Monday, December 16, 2013
Tis the season....
So I'm watching Sunday Morning yesterday and they did this piece on buying on sale and what it does to your brain. Journalist Mark Elwood, who wrote the book, "Bargain Fever", says we are more conditioned to buying items on sale than we are at full price. Elwood noted when we are presented with a savings when making a purchase, our brains release a chemical that makes us feel good about buying and makes us come back for more. He stated that a decade ago, retailers sold between 15-20% of their inventory at sale. Today that number is more like 40-45% and rising.
The dopamine in my brain responded to this. Yes, I could completely relate. Not only do I love to get a bargain, but as a retailer myself, I see an increase in sales when I offer a discount at The Candy Bar. Since Black Friday, I have seen offers of 20-30% off flooding my email inbox daily. I even took advantage of these deals this morning when I shopped at Old Navy and Macy's online. I received 20 and 30% on both purchases AND free shipping! (which I couldn't take advantage of because I worried that they wouldn't be here in time for Xmas) Even during non-holiday times there are coupon sites you can use to apply discounts to your purchases online and we offer discount incentives multiple times throughout the year. It's a must to stay competitive in the retail world.
It really is BUY-agra! And I'm not calling my physician if the sensation lasts for more than 4 hours either!
So what does this say about brick and mortar competing with online shopping sites? The jury is still out on that one, but if Cyber Monday's sales totals this year say anything, (the largest online shopping day to date with over $2 BILLION recorded in sales) all signs point to easy access with the click of a mouse.
It just confirms that an online presence for any retailer is as important as great products at a great value.
Tell me what you think?