The bait and switch is a fraudulent sales tactic that is punishable by US law, as false advertising. Though the law forbids the bait and switch, it is commonly used, and one can find examples of it in virtually any advertising circular for major department stores, electronics and computer stores, and automobile retailers. The purpose of the bait and switch tactic is to get customers to visit a store or business by advertising very low prices. Once the customer is in the store, the salespeople attempt to offer the customer items at higher prices.

The bait and switch begins with the bait, an advertisement for a product at what seems like an extremely low price. Sometimes these products, such as a mattress, are of very low quality. Other times, the price may apply to one specific style of, or model of an item. In general, the bait is stocked in very low numbers. In some cases, only one or two of items are available at the low price.

Once the customer has walked into the retail establishment, the bait and switch moves to the switch. The salesperson will inform the customer that the store has sold out of the advertised item and offer a similar item at a higher price. Alternately the salesperson may push hard to be certain the customer understands that the lower-priced product is of inferior quality, and try to sell a better quality product at a higher price. Bait and switch may also be used to bring in customers with bait, low prices, and also raise prices of unrelated items that customers might also pick up at the time.

To avoid prosecution for bait and switch tactics, advertisements frequently place in small print that the store does not allow rain checks, or that the item is limited to the quantity in the store. Reading the fine print of an advertisement can often alert customers that the advertisement is clearly employing a bait and switch tactic. In auto sales, one will often see a new car, priced below high blue book. The customer should be aware the price refers not to all cars of this type in the auto retailer’s inventory, but usually to one car, which is quickly sold.

With resolve, a customer may ignore salespeople and purchase the low-priced item, but quality of the item should be carefully evaluated before deciding on a purchase. One may also want to avoid purchasing other items from a retail store where the prices seem higher than usual. It may be less costly to purchase needed items from a store that does not practice bait and switch techniques.

When a true bait and switch scam exists, the store can be sued for fraud. However, such lawsuits are frequently not successfully resolved without a great deal of time and documentation. What customers can do to reduce bait and switch sales is to report this activity to the Better Business Bureau in the US.

Reports can be made over the Internet, and can usually be completed within a few minutes. The Better Business Bureau keeps records on companies with significant customer complaints. Evaluating a Better Business Bureau report on a retailer can help one decide whether they want to plow through the bait and switch tactics of a store, or give their business to more deserving retailers.