"Is 10% a real discount???" Topic

The problem with a manufacturer giving bigger discounts is that he then cuts off his retail suppliers, who obviously can't match it.

E. I prefer "loyalty" discounts. My FLGS used to give out coupons good for your next order ($10 for every $50 USD spent). So you had to suck up the first purchase, but then you were (essentially) getting 10% off the next time…

D. I'd take it if I was already goint to get something but it wouldn't motivate me to purchase when I'm not planning to. As others said, I'd rather free shipping were offered if it's only 10%.

Totally agree with GeoffQRF.

There are several US manufacturers that I do not stock because of their deep discount rates.

On more than one occassion I have had people come into the store or drop my booth at a convention and want the discount rate listed by that manufacturer at my place. They were upset when I said that it did not apply to purchases of their products from a sotre.

D. I would prefer 25%.

10% IS 10% that being said I am not as likely to jump on a discount of 10% as I would say 25% or more.
VR
James Mattes

Any discount is a bonus, and naturally the larger the discount the more I am drawn to it, like a moth to flame.
It's like the gf saying "look at all the bargains I got in the sales", not thinking how much she actually spent, that she wouldn't have spent if they had been full-price (hopefully).

I am surprised that folks mention 20-30% discounts on what I presume are retail products. Yeah, it would be nice. But how do Companies discount something 20-25% when their margin is 30-40%? 2nd hand, used or clearance items are a different matter.

Thanks,

John

John, people who want deep discounts are what is called in several industries 'discount or half price vultures'. they will pick the bones of a B&M store just to save a few cents. And people wonder why they are so few B&M stores or even distributors anymore.

F. If you offer a 10% discount, you'll be asked when you're offering a 25% discount…

OK, I thought of one time when a 10% discount makes sense: paid preorders.

Its an incentive to hand over your money early

Walt O'Hara on his facebook page posted a cartoon from 'Dork Tower' which really catches the attitude of some discount gamers.

Sorry I do not know how to transfer links.
Howard Whitehouse just shared the same photo on FB.

C: If it's on something you were going to definitely buy anyway, sure, it's found money.

As far as Black Friday sales and the like, not really. It would take 20% or better to entice an impulse buy from me.

Of course if it's 10% off already very reasonable prices, again, sure.

DM

>>>Why don't you give up 10% of your income (maybe give it to charity) and then get back to us

???

DM

10% isn't enough for me to make a purchase I wouldn't have otherwise made anyway. Which is the point of having a sale.

The challenge is that a sale always hurts the seller more than the buyer. Let's say they're selling a product for $10 USD that costs them $5 USD to design, make, and sell. A 10% discount ($1) represents a 20% hit to their per-unit profits. Plus you cannibalize profits you would have gotten from people who would have bought at full price, but take advantage of your discount as well. When you have discounts too often, consumers will often defer purchasing until they see a discount, meaning you'll never get full price from them again.

For a struggling small business in a market where margins are very thin, even 10% can be too much. And yet for us consumers, it often doesn't do much to move the needle on our purchasing habits.

Free shipping, or "store credit" like you get from the GZG christmas sale, might be a way to get the promotional benefits of a sale without taking too much of a profitability hit. Much of its success rests on public trust in Jon, the quality of the goodies he drops in the bag, and the fact that we know he'll release cool stuff after Christmas.

Sorry but any business coach will tell you to never discount. Better to reduce your normal price all year around. Watch any business that regularly gives discounts and you will see it's customer base ONLY purchase at these times and eventually that business falls over.

What is the difference between "Free Shipping" and a "discount"? Both effect the amount of money a store brings in, whether it is B&M or online store.

And, shipping isn't getting any cheaper, especially if you are talking about international shipping. Which is why I see some "free shipping" promotions that exclude international shipping.

Walt O'Hara on his facebook page posted a cartoon from 'Dork Tower' which really catches the attitude of some discount gamers.

Sorry I do not know how to transfer links.
Howard Whitehouse just shared the same photo on FB.

It is currently on the Dork Tower front page:
dorktower.com