I am a semi-avid photographer.  While we have a Canon PowerShot  that we absolutely love for point and shoot,  I still get serious with my trusty Nikon N80.

Until today.

Nikon recently lowered the price on the D70S to the point I was willing to take the plunge.  I now have the gleaming camera and cannot wait to spend some time getting to know it on my upcoming vacation to the beach.

But there is more of a story here.

Do a simple search on Nikon.  One of the top Adword placement is for Ritz Camera.  $699, free shipping, no sales tax.  Reputable shop.  It’s priced about the same on Amazon.

So I go into my local camera shop, Showcase to pick up my $80 worth of developed film.  I have been going there for at least six years.  Taken several classes.  A somewhat loyal customer.

After picking up my pix I stroll over to the camera desk to talk about the camera.  The conversation goes something like this:

Lance:  I am going to buy a D70 today.  I can get it off the Internet from one of your major competitors for the same price that you are advertising but I don’t have to pay sales tax if I buy it from them.  Drop the price so that the total is the same and I will buy it from you right now.

Sales Lady:  But you won’t get our expertise.

Lance:  Your expertise is not worth paying 8% more to me.

Sales Lady:  We don’t discount our cameras unless you are buying more than one.

Lance:  I only need one.

Sales Lady:  We don’t match Internet prices.

Lance:  I am going to buy this camera today, and I really want to buy it from you guys.  Will you match the price.

Sales Lady:  No.

Lance:  OK, sorry, good bye.

And I proceeded to walk out the door.  I am most likely never walking in it again. 

I was a good customer of theirs.  Over the years I bet I have spent over $10,000 on products and services in there.  Due to the lack of a little flexibility on there part, I don’t think I will be spending much more.

Moral of the story.  Be flexible with your good customers to keep them around.

As an aside, just for fun I walked into the local Ritz Camera to ask them if they would match the Internet price of their own company.  The answer was no.  Great strategy to drive your customers away from your bricks and mortar stores onto the Internet where the products that you sell have a greater chance of being commoditized.