e Commerce discounting and pricing strategies
e Commerce pricing and discount strategies are important because consumers often associate low price with low quality. For this reason, even-based discounting is important to make the shopper feel that a unique opportunity is present.
Calculate the “true” cost of your products and services.
The true cost of a good is not the price you pay for it, but rather it is the costs involved from the moment you pay for it until the point that it gets to your customer. The true costs include all the costs of storing the good and delivering the good through to the end customer.
- ROI = (Profit – Investment)
- Investment Profit = Revenue – Cost
Create a unique series of events every six to eight weeks and discount products. This creates and attracts a lot of attention. Some examples include celebrating your personal birthday week, business anniversary, and Independence day.
Make your best customers feel special!
Segment your best customers and treat them special. You can begin by setting up different newsletters for different sign-up forms on your pages – different for each article. For example, link creative articles to a free creative report, thus making a list specifically for creative members of your blog. This way, you know what segmenting your list according to which page they used on your site to sign up interests in each person on your list.
Discounting your e Commerce products to these special customers helps to keep them both happy and loyal, whilst also helping raise extra revenue from items they otherwise might not have purchased.
Keep your customers coming back and achieve high growth
It is easy to get caught up in the routine of acquiring new customers. But do not forget that most of your revenue may come from existing customers.
Returning customers make up 40% of revenues whilst representing only 8% of visitors. This tells us there’s a huge opportunity to increase customer retention rates further to support revenue growth.according to the Adobe Digital Index Report