Kohl's Marks Up Jewelry, Then Discounts It
A Maryland woman bought some jewelry on sale at the Kohl's in Westminster, then discovered cheaper prices under the price tags.
According to the local Fox news station, the woman bought two pair of diamond earrings at 60% off their "original" prices, which were $550 and $320. When she got home, she noticed the price tags covered older tags, so she peeled them off. Surprise! The earrings were originally priced at $425 and $250—they had been marked up 28-30% before being put on sale.
She paid $348 total for the jewelry, but if the discounts had been applied to the original prices, she would have only paid $250.
Fox News says Kohl's says it is looking into the issue. They also contacted the Maryland Attorney General's office and were told that although stores can raise prices at any time, they can't do it solely to make their discounts look better than they are.
At the end of the video clip, the woman gives some good advice for other shoppers, at Kohl's and elsewhere: "Look at the boxes, look at the prices, ask what the original price was, ask what it's marked down from. Just be an informed consumer."
"Price Concerns" (video) [WBFF Fox 45] (Thanks to Wayne!)
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Comments:
Kohl's has been doing this for years.
Honestly, every single item is "On sale" every time I go in that store.
50 percent off of overpriced, is still overpriced.
My favorite is the regular mens polo shirts that they have for 79 dollars, with 50 percent off. It is their house brand polo shirt, not a designer.
Its such a joke that store.
Kohl's is pretty much a rip-off, unless you MUST have brand names. If you are shopping there though and you must, buy your stuff when you see a price you like because next week it might be marked up more. I was looking at sandals last summer, the first week I looked most of the sandals were 30$. I went back the next week and the prices were back up to 60$ a pair. 30$ per pair is a huge, huge increase. I thought prices were supposed to go down and not up. Oh and for those that don't know Kohl's uses "digital" price tags on all their shoes so they can change the prices at any time without using price stickers. Its basically a watch or calculator type display attached to a plastic tag which is then attached to the shoes.
The other posters are right about everything always being on sale there. They are pretty much like every other department-type store. Plus I honestly feel they have too much merchandise packed into that store, and of course since I am very cheap when it comes to clothes almost all of it is much too expensive for my budget. They have so much stuff crammed in there that it feels like work just going through the clothes to find something in your size. There is also barely enough space to move between the racks since everything is so packed in. I basically don't look at their signs I just take all the things I want to one of their scanners and if I don't like the price I don't buy it.
I was in bon-ton today, they had a lovely coupon which got you 10$ off any item over 10$ and yes of course there was Macy's type exclusions on it which means you could use it on very few things in the store. Of course many of those items that you could use the coupon on were nearly gone or so picked over that there was barely anything to choose from. You couldn't put several items together either it had to be one item over 10$ to get the discount. They did a great job luring in the customers however I bought nothing. I also discovered that prices were actually marked up because the $2.99 christmas ornaments were now ringing up $3.75.
@esp13: For most liquidation sales that's par for the course. Both Compusa and a Circuit City store that's closing are doing the exact same thing. They jack the prices up to MSRP and then discount from there. But you have to keep in mind that it is a third party company that bought the inventory of the store and is running the closeout sale, not the chain themselves.
Seriously though- if you are buying jewelry- dont you look online and compare values? Clearly these are not exotic one of a kind things..
Kohls can have great deals- but you need to find the price that is the bottom- like for certain undergarments I buy there- 60% is no deal... I have a bottom price of $14 on the item, and I wont pay higher.. that is it..
A better question for the woman to ask herself and to suggest to others is "is this rock really worth what the price tag says?" The fair market value is what a willing buyer would pay to a willing seller. The OP obviously felt it was priced correctly when she made the purchase.
It's like gas. The actual gas in the station tanks is the same, but depending on demand, the price moves.
In other words, jewelry is inherently worthless, therefore you determine what price should be paid. If you don't like it, walk away.
Working at kohls I watch the prices alot. I notice prices that are crazy expensive and crazy cheap. Some people are obviously stupid enough to pay full price.
I usually shop clearance or use their kohls charge when they have the % off coupons. Also 21 Days to get a price adjustment.
I have to say that kohls is the cheapest department store out there, they also have the best return policy. I buy chaps and arrow and urban pipeline mostly for good prices. I don't bother paying 30 for a pair of jeans because if you watch prices they will be 20.
The jeans I'm wearing now. original 50 on the sticker, marked down to 20. $5 off for my email address coupon, 30% kohls charge coupon, 15% for working there, and i got a great deal on these jeans...
The lady obviously thought it was a great deal so who cares what the original prices are. They were marked what they were marked.
The price is the whatever you have to pay to get the item. The "original price" means nothing. I wish people would understand that. It's all marketing.
In fact, regarding most jewelry store counters at department stores, it is impossible to even buy jewelry at the original price. It's ALWAYS on sale for at least 50% off. I suspect the same is more or less true for all retail industries.
@Stephen Brooks: You can find some crazy good deals if you actually look in the clearance racks - I get 3 and 4-dollar tops every couple of months, and I got a 9.99 fully-immersable griddle for christmas as well (there was a $10 rebate on that one, but as long as you actually remember to send those in it's no big deal).
Some people [gasp] actually have money saved up that allows them to not only survive these economic times, but to buy whatever they want as well.
/bought a 22" monitor
Anyway, did the OP consider that the tags that were under her tags might have been leftover from a previous sale? Maybe they were 80% off at some point.
That's how Kohls sales work, they put stuff on sale at a certain percentage off for a certain period of time. After that, it might go back to regular price, or it might go on sale again at a different percentage off.
Justinh6: My favorite is the regular mens polo shirts that they have for 79 dollars, with 50 percent off. It is their house brand polo shirt, not a designer.
I once bought a ton of their polo shirts for $5-$12.
@lordargent: Like it has been repeated, everything at Kohls is on sale. The store is ridiculous. Their tags supposedly show the original price, then you have to do mental calculations to figure out the sale price. If they had a previous sale, it should have only been reflected in the % off, not on the supposedly original price on the tags. This means they are not only playing with the % off each week, they are also playing with the original prices, which is super crazy.
Regardless of their shenanigans, they sometimes have lower prices than others.
I like Kohl's, but you mist watch them carefully.
Here in MA, back several years ago when they first got here, they were investigated by the AG Office for having stuff always 'on sale'...
So, if you know something at Kohl's is a deal buy it, but be informed.
Also, I would not recommend peeling off newer price labels revealing a cheaper label. In most places, it is considered shoplifting even if you pay a lower price.
@easy2panic: Actually, I WAS banned for uttering those words. Only abject groveling got my account reactivated.
Apparently the moderators are a bit more tolerant these days.
It is not illegal to raise prices to a higher price or use a higher price as the basis for comparision for a sale display ..... IF the product was previously sold at that higher price.
Nice little technicality, the merchant must prove that significant sales occured at that higher price point. What is significant is subject to debate (and State laws).
@Justinh6: say what you want, buy i've gotten some awesome deals on bed/bath/houseware crap there. 5 huge ass towels for <$20. king size heavy-blanket-that-goes-between-comforter-&-sheets also for <$20. king size down feather set (comforter, pillows, thing-that-goes-under-the-sheets) for <$40. high thread count sheets for ~$10. 2 full silverware sets (nice ones too) for <$40 total.
you just gotta know what's a deal & what's not. oh, & please excuse my "jargon". as you can tell, i don't know jack about home furnishings. i know a good deal when i see one, though.
@kman13: The difference? Unless the store somehow deceived the buyer into believing that she was paying $250, and only later did she learn she had paid $348, she suffered no harm and is entitled to no refund.
The store offered her the goods at $348, and she accepted them at that price, meaning that she valued them at more than $348. People should realize that what matters isn't arbitrary percentages off, but the final dollar price you pay.
@Marshfield: Exactly. I have had a salesperson flat-out lie to me and tell me that the marked price WAS the original price, when I knew it wasn't because I had bought the identical item before the "sale."
Sear's here in southern NH has been doing the same thing all Christmas season, marking things up after Thanksgiving, then putting them "on sale" a few weeks later for more than the original price.
For example, my mother bought my stepdad a craftsman rolling tool chest for christmas before thanksgiving for $179. After Thanksgiving they raised the price. Then just before Christmas they have it "on sale" for $229. Talk about criminal.
@Corporate-Shill: I wonder about that. I've seen the disclaimers that "sales might not have occurred at original prices" on national advertisements. Is that a legitimate "I'm not saying..." that gets around that or is it a different issue?
@Loren Fisher: I live just a few miles from this store. Most of the people in the area are not worried about the economy nearly as much as most people. Also, even though they were marked up to be marked down, they could probably be resold at a higher price if the person really needs to.
@Loren Fisher: Also, the woman is elderly, and presumably retired. She may have her finances secured already.
@cuiusquemodi: actually, if the sign says something along the lines of "60% off of the original price", it's deceiving in the least. not sure if it's a legal false advertisement claim or not.
A few things could have happened.(used to work their)
1. They miss-marked the product at the warehouse, an a correction had to be made. Happens every once an awhile.
2.The price went up on the product. Annoying especially if you have over 500 plates and cups that need to be marked since they went up a dollar in price. It is just easier to place the new price label over the older.
But they do have some good deals if you shop their Clearance. Sales you have to keep an eye out for good coupons to maximize your savings. An a good return policy, what other store has no time limit. I once saw a four year old return, with receipt, and they got full purchase price back(cash). Also saw a no receipt return for a two year old product. Though they got very little back cause it was last sold at clearance(store credit)
It is an attempt to mislead. Even if it's a good price, it's dishonest. It's no different than the "grocery shrink ray" in that way...it's an insult.
If this really happened, Kohls would have no problem refunding the difference. They have a no questions asked return and refund policy.
They also have a one or two week policy of if you buy something and in that time frame it goes on sale cheaper than you paid, they will refund the difference.
Kohls is one of the best places to shop for anything. Yes some stuff is expensive, but the number of sales they have, price is not a problem.
Full disclosure, I used to work at Kohls and actually still shop there.
I really don't see the problem here. She obviously felt like they were worth what she paid for them. What is the definition of a good deal? A deal where both parties are happy. After the fact she realized that later what had gone on but it doesn't change the fact that she at the time of the purchase, felt they were worth what she paid.
people do this with cars all the time. Buy a car, find out your buddy got the same one cheaper and it's not until THEN that you feel like you were ripped. Up until that point, you were satisfied with the deal. But merchandise prices go up and down. Just because I was willing to sell you a car at x price today, doesn't mean it will be the same price tomorrow. If that car happens to become a hot seller guess what. It's called supply and demand. However, if kohl's was saying that it was x percent off of the original price and it turns out it was x percent off of a different price than that is wrong.
KyleOrton is correct... the practice is not illegal, IF the merchandise has actually been previously offered for sale at the higher price. What's illegal, is to raise prices arbitrairly, in order to give a big discount. Yes, Kohl's "regular" pricing is generally high, but when deep discounts are offered, nobody can beat their prices, and this definitely holds true for the jewelry they offer. I've seen instances where the "close-out" items (which can be bought at an extra discount with coupons) are sold at close to "scrap" value, because (in some cases) it simply costs too much to register & process things back through their system
without a big extra expense. How do I know this? I once helped to set up a jewelry department at a brand-new Kohl's store. This does not mean that all the jewelry there is "good", just that it can be good VALUE for the money.





















I really hope she got the difference back.