Shopping: Online vs Locally

Recently, I was in the market for an RF Modulator, which would allow me to connect my desktop computer to a TV. Being the thrifty consumer that I am, I started looking for the best price at my local big-box retailers and comparing their prices to various online retailers. I found that the price was nearly the same for the device, whether I decided to purchase it online or locally. Because their was no difference in price, I decided to purchase it locally. When prices are the same, the advantage was being able to return the device if there was a problem, or it didn't work as expected.

About four months ago I decided to purchase a wireless router as a gift for a relative. I looked on the web and found an online store that was selling refurbished routers. Refurbished items are items that have been returned to the manufacturer because of a defect, and the manufacturer will fix the problem and sell the items for a discount. The online store had a handful of routers in stock, for about half the price of a new router. Because of the price, I purchased two of them. They arrived on my doorstep about 3 days later. I plugged both routers in and found that one of them would not communicate with my broadband Internet connection. I contacted the online retailer, and they asked if I wanted a refund or an exchange. I wanted a router that worked correctly, so I asked and they issued an RMA. I sent the router back and received a working router within a week. I gave one of the routers to my relative and kept the other as an upgrade to my home network. In this example, I spent about half of what I would have spent if I had purchased the routers from a local retailer.

After making a number of purchases, I have come up with the following advantages and disadvantages for purchasing items online vs locally:

Advantages to purchasing online:

• Large variety of used and new items
• Read reviews of products by consumers who have already purchased the product
• Saves time from having to drive from store to store
• No pressure from salespeople
• You can compare prices with multiple online retailers (and even big-box retailers) in a relatively short period of time
• Easy to find rare and collectible items (Ebay.com is popular in this area)

Disadvantages to purchasing online:

• Promotional emails (in most cases, junk email)
• Requires a credit card (never use a debit card online, most credit card companies offer both online and offline fraud protection, debit cards offer no such protection)
• Not for perishable products (such as food)
  
• You usually pay extra for shipping
• Time required to process and ship your order

Advantages of purchasing locally:

• You can ask the salesperson about the product
• Easy to return the product
• You can choose the method of payment (cash, check, credit card)
• You can pick up and handle the product
• You walk out of the store with the product
• Perishable products are fresh when you buy them

Disadvantages of purchasing locally:

• In some cases, the item costs more because of operating costs
• Limited selection
• Time spent driving from one store to the next, looking for the product

There are also advantages to using both methods to make your purchase. First, you can research the product online and if the same product is for sale at your local retailer, you can purchase the item locally. Second, if the product is being sold locally but the same product is available for a cheaper price online, you can handle and pick up the product at the local retailer but purchase the item online at a discount.

Conclusion: Comparison shopping using both the Internet and your local retailer is a method that can help you make informed purchasing decisions. Whether you decide to make your next purchase online or locally, using these resources can help you make your next purchase with confidence. Happy shopping!