I’ve been told by doctors they often can’t help but analyze the symptoms of every passer-by. It’s the same for me and sales offers. This means every Black Friday feels like my brain was hit by a truck.
So, let me say this clearly: most discounts are downright poisonous for expert service providers.
– Quantity Discounts: The more they buy at once, the lower the price per item. It sounds smart, but this works only when producing more value at once reduces costs per item. For you, it doesn’t. It is a common disaster, but a disaster nonetheless.
– Geographical Discounts: Charging differently based on a client’s location. But your expertise doesn’t lose value because someone’s nearby—or far away. Laughable.
– Promotional Discounts: Temporary price cuts to attract attention. Like Red Bull, they give a short-term boost that may be needed but will leave you shaky. Use sparingly.
Cash discounts are fine if you need to incentivize the client to pay you upfront, and seasonal discounts can be good if your industry has service cycles (many don’t).
Discounts will boost sales of sneakers, vacations, etc. but research shows they don’t sell medicines any better. Why, since they are bought in the same pharmacy as vitamins that do sell better?
Because clients—like patients—aren’t buying products; they’re buying trust. And trust on sale? It’s no trust at all.
Just say no to discounts.