Why are Sale Prices so Pleasant?
There are lots of pros and cons of discount pricing. They can stand either for using them in various promotional strategies or not. But…Who don’t love sales?
- They cheer up customers;
- Can help visitors in choosing the best products;
- They bring in your business new customers;
- Maintain customer’s trust;
- They innocently help to get rid of old stuff in your shop, etc.
In order to take advantage of the fruitful results that marketing strategies can bring to your business, we suggest taking into account the following articles. They go straight to the point, dealing with the most notorious promotions, giveaways, contests that deserve to be applied. Thus, make time for reading Intriguing Giveaways that Will Make Fans Eat Their Hearts Out and 3 Elite Promotion Strategies and Tools for Your Business.
Which are the Types of Reduced Cost Strategies?
1. Quantitative
Volume reducing of prices stands for receiving some percetanges off when buying a certain number of items (e.g. you can get 5% off when buying 5 books). Thus, it can be really convenient to make sales.
2. Pay in Advance
Such a nice strategy does not work with each type of business. You can offer cost reductions for the customers who are ready to pay in advance. For instance, the buyers who pay for annual subscriptions can receive some percentages of discount.
3. Bundle
Due to this strategy, you can offer your buyers the opportunity to get one more thing simultaneously. Due to this strategy, you can also increase the number of sold goods. In addition, you can sell together 2 different quality items.
4. Periodic
There are specific days, celebrations when you can benefit from some discount campaigns such as Black Friday, Easter holiday, etc.
5. Free Shipping
The payoff of this type of discount can work when the customers attain a specific sum of money, or it may serve as a hook for buyers.
6. Buy One, Get Two
The researches show that 93 % of customers choose to benefit from this strategy rather than from the discount of the second bought item. Check this link for more information.
How to Know which is The Right Strategy?
Some of the best strategies according to your goals were mentioned. They proved that they can fit your business due to the following reasons.
- Boosting Your Income
Your strategy claims to make as many sales as possible, regardless of your buyers’ number. Therefore, you can try the volume or bundled sales strategy. - Consuming Your Stock
The prime scope is to empty the old inventory in order to get space for new items. You can try the “Buy one, get two” strategy. - Getting Fresh Customers
There are more chances that doubtful buyers will be more likely to buy your goods during the sales campaigns rather than during the days without them. - Building Up The Loyal Buyers Range
How to Calculate Percentage Discount Formula?
! Percentage in decimals.
Discounted Price = The Original Price – (Original Price x Discount Percent %). Examples: The Discounted Price of a jacket of 142$ with 30% off is about 100$.
How to find Original Price after Discount?
Original Price= Discounted Price/ (1- Discount Percent)
Example: The original Price of a dress of 100$ with a 30% discount is 142$.
Original Price = 100$/ (1-0.3)
Why Is it Important to Segment Your Customers?
- You get the opportunity to predict the buyers’ needs at a certain period of time (e.g. a woman who bought 10 diet shakes would need another 10 in some days).
- You can guess the buyers’ preferences based on their past purchases.
- It works on understanding the buyers’ differences.
