May 07/19NEWS

How can my brands benefit from discounting?

Consumers are always on the lookout for added value and one way to do it is through smart promotional solutions like gifting or bundling.

Over the past few years we have seen readers migrate from print media to reading almost everything online. Consumers love digital, yet our shelves are flooded with print publications. Why? It’s more than a striking cover or headline that motivates a sale – consumers want value. When a magazine is bundled with something extra, be it a gift voucher, promo item or free sample, sales increase.

The reason for this (over and above the fact that consumers love freebies or a ‘good buy’) is when you give something away, there is more incentive to convert a shopper to a buyer due to the promotion’s perceived value. Gifting and banding are the tools utilised to skilfully present cross merchandised products that make up value-add promotions to shoppers.

Consumers are always on the lookout for added value and one way to do it is through smart promotional solutions like gifting or bundling.

When consumers get something for nothing, they respond in surprising, mostly unconscious ways… the net result is often that the companies handing out freebies are rewarded well for their ‘generosity’. “ says author and marketing professor, Robert Cialdini, making banding and gifting a mutually-beneficial sales solution for both sellers and customers.

Brands can get lost trying to stand out in an already-saturated market. Discounting, as an attempt to drive impulse purchasing, is simply not enough to get the attention of the shopper.

According to the Journal of Consumer Research, if an item is gifted, consumers deem the freebie as a higher quality product and are willing to pay more for the item on its own. Customers who perceive more value in your goods are likely to pay more.

Discounted items, on the other hand, are perceived to have less value. Simply put – if an item comes with an inexpensive price tag, people often assume it’s cheap quality and isn’t worth anything – even at full-price.

Bundles, on the other hand, are a great way to encourage customers into buying product in bulk. It’s about selling less popular items alongside better ones to quickly move inventory and increase reach for less popular items.

No matter the season or special occasion, whether your goal is to gain new customers, reward loyal ones or move stock, if you’re looking for a tried-and-tested way of upping sales, Smollan’s promotional solutions offering now includes kitting, gifting and banding.


 

For more information on going the extra mile with Smollan’s promotional solutions, contact:

Carol Holland
National Kitting-Gifting-Banding Manager

Click to call

';