Marketing Matters: BOHAN's Take on Discounting
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Marketing Matters: Bohan’s Take on Discounting
Danger lurks in discounting, according to David Bohan, chairman of BOHAN Advertising | Marketing.
He examined the common marketing tactic in his “Marketing Matters” column for The Tennessean, Nashville’s daily newspaper and the largest circulation paper in Tennessee.
The peril, he said, noting the extreme examples a full-service Orlando hotel that offered $10 rooms and a budget hotel that challenged that with some 1-cent rooms, is that brand integrity can be compromised and that discounts generally don’t stimulate enough demand to compensate for price reductions.
Bohan challenged marketers to use discounts wisely. They need to look for ways to change consumers’ behavior to benefit their brands, not just snap up a momentary bargain to no lasting effect.