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Friday, 15 November 2013

Discounts & Deals don't "bite"

With festivities coming as the year draws to a close, there are business owners who question the practicality of offering either discounts or deals. There is a fear that giving such would devalue the brand, or give off a negative impression that the company isn't doing well.

According to a survey conducted by eAccountable and market research partner Clear Vision Research, "Of 1500 people surveyed the majority of them use cashback, deals, and coupons when making online purchases; this research highlights just how much customers value cashback, deals, and coupons."

Using discounts & deals should not be viewed as devaluing a brand, but should be viewed in a more positive manner. Psychologically shifting perspective from whether a cup is either half empty or half full. Customers greatly appreciate deals that help them to purchase the things that they need or want.

One way to give deals could be to divert marketing promotion budgets to giving back to customers as privileges for saving money.

Offering deals, often benefit both the customer and you. Customers get more value, while you get customers to purchase more of your products; developing a sense of customer loyalty. Once customers get accustomed to using your product eventually developing a habitual response and familiarity, it will turn out to be difficult for them to use "unfamiliar brands". This develops a response where customers are comfortable with the products you offer and this gives them a sense that they are within control (well within their comfort zone), and without much prompting there would already be a transparent barrier for a customer using your products to shift to something they are not accustomed to using. With a psychological advantage such as this it helps to develop a priceless customer and business relationship, that most marketing promotion, advertising, find hard to achieve.

An Extra for Malaysian Businesses

An example of a win-win situation is where deal offering service businesses promotes business deals to customers. The benefit is great where customers get better deals for the things that they want, and businesses get to close a larger rate of sale while at the same time creating greater brand awareness

Here are a few notable deal business services:

  1. Groupon (Malaysia)
  2. Livingsocial
  3. Dealmates
*If you are a business offering deals as a service and would love to be listed in this post please drop us an email here. We would be more than happy to include you in this list!

Deals are powerful, it appeals largely to price conscious consumers, which generally means a large population of this earth, will find it to be of great help, that a business is considering their needs and fulfilling it in a manner that can have an added personal touch.

So as you prepare for the year end holiday shopping season, consider allocating a special landing page, as you promote your products. This could be just as jolly as a season for shoppers, as for your 4th quarter bottom-line.

Please share with us your experiences with offering discounts & deals:

  1. How has discounts and deals helped your business?
  2. Would you greatly appreciate a discount or deal if given one?
Image "Crunch" photographed by Je Hyung Lee | Article Info resourced from Hostgator


 
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