Here we have an example, of how consumers can use the Internet to facilitate change, even when it concerns big companies and important issues like...money. Last holiday season, just prior to Christmas, Radio Shack mistakenly offered a second rebate on the Axion 3.6-inch personal DVD player SKU 16-3912, that normally runs $130 dollars US. When combined with a previous rebate offer, it would not only make the player free, you would actually get five dollars back. Only thing was, the rebates were not intended to be used together.
An "internal error" was blamed for the temporarily posted double rebates, which resulted in an online advertisement boasting the final price as -$5.01. Needless to say, many jumped on the opportunity, especially since they could purchase up to 10 players with the offer! Imagine the customers dismay when after making their purchases, the store later rescinded the $70 rebate, declaring they would only honor the $65 one. A misunderstanding ensued.
|
The rebates, he said, were both advertised overnight on RadioShack's Web site as an in-store offer. The error was noticed by 9:30 in the morning before stores opened and was corrected. But many customers were still under the impression that the store was giving them away. Rustom said she had purchased two DVD players and donated them to a local church. The advertisement said a customer could purchase up to 10. Later, RadioShack told her in a phone call that only one coupon would be honored. "I was still in shock, I couldn't believe they would do something like that," Rustom said. It didn't sit well either with a Wilmington, Del., man who also felt burned with what he saw as false advertising. "I got kind of upset out of it," said Domenic DiStefano, 36, a system architect for JP Morgan Chase. He had bought five DVD players from the store, four for his family and one for himself. So he set up a Web site (www.radioshackrebatefraud.com). DiStefano said that in less than a day, he received almost 1 million hits. "Literally, momentum was gaining on this," DiStefano said. Before he knew it, DiStefano was appearing on local television news and speaking with attorneys general from several different states. Jilted customers from across the country were logging on to DiStefano's site to complain about the retracted rebate, including Rustom. "If the man hadn't set up the Web site I would be out of $130," Rustom said. "RadioShack didn't expect the Web site to be set up or people to call and make the effort." RadioShack maintained the Web site did not factor into its decision. |
Well maybe it didn't factor in and surely, this was a mistake. But later, even ABC News picked up the story and not long after that, the rebates were honored anyway. It sure is interesting to read the Radio Shack Rebate Fraud webpage, especially the section labeled: The Facts. It details a conversation between DiStefano and the Radio Shack "Media Relations Department" concerning the issue, prior to all the publicity. Clearly, when we read that dialog, it looks as though there is no way he will collect on the rebates as posted.
After the brouhaha though, the Director of Radio Shack Consumer Media Relations sent DiStefano "clarification" that indeed both rebates and both UPCs would be honored. Rustom and DiStefano said they expect their rebate checks to arrive in the mail in the next month. So, something happened.
Source: The Journal
