Doing Discounts Right

Last week I talked about the topic of discounts, about how we approach it as business owners and reasons for and against offering them. One of the places you frequently think about discounts is the grocery store. Grocery stores are well known for putting out circulars each week letting people know what items are going to be on sale and also what new items they may be carrying now. They’re not only an educational tool, they’re also a great marketing tool. Stores gain and lose customers based on many factors including overall prices, types items for sale, quality of products and physical proximity to someone’s location. The ads are a great way of letting people know many of those factors and even just reminding them that they exist.

However, if you’ve ever “shopped the circular” before you know that it’s not guaranteed that the products in the circular will be available when you get to the store, or that the specific store will have that product at all (even if they’re supposed to). Most people will say that of the circular items they were interested in buying, at least a handful weren’t available (out of stock or not available period) and another few didn’t look as promising in the store as they did in the circular. From the business side of things this is understandable because most sales/discounts are limited in stock. You’ve got x number in stock and that’s what’s available and all you’re going to offer, and when they sell out you’re done with that item/discount. However, this can be very frustrating for customers, even if it’s understandable from a practical and business perspective.

This past week however I had the exact opposite experience. A store was having a big 30 year anniversary sale, and when I pulled into the parking lot it looked like the week of Thanksgiving (I parked further that day then I did for Thanksgiving time shopping in 2017). So imagine my surprise when they had all the items I wanted from not only the special anniversary sale, but also the rest of the circular! And even though it was the evening and late in the circular week, they were more fully stocked than I sometimes see them, and everything was fresh. It’s a great opportunity for businesses who want to do discounts or do them to learn from.

The first lesson is that a happy customer is a good customer. Good customers buy more, buy multiple times and refer you to others. Second, fresh food is always good food. It’s not easy to have the quantities necessary for large sales, but if you can impress someone with the freshness of an item during a sale there’s a good chance they’ll buy that item again when it’s not on sale. Third, stock your products wisely. A physical store has limitations that an online store doesn’t, so there has to be a balance kept between variety of products and amount of stock. Finding that balance and keeping it keeps your customers happy and coming back.  Finally, sales and discounts can be a great way to bring in new customers, but if they don’t have a good experience with you (the products you say are on sale aren’t available etc.), they won’t shop with you in the future.

What lessons have you learned lately from your shopping experiences that could apply to your business?

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s

This site uses Akismet to reduce spam. Learn how your comment data is processed.