seasonal discount

Examples of seasonal discount in the following topics:

• Cash Flow

  • One way to get cash flow quickly is through seasonal discounts .
  • Seasonal discounts are price reductions given for out-of-season merchandise.
  • An example would be a discount on snowmobiles during the summer.
  • Another option is cash discounts.
  • A quick way to generate cash flow is to offer seasonal discounts.

• Discounting

  • Seasonal discounts are price reductions given for out-of-season merchandise.
  • Electric power companies use the logic of seasonal discounts to encourage customers to shift consumption to off-peak periods.
  • For example, a 2% discount on bills paid within 10 days is a cash discount.
  • Trade discounts, also called functional discounts, are payments to distribution channel members for performing some function.
  • Trade discounts are often combined to include a series of functions, for example 20/12/5 could indicate a 20% discount for warehousing the product, an additional 12% discount for shipping the product, and an additional 5% discount for keeping the shelves stocked.

• Price Discrimination

  • Airlines use several different types of price discrimination, including: bulk discounts to tour operators, incentive discounts for higher sales volumes to corporate buyers, seasonal discounts, etc.
  • The airlines enforce the scheme by making the tickets non-transferable thus preventing a tourist from buying a ticket at a discounted price and selling it to a business traveler (arbitrage).
  • Airlines must also prevent business travelers from directly buying discount tickets.
  • An example is student discounts.
  • Price discrimination is very common in services where resale is not possible; an example is student discounts at museums.

• Media Types and Scheduling

  • This model is primarily for non-seasonal products and some seasonal products.
  • In media scheduling for seasonal product categories, flighting involves intermittent and irregular periods of advertising, alternating with shorter periods of no advertising at all.

• Retail Marketing Strategy

  • Department, discount, warehouse, Mom And Pop, specialty, demographic, general, convenience, big box, automated/self serve, hypermarkets, supermarkets, malls and variety stores have adjusted traditional marketing strategies such as print advertising, media buys and in-store campaigns to incorporate the use of new technologies such as online outlets and shopping, email, texting, mobile applications, blogging, QR codes, kiosks, digital signage and online advertising.
  • In-store programs are often seasonal, based on holiday themes, events such as back to school sales or spurred by the need for economic concern or in times of abundance.
  • Sales tools such as discount coupons, price plus campaigns, up-selling and incentive programs are important components to the retail marketing mix of a plan.
  • These campaigns can be as simple as discounted pricing or as intricate and involved as contests, giveaways and loyalty programs.

• Yield Management Systems

  • They may also review information (including statistics) about events (known future events such as holidays or unexpected past events such as terrorist attacks), competitive information (including prices), seasonal patterns, and other pertinent factors that affect sales.
  • Overall (on all the routes an airline flies or all the seats during an opera production season)
  • That is, they offer far higher discounts more frequently for off-peak times, while raising prices only marginally for peak times, resulting in higher revenue overall.

• Trade Allowances

  • For instance, hairdressers can go to the manufacturer to get a discount for buying in bulk.
  • Such a discount might also be used to gain shelf space or a preferred position in the store.
  • Trade discounts are often combined to include a series of functions, for example 20/12/5 could indicate a 20% discount for warehousing the product, an additional 12% discount for shipping the product, and an additional 5% discount for keeping the shelves stocked with the product.
  • The larger the purchase, the larger the discount.
  • Hairdressers can go to the manufacturer to get a discount for buying in bulk.

• Global Marketing in the U.S.

  • Third, firms that face seasonal domestic demand might choose to market abroad in relation to these demands.
  • These entrepreneurial middlemen typically purchase U.S. produced goods at 15 per cent below a manufacturer's best discount, and then resell these products in overseas markets.

• Perishability

  • Demand can vary by season, time of day, or business cycle.
  • For example, to offset high demand during the tourist season, a hotel in Hawaii may hire more employees.
  • During seasons of bad weather, a manager may find himself with too many staff.

• Encouraging Product Trials

  • Promotional tactics such as free samples and discounts are often used to encourage consumers to participate in product trials.
  • To encourage consumers to participate in free trials, brands can bundle their offers with other incentives and discounts.