What is Price Matching?
A price match strategy does not always imply that the business is providing the best deal. It does, however, state that if the consumer finds a lower price somewhere before purchasing, they will match it.
Types Of Price Matching:
- Pre-sale: the merchant invites customers to remind them of lower rates in exchange for the best deal found.
- Post-sale: After the transaction is done, the merchant will refund the client the difference between what he paid and the deal found. This will be done as long as the client finds the cheaper offer within a certain amount of time.
How Does Price Matching Affect Customers?
Although consumers are aware of price matching policies prior to entering a store, few consumers are aware of individual item prices before they shop. Consumers can be confident that they will not be ripped off by higher-priced branded goods if they visit a store because of price matching policies.
When the motivations to price branded products higher, vary across stores, price-matching commits stores not to charge higher prices for their branded goods than their competitors. As a result, reduced prices for branded products allow stores to lower prices for generics even more. This prompts buyers to move to generics items than buy branded ones.
Furthermore, as a result of the lower prices of branded goods, stores are more likely to lower the prices of generics to allow consumers to buy generics.
Price matching commits a store to lower costs in this way, attracting more customers. While store profits will be higher if no store price-matched, price-matching is a simple winner. This is because the appeal of attracting more customers by price-matching outweighs the benefits of lower prices.
Consumers escape hassle costs with automatic price discounts; price-matching does not differentiate between educated and uninformed consumers. It eliminates optimum customer quest and information acquisition inexpensive search or information acquisition environments, resulting in higher prices and income. As consumers enter a shop, they just see the prices and hear the store’s valuations for products. Price-matching guarantees, which commit stores to set prices on branded products that do not surpass those set by competitors, could play a role in this. For example, if you want to buy an Acekool stand mixer or toaster. you can buy one in any Acekool stores with the same price.
Price-matching guarantees can have an impact on the norm used to evaluate price data. Customers will assume that stores with higher-than-average prices are less likely to offer a price guarantee. That is, many customers will find cheaper prices at rival retailers and enforce the promise, resulting in a financial loss for the store. As a result, they may conclude that only stores with lower-than-average commodity prices can afford to provide a price-matching guarantee. This will lead consumers to believe that the price at a store that provides this guarantee is likely to be at the low end of the price distribution.
When customers are unaware of the variety of prices available, the availability of a price-matching guarantee reduces cost expectations (i.e., the degree to which a commodity or store is judged to be inexpensive) to a greater extent when the product’s price is high than when it is low.
When consumers are aware of the variety of prices available in the industry, however, the existence of a price-matching guarantee has only a minor impact on their subjective cost preferences. This is regardless of whether the commodity is expensive or inexpensive.
Top Retailers That Offer Price Matching:
- Walmart
Walmart has a restricted in-store price matching policy, in that you can request a price match at the register, but only for products that are cheaper on Walmart.com or Jet.com. If you find a cheaper price on Walmart.com or Jet.com when shopping in-store, you can show a Walmart associate at the counter either a printout or a screenshot from your phone.
- Provides Price Matching For-
With such exceptions, any similar product that is currently in stock at one of Walmart’s qualifying online retailers at the time of purchase. Each day, you can only get one price match.
2. Target
Price matching may be requested at the time of purchase or up to 14 days later. Target stores in Alaska and Hawaii are exempt from price matching with online rivals.
- Provides Price Matching For-
Sale, leased, pre-owned, and refurbished pieces, any similar goods (size, color, model number) that are currently in-stock at a select group of other online retailers.
3. Dick’s Sporting Goods
The price match policy at Dick’s is simply known as Best Price Guarantee – the premise is that as a customer, you will shop with them knowing that you won’t overpay for something they have or can buy from them.
- Provides Price Matching For-
Any equivalent product is instantly available at their favorite retailers or websites. There are a few exceptions, such as special sales.
4. Bed Bath & Beyond
Bed Bath & Beyond can price match similar items purchased from local and large online retailers, including their own online store, for up to 14 days after purchase. Price matching is not available for transactions made on Black Friday and Cyber Monday.
- Provides Price Matching For-
Any product from a local store or a major online retailer that is similar. The goods must be in stock at the time of the request at the competitor. Price matching and coupons are not permitted at Bed Bath & Beyond, so they can select the one that offers you the best value.
5. JCPenney
JCPenney offers a strong price match guarantee on every retailer’s in-store or online prices, which is valid throughout the year, including Black Friday. Online marketplaces and third-party retailers such as deal portals and auctions are the only exceptions.
- Provides Price Matching For-
Some goods are similar but have a lower current price. Except for big appliances and electronics, JCPenney will beat the price by 5%. Some stores are also exempt.
6. Best Buy
Mispriced goods, discounts, clearance sales, package deals, rates dependent on loyalty schemes, and anything marketed as “limited quantity” are not price matched by Best Buy.
- Provides Price Matching For-
Any products from local market rivals, as well as Amazon, HP, Dell, Crutchfield, and TigerDirect, as well as major online retailers.
Many stores will price match, meaning that if you find a product for a cheaper price at another store, they will match that price. Finally, if you use these plans right, you’ll save money and have peace of mind knowing that you got the best deal possible.
More to read:
A Detailed Buyer’s Guide to Toasters 2021
Best Stand Mixers in the U.S. That Are Selling Like Hot Cakes 2021