Burlington Comp Shopping

Comp shopping

• look at whats in the front of the store to see the newest fashion items and trends

• trend is more important than other areas

• easy to spot trend

Customers look for:

• where they can save the most money

• on like or similar products we want to be the same or lower than the price of competition

Regular Price store

• macys

• dillards

Discount store

• might pay same as regular price, but will take a lower initial markup

• walmart discounts lower than regular price

• ex: Macy’s sells $20, Costco sells $11.50

• Costco - 13-15% initial markup

Off Price

• pay less, less on initial markup

• ex: sells for $10, retail for $20, we buy for $5 and sell it for 10% of manufacturers’ wholesale price

Out the Door Pricing

• the price needed for a product to be purchased

• ex: kohls cash given after purchase to make you come back; macy’s credit card

• what the customer pays when they leave the store