Customers love gifts and discounts, as they feel like gaining more than the amount they have paid. According to a research, 77% of consumers said that getting a promotion is important when they decide which brand to choose. Indeed, promotions are the strategies that every retailer loves to process with their POS. In this article, we will discuss the top 5 types of discount for a fashion POS.
Percentage/ Amount discount
This is one of the most popular and simple ways to offer a promotion to fashion shoppers. It is easy to calculate and apply to every fashion item, such as “20% or 50% off”. From the perspective of store owners, a percentage or amount discount makes it more convenient to estimate the profit. In addition, customers can be more attracted to the X% off promotion in both physical and online stores. For these reasons, this type of promotion is straightforward, and thus should be supported by any fashion POS system.
Buy X get Y
Buy X get Y is also known as the BOGO (Buy One Get One) strategy. There are two common variants of it: “buy X get Y free”, or “buy X get the second item Y% off”. This promotion type is effective when fashion retailers want to clear up their inventory.
In reality, customers tend to calculate the price per item after receiving a BOGO promotion. This is a lower price compared to the original one, so this is definitely a deal that they don’t want to miss. With some POS systems that support ‘buy X get Y’, staff members can easily add the extra item and bring the price to zero.
Free shipping is a highly effective plan for eCommerce stores. In fact, research has shown that 68% of US consumers didn’t purchase more than half of the time because there was no free shipping. Therefore, free delivery is a powerful type of promotion when it comes to eCommerce. It shows that there is no cost added to the price as in the in-store purchases. In many cases, this is what encourages customers to shop for items at the comfort of their homes or offices.
Extra gift/ Bundle
The next type of promotion is to give customers extra gifts or bundles. Fashion items often come with mix-and-match counterparts and accessories. Store owners can take this opportunity and complete the customers’ outfits by giving them a gift. This strategy is suitable for businesses with surplus stock and can significantly improve the customer experience. To illustrate our point, an example of this is an extra tote bag for any $30 or above purchase.
Reward points earning
You can also offer special promotions via loyalty programs. To support this strategy, a powerful reward points system integrated with POS can be effective. Store owners can easily manage customers’ past purchases and the points they have earned. These points then can be converted into real money and spent on the next purchases. If your POS supports reward points earning, you can both encourage customers to come back and manage your customer profile more efficiently.
The points discussed above are the most common types of discount for a fashion POS. Other than this, you can always be more creative in organizing the promotion programs for your own stores.