Run a profitable clothing store

Chapter 28 Main Pricing Strategies of Smart Stores (2)
You can't raise the price arbitrarily, but make an appropriate profit.Customers who buy clothes ending in 99 have a low-cost mentality. For this purchase motivation, profit sharing is very effective.

Clothes with different unit prices can be priced in combination.For example, a clothing store can match the jacket and trousers and set the price.

3.New Store Pricing Tips

When opening a clothing store, you need to know the average price of the market, and you can't buy too high or too low.If the price is too high, your profit will decrease; if you buy low-priced goods, it is more dangerous than if you buy high-priced ones, and there will be bigger problems in actual sales, and the direct result may be overstocking.

As a newcomer to open a clothing store, within a year, don't consider whether the price is high or low, but consider the positioning of your clothing store, which is the core.The next most important question is how to price the clothes in your store, or what should be the most reasonable price.If the price is too low, you will not make money; if the price is too high, the business will not be good.

This requires consideration of a pricing factor. The purchase price is not the most important factor. The most important factor is the style positioning, and the positioning of the quality of the clothes.But no matter which style you make, the price cannot be moved.Price is your last lifeline, and no one can touch this bottom line.At the beginning, you would rather use different methods to make money at a loss and cut prices in disguise. You can give gifts, buy two T-shirts for free, or handle activities such as membership points.

In the actual business transaction process, don't drop the price by one point easily, because after the first time, there will be a second time, and after the second time, it is normal even for you to feel cheap in the future, so don't easily destroy it. in principle.

4. The Unique Charm of "Psychological" Pricing
Psychological pricing strategy refers to pricing according to different psychology and needs of consumers.There are mainly the following situations:

(1) Adopt an integer pricing strategy for famous and high-quality products and short-selling products.For example, a fur coat is priced at 9998 yuan instead of 10000 yuan. For those who are capable, they don't care about paying an extra two yuan.

(2) For consumers who have faith or seek auspiciousness, the pricing should have an auspicious number.For example, 64 yuan for a dress, it is better to set it at 66 yuan (folk custom refers to the meaning of "six and six smooth").

(3) According to research by psychologists, most consumers are more willing to accept odd-numbered prices than even-numbered prices.For example, 220 yuan for a denim jacket is not as good as 219 yuan.Walking around the major shopping malls in the urban area, it is not difficult to find that we are surrounded by a "9" world: many shoe cabinets, clothing and other counters are overwhelming with such prices.For example, a pair of slacks is 99 yuan, an ordinary belt is 59 yuan, and a pair of women's leather sandals is 129 yuan.

This is a psychological tactic, which makes people feel that it is less than 100 yuan or less than 200 yuan, which is very cheap.Shopping malls usually hold activities when you spend 200 and get 100 free. In order to make up for the 1 yuan, you have to buy other things. The merchants use the psychology of customers to promote.

In view of the influence of clothing cost, demand, competition and other aspects, the operators of clothing stores should determine which pricing method to adopt according to the target customers, style and cost of clothing when pricing.

Important method of pricing
The reality of business is competition.In the modern commercial economy, the information among clothing manufacturers is relatively symmetrical. I will know the technology you know, and I can sell the things you can sell. The red ocean is everywhere, and the blue ocean is like a mirage. Far ups and downs are looming on the horizon of the yellow sand, just like the utopia in the dream.

When the products become more and more homogeneous and the differentiation strategy is ineffective, clothing manufacturers have no choice but to use the magic weapon of pricing to spread money like a goddess. This is the reality of commercial competition.Clothing manufacturers usually use time-price differentials and price clothing according to customer capabilities.

1. Time price difference

If you are a very experienced businessman, then you must attach great importance to the pricing strategy, because accurate pricing often determines the price of the product.The important weapon in the business war is price, so we must adapt to the needs of customers as the market changes.There is one such company in Dortmund, Germany, whose success lies in its flexible pricing strategy.

Among the business activities in Dortmund, there is a clothing company called Weisden.Any clothing sold by this company is very hot, and the capital turnover is very fast, with an average of less than 20 days, becoming the leading fast-selling company in Dortmund.

Once, Weisden launched about 1 sets of underwear and outerwear, which have just been launched in other big cities in Germany. This kind of fashion is different from the past, and customers feel fresh and have a strong interest in it. Appeal.Weston's prices for this kind of clothing are many times higher than the price of ordinary underwear, but sales are still booming.However, when major cities in Germany launched a large number of this kind of underwear for outerwear one after another, Weisden was uncharacteristically, and when it continued to release 2 sets of this kind of clothing, it suddenly dropped the price to only slightly higher than the price of ordinary underwear.When the news spread to neighboring cities, merchants and customers came to hear the news, and it took only 2 days for them to be sold out.In this way, after another 8 months, when the underwear is not so attractive, Wisden sells it at "cost price", and the price of each set of clothing is less than 60% of ordinary underwear.At this time, some financially strapped customers rushed to buy, and this outdated clothing is still very popular in Weston.

Due to Wisdom's full analysis and understanding of market conditions, flexible pricing strategies have promoted sales, making best-selling, flat-selling, and cold-selling clothing all become best-sellers.This is to make full use of the time difference to fight price wars, and to win and make money every time.

Learning to formulate flexible strategies based on sales time is an important weapon to win in the business war.You must operate properly, learn to adapt to the "market" and customers, so that you can remain invincible in the fierce business war, and the time difference is the most important competitive weapon.

2. Depends on customer ability
As we all know, pricing clothing is one of the important means of clothing market competition, especially for the sales of stereotyped clothing, price is the decisive factor affecting sales.Price competition is not just a "jump price" fire sale or some high price policy, but to use price as a lever to regulate sales.The price level also reflects the operating level of an enterprise, and price competition is essentially the competition of product value.If products of the same style and quality can be sold at a lower price than their competitors in the market, they will be able to beat their competitors and occupy a larger market share.

There was once a very talented young designer who transformed the traditional classical patterns on clothing into modern art, where delicacy and elegance coexist, and beauty and generosity are shared.The clothes he designed are very popular among women, and many foreign tourists come here especially.

A Japanese tourist talked to the young designer and suggested that he take the clothes to Japan for sale.The following year, the young designer came to Japan with his clothes and held a large-scale fashion show. Many Japanese women of high society were invited to come, but to his great disappointment, no one wanted to Buy.When the young people were confused, they invited Japanese experts for consultation.The expert said: "Your problem lies in the price. You set the price too low. If these upper-class women buy cheap clothes and wear them, if someone asks them, they will feel embarrassed." The designer heard that he returned to China to redesign, and after showing it in Japan again, he raised the price greatly. This time, his clothes were extremely popular and sold out within a few days.

Therefore, when pricing, we must consider the actual situation of the target customers. If it is aimed at the working class, it is not appropriate to set a high price. The price of high-end clothing sold to the rich must be high.Only by grasping the psychology of consumers can you sell your clothes at a better price and your business will get better and better.

Discount Pricing Skills

Now discount clothing stores can be seen almost everywhere. They sell unknown imported goods, but they widely use discount strategies to cause the psychological illusion of consumers, making them think that the clothing is reduced from high price to low price, so as to stimulate consumers. purpose of purchase.Discount strategies usually have the following methods:
1. Strategies for Popular Discounts

Popular discounts are priced according to the popularity and cycle of styles.If a style has been sold for a long period of time and the sales situation is still not good, it is necessary to reduce the price to avoid a backlog caused by slow sales.Individual wholesalers will set prices according to the tight availability of clothing, and even according to different colors, patterns, and patterns.There are different pricing methods for clothes that sell well and those that don't.For styles that are not easy to sell, they would rather sell at a loss in order to recover funds as soon as possible and speed up capital turnover, otherwise they will lose even more. Clothing store operators can learn from it.This flexible discount strategy has indeed expanded the sales network for self-employed individuals.

2. Seasonal discount strategy
Clothing is very closely related to seasons and seasons, especially seasons and weather.If the weather changes or the season changes, it must be discounted if it is to be sold.Just after the Spring Festival of a certain year, the spring clothes on the shelves of a clothing store in Guangzhou were abundant and dazzling.But the weather is not good. In less than a month, the weather has suddenly turned warm, and people's clothes have shown that summer is coming.At this time, there were bursts of cries of "price reduction promotion" outside the store.Although people know that spring clothes will not come in handy until the first half of the year, but people are rushing to buy them because "a cheap one attracts everyone's love".A reporter asked the owner of the store: "Isn't it losing money by selling like this?" The other party replied: "In business, you have to calculate big accounts, live accounts, not small accounts, dead accounts. This batch of spring suits is about to be out of date." If I don’t deal with it, there will be a backlog. Although I will lose 1 yuan if I sell it now, I can use the recovered funds to sell suitable fashions, and maybe I can earn 3 yuan.”

3. Quantity discount strategy

Quantity discount refers to the store's strategy of giving a certain discount when the customer's purchase reaches a certain amount or amount.There are two types of quantity discounts: progressive discounts and non-progressive discounts.The actual purpose of this discount is to stimulate customers to make bulk purchases.Progressive quantity discount means that if the customer's cumulative purchase amount (or purchase amount) reaches a certain standard within a specified period of time, a discount will be given.The length of the specified period can be formulated according to the specific situation of the store, such as one week, one month, one season, half a year or one year.The advantage of progressive quantity discount is that it encourages consumers to buy products from a certain store for a long time and become its long-term and loyal customers, which is helpful for the store to predict the purchase volume and determine the purchase volume.The disadvantage is that some customers buy in large quantities at the end of the specified period, so that the sales cannot be carried out smoothly.Non-progressive quantity discount means that in a certain purchase, when the purchase quantity reaches a certain standard, the customer will be given a discount. The larger the purchase quantity, the greater the discount.The advantage of non-progressive quantity discount is that it helps stores to speed up capital turnover.

There is a secret to price promotion
In general, there are 8 common strategies for price promotion as follows:
1. Discount strategy
Discount is the most common and effective promotion strategy adopted in product promotion, which means that manufacturers sell by reducing the price.This kind of promotion strategy is generally applicable to products that have just been launched and are in urgent need of opening up the market.The advantages of adopting this strategy are very obvious, that is, it takes effect quickly, can quickly boost sales in a short period of time, and increase consumers' purchases, which is the most impactful and attractive to consumers.At the same time, adopting a discount strategy can respond quickly, catch competitors by surprise, and put oneself in a more active competitive position.The disadvantages of this strategy are mainly manifested in: it cannot fundamentally solve the marketing dilemma, and it may only bring about a short-term sales increase. Moreover, once the product price drops, it will be difficult to restore to the previous level, and it will also trigger counterattacks from competitors, which will easily lead to Price competition, not suitable for long-term use.

2. Return Policy
The return strategy refers to giving a certain amount of refund or coupon after the consumer purchases a certain amount of clothing, including the return strategy for purchasing a single clothing, the preferential treatment for purchasing the same clothing, and the discount for purchasing multiple clothing of the same brand. Forms such as joint rebate discounts.The advantage of adopting this strategy is that it has less impact on the brand image, can stimulate consumers to buy again and repeat purchases, facilitate the cultivation of consumer loyalty to the brand, and achieve rapid sales of clothing.

3. Giveaway Strategy
The gift strategy means that consumers can get a gift that is not the product while purchasing the product.This promotional strategy can be applied to clothing in different conditions.The gift strategy can create the differentiation of clothing, enhance the attractiveness of clothing, increase the probability of consumers trying to buy, accelerate the repeated purchase of clothing by consumers, and promote the sales cycle rate of clothing.When using this strategy, pay attention to the quality of the gift, and don't affect the reputation of the clothing because of the quality of the gift.

4. Membership Strategy
Membership strategy refers to the marketing activities in which a company organizes people into a group with a certain interest or service as the theme to carry out publicity, sales and promotion.Affiliate marketing makes full use of people's herd mentality, satisfies people's desire for the brand, and finally produces a sense of ownership and belonging to the brand.The basic means of affiliate marketing are mainly price discounts and convenience for shopping.

5. Exchange strategy
The redemption strategy refers to the method adopted by merchants during the promotion process to allow consumers to enjoy the discounts when purchasing based on certain recognized redemption coupons.This promotional strategy often appears in joint promotional activities.The two companies complement each other to maximize the sales of their respective products.Adopting the redemption strategy is convenient for carrying out targeted promotional activities, and the effect on consumers with corresponding needs is better.But this kind of promotion strategy is not suitable for new brands, because new brands are not very attractive to consumers and the participation of consumers is low.

6. Product accumulation strategy
The product accumulation strategy refers to the promotion strategy in which consumers collect product purchase vouchers, reach the quantity specified by the merchant's activities, and go to the place designated by the merchant to exchange for different rewards.This promotion strategy is suitable for fast-moving consumer goods with high brand awareness and frequent consumption.This strategy can stimulate consumers to establish multiple purchase behaviors, cultivate brand loyalty, and can create product differentiation and improve product competitiveness during the event.This kind of promotion strategy has low operating cost and good results, so it has become a promotion strategy often used by merchants.

7. Sponsorship Strategy
When clothing products enter the growth stage, brand advertising and public relations activities take on the task of enhancing the brand image. At this time, sales promotion should focus on establishing brand preference, and carry out a series of marketing promotions by sponsoring a certain event. The effect is to improve the brand awareness and brand image of the enterprise and create a good living and development space.Sponsorship forms are mainly divided into three types: sports event sponsorship, public welfare activity sponsorship, and cultural activity sponsorship.The biggest advantage of sponsorship activities is that they can quickly increase brand awareness and create a good brand image. It is a shortcut for merchants to accumulate brands, and it is also conducive to promoting product sales, bringing fame and fortune to merchants.However, to carry out such activities, we must be good at seizing opportunities, and we must also make full preparations for research in advance.

8. Sweepstakes Strategy
This strategy is to use people's pursuit of stimulating "small wins big" psychology, and win cash or commodities through lottery to strengthen the desire to buy products.The methods of lottery activities are mainly divided into: postback, instant Chinese, multiple serial lottery, combination of lottery and other promotional modes.The biggest advantage of the lottery is that it can meet the needs of more target consumer groups to the greatest extent, and at the same time directly promote the increase in sales.The exciting "sweepstakes" will make consumers pay more attention to such products, stimulating new and old consumers to try or repeat purchases.When applying this strategy, it is necessary to formulate a good project cost budget, skillfully plan the activity process, and design a good prize system, because these factors directly affect people's participation.

Individual vendors who do clothing wholesale understand this pricing strategy very well.According to the quantity purchased by customers, they set prices in batches and give different price discounts.The more the quantity purchased, the greater the discount given, so as to encourage customers to buy in large quantities or to buy from one of them.Some individual bosses, in order to attract old customers, even if the quantity purchased at one time is not large, as long as the purchase reaches a certain quantity within a certain period of time, they will also give the same quantity discount.

Consumers pay attention to a kind of affordable psychology when shopping, and discounted prices are essentially a promotional method for merchants, so as to attract more customers, stimulate customers to buy, and thus improve short-term sales performance.

There is a secret to price reduction
There is a skill in price reduction, and it is not a drop at will. If the price is not lowered properly, it may give customers the illusion that "the price is not worth it".

Price cuts are just a means, just to give customers a cheap feeling, not to the point where businesses are not profitable in essence.

(End of this chapter)