Price discounting: Leading with price is the path to ruin

Dan Hill

The recession has increased the prevalence of price discounting – a perilous strategy that will kill off advertising and brands through increased price-sensitivity and commodification.

Price discounting: Leading with price is the path to ruin

Dan Hill

Sensory Logic

The recession has increased the prevalence of price discounting. It's a perilous strategy that will kill your advertising, branded offers and, ultimately, your company

Nowhere in marketing do emotions run hotter during today’s slowly fading Great Recession than when it comes to the role of (low) prices being highlighted in advertising. In boardroom after boardroom, one can easily imagine what’s being said: ‘We’ve got our fixed costs, for salaries, equipment, etcetera, and we need to make some money fast. So let’s lower our prices, and let...

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