Updated: Feb 20, 2020
What really is a "SALE"?
The story behind SALES! SALES! SALES!
Who doesn’t love a good bargain every once in a while? Don’t you love the feeling that you saved some money while shopping! Its exhilarating isn’t it! Ever wondered though, how retailers have multiple sales throughout the year and yet they are still in business?
But do these SALES really benefit us?
On a recent trip to Bangkok, I was thrilled that there were sales everywhere and I wanted to visit every store to see what I can find. As I was going from store to store, I realized each brand had a different interpretation of sales. Some offered upto 50% off, others more and still others had a clearance sale.
How does it matter? A sale is a sale as long as we benefit from it right? And who wants to pay full price when we can get it at half the price or lesser!
Thats exactly my thoughts!
I found out some interesting facts about sales that I wanted to share so we can all be informed the next time we see a ‘SALE’ sign outside a shop window.
Have you heard of a “FAKE” sale?? Neither have I until I decided to do a little research about the types of sales retailers put up.
So, here’s the scoop - Retailers mark up the price of an item a few weeks before they declare a SALE. Lets say, a particular dress cost $75 but there aren’t many takers at that price. So what they do is, they mark up the price to say $150 and when they declare a SALE the tag says 50% off but of course the mark down is to the original price of $75!
For you and me, thats a good bargain at half price but little did we know that we are paying the original intended price!
This does not mean there are no valid sales! Those are mostly when the price reduction is for a limited period of time and on selected items only!
Did you also notice that there are Retailers perpetually on sale all year round? Well, here’s the secret : constant sale-strategy is part of a plan that a Company maps out in advance. Retailers know the margin they need to hit and plan their discounting around that.
One thing Retailers know is, that it is hard for any shopper to resist a good SALE and the percentage offered ( 50-80% off! etc..) also plays a vital role in making us want to make that purchase.
But is the SALE price really a ‘special reduced price’?
Here’s another point to ponder. Retailers use deep discounts to keep people from shopping around and this rings true for online sales as well. They want to make business look good, for you to try their products or get rid of excess inventory & this is especially true with fast-fashion Brands that churn out new collections every 4 weeks.
Clearance is not necessarily a SALE but just reducing merchandise unless there is a price reduction of the item. A clearance sale is usually intended to clear shelves of sale items because the Store will no longer sell them in future.
However, there are lots of positive too, to a SALE!
Change in season for example; (spring/summer) to (fall/autumn).
To make room for new season’s inventory, there is the ‘END OF SEASON SALE’ and if you’re not one who is too bothered to keep up with the latest fashion trends, this is the ideal time to buy that summer dress you saw at an exorbitant price but is now at less than half! It will still be in fashion next summer but the point is, don’t buy for fashion’s sake, buy it if you really love it and see yourself wearing it for many summers to come!
Price today, is really a matter of perception. We as consumers take the final call wether the price tag corresponds to the quality or value we believe we are getting from making that purchase.
Bottom line, never assume that a “SALE” price is always a good price.
Despite the fact that SALES benefit the Businesses, don’t be afraid to shop during one. A good bargain is always welcomed!
It is still worth all the fun and enjoyment that we get from shopping with a close friend or family member because that bond is priceless!