Let me give you my perspective. I just don't like to play that game. If you (generically speaking) want to run an auction, run an auction. As far as I am concerned, you had a chance to post your best price. If I go to your site (again, generically speaking) and see xyz reg for $299 and LP has it for $229, I'm probably not going to see if you will match. This isn't a Mexican mercado where I expect to haggle. If you wanted to sell it for $229, you had every opportunity to list it for $229. Nobody twisted your arm (well, maybe the manufacturer, but not me) to list it for $299. I'm going to assume the price you put on the tag is the price you need to get. I don't like it when people are fishing in my wallet for what they can get. It feels like buying a new car. It doesn't matter what anyone else's price is, your best price is your best price, offer it upfront.
It also slows down the transaction, requiring me to send emails asking to price match and then awaiting a reply. I'm not sure how checkout would be done. Call on the phone? Not a chance. I may be shopping at 5am before going to work, or at midnight. Or even at work, where I can type in privacy but I don't really care to pick up the phone so everybody in the adjacent cubicles can listen to me discuss a scuba purchase. Phone calls are designed for 10 minute transactions. I like to work at my own pace. The shopping cart lets me, will you?