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You are here: MacNN Forums > Hardware - Troubleshooting and Discussion > iPhone, iPad & iPod > Circuit City & BestBuy Ripping off customers

Circuit City & BestBuy Ripping off customers
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Rev2Liv
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Oct 31, 2006, 05:04 AM
 
Has anyone else noticed that both BestBuy and Circuit City blatantly rip off customers on certain Apple branded accessories.

I've noticed quite a few Circuit City store in my area charing $39 for the Apple USB a/c adapter that sells for $29 at the Apple Store. In addition, the same cable that sells for $20 at the Apple store costs $30 at Circuit City. There are many other instances of price gouging.

I have noticed this phenomenon at not just a few isolated stores. I guess these scummy retailers not only try to shove extended warranties down our throats, but also want to screw us on accessories as well.

Please point out any discrepancies you have noticed.
     
C.A.T.S. CEO
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Oct 31, 2006, 08:30 AM
 
Well circuit city needs to make a profit for every sale so they raise the price of anything that they sell. I know that Apple doesn't allow them to raise the price of iPods...
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torifile
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Oct 31, 2006, 09:22 AM
 
Anyone who buys accessories from CC or Best Buy deserves to be ripped off.
     
khufuu
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Oct 31, 2006, 10:40 AM
 
It might depend on the item. Perhaps accessories are up-charged. When I bought my nano there it was exactly the same price as the Apple store.
     
zerroeffect
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Oct 31, 2006, 11:06 AM
 
Exactly, khufuu. Not saying Circuit City is moral in their pricing strategy, but who knows what the mark-up is from Apple for CC to get the accessories into the store?

I used to work for Circuit City way back in '95 and they gave their employees at cost discounts. You should have seen the mark-up in the bose systems (nearly 1000 dollars!)
     
gooser
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Oct 31, 2006, 11:46 AM
 
well i guess if they pay $18.00 for a dvd and sell it for $15.00 they have to make their profit from somewhere. sounds right to me.
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Rev2Liv  (op)
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Oct 31, 2006, 12:37 PM
 
Charging more than MSRP is price gouging. I use the retail Apple Stores as a barometer to gauge prices of other retailers. Of course every business has costs to pay and margins to maintain to stay profitable.

In retail, margins on accessories are ridiculous. Printer USB cables, mobile phone car chargers and most accessories carry astronomical margins. However, the price is the same at each retail outlet.

BestBuy and Circuit City appear to believe in charging more than competitors such as the Apple store to maintain high gross margins. Also take into account that even though the Apple store is a division of Apple, it pays the same costs for goods as other retailers.
     
mikochu
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Oct 31, 2006, 01:59 PM
 
Apple sells the Logitech V270 mouse for 10 bucks over MSRP. They sell it for 59.99 while everyone, even Logitech, has it for 49.99 or less.
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ctsport
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Oct 31, 2006, 05:11 PM
 
oh noes! retailers want to make a profit! what is the world comming to?

cheap ass
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Duhziner
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Oct 31, 2006, 05:15 PM
 
I'm not one to defend big consumer electronic chains, but its not price gauging or ripping customers off. CC has set their prices and the market will either bear the price, or CC will lower them. I think there's some latin saying that applies here. "Lazy buyers will end up paying more?" Or something like that...
     
acidpants
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Oct 31, 2006, 06:37 PM
 
I dislike CC especially...always trying to rip you off. :/
     
ink
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Oct 31, 2006, 07:03 PM
 
On the other hand, you can return something to Circuit City or Best Buy without paying a 10% restocking fee as required by the Apple store. Although, I dislike all three stores and prefer CompUSA or Fry's Electronics to any of them.
     
Naaaaak
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Oct 31, 2006, 07:34 PM
 
Originally Posted by ink View Post
On the other hand, you can return something to Circuit City or Best Buy without paying a 10% restocking fee as required by the Apple store. Although, I dislike all three stores and prefer CompUSA or Fry's Electronics to any of them.
It depends on what you return and if it is opened or not. I've had to pay restocking fees at CC and CompUSA. Check your receipt for more info.
To be determined later.
     
analogika
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Oct 31, 2006, 10:23 PM
 
Any store can sell the iPod power adapter for the exact same price as Apple and make a profit. The margins on Apple-branded items are a lot slimmer than on other manufacturers' items, but there is a definite profit, even at MSRP.
     
Javizun
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Oct 31, 2006, 10:29 PM
 
Is to offset pricing accross the industry, and to level the economic strcture set forth by retail
companys to allow each retailer to gain from sales.

Is a standard business practice
     
Dr Reducto
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Oct 31, 2006, 10:50 PM
 
Originally Posted by zerroeffect View Post
I used to work for Circuit City way back in '95 and they gave their employees at cost discounts. You should have seen the mark-up in the bose systems (nearly 1000 dollars!)
I work at Best Buy, and I was checking this out today by checking Employee Discounts:

Bose Acoustimass Speaker System : $585 ($999 in weekly flyer)
Samsung 42" slim DLP set (the one that is 11" deep): $1100 (1699 in flyer)

But then again, a lot of things are sold at loss (a lot of PCs, hard drives, etc) and that's why we try to attach services/PSPs to make it economical.
     
vinster
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Nov 1, 2006, 01:31 AM
 
Originally Posted by ink View Post
On the other hand, you can return something to Circuit City or Best Buy without paying a 10% restocking fee as required by the Apple store. Although, I dislike all three stores and prefer CompUSA or Fry's Electronics to any of them.
Another vote for CompUSA here. There is a Best Buy and CompUSA next to each other nearby. I used to go to both stores to compare prices before buying and CompUSA always had the better deal. I eventually stopped going into Best Buy altogether.
     
Rev2Liv  (op)
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Nov 3, 2006, 11:52 PM
 
Originally Posted by ctsport View Post
oh noes! retailers want to make a profit! what is the world comming to?

cheap ass
You're damn right i'm a cheap ass! It's their right to wring every last cent out of me, but I take it as my duty to make sure that i'm not making the fat cats any fatter.

Also, places like CompUSA, BB and CC play dirty. While i'm Republican, I believe in playing fair. BB treats their employees like crap forcing salespeople to meet unrealistic attachment and PSP goals.

Having recently purchased a HP DeskJet 460c printer, I was bombarded by four different people including the cashier at varoius points trying to attach a USB cable, extra ink & paper, service plan, MSN, "free" 6 month subscription to Sports Illustrated, and a BB Rewards Zone card.

It's this kind of crap that makes me hate big box retailers and turns me against them.
     
The Godfather
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Nov 4, 2006, 08:22 AM
 
Originally Posted by Rev2Liv View Post
While i'm Republican, I believe in playing fair.
Is that what the Republican stereotype has come down to? Take it up the rear, smile and say thank you?
     
houstonmacbro
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Nov 4, 2006, 09:28 AM
 
Originally Posted by C.A.T.S. CEO View Post
Well circuit city needs to make a profit for every sale so they raise the price of anything that they sell. I know that Apple doesn't allow them to raise the price of iPods...
well that's plain wrong. not everyone (place) has three apple stores.
     
houstonmacbro
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Nov 4, 2006, 09:30 AM
 
Originally Posted by vinster View Post
Another vote for CompUSA here. There is a Best Buy and CompUSA next to each other nearby. I used to go to both stores to compare prices before buying and CompUSA always had the better deal. I eventually stopped going into Best Buy altogether.
i'd heard best buy had new mac support and macs, but i have not been to one in a long time (possibly a year).
     
pcguy1
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Nov 4, 2006, 10:18 AM
 
Originally Posted by analogika View Post
Any store can sell the iPod power adapter for the exact same price as Apple and make a profit. The margins on Apple-branded items are a lot slimmer than on other manufacturers' items, but there is a definite profit, even at MSRP.
You do realize when u say "profit", you have not include operating cost such as employee salary, rent, utility etc, profit is only after cost which is more then just the msrp=wholesale of the merchandise.
Do not settle for the world in shades of grey
     
Rev2Liv  (op)
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Nov 4, 2006, 11:08 AM
 
"heh, not Republican I take it?


Originally Posted by The Godfather View Post
Is that what the Republican stereotype has come down to? Take it up the rear, smile and say thank you?
     
scaught
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Nov 4, 2006, 12:26 PM
 
"ripping off customers"

Sounds like someone trying to protect people from themselves. Stores should have the right to charge whatever they want, and people have the right to spend their money wherever they want.
     
DmbShn41
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Nov 4, 2006, 04:07 PM
 
Essentially, I see it like this. Apple, has great fair pricing on accessories. To keep it fair, Apple doesn't allow big box retailers to upcharge iPod. If you figure that Apple is $10 lower on accessories, add the shipping and tax, and you're over the price of the big box stores. Paying $10 more and having the item now, is a little more convient than waiting two weeks sometimes, and paying a few bucks extra with shipping. Now I def don't care for big box stores cause they are mainly driven by profit, and not customer satisfaction, so when I shop for something I consider those factors. Do I shop at big box stores, yeah, when I find a decent deal on an item that I want or need. And forget about asking for help at the box stores, my 6 month old daughter has more technical knowledge than most of the 16 year old lackies trying to score a date with the blonde in Cameras that work there. Big box stores are more convient when they have the right item at the right price. Furthermore I don't see where you (the original poster) get off crying wolf, complaining about the man keeping you down. BB and CC aren't ripping people off, they're actually offering a decent second option to those who don't want to wait for two weeks on Apple shipping out to you. Am I complaining, no. Deal with it. If you don;t care for it, don;t go there, order online and wait for two weeks while you have no headphones for your iPod.
     
UberTyrone
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Jan 5, 2007, 02:23 AM
 
I agree with most of the above stated. If you're seriously going into BB, or CC, to get electronic accessories, there's a problem.

I'm not even a big techi, and i know that Fry's, or online retailers, are the way to go.

besides, didd anyone think that maybe Apple is trying to get the bigger consumer base by keeping the prices lower?

They may be losing a tad on individual sale, but they're making up for it in volume sale.

The more they sell, the less profit loss they have.
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