• Report: #391712

Complaint Review: Circuit City

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  • Submitted: Sun, November 16, 2008
  • Updated: Mon, February 09, 2009

  • Reported By:Corona California
Circuit City
Fontana, California U.S.A.

Circuit City Do not shop at Circuit City stores that are closing! They are jacking up prices... Fontana California

*Consumer Comment: That is how a liquidation works.

*Consumer Comment: Do your homework Corona,Ca.

*UPDATE Employee: Please do your research

*UPDATE EX-employee responds: PLEASE ASK BEFORE YOU JUMP TO CONCLUSIONS

*Consumer Comment: I See That All The Time

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I recently visited CC in Fontana, CA after the announcement of stores closing thinking that I could snag a decent deal. I was in the market for an adapter to play my iPod over my car stereo. The price of the Belkin was originally $89.99 minus 10% - sale price $81.99. I was thinking that this is probably the same price as a non-closing CC so I decided to purchase. I thought I was getting a deal.

After paying for it, I asked the salesperson if the product doesn't work, can I return it? She said "No, all sales are final." I said, "Can I return it to a CC that's not closing?" She said, "No, we are liquidators so can't return it there either. You can return it now but if you walk out, you can't return it." I didn't want to take any chances so I returned it.

I then went to CC in Rancho Cucamonga that's not closing and the same adapter was selling for $79.99, and it wasn't even on sale!!!! Unbelievable!!! They are jacking up there price and putting them on sale up to 20% off. They are making consumers think that they are actually getting a deal! What a ripoff!!! Do not shop at CC. Greedy b*st*rds!!!

Joel
Corona, California
U.S.A.

This report was posted on Ripoff Report on 11/16/2008 02:25 AM and is a permanent record located here: http://www.ripoffreport.com/r/Circuit-City/Fontana-California/Circuit-City-Do-not-shop-at-Circuit-City-stores-that-are-closing-They-are-jacking-up-pric-391712. The posting time indicated is Arizona local time. Arizona does not observe daylight savings so the post time may be Mountain or Pacific depending on the time of year.

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REBUTTALS & REPLIES:
0Author 5Consumer 0Employee/Owner
Updates & Rebuttals

#1 Consumer Comment

That is how a liquidation works.

AUTHOR: Greg - (U.S.A.)

When a company goes out of business a liquidator takes over their inventory. The first thing that liquidator does is put all of the prices back to the manufacturer's suggested retail price. This may be higher than the store's normal retail price and will definitely be higher than any sale price the stores may have had. At the beginning of a liquidation sale the prices are not reduced much. They are trying to get as much return on the inventory as possible. The company is closing and this income is used to pay off as much of their debts as possible. Perhaps you would prefer they gave everything away and all of the people that the company owed money to would just take it as a full loss. Then they would raise their prices to other retailers and they would have to raise their prices to us, the consumer. So I think I would rather they took their gradual markdowns and help to keep our prices the same everywhere else. That is the liquidator's sole purpose. Circuit City is no longer in charge of it's pricing. As soon as they signed the paperwork with the liquidator is was out of their hands. A lot of people have already lost their jobs because they were no longer needed to maintain pricing and inventory. Maybe next time before you complain you will think about the reason behind what you are complaining about.
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#2 Consumer Comment

Do your homework Corona,Ca.

AUTHOR: Patrick - (U.S.A.)

I live in Norco,Ca; a few miles from Corona Ca, where the complaintant is from. I also have purchased many items from the Fontana Circuit City store. I have saved thousands of dollars from my purchases. Including 5 plazma TV,s audio and video equipment, computer equipment, displays,shelving,furniture, office equipment and too much more to mention. I have saved over $8,000.00. My only advice to the shopper from Corona, is to do a bit of phone shopping before you spend your tiny savings on gasoline driving from store to store.
Merry Christmas
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#3 UPDATE Employee

Please do your research

AUTHOR: Nocommission - (U.S.A.)

I hear this one a lot, people come into the closing Circuit Citys and swear the prices were intentionally made higher. This is not exactly the case and I'll explain what it is they're doing since many people seem to get it confused.

Liquidating Circuit Citys are not really Circuit Citys. Everything is priced by, sold by, and policies are set by... the liquidators. What they do is they take the original prices of the items, and take whatever percentage off for that category of items. So whatever Circuit Citys 'original price' was on said tv, accessory or whatnot was, they take 15%, 25%, 30% (whatever is listed for that kind of item) off of that.

The thing is Circuit City has a lot of original prices that are pretty high. Usually people only notice the sales and buy sale items, so at the beginning of the liquidation process everything seemed much higher. Things that were always original price (cables for example) would be something you would save on because the price was never lower for Circuit City, but TVs usually go on sale for much better prices. In fact, a lot of things were on sale for months at a time so no one ever really noticed the original price. Most of the time, you can find the original price online, so when you wanna figure out how much x tv is with 30% off, check the online original price listing.

Now that the liquidation has been going on for some time, most of the percentages should have dropped even more to the point where some of the deals are pretty nice. Not everything has dropped a lot, for example laptops (because the profit margin was so small to begin with).

Every person who walks into a liquidating store has the option to buy or not buy an item. If the prices don't seem good enough at the time, wait and come back later when they go down even further. Whether or not what you want is in stock when it's at the price you prefer is something else entirely because other people are not as particular.

I'm hoping this clears up some confusion for those who have visited a liquidating Circuit City. As an employee who will be losing my job (no we're not getting placed elsewhere when the store closes, no we don't get severance) it gets a bit tiring when every person who walks through the door wants to shoot the messenger.
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#4 UPDATE EX-employee responds

PLEASE ASK BEFORE YOU JUMP TO CONCLUSIONS

AUTHOR: Elenamojo - (U.S.A.)

Just to clarify, those stores that are closing have been liquidated. This means we do not own the product in there. If you purchase from these liquidated location, you cannot return or exchange these items it is final sales only. we do not own the product it's like buying it at walmart and having CC return it. Wont work sorry, and the prices being jacked up well if CC bought it at whatever price, and msrp is 1999.99 and CC sells it for 1499.99 this doesn't mean you will get this price. The liquidators buy these locations to make money on all that is inside. The will sell it as close to MSRP as long as they can, the closer it comes to completely closing down the cheaper it will be. only thing city will cover is their City Advantage and Any service you have paid for. sorry if you didn't know that but CC did not cheat u.
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#5 Consumer Comment

I See That All The Time

AUTHOR: Cory - (U.S.A.)

I've been in business 24+ years. Every time I see a store going out of business, they "jack" the prices up and then start marking them down. First it's 20 to 40% off. Then it's 40 to 60% off. Another thing is the store will contract with a company, a liquidator, that brings in old, used and outdated merchandise and "co-mingle" it with the original store's merchandise. Since the store is "going out of business" and all sales are final, it's a great way to get rid of alot of junk. Years ago a local jewelry store was going out of business. Went in to look their sales over. I swear they had jewelry left over from the 50's and 60's. Some of that jewelry was 40 and 50 years old. The liquidators buy junk at pennies on the dollar and co-mingle it with the left overs that didn't get sent out from the first store. I've seen shipments get sent all over the U.S. for "going out of business" sales. If the "going out of business sales" are that good, they'll extend the sales, order more "going out of business" merchandise and extend the sale. It's amazing what crap people will buy if they THINK they're getting a "good deal". If you're gonna buy something, make sure it has a MFG's warranty.
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