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Why Do Businesses Sell Discounts During Holidays?

2011/1/3 15:14:00 130

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"The whole store has a total purchase of 888 yuan, and can enjoy three unique gifts". "200 of fashion clothes are sold for 100, 300 for 200."

In daily life, such discount sales promotion activities are often seen repeatedly.

For example, during the holidays, catering is often more expensive than usual, especially for new year's Eve, the price of 99999 yuan and so on is no news.

But some businesses are surprised that they choose to discount big promotions during holidays. Why?

Friends who have experience in shopping will know that not all goods are involved in holiday promotions, often with clothing.

Shoes and Hats

Flagship.

Food and beverage do not need to say that holiday prices are too late. They are certainly not willing to participate in discounts and profits.

Such as makeup, style, medicine, and so on, in the ranks of the discount, it is often difficult to find its shape.

In addition, such as "buy 200 to send 100", "buy 300 to send 200" and the like, "look."

Very beautiful

"It seems quite favorable, but in fact it is not.

We can use the following formula to roughly calculate: the actual consumption amount / (actual consumption amount + rebate amount) = discount rate.

Take "buy 200 to send 100" as an example. If you buy 200 yuan, 200/ (200+100) 0.67, consumers will enjoy 33% off discount.

By analogy, "buy 300 yuan to send 200 yuan" is actually about 40 percent off.

It is not like the average person thinks, "buy 200 to send 100", seems to have enjoyed 50 percent off discount, actually only hit 33% off.

After talking about the discount and discounted prices, explain why businesses like to discount big promotions during holidays.

Like clothes, shoes and hats.

commodity

It is usually seasonal, and the same spring and winter clothes are very different to consumers in different seasons.

Just like the same fish, the morning is fresh and lifelike, and the evening is listless, sooner or later, the utility is different.

Why do discount promotions often happen on holidays instead of in peacetime? Discounts and promotions involve manpower and material resources, such as making and printing advertisements, changing price tags and so on.

Now that the organization is selling more and more work, businesses will definitely want to gain more profits, otherwise they will not lose money.

Most people usually have to work, the cost of shopping is relatively high; the cost of shopping during holidays is decreasing, and the popularity of shopping is booming.

Since the profit of each commodity has become "thin" after the discount, only the sales volume has gone up, the total profit will probably rise.

You can imagine that if the store does not have a customer, your business is still selling discount promotions, so it can no doubt be a busy business.

Of course, the actual situation can not be so extreme, but the truth is the same, but the degree is different.

Clothing, shoes and hat products are seasonal, and "small profits but quick turnover" can increase total profits. This is why merchants choose holiday discount promotions.