercantile chefs who can dish out nutritious comfort. Yum, Yum.

Put comfort and better living on your marketing plate to earn the right for a tasty dessert of sustaining business.

Comments

[Wholesale Furniture Brokers]

You have emphasized a very good point here Ivan. Online and offline, many retailers have jumped on the price cutting bandwagon, and from talking to customers, it must work in many scenarios. The biggest chains still advertise the lowest prices. It's easy to communicate a low price in an ad, it takes more time, space, and creativity to advertise customer service, added value, trust, and credibility. This is when taking care of your existing customer is so important. They're the ones that will send you the quality business you're looking for.
Sincerely,
Dave Zirnhelt
Wholesale Furniture Brokers

[furnicologist]

pricing ,does 199 sound familiar, how about 199$ does that ring a bell., try 199 ,now that price point is a winner. forbidden shit__y the price buster of em all....wins the booby prize.they have lowered the publics view of pricing as a bottomless pit of 199.00 $ promotions,the bottom is viewable ,its 199 for the whole room of furniture ,all from china and for sure will last up to 24- 48 months , maybe?where does the industry bottom out , when do we lose our minds selling junk for nothing.
dig a hole and jump in with the prices following us all down the toilet
so, wal mart,ikea,rooms to go ,staples,this is where america buys furniture for 199.end of game time to ...punt.jump in the bottomless lake of pricing..............................199.