The store retracted the prices of “first offering products” exploitation and losing confidence in them

Consumers told «Emirates Today» that commercial stores for the sale of furniture, decoration and home supplies have put forward new goods at reasonable prices, then after a short period, their prices raised at rates of up to 40%, after I noticed a great demand for those commodities for their quality and prices, and considered this an exploitation of consumers, and loses confidence in these shops.

In turn, two officials in the retail sector said that some stores offer new goods with “initial exploratory prices” to get to know the occasion of prices and accept consumers, but after a period of time they find that their prices do not cover the cost, or that the profit rate is very small, at a time when the prices of some production requirements or the cost of transportation may rise, so these shops are forced to raise prices so that they do not lose, and they confirmed that the price height is in the price This situation is not large, but rather aims to cover the cost only and achieve an appropriate profit margin, noting that the prices of some new products are determined according to several factors, including competition and cost, and the expected profit margin.

Consumer complaints

In detail, the consumer Ali Mustafa told «Emirates Today» that a store for home supplies put forward a group of foods to save food (three boxes) at a price of 10 dirhams, and when the product was found in high quality after using it for a period of two weeks, he returned to buy another group, but he was surprised that the price rose to 14 dirhams, an increase of 40%.

Mustafa considered this an exploitation of consumers, and that he was losing confidence in the store.

For his part, consumer Amr Ezzat said that a store to sell furniture and decoration supplies put forward some of the new decoration requirements for the first time at a price of 32.50 dirhams, indicating that he advised a colleague to buy, but the shop raised the price after a few days to 40.50 dirhams, with an increase of approximately 25%, considering the price raised exploitation after the high demand for the commodity or the product.

In the same context, the consumer, Faten Ashraf, reviewed her experience, saying: “I noticed the offer to sell the furniture, a table for sale, saying that it was (the best -selling) at a price of 53 dirhams, and when I returned a few days after its purchase, I found that its price rose to 62 dirhams, an increase of 17%,” considering this unjustified and unacceptable exploitation of consumers and losing confidence in those stores.

Exploration prices

In addition, the official said in a well -known store for selling furniture and furnishings, Asif Gagan, to «Emirates Today»: “Some stores offer new goods at initial exploratory prices to get to know the extent of consumers accepting them, but after a while, they find that their prices do not cover the cost, or that the profit rate is very small, so you have to raise prices so that they do not achieve losses, or stop selling this commodity.”

Price

For its part, the sales officer in one of the shops, Erika Karl, said that “the prices of some new products are determined according to several factors, including competition in the market, cost and expected profit margin.”

She added, “The prices of some production requirements or the cost of transportation may rise, so the shop is forced to raise prices so that no losses are achieved, or the sale of the commodity stops, especially since some stores offer goods with small profit margins in the beginning, to achieve significant sales as soon as they are put up.”

She emphasized that the high prices in this case are not significant, and aims to cover the cost only, and achieve an appropriate profit margin.

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Vulgarity

Divi Nagphal, the commercial store, called for confidence with consumers, and not to resort to negative practices, such as raising the prices of commodities after a period of putting them in the markets, indicating that such practices make these stores lose their credibility.

He added, “The price of the commodity is raised shortly after its launch, in the first place, to the desire of the shop to maximize its profits, after it found that there is an increase in sales of the new commodity.”

Najal stressed that maintaining the price without raising it, with an increase in sales raises the profits of the shops, stressing the importance of offering the price for new goods after a full study, and taking into account the various factors, so that it is not changed after a short period, which may lead to counterproductive results for consumers, even if the price change is not large.