Watsons works to entice consumers with bargains

Health and cosmetics retailer Watsons promised to offer the lowest prices on toiletries in town yesterday -- guaranteed.

"We vow our toiletries will be the lowest-priced in the market," said Andrew Miles, managing director of Watsons Taiwan.

If consumers find any competitors products -- hair care, skin care and dental products -- priced cheaper, "Watsons will refund double the difference," Miles said.

The average discount rate is about 15 percent.

The Hong Kong-based venture has been in Taiwan since 1987, with 223 stores here.

But there is a catch: Consumers have to provide proof of a lower competitor's price via receipts or printed advertisements, within seven days of purchase.

Nevertheless, an analyst said few consumers will actually go through the hassle to hunt down cheaper prices for a refund of a few NT dollars.

"Most customers won't make the price comparisons, and even if they do the refund will be miniscule," said Bei Lien-ti (別蓮蒂), associate professor at business administration department in National Chengchi University.

With the economic slowdown, an increasing number of consumers are looking for bargain prices. "Watsons is using the promotional ploy to get customers back into their costly outlets," Bei said.

Rival Cosmed (康是美) said that while they will monitor consumer reaction to the promotion, price is not the only factor at play.

"Although health and beauty-store customers are price sensitive, quality is also important," said Violet Huang (黃憶華), public relations manager at Cosmed.

Cosmed is wholly owned by the President Chain Store Corp (統一超商). It only serves the Taiwan market with 68 outlets.