Forums: Discussions for entrepreneurs and small business.

Hi Everyone,

I`ve been working on my business for the past 2 1/2 years.  Most of our sales are generated online.  About 2 weeks ago we released a new collection of leather bags for women.  I would like to offer some online promotions to jumpstart sales, but I don`t want to devalue the product.  Any suggestions or ideas?  I`ve been reading many of the posts, and I must say that the information is invaluable.  Thanks

I emailed Joel this question, and he suggested that I post to the community board to get some feedback.

webgirl

Hi WG...I have a thought...since I consider my business to be "upscale" to a certain degree...rather than put a blanket notice on my site about such promotions, I send my client list personal, either hand written (because we are in the stationery biz) or e-mails, never mass...to let them know that you have a special promotional idea in mind...and that their input is valuable to you.

I have found, with great success, that when you try to connect to clients on a personal level...even if they are not ready to purchase, they will a).  respond to you and let you know if your idea is valuable to them and b). they will spread the word.

The key here is to approach your clients as if they`re opinion matters.

Just my 2 cents.

Thanks Kim,

That`s a great idea!  What do you think would be a reasonable discount for a product selling at $225.  I tried 10%, but received low conversions.

WG

The best thing to do is Hike Up the price and then give a discount or say it`s on sale. So then when you bring the price down you are actually selling the product at the actual price... This works all the time...

SO lets say the purse is 225.00 Hike it up 20% so say that the actual price is 270, then drop that price by 20% so the customer would actually think they are getting a 20% discount but in reality are paying full price..
Or your best bet see what everyone else is doing and follow along

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Edgar Monroy
Web Developer / Owner / Consultant
When starting your own business the need to "know-how" is greater than money!
http://www.nuevolution.net

Thanks Edgar for the feedback!

 

WG

Hi webgirl-

I know that this isn`t really an answer to you problem but I just visited your site and it is put together really well. I showed it to my wife and now she is passing it along to all of her friends. So I just wanted to tell you that your site looks GREAT! Best Wishes!

Hi Ken,

Thanks so much!  That was really nice of you.  Developing & managing my website is one of the many hats I wear in my business.

Whenever I see your replies in the forum, I make sure I have pen and paper available.  You are a wealth of knowledge & resources.

Thanks

 

WG

Ahhhh...I`m blushing! Thanks for the compliment.

Webgirl,

You`re right in thinking that a discount could (and likely will) devalue your product.  I however, disagree with raising the price for a sale (if that`s what he was trying to convey).  You do need to have a price structure such that you can afford to do promotions though (which is probably what he meant).

I have always subscribed to the philosophy that it`s more effective in the long run to give something away for free than to discount your product.  For example, you could email your mailing list and tell your customers that you will be giving away a free purse.  Tell them to fill out a form on the website to enter, and then add the purses they like to their wishlist.  On a certain date, you will draw a name (or 3 names) and the winner will win a purse from their wishlist.  This will get people going to the site, browsing your products, adding themselves to your mailing list, and giving you permission to contact them again (with the results).  It will also cost much less (for a couple of purses) than to discount all purses purchased. 

Also, you could give them another entry if they tell a friend about the contest.

Finally, when you draw the winners, you can email your list again and tell them who won, what they got, and suggest that if they purchase one of the purses on their list now (using a coupon-code), they can get free shipping.

I have been using the above type of marketing in my business and it has worked well to create demand.  What do you think?



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Ryan J StarPointe Marketing Website Development, Hosting & Marketing Consulting

Hi Ryan J,

Great points to consider!  Yes, I agree that giving away a few purses for free would be less costly than discounting all the bags.  Thanks for the suggestions!

WG