Offering discounts for multiple purchases

[j3jewelry]

What are your thoughts about offering clients a discount if they purchase multiples of the same item? It could go down a different way as well, but I have a situation where this family has purchased 3 of the very same bracelets already by a couple different people, and now I am being asked if I would grant one of them a discount if they ordered several more bracelets. It'll be for Christmas gifts.

I do want to offer them a discount, but I'm wondering how to go about it, since I haven't done it before.

Any thoughts? The bracelet is a sterling silver and crystal cancer awareness name bracelet.

Thanks for your feedback!

[gbobmi]

How about a 10% discount for the multiple purchase? Chances are, they may want to order more in the future. Just a thought.

[j3jewelry]

Thanks Gayle. I was thinking along those lines...also maybe offer a bigger discount for a larger amount. Something like 20% for 5 or more. I don't want to get too crazy but I have to admit, I don't get too excited about 10% discounts myself....

[Michele]

Jeanne, I think it boils down to what you are comfortable with. Will you still be making a good profit offering a 20% discount? Are you prepared to give the same discount to other family members who purchase in the future?

I usually give a discount when I do big wedding orders, but not if it's just a few pieces.

[gbobmi]

I think 20% is too much. I would offer 10%, which is better than no discount. You're not Wal-Mart, you're handmade!

[caeterle]

How about taking the middle road ... 15%? Seriously, 20% is a lot and I feel that people tend to lose respect for handmade and your work if you are going down on the price too much, thinking why it was that "high" in the first place.

[j3jewelry]

Thank you ladies...this is why I asked. To be reminded that I am NOT Wal-Mart, but hand made and much better quality. 10% is looking a lot better I will still make a profit that I am comfortable with. I guess I just have a soft heart where the cancer bracelets are concerned.

[gbobmi]

I totally understand your soft heart, Jeanne and have an appreciation for it. That said, there's a difference between production work, what you can buy at Wal-Mart and our own, handcrafted items. You're truly giving them a break at the 10% discount rate. That's on top of whatever your pricing formula is. Do you want to eliminate your overhead on these pieces? That's part of your formula. I think your 10% is adequate

I'll shut up now!

[DawninCal]

I think a 10% discount is perfect for your cancer bracelets, Jeanne. They're personalized in order to support the person battling that horrible cruel disease which kind of makes them like a custom order in my mind.

If you were discounting something like earrings that you can make several pairs of in a reasonable amount of time, I'd be willing to consider something like buy four and get the fifth pair for free.



Dawn

[j3jewelry]

Thank you Gayle and Dawn... I do think i'll go with the 10% discount.

[Gail]

Definitely offer a discount. In my case, my markup is sufficient that I could offer a 15% discount, now I need to find someone willing to buy multiples (smile).
;D