I used to work in a fashion shop in Metropolis. The marketing strategy used there is good and simple, but not very ethical. In the store, you will see sign boards of 50% off everywhere to attract customers to buy the clothes. However, consumer didn’t really enjoy the promotion at all, because the store manager already marked up the price of the clothes. Therefore the customer didn’t save anything at all.
At that time i was wandering when the discount season is finished and the discounts are removed, will it have a serious impact on the business? The answer is no, because the store manager not just removed the discount like that. He stock up the store new arrivals of clothes therefore, even though there is no more discounts, the customer will still buy they clothes because they know that they are buying the new arrivals, not those things that used to be half the price.
Nowadays, since the new year sale, the store manager has not put away the 50% discount signs. At first, there are many customers in the store, however after some time, the number of customer start to decrease. i think this is because customers have seen the 50% discount too many times and too used to it, therefore the discount has no more impact on them any further. Thus, i believe it should be a good idea to remove the 50% discount for sometimes, before launching it again.
