• Gee, Thursday, December 8, 2011 12:14 PM

Brands and retailers aren’t too happy about new services that easily compare product prices in store and online. The fact that Amazon is promoting its own such service with an attractive promotion has them fuming. Amazon announced this week that shoppers who perform a “price check” using its new bar-code scanning iPhone or Android app while considering in-store purchases will receive $5 discounts on Amazon.

Shoppers can do up to three price checks for a total of $15, Geekwire notes. “We imagined retailers wouldn’t like the idea too much, given that it allows Amazon to poach shoppers at the point of sale. And, guess what? They don’t.” In a statement, the Retail Industry Leaders Association’s Katherine Lugar scolds: “By continuing to evade collecting state sales taxes, Amazon’s exploitation of a pre-Internet tax loophole is resulting in a 6% to 10% perceived price advantage over their competitors on Main Street … Amazon’s aggressive promotion of its Price Check App shows the lengths they are willing to go to exploit this tax loophole, and is a stark reminder of why Congress needs to act to protect retailers on Main Street.”

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