Why You Shouldn’t Bombard Your Customers with Holiday Discounts

Why You Shouldn’t Bombard Your Customers with Holiday Discounts

I need to start by clarifying something… I‘m not a fan of discounting. I think that unless you’re really careful, you will devalue your product which can kill your business… I think your much better off building up your value.

That being said… It does have it’s place in some markets during certain times of the year.

If you do decide to discount, here are some tips to make sure you don’t turn your Customers off.

We just left the Christmas Holiday Season, and I saw, as a Customer, lots and lots of businesses breaking these rules… When I’m not a Consultant I’m a Consumer just like you! I know how it feels to have sales, especially sales that don’t apply to me shoved down my throat! Follow tis advice and you’ll end up a lot more profitable and have a lot happier Customers!

Holiday Season… One of the first things businesses do during the holiday season is come up with all kinds of discounts, then repeatedly mail their customers. What’s the usual response? A spike in unsubscribe rates.

This is an all too common mistake. Businesses often think that they’ve built up enough goodwill by mailing and emailing regularly (but not too often) the rest of the year to allow them to bombard their users with discounts during the holidays.

In reality, however, during the holidays your customers are receiving 5 to 30 emails, dozens of sale brochures in their snail mail boxes a day that are exactly like the mail and emails you’re sending. If you keep sending holiday discount emails, they’ll lump your emails in with the rest of them and simply hit “delete or just toss your expensive sales brochures”

** Value the Long-Term Relationship**disservice

The long-term relationship you have with your Customer is the biggest asset your business has. Instead of trying to maximize your gains from your holiday sales in the short term, aim to maximize your long-term customer value.

That isn’t to say you shouldn’t try to sell your products during the holidays. You should. But don’t do it at the expense of your relationship with your customers. Annoy them during the holidays and they will ignore you for the rest of the year!

For some businesses it just doesn’t make sense to have a big sale during the holidays… Mail only two or three times maximum during the holiday season. Mail enough that you let your customer base know about your offers, but don’t try to pressure them into buying.

==> Making Your Products Stand Out

If everyone is getting mailed 5 to 30 times a day, the answer is not to mail them even more often to try and get sales. Instead, the best approach is to try to make your offer stand out.

Ask yourself ” Why did this Customer purchase from me initially?”.  (If you know your Customer avatar this should be pretty simple. If you haven’t figured out your Customer Avatar, email me and we can discuss that. It’s the first step in creating responsive marketing.)

If you’re selling jeans, they might have signed up because they want to look sexy. If you sell an informational product about making money, they might have signed up because they want to quit their jobs.

Identify what the core desire of your market is, then try to tailor your offers to that core desire. Instead of just straight discounting, try to come up with more creative offers that stand out.

Find a way to add VALUE! Perhaps give them a free fitting session if you sell Jeans, free Coaching if you’re teaching them how to make money… Add something that is valuable to them!

==> Tailor Offers Based on Past Behaviors

Instead of just mailing all your customers with the same offer,  segment your list based on products they’ve purchased in the past. Then mail offers based on what people have bought in the past.

This will result in a higher conversion rate as well as a lower unsubscribe rate with email.

Don't burn bridges with your CustomerThe bottom line is this: don’t burn bridges with your customers just because it’s the holidays. There are a lot of ways you can capitalize on the holidays without damaging your customer relationship.

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