Discounts abound at eretail sites this holiday season. The New York Times dubbed the price slashing “holiday price wars” in an article on November 19. The article’s desperate tone underlines what many of us already know: The holiday shopping season is going to be rough.
Every consumer is looking for a discount, which doesn’t bode well for premium brands. Price drops and coupons can diminish a brand’s boutique image. But some marketers are finding a way around this quandary.
Shoe eretailer Zappos, the NYT’s article mentions, moves shoes that do not sell in six months to 6pm.com, a site they acquired last year. So, Zappos never discounts and 6pm.com always discounts. Two separate brands, one great strategy. We recently published an article on Zappos’ UGC newsletter – see the link below.
For premium brands stuck between staying relevant during the holiday price war and maintaining their image, Zappos’ strategy seems like a great solution. Get an affiliate to sell your products at a discount, or buy a website with a different brand and discount there.
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