Comments on: The Worst Mistake Has To Be… http://www.wordofmouthmagic.com/blog/the-worst-mistake-has-to-be/ Word of Mouth Marketing = WOW! + Follow-up + 'Call To Action' Thu, 04 Mar 2010 00:58:26 -0800 http://wordpress.org/?v=2.9.1 hourly 1 By: Martin Russell http://www.wordofmouthmagic.com/blog/the-worst-mistake-has-to-be/comment-page-1/#comment-552 Martin Russell Mon, 10 Nov 2008 10:53:45 +0000 http://www.wordofmouthmagic.com/?p=85#comment-552 Hmm Brian. You might have specific examples that prove me wrong, but in general, even if you're competing against big business, I don't agree with discounting. Let me quote one of my favorite authors on this, Brad Sugars... "Discounting takes a toll on profits -- At just a 10 percent discount, a typical firm would need to sell 50 percent more units to keep the same profit on the bottom-line. Instead of cutting cash out of the deal, ask yourself if there is there a way you can add value to your product or service. This "value added" proposition means you can "give away" something that won't come out your profits. Done right, it can also add to the experience your customer has of both the transaction and your company. A great experience is key to getting that customer back--which in turn is key to a highly profitable company over time." Hmm Brian. You might have specific examples that prove me wrong, but in general, even if you’re competing against big business, I don’t agree with discounting.

Let me quote one of my favorite authors on this, Brad Sugars…

“Discounting takes a toll on profits — At just a 10 percent discount, a typical firm would need to sell 50 percent more units to keep the same profit on the bottom-line. Instead of cutting cash out of the deal, ask yourself if there is there a way you can add value to your product or service. This “value added” proposition means you can “give away” something that won’t come out your profits. Done right, it can also add to the experience your customer has of both the transaction and your company. A great experience is key to getting that customer back–which in turn is key to a highly profitable company over time.”

]]> By: Brian Baulch http://www.wordofmouthmagic.com/blog/the-worst-mistake-has-to-be/comment-page-1/#comment-549 Brian Baulch Sun, 09 Nov 2008 13:04:02 +0000 http://www.wordofmouthmagic.com/?p=85#comment-549 May l add it is ideal opportunity this time of year for a small business owner,to even lower prices of there products or service, yes its not the general method used around Christmas season time but l believe its a great opportunity to go against big business who up there price this time of year. Great post Martin May l add it is ideal opportunity this time of year for a small business owner,to even lower prices of there products or service, yes its not the general method used around Christmas season time but l believe its a great opportunity to go against big business who up there price this time of year. Great post Martin

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