How to Use Discount Strategies Without Hurting the Bottom Line

Let’s be honest, discounts are great! Discount strategies are helpful in increasing sales, but only if they are done right. For instance, if you do not consider the buyer’s journey, you might hurt your business bottom line in the long run. You must take into consideration the customers’ feelings. You need to ensure that the discounts are used for further building a relationship with your customer, instead of making your customer feel like you are just trying to “lure them in” to make a purchase. Thus, the solution would be to strike a balance between when and how often you use discounts and which user segment you offer them too. 

To begin with, you need to realize that your discount strategy should be based on gaining and retaining loyal customers. That’s why in this blog we will go through different strategies that focus on offering something of value to your customers, creating a feeling of loyalty and, most importantly, making your customer feel important.

Loyal customers associate favorable experiences with a brand, which then increases the likelihood of them making repeat purchases. The loyal customers are much more likely to buy more products or services from your business than new customers. Hence, the initial discount strategy should start by incentivizing loyal customers. 


  • Offer rewards based on your customer’s previous purchases. This is a great way to personalize the offer and give them an incentive to make new purchases in the future. 
  • Extra discount on their birthday.
  • Introducing a point-based system; when the customer earns a certain amount of points by making different purchases they can order a specially personalized product.

The second discount strategy that you should focus on is on leaving customers. This is an excellent discount strategy that should be used sparingly in order to fully convert the hot (or even warm) leads. 


  • Create a pop-up message that says something along the line “Stop! Are you sure you want to abandon your cart? Use this discount code for X% discount”. You can do this to pop-up for every 5-6th customer abandoning the cart to avoid people purposefully abandoning their carts in order to redeem a discount code. 
  • If the cart is worth above a certain amount you can send a unique discount code to the specific customer. We talked about this strategy in our previous blog post.

The third strategy should focus on attracting new customers. The reason why we place this strategy lower than the latter two is because these customers don’t know anything about your brand and it is much harder to convert these cold leads than customers that have already passed through the (almost) entire buyer’s journey. 


  • Provide seasonal sales that you will promote on your website and social media platforms.
  • Create a sense of urgency; something along the lines “Discount offer expires in 5 days” , “Your last chance to get X% off on these products/services”…


Using discount strategies is an important marketing strategy and is mostly prominent among ecommerce businesses, but overdoing it might only hurt your bottom line. Also, many believe that discounts may “cheapen” your brand, but if done the right way for the right reasons this will not happen. This is the reason why we said in the beginning to base your discount strategies on strengthening relationships with customers and improving their experience and feelings. By following the above-mentioned discount strategies in order of the proposed priority you will be able to nourish and build the loyal customer base, attract new leads and increase your bottom line through these sales.

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