Online Discounts: The Reality Check
Online Discounts – the one word which sets the buying cycle, which pushes impulse and unplanned buying, and which makes many of us drool and engage in shopping. But is it really a discount or a gimmick to fool gullible consumers? Lets do a reality check on the dark side of extreme discounts and sales on e-commerce apps.
The rise of e-commerce can be fairly attributed to the alleged online discounts (other than convenience factor). The Big Billion Days or black Friday have got enormous coverage in all types of media to create an environment where consumers feel that they are missing something, if they don’t buy in those ‘once in a lifetime offer’.
Recently, i noticed a full page print ad in the Times of India by Grofers. I was surprised to see the MRP of a Tata Toor dal – a well known national brand, which was printed as 199 and then as usual a X mark over it to show the selling price of 135. The same product has an MRP of 149 on Amazon with same selling price. That made me check other portals – and behold your breadth, the truth came out. The MRP was different at Bigbasket, Flipkart too! Now consumers can understand this game of false online discounts.
For example, one can put MRP of 200 and sell at 150, by offering a discount of Rs 50 or 25%. Or, one can display MRP of 300, sell at 160, by offering a discount of Rs 140 or 47%.
See how this trick works. In second case, firm can increase MRP, increase online discount, but still make more money that the first case.
Interestingly, this is not limited to e-commerce. Even food delivery apps in the name of discount, they show high prices of items and then the 50% off is limited to maximum of Rs 30. So, if average order value is Rs 500 and you get 30 off, the real discount is barely 6%. And yes, factor in partner/delivery fee. I checked the price of aloo-tikki at a popular restaurant. The restaurant sells it at Rs 80, but zomato and Swiggy display the price as Rs 110, a cool 35% increase!
We don’t know the real truth behind such pricing tactics and who is responsible for difference in MRP.
Consumers are also partly responsible for it. They have become lazier and unfortunately, their life is controlled by Google. Rarely anyone checks the real prices. Most are living in a digital illusion of cashbacks and discounts, where in reality they are easily cheated by these firms.
May be it time for “Jaago Grahak Jago“.
I shared this issue with Grofers on twitter, and got a standard reply. The reply doesn’t make any sense and also shows the seriousness of such firms toward consumers and most importantly LACK OF ETHICAL BUSINESS PRACTICES.
But i think consumers will wake up and understand this, and they will abandon their shopping carts soon. So, firms, time to be ethical!
The prices must have been updated. Rest assured, if n case any product is being sold at a better price, you may then avail the
benefits of Grofers Lowest Price Challenge offer.
Please be informed that prices are dynamic in nature and keep changing as per market situations. However, we strive to provide quality products at optimum prices and never charge over MRP. In case you feel you have been charged (1/2)
