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From time to time, websites run advertising promotions to attract customers. Even if a company offers the consumer some kind of discount, it is not at all a fact that this promotion will attract the customer’s attention. Why? How do stores usually reason when giving a customer a discount? A simple example. Gave a 10-15% discount to visitors and sit, sip coffee and don’t forget to count the money from sales. But it was not there.
In fact, if you follow this principle, store sales will tend to zero. Competition is growing every day. And there is less and less creativity, and advertising campaigns are no exception. Everyone gives a 10-15% discount for selection and waits for something, working at a loss. But there is a discount! What promotions are needed then to increase sales?
1. Express savings as a percentage and in rubles
Let's consider an example: the company decided to hold a promotion to attract attention: “Gives a 15% discount on a product that costs 7,590 rubles.” It may seem that the prospect of saving 15% will help attract a client and increase sales.
What really? The client does not see his benefit: 15% is how much in rubles? Correct answer: 1138.50 rub. But do you think customers will calculate this themselves to understand how much they are saving? Most won't bother with this. Rather, they will look for another store where it is clearly and specifically indicated how much they can save. Fortunately, there is a lot of choice now.
The solution is obvious: To attract, indicate exactly how much the client saves when purchasing a product in the store. Agree, “savings - 1138.50 rubles.” sounds clearer and more interesting than “some 15% discount.”
2. Short deadline
The shorter the duration of your promotion, the better for increasing sales. What does the client think when the company decides to hold a promotion that is valid for 1-1.5 months? “I’ll have time, what’s the hurry. I have a whole month ahead of me.” It’s not hard to guess that the client will simply forget about the interesting promotion. And the company will wait for him to remember about the excellent offer and hurry up to place an order.
This promotion is very popular among car sellers to increase sales. An example of an attraction method: On the last day of the month, car buyers can receive a RUB 5,000 discount. True, there are no cheap cars available, but there is one in a more expensive configuration. With a discount it will cost the same as a cheap one without a discount.
And another interesting condition of the promotion: the sale must be completed today, before the last day of the last month ends. Many customers are aware of the tricks of sellers, but still fall for these promotions.
Example of a promotion: Today is SALE! TODAY ONLY... Bring this car home in time for dinner. The keys are in the ignition, the tank is full, she's waiting for you!
Time is a tool for creating scarcity. Phrases like “Offer valid for a limited time” create the effect of time pressure. This helps attract customers to the store.
3. Prepayment
Does the company provide prepayment services? A client who is ready to pay 100% immediately should be given a discount.
4. Pre-order
Another situation: soon some new goods or services should go on sale in the store. But you can start actively promoting them now. Warm up your customers' interest in upcoming new products, including through interesting promotions. Example: take and provide a discount to those customers who placed an order for a new service/product before the start of sales.
5. Rationale
Any promotion launched by the company must be “transparent”. “What’s the point of such generosity,” the buyer might think. Perhaps they are selling him another product that has been left behind or is not in demand? And no one wants to be a donkey.
To prevent this from happening, it is important to justify your interesting promotions. Example: “In honor of a holiday”, “For the company’s birthday”, “Store opening”, “Seasonal discounts” or something else.
6. Gift
A discount is good, but a gift is better. It is more tangible and understandable for the client.
Example: “When purchasing in our store for an amount of 6,900 rubles. one of four exclusive shower gels as a gift” (Fig. 1)
Fig. 1 A discount is good, but a gift is better
7. Club cards
Pamper your regular customers. Don't forget about them. They are your loyal fans, cheerleaders. They need to be treated with care. Come up with some special, interesting promotions for them. Available only to them. Show that they belong to a privileged, exclusive club.
8. 1 purchase = 10 gifts
Be more creative in your sales. Come up with new formats for promotions.
Example: Provide a discount when purchasing a larger volume (Fig. 2). Or make not one gift, but several - a kind of set. “For any purchase over 3,000 rubles. in the period from June 1 to June 10, you receive 10 gifts."
Fig. 2 A discount for the volume of a one-time purchase encourages buyers to purchase a larger “batch” of goods
9. Cumulative discounts
This type of promotion will help attract new customers and form a base of regular ones. It will be more difficult for the client to leave and make a purchase from someone other than you. You thereby “softly” tie him to your company.
10. Related products
Make an interesting promotion not for the main product, but for some related product. Thus, the sale is no longer just one product, but a complete set. At the same time increasing store sales.
11. Only one pair left in your size
An artificial shortage in a store is created very simply. When we see the phrase “Only one pair left in your size” or “Last set left in stock,” we subconsciously feel that we better hurry up and make a purchase. Artificial scarcity is good for attracting attention and increasing sales.
Example of a promotion for travel agencies
“Buy now! Only 2 tickets left at this price!
Thus, if there is a shortage of any product, its value in our eyes increases and we want to get it even more. The product becomes more valuable and desirable to us.
12. Expensive things can’t be bad.
The promotion is that the more expensive the product (and therefore less accessible), the higher its quality. We subconsciously prefer expensive goods. Our subconscious tells us: expensive means good!
13. Sorry, but you can't have it.
Another promotion is to introduce restrictions from time to time. When something cannot be obtained, then real scarcity begins. The more inaccessible the goal, the stronger the desire to achieve it. As a result, the stricter the prohibitions in stocks, the more we will strive to circumvent them.
Bottom line: The value and desirability of any thing often depends on how difficult it is to obtain. Limited products or promotional periods create a subconscious fear among visitors that they may be late. And this forces them to act.
Take a look at your stocks and adjust them based on the recommendations outlined. Using the 13 examples of the best options outlined in the article.
Successful promotions to you!
P.S. Do you want to increase sales without increasing your advertising budget? Then this is the place for you - Increase conversion
The article was written for the magazine “Marketer”
Read other useful articles
Bag as a gift
As everyone has known for a long time, the engine of trade is advertising. Of course, advertising should not be “anyhow”, but one that engenders in the souls of potential buyers the seeds of demand for a product of a certain brand or store, and in addition, diligently and carefully cultivates these seeds right up to the moment of making a purchase. Advertising must also maintain the buyer’s loyalty to its product, so that, other things being equal, he chooses the advertiser’s product. All over the world, to create and maintain “love” and customer commitment to their product, clothing stores and boutiques conduct promotions, and these promotions can be either standard (simple, but working) or quite original. Let's consider both those and other options.
When opening a new clothing store, of course, it is simply necessary to conduct an advertising campaign with the goal that your potential customers will simply found out about availability such store. In this case, the simplest promotions that a newly opening clothing store can carry out are all kinds of discounts, gifts, and discount cards for new customers.
You can run promotions such as “two for the price of one”, “three for the price of two”, “discount on things with a red price tag”, “discount of so many percent for buyers, for example, with a green bag” (while selling these same green bags at attractive prices), “prices without extra charge for certain goods”, “we trade at a loss, offering you prices 2 times lower than the purchase price for such and such a product”, “fill out the form at the checkout and receive a discount card as a gift” , “happy hours in the store - a discount of so many percent, for example, from 11 to 12,” etc. In fact, there are a lot of options for promotions. A standard promotion would be attractive promoters handing out flyers with a discount coupon for your store. We talk about “standard” promotions, meaning they are simple and effective. That is, you can adopt any of the above options and get positive effects. Of course, it is worth carrying out advertising campaigns using the support of well-known media in your region (radio, newspapers, television, Internet portals).
Now let's look at the option of how you can conduct an unusual advertising campaign that would attract the largest number of potential and actual customers to a clothing store or boutique.
An example of a short-term and effective advertising campaign is a promotion held in one of the large Vilnius stores of expensive denim clothing. Having announced in advance that customers who came to the store without pants at a certain time would have the opportunity to choose stylish jeans for free, the store management received the result in the form of a queue of young boys and girls in only shorts, lined up at the store doors at the right time. Since the promotion lasted only 10 minutes, the store didn’t really lose out on free jeans, but more about this promotion and the store itself there were long conversations, and the “wave” of buyers for “paid” jeans was quite long. By the way, does this incident remind you of anything? Many years ago, the Euroset mobile phone store held an even more shocking promotion: customers who came to the store completely naked gave me a brand new mobile phone.
Thus, we can conclude that “people are ready to do a lot for free,” they are even ready to do crazy things. Start an original, even crazy, flash mob advertising campaign, connect the media to this event, especially the Internet, television, so that this campaign is written and talked about beforehand and subsequently, so that there are photographs and videos - and about your clothing store for a long time they will talk. Word of mouth works clearly and effectively; as experience shows, people trust rumors even more than openly presented information. Loud and scandalous advertising campaigns eventually become urban legends, and the name of the store that staged a grandiose flash mob becomes recognizable and attracts the attention of visitors.
Promotions are another tool for winning over consumers. As a rule, as part of the promotion, a potential client gets the opportunity to evaluate and test the company’s products and services free of charge or at a lower price.
Entrepreneurs must learn to come up with effective promotions. How?
The third participant in the action is considered to be the store director (administrator, top manager) - in other words, the person who manages the sellers of the department (store, region) entrusted to him. The manager’s task is to stimulate the advertising campaign, that is, to control the display of goods, give recommendations to sellers, and show interest in the progress of sales. The more interested the manager is in the success of the promotion, the higher the likelihood that it will be successful.
The buyer comes to the store with the hope of purchasing a quality item at a reasonable price and with a guarantee. A bonus (a nice accessory or service) will not be amiss for him.
The seller, in fulfilling his duties, is guided by material benefits. If the fact of a successful transaction guarantees him some kind of reward, he will be interested in the work. Material incentives in this case are a bonus based on sales results or a bonus for a unit sold. Sales help him make a career, but a career is too abstract a concept, but a bonus is quite specific.
As for the store director, he must think more globally than the seller. As a rule, the role of administrator is usually a white-collar employee who works for hire. He is interested in the success of the business he is a part of. He strives to rise to the top steps of the career ladder, but this is only possible if the plan is fulfilled, sales volume increases, and salespeople are competently managed. The greater the manager’s success, the greater the material reward he expects.
Focusing on the preferences and tastes of different people is troublesome and expensive, but in a competitive environment it is necessary. An effective advertising campaign is a well-thought-out event.
A few weeks (days) before the New Year, sweets, champagne or a box of fireworks will be a good addition to any major purchase. The gender, age, income of the buyer and the geographical location of the store in this case do not matter much.
Here's another option, less traditional. A travel agency, advertising tours to warm countries, can offer potential clients free certificates to a gym or beauty salon. They may turn out to be extremely relevant on the eve of a beach holiday.
But if every buyer of a product or service participates in a lottery with a guaranteed (even “penny”) win, interest in the campaign increases. As you know, a bird in the hands is better than a pie in the sky. The opportunity to get some little thing for free, even if it’s not particularly necessary in the household, is a serious incentive. A new printer may come with a pack of high-density paper, a bicycle may come with gloves or a flask, and a mobile phone may come with a case of your choice. You can go the other way: in addition to the TV, offer a blanket or a case of beer, and in addition to the microwave oven, offer a coupon for the delivery of pies or pizza.
In other words, giving small gifts to all store customers is preferable to making the only winner happy with a super prize. It is through small bonuses that customer loyalty is formed. Practice has repeatedly confirmed the correctness of this approach.
Purchase a product.
- Fill out the form.
- Get a unique number.
- Save the receipt.
- Register on the site.
- Enter a unique number.
- Wait for the lottery results.
Needless to say, this path is too difficult? If “the game is not worth the candle,” the buyer is unlikely to go beyond saving the receipt, and this is understandable. Nobody likes to make unnecessary movements.
Therefore, it is advisable to conduct the prize draw as quickly as possible, ideally immediately after the client makes a purchase. If you still intend to fill out a questionnaire or flyer for a subsequent drawing, then the technology of this process should be simplified to the maximum. Asking a buyer to fuss with paperwork is indecent, especially considering the fact that he has already done a favor to the store (company) by purchasing a product or service. Therefore, the manager (seller) must deal with the red tape.
Euroset carried out an even more shocking action: every client who came to the salon completely naked received a phone for free. And such people, of course, were found.
The more provocative the action, the greater the public response it causes. Consumers are greedy for the word “free!” (“free!”) in the ad and for the sake of a “freebie” they are ready to do a lot. Therefore, the most incredible flash mob, beneficial for the consumer, will be received, if not with delight, then with curiosity. Involving the media and publishing the announcement online ensures that the information spreads quickly. And if videos and photographs are taken during the action, users will discuss it on forums for a long time. A properly organized, legal, but scandalous campaign will not only help increase sales, but will also ensure brand (store) recognition. It is possible that over time it will become perceived as an urban legend.
It is clear that entrepreneurs should not be afraid to innovate in the advertising field. Each campaign requires careful study of the needs of the target audience; Moreover, not every promotion performs as expected. But sooner or later, an active and courageous leader will definitely find solutions that will work best: they will arouse public interest and contribute to the influx of new clients.
Hello, friends!
Do you know what an “offer” is? The offer is the heart of any selling text.
If he doesn’t have an offer, consider that you have doomed your efforts to death. Because without an offer there is no point in sending anything.
Speaking in a “more Russian” and accessible language, an offer is the proposal itself. Not an expression of interest and readiness, but a specific business proposal.
Not a standard dithyramb with basic conditions, but the “backbone” of your interest in cooperation.
An offer is an answer to the question: “What would interest this client?”
In search of an answer, you are already beginning to move away from the stereotyped banality and look for ways.
The oldest type of “offer” (and still works great) is a discount.
Yes, yes, everyone knows the discount.
But very often it is applied everywhere and in a row without an absolute understanding of the meaning and rationality.
Even though a discount is an “offer,” it should still make sense, and even better, be unique.
In this article I will show you what discounts are and how they are used in sales.
All of you guys are smart, so I won’t chew on what has already been swallowed for a long time, and will limit myself to a clear structural annotation for each point.
I’ll say right away - this is not an encyclopedic classification, but a folk one - a field classification.
1. Discount for a period - such a discount is established for a certain period. The time limit is an incentive for buyers - they understand that after a certain time the preferential conditions will end. I once took advantage of this discount when purchasing kitchen furniture. 30% is 30%. Especially when in monetary terms such a discount is equal to the cost of a good gas stove.
2. One day discount - Even if this is a discount for a period, I still want to highlight it separately. A one-day discount is generally an excellent sales stimulator. "Only today…"
3. Discount on one item - the meaning is clear: the preferential price applies only to a specific product. Very often such a discount is accompanied by a term limit. That is, we have a combined discount. Supermarkets often resort to this technique - every week they sell some new product at a discount.
4. Advance discount- this discount applies to pre-ordering a new product. There is a release date, and there is an offer to order the product in advance on preferential terms, without waiting for the release itself. You probably remember when the Peter Publishing House online store accepted pre-orders for my book “Copywriting of Mass Destruction” at a more interesting price.
5. Discount upon reaching a certain amount- a classic retail trade technique. Do you want a discount? Then buy goods for a certain minimum amount.
6.Wholesale discount- this is already from the opera of distribution. There is a supplier or manufacturer, and there are distributors or large consumers. The discount applies to large order volumes. A whole scale is often used here. Whoever orders more goods receives a more pleasant discount.
7. Accumulative discount- combined type, includes several elements. The meaning is simple and clear: if you accumulate purchases for a specific amount, you get a new discount, and so on on a scale.
8.Cash discount- I’ve often seen it abroad, although I see it here from time to time, for example: in small stores that sell mobile phones (market format). Abroad, where non-cash payments (plastic cards) reign, you can buy goods at a discount if you pay for them in cash. On the contrary, we can add some percentage to the price (equivalent to the percentage for withdrawing cash from a bank account or card).
9. Personal discount- the most famous format: discount coupon or discount flyer. They may send them to you by mail, ask you to cut them out in a newspaper, or even just hand them to you on the street.
10. Holiday discount- have you often received an SMS on your phone from some restaurant inviting you to their birthday party with a tempting discount? This is a holiday discount.
11. Discounts when purchasing online- if you live in Ukraine, go to the Citrus Discount store, look at the prices, and then visit the Citrus Discount online store. You will see that prices in an online store can be more pleasant. I think there is no need to explain the reason for this move.
12. Melting discount- the principle of operation of such a discount can be explained as follows: not a fixed discount is applied, but a whole jackal of discounts, the size of which decreases as the deadline approaches. 20%, 10%, 5%...
13. Situational discount- when I was buying a winter jacket in a store, I asked the seller for a discount. He answered me: “Okay, but only if you buy it right now.”. A very fair move.
14. Discounts for specific groups- noticed in pharmacies "discounts for pensioners", and in cinemas "discounts for students"?
15. Affiliate discount- “trick” is often used in online sales. You attract a partner who will recommend you or distribute your products, and in return you offer him to become a buyer on preferential terms.
16. Collective (group) discount- boom of 2011. Although I also saw her in London in 2001 when buying tickets to Madame Tussauds Wax Museum. Gather a group of buyers and get a discount.
17. Cross discount- you offer the client to purchase one (or several) products at a base price, and an additional product at a discount.
18. Discount for fast payment- occurs periodically in b2b sales: the faster you pay off the debt, the bigger the discount you get.
19. First purchase discount- often used by foreign online stores, which send each new registered user a discount on their first purchase in a welcome letter.
20. Discount subscription- relevant for services. The most striking example: fitness clubs and swimming pools. A one-time visit is the same price, but you can buy a subscription and visit establishments on more pleasant terms.
21. Additional (bonus) discount- noticed in Chicco children's goods stores. You have a discount card, but the store still offers an additional discount to it. There are, however, restrictions on product groups.
22. Off-season discount- used when selling seasonal goods, for example: outerwear. Have you noticed that fur coats are cheaper in summer? Often, this system sells unsold goods during the season.
23. Club discount- discount club system: you purchase a club card and can enjoy discounts at various establishments that are included in the club program.
24. Trade-In discount- you return the old version of the product to the seller and buy a new one at a good discount. An example is car dealerships.
25. Confidential discount- there is no need to decipher here, we all live, as it were, in the same country. There is a contract price on paper, and there is... let's say... another price.
Well, the last discount (for a positive final line) sounds like this - "discount for beautiful eyes".
Let us know in the comments what other discounts you would add here.
Hello! In this article we will talk about promotions to attract customers.
Today you will learn:
During the height of the economic crisis in the country, the issue of attracting new customers faces almost every enterprise. The situation is aggravated by the high level in almost all areas of business.
In such harsh conditions, entrepreneurs are forced to resort to the most stringent measures to attract customers. One of these measures is sales promotion.
Sales promotion – a promotion tool aimed at short-term increase in demand with the help of various promotions that stimulate purchases.
Promotions will allow you to achieve the following goals:
Advantages:
Flaws:
If these shortcomings don’t scare you, then let’s move on.
Any activity to attract visitors must begin with developing a strategy. Stocks are no exception.
The process of developing a sales promotion strategy includes the following stages:
At the moment, there are a very large number of different stock options.
The choice of one or another means of sales promotion depends on the following factors:
Determine each of these parameters for yourself. Have you determined? Then let's move on to the types of shares.
Discounts are the most popular and easiest way. Buyers are happy to buy goods with red price tags. The more you lower the price, the more purchases you will get. But be careful. Every percentage of the price hurts the margin of your products.
During the month of discounts, sales volume increased by 20% and amounted to 148 pies or 2,664 rubles. The pie margin for the promotion period was: 18-17.3 = 0.7 rubles.
Let's calculate the profit received during the month of the promotion: 0.7 * 148 = 103.6 rubles. Thus, thanks to discounts, we lost 209.4 rubles in profit with an increase in purchases by 20%.
Make it a rule to carry out such calculations before introducing a discount system.
Human psychology is designed in such a way that he practically does not notice a price reduction of less than 15%. Therefore, a 5 or 10% discount will not lead to a significant increase in demand.
Discount forms:
Please note that the introduction of any discount must be tied to a specific occasion. If you simply lower your prices, the consumer will think about the quality of your product. It is discounts that tend to negatively affect the image of an organization if they are applied ineptly.
This is also a very popular type of promotion. You can give away both your own products and those of your partners for purchase. In the first case, you will again have to calculate the change in sales volumes and profits so as not to go into the negative. But the second option is very tempting.
Find a partner company that needs to promote its product or brand and offer cooperation.
Example. Since the idea of discounts at our pies stall failed, we decided to give gifts for purchases. To do this, we agreed with the store opposite that we would attract our customers to their outlet by issuing them a coupon to receive free tea from them. The store agrees, since the likelihood that a visitor will buy some product from them by going for free tea is very high.
Types of “gift with purchase” promotion:
Almost everyone has several cards from their favorite stores in their wallet. They allow the buyer to benefit from shopping in this store.
The following forms of discount cards are distinguished:
You can’t just give out cards; time their donation to coincide with some event or set conditions.
Here are some options for you:
This type of stock is actively gaining momentum. Hold a prize draw, come up with a competition, the winners of which will receive your products as a gift. This will allow you to increase company awareness and consumer loyalty.
There are two types of competitions:
As a rule, it is carried out in large supermarkets. Moreover, this type of promotion is aimed not so much at increasing the sales volume of the product being tasted, but at increasing the sales volume of the supermarket as a whole. According to statistics, consumers who have tried a product buy 25% more than they planned in that store.
We will talk about calculating the effectiveness of this type of promotion a little later.
To come up with a promotion to attract customers, you need to go through the following steps:
We have already discussed how to evaluate the effectiveness of discounts; evaluation of the effectiveness of the implementation of loyalty cards, gifts and competitions is carried out in the same way.
Remember that an increase in sales does not at all guarantee an increase in profits, because you lose on a discount or gift. In this case, when calculating efficiency, the gift should be considered as a discount (the cost of the gift = the amount of the discount).
Example. For the purchase of 5 pies at a time, we give chewing gum. The promotion will last one week. The price of chewing gum is 2 rubles. Let's assume that only those who initially wanted to buy them will buy the fifth pie, and we have 10 out of 50 people a week. Thus, thanks to the promotion, sales volume will increase by 200 rubles or 10 pies. Our margin before the promotion was 2.7 rubles. The sales volume before the promotion was 90 pies. We calculate the profit for the week before the promotion 90 * 2.7 = 2 43 rubles.
Let's calculate how much additional profit we will receive from the promotion: 2.7 * 10 = 27 rubles. And we will lose: 2*10 = 20 rubles. Thus, the promotion will allow us to increase profits by only 7 rubles.
Now let's learn how to calculate the effectiveness of tastings.
Let's say we are conducting a tasting of our pies. The promotion will run for 2 days, 3 hours a day. The price of our product is 20 rubles. The cost is 17.3 rubles.
We plan to reach an audience of 20 people. The number of pies required is 20 pieces. In addition, we need a tray costing 200 rubles and a package of napkins costing 30 rubles.
Thus, the cost of carrying out the campaign will be 576 rubles.
Let's calculate using the formula: Break-even point = total costs/margin = 576/2.7 = 213 pies. We will have to sell this number of pies based on the results of the tasting.
According to the rule of information dissemination, everyone who tastes the pie will tell three of their friends about the product, and each of these three will tell three more.
Thus, the maximum number of buyers who will come to the stall based on the results of the tasting will be 180 people. We don’t know how many pies they will buy, but according to pessimistic calculations (everyone will buy only one pie), this number of buyers is not enough. The project is risky.
Promotion at the airport.
A couple of years ago, an American airline held a raffle for travel packages. The conditions were as follows: a person waiting for a flight was asked to press a button, after which the computer randomly determined the country to which the lucky person would go. In this case, all travel expenses were paid by the airline.
Free lunch.
One of the Chinese sites ran an interesting promotion. For a month, every hour for 1.5 seconds a button appeared on the resource page, by clicking on which the lucky person received a free lunch. By the way, the number of site visitors increased 4 times this month.
An example from Russia.
The Moscow Geocafe holds a promotion every day. Its conditions are as follows: at 18:00 Moscow time, a drawing for a free dinner was held between cafe visitors. The winner was determined randomly. Second and third places were also determined and received a bottle of wine and a 50% discount on their order, respectively.
Promotion in the store.
One of the Vilnius denim stores ran the following promotion: all customers who came without pants were given free jeans of their choice. As a result, on the day of the promotion, a line of freebie lovers lined up in the store. However, be careful with such promotions, otherwise you may face legal consequences.