We’ve built a free Discount Scenario Planner Web App.
Try it out here: https://discount-planner.apps.getoptifi.com/
Use it to scenario-plan your promotional campaign:
- When do discounts lose money?
- When do they increase profit?
- What’s the optimal discount to give – if any?
Have a play!
When designing promotional campaigns, it's crucial to understand three distinct customer segments: 𝗲𝘅𝗶𝘀𝘁𝗶𝗻𝗴 𝗰𝘂𝘀𝘁𝗼𝗺𝗲𝗿𝘀, 𝗼𝗻𝗲-𝘁𝗶𝗺𝗲 𝗯𝗮𝗿𝗴𝗮𝗶𝗻 𝘀𝗲𝗲𝗸𝗲𝗿𝘀, 𝗮𝗻𝗱 𝗹𝗼𝗻𝗴-𝘁𝗲𝗿𝗺 𝗰𝗼𝗻𝘃𝗲𝗿𝘁𝗲𝗿𝘀.
𝗘𝘅𝗶𝘀𝘁𝗶𝗻𝗴 𝗰𝘂𝘀𝘁𝗼𝗺𝗲𝗿𝘀: Often, promotions aimed here risk losing money, as these customers may have purchased without incentives. Frequent campaigns can inadvertently condition them to wait for offers.
𝗢𝗻𝗲-𝘁𝗶𝗺𝗲 𝗯𝗮𝗿𝗴𝗮𝗶𝗻 𝘀𝗲𝗲𝗸𝗲𝗿𝘀: Drawn solely by incentives, these customers rarely convert into sustained, valuable relationships.
𝗟𝗼𝗻𝗴-𝘁𝗲𝗿𝗺 𝗰𝗼𝗻𝘃𝗲𝗿𝘁𝗲𝗿𝘀: Initially attracted by an incentive, these customers evolve into loyal and repeat buyers, representing your most valuable segment.
Our interactive campaign planner specifically allows you to evaluate the real-world impacts of targeting these long-term converters. Even focusing on this ideal customer group can produce varied results - some extremely beneficial, others surprisingly costly.
Are your campaigns truly driving sustained value, or might you be unintentionally harming your results? Understanding this can significantly enhance your marketing effectiveness.