There Are Rules For Promotion Pricing, And Scientific Planning Is The Key.

Promotional activities, as a way to effectively increase sales in a short time, are very useful in terminal stores during festivals and festivals. But only a scientific promotion strategy can achieve the desired effect. Without the data analysis, the decision of "beating the head" will violate the rules of the market operation, and it will be like drinking poison to quench thirst for the business, and it will bring endless trouble.

To this end, Fan Yanru, the Deputy Secretary General of the China general merchandise business association, and Li Weihua, a franchise expert, are invited to work out the pricing strategy according to the market situation according to the market conditions and the problems existing in the sales promotion activities of the department stores, and discuss and share their wisdom and experience in the retail industry for many years.

Reporter: the retail industry often does some promotional activities, such as buying 100 to 50, 500 yuan to send gifts, etc., what are the general promotion methods generally divided into several categories?

Li Weihua: sales promotion is one of the most important means of marketing. There are dozens or even hundreds of different ways according to the different businesses. The most common activities are holiday shopping, discount, discount, membership card points, or some eye catching activities. For example, when Gome opened its business in Tianjin, it had held "the first 1000 sets of 17 inch color TV sets, one for only one yuan", all of which are aimed at increasing customer benefits and increasing the commercial value of commodities to achieve better sales.

　　 Promotional merchandise There are different categories of sales promotion activities according to different purposes and different means. Whether they are salable goods or unsalable goods, they can be used in activities. For example, moon cake is a popular food before the Mid Autumn Festival. It can stimulate consumers to buy through promotion. However, through investigation, the price of moon cakes will drop sharply after the Mid Autumn Festival. At that time, moon cakes will turn from salable goods to unsalable goods. At this time, if businesses must take greater efforts and smarter ways to take measures, commodities will become "waste products".

In terms of profitability, we should not judge the size of profits only by selling goods well or unmarketable. In the stage of selling goods, it is possible to promote sales force and make profits more profitable.

In the stage of slow sales, if the cost of goods itself is low, even if the business seems to have depressed most of the price, it is still very profitable.

Reporter: many businessmen often set up promotional prices according to "experience". There is no scientific and reasonable pricing plan. Please tell us how to make scientific decisions according to different sales purposes. pricing strategy ?

Li Weihua: there are three basic categories of pricing, the first is the cost oriented pricing method, the second is the demand oriented pricing method, and the third is the competition oriented pricing method.

Among them, cost oriented pricing includes two major categories. cost Plus, one is called target pricing. The concept of cost plus is explained in detail, for example, the cost of goods is 10 yuan, merchants want to earn 1 yuan, and the final price is 10+1 (yuan). Target pricing is based on total cost and estimated sales volume to determine target rate of return and calculate the price. Specifically, in the promotion pricing, we must first calculate the cost of the product itself and the cost of the gift portion, and then add the profit portion that we hope to get, that is, the price of the final product.

Demand oriented pricing is divided into three types: cognitive value, reverse pricing and demand differential pricing. Cognitive value is more subjective, for example, the specific pricing of a star concert ticket, in addition to the cost of hardware facilities such as venues, equipment and so on, mainly depends on how much you know about him.

Reverse pricing, as the name implies, is based on the consumer's ability to accept the price.