Here are some background notes pulled together for recent segment on The Today Show. Hope helpful in addition to material on MSNBC. Thought it might also be fun to share some of the things in my personal shopping cart. Was on bit of a spree;) More of my favorites here.




GETTING THE BEST DEALS ONLINE

More than half of households now regularly shop on the Internet. That's good news for e-tailers who saw online retail sales grow 25 percent last year, to $220 billion. And while today's online shoppers are more cyber-savvy than ever before (and better equipped when it comes to tracking down the best bargains online), there are times when we're left wondering: Did I really get the best deal? Could I have done better on another website? And what about those comparison shopping sites ... are they really churning out the best deals for consumers?

Shopping Comparison Sites – where many start their search.
When you know what you're looking to buy online ... Maybe it's a particular digital camera, stroller, or sneaker ... The best place to begin your search is on a shopping comparison website.


About comparison shopping sites or "bots."
A new five-year forecast from Forrester Research indicates people who are the biggest online spenders are also the most likely to comparison shop. Price comparison sites give you a great initial snapshot of what the product is currently going for online. There are several comparison sites to choose from, like: www.PriceGrabber.com, www.Shopzilla.com, www.Shopping.com, to name a few. PriceGrabber.com covers more than 11,000 retailers, includes a new "Shop Green" option for eco-friendly choices & claims you'll save -- on average -- up to 25-30% just by using them as part of the process. It is updates six times daily to reflect the latest prices from all included merchants. Shopzilla draws on database of 33 million products from more than 91,000 stores. Electronics are the most popular item for searches on these kinds of sites (followed by apparel, appliances and home improvements).

Comparison shopping sites also allow smaller, less established e-tailers to feature products next to major players/big brand names - and that's a plus. Those smaller retailers often have less overhead & may be willing to list a hot item as a loss leader, just to get in the game & grow their customer base (they're banking on you coming back for subsequent purchases).

Tips for Using Shopping Comparison Sites:

1) Re-sort results.

Often merchants pay for placement on top of product category lists, so the first thing you want to do is reorder results by "price." You can also resort them by "merchant rating." Past shoppers are offered a chance to rate their experience with the merchant, which helps build in some quality assurance, which is important if you're going to do business with a smaller or lesser-known e-tailer. Make sure you're sorting by TOTAL price, including tax & shipping. You want to be comparing "apples to apples." See additional info below.

2) Not all e-tailers are included.
The merchants listed in the search results are paying to be there. Each time someone clicks through to their site, they pay a small fee. It's called paying for "cost per click" leads. http://merchant.shopzilla.com/oa/shopping_search/

3) Also search the big name stores.


If you have the time, you might also check prices on the larger individual retailer sites for the item you're after. Search Walmart.com, Target.com, Circuit City, Best Buy, etc. Sometimes these outlets will be running exclusive promotions which may make the net price lower even if the actual item is priced the same.

4) Use more than one price comparison site.
Many people have a favorite shopping comparison site, but as is the case with online travel sites, there isn't one that consistently finds the best deals. And again, you won't always find the same group of e-tailers listed from site to site. Still, even just using one of them, is bound to get you pointed in a more frugal direction.

5) Consider the total cost.


Shipping cost: There's usually a place where you can enter in your zip code to see each merchant's shipping charges instantly.

Tax: This will likely vary too. There are a number of factors, including where the company is based and where you live.


Coupon codes: You can find online coupon codes on sites like www.couponcabin.com or by typing the name of the retailer + coupon codes into any major search engine (e.g., GAP + coupon codes). Maybe the price is higher on one site, but you've got a 10% off coupon, so it brings the price down making it the overall best deal. (Deal-aggregating sites are also worth checking out: www.bradsdeals.com is a good one.

6) Know when items are "refurbished."
Make sure the item you're viewing online is "new." Some sites, particularly those that deal in electronics, sell "refurbished" items. Those items and their lower price are often displayed on shopping comparison sites. Be sure to read the fine print when you click through to view the item description. (Tip: Sometimes you can spot these e-tailers quickly, as they may have names long the lines of"RefurbDepot" or "Second Chance."

Could you be paying more than the next guy for the same item?

Something else to be aware of before you're ready to buy ... e-tailers engaging in a practice called "dynamic pricing." Dynamic pricing, also called price customization, is a fluctuating price strategy hotel and travel sites have used for years. A number of factors are involved.

"Price Customization" is typically legal.
As long as their not delivering different prices base on race, religion, gender, etc.

Can be based on supply and demand.
When too many buyers act on a particularly hot deal, an online retailer may begin to sell out quickly, prompting the site to automatically up prices based on supply and demand.

E-tailers get to know you and build a profile about you.
Most sites these days ask you to register. How many of us really read the site's privacy policies? They collect information about your purchase history, your browsing history, product preferences, financial resources – and set prices accordingly. Their profile of you could suggest that you may be willing to pay more – or less – than others for a particular item. They may also use your profile to suggest certain products you might like or to target you with certain discount coupons or offers.

Non-Bargain hunters are prime customers.
Stores may reward those who DON'T bargain hunt and thus bring in more revenue. The constant coupon code user may be charged higher initial prices, while the buyer who never bothers to price-compare (shopping on the favorite site despite a competitor's sale) and never uses coupon codes may get price breaks in return.

How to make sure you're getting the best deal if you suspect there may be some price customization going on:

1) Clear your cookies.

When searching for products online on your favorite sites, consider clearing out your cookies. Cookies are essentially electronic footprints enabling sites to recognize your IP address and track your browsing habits (i.e, where you search & click). There are slightly different ways to delete cookies depending on what Internet browser you're using.

2) Timing is everything.
Some prices, particularly those on popular items, could be here today, gone tomorrow. If you're not in a rush to buy an item, try searching for the item over a course of a week or even weeks. Watch to see if the price trends up or down during certain times of the week or day.

3) Playing Hard to Get
Some people even claim they're convinced checking out a product online, but not ultimately buying them, may mean the next time they look for the very same item, it is more likely to be marked down or offered with a "free shipping" (the single most powerful promotion online) or percentage discount. So .... some true bargain bees looking to beat the system, will put things in & out of their shopping cart. The "abandoned" shopping cart is little like walking of the car lot & having the dealer say, "Wait, wait ... We can do better!" Note: Remember an item is not really YOURS until you check out. It's not enough to have it in your cart. So, if it's a hot item, you really want it &/or inventory may be low, don't get too cutesy or by the time you actually go to check out you may find you and your virtually shopping cart were strolling a bit too long.

RSS Feeds and Hot Deal "Alerts"


Several shopping sites are offer to send hot deals alerts via e-mail or to your cell phone. There are also RSS feeds, featuring deals you've asked to be alerted about.

Consumer say they find the best deals online.
74% of consumers say they find better deals online, than in traditional bricks and mortar stores (April 2007, Online Shopper Deal Shopping Study by BizRate Research).


Online sales of apparel, accessories and footwear edged out computer hardware and software in 2006, $18.3 billion to $17.2 billion. (Forrester Research – Spring 2007)

More pictures, ability to zoom in + virtual models, can lead to more sales online.
Many people have shed their reluctance to buy something they can't touch or try on, especially as retailers develop more sophisticated websites allowing you to view images from different angles. Flexible return policies also encourage non- committal shoppers to give the Internet a try. Here's an amazing site for designer jeans -- popdenim.com


If you didn't catch this at top, here are a few of my favorites things purchased recently online. Was on bit if a spree ... more here:) I'm a "hunter."

Hunters vs. browsers.


Hunters, who tend to be men, know exactly what they want, right down to color, size and brand. Browsers, who tend to be women, are more interested in what's new and what's on sale.

Growing importance of User Ratings.

Price is still the most important factor when online comparison shopping, but discriminating consumers are giving more consideration to customer satisfaction feedback. According to Jupiter Research, 77% of online shoppers read/check user reviews and almost half of them find these reviews useful.

The best deal is finding the right balance.


Consumers still love to price comparison shop, but are wary of deals that are too good to be true and turn to fellow shoppers to make their decisions. Online shoppers are looking for the right balance between price and retailer reliability. They will not succumb to premium pricing for the sake of good merchant ratings. You really want to know about this site .... CLICK HERE: www.WIZE.com to make WIZE BUYING DECISIONS.