“You can’t put a price tag on love. But if you could, I’d wait for it to go on sale.” (Jarod Kintz)
Discounting is often likened to a potent, dangerous drug. Many businesses “give it a try” in response to external pressure. The immediate bump in sales gives great pleasure. However, the drop that ensues once the deal is retracted is agonising. As time goes by, the concessions get deeper and more frequent to satisfy a customer who is increasingly accustomed to—and, frankly, bored with—receiving offers. One interesting aspect is that, for the most part, the downward spiral is predictable. This begs the questions: Are organisations discounting intelligently? Is there a healthier way to entice customers without mortgaging the brand? This session provides answers and a useful checklist. First, we have to understand that “discounting” is not synonymous with “tactics.” Quite the opposite, the strongest sign of a clever campaign is its ability to serve the broader objectives of the business. Second, there are steps that managers can take to ensure that their investments in price cuts are, indeed, investments. The overarching goal is to put an end to the all-too-familiar “can’t live with them, can’t live without them” feeling that hounds discounting.