Another Right Gone... I Guess I'm Not Allowed to Complain Anymore

Back in February, I wrote a blurb about AAFES. (Other mentions of AAFES can be found here, here, here, here, here, here, and here.)

Recently, a comment was left on the February post about gas prices and AAFES.

Mr. Anonymous left the following note:

I get so tired hearing people complain about the gas prices in Germany. I have to ask would you rather pay the prices they pay on the economy? My second question is, do you use the gas coupons that can be used at many stations across Europe? How do you think that program is paid for? Do you think it is a free program paid for by tax payers for your convenience? I have another comment about people complaining about AAFES in general. No, it may not a perfect company... (name one that is) but what other company would work with the military community, under military rules and work with old buildings the military supplies them, and open a store? What other company would employ military dependents as a first priority, even though these people transfer constantly, and in some cases would never make it in any other retail outlet? What other company would give most of their earnings back to the Military to build Gyms, Libraries, Bowling Alleys, Swimming pools, and a host of other amenities that most military members, DOD Civilians and contractors take for granted. What other company do you know that would open stores in a war zone, have employees volunteer to run them, and truck drivers who risk their lives and some who have lost their lives so you can get your double stuffed oreos when you want them? Do you really think WalMart would take better care? Think again my friend. So before you complain about all the little things that are wrong with AAFES, think of all the really great things they do everyday to help troops around the world!

Sigh. Where should I start? (Picking on the "Anonymous" is too easy.)

How about this? I recognize, and have even mentioned from time to time, that AAFES does good things. They do "Go where we go". So would any other business that wanted a chance to make a profit. Wal-Mart specifically? I don't know. However, if there was not a US Congressional mandate that AAFES is the SOLE proprietor to servicepersons on military bases, I am certain other entrepreneurs would jump at the chance for such an untapped market. This can often be seen at bases where a business comes in with a product, not sold by AAFES at the time (for example, internet), and AAFES comes along, declares an "internet concession" and thus, the first company must leave as no one is allowed to compete with AAFES.

That's the crux. There is no competition. Market forces are not at work.

Servicepersons often feel they're being ripped off. Whether it's the "high quality" goods often sold (and yes, there are some, but often not) at PX/BX's, the continuing lies regarding the price fluxuation of gas ("It's so diapers are cheaper", "It's because the price in the US went up, not down as reported", "It's so we can contribute to MWR at the base", etc.) or sometimes just the lack of care for "The Best Customers in the World", ask a serviceperson and you'll find the same. We're all grateful for the opportunity to find American products overseas. We wish we didn't feel fleeced every time we shopped.

AAFES says that it's profits go to MWR. I cannot find a display at Illesheim to say how much our base gets, but at a nearby post (only slightly larger than us), AAFES proudly boasts contributing $255,000 to the local MWR in the past year. Not a small amount, but... Let's look closer. AAFES boasts that every day is a "Tax Holiday" because AAFES does not charge sales tax, like in the states. That IS an awesome benefit, and does save servicepersons quite a bit of money. However, if our gas price is comparable to that in the states (ours is $2.60, and the states average, including an average tax of $0.50, is around $2.50, so close), then already we're looking at a mark-up, because if AAFES wasn't charging us the sales tax included in the average states comparable price, then AAFES would thus be around $2.10. Therefore, we're left to conclude that right off to bat, a) AAFES lies about the tax holiday and b) AAFES has a 50 cent per gallon head start on profit. Not bad. I can only imagine what could be done to our MWR facilities if AAFES is contributing that much money each year.

AAFES also says that prices in PX/BX's are the same worldwide. Unfortunately, the pace of deployment has allowed the fallacy of this to shine through. Soldiers coming and going have noted price differences worldwide.

Maybe it's the quality of service that gets servicepersons' dander up. For you see, if you complain at most AAFES facilities, you tend to get the following responses (note, not all the time, there are some gems of employees out there): "You could try buying gas on the economy" or "Well, where else are you going to go?" Both of these responses, while rude and poor in customer service, are false statements. AAFES gas is not designed to compete with local economies - none of AAFES' services are. No more than AAFES' Burger King matches prices with local BK's, or their service stations, or anything else. They are designed to provide American services within the American economic structure.

As for "Where else are you going to go?" It's the company town aspect that I was referring to earlier. However, the Internet is changing all of this. Ask any community mail room just how much parcel mail is being processed due to on-line ordering. You can order almost anything online - I've ordered books, DVD's, Christmas presents, clothes, furniture, even car tires (which beat AAFES price by over $200, even after freight charges). Many places offer free shipping, and some even include military discounts.

I could rant on and on, but... One of the key things that servicepersons miss is the ability to shop anywhere... And to shop around. AAFES does provide a service. Unfortunately, the price we pay tends to be quite high.