Why online is cheaper than the high street

Sunday, 05 July 2009

As you are reading this online, you are very probably already a PC/laptop and internet user. That’s good news, as we shall see, but please try and encourage your fellow retirees to join you as a ‘silver surfer’.

The fact is that shopping, banking and managing your savings online can save you money or make you more money than carrying out these activities in the traditional manner.

The fact is that retailers, banks and building societies do not always give the same good offers from their buildings as they do online. Indeed, some stores only exist online and have no traditional outlet (e.g. Amazon).

The reason that there are cheaper offers online is that running an online store is cheaper that a high street establishment. Expenses such as electricity, rent, fixtures, fittings, salaries are less for an online store. Even for those operators with both presences, customer needs are met with reduced costs if they buy online.

It may seem unfair to traditionalists – and let’s face it, a lot of the over 60s are just that – but doing your shopping or financial transactions online can save you money.

With regard to savings accounts, the best deals can often be found online. You can set up your account online, transfer the money into the account online, but you do still have to prove your ID by sending proof through the post. Once that’s done, you can manage your account through to maturity online.

Online shopping can give you access to better deals. The ease of process in dealing with online retailer also enables retailers to give lower online prices. Products that are end-of-line are better offered online than taking valuable shop space, so come cheaper.

Online shopping also gives you access to price comparison sites, so instead of trailing round the shops, a few clicks will show you the cheapest place to buy!

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