Price reductions, does it work?

[samsun56]

Hi, I wanted to know, have you ever lowered the price of any of the products you sell? And if so, has that price reduction made you earn more money? In other words, has the reduction led to more sales?

 

[Nomad]

Why do you think "sale" are a huge crowd puller? Well, why business start offering their products for less than their standard price, they get sales. However, this shouldn't be a long term strategy as it will also reduce your profits.

 

[samsun56]

Why do you think "sale" are a huge crowd puller? Well, why business start offering their products for less than their standard price, they get sales. However, this shouldn't be a long term strategy as it will also reduce your profits.

But not all of them usually make real "discounts", there are many that days or weeks before usually increase the price a lot so that when they make the "discount" it actually returns to its original price, so they do not lose any profit.

 

[Dominique]

Price reductions don’t always work. While they can boost short-term sales or clear inventory, frequent discounts may devalue your brand, reduce profit margins, and attract only price-sensitive buyers. For long-term success, balance pricing with perceived value and quality.

 

[Medical-enthusiast]

Hi, I wanted to know, have you ever lowered the price of any of the products you sell? And if so, has that price reduction made you earn more money? In other words, has the reduction led to more sales?

Considering the fact that inflation is increasing so much, I believe that price reductions can work in an effective way. However, there are various other important factors we must try to understand. Price reductions alone would not work until or unless you are offering good products. You need to sell products that people need. You can then adjust the price in a way that suits your business. This is easier said than done. When you decrease the prices of your products, people may start questioning the quality of your products. So in this case, price reductions could actually backfire.