How Your Sales Literature Can Sell Your Competitors Products
December 28, 2013
Every Retailer on the High St seems to be Running a Sale.
Sales are coming earlier and earlier and some are destroying total sales revenue
But could this trend be helping their competitors and destroying their sales figures? Sadly, in some cases, yes.
Here’s where the sales literature danger lies.
A few days ago my wife picked up a newspaper insert, from Argos, that had fallen open on the kitchen electricals page. She had been thinking about buying a new kettle and toaster and there they were on sale right in front of her eyes. The kettle had a big red label on it saying Save 25% and was £44.99. Ditto the toaster.
The next thing she does is pull out her smartphone and Google other retailers … John Lewis weren’t running a sale yet, but offered the exact same kettle at £39.99. Other retailers had the same kettle at anything up to £59.99. The next thing you know is that she is on the John Lewis site with her credit card.
Why your sales literature gives your competitor the sale?
So the Argos literature had prompted her to research wider and buy the kettle from John Lewis.
It has also prompted a distrust of “sales” as all this term really means is we have discounted from a previously higher price (this depends on legislation where you live). Where retailers were selling at the highest prices it probably means they are doing this so they can then discount it later.
How to use sales literature to differentiate your product or service
So my advice is don’t try to compete with competitors via sales literature and adverts alone, unless you can offer a great deal. But remember price isn’t the only differentiator here and selling on price alone can mean bankruptcy. So focus onwhat differntiates your product or service or use other tactics.
A tactic John Lewis often used is to offer an extended warranty. It works with me .. I recently bought several laptops from them.
Other retailers use another simple tactic. They ensure “their” version of the brand has a model number that is unique to them. So price comparisons are impossible and they can promote the features they wish … and so corner the market that way.
So before rushing into producing sales literature think carefully about what your offer is and don’t give your competitor the sale.
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