Disclosure: We may earn commissions from affiliate links in this guide about spotting fake discounts, but our independent research and honest reviews remain completely unbi
“50% off!” means nothing if the “original” price was never real. Retailers routinely mark an item up right before a sale, or list a “compare at” price the product never actually sold for, then advertise the markdown as a huge win. The FTC has rules against this (16 CFR Part 233, the Guides Against Deceptive Pricing), but enforcement is thin and the practice is everywhere — Consumer Reports and multiple retailer studies have found major chains that can’t explain how their crossed-out “list” prices were even set. Here’s how to tell a real discount from an inflated one before you buy.
What actually makes a “was” price legitimate
Under the FTC’s guidance, a former price is only a valid comparison if the item was genuinely sold at that price, openly and in good faith, for a reasonably substantial period of time, recently — not months or years ago, and not a price that existed for a single day just to be marked down the next. A retailer showing “around $199 around $99” where the item never sold for around $199 anywhere, ever, is exactly the violation the rule targets. Knowing this framework is the first filter: ask whether that “before” price sounds like something a real customer actually paid.
Step 1: Check the actual price history, not the sticker
The single most reliable way to verify a discount is to look at where the price has actually been over the last few months — not what the retailer claims it was. For Amazon purchases, a free browser extension like Camelizer (CamelCamelCamel) or Keepa overlays a price-history chart directly on the product page, showing the real price the item sold at over the past 6+ months. If today’s “sale” price is roughly equal to — or even higher than — the item’s normal street price, it’s not a deal, regardless of what percentage-off badge is displayed.
For non-Amazon retailers, tools are thinner, but Google Shopping’s price history (visible on some product listings) and site-specific extensions can serve a similar purpose. When in doubt, a quick search for “[product name] price history” often surfaces a Reddit or deal-forum thread with real data points.
This matters most on categories where “was” prices get inflated hardest: electronics during Black Friday/Cyber Monday, mattresses and furniture (where near-permanent “sales” are an industry norm — see Step 4), and big-box seasonal items like patio furniture or holiday decor, where the “original” price sometimes existed for exactly one week before the markdown.
Step 2: Watch for the pre-sale price spike
A well-documented tactic: some retailers quietly raise a product’s price a few days or weeks before a big sale event (Black Friday, Prime Day, back-to-school), then “discount” it back down to roughly where it always was. A price-history chart makes this pattern obvious — you’ll see a short, sharp spike right before the markdown. If you only check the price the week of the sale, you’d never catch it; checking a 60–90 day window makes it unmissable.
Step 3: Compare across retailers, same day
Cross-shop the identical model number or SKU across two or three retailers at the same moment. If Store A shows “70% off, was around $300, now around $89” but Store B is selling the same item at around $85 with no sale badge at all, Store A’s “was” price was inflated — around $85–89 is simply the going rate. This is especially common with private-label electronics, off-brand kitchen gear, and anything sold under a retailer-exclusive SKU, since there’s no independent MSRP to check it against.
Step 4: Be skeptical of permanent “sales”
If an item has shown the same “X% off” badge every time you’ve checked it over weeks or months, it isn’t a sale — it’s just the price, marketed as a discount. Retailers that run “40% off” as a permanent fixture (common with mattress brands, some furniture sites, and fast-fashion) are using the discount framing as a psychological anchor, not a genuine time-limited markdown.
Step 5: Read the fine print on “compare at” and “MSRP”
“Compare at” pricing is largely unregulated compared to a retailer’s own former-price claims — it can reference a manufacturer’s suggested price that no one, anywhere, actually charges. Treat any “compare at” or generic “MSRP” tag with more skepticism than a retailer’s own “was” price, since it’s easier to inflate a number nobody is actively checking.
A two-minute pre-checkout routine
Put these steps together and the whole process takes less time than reading a product’s review section:
- Paste the product URL into a price-history tool (CamelCamelCamel/Keepa for Amazon; a quick search for others) and glance at the 90-day chart.
- Open one competitor’s listing for the same SKU in a new tab.
- Check whether the “discount” badge has been identical the last few times you’ve seen this item (mentally, or via browser history).
- If the “before” price traces back to a “compare at” or generic MSRP tag rather than a retailer’s own recent price, discount your trust in the number accordingly.
None of these steps require a paid tool or an account — the entire routine runs on free browser extensions and two open tabs.
Quick reference: real deal vs fake discount
| Signal | Likely real discount | Likely fake discount |
|---|---|---|
| Price-history chart (60–90 days) | Clear drop from a sustained normal price | Flat line, or a spike right before the “sale” |
| Cross-retailer comparison | Sale price beats other retailers’ normal price | Sale price matches or exceeds competitors’ everyday price |
| Discount badge over time | Appears occasionally, tied to specific events | Same percentage shown every time you check |
| Price reference | Retailer’s own recent selling price | Vague “MSRP” or “compare at” tag with no verifiable source |
The bottom line
A discount is only real if you can verify the “before” price actually existed. A free price-history extension turns that verification into a five-second glance instead of guesswork, and it’s the single highest-leverage habit for not overpaying during sale events. Build the habit once — check the chart before you check out — and inflated “was” prices stop working on you entirely.
FAQ
Are Black Friday and Prime Day discounts usually real?
Mixed. Headline “doorbuster” items are often genuinely discounted to drive traffic, but the broader catalog includes plenty of inflated comparisons. Checking price history is still worth doing even during major sale events — especially for items outside the handful of loss-leader deals.
Is it illegal for a retailer to use a fake “was” price?
It can violate FTC guidelines (16 CFR Part 233) and state deceptive-advertising laws, but enforcement against individual retailers is inconsistent and the FTC guides aren’t binding law in the same way a regulation is — they inform enforcement actions rather than guaranteeing one. Your best protection is verifying prices yourself rather than relying on enforcement.
Do price trackers work for items that are brand new to the market?
No — with no sales history, there’s nothing to chart. For brand-new releases, cross-retailer comparison (Step 3) is your best tool since a price-history baseline doesn’t exist yet.
Does a lower price always mean a better deal?
Not necessarily — factor in return policies, warranty coverage, and seller reputation (especially for third-party Amazon sellers), since a slightly higher price from a more reliable seller can be the better overall value.
Sources: LegalClarity — FTC Deceptive Pricing Rules, Tactics, and Penalties, Consumer Reports — Why a Sale Isn’t Always a Sale, Checkbook.org — Sale Prices Are Usually Fake Discounts