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  1. #1
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    Is it just my imagination (not the song), or are prices for consumer goods online just too expensive.

    I am talking across the board. What incentive does the shopper have, for say buying a complete computer system with monitor for $699 plus $100 for shipping charges which totals $799. And which I might add is a product sight unseen. Which most people can buy at their local electronics store for $749 site seen no shipping on the spot warrantees et...

    I am not just targeting the electronics industry but apparel and everything else.

    When I first got online (1996) the stores that were selling consumer goods then were under cutting real world merchants by a huge margins.

    Ps: I know online marketing has changed since 1996, (New merchants please don't take this as a jab but as an what should we do now.) what is the incentive to buy online today?

  2. #2
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    I must speak here since it’s a serious reason why I rely on online stores.

    I live in BFE. Not kidding either, our population is 2,000 and the town next to me has a population of 198.

    Now I can drive 50+ miles to get to a big store and go to a mall. But even then I cannot find a craft store that is still open, Ohh wait they have to order that product!

    So 50+ miles later, I have to wait for a call so I can get what I want. When I do get that call, I drive again that 50+ miles and get my stuff. Dang could have got it online!

    How about all those people who have physical disabilities!

    Just my 2 cents but there are a lot of us out there that do not live in the city, and by GOD do not want to live anywhere near a city!

    And the net will keep our butts at home happy and sassy!

  3. #3
    ABW Ambassador Radegast's Avatar
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    Computers aren't a good example, because the whole industry is so competitive that all merchants, online or off, depend on high turn-over with small profit margins.

    Why would people choose to buy online?

    You can spend as long as you like comparing products/suppliers/prices without any pressure from a store's sales staff.

    (What kind of reaction do you think you would get from a jewelry store assistant when you asked to view the 50th diamond ring?)

    Sometimes people are intimidated by bricks and mortar, and prefer to take their time online, surf around for the best deal, etc.

  4. #4
    ABW Ambassador Mike O's Avatar
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    Also, there's often a much bigger selection available online.

    If I go to a hardware store looking for a particular tool, if it's an unusual item they probably won't have it. A local store can't justify carrying inventory that doesn't turn over fairly quickly.

    But a large online warehouse that sells and ships worldwide *can* carry rarer items and have a reasonable turnover on them.

    Plus, you can't "Google" the local stores -- you have to call them individually, or drive to each one and go in and ask for what you want.

    Yes, there's the shipping charges. But driving around looking for stuff costs gas, tire-wear, and your time. None of which is cheap, either.

    Bottom line for me: It's faster to find stuff and there's a wider selection available online than offline. And the real-world total costs are lower.

    -- Mike

  5. #5
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    Fair enough, distance is a factor (I live in the middle of nowhere 25 miles from town (70,000 people), which is 500 miles from a major city, take your pick south too Vancouver BC or north to he Alaska border. But I am still able to find most consumer products in town at competitive prices to what's available online.
    Radegast (What kind of reaction do you think you would get from a jewelry store assistant when you asked to view the 50th diamond ring?)

    This is the kind of thing us as affiliates have to push! Because I just do not see a future selling Levi jeans et... unless those jeans come with an 42 inch inseams.

    All I am saying is something must be unique, be it price or something not found on the shelves of every department store.

    Ps.. Adding to the distance factor, I would think 90% of online shoppers are urban.

    I will still stick with shipping charges being a sales killer.

  6. #6
    Super Sh!t Stirrer SSanf's Avatar
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    From the Pagan perspective, many towns do not have stores that sell what we want.

    Additionally, many live in small towns where they would be afraid to be seen going into a witch shop even if it was allowed to exist. (Most are driven out of town by people of another faith following the dictates of their conscience.) They and their children might be abused or at the very least preached to about giving "Satan" an opportunity to get at their souls. LOL

    Seriously, it isn't the least bit funny and it DOES happen. You would be amazed at the abuse that still happens all over this country. I live in a large town in Kentucky but others don't. For instance, my friend who works as a substitute teacher's assistant for the schools in her town has not received ONE call for work since it became known that she is Wiccan! They say her turn just hasn't come up. Yeah, right. Funny, her turn used to come up.

    She just isn't willing to fight it since they own property and she still must live there. She might win at the schools and regain her employment but she still must shop, buy gas and so forth so she doesn't want the trouble.

    So why shop on line? You guess.

    The Wolf Credo: Respect the elders. Teach the young. Cooperate with the pack. Play when you can. Hunt when you must. Rest in between. Share your affections. Voice your feelings. Leave your mark.

  7. #7
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by SandraR:
    ... our population is 2,000 and the town next to me has a population of 198.

    Just my 2 cents but there are a lot of us out there that do not live in the city...<HR></BLOCKQUOTE>Actually, no. 2198 is not a lot. In the grand scheme of the population of the US, I believe people in your situation constitute less than 1% of the population.

    So those of us trying to make money can't rely on that statistically insignificant number to stay in business.

  8. #8
    ABW Ambassador Doc Sawyer's Avatar
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    Well then, there is the customer like me.

    I hate to shop. I usually know what I want when I walk into a store. If a caring clerk sould ask if I need assistance, I merely ask where the item I want is located (so I can get out of there faster)

    I detest lines and the parking and trying to find what I want. Then, standing in line to pay for it really burns me...


    I just don't like to go to ANY store!

    With the exception of groceries,cars, auto parts and clothing, I buy nearly everything on-line.

    Price is secondary.

    Doc

    "An Optimist Can Never be Pleasantly Surprised" - Murphy

  9. #9
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    To the opposite of hardly any population is there is tons of it.

    Going shopping and battling the crowds, finding a parking place, waiting in lines and since you live in a densley populated area likely means when you get home, you have to lug all the goods through a garage, up the stairs, through elevators, etc in some medium or high rise. What a pain!

    I was in Atlanta for about 3 years in this situation when I was doing consulting work and I even ordered my groceries online and had them delivered. Thank god for the internet . It's the convenience of online shopping that brings online shoppers back time and time again.

    ===============================
    PeePee merchants with PooPoo policies allow our earnings to be flushed down the crapper.

    Why give parasites unlimited cookie durations and credit for sales where they divert our users and overwrite our cookies. PP merchants directly support what many consider unfair trade practices and thievery!
    ===============================

  10. #10
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    SSanf you brought up another reason to shop online privacy, great thats what I am tring to bring accross.

    I am not against online shopping, God forbid this is where I make my living!

    I am just saying regular consumer products are not the way to go!

    Ok heres my list of what might give you an edge selling products online

    1.Convenience (can't go to conner store are we that lazy?)
    2.To far from a store (Consumer might Live in Tibet)
    3.Hard to find products (should be #1 in my thinking)
    4.Sex Prouducts (I think this should be moved up one)
    5.Privacy see above sex products (Sorry SSanf but this is where products of that nature are relagated today)
    4.What next?

  11. #11
    Resident Genius and Staunch Capitalist Leader's Avatar
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Convenience (can't go to conner store are we that lazy?) <HR></BLOCKQUOTE>

    Yes! Delivery, please.

    The only reason I don't have groceries delivered is because I don't trust some low-level employee to pick the best meat. But for non-perishables? Do deliver, do deliver!

    It is a beautiful thing, to do nothing, and then rest afterwards.~Spanish Proverb

  12. #12
    ABW Ambassador erninator's Avatar
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>How about all those people who have physical disabilities!<HR></BLOCKQUOTE>

    And think of all the retirees who don't want to battle traffic and parking. I understand that the over 50 crowd make up a large percentage of online shopppers. I also think that "security" could be added to the list. Unfortunately lots of folks are concerned about their CC info being stolen online. But, in the brick and mortar stores someone in the checkout line may see your card. The cashier sees your card and there is also a carbon copy for someone to find.

    Ernie

    It may be that my sole purpose in life is simply to serve as a warning to others.

  13. #13
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by glaikit:
    SSanf you brought up another reason to shop online privacy, great thats what I am tring to bring accross.

    I am not against online shopping, God forbid this is where I make my living!

    I am just saying regular consumer products are not the way to go!

    Ok heres my list of what might give you an edge selling products online

    1.Convenience (can't go to conner store are we that lazy?)
    2.To far from a store (Consumer might Live in Tibet)
    3.Hard to find products (should be #1 in my thinking)
    4.Sex Prouducts (I think this should be moved up one)
    5.Privacy see above sex products (Sorry SSanf but this is where products of that nature are relagated today)
    4.What next?<HR></BLOCKQUOTE>

    Are you trying to get us to write your site, why its best to buy online statement? You could have just asked dang.


  14. #14
    Domain Addict / Formerly known as elbowcreek Thomas A. Rice's Avatar
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    Price wise, I cant compete if someone wants to buy a 6x8 tarp, but a surprising number of people do just that.

    But if you check out my pricing for a 100x100 tarp, not only is it cheaper than anything you could find locally, but, well, only a handful of companies in the U.S. actually have that size in stock.

    So, I'm cheaper and it's actually in stock.

    A page a day keeps the creditors away.....

  15. #15
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>The only reason I don't have groceries delivered is because I don't trust some low-level employee to pick the best meat. But for non-perishables?<HR></BLOCKQUOTE>

    The place I used, you logged into their web software and picked your items which was very easy. There was also a comments field where you request specifics such as "highly marbeled meat", "lean hamburger", "green bananas", "very ripe tomatoes" etc. They were great and very reliable!

    I wish we had someone where I live now providing the service. I'm on the third floor and hate watching the Mrs have to lug all those groceries up the stairs. LOL

    ===============================
    PeePee merchants with PooPoo policies allow our earnings to be flushed down the crapper.

    Why give parasites unlimited cookie durations and credit for sales where they divert our users and overwrite our cookies. PP merchants directly support what many consider unfair trade practices and thievery!
    ===============================

  16. #16
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    Last Christmas I did 75% of all my christmas shopping online.

    With Shipping, I figure it was one of the cheapest shopping trips ever.

    I bought what I wanted/ needed.

    I didn't spend extra money, on other stuff, because it was eye appealing,

    I've got two little kids, and dragging them to the nearest large center 1 1/2 hours away, gas, food, and extra junk, I can afford the extra few bucks on shipping costs.

    I bought my PC online, it was the cheapest place, (few years back)

    I've bought numberous things.

    Also Its Great to go Christmas shopping online, and have that gift delivered to recipents home, rather then me buying it at the store, wrap it, and mail it out myself.

    Gotta love the convience of online shopping.

    "Minds are like parachutes - they only function when open." Thomas Dewar

  17. #17
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Are you trying to get us to write your site, why its best to buy online statement? You could have just asked dang. <HR></BLOCKQUOTE>

    No of course not! Radegast covered that

    Just wanted an reaction to the price of things online, and why would people pay that money when they can get the same product in the real world cheaper. (no shipping)

    Thanks all for responding. By the way I completely forgot about all those parking and traffic things, since I moved to the sticks. I guess I could move that to number 1 or 2 on the list.

  18. #18
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    From the point of view of an European I must say that I buy from the whole world, especially clothing, shoes and other stuff for my kids. E.g. if I order Nike shoes online in USA it is about 40% cheaper, even with high shipping costs, than if I buy it in the store in my neighbourhood. I think a lot of merchant with no shipping outside of the USA could make a lot of extra $$$ if they would ship abroad.


    carneol

  19. #19
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    carneol even with shipping and exchange it is cheaper? If so then Wow (thats a big Wow!) then I must target Europe!

  20. #20
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    Why people shop online:

    No sales pressure.
    Saves time.
    Open 24 hours.
    They can do it naked.
    Avoid crowds.
    Buy hard-to-find items.
    Find the lowest price.
    Better selection.

    Best promotion for online sales: Free shipping offers.

    "The successful man is the average man, focused."

  21. #21
    ABW Founder Haiko de Poel, Jr.'s Avatar
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    I've attached a slide from the Gartner Group (G2) presentation during the Linkshare symposium, it says it all.

    <font size="2" face="Verdana">Haiko


    The secret of success is constancy of purpose. ~ Disraeli
    </font></p>

  22. #22
    ABW Founder Haiko de Poel, Jr.'s Avatar
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    and ...

    <font size="2" face="Verdana">Haiko


    The secret of success is constancy of purpose. ~ Disraeli
    </font></p>

  23. #23
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    This figure of convenience vs price will continue to go higher for convenience as time goes on.

    Remember when bank teller machines came out. There were put out (#1) to reduce the banks cost and (#2) to make it more convenient for customers. But before you knew it, you were stuck paying for that convenience because they then wanted to charge an outragous fee of a buck or whatever to use the machine to get your own money. Go figure huh.

    It wont be any difference in the online world. Merchants do not provide online sites to make it easier for their customers to buy or provide them better deals than the retail world or to provide a way in which they can pay more money for affiliates they partner with. They want to reduce costs and increase profits.

    Online merchants are already starting to "charge exorbatant fees" many times with their shipping costs so the parallel with the ATM seems relevant.

    For example go buy some ram from tiger direct and see what the shipping costs is..... Not only does the customer get screwed, if you're a low level affiliate getting 2% of sales, I would bet that Tiger is making more than the 2% they are paying you on the shipping costs alone - so they are really paying you nothing for getting them sales.

    I'm not trying to turn this thread another direction with the above consideration but you can bet that "as the convenience factor" increases, merchants will be quick to raise their prices in some way shape or form. Outragous shipping fees already exist for many of these companies and obviously, there are alot of people still ordering merchandise regardless of it.

    ===============================
    PeePee merchants with PooPoo policies allow our earnings to be flushed down the crapper.

    Why give parasites unlimited cookie durations and credit for sales where they divert our users and overwrite our cookies. PP merchants directly support what many consider unfair trade practices and thievery!
    ===============================

  24. #24
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    I can't believe I forgot to mention what is usually the most important factor for me in my other post in this thread. Haiko's screenshot reminded me:

    The internet DOES NOT CLOSE! Usually by the time I wake up, the non-grocery stores in my area are shut tight. Now I don't even have to try to catch 'em before they close, or, just as bad, wait for them to open up at a time (morning) I should be going to bed!

    It is a beautiful thing, to do nothing, and then rest afterwards.~Spanish Proverb

  25. #25
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    <BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>convenience factor<HR></BLOCKQUOTE>I still believe shipping costs will bring that down.

    Leader what?

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