Retail can be unpredictable. Sales can be crazy one day, and slow the next. Promotional pricing can be a great way to drive traffic and maintain a steady stream of customers. It involves lowering prices on a temporary basis. Examples include BOGOs, seasonal sales, clearance sales, coupons, and more. You can also offer different sales to increase demand according to the day of the week, holidays, and more.
How Promotional Pricing Helps Your Business Grow
Promotional pricing is a great way to draw in customers. Here are some benefits it offers:
Attract new Customers: Promotional pricing can increase foot traffic and online traffic. According to Statistica, 62% of consumers will try a new store due to better prices. 44% will be drawn in by coupons and discounts. Once a client begins buying from you, it’s hopeful that they will continue to invest in your products and services.
Upsell Loyal Customers: A customer may come to your store to buy your products and learn about a discount. Causing them to buy more items than they originally intended.
Promote Brand Loyalty: Customers that know you offer regular promotions will remain loyal to your brand. You can further promote loyalty by offering your clientele early access to sales and new products. Yotpo’s State of Brand Loyalty Survey shows 60% of customers want to know about sales beforehand while more than 50% appreciate a preview of the latest products.
Introduce a New Product: Brands that are launching a new product may consider introducing it at a discounted price for a limited time. This will encourage customers to buy the product. If they are happy with it, they may continue buying it, even after a price increase.
Promotional Pricing may be implemented in any of the following ways to help drive traffic to your store:
- Flash Sales: Discounts on a wide range of products for a short amount of time
- BOGO: Buy one item, get another free or at a discounted rate
- Loyalty Sales: Special rates for customers who buy from your company regularly
- Seasonal Sales: Promotional pricing for holidays, back to school, and other seasonal events
How NCR Counterpoint Can Help
While promotional pricing is a business-driving solution, it can be difficult to keep track of all the different prices you offer. Things can get even more confusing considering rates offered for employees, club members (if applicable), wholesale clients, and more. NCR Counterpoint offers a convenient way for you to keep track of your price rules.
NCR Counterpoint creates price rules for different scenarios. The point-of-sale system uses a hierarchy to search for a price rule in the following order:
- Contract prices
- Promotional prices
- Special prices
Once the point of sale system finds the price rule that matches the line item, it stops searching.
If you have an item that falls under two possible rules, it will apply the first one in the scenario. If it applies the wrong rule, the employee can update manually. Businesses can use the system to assign promotional pricing that factors in dates, amounts, categories, and more complex rules.
Promotional pricing is a great way to attract customers, but keeping track of the various price rules can be confusing. NCR Counterpoint offers a flexible solution that helps businesses keep track of pricing so they can apply discounts as needed. Contact RCS to find out how we can simplify the way you do business.
