Retail Discounts and Loss Leaders
Comments discuss retailer strategies using discounts, coupons, and loss leaders to attract customers, enable tracking, manipulate perceptions of value, and encourage upsells or higher spending.
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They pay you a discount to be allowed to track you while shopping.
You forgot "give customer a meaningful discount for doing the labor of checkout."
Can't this by circumvented by giving cash customers with a discount? It's like how things are sometimes offered interest-free, but a discount is given if you pay for it outright.
perhaps they are banking on the person buying other profitable items while in the store for gift cards.
Because people will buy things if they think they're getting a bargain, even if it's a totally fake discount
What value are you getting for the discount and convenience you're giving up?
You mean a like a loss leader?https://en.wikipedia.org/wiki/Loss_leader
That's because it's a loss leader to get you into their system
"Don't do discounts, but bundle and sale other people's discounts."
I'm trying to show a progression from "discounts" to "more discounts" to "we'll give it to you free just to get more 'sales'" That's why I called it a natural conclusion.The only difference between giving someone a coupon to entice them to buy something from you and buying it yourself is how much money you're losing in the short term. It's on the same spectrum, just at different ends.