Will Online Price Matching Boost Toys “R” Us?
Toys "R" Us, Inc. last week said it was enhancing its "Price Match Guarantee" on items available in its Toys "R" Us and Babies "R" Us stores nationwide to include selected online retailer pricing.
The retailer will now match online pricing from Walmart.com, Target.com, BestBuy.com, Sears.com, Kmart.com, buybuyBaby.com, Meijer.com, FredMeyer.com, diapers.com, BabyDepot.com and Amazon.com on in-store purchases of identical items. Amazon.com price matching excludes Amazon Marketplace.
Online price matching adds to its previous policy of matching competitors’ in-store pricing on identical items when a shopper presents a local retailer’s current, valid print advertisement.
"We want to take away any concerns our customers might have about maximizing their budgets," said Richard Barry, the retailer’s EVP and chief merchandising officer, in a statement. "With online shopping growing rapidly, the addition of online competitors to our already strong Price Match Guarantee enables consumers to take advantage of our vast assortment of toys and juvenile products, while being assured they are getting the best price."
Price Match is given at the time of checkout. Customers can also receive a price adjustment retroactively at a store if a purchased item is advertised at a lower price at a local competitor within seven days of their original purchase.
The price matching won’t cover online-only deals, nor competitors’ online prices over the Black Friday/Cyber Monday period when TRU will be running other exclusive promotions instead.
Best Buy Co. appears to be the only other national retailer to match online prices as well as those from circulars, heralding online price matching as an anti-showrooming tool. Both Target and Walmart’s price match guarantees exclude internet pricing.
Internet Retailer also noted that electronics e-tailer Newegg, flash-sales site Fab.com, and payments processor PayPal have all tested online price matching.
- Toys "R" Us, Inc. Expands "Price Match Guarantee" To Include Pricing From Online Retailers In Advance Of The Holiday Shopping Season – Toys "R" Us
- Toys R Us Price Match Guarantee – Toys "R" Us
- Toys ‘R’ Us will match competitors’ online prices in stores – Internet Retailer
Is Toys “R” Us taking a big risk by offering online price matching? Do you expect the strategy to spread broadly to other retail categories or does it only make sense for certain ones?