Alleged cheating in SM stores

KUWENTO NI JUAN
P881.00 worth of 1/2 kg. of chicken wings at SM Center Hypermart
By Mang Juan Pinoy

 

There is an actual bad experience at SM Center Hypermart last Sept. 7, 2010 4pm in the afternoon wherein a ½ kg SM Bonus chicken wings worth P65.00 was charged P881.00 on the sticker tag price which the counter cashier [even admitting] that the price was bloated, still continued and registered the wrong amount in the cash register to the disbelief of the customer.

When the customer complained, the counter cashier said she did not tried to correct the error because she needs to follow procedures and input on the cash register what was indicated in the price tag.

Finally, it was resolved when poor customer had to cancel buying the 1/2 kg chicken wings and leave the supermarket after being subjected to SM [Taking] Advantage.

Obviously, the SM supermarket counter cashier suffers from voluntary loss of common sense.

Read Possible Related Article:

Alleged cheating in SM stores
By Bong Austero
Manila Standard Today

There’s a tempest that’s been steadily brewing in quite a few E-mail groups since last week. It started when certain “concerned” individual consumers raised the alarm regarding what has been labeled as “cheating” purportedly being done in some–or many – SM stores. I know; it’s a very loaded accusation. SM happens to be the biggest retailer in the country with probably the biggest number of customers handled on an everyday basis so the repercussions can be potentially disastrous if the allegations are proven true and or if they aren’t resolved satisfactorily.

I actually received the E-mail thread a couple of weeks ago and I meant to write about it for three reasons: First, because I happened to have had three experiences that were quite similar to what was being complained about, which all happened in SM Harrison Plaza; second, because there is reason to believe that the incidents being complained about continue to happen in various SM stores and therefore deserve particular attention; and third, because SM should really do something concrete about the problem, and fast.

Let me tell you about my personal experience. Like I said, this happened in three different occasions and I have personally witnessed at least two other occasions where someone complained to a SM cashier about exactly the same thing. While I was paying for some purchases, it was discovered that there was a variance in the prices of the goods as written in the tags and what appeared in the cash register when my purchases were entered into their system. Obviously, there had been a price adjustment—either due to a recent sale or presumably because the price of the new inventory was higher—and the correction in terms of the corresponding new prices were not yet reflected in the actual price tags attached to the merchandise. Thus, the prices as written in the tags were significantly lower compared to what appeared in the cash registers.

In fairness to SM, the cashiers did point out the variance to me. In all the three occasions, the cashiers asked me if I was willing to pay what they told me were the “correct” prices, which they said were the ones that appeared in their cash registers. On all three occasions, I flatly refused and told them that I happened to be aware of the pertinent laws that applied in such situations, which is that the price that appears on display is what customers should pay for. And on all three occasions, they relented. The problem was that they had to call some supervisor to approve the transaction and there had to be some waiting time, which annoyed other customers who were waiting in line. I had the distinct feeling that most probably saw me as an incorrigible miser who terrorized hapless cashiers with penny-pinching antics.

Based on the various E-mails of other complainants in the various E-mail groups, what happened to me did not happen to them—in most cases, the cashiers simply ignored the price variance and rung up the purchases. The “victims” simply discovered the difference much later on when they bothered to inventory their purchases against what appeared in the official receipts. The question that is in everyone’s mind of course is: How many people actually bother to inventory purchases, much more check if the prices they paid for were the actual prices as indicated in the tags?

Naturally, more questions cropped up. Is this a normal, regular occurrence in SM stores nationwide? How many people fall “victim” to this trap everyday? What is SM doing to effectively correct this problem?

I must admit that prior to the three incidents I mentioned above, I never really paid close attention to how SM cashiers did their jobs every time they rung up purchases particularly when I paid using a credit card. I have always trusted that the automated system was foolproof. There was very minimal direct human intervention after all – the cashiers simply pointed a laser gun that read the bar code of the product containing the price and other details, and the cash registers computed the purchases. I think I am representative of many consumers—people who believe that establishments like SM have sophisticated systems in place that protect consumers.

The allegations are hitting a raw nerve because it makes people wonder if they too have been victims of the same “incidents” being complained about by many people. There’s nothing quite like mass-scale victimization of innocent people that gets at one’s goat. Suddenly, everyone is wondering if he was also victimized by the set up or not. Could it be that they have paid more than what they should have for their purchases at SM stores? If it happened to some other people, surely there is the possibility that it also happened to us at some point or another without our knowledge.

To be fair to SM, the implied accusation of cheating and massive swindling is probably uncalled for. I don’t think a conglomerate as big as SM would actually sink so low. I really don’t think that it would be willing to make money fleecing people when they could get so much more by just doing business straight up without the monkey business. SM may have had a reputation in the past for not being such an ideal employer particularly in its dealings with contractual employees but I know for a fact that it has really been putting in place more proactive measures designed to become a more responsible corporate citizen. Its rapid growth would not have happened otherwise.

In some of the E-mails from complainants that I have read, they’ve acknowledged that people from SM did call them up to explain the situation and explore solutions. I’ve read that problems in the system have been cited as the culprit as well as human errors which were deemed very likely given the levels of competencies of those hired to do the manual work of changing price tags in the goods displayed in the stores. And then there was the matter of concessionaires who employed their own merchandisers and who were not technically under the employ and supervision of SM. Other possible reasons were cited, all of which, unfortunately, do not really address the problem or appease consumers a bit. The justifications being offered do not fly because what people expect from giant retail chains like SM is not only shopping comfort and quality goods but also security and protection from all kinds of threats including being swindled and cheated not only within the premises but also by the establishment itself.

As can be expected, the issue has become saddled with even more static that adds further complication. For example, some people have raised the issue of SM stores not giving out loose change to customers. Actually, this is a problem that is not specific to SM stores although it just seems more pronounced in SM because it is the biggest retail chain in the country. Someone raised the issue of the rather steep fees SM charges for parking in its malls (quite a number thought parking should be free). And then there are the environmental issues—waste management, pollution, traffic congestion, etc.

SM is no longer just a store that sells goods. It has evolved into becoming a lot of things for a lot of people—I know quite a number of people who see SM as the center of their whole universe they go there for everything, for shopping, for eating, for their laundry needs, for entertainment, even for exercise. Soon, people will actually reside within SM malls. The issues being raised are no longer just about consumer rights, but really about stakeholder interests. Let’s all hope SM rises to the challenge.

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Comments

  • miki  On September 10, 2010 at 2:04 pm

    it is not the prices of commodities that the SM has been practicing…also the labor cheating..wherein the employees are only allowed to work for 5- 6 months only..to get away from permanent status?

  • tomas  On September 30, 2010 at 3:58 pm

    its just plain human error. don’t blame the establishment for incompetent workers, blame the government for not letting them study in the first place. they keep the money to themselves. SM or any other establishments are actually giving jobs to these people. hold the establishments liable if they’re not doing anything about it but if they are stop whining.

  • cj  On September 30, 2010 at 7:19 pm

    meron kaya nagrereport kung masmababa un barcode price sa tag price?

  • ms. p  On September 30, 2010 at 9:15 pm

    i’ve read in this blog that this issue has already been resolved

    http://fashionbysai.blogspot.com/2010/09/real-deal-on-alleged-sm-price-cheating.html

    just felt like sharing.. good night!

  • anonymous  On October 4, 2010 at 8:22 am

    Thanks Ms. P for sharing the link with us. Buti naman at meron action agad ginawa ang SM dito. Lagi pa man din ako dun namimili. Gusto ko sa SM mamili kasi flat rate parking nila. D tulad ng iba na ang mahal mahal ng parking. Tagal mo dun ibig sabihin masmadami ka mabibili tapos sisingilin ka pa ng masmataas. Ayos din sa parking kasi meron mga ilaw na green pag bakante.

  • tottie  On October 4, 2010 at 8:33 am

    Haven’t experienced this and I think this has already been blown out of proportions. Maybe a few pesos discrepancy I’d believe but if you’re saying more than Php50.00 I think it’s ridiculous. And for an establishment as big as SM, I’m sure they are taking this seriously so as not to tarnish their reputation. I should be getting paid for this. But anyway, I’m still with SM’s side on this issue. As the article says, it’s evolved a lot and already is a crucial part of most of the filipino families.

  • julie.070485  On October 5, 2010 at 12:24 pm

    I find it unfair to single out SM on this matter. Almost all establishments encounter the same problem but why single out SM on this? As Ms. P mentioned, the issue is already resolved. We now all know that SM is trying their best to look into the situation.

  • tim  On October 5, 2010 at 5:44 pm

    Thanks for sharing this with us! And it’s nice to hear also that the problem is already fixed!

  • bruno  On October 5, 2010 at 10:24 pm

    This is very reassuring esprcially with the Lenten season fast approaching! There will be tons of sales and grocery buying for the filipino families.

  • vernice  On October 12, 2010 at 6:32 pm

    nobody’s perfect.. its as simple as that. everbody makes mistakes so deal with it and get over it already. somewhere down the line an employee messed up with the pricing. it could be the cashier, the price tagger, the supervisor, the mechandising or puchasing or sales or whoever. what’s important is this issue is already settled so stop crying over spilled milk (which can be found in the groceries also by the way).

  • Jacq  On October 19, 2010 at 7:23 pm

    Tapos na ‘tong issue na ‘to e. Ginawa and ginagawa na ng SM ang mga dapat gawin. They’ve done their part so tayo naman. Wag na kayong magreklamo, i-check nalang natin yung mga price tags saka kung may discrepancies, i-report nalang ng maayos sa admin.

  • james  On November 5, 2010 at 8:27 pm

    I don’t think that this issue has been fully resolved. My aunt shared her experience which happened just last week. she’s also aware about the circulating emails about sm supermarkets cheating on customers thru item price irregularities. she won’t even believe the emails at first, not until she had experienced it. she’s doing her weekly grocery then, and along with those items was a bottle of apple cider vinegar costing around Php 146.00. she even had a second glance on the price of that specific item listed on the shelf to make sure since there was no price tag on the bottle. and when she was about to pay and that item has been scanned, it became Php 152.00! she then call the attention of the cashier personel and told what price she saw on the shelves. the lady cashier then asked one bagger to check on the price and saw the same price my aunt had seen. then they called a supervisor to check on it and just minutes later the price tag on the shelf can’t be found? the supervisor apologized for the price mismatch. my aunt explained that it would be understadable that it was just an error if the difference is just a peso, but, Php 6.00 difference? the management admitted the mistake and just manually punched in the right price. she just wished that it’s the only overpriced item on her cart.

    if it’s just a simple human or system error, well then, fine. i just hoped it doesn’t happen all the time . maybe sm supermarket management should take this issue seriously and come out with proper actions so these circumstances be prevented and for people not to lose trust and high expectations on their services.

  • Donald Campito  On November 18, 2010 at 11:57 am

    In my point of view this is neither a system error nor human error as well, please remember that SM is a multi-billion company which generates probably millions of pesos each day and owned by the richest Filipino in the world, do you think the company would be careless enough to have a system running the forefront of their business without them knowing that it has glitches?

    My mom went to the grocery (SM Hypermart near Julia Vargas) last Sunday November 14 and one of the things she bought was a whole chicken which is worth Php 130.00 only, upon hearing about this scam from her friend, she immediately checked her receipt from the last Sundays grocery and she found out that the price of the chicken in the receipt was Php 206.00!! additional ½ kilo higher, so she looked for the tag on the chicken and it is tagged as Php 130.00 only, the odd thing about this is that the date on the receipt is November 15 and not November 14 which is the actual date.

    Would this be an error on the costing AND the date at the same time??? or a full blown scam??
    See, when the customer file a complaint to SM they haven’t got much of a proof since the pricing is different and so is the date….. nice trick…

    To tell you honestly, I don’t buy the “system error” crap, I’m an I.T. Project Manager of softwares and CRMs here in the Philippines and before the client or customer bought a system/application/software, there are several testing and dry run on the system just to ensure that the product is error free, however there are some cases that there are glitches in the system but it is already resolved before turning it over to the customer.

    SM has the best R&D and I.T. people in the business, do you really think a simple error such as the DATE and retail pricing which is the sole function of the system of the POS would go hardly unnoticed? …..

    Just my two cents…

  • rolan  On May 17, 2011 at 2:47 pm

    SM should make investigate and make sure such does not happen again.

  • rolan  On May 17, 2011 at 2:47 pm

    SM should investigate and make sure such does not happen again.

  • Juniper  On June 28, 2011 at 1:04 pm

    Will never visit an SM mall again…

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