Best Buy's Shady Pricing Scam Unravels

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Best Buy's Shady Pricing Scam Unravels

Reading stuff like this makes me lose what faith I had left in corporate America. You probably won't believe it, but here goes.

Many big box retailers let you use "price matching" when you come into their store, a policy which lets you get the same price that a competitor charges or, in the case of Best Buy, pay the same price in the store that Best Buy charges on its website. Sounds great, but customers were finding themselves puzzled when they checked the price of something they were about to pay for at a Best Buy store. When using the store's in-house computers, the prices on bestbuy.com didn't look quite as low as they remembered at home. In other words: Web prices were somehow higher when you were shopping inside Best Buy.

The answer to this riddle has finally turned out to be something quite noxious: Best Buy has been using a secret intranet site inside its stores. It's a private version of its public website that looks identical to bestbuy.com, with one key distinction: The prices are considerably higher. George Gombossy of the Hartford Courant sussed this out with some old-fashioned in-store sleuthing.

Best Buy has finally admitted that the secret site exists, and it's facing formal investigation by the state of Connecticut. However, Best Buy says it never intended to mislead anyone... perhaps claiming that the prices on the intranet were just mistakes, not intentionally inflated. Hmmm, sounds fishy to me.

 

[darien87]

Wow. That's really a bummer. I was planning on buying a TV at Best Buy later this year because I have a Best Buy card. They kind of earned my loyalty by giving me a credit card when my credit was kinda bad. I felt like they had confidence in me when no one else did.

Now I don't feel so good about giving Best Buy my business.

 

[Gasman]

So you fellows know, that is old news.
Surely, they have stopped that (alleged practice)

There is a lawsuit, on the issue.
See here - Best Buy sued over shady intranet site
http://www.engadget.com/2007/05/25/best-buy-sued-over-shady-intranet-site/

Tsk, tsk. Looks like Best Buy will indeed be paying up for the misdeeds involving that dodgy intranet we saw a few months back. Connecticut's attorney general announced a lawsuit against the big box retailer and accused it of "deceiving customers with in-store computer kiosks and overcharging them." Attorney General Richard Blumenthal was quoted as saying that the store "gave consumers the worst deal with a bait-and-switch-plus scheme luring consumers into stores with promised online discounts, only to charge higher in-store prices." The suit seeks "refunds for consumers, civil penalties, court costs, a ban on the practice, and other remedies," and while Best Buy spokespersons are vigorously denying the allegations, Connecticut's consumer protection commissioner even said that there was "certainly an element of deception here." Reportedly, the in-store kiosks were somehow an "alternate way to get information about products," but when that information ends up costing your customers more than they should be paying, we doubt the judge will look kindly upon it.

Although, I RARELY buy from them, I have gotten some great deals.
So just use your common sense, when going into the store (with what you ALREADY know, is the price.)

 

[mtrycrafts]

... However, Best Buy says it never intended to mislead anyone... perhaps claiming that the prices on the intranet were just mistakes, not intentionally inflated. Hmmm, sounds fishy to me.

Sounds like fraud to me.

 

[Seth=L]

Wow. That's really a bummer. I was planning on buying a TV at Best Buy later this year because I have a Best Buy card. They kind of earned my loyalty by giving me a credit card when my credit was kinda bad. I felt like they had confidence in me when no one else did.

Now I don't feel so good about giving Best Buy my business.

Just print off the page of the price on Best Buy's site, so they can't dispute it.

 

[j_garcia]

Ever see that 20/20 investigation where they checked their receipts and found that pricing on nearly 1/3 of all products was incorrect? If you are buying one or two items, it is easy to spot. If you buy a bunch of items, you may not even notice that you are overpaying for a few of them...and that is what they are counting on. Always check your receipt.

 

[darien87]

Ever see that 20/20 investigation where they checked their receipts and found that pricing on nearly 1/3 of all products was incorrect? If you are buying one or two items, it is easy to spot. If you buy a bunch of items, you may not even notice that you are overpaying for a few of them...and that is what they are counting on. Always check your receipt.

Was this at Best Buy or retailers in general?

I did notice that I got charged full price for some steaks instead of the sale price at the grocery store once. I didn't bother going and getting my money back though.

 

[j_garcia]

Was this at Best Buy or retailers in general?

I did notice that I got charged full price for some steaks instead of the sale price at the grocery store once. I didn't bother going and getting my money back though.

It was at retailers in general, both grocery stores and department stores were the worst offenders. They KNOW once you get home, if it isn't that much, you aren't likely to take the time to go back AND they know that most people don't even check. I have caught it a few times.

Best Buy is a last resort for me for most things, since their prices are higher (MSRP), so unless there is something on sale or similar, I avoid them.

 

[Davemcc]

Just print off the page of the price on Best Buy's site, so they can't dispute it.

That's what I do. Never had any trouble.

 

[j_garcia]

That's what I do. Never had any trouble.

I've done that too. A few other companies got burned like that, so it says in their "policy" that they do not match their own web price in store....

 

[Mort Corey]

Circus City tried the "different businesses" ploy with me until I asked if I could just log onto their website on one of their display computers and order the item to "pick up in store"

Mort

 

[agarwalro]

Just print off the page of the price on Best Buy's site, so they can't dispute it.

I too have done the same and never had a problem. Granted I rarely buy anything at BB.

 

[CaliHwyPatrol]

I buy there frequently because it is close. I watch for deals, mistakes, and I never leave there without hagglng with someone to get discounts and free stuff. I've never left there feeling like I got boned.

Shop smart and you can shop anywhere.

 

[MDS]

Shop smart and you can shop anywhere.

I'd agree with that. You only get in trouble when you are in a hurry to buy something and salesmen know that. Have you ever heard a salesman say that you can't beat their price or that you should act now because the sale ends soon? Of course you have - they ALL say it, no what the product being sold.

It's not like you are trying to buy some rare and exotic item. You can walk away and go down the street to the next store that sells the exact same thing. Just don't be rude or obnoxious as that gets you nowhere.

 

[mtrycrafts]

Was this at Best Buy or retailers in general?

I did notice that I got charged full price for some steaks instead of the sale price at the grocery store once. I didn't bother going and getting my money back though.

Not many customers drive back, unless you discover this on the way to the car or in the car so they get away with it and make even more$$$.

 

[chas_w]

This just happened to me on Sunday. Bought a DVD player that was listed on sale on the website for $89, but listed at $99 in store. When I mentioned this they checked "their" website where it showed $99....then checked the "regular" website which showed the sale price.

Strikes me odd that Best Buy also charges $20 more for a Pioneer DVD player than the player lists for on the Pioneer website.

 

[STRONGBADF1]

Just print off the page of the price on Best Buy's site, so they can't dispute it.

Thats what I did when I bought my truck. The sales manager didn't look happy at first (he quickly put on his game face back on) but they honored it.
Always print out the page! The internet price was $1500 less than the price on the lot! I bought the truck for $5000 under Kelly blue book or NADA value. Granted It needed tires and trucks were not selling very well due to gas pricing.

The other thing is interest rates. They "checked" all the local rates and came up with the "best" rate .75% higher than my bank...Then they matched my banks rate on the spot. Fishy huh...

Watch them all. Sometimes mistakes are honest and lots of times they are not.

SBF1

 

[3db]

Wonders now if FuturShop here in Canada is practising

the same model since Best Buy bought them out over 5 years agao?

 

[mtrycrafts]

This just happened to me on Sunday. Bought a DVD player that was listed on sale on the website for $89, but listed at $99 in store. When I mentioned this they checked "their" website where it showed $99....then checked the "regular" website which showed the sale price.

Strikes me odd that Best Buy also charges $20 more for a Pioneer DVD player than the player lists for on the Pioneer website.

What was their answer to the first problem, any?
I guess it is time to go the maker's web site to buy

 

[chas_w]

What was their answer to the first problem, any?

No explanation really. At first they told me their prices were the same as the website...then after looking said oh, we'll match that price.