Lucky For Some

Michael Hill Jeweller, East Gardens.  Note the blackboard sign: "It's your lucky day - ask for the manager's price".  So does this mean that if you didn't happen to see the sign, you would end up paying more ?  Why would you do this to your customers ? Why wouldn't you simply say - Managers' Special Pricing in-store ?  It just makes you feel like you could be ripped off even before going into the store.  Lucky for some, unlucky for others.  Perhaps a case of a retailer being too clever for their own good ?

The Humble Pricetag

Tarocash, Broadway. It is amazing how  seldom you see retailers presenting their pricing so that it is clear and unambiguous.  Top marks to Tarocash for doing the simple things right.  By the way I thought the shirt was over-priced and not so humble :P.

WHEN CONFUSION REIGNS

Surfwearshop, Darling Harbour.  The juxtaposition of 'new markdowns' with 'new arrivals' is highly confusing.  No prizes for guessing which one customers will look at first !  'New' should be just that - 'new' - as in new arrivals. Cues like this are important for shoppers, especially at the front of the shop.   I guess, soon the 'new arrivals' will become 'new markdowns' :)

Why We Buy - Price #consumer

Price is the first thing retailers and shoppers think about in today's market. Undoubtedly for retailers it can be the difference between a profit or a loss. For shoppers today it often is the difference between a purchase or walking away. So, if it is so important to the business, why do many retailers appear to play fast and loose with this most important consumer cue ? Working with clients I have sat in on many discussions around pricing strategy and tactics, and the topic is often filled with conjecture and speculation. Retailers should adopt a systematic, evidence-based approach to pricing decisions. Working with one retailer, we added a $1m annualised to the profit line through building an evidence-based decision model, without any noticeable drop in sales. How much do you know about your shoppers' response to pricing changes ? It should be simple. It IS important. Insight pays.

DROP PANTS PRICES

Connor, Broadway. This menswear store (chain) looks to be in serious trouble. Owned by the Retail Apparel Group (which also owns other menswear chains Tarocash and Yd) they are continually having to drop their price points. A month or two ago, they even advertised their sustained new, lower prices ('Look New Prices'), which I thought was a questionable strategy. Now, they are still well into sale mode when most other apparel retailers are out of it. Also, the price points on their sale merchandise just seem to get more ridiculous by the week. For example, the sale rack (now advertised at $19.95), was previously $29.95, and the original RRPs on the goods were probably north of $39.95 and $49.95. Also, the table, front and centre, which is the most valuable merchandising space in the store, is given over to $29.95 sale merchandise, as opposed to new arrivals, which one would expect to see in stores at this time. I don't believe the numbers can be adding up ok for this operator which pays mall rents and labour costs. I suspect their pricing strategy has not helped their situation. Watch this space.

RECESSIVE RECESSION PRICING

Hoyts Broadway.  Apologies for the poor quality of the pic - but this cinema operator clearly believes it does not need to display prices, even in a recession.  Business must be good,  but could it be better ?

OUTSTANDING PHARMACY

 

Roy Young Pharmacy, Chatswood, Westfield.  Very impressive disciplines in layout, planograms and merchandising, signage and customer service.  Note especially how pricing is well-signed, a must for recessionary times, and older customers.  A minor criticism is the overuse of the 'save' wallpaper hanging from the ceiling, but arguably necessary in these times.  Worth a visit.

 

NEW PRICING ?

This is a new one - Connor menswear store, East Gardens and Broadway.  Unsure how customers would interpret this ......

THE PRICE OF TEA IN CHINA

Tea Prices Likely to Rise as Techies Switch From Coffee to Tea 

Wired has an article that says tea is the new coffee and reports that today's web 2.0 crowd is on a tea drinking binge. The article also says that today's influential young Web 2.0 millionaires are drinking expensive imported teas. The article says Digg founder Kevin Rose imports $1,000 a month worth of specialty tea for Digg employees.

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