What are the Negative Impacts of Offering Discounts Too Often?

[Suba]

Offering discounts is a business strategy to boost sales, especially when sales are declining. Discounts can also attract new customers and retain existing ones. They can also be used to clear out old stock, build customer loyalty, and more.

However, many people believe that offering discounts too often can also have a negative impact on business. Is this true?

 

[Augusta]

You would be reducing the profit of the business this way. Unless one is able to make high profit

 

[eLdavis]

I believe this would lead to your customers only patronizing you when there is a discount and might not be willing to buy unless there is a discount.

 

[Augusta]

It can also damage brand perception, suggesting a lack of quality or confidence in the product, and trigger competitive price wars.