What is your thought?

Earlier today I was chit chatting with some lovely ladies about big box arts and craft supply stores.  We all know they LOVE issuing out coupons to save 30%, 40%, and even 50% off one item.  I am trying to understand the mindset of savings and sales.

As a small business owner, I work hard to try and keep prices low, and realized over the past couple of months that some of the Big Box stores actually have many of their items priced higher to alleviate the continuous discount they offer with coupons.  I keep the prices at the manufactured retail price, which on average is $1.00 to $2.00 less than the twin product at the big box store. 

Lets look at some numbers:

Glossy Accents, MSRP is $5.99

Big Box store: $7.99

Andrea's Artistic Albums: $5.99

40% off coupon at Big Box Store: $4.79

30% off at Andrea's Artistic Albums: $4.19 (May's monthly special on adhesive is 30% off, plus croppers receive a 30% discount off adhesives while they are cropping)

You would need a 50% off coupon to save an additional $0.19 from my discounted price of 30%.  

Pretty interesting, right?

As I mentioned, the coupons are usually only good on one item.  Therefore, if you wanted to "stock" up on adhesive, you would have to continually use a coupon to receive the discount.  The coupon is not an issue. It can be copied, used via phone, etc.  It is the fact, that the store typically only lets you use the coupon once per visit.  Every once and a while you will get a nice cashier that will let you ring up several orders to use a coupon several times.  We send our family members and friends in to make a purchase for us. 

I would love to hear what your thoughts are about this.  Don't think I am picking on the Glossy Accents, it is not the only product that is priced higher.  

Leave a comment.  I would love to hear what you think.