I started reading marketing and advertising literature a few months ago – and one of the most important hints you get in the literature is to totally avoid doing discount campaigns under any circumstances. So far so good – but since my regular ads didn’t make much revenue so far and marketing is the art of breaking rules, this ad was launched literally hours before new years eve in Austria:
The discounts coupled with it were handsome(a bit more than 30% off) – and the folks over at PalmAddicts made a great job publishing the discounts.The effects were astonishing! Each one of my Palm OS products sold about half as much as it sells when a new version gets released(with the full PR campaign), and the revenues kept rolling in for a few days even after the discounts ended(with customers gladly paying the full price). After that, they fell off again into the void, leaving me richer by quite a few dollars(about a month’s worth of sales).
By the way, for all of you number freaks: BinaryClock outsold FileFind 2:1, which outsold Daily Quote 2:1 again. AutoSync and LedManager did not participate in the discount.
So, for me, discount campaigns definitely work and will probably be repeated. This proves once again that not everything written in literature is correct – marketing gurus far and wide, please tell me what you think!
Background image by da_mere. Licensed under Creative Commons:Attribution. Thank you for making this image available!
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Discounting does work as long as you dont do it too often (otherwise you hurt your normal sales as everyone is waiting for the stuff to go on sale
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Hi BadZed,
good point – I’ll post more on that later though. A marketer told me something very interesting in a face-to-face conversation:
F*** the list price.
If your channels jump on discounts like madmen, then set your list price by the discount higher – and then go on discounting to your real, expected price.
So, in the end you get free PR and still your list price. And the few unlucky that buy at MSRP, have had – um – though luck.
What do you think?
Best regards
Tam Hanna