It’s an age-old phenomenon: prices skyrocket precisely when demand is highest.
From hotels jacking up rates during popular travel seasons to retailers inflating the costs of emergency supplies before storms, many companies employ this unethical tactic known as price gouging.
While it may benefit their bottom line, this strategy takes advantage of customers when they are most vulnerable.
One of the most egregious examples is the travel industry. Without fail, hotel rates and airfares soar when kids are on break from school during summer or the winter holidays. Popular tourist destinations become exponentially more expensive due to high demand. Families trying to enjoy a vacation together end up paying exorbitant prices simply because they are travelling at peak times.
The same phenomenon occurs around major events like the World Cup, the IPL final, or the Olympics. Cities that host these high-profile happenings see hotel rates triple or quadruple. Again, fans who want to experience a once-in-a-lifetime event in person have no choice but to cough up the inflated costs. Companies realize they have a captive audience and charge accordingly.
Other necessities also see unbelievable price increases when they are urgently needed. When winter strikes, prices for road salt, windshield wiper fluid, snow shovels, and other cold weather gear predictably shoot up. After natural disasters like hurricanes or floods, the cost of bottled water, batteries, and lumber often double or triple in affected areas. Hardware stores know that desperate people will pay any price when urgent supplies are scarce.
State governments have begun passing laws against price gouging to protect consumers. Still, greedy corporations continue ramping up prices merely to increase profits, not to cover increased costs.
Remarkably, even lottery tickets are subject to price gouging. When jackpots for Powerball and Mega Millions swell to astronomical levels, some retailers dramatically increase ticket prices for customers. While Americans pay the standard $2 per ticket regardless of jackpot size, one company that operates internationally ramps its prices from £3.00 ($3.66) to £5.00 ($6.10) when the jackpot reaches $1 billion to a staggering £10.00 ($12.20) when it breaks $1.5 billion. This predatory practice takes advantage of jackpot fever at a time when more people than ever want to join the frenzy.
Fortunately, ethical lottery providers like Win Millions Lotto do not engage in such price gouging. Their ticket prices are lower at $3.50 in the first place and remain steady at all times, regardless of fluctuations in jackpot sizes. Their site even offers a $1.00 “mini” version for those happy to play for tens of millions rather than hundreds of millions. Consumers can count on paying a fair price for a chance to win big.
Disclaimer: Win Millions Lotto is a licensed and regulated online lottery site. Please play responsibly and adhere to the legal gambling age in your jurisdiction.
