Why Raising Prices on Black Friday Is a Good Idea

Don't you often post about how your customers need to trust you - and how you need to build that trust? How trustworthy is someone who advertises sales on Black Friday and then raises prices?

Don't advertise sales? Then you aren't part of the annual Black Friday sales weekend.

If that is what you see - there is something wrong. That's 'all about me' - and Black Friday is only a pre-Christmas annual sale to clear inventory and bump up profits. Should not be that much angst involved in my opinion. It's business.

I don't agree with either side. I neither raise nor lower prices for Black Friday. They stay the same as they always are but there is a banner that says "Black Friday Sale - Our Lowest Prices of the Year" (they are the same prices; therefore, they are, indeed, the lowest prices of the year).

For sure, that probably does not go over well with repeat buyer websites but virtually all sites we build are one-off sites. They buy from you once and you never hear from them again (i.e. a website selling washing machines - how often is there a repeat buyer for those?).

As far as "selling off inventory" goes, this is hardly the time of year to be of that mindset. That usually happens just prior to entering known dead seasons. This is the highest demand season of the year and if people followed normal supply and demand business models, they would, indeed, be raising prices.

I can't tell you how many dozens of "Black Friday Special" notifications I have received from everything from domain registrars, to software download companies offering "Black Friday Deals". Kind of embarrassing, I think. I mean, they definitely don't have any inventory that they are trying to unload. They are just offering sale because everyone else is and they think they have to do it. Apparently, their mothers never asked them the "if Johnny jumped off a bridge ..." question.

This makes even less sense than your usual nonsense...is someone off their "meds" again?

Brent

Happy to see that there are still people with common sense posting...

Why would you raise prices for one day?

How will this help you in any way? Other than to try to overcome a possible fear? I don't get it.

As often as you post about fear, I think there is a whole bunch of shit you are deathly afraid of.

Not only shameless, but quite possibly illegal.

Many years ago I took a business law class. It was long enough ago that I could be wrong or that things have changed since...However, my recollection is that in the US to claim something is a sale it must be priced at least 5% off the regular selling price. Claiming something is on sale when in reality it isn't could very well be considered false advertising.

It's considered bait and switch. Also leaves a bitter taste in your prospects larynx. Not good.

This is an interesting thought. Makes you stand out from the crowd!

I shall implement this next year and see if its works. Not very sure that it will though. Unless its a permanent raise.

A top-3 retailer in my country has been caught for increasing prices on some products (that had the biggest demand I suppose) during this BF. Some guy just checked cached versions of product pages and posted it on Facebook. You know what? Nothing. They are still the biggest retailer who earned on BF more than they could. And I still will never buy from them because I know where I can get things cheaper. But there are lots of people who don't know/care and they are the target audience I guess. Not the best technique for your rep, but since 90% of your customers don't care much, then why not?

Not everyone do the good price suggestion.
For example in ordinary day umbrella costs 40 dollars.
Black Friday price 50 dollars instead 100 dollars.
Sometimes they are cheating like that.

It is always good for your business to monitor your competition.


In the end it is more about what you do rather than what they do. Why? you may be doing it right and the competition may be doing it wrong.


I can't count the times a business owner said to me "My business is failing and I don't know why." My usual answer is "You did it to yourself by not planning ahead to maximize sales during Special Events and Holidays."


To me that is equivalent to a store owner standing in his doorway watching the crowd running into neighboring stores for a discount.


My uncle used to plan ahead for for Special Events and Holidays and purchase low cost washing machines and dryers for people that could not afford high cost machines. He would sell a lot of washing machines for 25% off and to regain the 25% loss he sold dryers at 25% off. In reality, the dryers were actually marked up 25% over wholesale and he honestly disclosed that fact if he was asked.



Buyer wise, a greater percentage of people wanted both a low cost washer and dryer and they got exactly what they could afford.


Repeat customers? Yes, with their permission he would mail fliers or questionnaires to them announcing future sales or simply question what they wanted and when they wanted it. When he had their information he would go to wholesale auctions and buy group lots.


Ever heard of Big Lots? My uncle used to consult for them and Big Lots now has one of the biggest repeat customer lists in the business. Why? Much of the profits from Special Events and Holiday sales go to charity.


There are a lot of ways a business can create repeat customers and make the world a better place at the same time.

It could be argued that having 'posture' is not having to make efforts to raise controversy in a bid to draw attention to ones products or services.

That's why i not buying nothing at this "sales".

it can be a good idea! But i think Drawbacks are more.

Absolutely agree!

Human psychology works that way; one of the oldest marketing rules for sales increase is to actually raise the prices. In this way, you can position your product / service in the premium segment.

If you do what everybody else does, you may become unnoticeable.

^ See what kind of replies a post (OP) like this gets? ^

Some truth to that. Just not for this thread because it does not pertain to the subject matter.