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Sunday newsagency management tip: don’t discount before you need to

xmasdiscountA card shop near my newsagency yesterday had Hallmark boxed Christmas cards at 50% off. They are the only shop of seven or eight in the shopping centre with Hallmark cards boxed Christmas cards discounted. Others with discounted Christmas cards are the $2 and similar shops with unbranded product.

We will not discount Christmas cards until Boxing Day. Sales are strong – I see no reason in our numbers to discount.

Either our competitor is not moving as many boxed Christmas cards as they expected or need or they have made a rookie move and discounted unnecessarily. These last five days before Christmas will see last-minute shoppers out in force. These last-minute shoppers are usually less discerning and prepared to pay more.

In my eighteen years owning and running newsagencies I have never seen the need to discount Christmas cards including boxed Christmas cards prior to Christmas.

This is my advice today – discount when the time is right and not a moment before. Look at your data and only discount if such a move is supported by your data.

Oh, and if you are gong to make a move on price, take a moment to consider that raising your price could be the better move. While this is not appropriate to boxed Christmas cards, it could be true for many gift lines.

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Management tip

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