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Andy27UK
2nd March 2008, 10:07
Hey Guys,

To the point - From both a customers point of view and from any proven statistics are we likely to make more sales if we list our inventory to include VAT shown on the price before they add to basket and go through checkout?

Our inventory consist's of aftermarket performance tuning car parts which is a competetive market where people can quickly and simply make price comparisons.

It's to be expected that 90% of our buyers prefer to phone up from the website and ask technical questions about something before they order given the nature of the products, but we're checking out the competition and it seem's they have all switched to the "price up front approach".

Discuss.... thanks!

sysops
2nd March 2008, 10:22
There's really nothing to discuss - from a consumer's point of view, what would be the point of seeing prices excluding VAT? It's just irritating.

If your site was primarily a B2B site OTOH, you have a very good reason for showing prices without VAT.

Andy27UK
2nd March 2008, 10:40
This is our line of thought and we're looking to make these changes very soon. It will be good to see the impact (if any) it has on sales as a result.

It still puzzles me why so many website's similar to ours only add VAT at checkout though...not something we really put much thought into when designing the site in all honesty.

Thanks for your reply :)

RedEvo
2nd March 2008, 12:27
Ask the bean counters but I'm sure you are legally obliged to show VAT inclusive prices on non business to business websites.

d

Andy27UK
2nd March 2008, 15:50
Ask the bean counters but I'm sure you are legally obliged to show VAT inclusive prices on non business to business websites.

d

The VAT and delivery inclusive price is calculated and shown at checkout prior to the customer ticking a box to agree terms to advance and complete the transaction, hence the contract is formed.

What we're trying to establish is will we make more sales and gain consumer confidance by showing the total sale (VAT INCLUSIVE) price up front (prior to checkout) enabling them to make a quick and easy price comparison?

It's like "losing the small print" according to some customers and we're definately not shy to bost competetive prices...

stephendoyle
2nd March 2008, 15:54
hi andy27,

i would always put your price what the consumer pays up front in
full.

i would test it and see if anyone is bombing out when they get to
the check out stage as this may be a reason.

agree with earlier posts it is irritating and something i had to address

good luck & kind regards
stephen doyle

Andy27UK
2nd March 2008, 17:20
Hi Steven,

Im in agreement with you. As a consumer i've found my self going through check out's in order to see the final sale price too, only then it hit me that people would view our site in much the same way!

Did you see a positive change when you addressed the issue?

Thanks for you reply

quikshop
2nd March 2008, 20:17
As far as I understand, prices have to be shown in full with VAT for B2C eCommerce retail.

On a more practical note, you wouldn't expect to shop at Boots only for the cashier to add 17.5% on to your order total :p

AdvantageDigitalMedia
4th March 2008, 12:54
We do both on our site (show the VAT included and excluded prices) as we sell to end users and resellers. Its made clear on the product page what price the customer pays. Some of our products are Zero rated which adds to the confusion BUT we do try to make it as clear as possible.

Agreed that there is nothin more annoying than checkout adding 17.5% thats a real ecommerce No No!

Regards

Darren

Andy27UK
4th March 2008, 13:02
Thanks Darren!

Sounds like we're in for good things to come when we change it around :)

Subbynet
4th March 2008, 13:02
90% of people phoning is far to high a number for a website IMO.

If thats the case, you need a FAQ section for just about each product, as they can then refer to this instead of keeping a member of staff on the phone.

Andy27UK
4th March 2008, 14:13
The majority of callers ask "when will i get the item if i buy today?" because the part they require is the difference between having the car on or off the road, or the difference between being able to race or not at the weekend.

Our competitors have websites with inventory listed like the London phone book which makes them look like a huge well established company. The truth is they probably stock less than 25% of what they advertise and we hear this all the time from our buyers. We show in and out of stock items up front and promote next day delivery...

Most of the questions we get asked i think are just for re-assurance. However, i agree we should be making more website sales through the checkout and less by telephone and im hoping that these new changes will promote that consumer confidance needed to make it happen.

Thanks subbynet