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Loyalty Discount Only...

Rob D

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It often crops up - can you do me a deal? - if you're a regular customer yes - no if you're not. And this is auto applied.


A few years ago we really wanted to move away from the 'successful' model that large businesses seem to use which is 1) offer the world to new customers in order to get them to come on board 2) operate a milking system for regular, loyal customers who quietly provide the backbone of your turnover but don't ask much for doing so...


Also if we did a deal when folks contacted us then we're making a rod for our own backs as well as undermining said loyal customers ie. if you called and got a deal once you'll call to get a deal next time. And if you didn't get a deal next time then you'd be annoyed.


So I reckon the existing system works pretty well [feel free to comment] as it's simple and does what it's supposed to.




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I sorted out my suppliers when I went pro with my business and their stance was in line with what you are suggesting. I was surprised that I was already on their radar and it gave me a comfortable feeling.

 Customers expect the world when a companies main business is probably generated by a handful of loyal decent mid size businesses rather than the odd fella that wants one bar and chain for rock bottom prices with no support for your business.

You know your business and it is generally 20% of your customers giving your business 80% of your earnings so reward these and not the guys that just want a few quid off their once a year purchase of ....a chain!!!


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12 hours ago, AJStrees said:

Thanks Rob. I’m saving up for that 64” bar you have in the window to go on an 881 when Santa comes. In the meantime it’s great to have you there for the milling and chainsaw bits. emoji106.png


No prob - have you ordered off us before?

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Did you take advice on those discount levels? It's impossible to give accurate advice without data such as your customer lifetime value and your average spend per transaction, but those discounts don't seem optimal to me. 


There's been a lot of research done by some very knowledgeable teams in this area, and there's a lot of research data available if you want to optimise such things. 


How exactly are you using these discounts, and where exactly in the customer journey are they being told about them? It's really important when giving discounts that you gain leverage from doing so. If you don't, you are simply giving money away. 

Edited by Retired Climber
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