Does it Really Save to Shop Online?

By Allen Teal, published Apr 27, 2007
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Online shopping can be cheaper if you are willing to actually shop and not just purchase from the first vendor you find. Just as in the brick and mortar world, different stores set their prices at various levels. Greed and cost of doing business can affect the price levels.

One problem with online shopping is the shipping costs. You never see these at department and discount stores because prices already include these costs. Online stores frequently increase their profits by charging artificially inflated shipping and handling costs. Depending on the quantity and type of item that you buy, shipping can add from 10% to over 100% to the price of your item. As a general rule, the cheaper selling online vendors tend to charge the highest shipping. .

Even if you only buy reduced price items, you may still get bit by the shipping costs. They are certainly allowed to make their profit wherever they see fit. You have to be careful not to get a surprise in the final amount. If you can find vendors that include shipping in their advertised pricing, it is better for you and easier to compare prices

When comparing prices, don't forget that to shop online, you don't have to go out and get the item. There are no gasoline costs or wear and tear on your car. This adds to the cost of everything that you buy from a store. We normally don't include this in the cost of an item, but it still costs us something. If you have to lose earnings to make the time to go out shopping, this can be an extra cost that you don't want to overlook.

Worry a little about warranties and returns. Most stores in buildings post their policies clearly and will work with customers for resolution. Online shopping sometimes leaves you in a bad way in this area. They frequently have a no return policy, or you still have to pay shipping both ways plus a restocking charge. Problems with merchandise quality can be a little scary online.

If you have improper charges, you at least have your charge card or bank to fall back to most of the time. If you've used your checking account, this can be less of an advantage than a charge card. Even Paypal can sometimes be helpful here.

Takeaways
  • Watch for high online shipping costs.
  • Online returns and merchandise problems can be hard to resolve.
  • Don't forget to count shopping expenses for your car and time when comparing prices to those online.
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