Before we can get carried away with Christmas (Winter Wonderland here we come!), there is one event that we simply cannot forget – Black Friday. Whilst all know and love a good bargain, it may not be a suitable avenue for every brand, especially those positioned in the high-end market. Many of our clients approach us seeking to rebrand for a more upscale audience, and we consistently advise against participating in Black Friday sales. Here's why.
First and foremost, offering substantial discounts on high-end services or products can convey the message that these offerings were initially overpriced. This risks eroding the perceived value of the brand in the eyes of consumers. High-end brands typically prioritise exclusivity, premium quality, and a distinctive customer experience. Engaging in a mass discount event like Black Friday can dilute this aura of exclusivity.
Another reason to opt out of Black Friday is the potential negative impact on profit margins. High-end services often entail higher production costs and a more personalised customer experience. Offering discounts may compromise these profit margins. Additionally, participating in Black Friday can attract a consumer base primarily seeking bargains and discounts. For high-end brands focusing on quality, exclusivity, and premium experiences, this mismatched audience may not effectively resonate with their target market.
For those who do choose to participate in sales events like Black Friday, it is imperative to carefully consider the potential impact on brand perception and strategy.
Remember, amidst the fervour surrounding an event, it's crucial to recognise when it may not align with your brand. And that's perfectly okay! There are alternative ways to show appreciation to loyal clients and customers without participating in mass discounts. Consider incorporating small gifts or enhancing your overall brand experience. To illustrate, imagine dining in a Michelin-starred restaurant about to tuck in to a juicy steak. If the chef were to offer a 20% discount, you might immediately question the quality of their meal. However, if the chef instead suggests a complimentary wine pairing that perfectly complements the steak, it elevates the brand experience without triggering negative perceptions associated with discounts...