Published by:
Harvard Business Publishing
Length: 4 pages
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Abstract
A temporary discount can generate a lot of customer excitement, but the revenue effects can be short lived. Price promotions commonly increase manufacturer revenue and depress retailer revenue in the short term but have no persistent effect. Promotions are tactical, not strategic, and they need to be managed that way.
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Abstract
A temporary discount can generate a lot of customer excitement, but the revenue effects can be short lived. Price promotions commonly increase manufacturer revenue and depress retailer revenue in the short term but have no persistent effect. Promotions are tactical, not strategic, and they need to be managed that way.