The Innuendos of Festive Discounts & Offers
Seasonal marketing is a standard practice of brands marking special occasions of the year. Marketers follow this practice by pushing special offers and discounts on products and services. In Nepal, the cardinal festive period of Dashain & Tihar is an opportune moment for brands to ramp up their interaction with consumers. You might say that brands practice philanthropist traits to commemorate the biggest Nepalese festival. You are not wrong. However, it does not end there. Seasonal marketing has oblique inferences that aid in fostering business and brand value.
What better time than the most revered festival to promote emotional connection with consumers? Dashain and Tihar hold the dearest place in the hearts of millions of Nepalese. It is also a time when Nepali consumers are on a constant lookout to grab their desired products at the best deals. By marketing your products with attractive discounts and offers, brands not only retain existing customers but also attract new ones to their radar. As such, brands communicate with consumers via such campaigns by letting them know that they care for their customers and want them to remain happy with discounted purchases. Here, the challenge for brands is to stand out the most as competitors vie to execute outstanding campaigns during the festive period.
Scarcity marketing simply refers to campaigns that last for a limited time. Seasonal marketing profusely uses scarcity tactics to draw in consumers and urge them to make purchases as soon as possible. This technique establishes a sense of exclusivity and high demand which make brands seem more appealing to the public. Ultimately, this will drive sales of brands as a result of the ‘fear of shortage’. In simple words, since offers and discounts last for a limited amount of time, people face a sense of urgency as they might not get better deals in the future, ultimately leading to sales conversion.
Discounts & Offers do not mean a loss on sale!
One question that seems to bug people’s minds is ‘Why are businesses as profit-making institutions ready to sell products at heavy discounts along with special giveaway offers?’ Firstly, a heavy discount does not mean that a business is ready to incur a loss on the sale. It is simply reducing the sales margin. Products that are sold at loss are most likely the least desired ones that only incur storage costs.
Secondly, expensive giveaways are not a business’s loss but rather a brand & marketing investment. For instance, Samsung’s Dashain 2079 campaign included a Renault Kwid giveaway on its phone purchases. This offer would immediately incite customers who were looking to purchase a car from the respective segment, leading to a boost in sales. Moreover, expensive giveaways nurture brand loyalty and customer acquisition in hopes that Samsung brings out similar offers for the next festive season.