I love shopping at Kohl’s. I’ve been a card-carrying valued and loyal shopper since they opened their retail doors.
Look at the jewelry price tag above.
This is not the first time I’ve encountered an up charge on a product I’ve purchased from them. If it were, it might not be as big a deal to me. The first item I found with a stealth price beneath a tag, I purchased about three months ago, a wall clock that had a price of $19.99 printed directly on the box. A Kohl’s tag was placed over that price with a new price of $24.99. Granted, I rarely buy anything, anywhere, without a discount. With the discount I used that day, I paid less than the printed price on the box, but I would have preferred the discount off the ‘original’ price. Seems fair, right?
That ‘find’ rubbed me the wrong way. I was curious. I took the box into my Kohl’s to kindly speak with a customer service employee, maybe even a manager. She explained it was a customary practice in retail, as items are on the shelf, they often have the prices changed, sometimes up, sometimes down.
Really? They price UP?
The above tag indicates this is true. I wasn’t searching for a new price underneath the $45 tag. I simply needed to peel the tag down a bit to release the charm from the backing. Bingo. I found a price $10 lower. This time I decided to write about it.
Fair warning. Things really may not always be what they seem when you see “SALE.” After your discounts, you might actually be paying closer to what the item was originally priced. I’ve heard about this practice, but now I’ve knowingly experienced it. And I think it stinks.
What do you think? Have you found this on your own? Have you asked the store manager about it? Come on, Kohl’s. I know you run a business and I want that to remain successful and I want you to stay in my town, but I don’t like this label swap game. Cut it out.
Want more Wordless Wednesday? Check out:
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I can’t see how this is legal! I mean isn’t the retail price originally from the manufacturer? Either way, it’s surprising. At least peel the lower price off! Or you could say, there are two tags here, you need to honor the lower price.
Thank you, Andrea. Yes, easily avoided if the original price was removed. Now we need to pay attention to our ‘bargains.’ I do think the original, lower price, should be honored as well.
I have to admit that I am not surprised however, it does seem illegal. It is one thing for there to be a ‘suggested retail’ price which then seems to allow for some variation but the fact that it was a full-blow previous price tag seems to call for state attorney action.
Yes, Jennifer, my husband has often ‘warned’ me about the ‘sale’ prices. I was disheartened to learn of this practice.
This is just wrong. I have seen this and I will often check tags before I buy anything that is supposedly on sale. To me this is simply – a dishonest and deceitful practice.
Nanette, my thoughts exactly, I am much less trusting now, unfortunately. I doubt that is an emotion they want their customers to have when shopping with them.
I agree with Nanette and you. Shame on you Kohl’s!
Thanks for weighing in, Daria. It might not be illegal, but it screams wrong.
Retailers can charge whatever they think people will pay — I’d be surprised if any illegal action has occurred. If someone is willing to pay $45, what’s the big deal? And if they aren’t, then the product sits there as a clue to Koh’l's that the price is too high (that’s the free market).
That said, the practice is dumb. Dumb to not take the old tags off!
I’ve always thought that Kohl’s must have a HUGE markup because of all the ways you can get discounts. X% off from the recent circular, Y% off for using your Kohl’s card, and let’s not forget Kohl’s cash. It’s almost too byzantine for me. I wish they’d just lower their prices.
Lori, you make excellent points, it certainly is a free market and I don’t have to shop there, but would like to continue. I don’t think this practice is illegal, however, I do think it is sloppy and less than honorable. Your last graph is right on target. Thanks for sharing.
Working in retail….our company does the same thing. Hate it..disagree with it. The price tag is perforated so that if you want to give it as a gift…the price comes off. Wait…that’s not the only reason…the price is torn off…and then the new price (lower/higher) is now put on the garment.
When companies post their losses/gaines publicly….they have to answer to stockholders, owners, etc. I think companies find a way to stay in business and to make up for their losses by changing the price. I appreciate having a job even for the low wage I make…cuz the market is tough out there. So, with that said…I understand there is a bottom line.
Look at the grocery market….they shrunk container size or ounces to keep at the same price. You got less. Maybe we need to learn how to sew and make our own clothes or grow gardens and eat healthier and save money that way too!
Thanks for your feedback, Laura. I don’t like the smaller containers in the grocery isles at the same price either. I don’t want these companies to go out of business, I simply want fuller disclosure.
Wow. I love Kohl’s and shop their religiously. But I’m very surprised to hear this! However, I’d feel unethical peeling back a price tag or ripping it off in the store.
Becca, I agree, I don’t want to be forced to sneak a peek at a price tag to see if a lower price is lurking behind it. I found this tag after I had purchased it, in my home, innocently as I removed the jewelry item.
Rajean – I agree with Lori. I’ve always wondered how Kohl’s made their money. I think it’s from credit card finance charges because they push the cards so hard there, and you get extra discounts if you use the card. They sell so many things at a low sale price, that they have to make up for it somewhere.
I’m pretty sure it is illegal for a store to mark up a price and then mark the sale price as the original price because that is deceptive. I think it’s ok to just mark up the price, because stores set their own prices. Everything is marked up from the wholesale price. Usually items have a MSRP – Manufacturer suggested retail price. What the manufacturer suggests the retailer sells it for, but they can mark it up or down.
Marking up and leaving the old tag on it is bad practice. I always wonder if I’m paying too much when I purchase things on or off sales. I hope Kohl’s plays it a little more honest in the future.
Susan, I agree, the prices are set by the stores. The suggested retail price is just that. I simply want to know that I’m getting a value, but I don’t want to think I’ve been scammed. Keep it simple. The old tag can be easily removed. But now we know.
This is how Kohl’s offers all the discounts and sales all the time. They mark items up and then have a sale. Their profit remains close to the same all the time. If you compare many items at Kohl’s at other places you will see they rarely have a super good deal. When I shop at Kohl’s – because I do like a lot of their stuff – I only buy when things are at least on sale for 25% off PLUS I have a 30% off discount code. That way I feel like I’m not getting screwed on the prices at least.
This is exactly why my husband has been skeptical about the ‘sales, coupons, etc.’ I rarely pay much more than half of the listed retail price if I can help it because I know there is a grand mark-up. But what I’ve learned recently is the prices can be marked up from the original sale price. Thanks for your insight, Robyn. We’ll be careful ‘out there.’
Many years ago our Montgomery Wards did this. When they were closing. They upcharged everything by a good 50% and I assume they did it as a last ditch effort in order to make something on their clothing. Fortunately I discovered it in store and left everything at their counter that I had planned to buy. I know some stores do this but once I discover it, I won’t shop there again. Once my trust is violated, I have a hard time believing that the store deserves my hard earned money.
Angela, I think you nailed it, at least for me. It is a trust factor. I want to support the local economy. I like getting a ‘bargain’ and it often means I’ll buy more than I had planned because I have more in my pocket to spend. But don’t be sneaky about getting into my wallet.
Wow. I’ve never seen nor heard of an upcharge at a retail store. I suppose when I think about it, it’s not all that surprising, but it certainly doesn’t make me happy. I would think that stores would honor the price that an item was originally marketed for…or lower. To mark UP a product after it’s already been released is not being good to their customers.
Yes, Laura, my point is treat your customers with respect, you’d be nowhere without them in the retail industry. Well, you’d be out of business. That is not what I’m trying to see happen in this situation. But I do hope for change.
This makes me so angry! I recently started shopping at Kohl’s because of their low prices. Now I’ll be checking their price tags much more closely. Did you like Kohl’s on Facebook and link your post so it shows up on their page? I hope they reply to this.
Connie, thanks for your feedback. I do plan to share with Kohl’s. I want them to have the ability to address our concerns.
OMG! No way. Nooo way! Do you know how much I bought at Kohl’s at Christmastime, because the deals were too good to pass up? I’m sick to my stomach right now.
Lisa, It is disheartening. I do love the brand and hope there is a reasonable explanation. I will share with them and I hope they take all these comments seriously.
Wow. I have never looked and I’m a Khol’s shopper. I’m a little disheartened that this has happened more than once and it was explained away as common practice. I’ll definitely be more careful in the future. I’d love to hear how corporate defends this. Not to be dramatic, but it may make or break my shopping relationship with them. The fact is, I find a lot of great deals around town where I don’t feel lied to. If it comes down to that, then my money goes elsewhere. Please keep us updated.
One thing I learned a LONG time ago…from the mouth of a Kohl’s employee…
Kohl’s marks their products up before a sale. The only time you are actually getting a good deal is when you buy something there for under $10 from the sale rack. They gouge us consumers and I’m so glad you are talking about it!!
I know it’s frustrating, but up, down, prices are never fixed. It’s poor form for them to leave the old tags on there, but honestly? Leaving the old tags showing a higher price is just as misleading, in my opinion. It gives you a false sense of paying less than others have paid, thus increasing the item’s value in your mind.
When I worked in the hotel industry, we’d only honor “discounts AAA, AARP, etc.” on the “rack rate,” which is WAY MORE than the “normal rate.” We’d offer our own “discounted rates” or “specials” that were miraculously cheaper than you could get with your own “discount.” So many people were peeved about that, but it happens all the time, and isn’t illegal. (These were not my practices but those of my employer.)
Also, when I was in sales, the product I sold was purchased by me for pennies on the dollar. The suggested retail price was MUCH higher, and then I’d sell them to my clients for a “discount.” People think they’re getting a good deal. What they’re getting is a good product for whatever price they’re willing to pay.
Honestly, if you’ve purchased something and feel you’ve paid a fair value for it, don’t look at the other tags you find.
Kohl’s is FAMOUS for this exact practice, and it’s also a very old practice in big box retail. Clothing and fashion, in particular, typically has a mark-up of 400-500% from what the store is paying for it wholesale – it is a huge money-maker. They also know all too well that consumers are motivated to purchase items on sale, thinking they are getting a bargain, which is why they mark things up – so they can mark them down through coupons and other sales without losing profit margins.
The whole crux of the new JCP business model is that they will offer consistently low prices and no more sales. When you think about it, the sales marketing efforts are a huge cost center. Think about what a retailer spends on advertising and printing to promote a sale, and then they have to cut their product margins on top of it? Uh-uh. They’re smarter than that. Advertise the sale, maintain the margins, and there’s a nice big profit boost. It’s why they’ve always done it and will continue to do it. At least, until we stop shopping that way and getting sucked in by clever marketing tactics.
The tag price is MSRP. A suggested price. Car dealers would be out of business if the always used MSRP. I don’t want to go all economy nerd but, market forces as well as transportation costs are driving all prices up. It sucks.
It sucks. But truth to be told… I am one of those people who will pay $100 for a “sale” item regularly priced $150 instead of paying $85 for non-sale item.. It just makes me FEEL I’m getting a better deal. And that’s why the retailers do it
I’ve noticed the exact same thing also on many online stores, many hike up prices when they are offering sale coupons.
I might be a little late in commenting on this, but I had to after reading this. One of the big reasons for price increases in the jewelry department at Kohl’s is because of the increase in the prices of gold and silver. I’m assuming by the looks of the card that the item was Sterling Silver. For a while, the prices were increasing every few weeks as the price of silver kept going up. Now the company is going to silver-plated items in order to keep the prices the same, as well as having more 10k gold items instead of 14k. The company isn’t trying to “rip anyone off” or do anything “illegal”. They are simply protecting their profits as material costs rise. You’ll see the same thing on men’s underwear, children’s clothing, sheets, towels, etc. on count of price of cotton going up. And it’s not just Kohl’s — it’s every retailer out there who needs to protect their bottom line.
Jessica, it’s never too late to read my posts or comments. I appreciate your perspective and I understand most of it. I suppose for me, if the original price tags were removed, rather than covered over with higher price I’d feel less taken advantage of, because I do realize prices change to adjust with the market. I get giddy when a price is lower, but cranky when it is so obviously higher.
Completely understandable! I would feel wronged, too! I just wanted to make sure no one thought it was shameless price gouging. Hopefully they are better about price changes in the future, and at least remove the old sticker.