How do you square this with the experience of J.C. Penney, who, after eliminating sales and instead choosing to offer “everyday low prices”, experienced a 20% drop in sales? It’s certainly tempting to believe that discounts and other such unnecessary promotions don’t work, but it seems that sales do to some extent stimulate, well, sales.
How do you square this with the experience of J.C. Penney, who, after eliminating sales and instead choosing to offer “everyday low prices”, experienced a 20% drop in sales? It’s certainly tempting to believe that discounts and other such unnecessary promotions don’t work, but it seems that sales do to some extent stimulate, well, sales.
See https://hbr.org/2012/05/can-there-ever-be-a-fair-price.