Business
The consumer behavior and the placement of goods at the stores are the key elements which increase the sales and the revenue of any business. The current article explains different tactics to develop or enhance the attitude of the buyers or consumers towards purchasing of goods. Customers or the consumers react in different ways at the shopping malls or stores. Most of the consumers are the price sensitive consumers. Similarly, there are a large number of customers who prefer the quality of the product. Therefore, according to the article, it is very important to understand the trend of the customers to increase the number of sales by implementing different tactics. (Anderson, and Simester 96-103)
The first tactic or the business approach of increasing the sales is to use the ‘sale sign’ or a ‘sale tag’. According to the article, the ‘sale sign’ always attract those customers who are price sensitive and are interested in purchasing goods at the lower prices. This business approach not only increases the sales, but it also affects the sales of other products in a positive way. However, it is very important to understand that the management must apply ‘sale discounts’ on those products which are in good shape and in the demand of the consumers. ‘Sale tag’ on useless or out of demand products will not increase overall sales because consumers are well aware of the worth of their money. Therefore, to generate profits from ‘sales sign’ it is important to understand the customer behavior and use valuable products for ‘sale sign’. (Anderson, and Simester 96-103)
The second business tactic discussed in the articles is a pricing strategy to attract customers or consumers to purchase products. According to the research, the products having price tags, which are ending at the digit ‘9’, are more attractive for the customers as compared to other products. The digit ‘9’ at the end of the price shows that the customer can bargain on the price of the product. However, the research shows that most of the customers don’t know that they have a right to make a counter offer or bargain on the price of the product. Forcing the customers into the bargain, ultimately, creates the sale of that specific product in most of the cases. However, it is important to state that ‘sale sign’ must not be used with those products, which have the number ‘9’ at the end of their price. It creates confusion in for the consumers and business may lose clients. (Anderson, and Simester 96-103)
The ‘signpost items’ is one of the most effective way of selling products to the consumers. The idea is to make a list of the products I such a way that the consumers or customers must think about purchasing those products. For example, the management of the store can display the expensive product such the ‘home gym’ and they may offer a discounted rate on ‘crockery’ or a free product such as a ‘juicer’ to attract customers. However, it is very important to display or list the quality products because the customers are becoming quality conscious. (Anderson, and Simester 96-103)
At the end of the article, it is recommended to not use the tactics of ‘sale sign’ and ‘number 9’ at a regular basis. However, it is recommended that the management of the business must use these tactics on the seasonal products such as ‘new year products’. Moreover, the manufacturers are improving their products and new improved product reach the market within 6 to 12 months. Therefore, in these circumstances, the management of the business must use these tactics to maximize the sales of the products in stock. (Anderson, and Simester 96-103)
Work Cited
Anderson, Eric, and Duncan Simester. "Mind Your Pricing Cues." Harvard Business Review. 1
