I was buying a Sunday Dallas Morning News newspaper last week in a Walgreens and I noticed a promotion they had that was displayed at the cash register. The item was a book that was selling for $21.99 or you could buy two for $43.98. Even though it was very early, I could still do the math and quickly figured out that there was NO discount for buying additional copies of the book. Quickly I thought — Are you kidding me! That’s the promotion you went with! That’s the impulse item you put next to the register. Even though I am not a retail guru I would think that the planners or store managers would use that sacred space for items that really move and frankly can make them a lot of money.
Instead they go with a promotion that to me isn’t even a promotion.
- With the economy being the way it is doesn’t everyone want and almost need to get a deal?
- Isn’t everyone looking to buy something on sale?
There are a number of promotions and deals that really can work. Lots of retail stores are doing:
- buy one get one free
- Pay full price for the first item and the second is a penny
- Buy two suits and get a sport jacket for free
Retail stores are really getting creative these days.
- What promotions do you like?
- What promotions in your opinion don’t work or a total waste of time?
- What retail store does the best job?
I look forward to reading your comments.
Christing Cook says:
I have a love/hate relationship with Kohl’s. I get there coupons and mailers like crazy. They have an ad budget and especially printing that must be outragous. They are always having a sale and sending coupons for 15% off and once in a while you get a 30% off.
All said; even with these coupons they are priced what is average at Target or TJ Maxx. I swear they just mark the prices up to mark them down and send coupons to make consumers think they are getting a deal.
Me, I’m smarter than this ; 0.
Melanie Courtright says:
I saw that same Wal-Green’s promotions and the worst part is, the cashier mentioned that they earn incentives on those POS “by the register” promotions, so when they are stupid or bad, the employee income suffers.
I’m a fan of the promotions that give you money back when you spend at certain levels. For example, $25 Ann Taylor Dollars for every $50 I spend, and usually good sometime during the next month. If I’m close to the next level, I will usually buy something small to push me over, so it impacts impulse buying (spend just $5 more to get the next $25 bonus). Then I always go back and spend my rebate, and usually spend a bit more than what I earned.
Merrill Dubrow says:
Melanie,
Good comments. I didn’t think of the employee income suffering but you are right. One company that I think gets it right is Kohl’s. Often they have Kohl’s bucks which is something like $10 of free Kohl bucks for spending a certain amount of money. the catch is that the coupon is only good for 4-5 days. I know it gets me back in the store!
Merrill
Jeff Adler says:
If you thought NO discount was foolish, how about an up-charge?! A few years ago I recall the situation at DB’s Fries — a “stand” at the beach in Bethany, Delaware. At the time, they had small beverages which were 16 ounces, and large which were 32 ounces.
Now many places will set prices such that much larger drinks are only 25-50 cents more — making them economical even if you don’t think you will drink the whole thing and even if you don’t plan to share it. So I went in to DB’s thinking I might want more than 16 ounces, depending on how much more they were going to charge for 32. Well the 16 ounce price was $1.75, and the 32 ounce price was $4!
Well someone may have had math problems, but it was not me. With that structure, I was free to simply purchase the 16 ounce small — knowing that if I was still thirsty afterwards, I could simply go back and purchase a second 16 ounce small and still come away paying less!
Talk about “not the behavior they should have been trying to promote!”
I ended up buying the 16 ounce and quenching my thirst. If the 32 ounce had been $2.25, I surely would have bought it — and with the profit margin on a fountain soda, DB’s would have been at least 45 cents better off.
Lance Hoffman says:
Jeff – was it at least a plastic cup that you got to keep, that maybe came with free refills? I see that a lot as the justification for the up-charge.
kelley styring says:
I personally enjoy the Target coupon packet from P&G. It has scannable coupons in tiny icons, looks cool, and you carry it around for months, using it “as needed” when shopping Target. That’s awesome. Branded, constantly reminding me of Target, fun, cool, feel good and $$$ in my pocket every time i walk into the store. Those people are pure genius. Kiss their pointy little heads.
Dan Bernard says:
To answer the question: I just like fair prices with a fair mark-up. The mention of Walgreen’s, however, DOES get me on a rant. While their ubiquity makes one think they must have competitive pricing – it’s quite the opposite. Do a little price shopping – you won’t be going back. Even the C-stores have more competitive prices.
John Castellano says:
Here is something I think hurts… Bed Bath and Beyond, they are pretty free with the 20% off coupons, so free that if I need to go buy a $20 item and I do not have it, I refuse to lose the $4 and simply do not buy it. Macy’s is similar with the coupons. I am not a big fan of buy one get one free when the price of the first item is marked up considerably. Also buy one get one half off maybe I do not want a second item but I feel forced to and sometimes I just do not buy anything.
Malcolm Williamson says:
Coupons and POS is simply a way to remind you to buy what you normally wouldn’t buy or even buy more of what you normally wouldn’t buy. Intrinsically we all know that, but we still fall victim to the Valu-Pak coupons that come in the mail and the killer deal we all think we’re getting when an entire rack is marked down 60%. Truth be told, ‘buy the best now, or you’ll buy it later’. Also, there is usually a really great reason why things are on sale and it’s usually not because the items are the hottest current trend. It’s funny because my wife is from the Mid-West and didn’t grow up with much. She shops only the sale racks and the most she can get for her money, the better. She has been conditioned through years of bargain shopping with her mother. On the other side of the coin, I grew up in West Los Angeles and loathe the sale rack. I was raised an aggressive consumer in the world of material ownership and excess. Ah yes, gotta love LA! If it’s on sale, it’s because people with taste know better than to buy sale crap. I’m lucky because my wife is not a chronic spender; however she dresses like she’s 40% fashionable. She’s smart and sweet as can be and really pretty, but dresses like a sale shopper. I’ve even offered personal shoppers for her to no avail.
Nobody ever felt uncomfortable being over-dressed, however being under-dressed can be a disaster.
Back to work in my material-man metro-sexual world! Peace out.
Marianne says:
What doesn’t work? Coupons for 40% off any regularly priced item, and everything you want is on sale for 10% off! That way you never use the 40% “come on” coupon!