Us Merchants Play "First Price Increase And Discount" To Attract Customers.

< p > today is the "black Friday" of the western countries, "a href=" http://www.91se91.com/ "shopping Carnival day < /a", which marks the beginning of the Christmas shopping season, which is one of the most important and busiest days of the big businesses.

There is a publication that reveals the secret of a big discount on black Friday. In fact, retailers have long been involved in the pricing process of goods, and have increased the original price for discounts.

Retailers who try to get rid of discount games end up in failure.

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< p > < strong > discount, merchants will not lose money. < /strong > /p >

When p comes to "black Friday", consumers will see the discount of businesses after entering the mall.

Businesses will post discount ads, and the more severely discounted businesses will undoubtedly attract more consumers.

But in many cases, these discounts are carefully designed and discounted.

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< p > generally, people will think that merchants will sell < a href= "http://www.91se91.com/news/index_q.asp > discount" /a "to those goods that are not good enough to sell, which will lead to a decrease in the profits of merchants.

But in fact, the retail industry does not operate this way.

Large retailers discussed the pricing of goods with suppliers at the very beginning, so as to ensure that after the discount, the product still has a profit.

Taking a sweater priced at $68 and selling for 39.99 dollars (nearly 40 percent off), for example, businesses did not expect to sell at the price of $68 at the beginning. The price has taken into account the future discount.

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< p > statistics show that the main 31 department stores in the United States and < a href= "http://www.91se91.com/" target= "_blank" > clothing < /a > retailers in 2009 to 2012, the number of discounts increased by 63%, the average discount from 25% off to 36% off.

In the same period, the gross profit margin of these merchants (the difference between commodity purchase price and selling price) remained at around 27.9%.

The discount of holiday shopping season did not affect the gross profit margin of merchants. In the third quarter of 2012, the gross profit margin of merchants was 28% and the fourth quarter was 27.8%.

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Liz Dunn, Macquarie Stock Research Institute, said that because the merchants had already considered the discount and increased the original price, the gross margin of the merchants in P was in a relatively stable state.

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< p > consumers do not seem to care about the "trick" of businessmen. In a less prosperous economic environment, what they value more is the pleasure of enjoying discounts.

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< p > "I only get excited when I get a discount of less than 40 percent off."

44 year old craft < a href= "http://www.91se91.com/" target= "_blank" > designer < /a > Rhodes Terres while browsing the discount merchandise.

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Commodity prices rose by 33% < p > strong > ten, < /strong > < /p >

< p > an industry consultant said that the price of a sweater with a factory price of 14.5 US dollars was 50 dollars, which gave the retailer 70% gross profit.

Of course, only a small part of the a href= "http://www.91se91.com/" target= "_blank" > clothing < /a > is sold at the original price. After that, the sweater will be given the first discount for sale at the price of $44.99.

At the time of the shopping season, the price of the sweater has changed to $21.99, and sales will also soar.

In the end, the average retail price of sweaters is $28, and businesses still earn 45% of their profits.

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< p > in the past, merchants sold most of the commodities at the original price, only a small portion of them were discounted.

In the 70s and 80s of last century, business practices began to change. Retailers were looking for new ways to attract customers in an increasingly competitive environment.

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< p > up and down pricing strategy will stimulate consumers and attract consumers into stores by regular discount.

At first, retailers were more restrained when using this strategy, for example, some department stores had a discount of not less than 30 percent off.

But as time goes on, consumers' appetite is getting bigger and bigger. They expect the discount to be lower and the better.

But statistics show that the price of goods paid by consumers is almost the same as that of ten years ago. The only change is that the price of goods has risen by 33%.

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< p > < strong > retailers can not get rid of discount games < /strong > /p >

< p > the price tracking website locked the online selling price of 1743 products in November 2012. The results showed that before the advent of "black Friday", the price of 1/5 goods rose by an average of 8%.

Toys and tools are the most expensive goods in price rise, with an average increase of 23%.

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< p > retailer J.C. Penny tried to get rid of this strange pricing game, but failed.

Under the leadership of former Apple Corp star Retail Director Ron Johnson, Pani hopes to attract customers without discount.

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< p > Johnson tries to turn Pani into a shopping paradise through boutiques and stable prices (rather than coupons).

But many of his ideas failed to withstand the test of the market.

Now, Pani has changed to a new CEO, Myron Ullman, and the company will return to the traditional discount game.

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< p > but some retail managers believe that Johnson's practice has provided them with a very important view that the pricing of commodities has lost its due integrity.

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< p > the United States Federal Trade Commission said that < a href= "http://www.91se91.com/news/index_s.asp" > retailers < /a > should set a normal price for commodities, and sell goods at normal prices before "discount" in a reasonable and long-term period.

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