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December 11, 2006

Take a lesson from our mystery shoppers

Most of you probably know what distinguishes Consumer Reports from other information providers. We accept no advertising, refuse to allow manufacturers to use our name in their product promotions, and we buy everything we test on the open market -– just as you would. It takes a band of committed people to handle the nonstop workload, and the job of staff shopper is largely an unheralded one. But without these individuals, spread throughout the country, we couldn’t do our job here in Yonkers, N.Y., our national headquarters.

Because these front-line troops know more about shopping than almost anyone else, we decided to take advantage of their expertise, and turn them into investigative reporters for the day. Armed with determination and a strong sense of curiosity, we asked several shoppers in Washington State, Florida, Pennsylvania, Iowa, and Canada to hit a few Wal-Mart, Best Buy, Circuit City, Sears, and Target stores. Their task: Shop for LCD, plasma, and rear-projection TVs and try to negotiate the price of the sets, delivery and installation services, even extended warranties. Their work was admittedly non-scientific, and their experiences purely anecdotal. They visited only a few stores; had they shopped at other stores in the chains, their encounters might have been quite different. Nevertheless, their observations make for interesting banter around the water cooler. And maybe our shoppers’ experiences will empower you to try to land a better deal. After all, you’ve got nothing to lose by asking. The worst that can happen is that the salesperson says “no.”

  • In general, salespeople were more aggressive selling television sets than extended warranties.
  • Most sales pitches for warranties were low-key, but they were usually a standard ritual when our shopper engaged a salesperson. A warranty sales pitch was common when shopping for all three types of sets. It’s easy to understand why. At a Sears store, the salesman quoted a price of $599 for a 5-year service plan for an $1,800 plasma set and $749 for a $2,500 model. At a Wal-Mart, 2-year warrantees for LCD TVs were priced from $59 to $189, depending on the purchase price, and $199 to $259 for plasma models. Not all warranties provide the same level of coverage, of course. Basic ones might only cover manufacturing defects, while pricier ones might be more liberal, providing “performance” guarantees covering degradation in perceived performance quality.
  • Not all salespeople push extended warranties with the same vigor. One clerk at Circuit City advocated on behalf of an extended warranty in case our shopper’s “kid hit it with a bat.” An unusually candid Wal-Mart salesman told another shopper he didn’t believe an extended warranty was necessary.
  • Shoppers occasionally convinced salespeople to cut the price of the warranty to match a competitor’s price. But when one shopper failed, he got the salesman to discount the price of the TV instead.
  • Delivery and installation fees for TVs varied tremendously, but were generally not negotiable. Consider the range of price quotes:
    • Delivery: $55 (Circuit City); $50 (Best Buy); $60 Sears (plus $10 to haul away old set)
    • Installation: $75 (Circuit City); $200 (Best Buy); Sears didn’t offer installation at the stores our shoppers visited. Circuit City wanted $650 to wall-mount a set.

When all was said and done, the best line of the day came from an employee at Best Buy, responding to one shopper’s reference to Consumer Reports: “it’s a good basic guide and all,” the salesman said. “But you have to remember that it’s only one guy’s opinion.”

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Comments

I would like to become a mystery shopper however there are so many scams out there.Would you please recommend a legitamite site.

Thank you,
Melanie Taylor

would like to become a "mystery shopper" as this might improve the quality of both the products we buy and the sales and repair service we as consumers recieve from American retailers.

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