An unusual pricing glitch at Amazon.com left shoppers delighted at first, as they managed to order toys at significantly lower prices. However, the excitement was short-lived, as the online retailer later informed customers about the mistake and gave them the choice to pay the correct prices or cancel their orders. This article dives into the incident, shedding light on Amazon’s response and the opinions of industry experts.
1. The Pricing Glitch
On a Monday, Amazon glitch became viral on internet affecting the prices of certain toys and promptly sent emails to affected customers, notifying them of the problem. According to Amazon’s pricing policy, if an item’s correct price is higher than the stated price, the company contacts customers to offer them the option of purchasing the item at the correct price.
2. Customers’ Reactions
Tracy Ann Johnson from Delton, Mich., received an email from Amazon explaining the situation and offering her the choice to complete her order at the corrected prices or cancel it. To compensate for the inconvenience caused, Amazon also provided her with a $5 gift certificate. However, in a subsequent email, Amazon informed Johnson that the prices of the items she ordered had increased due to the Amazon price glitch. One of the items, a refrigerator play set she purchased for $2.49, was actually priced at $29.99.
3. Consumer Complaints and Industry Insights
Unsatisfied with Amazon’s response, Johnson filed a complaint with the Michigan Better Business Bureau. Experts weighed in on the situation, suggesting different approaches for Amazon. Harry Wolhandler, an analyst at ActivMedia Research LLC, stated that honoring the lower prices could be a positive public relations move, but it wasn’t obligatory. Wolhandler highlighted the importance of transparency in such situations. David Cooperstein, an analyst at Forrester Research Inc., agreed that although Amazon wasn’t obligated to honor the lower prices, doing so could benefit their reputation.
4. The Broader Issue of Amazon Glitch
This incident at Amazon brings attention to a larger issue of pricing glitches on websites. Cooperstein emphasized the need for improved content and pricing management systems to ensure accurate pricing before customers view the listings. Pricing errors are not uncommon in the online retail industry, and companies must be proactive in rectifying them.
Conclusion to amazon glitch
While the Amazon glitch created confusion and disappointment among customers, the incident highlighted the importance of transparent communication between online retailers and consumers. Amazon faced a decision whether to honour the lower prices or adhere to its pricing policy. Industry experts provided differing perspectives, acknowledging that the Amazon price glitch exposed a broader issue in pricing management. Despite the incident, Amazon’s strong customer relationships are expected to endure, with the company’s reputation largely intact.