Discount Vs Giving Added Value: What’s The Best Option To Stimulate Buyers?
Businesses have tried different ways to encourage customers to take action for years. They have included various call-to-action messages, such as fill the form, attend the seminar/ webinar, visit a website, buy now, shop today, take a test drive, take a quick tour, and more.
Various businesses have also offered price discounting as a motivator to get people to TAKE ACTION depending on their needs. Unfortunately, there are lots of problems associating with this kind of promotion. In this article, you will find out why discounting is not a good option for your businesses, and how BusinessTRAK can help you tackle this problem.
Discounting reduces your profits
The biggest problem with the businesses who offer discounts is that reduces profits. While this helped increase the number of initial sales and subsequent short-term revenue, this strategy was counterproductive to long-term revenue growth. Over time, the customers were hard to retain due to the overwhelming majority of them continuing to search for the lowest price. Today, most consumers can be motivated by your company with a small 10% savings. More than likely, they will look for other competitors who are offering the same products or services for less.
Another problem of discount offers is that it doesn’t work for all, such as non-profits organizations, insurance companies, schools, or religious organizations. Discounting might degrade your brand reputation through your customers’ eyes.
Giving added value to your customers
If you want to stimulate buyers to take action without discounting, all you need is a REAL VALUE promotion. Keep in mind, consumers look at getting a good deal if they are to depart from their money. It’s the value of the purchase that get people to TAKE ACTION, and it is applicable for any type of business, even if it is a non-profit organization.
When thinking about added-value promotion to stimulate your audience, there are 3 things you must consider:
- It must be HIGH-VALUE: Most consumers will not TAKE ACTION to get a free baseball cap, tee-shirts, calendar,… These gifts have no real value for the customers.
- It must be LOW-COST: In order to INCREASE PROFITS, the giveaway must cost less than the amount of dollar offered using a discount
- It must appeal to a wide audience: An incentive that is suitable for everyone will help the business attract a wider potential audience and raise more revenue.
We bring you a game-changing solution
We have tried to think a promotion that can match all three criteria’s by asking ourself a question “What’s the one thing most adults love to do?”
Well, the answer is quite simple. Everyone loves traveling, isn’t it?
BusinessTRAK has one of the few HIGH-VALUE, LOW-COST promotion available today. We have partnered with Travel Planet Network (TPN) (www.TravelPlanetNetwork.com) that provides businesses a way to getting their audience to take action and generate revenue for their organizations. Now, consumers have the ability to access up to $500 Travel Savings at 1 million worldwide hotels and resorts – for $50 or less.
Discovering our High-Value, Low-Cost Promotion on our website TODAY!