A Few Great Reasons To Discount That You Can't Overdo

In a previous post, I mentioned I'd revisit the subject of slashing prices or discounting.

The best reason to discount is to enhance a client relationship - to make a client feel particularly special. If you discount frequently, you lose this opportunity. If you practice a little more discipline with your price-marketing strategies, you'll have a very powerful tool in the form of discounting. Here are some ideas for when to do it:

1. The anniversary of a purchase or first contact. When you make an offer specifically for the client to commemorate the beginning of a relationship, you bring back happy memories of that time.
2. The client's birthday. I don't recommend simply offering a discount - if you can, send a nice gift that's unrelated to your business - the more insightful, not necessarily the more expensive; the better. Send your offer in the form of a gift certificate along with a physical gift.
3. As a reward for interacting with you (or for doing so the quickest). There are plenty of good reasons to interact with your list, and particularly when you'd like to survey them for information, you can offer rewards for those who interact with you. Perhaps the first ___ responders will receive a coupon.

I also want to identify a suggestion by reader Javier Ramos (http://www.javierramosblog.com/) who reminds that discounting is also a good way to liquidate old inventory.

As far as I'm concerned - if a penny saved is a penny earned, then a penny discounted is a penny spent. The only good reason to "spend" in the form of discounting is to enhance your business, and that kind of currency is best used, and can really ONLY be used to pay for a happier client.