When is a sale not a sale?
As I was driving Downtown the other morning I saw this upon getting out of my car. I shook my head and then took this picture. I shook my head because the intended message and what the received message is are very different. My belief is that this business (which I've made purchases so I'm inclined to like it and spend money there) is intending to let people know that they will always find prices that are friendly to their budget. This type of messaging speaks to the transactional shopper who is only as loyal as your lowest price. Not only that but if you train people to only shop you when you have a sale then they'll wait you out until they think they can get the best deal and your sales cycle looks something like the outline of a roller coaster.
In my shopping this furniture store, I have found that the items carried are not only fairly priced but of high quality. This business should be devoting more of its time, energy, and marketing budget to talking to relational shoppers who want quality at a fair price (not only the lowest) with people they like and trust. Not only that but relational shoppers allow you to - gasp! - keep your margins. With transactional shoppers your margins are in a game of Limbo - how low can you go? - and that's not a healthy long-term business model.
The problem is that most businesses spend 80% of their marketing budget to transactional shoppers - those shoppers who aren't loyal and kill margins. As a business owner, you need to flip that. Spend 80% of your marketing budget on people who will create a lifetime value for your business who will only do business with you because they know you, like you, and trust you.
Back to my original question - when is a sale not a sale? When it's your regular price. Always on sale means that is the price you will come in and find day after day. And there's nothing special about that.
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Dr. Eric Shoars shares key marketing insights to help business owners make their marketing more efficient and effective.