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Shopping for a Canon SD880IS Camera: Amazon.com vs BestBuy.com
I recently found myself in the market for a new point & shoot digital camera after putting my last one through the wash. It turns out that cameras don't need to be laundered.
I'm a huge fan of Canon's Powershot point & shoots. Especially the ones with wide angle lenses because they're great for indoor shots, food photography, and self-portraits. The image stabilization makes it possible to get away without using a flash a much longer exposures. Awesome. So, I researched the latest model from Canon and quickly figured out that it's the SD880IS.
Once I knew what I wanted to buy, it was time to find a place to buy it. Being a Minnesotan, I decided to check out BestBuy.com. They carry the camera. Here's how they present it:
Hmm. That's disappointing. Let me count the ways:
1. No picture of the back of the camera.
2. Only two reviews.
3. I can't see the price without adding it to the shopping cart.
4. No information about shipping costs.
5. No information about related products I may want to consider (perhaps there is a previous model that's so much cheaper I'd go with that?)
6. Usually leaves our warehouse in 1 business day? So, I may or may not see the camera one of these days?
Compare this to Amazon's Canon SD880IS presentation:
1. First thumbnail is of the back of the camera.
2. 98 Reviews
3. Amazon's price, and three other supplier's prices are displayed.
4. Free shipping is offered.
5. Related products are displayed along with the percentage of times people purchased them instead.
6. They explain when I can expect this to arrive if I purchase it now.
Online merchandising matters.
If both store's prices were exactly the same, Amazon would win because they do a better job giving buyers the information they need to make an informed buying decision.
Oh, I did add the camera on BestBuy.com to the shopping cart in order to find the price. They charge 15.8% more for this product than Amazon, plus $6.75 for shipping so 18.5% more than Amazon.com. I also had to put up with a pop-over reminding me to $44.99 extended service plan for a $245 camera.
It seems like Best Buy has the buying power to be competitive on products like this. However, the bigger competitive challenge appear to be beyond just price.
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2. Posted by: Ed Kohler on January 25, 2009 9:19 PM:
Thanks for the background, PXLated. Unfortunately, none of that matters to consumers. I can't imagine how difficult it must be for the online team to compete with so many handcuffs.
3. Posted by: Tony Cecala on January 26, 2009 5:09 AM:
The Darwinian nature of the marketplace awards survival to the most adaptable. The big box stores cannot compete with the nimbleness of Amazon.
Manufacturers and bricks-and-mortar stores need to wake up to the reality that MAP and other arcane limitations are relics of the dinosaur age of print ads and newspapers.
In the age of search and comparison engines, the site with the most transparent information, and best overall value, wins.
...and 18% more for a service plan? Don't get me started!
4. Posted by: PXLated on January 26, 2009 1:24 PM:
I agree 100%, and it's only going to get worse when everyone is carrying around a smart phone, checking prices as they browse. Old retail/manufacturer habits die hard but they will be forced to die.
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Will be interesting to see how the BBYs and Targets adapt once "print" editions of newspapers disappear. They live and die by their Sunday supplements and that distribution channel will eventually be gone. I suppose they could gang together and form their own distribution network.
5. Posted by: ryanl on January 26, 2009 2:24 PM:
First Off...Amazon is the best in the world at this no doubt about it.
Reviews on a corporate site what a joke...astroturfed galore...I would never trust it.
BB clearly has one very distinct advantage on most products...lets call it the "I want it right freakin know" factor. We've all clearly fallen prey to it...hell its the whole reason apple is such a powerhouse.
The real question is: what is "IWIRFN" factor worth? 10-25 bucks maybe? That would be good information to have.
6. Posted by: jules on January 27, 2009 7:02 AM:
Fantastic Comparison Ed!
It's worse in Canada - we don't even get the Amazon option :-(
Good luck with the camera - I've got that model, and LOVE it.
Use it almost as much as my canon SLR ;-)
7. Posted by: sue on June 10, 2009 12:28 AM:
Since you are high on this camera ---- big favor-type question:
how do you think the batteries are compared to other brands?
I went with same camera when replacing a worn-out Olympus, BECAUSE liked Cannon *Film* point-and-shoots, and liked that this Cannon had an eye-viewer with big screen on back (most models have dropped - which makes it very hard to take photos in the sun)... like it generally. But I am very, very frustrated with the delays from frame to frame... and hoping was just battery, bought another - though stores only had other "compatible" brands but not cannon battery ... and, frankly, no difference.. takes forever to snap a photo, and to snap 2+ in a row...
have you had better luck? and, any suggestions?
8. Posted by: Pete on October 9, 2009 3:41 PM:
I'd just like to know how the camera prioce went from 245.99 in ths ad, to $1,199 at this point, October 09. the camera looks great, but with that change in price it's just not sensible.
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1. Posted by: PXLated on January 25, 2009 7:25 PM:
With different camera models you may get different results but generally, I agree with your analysis. Because of the shipping, I usually just check for in-store pickup (same day) if the price is reasonable. Otherwise Amazon gets the order.
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Back when the first version of the site launched (2000) BBY had the best and the most pics per product of anyone online. It was what we called a parity-Plus feature. Too bad they've cut back to this extent but even back then there was resistance to spending on more than one.
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As far as displaying the price right up front, this is more than likely a manufacturers requirement. If a retailer wants to participate in the coop ad program, they can only show the manufacturers Minimum Advertised Price (MAP). What many don't realize is these apply to signage in the stores also. These coops pay for the Sunday supplement and things, an expense Amazon doesn't have. This was a major bone of contention when we did the original site. The manufactures didn't want BBY to even show the actual price until checkout, like in the stores. Having to click to the cart was a compromise.
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In some categories (don't know about cameras) Amazon isn't actually an "authorized reseller", at least back in 2000. They bought stock on the gray market so weren't held to the same terms and conditions as BBY.
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The wonderful world of retail ;-)