Review on shopping comparison engines-robots & e-shopsUpdated 3/7/09
Have you heard the computer term "..Garbage-in-Garbage-Out." it's the main problem with e-stores, data that's wrong or out of date.
Shopping robots can list data months out of date or simply wrong.
Many examples below including paying over twice as much as you should.
Most e-stores update every few days or even every few hours, they hope in the time between updates your item has not been sold by another shop showing the exact same stock.
Some e-stores like megabuy.com.au mislead you into thinking they have stock in their store when in the majority of listings they don't. 20,000 items in-store does not mean their store! Often it's just a P.O. Box.
Many e-stores use the same suppliers so stock sold at one is gone for all. This is why a common complaint is: "..your site said you had stock when I ordered so why the delay?.."
In 2008 all the above Aussie/NZ e-shops went broke..
In 2009 many are back to start over again. One thing they had in common was no real stock.
"..If you see ||||| 5+ (or a large number) "In stock" it generally means they have none.." "..In-Store, In-Stock does not mean what you think.."
Legal Disclaimer:
This review contains statements of pure opinion and fair comments made in good faith in the interest of the public by AIM Digital Imaging. To ascertain the facts please do your own research.There are also quotes from and links to external sources please see their disclaimers.|top|
The truth about "In Stock".
What some people don't realise is when most e-stores (as found on shopping bots) claim X number in stock that's divided between every similar e-shop in Australia. Some stores use misleading statements like: 20,000 items in store. It does not necessarily mean what most people would think, "their" store! An example is megabuy.com.au they contradict the in-store claim with "..they hold no stock, they don't want to take the risk.." (So you do).
Bottom line is they take your money then see if they can still get it.
You're their finance company. We do it the other way around! (Get it then take your money!)
The down side of e-stores
Many pretend that THEY have everything in stock at THEIR company by using misleading wording.
You pay in advance of them having the stock, they use your money to buy the stock rather than keep it ready to dispatch which means you pay then they try and get it but the delay often means it's sold out (See negative stock below).
Less risk for them, more for you.
They must try to have the lowest price even if many can't stay in business that way, how else do you explain so many going broke? Price, price, price but what about service?
They often use several suppliers credit and clients payments in advance as business funding. Great till the distributors all want to be paid. The average debt per distributor seems to be several hundred thousands from looking at receivers statements.
Negative stock means every week on many products distributors have sold more than they had. While you may have known it would be on backorder others would have seen Stock 5+ (or whatever) and assumed it's on the way. This is a common over selling problem.
Now that we know problems are mostly because they don't really have stock..
How can you tell who really keeps stock?
Stock[||||]5+ or stock mega-number is a give away theyprobably have no stock.
"In stock" "In store" doesn't necessarily mean they have or can get it. Ask them.
Can they get you a serial number now before you pay them? We can.
Can they reserve stock for you?(While you organise payment etc.) We can we put your name on it!
Can you pick it up from THEM now?After all they have [||||]5+You can with us.
We're sorry we've upset some people but if you state "Over 20,000 items in store" you're asking to be brought to account.
Adverts like the ones below don't change the facts.
In their own words, this e-mail found it's way to us. Exaggerating again!
From: Dave Kimpton [mailto:xxx@iinet.net.au]
Sent: Thursday, 15 January 2009 6:20 PM
To: MegaBuy Sales
Subject: Enquiry from MegaBuy Technology Superstore - Sales
I am just wondering what your best price is on the Xerox 3210 laser
printer? I have seen it cheaper then what you advertise.
(on our ausmedia.com.au site) -- AIM
Please get back to me with your best price.
Best Regards,
Dave
From: MegaBuy Sales [mailto:sales@megabuy.com.au]
Sent: Friday, 16 January 2009 6:48 PM
To: Dave Kimpton
Subject: RE: Enquiry from MegaBuy Technology Superstore - Sales
Hi Dave,
Unfortunately we can't do a better price.
Perhaps places where you've seen it cheaper have bought it before the prices went us as a result of currency fluctuations.
(..that's the way we do it, we hold stock we don't just say we do) -- AIM
Regards,
Nick
"..We don't really keep stock, pay us
..then we'll get it from a distributor for you.."
..Would often be more honest.
In-Store, In-Stock does not mean what you think.
If the selling slogan is similar to20,000 items In-Store(i.e. megabuy.com.au) we think they shouldd make a disclaimer that in store is not their store, it's a distributor if that's the case.
Most people we've spoken to take In-Store to mean that store, not X items between countless stores.
-- Is this too much to ask?
-- Then you know the risks.
If you know they don't have stock but simply say they do, call them to get a guarantee in writing that they will deliver as promised.
It's to be applauded that some shops will tell you the bot data can be wrong.
The proof most list data, it's NOT In-Store.
Try scrolling down each "e-shop" Note stock numbers (at the distributor).
Get the picture? If all the stock is sold out for one, it's really sold out for countless e-shops that don't really hold stock so delays in updating data often leads to overselling thus non supply.
Note: To be fair we should check each one to see if they have an honest disclaimer re stock. Above frames are showing the common data they use, not what they say about their business.
Click on the numbers! [1] [2] [3] [4] [5] [6] I think you're a believer now.
Even more? Just change the IP last 2 digits say to 40..
If you find it hard to believe that so may e-shops are misleading
you as to what stock they really have, test it yourself:-
How come they all seem to list a similar description, use the same image, same errors and often have the exact same number in stock! (Or stock = 5+ which is a give away they have none themselves.)
How can a P.O. box fit that much stock anyway? :)
So what happens if 2 or more people order the same stock? One will miss out.
Even if they say there are several in stock (That's often really at a distributor) is that a lot Australia wide over 1,000 e-shops?
Every week the main distributors show negative stock on many items this means more have been sold than they had.
Why we're different
AIM Digital Imaging - We have our own stock in our warehouse.
I guess we should mention 1984 again, the date our company was incorporated so with AIM you get the best of both worlds, security because we have stock and great prices because we buy in bulk. We don't charge your card till we've checked the order.
Our policy on stock
The really big difference is we don't charge your card till we've double checked our stockor distributors which is a small minority.If there was a problem we'll call you and take it from there without all the messing around trying to get your money back.
Most others do it the other way around and that's the problem.
Web cameras (Click on image) We run a real company (Since 1984)
not one just in cyberspace.
Want to be sure?
We can put your name on an item..
..and show it here before you
part with your money, as
buying on-line can be dangerous to your financial health!
We can $100 guarantee we will supply what you've ordered (Most of what we sell is from our warehouse) ..once we charge your card.
Simply get a e-mail confirmation from us then should we fail to supply within 10 days we will give you $100 credit for messing you around.
(Most orders are within 2 days to NSW, VIC, SA other states slightly longer)
This review contains statements of pure opinion and fair comments made in good faith in the interest of the public by AIM Digital Imaging. To ascertain the facts please do your own research.There are also quotes from and links to external sources please see their disclaimers.
Every week the main distributors show negative stock on many items
this meansmore have been sold than they had.
If you think we're doing this as some form of desperation you're right.
We're desperate to educate the public on how risky it can be dealing with companies that pretend to hold everything ever made in stock at the worlds lowest prices. We've seen many come and go, that's a big advantage of being around since 1984. We have no problem with honest sites that spell it out with them you know where you stand.
It's been shown herein many pure e-stores go belly up sooner or later, who do they hurt in the mean time? Customers, Suppliers and genuine Competitors.
[TechBuy]
"..I have to reconsider my recomendation of TechBuy......
I had originally praised them, but have recently had to wait almost 4 weeks for 2 x 1G Kingston DDR memory that was shown on the website as 4 to 5 days delivery. My order status never changed from "processing". Over the 4 weeks I have emailed 4 times and rung once, but was never able to get a reasonable explanation as to what was happening except "stock has not arrived yet". Very frustrating.
I even tried to change the order to some other type so I would get some memory sooner. No response.
Well I cancelled my order today as I was able to get brilliant service from Nintek (NOW BROKE - AIM) with compatible memory being delivered in less than 48 hours. Funnily enough you have to ring to cancel your order ..... so far that was the best experience I have had with them as it was quick and painless.
'We only list products we DO have in stock or DO have a firm Estimated Time of Arrival (ETA) on. We also update product stock and pricing information continuously each day, including weekends."
It would probably be more accurate to say:
"We show the stock availability of our suppliers, based on the last time we imported their CSVs to the website. Nothing is kept on hand."
But I suspect they'd get less business if they were this honest..."
"..The reseller never saw the product - he's trusting that the supplier has described it correctly, had the right picture, and picked the correct unit off the shelf - they do get them wrong from time to time, from my experience.."Source
"..THIS COMPANY IS A NO GO ZONE! I know a person at work who ordered from them, and they NEVER EVER RESPOND TO E-MAILS, FAX'S they never answer their phone, and they take money and DO NOT DELIVER!
STAY AWAY FROM THIS COMPANY! .."
"..I wish I saw this forum before I ordered!!!
AVOID ALL TRANSACTIONS WITH THIS COMPANY!!!
I have since bought the same laptop from another company, and received it two days later.."
"..Being a purchaser for our corporate usage, we will stay far away from your website as we never know when it will disappear like many of those before you. No real physical address is another common worrying sign too.."
"..In my case, however, I monitored your website regularly in relation to the items I ordered and all continued to show 'In Stock, 5+'.."
"..one is actually buying from an organisation that has a web site, but which forwards orders to a real supplier. This is bound to have some negative consequences.."
"..The reseller never saw the product - he's trusting that the supplier has described it correctly, had the right picture, and picked the correct unit off the shelf - they do get them wrong from time to time, from my experience.."Source
"..I called the owner and asked if we could meet and i pick up the parts just once, as we never did buisness and I wasnt comfortable handing over 2.5K to someone I never met before. He said you can come and meet me but I dont keep stock here, its not a wharehouse.."
"..Being a purchaser for our corporate usage, we will stay far away from your website as we never know when it will disappear like many of those before you. No real physical address is another common worrying sign too.."Source
"..Really interested in what everyone thinks... Would you really pay 30-50% more?.."
Yup.
If they came across as being helpful and going out of their way to help me (you do not always get this).
[Megabuy.com.au]
"..I apologize, but we have been informed by the supplier that there was an incorrect price feed through to our system for the item you have ordered – consequently we cannot order it for you at the price you have paid.
"..My order was paid for and invoiced automatically. Later that same day, email comes from MegaBuy confirming payment and order processing. The order tracking link included in this email shows the same (order received, confirmed, paid and processing) on MegaBuy's website. Today (11th June) I receive an email from one of their Sales Team members (ABOVE) apologising that an incorrect price was fed from their supplier and they cannot order for me at the price I have paid.."
Check out prices below and please let us know if you find a genuine Aussie & In Stock price cheaper!
We try to offer the lowest genuine price and still provide real support such as colour management, lower running costs and genuine Australian warranties etc. Many prices are not genuine as you can see from this review so please give us the opportunity to get your business and let us know if you think you've found a find a better GENUINE deal.
[Megabuy]
"..Hi, I work for MegaBuy and as shaunf has correctly pointed out there is indeed a bit of a backlog from the holiday season. We are also in the process of moving into a new office, which is the reason for some delays with responses. We are definately still operating and don't intend to be going out of business given that we just signed a long term lease for the office.
Also, just to explain what sometimes happens with the stock information... When you place your order, the stock information on the website iscorrect to within a few hours, however, we cannot reserve stock or start processing the order until we have a cleared payment (As some people place an order but don't pay). With a direct deposit this usually means at least a day difference, which may mean the stock may get sold out (generally only happens to fast moving items).
Clearly, this is not perfect, but this is the only way it can work without significantly increasing business risk (which would result in higher prices).
Obviously this means that there will be situations where customer expecations are not met, but its an unfortunate reality we simply have to deal with. In this case we offer customers 2 options: For their item to be placed on backorder and for them to wait until stock becomes available or to receive an immediate full refund.."Source
[Megabuy]
"..Ensuring that we receive payments for orders in full before we process them allows us to keep the prices low as there is no investment in inventory, which significantly reduces our risks.."Source
Megabuy Technology Superstore(P.O. Box 84 Lawnton, 4501)
Mega Buy Technology Superstore.. Have written to us on 5/11/08 saying they do keep stock. This contradicts the above & according to their site they actually do have 20,000 items in store..
Legal Disclaimer:
This review contains statements of pure opinion and fair comments made in good faith in the interest of the public by AIM Digital Imaging. To ascertain the facts please do your own research.There are also quotes from and links to external sources please see their disclaimers.
Are they always cheaper?
It's worth noting that companies who hold stock are taking a risk, but isn't that better for you?
Let them take the risk!!
Holding stock does not lead to higher prices, we buy in bulk. You save!
From: Dave [mailto:dxx@iinet.net.au] Sent: Tuesday, 20 January 2009 3:17 PM To: Steven Subject: Price match Xerox 1110 lazer printer
Hi Steven,
You were correct, no one could match your pricing. I even tried xxx who claim they beat prices by up to 25%!! (see below copy from xxxxxx fyi) Anyway I placed an online order yesterday and the printer was delivered before lunch today!!
I would just like to thank you for your recommendation (the printer is fantastic only took a few min to get it working)
Kind Regards,
Dave Kimpton
-----Original Message-----
From: xxSales [mailto:sales@xxxbuy.com.au]
Sent: Friday, 16 January 2009 6:48 PM
To: Dave Kimpton
Subject: RE: Enquiry from Mxx Txx Superstore - Sales
Hi Dave,
Unfortunately we can't do a better price. Perhaps places where you've seen it cheaper have bought it before the prices went us as a result of currency fluctuations. (--that's what we do alright!)
Regards,
xxx (--names deleted by AIM to protect privacy)
PS if you'd like to know more about how we offer real service without the risk seefeedback
This printer has an RRP of $2199 the lowest we've seen it for is $1511 (but no stock)
This week (ending 7/11) most e-stores are showing no stock of the Epson V700 photo scanner yet the main distributor is -10 this possibly means 10 people have paid for one but will be waiting for a while.
If there is a way to know for sure that stock data is correct and there is NO POSSIBILITY that you could miss out due to over selling or errors we would like to know how. Unless you have the physical stock we can't see how you can get around errors. You must be taking a lesser risk buying from a company that has YOUR stock.
Even if you call the distributor to double check you can still be let down if someone else there has taken an order for the same goods.
There is no substitute for having your own warehouse as we do.
We can reserve stock too!
Note: Some companies with "Live stock check" have also been fibbing, unless they have their own warehouse and are a real bricks and mortar company it's safer to assume they have no real stock. Below is an email in regard to this problem from a major wholesaler who's data appears on almost every e-shop in the IT industry.
From: Webmaster - AU [mailto:xxxx@xxxxxxx.com.au] Sent: Thursday, 30 October 2008 12:01 PM Subject: xxx Data File Feed Authorisation
I can confirm that xxx is one of our Data Feed customers. Therefore, stock levels which are showing on xxxect are not real time stock.
"..A lot of people have been left in the lurch, waiting for components that will now never come.
And if the best we get refunded is 10c in the dollar. Thats $10 back from $100 that has been sitting in Ninteks account for a long time.."
"..Bye bye $98. I guess I didn't want you anyway (apparently).."
"..Needless to say i didn't even hear from them (as promised) and i still await the delivery of the computer....
So now i stand to loose over $2000. Can i claim fraudulent activities and get a bank to reverse a Direct Debit?
Its nearly a months worth of pay....Nintek are really really in the wrong here, but i guess we all know that already.."
"..Everyone has been warned about these guys and many people on WP have defended them (quite strongly at times), makes you wonder what their real reasons were?
Remember, any business needs to make a profit at the end of the day.
Paying "a little bit more" to a business with morals and service values can work out cheaper in the end.
Cheap prices normally come with some hidden risk (quality, backup, lies), may bulk buying using the "clients" money now "die" along with this two bit outfit.."
We keep warning everyone this can't go on, competition is one thing but consumers and suppliers are playing pass the package and if you get caught when the music stops. |top|
Did we miss one?
Check out prices below and please let us know if you find a genuine Aussie & In Stock price cheaper!
We try to offer the lowest genuine price and still provide real support such as colour management, lower running costs and genuine Australian warranties etc. Many prices are not genuine as you can see from this review so please give us the opportunity to get your business and let us know if you think you've found a find a better GENUINE deal.
Most e-shops don't hold stock but you won't know till it's too late!!
We've been in business since 1984
Government Endorsed Supplier - See our Feedback..
"..policy is a refund will be given AFTER A MONTH.."
"..I live in Melbourne and have been ringing Gamedude every week with no avail on getting my refund even though I can buy the unit somewhere else for $25 more.."Source
The example below shows how you could pay a lot more due to a data error. 2/12/08
Note the going price for the Xerox C1110A (
DPC1110) Colour Laser is $440-$540. The data was also wrong on the e-stores sites. It's interesting (to us) to see how the megabuy and
tech4u wrong prices are within 5 cents of each other.
If you were shopping on the sites and didn't know better you could pay over twice the price that others were charging for the same product!
The example below shows data at least 6 WEEKS OLD (We'd suggest 10+ weeks) the snap shot was on 16/11/08.
We used this example because at time of writing we purchased in bulk and knew we should have the lowest genuine price.
When we tried to purchase the printer on 20/11/08 the shopping cart said "..There are no items in your shopping cart.."
Buy it if you can..
In the above example they don't have stock so how can they sell it?
Looking at the stock on the 13th June 08 you'd think you could buy a C525 printer? After all THEY have 3 in stock.. They never had any in stock they had a list that was out of date from a distributor.
We sent an e-mail asking is that correct rather than just placing an order as you may have, the site now states "stock shortage" however had you ordered it you would not have been supplied!
The 2nd listingfor $389.63 simply does not list it when you try to purchase, which is better than taking your money and having to chase them for a refund.
If you had to chase a company for an order they can't supply this could happen:
"I proceded to order. I had to myslef ring 3 days later to get confimation of order although to my amazement I was told non were in stock. I asked for my refund ASAP only to be rudely responded with the remark "Gamedude's policy is a refund will be given AFTER A MONTH"!! I live in Melbourne and have been ringing Gamedude every week with no avail on getting my refund even though I can buy the unit somewhere else for $25 more.
"..Its been three weeks and Im still fighting to get my refund of $175." |Source|
More on this story below.Back to the story..
The bot's data is often supplied by the e-tailers who in turn get it from the distributor without being able to check it as they can't see the stock or manufacturers invoices. This is why if you hold stock you're in a much better position to supply at the quoted price.
Another example below where a client said to us "I can buy that $200 cheaper", we couldn't see how because the price was below our true cost plus we buy in bulk on the item.When you looked at the Bot's listing none had it in stock, (which is common for "Box movers") however if you were willing to wait could you may still get it cheaper than us? No.
In this example the data which is the basis of the listing (from one distributor) was wrong. This means if you placed an order on the 25th you would wait only to find out that they couldn't supply at the listed price. It took over two weeks for this error to filter through all the copy cat data sites but you could have been forgeven for placing an order expecting it at the listed price.
We tested one supplier only to be told "Sorry no stock" hoping we would go away, pushing the point and willing to wait could we still get it at their published price? No "That was an error". This type of error happens a lot when you just move boxes and don't actually stock the product!
Screen shots from shopbot.com.au
25th September 2007
The $1428.06 price and the others are WRONG!
26th September 2007 The $1428.06 price and the others are STILL WRONG!
Lets click on the $1428.06 price and see what happens? (The price we were asked to match, thats's why we say it must be Genuine!)
It turns out they don't have stock, the price is wrong and it's more than ours.
Next day (27th) the error is starting to filter through but the shopbot is still wrong!
Next day (28th) the error still there so shopbot is still wrong!
On the 9/10/07 we decided to order one to save you the trouble!
We're not silly and don't want to part with $1427.17 for nothing so we called the number to enquire about the delivery time? (Answer = sorry, no stock..)
"OK I don't mind waiting for such a
good price can you confirm it please?"
Answer = sorry that is an error!
In other words this is yet another example of pie-in-the-sky pricing!
15 days later on the 9/10/07 you guessed it, still wrong!
Some e-shops bring discredit on the whole industry by misleading you as to how much stock they really have using words like in store (i.e. megabuy.com.au) which in our opinion any reasonable person would take to mean their store.
Many have failed owing large sums, most use your money as their finance company as they don't want to take the risk of holding stock. Quote: "..Clearly, this is not perfect, but this is the only way it can work without significantly increasing business risk.." -- Megabuy.com.au
When you look at some sites you could be forgiven for thinking they must have the worlds largest post office box to hold all that stock in their store.
None will say X number "in-Stock" is across 1,000 shops so get in fast! ..and In-Stock does not mean it's at their shop.
This is a long review because we needed to show that the problems are not rare, this has happened many times before. People forget.
e-stores normally take your money first then rely on data rather than real stock, sometimes resulting in unexpected delays or non supply or worse.
Some e-stores operate on such small margins that failure seems to us almost inevitable. e-stores have been going broke for years, some taking peoples money with them. Then starting up again!
Ripped off: Over 1800 customers out of pocket after E-Store collapse
"..More than 1,800 creditors of failed online retailer E-Store will not receive the goods they paid for, according to a notice sent by company liquidators.." Source
etailers nervous after buy.com's flop
"..As buy.com.au dipped beneath the waves late last week, its competitors took stock, hoping the market doesn't get much worse and the promised Christmas rush keeps the ball rolling.." Source
Note too that the major distributors have negative stock every week which means more items were sold than they had. While some people were expecting backorders many were not as the store said they had stock. They did not spell out the X number in stock were forall storesacross Australia and first in best dressed.
Price war between tech4u, ASYS, Printingmart, Ibuy, Tammex, MegaBuy, TechBuy and many others will like all wars have causalities. Winners too like the search engines. Is anyone seriously going to convince you when they are killing each other cent by cent that they are all going to stay in business? It's just not possible, so who do you bet on? The only people laughing all the way to the bank own the sites charging for advert clicks.
In the past people would shop around for the lowest price (using a PC example) then complain that 6 months later the doors were closed and their warranty was worthless. People are starting to wake up that price is not everything especially if you may have to wait longer than expected for delivery or fight to get your money back.
They key point we like to get across is most e-shops don't keep their own stock they rely on data that can be wrong you're risking money or delays dealing with some of them as NONE can guarantee supply unless they really have their own stock.
We've been in business since 1984, we're not afraid of letting the public know that shopping on-line can be as risky or safe as you care to make it.
Conclusion
The secret to secure your purchase is a little homework on the company before you place your order. If you can't imagine them having thousands of items in a P.O. Box you're right.
If they seem to have everything ever made in stock this is a sure sign they don't. Ask for your serial number before you pay them. Most e-stores take your money then see if they can get the stock they said they had.
We buy in bulk, we believe we are very competitive on specials. Best still there is no risk to you, we don't charge your card till the goods are on the way. We hold stock of popular and bulk buy items in our warehouse. If there is a problem with stock elsewhere we call you before we bill your card.
