Autozone’s discount algorithm is dumb

[Elkins45]

The Autozone website has a 20% discount on orders over $100 with free shipping, and it applies to a six gallon box of oil. However the discount doesn’t apply if you pay online and pick it up at your local store. I can only get the discount if I make them pay for residential shipping.

Dumb.

 

[Hollowed_Mist65]

My thoughts exactly. I don't get it at all.

 

[CarbonToast]

If it goes to the store. it goes on a truck, a retail employee has to receive it and put it on the shelf. Then they have to serve it up when you arrive.

Probably cheaper to just slap the UPS sticker on it and let someone else deal with it. They are paying some amount of freight either way.

Could be dropshipped from the mfg.

 

[daves87rs]

Very strange

 

[Devo242]

The decision allows them to maintain maximum profitability. If you need a part immediately then you are seen as willing to pay full price due to urgency. The discount structure on ship-to-home orders for those who are willing to wait for a delivery allows them to remain competitive with online retailers like Amazon, RA, etc.

Following AZ's stock price performance, the structure appears to be serving them well.

 

[rijndael]

The older I get the less willing I am to play stupid pricing games.

 

[GW.]

Edit: Just realized this is about Autozone not AAP. My bad

 

[Rand]

IIRC at AAP the online and the store were setup as separate "sister" companies.
no idea how autozone and autozone.com are setup.

 

[Wingo]

They are weird. Needed a CV axle and had the 20 percent off coupon like that and didn't have time to wait. Asked the guy at the counter and he gave me a discount, wasn't 20 percent- think it was 15, but he was nice about it and I didn't expect anything. I'm sure the counter guys get flack about that all the time, the policy isn't real fair to them either.

 

[fantastic]

"Online Ship to Home" has been common theme in order to get the discounts for several years now. Which is fair since they are paying for your wait time.

 

[The_Jeff]

Costco's oil is cheaper if you get it delivered vs picking it up in their store as well.

I had to special order a part through Advance (B&M) and they wanted me to pay shipping and wait. I said nevermind I could do that from my house. What's the point of a "hub run" if the customer has to pay?

 

[andrew_j]

The Autozone website has a 20% discount on orders over $100 with free shipping, and it applies to a six gallon box of oil. However the discount doesn’t apply if you pay online and pick it up at your local store. I can only get the discount if I make them pay for residential shipping.

Dumb.

It’s a different business model happening .

An online warehouse shipping business and another is retail store that happens to allow for online pickup orders.

 

[goofy]

If this model is extrapolated to its endpoint, it seems brick and mortar is doomed. Wally or dealership for oil and other immediate needs, online home delivery for everything else?

 

[goofy]

I had to special order a part through Advance (B&M) and they wanted me to pay shipping and wait. I said nevermind I could do that from my house. What's the point of a "hub run" if the customer has to pay?

Yup, and the local Napa wanted $20 shipping for each item, no combined shipping.

 

[goofy]

Following AZ's stock price performance, the structure appears to be serving them well.

I can see AZ appeal because of their hours, but how are more limited hour brick and mortar retailers doing?

 

[ATex7239]

NAPA and WM do weird stuff too.

NAPA will sometimes price the store brand blend higher than the full synthetic which makes no sense. Or jack up the price then do a discount code to get it back down to the price it was the week before. WM will show something is discounted but in reality that’s just the everyday price.

They all play games.

 

[97prizm]

The Autozone website has a 20% discount on orders over $100 with free shipping, and it applies to a six gallon box of oil. However the discount doesn’t apply if you pay online and pick it up at your local store. I can only get the discount if I make them pay for residential shipping.

Dumb.

I've dealt with this At Advance Auto Parts a few years ago. They had a 20% off brake rotors and pads if you ordered and paid online. I went in and they said they couldn't give me the deal as it HAD to be ordered online. What different does it make either way?

 

[dogememe]

The decision allows them to maintain maximum profitability. If you need a part immediately then you are seen as willing to pay full price due to urgency. The discount structure on ship-to-home orders for those who are willing to wait for a delivery allows them to remain competitive with online retailers like Amazon, RA, etc.

Following AZ's stock price performance, the structure appears to be serving them well.

This is by far the best post in this thread IMO and exactly why and how.

Many people come into the store (not Autozone but a competitor) and ask for the discount. The answer is always "Sorry, no, you have to do online ship to home for that promotion."

 

[JustinH]

Probably just these parts stores maximizing profit.

Advance auto used to give parts away with 45 percent or 40 percent discount on most items.

Deals are few and far between. This kind of stuff pushed me to rockauto who has branded parts and is usually cheaper.