Cost of goods of big electronic companies such as Samsung, LG, Panasonic, Sony, Motorola, Lenovo, and Xiaomi are turning out to be common all over brick-and-mortar and online stores. This has resulted in getting rid of the distinctive benefit that used to attract users to online deals.
Companies such as Samsung, LG, Panasonic, and Sony have made an entry into business association with the e-commerce marketplaces to manage discount and pricing for their televisions, smartphones, and home appliances. Up till now online-focused companies such as Lenovo, Xiaomi, and Motorola have informed the trade associates that they too will soon apply similar strategy of pricing. This data was given by 3 senior executives of the industry to the media at a conference..
All the firms lately reworked their discount and pricing strategy after the execution of Goods and Services Tax (GST) to make sure same pricing across channels, claimed Manish Sharma, president of Panasonic India, to the media in an interview. “Over the past 1 Year, there is also a decrease in the amount of money which the e-commerce companies were giving to obtain users by discounting. We appreciate that profound discounting by online stores will not be common,” he further added to his statement.
A senior administrative with one of the Korean user electronics giant claimed that top companies having made an entry into direct association with all online marketplaces to guarantee market operating cost is preserved. Some of them such as Flipkart still needs a couple of models that they can cost insistently at the time of discount sales.
“We may permit some discounting only for the models that are online exclusive and it will be merely handful of them. Therefore, users can now anticipate cost parity across some of the models, comprising the trendy ones,” he added to his statement.
Satish Padmanabhan, Head (sales) at Sony India, claimed that the company has come up with direct rules to make sure fairness of costs over all channels. “Over the last couple of months, the fanatical online discounts are dropping and we do not anticipate similar costing to remain over all channels owing to direct business policies,” he claimed.