Avoid ‘extreme coupon-ing’ your store

Posted on Posted in News, Research

Used sparsely, discount codes can be fantastic for marketing. The immediate benefits are precisely what you hope long-term for your business: brand recognition, exposure to the services you offer, and priceless word-of-mouth referrals. But the over-dependence on generating customers solely via such tactics can and will depreciate your brand.

The worst-case scenario is for repeat consumers to use your service only when a discount becomes available. If consumers are unable to differentiate between your brand and discounts, the error lays in the marketing strategy. To restore – or maintain – confidence in your asking price, take the time to discover where your core audience is. The consumers who best fit your niche are more likely to recommend you to others without a discount.

If you want to create interest and feel a discount might galvanise your target audience, don’t be afraid to set expectations for future payment. Consumers often judge the value of a service by what the seller believes is the asking price. Endlessly offering free or half price goods does not always send a message of quality.