50% OFF vs BOGO
by Seng Leapheng in General, Education
The story
50% OFF vs BOGO
50% off and buy1free1 aren't interchangeable β each one is designed to do a completely different job for your business π¦ 50% off works best when you're trying to get people to try a specific product, push a new or less popular item, or sell to someone who's buying just for themselves β the discount lowers the barrier to trying something new without needing anyone else involved. Buy1free1 works best when you want customers to bring a friend, increase how many units sell per transaction, or move a product that already has relatively low cost, since giving away a second unit only makes sense when your margin can actually absorb it. Picking the wrong one for the wrong goal means the promo technically "works," but it's not actually solving the problem you needed it to solve β 50% off won't get someone to bring a friend, and buy1free1 won't convince someone to finally try a new product on their own.
What the sources say
Sources support the basic comparison, but the advice about which promotion suits each business goal is partly opinion and not clearly authoritative.
- 50% off and buy-one-get-one-free are different promotion types. (Backed by sources: Ljmu, Research, Paypal)
- Buy-one-get-one-free can increase units bought per transaction. (Backed by sources: Research, Paypal)
- Each promotion suits a different business goal. (Backed by sources: Academic, Paypal)
- BOGO works best when margins can cover the free item. (No source found)
- 50% off is best for attracting individual trial buyers. (Reads as opinion)
Sources it was checked against
- research.vu.nl βΊ ws βΊ portalfilesVU Research Portal - Vrije Universiteit Amsterdam (Research)
- VU Research Portal (Research)
- Buy-one-get-one-free deals attract more attention than percentage deals β (Sciencedirect)
- [PDF] Consumer response to different discount sales promotional ... (Ljmu)
- Buy-one-get-one-free deals attract more attention than ... (Research)
- Free Product as a Complement or Substitute for ... (Scirp)