backtop


Print E-mail del.icio.us 48 comment(s) - last by daj03.. on Mar 11 at 1:56 AM

The Connecticut Attorney General has at least confirmed parts of serious fraud allegations instigated against Best Buy last month

Connecticut’s daily newspaper, The Hartford Courant, reports that Best Buy confirmed that its stores run a secret, employee-only intranet site. The clandestine site is identical to the Best Buy website accessible on the Internet, save for one large difference; prices. The secret intranet site is said to have discourage customers from buying products that were advertised at cheaper prices on BestBuy.com.

The Courant specifically mentions that walk-in customers in Connecticut Best Buys were shown the secret intranet site when the customers asked to price match items on the public website.  This intranet portal, which looks identical to the public BestBuy.com site, displayed higher prices on several items.  Thus, customers that attempted to price match items from the website were foiled.

Early last February, Best Buy spokesman Justin Barber denied the existence of any such website. Despite this, in response to George Gombossy’s investigations and reporting, the State of Connecticut’s Attorney General Office announced they would begin an investigation into whether Best Buy actually maintained a secret website in order to trick customers and elude discount prices. 

According to The Courant, the Connecticut State’s Attorney General Richard Blumenthal ordered the investigation on February 9. Last Wednesday Blumenthal stated that Best Buy had confirmed the existence of the intranet site, however, it failed to provide a solid reason for its existence and purpose.  

In an interview with Gombossy, Blumenthal stated, "Their responses seem to raise as many questions as they answer. Their answers are less than crystal clear."

The most troubling part of the ordeal is how customers have been blocked from buying products at prices advertised on BestBuy.com. In some cases, customers hoping to buy certain products discounted on BestBuy.com have been led to believe the price listed on the intranet website, which is higher than the discounted price, is the real price. In other cases, the intranet site has also been used to make customers believe a sale has ended, although on the BestBuy.com website the sale is still shown as active.  

In a statement written to Gombossy, Best Buy stated "Although we have an intra-store Web site in place to support store operations (including products and pricing), we are reminding our employees how to access the external BestBuy.com Web site to ensure customers are receiving the best possible product price."

Our intention is to provide the best price to our customers which is why we have a price-match policy in place, prices and offers may vary between retail and online, our stores will certainly match BestBuy.com pricing as long as it qualifies under the terms and conditions of the price match policy."

As a company, everything we do revolves around our customers' needs and desires. It is never our intent to mislead them as their loyalty is incredibly important to us.”


Comments     Threshold


This article is over a month old, voting and posting comments is disabled

The Two "Separate" Companies Routine
By qdemn7 on 3/5/2007 4:56:18 AM , Rating: 3
Best Buy is trying old "routine" about Best Buy.com being a complete separate entity from the Best Buy "Brick & Mortar" stores. This is despite the fact you can pay online and either have it shipped to your home or "Pickup at a local store". The BB.com site also allows you to check inventory so when you go to pick the ietm up it is actually in stock at that particular store.

The problem has arisen when people see at item online at the BB.com 'site at say $150, and DO NOT buy online, rather go into the store to purchase the item where they find it for say $175. The employee then looks the item up on the INTRANET 'site where the price is $175, and says "See it's NOT $150, you must have been mistaken." So the customer figures "Well maybe it was a mistake, I don't have any real proof." The BB employee is figuring that the customer will buy the item after making a trip to the store rather than go away empty handed.

So the lesson from this is to have a paper printout in your hand when you go into any BB store. Does not matter where it's from, have something they cannot argue with, and do not take no for an answer.

The only time this would not apply is when it shows "Not available in stores", which means it's a web only item.

BB is going to be forced to either drop the "Price Match Gurantee" or start doing business in an ethical manner.




By gsellis on 3/5/2007 7:55:57 AM , Rating: 2
quote:
BB is going to be forced to either drop the "Price Match Gurantee" or start doing business in an ethical manner.

Well, considering it is BB, that means they will drop the "Price Match Gurantee".

/had a BB employee lie to my face and called him on it. Told me Clark Howard (ATL consumer reporter who dislikes extended warranties) told everyone to BUY theirs.


RE: The Two "Separate" Companies Routine
By BladeVenom on 3/5/2007 8:28:13 AM , Rating: 2
quote:
So the lesson from this is to have a paper printout in your hand when you go into any BB store. Does not matter where it's from, have something they cannot argue with, and do not take no for an answer.

Last time I did that the manager accused me of forging it, and threatened to call the police on me.


RE: The Two "Separate" Companies Routine
By dice1111 on 3/5/2007 9:27:36 AM , Rating: 3
Ha! Well, if you didn't forge it, then let him call the police. You have nothing to be affraid of. Let BB get in trouble by calling the cops on themselves. Would serve them right.


By Tedtalker1 on 3/5/2007 10:46:09 AM , Rating: 2
Let them call the cops,get arrested and sue them like there is no tomorrow LOL.


RE: The Two "Separate" Companies Routine
By Chernobyl68 on 3/5/2007 1:29:03 PM , Rating: 3
I still get a laugh when I think about the customer who was handcuffed in the store after having had the cops called on him when he tried to purchase something with about 150 dollars of $2 dollar bills. The clerk and the manager both thought the bills were counterfeit. Yep, they only hire the best at "best buy"


RE: The Two "Separate" Companies Routine
By walk2k on 3/5/2007 1:57:37 PM , Rating: 2
Funny, but that story is an urban myth. Check Snopes.


By CZroe on 3/6/2007 4:36:37 PM , Rating: 2
Nope. Snopes has no verdict on the Taco Bell story and they practically CONFIRM the Best Buy story by telling you where it was reported and then using it to maintain the the original (and very similar) Taco Bell story is plausible. On their reader comments, many people have surprisingly similar personal stories. In fact, I too have thought about an incident I had at Taco Bell every time I've heard the (most likely true) Best Buy $2 bill story. I had no idea that a Taco Bell incident was already famous until last night when reading Snopes. I chose not to say anything about it because many of the people replying were talking about their own experiences at... Taco Bell! Mine was just a simple "Yes, the Sacagawea dollar coin is real. You haven't seen the commercials [that were still airing back then] showing George Washington dancing and stuff to promote these coins? Haven't you seen the vending machines that say "New Golden Dollar Accepted Here!?" They were really just curious/interested and accepted it with no fuss after my mini "you're out of the loop" conversation. The register lady stuck her own dollar in the register and kept it for herself... contributing to what has caused the dollar coin to fail so far (people think they are more valuable and keep them in drawers instead of spending them).


By exanimas on 3/5/2007 12:31:38 PM , Rating: 3
I can't really see them trying that defense with this... the whole "two separate entities" thing. I do work for Best Buy and they always say some stupid thing about how our online store is our biggest store. I do agree with you 100% to bring in a paper printout, because in the store I work at, customer service is usually so busy they don't even get a chance to go check a website.

One last thought: I do hate this kind of stuff and its the main reason that I hate large corporations (dishonesty and lack of care for the customers as well as the employees).


Intranet...Customers..eh?
By jabber on 3/5/07, Rating: 0
RE: Intranet...Customers..eh?
By Kilim on 3/5/07, Rating: 0
RE: Intranet...Customers..eh?
By cheetah2k on 3/5/07, Rating: 0
RE: Intranet...Customers..eh?
By KristopherKubicki (blog) on 3/5/2007 5:23:36 AM , Rating: 3
It's actually just the opposite. The internal site had higher prices. When customers came into the store to price match off the Best Buy site, the intranet site displayed higher prices.


RE: Intranet...Customers..eh?
By gsellis on 3/5/2007 7:51:25 AM , Rating: 4
...following the thought up for KK. The intranet site having a price listed at higher prices, when a customer says it was cheaper on the internet, the BB employee would pull up the intranet BB site and say, "no, it is more expensive. See what a great deal we have in the store!" Easy to do with an intranet site and a DNS entry for their URL to point to an alternate site.


RE: Intranet...Customers..eh?
By Suikakujyu on 3/5/2007 4:34:08 AM , Rating: 3
I believe they are talking about the bestbuy.com website that is up on the display computers inside the store. That site leads you to believe you are on www.bestbuy.com, but you are really in an internal website. On this internal website, the prices are inflated so that you believe you are getting a deal on the item in store, and you will be pressured to buy the in store item.


RE: Intranet...Customers..eh?
By cheetah2k on 3/5/2007 4:38:44 AM , Rating: 2
yep you got it...... i can see it now - after reading the article 5 times LOL


RE: Intranet...Customers..eh?
By jabber on 3/5/2007 4:44:59 AM , Rating: 2
Phew, glad it wasnt just me that was struggling.

You really have to watch these people.


RE: Intranet...Customers..eh?
By Etern205 on 3/5/2007 9:34:14 AM , Rating: 2
You can always go to Newegg for price
comparison. :)
While they are showing the price on their internal site, just
take over the computer, type in newegg.com and show them the
price on that site. Then compare it to Best Buy's real site and they ask them where is my deal? >D


By livelouddiefast on 3/5/2007 2:08:38 PM , Rating: 1
few retailers will bother matching internet prices unless it is a fellow retailer's site (Best buy, circuit city, office depot, staples, officemax)


By hemming on 3/5/2007 9:07:06 AM , Rating: 2
Please note that I live in Canada, so I am not sure how entirely applicable this story is ... but I have another interesting add on to it.

The Canadian Chain Future Shop (futureshop.ca) is owned by the same parent company of Best Buy. Just check the website and see how similar they are too, esp in the weekly flyer search engine and how to check store stock.

For quite some time when Best Buy stores entered Canada, they were treated as the same entity. So, for example, if Future Shop had a sale for $30 off a product ... Best Buy sometimes would match it and other times wouldn't. And even if they would match it, it would be an exact match because they claimed they were the same compnay and NOT COMPETITORS.

I am glad to say that this has recently changed, or if I point out that the exclusions in the price match gaurentee doesn't specifically state it ... I get the full 110% price difference. This was a great help on a laptop that FutureShop had on the website for $400 off, so i got my full $440 off at Best Buy.

But this story goes full in line with shoddy business practices that they seem to want to promote. I find it strange how much better it is to shop in store at future shop with their commission employees who care about making an sale (tho sometimes more pushy) to Best Buy (no commissions, just kickbacks to my knowledge) who just don't care getting the best price for the customer to make the sale.

Food for thought.




RE