Early discounts disappoint: Borders liquidation sale draws crowd to Lohr Road superstore
Customers streamed into the Borders on Lohr Road on Friday morning for the beginning of liquidation sales.
Lizzy Alfs | AnnArbor.com
(Related story: Liquidation starts: Borders store in downtown Ann Arbor enters its final days.)
Liquidation sales drew a crowd to the Borders superstore in Pittsfield Township this morning, but the discounts weren't as steep as some customers anticipated.
About 20 people stood outside the doors of the Lohr Road store this morning, and a steady stream of people continued into the store after it opened at 9 a.m.
Linda Napiantek, who waited outside the chain this morning before doors opened, said she wanted to beat the crowds and ensure that she could find the items she wanted.
“I think things will start at 40 percent off, but I’m afraid if I don’t go in and look for what I specifically want now, it won’t be here in a couple days when things are 75 percent off,” Napiantek said before the sale started.
Borders, which announced its liquidation on Monday, said that liquidation sales would feature discounts of up to 40 percent beginning Friday at its 399 remaining stores. Sales will continue until merchandise is gone but won't last past September.
In an email to Borders loyalty program members Thursday night, Borders President Mike Edwards encouraged customers to take advantage of the going-out-of-business sales.
"I encourage you to take advantage of this one-time opportunity to find exceptional discounts on your favorite books, and other great merchandise," Edwards wrote.
This morning, only a handful of items were marked 40 percent off, such as Blu-Ray discs, magazines and greeting cards.
After checking out the sale this morning, customer Becky Grover said she was a little disappointed with discounted prices.
“You know, I thought everything was 40 percent off, but really, very little is 40 percent off,” Grover said. “I guess they’re going to stagger it, so I’ll be back.”
A tour through the Lohr Road location this morning revealed the following discounts:
—10 percent off: kids, art, cooking, diet, travel, home decor, fitness, gifts, board games, e-Readers, fiction and literature.
—20 percent: sports, maps, science, general reference, DVDs, music and calendars.
—30 percent: business.
—40 percent: Blu-Ray Discs, magazines and greeting cards
As the liquidation sales gain momentum, customers need to guard against “false deals,” consumer protection group Better Business Bureau said in a news release.
“Consumers are always on the lookout for good deals and a liquidation sale sounds like a good place to get rock-bottom prices,” said Patrick Bennett, Better Business Bureau director of community relations, in a statement. “Because liquidation sales are often handled by third parties, consumers could actually be paying an inflated price instead of getting a discount.”
Customer Joyce Hennon said she anticipated that selection would get worse as the liquidation sales continue.
“Sales were pretty good for the first day,” she said. “Not huge, but if you want to get what you want, you have to come the first day.”
For Maggie Jewett, a long-time Borders customer, today’s liquidation sale prices weren’t important; she wanted to visit Borders before the store closed its doors for good.
“I remember when Borders came here, it was a company for us to be proud of,” Jewett said. “I’m sorry it’s happening. It’s a loss of 400 (corporate) jobs and a good bookstore. It’s just really sad.”
Lizzy Alfs is a business reporter for AnnArbor.com. Reach her at 734-623-2584 or email her at lizzyalfs@annarbor.com. Follow her on Twitter at http://twitter.com/lizzyalfs.
Comments
bartlett4america
Sat, Jul 23, 2011 : 9:15 p.m.
You folks take the cake. First, you need to understand that any experience you have in a Borders store from this day forward relates to the liquidation companies now running the stores. The appearance of the stores, the prices, discounts, the lack of cafe, no bathrooms, etc are all decisions imposed by the companies who bought the inventory and the right to sell all stock and fixtures. The two companies dividing up the Borders corpse are Hilco and Gordon Brothers. Now that you know that you should be able to see their goal is to make more money selling it than they paid Borders to get the opportunity to sell it. These companies are very experienced and clever at using bold, garish signs to create a sense of urgency. The good stuff - despite the "up to 40% off" signs you see all over - usually starts at 10% off. The, at about 10 day intervals they raise both the minimum and maximum by 10%. They are not there to make you happy or help you get a good deal. They are there to maximize the revenue each store's inventory can generate at the least possible cost. Booksellers are not all stock people charged with keeping the mess as organized as possible. They are not there to help you find that one classic you were hoping to get at 80% off. You're on your own. If you don't like any of this Amazon is only a click away. Or, you might find a used book store or some other independent bookstore locally and shop there.
Zig Wilson
Sat, Jul 23, 2011 : 8:58 p.m.
People just don't get it. The "up to 40% off" is a come-on to bring people in the stores. You'll get the 40% if you want magazines or greeting cards. Most stuff will be 20% for the first week and a half. Then they'll advertise "Up to 50% off. But the discounts on a lot of the good stuff will only be 30%. For the first 3 to 3 1/2 weeks you're not getting discounts better than what you could have had any week in the past. And, if more of you had done just that - used coupons and other discounts more frequently - Borders wouldn't be going bankrupt.
Gordon
Sat, Jul 23, 2011 : 1:22 p.m.
Borders didn't gouge they offered prices that covered their expenses for that form of distribution. Amazon has a totally different distribution system. There is room for both because each appeals to different people. Liquidators own the merchandise now. They sell as much as possible for a profit. In fact the present liquidators have been successfully doing this for years. Large volume more choices higher cost. Lower volume less choices less cost. Too many stores. Too many books. Too many children in Washington.
Tom Joad
Sat, Jul 23, 2011 : 1:28 a.m.
So long, Borders, can't say it was fun being gouged. That's why I switched to Amazon!!!
Darth Pablo
Sat, Jul 23, 2011 : 12:25 a.m.
I checked it out today. All the books i wanted were 10% off, so i browsed, made a list of what i wanted, and headed home and downloaded them to my Kindle, and saved alot more money then what i would have spent.
MyOpinion
Fri, Jul 22, 2011 : 7:16 p.m.
Liquidation sale, but no fire sale prices yet. Lots of the display areas have a sign in place for the 40% off, etc. advertisement. But, so far the book prices are 10% or 20% off, which is Amazonish. Still, I enjoy browsing, reading a bit of a book, etc. before deciding to buy a book. So, I did buy some books. I'm sure prices will be lower on Monday, but at that point it will be a limited selection. The crowds in the store today reminded me of Borders during the holiday season (years ago) - a 15 minute line to pay for your books.
Jack Gladney
Fri, Jul 22, 2011 : 6:53 p.m.
Poor little bottom feeders. Borders should apologize for their crassness towards the people who helped to put them out of business.
Macabre Sunset
Sat, Jul 23, 2011 : 1:20 a.m.
Anyhow... for me to hit this sale, I'd compile a list online and go to Borders to see if I can save a few dollars. I'm guessing no. But if the board games hit 40%, there could be some nice deals there - I've heard they're stocking some good Euro-games, but it's hit or miss and the prices have been terrible.
Macabre Sunset
Sat, Jul 23, 2011 : 1:17 a.m.
Many of us would rather browse books on the internet. I can find an unbiased review within seconds. Much of what happened to Borders is just the natural decline of the brick-and-mortar book store. But they accelerated their demise with many, many poor choices. I don't see any particular "expertise" at Borders, though. That went a long, long time ago. In fact, I think the future for book stores is in providing that kind of expertise. Rather than trying to stock everything, put together a smaller set of good books, and a staff that can match customer to book.
Jack Gladney
Fri, Jul 22, 2011 : 11:59 p.m.
Macabre Sunset: Yeah. The "I like shopping here because you have such expertise but I can buy this on Amazon cheaper" crowd. Kind of like finding "free" expert advice on purchasing a camera in Ann Arbor...
Macabre Sunset
Fri, Jul 22, 2011 : 9:42 p.m.
You mean their former customers who found better selection and prices elsewhere? Yes, being crass toward former customers is an excellent business model for a company going out of business.
ThaKillaBee
Fri, Jul 22, 2011 : 7:51 p.m.
Point for you! Haha!
Ron Granger
Fri, Jul 22, 2011 : 6:39 p.m.
You'll get better prices at Amazon. No wonder they're going out of business. This is probably just like circuit city. They brought in liquidator "experts", but employees said the prices actually increased from normal prices.
Macabre Sunset
Fri, Jul 22, 2011 : 5:11 p.m.
Sounds like they can't even manage their liquidation properly. Their most avid customers lined up for them, and were treated with higher prices than what you can find online. It would be interesting to know, since part of the bankruptcy is not being able to pay publisher for their inventory, whether they can and are returning inventory to publishers to reduce what they owe. Or whether bankruptcy even allows them to sell certain items below a certain cost.
Macabre Sunset
Fri, Jul 22, 2011 : 7:11 p.m.
The implication of the letter written by the CEO-of-the-Month, Edwards, was that Borders was handling this phase on its own. But, yes, professional liquidators often get involved at some point. I was hoping for an article explaining what they're doing with their book inventory rather than just yet another reprint of the press release advertising the sale.
ThaKillaBee
Fri, Jul 22, 2011 : 6:33 p.m.
"Because liquidation sales are often handled by third parties, consumers could actually be paying an inflated price instead of getting a discount." I agree that liquidation sales are generally ripoffs, but it's not Borders fault.