I'm confused

I was in London yesterday with one of my clients M&S . Following the meeting I dropped into Waterstones on Oxford St; I have to admit I am confused. Ian Rankins's new thriller is out; hard-back price £17.99. Waterstones are offering a massive £8.00 off. Good news you say. Yes-for us; but not so for the hard-pressed book industry. And what's confusing me? Why offer so much discount? Certainly not in these first weeks of publication, surely? Ian Rankin's true fans will buy the book at whatever price. Those who are unsure about Rankin will buy cheaper 3 for 2 paperbacks any way. Here's my suggestion: sell at full price for a few weeks; the extra margin more than makes up for those who really do shop around.. then start lowering the price, say by £4.00....

Pricing is an absolute art form. I'd suggest Waterstones are doing it badly, losing themseves money and making us punters cynical: will we ever believe a full price of £17.99 is justified again?

By the way, how's your pricing policy? Are you discounting when you should be selling? Are you creating cynicism? Maybe time to review how your pricing policy works?