fbpx Skip to main content

January sales are on everyone’s mind, with a 270% increase in worldwide searches for the best discounts since the month began. However, experts have warned that shoppers should be cautious of misleading sales tactics, such as exaggerated discounts, inflated “original prices,” or pressure from time-sensitive offers that create unnecessary urgency.

With this in mind, experts at GIGAcalculator worked alongside Josh Qian, the CEO and Co-founder of Best Online Cabinets to outline the most common sneaky sales tricks used, and tips for how consumers can make more informed purchasing decisions.

8 misleading sales tactics businesses use during new year’s sale - pixels-karolina-grabowska

Eight essential tips to avoid getting mislead when shopping:

1. Bait-and-Switch Pricing

Bait-and-switch pricing involves advertising a product at a deceptively low price to draw customers in, only to reveal additional costs later on. 

To avoid falling for bait-and-switch pricing, always review the full price breakdown, including taxes, shipping, and any additional fees, before completing your purchase. 

Advertising a low price but revealing hidden fees erodes trust and damages reputation,” adds business expert Josh Quan, “this tactic leads to negative word-of-mouth and potential legal repercussions, ultimately harming the brand’s image and customer relationships.

2. The Pressure of Urgency 

Some brands create a false sense of scarcity by claiming, “Only a few left in stock!” or “Book now or you’ll miss out!” These tactics, common in industries like travel and hospitality, play on the fear of missing out to pressure consumers into hasty purchases. 

Often, these claims are not based on live inventory data but are instead manipulated to push sales. To spot this tactic, check the availability of the product over several days to see if the “low stock” warning persists.

According to Josh:”Coercing customers into hasty decisions creates dissatisfaction, leading to regretful purchases and higher return rates” 

3. The Illusion of a Deal

In the weeks leading up to major sales events like January Sales, some sellers raise prices, only to “discount” them later, creating the illusion of a bargain. What looks like a lightning sale may, in reality, be the same price the item was listed for months earlier. This deceptive practice often misleads shoppers into believing they’re getting an exceptional deal. 

To spot this tactic, track prices ahead of time using price-monitoring tools, or by checking historical price data online. Be aware of overly steep discounts – if an item is 80% off and has never been discounted before, it could be a scam.

“Research prices across platforms to verify if a discount is genuine. False discounts erode consumer trust and can harm a brand’s reputation when exposed“, Josh observes. 

4. Inaccessible Customer Service

Inaccessible customer service, manifesting through long wait times, unresponsive channels, or inadequate problem resolution, pushes customers toward more reliable alternatives. 

Test the company’s customer service by reaching out with a question or concern before making your purchase to gauge their responsiveness and reliability. Reliable retailers will offer multiple ways of contacting them, such as live AI chats, emails and phone numbers, and even social media.

Josh commented: “Long waits, unresponsive channels, and poor problem resolution drive customers away. Promising support but failing to deliver frustrates customers and diminishes loyalty

5. Ambiguous Return Policies

Ambiguous return policies can trap customers in regretful purchases. Customers may feel misled about their ability to return items, particularly if they encounter issues with the product. 

Although many items bought over the holidays will have their returns period extended throughout January, always read the return policy thoroughly, paying attention to time limits, fees, and conditions, and clarify any unclear terms with the seller before committing to buy. If any red flags arise, take a screenshot of their returns policy when you buy, which you can use for back-up if anything changes.

6. Misleading Visuals

Using digitally altered images that misrepresent a product’s appearance can lead to unrealistic expectations, with the online product image looking much better or higher quality than it actually is.

To ensure the product matches its advertised appearance, check customer photos or reviews, which often provide a more accurate representation. If an image looks too good to be true, it just might be.

7. Exaggerated Claims of Quality

Making broad claims about a product’s quality or durability without evidence can mislead customers about what to expect. 

Do the product’s claims seem unreasonable, with words such as ‘premium’ without any specific evidence? Verify bold claims about quality or durability by looking for third-party certifications or reading independent reviews for unbiased insights.

8. Beware of Fake Reviews

Some businesses exploit social proof by showcasing fake reviews or testimonials, misleading potential customers into believing a product is more popular or effective than it truly is. 

Be skeptical of overly generic or excessively positive reviews, especially those that lack detail or appear to be copied and pasted across multiple products.

Josh Qian underscores the danger, stating, “Fake reviews mislead customers and undermine trust, verifying authenticity helps avoid falling for deceptive practices.”

You might also enjoy more of Our Stories here!

Subscribe & Win