Reality Challenged

If you think the oil companies have excessive profits (less than 10%), look closer to home. If the oil companies did the same, gas could easily cost $20 a gallon! Yes, some are quite well known and some not. When I was growing up with my two older brothers, we didn’t have much money. At one point, my parents almost lost their home. They were born during the depression. Their parents, LIVED and raised children during the depression. To that end, my parents instilled the instinct to investigate price and value. As a kid, I knew about the extreme profit margin on popcorn in the theaters. Today, it’s astronomical with profit margins sometimes exceeding 1000%! As a late teenager, I ate popcorn nearly every day (it was rare that I didn’t eat it). I was very aware of the cost of popcorn that you make yourself versus that from the theaters.

Of course, there are other perfectly legal ways to squeeze out profits from cheap things and selling them for big bucks. In the words of the in-your-face advertising, “but wait, there’s more!”

Soda in restaurants… they pack the ice in the glass THEN fill it. Places that have self serve beverages, add less ice, then fill. The beverage is usually chilled so all that ice isn’t necessary. This way, you’ll, at least, be paying for the beverage instead of the ice.

Costco, Sams, BJ’s - aren’t always cheapest. Know the cost of what you are buying… FOR THE BRAND YOU WANT. I’ve belonged to all of them at one time or another and easily found that some items cheaper at traditional retail stores such as Target, Kmart or the supermarket chains. Know what you want and how much it costs.

I do A LOT of shopping on the Internet (haven’t been to a mall since 2001 and have bought all Christmas gifts on-line since the last century). However, there are many websites (and catalogs) that offer better prices than malls or local stores. Much of the below is common to internet e-commerce but does exist to a lesser degree in more traditional stores. Being aware will keep money in your pocket.

Lowest Prices Guaranteed (part I) - Yeah, Right! It’s the biggest BS line of the new millennium. Lowest prices compared to what? Yes, without qualification, it is a line that you may interpret to mean one thing but, technically, it means nothing. The reality is that most shoppers will place their OWN interpretation on the advertising claims and not a “LEGAL” interpretation. The legal interpretation can be something quite different than implied or what you think. I search to prove it to myself first rather than believe a claim from the seller. There is more BS online than most realize.

Great Deal software - usually the previous version or grey-market software (intended for foreign markets or OEM users) that has no support and isn’t eligible for warranty service, rebates, etc. from the manufacturer.

Great Deal products - sometimes hard to discover only if you read their legal disclaimer pages - factory seconds, refurbished or previous models (returned, display model, etc.) There are many website that sell items (usually electronics) that bury this information very well and aren’t forthright in stating it on their website.

Lowest Price Guaranteed (part II) – Save your lies for the trial! Try to make it work on the Internet following the vendor’s requirements. Can’t be done. The scam most common is to adjust the shipping charge to make up for the lower cost. I wanted a pool pump motor. One site had it for $100 and $25 shipping. The other with “lowest price guaranteed” advertised the same motor for $80!!!… but charged $50 for shipping. The total order for the first was $125, the second was $130. Rule here is to look at the total cost with shipping before making the purchase.

TV Products - Oh please - you don’t need most of the crap they hawk. Watch the next TV commercial for whatever item… 99% of the time there will be “but wait, there’s more” line and something akin to “and this piece of crap absolutely free”… followed by the mumbled line of “just pay __separate shipping and handling__”. The last time I looked, shipping and handling weren’t free. Don’t forget you’ll be paying it TWICE since you’ll be getting that “free gift!” I’ve seen these products that weigh less than a pound, use less than 50 cents worth (in bulk) of shipping packaging and cost a buck to ship yet charge $5 bucks more than the total S&H charge. That would make that CD of Mel Torme’s Greatest Hits cost 6 or 7 bucks to ship! Who are they kidding? Unless the shipper can only process one order per hour, they are making money. If you can wait and it’s a real product, you’ll be able to find it locally… for less and not be robbed for “S&H”. And then, there is usually an existing product that works better for the same price.

Rule of thumb… if you didn’t want it yesterday. You don’t need it today because of a commercial… they are just scamming you.

Here’s another article about those who take your money…. Big Price Markups to Avoid (this will open in a new browser window)

Know what you want, learn about the choices, make informed decisions, don’t be swayed by marketing hype… but, wait, I don’t need to tell you this, you’re not a democrat, are you?