Seeing is Not Believing, Part 4

Discount Stores

During the last 20 years, the United States has seen a growth in both high-end and low-end stores that advertise that they provide deep discounts (or similar euphemistic advertising slogan). Generally these stores fall into three categories: “Dollar” shops, membership clubs, and outlet malls. A careful consumer can obtain many good bargains at these places, but they can also spend more money on items here than they might at a supermarket or variety store.

In the dark ages of the modern world, the Five & Dime stores held the place that the Dollar shops do now. There were several important differences: Woolworth, J.J Newberry, Kresge, and similar stores offered many items at small prices, but they did not stop there. It was also possible to spend several dollars for products. They were “variety” stores that provided a huge range of products.

Today’s Dollar stores, and there are several national and many local names, state that every item in the store is the same price. For the most part that’s accurate, although some may be 2-for-a –dollar and others higher, usually marked as “special purchases.” Comparing the typical product in such stores with WalMart and Target will show that you can purchase similar products for slightly less or more elsewhere. Many items in the discount stores are discontinued, overstocked items, or holiday specials that, while still in date, have passed their intended target.

You can obtain many items in these Dollar stores that are not easily available elsewhere, especially gift boxes and packaging, Mylar balloons, and trinkets. There are also major savings on telephone and computer cables and jacks, electrical tape, pet toys, and simple kitchen gadgets.

The large membership stores, not limited to BJ’s, Sam’s, and Costco, charge an annual fee that is advertised to provide a discount on prices saving you more than the membership cost. There are two catches, though: you generally have to buy larger sizes and they rarely put items on sale. If you are a small business and have need of gallon sizes of pickles or mustard, or if you go through diapers, snack food, and kitty litter so fast that you need a huge supply, then these stores are for you.

But not all is at a discount. If you compare prices to your local supermarket, you will find that many items, even those not on sale, are less expensive, and you have a wider selection of products and brands elsewhere.

In addition, some membership stores, especially those who specialize in furniture and home goods, do not always offer either quality or discounts. Shop around and compare prices before buying. You need not waste gas or run all over: check online. Slightly Creaky’s Consumer Assistance Page provides a list of Price Research Sites to assist you.

Likewise, outlet stores are best for those who either know typical prices for the items they are seeking, or those who absolutely have to have name brands. In many cases, the discounted off-name products are made on the same assembly line or in the same Chinese factory that the advertised products are.