Managing director refuses to damage market with loss leading strategy online
High Street entertainment giant Zavvi is looking to snatch more online market share than ever in 2008 – but has ruled out taking part in price wars to achieve its aim.
Speaking exclusively to Mcvuk.com as part of our Opinion section, Zavvi MD Simon Douglas said:
“With everything going on pre-Christmas, we decided to put digital on the agenda for when we could really dedicate some time to it, which is this year.
“When it comes to price, we obviously can’t go in and just loss lead on every single line. But we realise online is a very competitive market, and we have to be competitive, otherwise people won’t use the site.
“Our plan includes being in line with other retailers without leading on price – but it’s more about getting support from suppliers and differentiating us from our competitors.
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“The offering of limited editions, exclusive products and actually having stock on items that are in short supply is better than basically going down the route of crazy discounting.”
Comments
But you rip people off!
I can go to play.com and find games, music and movies much cheaper than HMV and Zavvi.
Most games are like £40 or £50 why pay that when usually the same game on play.com is sometimes as low as £18!!!
HD-DVD's and blu-ray movies at Zavvi up to £30 for 1 movie! Got to play.com and you will see the difference.
If they want to compete they need to put their prices down, having exclusive editions will not help that greatly.
Deleting Comments?
Why do you keep deleting our comments?
I take it free speech is not allowed here either?
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