Discounts Are Like Binge Drinking
Description
Discounts are like binge drinking
- Lots of fun in the short term (big revenue boost)
- Leads to bad behavior (hacky marketing)
- Creates shallow, meaningless relationships (low LTV customers)
- Terrible Hangovers (awful performance after the sale)
- It's more acceptable to do around major holidays (if you're doing it august I assume your life & business are not going well)
...But a great offer is like sharing a pour of Kentucky's finest bourbon.
It starts with meaningful connection (strong messaging), and creates a long lasting relationship (profitable LTV).
Listen to this episode and hang around till minute 6 where I show the results of a split test where we reduced our discount from 30% to 20% and decreased our CAC, and increased CVR & RPS.
United States
