I’ve read a lot about how consumers increasingly wait for last minute deals before spending on Christmas presents.
Should I be discounting now or is it wise to not get into a price battle?
There will always be a percentage of consumers willing to hang out for a bargain. This does, however, depend on the products/services you are selling.
The more generic the product/service the more you will compete on price i.e. air fares and hotels. In order to not compete on price, you must have a unique selling point (USP) or be operating in a specific niche market.
If this is not the case then you need to differentiate yourself from your competitors. You could offer free delivery, delayed payment terms for larger purchases, buy-now pay-later, add on items, or guarantees over and above anyone else, such as a 200% money back guarantee.
One of the ways I help my clients differentiate is to have them survey their clients to find out their frustrations when buying products/services in the same category.
Then we build a service or product guarantee around solving those issues. This really helps us to charge a premium rather than having to discount.
So, if you have to discount then you are selling a “me too” product/service that is undifferentiated and something that I can buy anywhere, naturally I will buy on price.
Stop discounting and start to find ways to be different from everyone else selling this product/service.