Security and Surveillance – Best Buys…or are they?

There has never been a better time to find a deal on Security and Surveillance equipment.  Competition driven by job insecurity from COVID and free cash stimulous has meant there are more online sellers than ever before, all competing for the same customers.  Buy now pay later schemes have made it easier to buy for customers at no cost to the buyer (unless you miss a payment).   So what should you look out for when trying to sort out the online stores while still focusing on a bargain?

Best Buys!.

As a buyer you usually are looking for the best deal you can find on a particular item that you have chosen based on your research. Choosing the particular item with surveillance and security is a whole other post in itself as it requires industry knowledge or self education or a trusted advisor to steer you in the right direction.  Having found what you want to buy the next step is to search for that item looking for best buys. BNPL and FREE shipping all come in to consideration here until the best deal is found. Sold!  This model works well for EBay and Gumtree and other sites with simple products but it can lead to serious issues when applied to sophisticated electronic equipment such as surveillance and security products. Why? Please read on.

As an established online seller with a publicly recognised reputation for support to trade and retail customers we are regularly seeing the fallout from these Best Buys.  How?  The phone rings all day and we receive chat requests and online contact requests looking for support because it is not offered or given with these Best Buys.  Support costs time and time is expense and a low margin sale has no support costed, none.  I just received another call now – installer no longer in business and no longer supporting his customers who now need assistance.

A new business model has recently arrived which allows third parties to advertise their products on other platforms e.g. Amazon, Best Buys, ShopBot, Catch, Kogan, Dick Smith are some.  The ads are basic – 1 picture, the product name, and price.  There is no other information usually as they are basing the sale on low margin and converting potential buyers who have done their due diligence and are now looking for the best buys.  The platform charges a premium for the advertising (in different ways depending on the platform).  So now the costs of the sale include:

Purchase cost

Advertising costs for 3rd party platform

Free Shipping – no such thing as the seller pays.

 BNPL – yes the merchant pays this fee and it is usually around 6% but there is no allowable surcharge.

 Low margin is a cost of getting the sale.

 Other costs – fraud mitigation, credit card fees, PayPal fees etc.

 Support?  There can be no support or very little as there is nothing left.

These best buys are based around “click and flick” low margin sales.  Once they have your money you are history.

The Support Conundrum

As a reseller we are the support arm for our suppliers, and our trade buyers rely on us for product knowledge.  Distributors do not support anyone except their direct customers as a rule and pushing support requests on to distributors is a quick way to lose supply or see prices increased to cover support costs further squeezing margins.  We provide full support to all retail customers and this is ongoing.  We have to turn away many callers every day because they are not customers.  We hate to do this but we can’t afford to subsidise the “click and flick” sellers and we will recommend that you contact your reseller for support.  Why?  Support costs time and time is an expense.  Our product sales include support and it is gladly given. 

The danger to everyone is that the click and flick model prevails and businesses that truly support their customers disappear due to the race to the bottom.

Considerations when purchasing Surveillance and Security equipment.

The first consideration is to honestly consider how much support you might need with your new system and who would provide that support.  Our experience is that most installers will kick you up the chain to their supplier (which may be us).  We always send you back to the installer and then provide the support to the installer if they are our customer.  If you buy direct then we supply the support to you and your installer.  You also save the margin the installer will charge you if you purchase direct from us.

Some reasons for requiring support:

 New NBN provider or modem – existing equipment no longer accessible or no longer connected to smart phone App.  We can assist to reconfigure your modem to allow access.

 False alarms or incorrect configuration. For most systems connected to the internet we can connect remotely and see what the issue is and advise how to configure to correct the problem.

 Expansion or upgrade to system components.  We will work with you to understand your system and provide advise and support.

 New phone – connecting smart phone to equipment for remote monitoring.

 Firmware or software upgrades for security or features

 Faults or breakage.

There are many other scenarios where you might want to talk with a friendly support agent without being sent on your way because support is not included in the sale or they were not the original supplier.

We plan to be around for the long term, as long as we can provide sales and service while still being solvent. Your support is gratefully accepted to allow us to continue and we hope you consider this important service when looking for the Best Buys.

If you need support, please contact the reseller you purchased from.  Hopefully that is Active Online. We are happy to be of service!