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Are online shopping comparison websites really useful?

by Francesca Morosi

Created on: November 02, 2008   Last Updated: February 20, 2011

Ever used a prices comparison website yourself? What a great way to find your cheapest product/service! Ive always thought they were such a wonder of the internet era and I still remain a big fan of them at least as far as material items are concerned (electrical, books, movies, toys, gifts, home furniture, etc.)

But regarding other less tangible services such as energy, insurance, credit cards and other financial products I not so long ago discovered their real nature and it's a complete no- no!

The first I ever used was Uswitch for my electricity and gas supplier about 4 years ago. I found the idea so brilliant: finally an impartial source to which every consumer can turn for help in moment of struggle. Since of course changing utility supplier or finding a cheaper car insurance can be a truly daunting experience: having to choose between ten or twenty companies with consequent comparison of all their different prices, benefits and promotions, I challenge even the most economically aware buyer not to pull his hair!

But nothing like that any longer. In less than 5 minutes I was able to have a list of all suppliers sorted by prices with a column detailing the saving I would be able to make by switching to every of them and another column rating their customer service: simply marvellous. "How brilliant is this?" was my first thought in discovering such a powerful tool.

I was on top of the moon, my entire switching process took less than 10 minutes and in a few simple clicks I went on choosing what I thought it was the cheapest supplier. A year or so later I used another comparison website (moneysupermarket.com) to find the cheapest car insurance and anybody I know was doing exactly the same: all of us living the progress, all of us proud in our new awareness, probably looking at anyone not yet accustomed to it with an awe of disappointment.

A few months ago I was having trouble with British Telecom (my ex phone & broadband provider): after my last half hour spent on the phone with Mr Patel - superintendent of Bombay's customer service (no different from other suppliers BT outsource its customer service to cheaper labour countries such as India) I decided I had enough: I wrote a letter of complain directly to the CEO asking for a cancellation of my contract without further charges. Naturally enough, the CEO responded the day after and everything was sorted at incredible speed: after a couple of days I was discharged from my contract and all my charges were

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