Famous Last Words: Pricing Questions
Going back to the shirt shop, the winter sale offering 50 percent off is strong. Far stronger is "Buy one, get one FREE!" It's the same 50 percent off, but you can imagine having two shirts. Further, with a half-off sale on $50 shirts, you are taking in $25 per shirt. With a two-for-the price-of-one offer, your revenue is $50, so you've taken in twice as much money and moved twice the inventory.
NOTE: If you have a marketing question, write me and I will try to answer it.
Denny Hatch is a freelance direct marketing consultant and copywriter, and author of the e-mail newsletter, Denny Hatch's Business Common Sense. Visit him at www.businesscommonsense.com or www.dennyhatch.com, or contact him via e-mail at firstname.lastname@example.org.