Think about the last time you made a large purchase. If you’re like most consumers, you took your time researching your options. But when you finally decided to write that big check, what happened?
You may not have realized it at the time, but chances are the business did something to create urgency and make you feel like it was the perfect time to buy.
One of the most popular ways you can create urgency as a small business owner is with discounting. But you can’t just discount products at random! There are smart ways to run discounts and promotions. Let’s get into them.
DO discount popular products and services.
DON’T discount your hottest products and services.
Discounting your more popular products and services is a great way to establish your niche in the market. But be warned—if you discount your hottest items too deeply, you could risk depleting your inventory or being unable to keep up with a sudden increase in demand. That could mean a terrible experience for your newly attracted customers.
DO keep an eye on break-even costs.
DON’T be stingy.
It’s important to be mindful of the cost of a service before deciding how much you can discount. But many business owners who are overly cautious of their costs end up offering discounts that simply aren’t attractive enough.
Pro tip: If you’re nervous about how much you can afford to discount, offer alternatives like free shipping or Buy One, Get One (BOGO) promotions.
DO discount slower and unbooked time slots.
DON’T forget to promote them!
Have slower times where you find your staff sitting around? Think about which customers have seen you at these times before, and promote their favorite products or services to them with tailored messaging. Send text and email campaigns and create social media promotions to fill those open slots.
With software like Thryv, everything’s connected. So you’ll have insights on things like which of your services are most popular, your busiest and slowest times, and your customers’ preferences.
Then, you can put together text and email campaigns that include smart discounting techniques. Once you hit send, you can track their performance and keep improving.
