Home appliance sales have a long history, evolving from door-to-door sales to specialty stores that have emerged in every major city. However, as in any field, this sector is evolving, with much of the sales moving online. However, thanks to the huge growth in this sector, physical stores still exist and are even increasing in number.
However, these stores are not necessarily local retailers, but are increasingly branches of large chains with capital and large marketing departments behind them. Moreover, these stores compete with traditional retailers in other ways, namely through aggressive pricing policies obtained through volume discounts from their suppliers. Many smaller stores are unable to offer such prices and sooner or later are forced to scale back their operations. The result is market concentration in the form of chain stores, which may offer better prices but will adversely affect market pricing in the long run. In fact, the demands on suppliers are increasing, and final prices for customers are rising across the board.
Service as part of the sale
Aggressive pricing is an effective way to attract customers However, there will always be those with more financial backing who can outbid the previous market leader. Therefore, companies have learned to offer customers not only the product itself, but also services that keep customers coming back, even if the price is expected to be higher. A good example of this is the claims-handling system that most annoys customers and that many companies have perfected to near perfection. The option to instantly replace an inexpensive item, repair it within a few days, or choose another item convinces the customer that it is worth the purchase, even if a competitor offers the item at a lower price. This is part of the sale and creates the kind of added service that customers specifically seek.