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Offers
5 min read
·
When to stop discounting
Discounts are the easiest offer to launch and the hardest to quit. Signs it is time to try something else.
Article details
Topic
Offers
Reading time
5 min read
Published
Written by
Margin strategy team
A first-order discount is the default offer for most brands. It works, until every customer expects it and margin quietly disappears.
Three warning signs
Most orders use a code. Repeat customers wait for a sale before buying again. Your ads only work when the discount is in the headline.
What to test instead
A free gift with the first order, free shipping above a threshold, a bundle at a better price, or a guarantee that removes the risk. Each one protects the price people see.
How to test it safely
Run the new offer to new customers only, for two weeks, with the same ads. Judge it on profit after 60 days, not on day-one conversion rate.
Most brands that stop discounting lose a little volume at first and win it back in margin within a month.
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