Money / Pair 19 of 41
A saving on quantity, or a saving on protection
Two offers, both cheaper than the listed price, both perfectly friendly in tone. One of them is a volume calculation. The other is asking you to give something up, and it will not say what.
Two prices that both look like a saving
The number is lower. That is all a reader sees at first, and a lower number is genuinely attractive. Both offers arrive in the same register, both sound reasonable, and neither announces itself as the one carrying a hidden price.
Size is no guide either. A small discount can be the dangerous one and a large discount can be entirely ordinary.
A price that falls with quantity
The listing carries tiers, or a rate is applied that anybody ordering the same amount would get. It survives the ordinary order flow, it shows up in the order total, and the record afterwards looks exactly like any other order on the account.
A price that falls if you change the route
The saving exists only where payment goes somewhere other than the ordinary flow. Direct to an address, outside escrow, in a different coin at a preferred rate. What is being sold to you is the removal of a protection.
Put plainly, one discount is priced in goods and the other is priced in recourse. The second takes away the ability to dispute, the record of what was agreed, and any route back if nothing arrives.
Who is offering this and what for
It is fair to assume a vendor wants a larger order and a faster settlement. Both are ordinary commerce and neither is sinister on its own. The question is which of the two the discount is actually buying, since only one of them takes something away from you.
Put the discounted price through the ordinary flow
Ask whether the same price still applies if the order goes through the market exactly as any other order would. A saving that survives that is a quantity discount.
- Take the offered price and put the order together in the normal way.
- Change nothing about the payment route, the escrow arrangement or the destination.
- See whether the discount is still there when the total is calculated for you.
- A saving that evaporates once the route is ordinary was a price for the route.
Running that costs nothing and it does not require anybody to be honest with you. It only requires the site to do its own arithmetic, which it will do whatever anybody has promised.
Two variants deserve naming, since both dress up as quantity. The first is a discount for splitting one large order into several smaller ones paid separately. The arithmetic sounds like volume and the effect is a set of payments that are harder to tie together and harder to dispute as a whole. The second is a discount for ordering more where the extra is only available outside the listing. That is a route change wearing a quantity label, and the test above catches it in the same way.
Neither variant needs anybody to be lying. A vendor genuinely short of time may prefer a settlement that saves them work, and the saving offered can be real. It still costs you the same protection it would cost you if the intent were worse, and you cannot tell the two intentions apart from where you are standing.
One of these mistakes is much dearer
- If you treat a payment discount as a bulk one
- You pay outside the arrangement that would have protected you. If nothing arrives there is no order to point at, no held funds to argue over and nobody obliged to look. The saving was a fraction. The exposure is the total.
- If you treat a bulk discount as a payment discount
- You turn down a real saving and order in smaller lots than you meant to. That costs a little more per unit and adds movements, each carrying its own fee. Mildly annoying and entirely recoverable.
This pair is about as lopsided as any on the site. One error is a rounding difference. The other can take the whole order with it. Where you are unsure, being wrong in the cautious direction is close to free, which is not true of most of the pairs collected on the full list.
What each one is worth doing about
- If it is a quantity discount
- Take it, provided the quantity is what you wanted anyway. Do not let a tier talk you into an order size you would not otherwise have placed, since a saving is only real against an order you meant to make.
- If it is a payment discount
- Decline it and place the order the ordinary way at the ordinary price. There is no version of this where the discount is worth the protection, and the offer itself tells you something useful about whoever made it.
Questions readers send about this pair
Is a vendor asking for direct payment always a bad sign?
It is always a request to remove the arrangement that protects the order, whatever reason is given for it. The reasons can sound perfectly sensible and some of them may even be true. The effect on your position is identical either way.
What if the discount is offered for paying in a different coin?
Judge it by the same question. A coin change that keeps the order inside the ordinary flow with the ordinary protections is a pricing preference. A coin change that moves payment outside that flow means the coin was never the point.
Can a bulk discount be faked?
A tier that appears only in conversation and never in the order total is not a tier. Anything that will not survive the site calculating a total for you is worth treating as the other kind until it does.