Mastering the Art of Discounts
Offering discounts on selected store items from time to time is an effective way to keep your buyers hooked. There are a number of discount strategies out there, a few of them are buy-one-get-one-free offer, coupons and reward programs. It is important you determine which of these is right for your business.
Here are a few tips to consider when planning store promotions.
Appropriate Timing- When sales are offered too often, it could encourage customers to wait for markdowns before making a purchase. Customers might even begin to believe that your regular prices are too high. In addition, you do not always have to follow the trend by holding sales at traditional times like holiday seasons or mid-year sales. You should take the time out to figure out what works for the kinds of products you are selling.
Reward Loyal Customers- In addition to attracting new buyers, offering discounts is a great way to encourage repeat customers. An example is deciding to send free gifts to new buyers to thank them for their purchase and encourage them to shop from your store again.
Beware of Underpricing-The power to decide on the prices of your goods and when to offer discounts is in your hands. It is not always true that if something is not selling then you have to lower the price. If you continue to lower prices irrationally then customers will think there must be something wrong with the item.