A national retailer has marked their candles, which are normally $24.50, down to $9.50 and EVERYONE HAS LOST THEIR DARN MINDS as if it were at an infamous big box store on Black Friday. (Okay…not that bad, but there is a line out the door in my area. And yup, I got my candles too.)
Then it hit me. Not everyone knows why companies have sales…especially like this one. So, let me drop some knowledge:
Sales are good. I’m a fan…especially when it comes to business to consumer products. However, consider your profit margin.
-Are you making enough money to have a sale?
-What’s your sale structure? Weekly? Monthly? Holidays only? Other?
-Do you want to be known for sales or do you want people to purchase regular price? (FYI…there is nothing wrong with being known for sales. Just operate your business accordingly and don’t get upset when people don’t purchase at regular price.)