In my last post, I gave you two examples from two different industries of how you should not create the offer until you have found out as much as possible about the people who will be receiving the offer.
I also mentioned that I would reveal to you today some additional tips to help you create successful offers.
Here are four:
- The offer must be clear. People must be able to understand it instantly. Confused people do not respond. For example, half off is better than 50% off and a lot better than 35% or even 60% off. People have difficulty understanding percentages. Two for one is usually better than half off.
- The offer must be a good value. It has to be understood as a good value. That’s why percentage off coupons doesn’t usually work well. People get suspicious. They think as soon as they see I have coupons they’ll just raise the price to recover the discount. Percentage off coupons work well where there are known published prices.
- The offer should involve either a discount or a premium or preferably both. Sometimes premiums work much better than discounts. A premium is something you give away as a free gift to someone who comes in or who makes a purchase. For many years, Bill Glazer, President of Glazer-Kennedy Insider’s Circle operated two of the most successful menswear stores in the country. He meticulously tracked results of all his offers and found that by adding a premium, he averaged a 30% increase in response.
- There should be a logical reason for the offer. If you discount or give something away without an explanation you create skepticism and suspicion. People have been told all their lives there’s no such thing as a free lunch. You have to explain. We’re doing this to introduce ourselves to the neighborhood as an introductory offer in celebration of opening our new store, as an anniversary sale, a clearance sale, customer appreciation week. Just about any explanation will do but there needs to be an explanation.