When special events or holiday seasons draw close, many merchants hastily jump into the discount bandwagon without a proper strategy. Alex Papaconstantinou, the owner of popular UK coupon site Wikigains says that an unplanned move can do more harm than good.
To make a strategic move that delivers results, you need to first evaluate your current situation and then decide the next step. In this article, we will discuss about the three key things every business must consider to identify the right solutions.
#1. What Is The objective Behind Offering Coupons
This is perhaps the most important you need to ask yourself and be honest with your answers. Do you have an objective that you are aiming to achieve? Or, you are offering a discount because others are doing the same and you wish to copy them. Unless you have a clear idea about what you wish to achieve, it is not possible to choose the apt strategy.
For example, if a business’ main objective is to clear the old stock then their approach to offering coupons and discounts will be different from the ones trying to build rapport. Similarly, a business trying to reward the loyal customers will have a different approach.
Just consider that you are a loyal customer of a certain store. So, getting a member exclusive discount will make you more elated than a general offer that is meant for everyone. Thus, having a clear motive can help you provide the correct solutions.
Wikigans says, it’s important for businesses and individuals to determine their focus. Having an clear idea about the objectives you wish to accomplish by offering discount coupons on your products can help you get desired results.
#2. Knowing Your Customer Base
If you want to sustain in the market, you need to not just know your customers but also interact with them regularly. You must reach out to your target customers as well as existing customer base through emails, messages, and social media. Find a way to engage your audience and know them better.
Evaluating the needs of your customers and learning about their priorities help you improve your game and devise more effective strategies. After all, the discounts are meant for the customers so it makes sense to understand your audience before issuing coupons.
While studying your customer base, try to identify the potential clients that you are trying to target. What age group do they belong? Are they seeking monetary gains or free gifts? Understanding what makes your prospective customers happy can help you create a better strategy.
#3. Wikigains Explains Why Understanding Your Product Is Vital
If you want to run a successful business, you must have a clear understanding of your products. Do your products sell in a particular season? Is a continuous service offered through customer subscriptions? Or, does it have a one off sales?
While offering discounts come with the risk of devaluing the brand, there are exceptions to it. For example, when a brand new iPhone comes to the market, its normal for people to expect the price to reduce without thinking that Apple is cheap.
When you pay attention to these key aspects, discounting can be a great medium to drive more sales to your business and expand the customer base. However, you must bear in mind that offering discount coupons should be a short term strategy to yield expected results.