Frank Hurtte, guest speaker at Tribute’s 2015 TribNet User’s Group Conference, recently published a blog post titled, “13 Times You Should Never Discount.” In this insightful article, Hurtte explores the factors driving the urge to discount, and then explains why it’s not such a good idea.
In an excerpt, Hurtte says: “…our research indicates the typical distributor discounts more when times are good than when they are bad. You would think that margins would go down in tough times and up in good times, but the preliminary results indicate just the opposite. Perhaps times of economic growth cause us to loosen up our grip on pricing mechanisms. Maybe we get just a little sloppy. Or, perhaps our customers rev-up their negotiating strategies. Still, we find ourselves discounting.”
Other areas that made his top 13 list include never discounting on: emergency stock, exclusive products, and on a first time sale. Click here to read the full list of reasons.