|
Previous: Which Ads Are Working
Next: Need a little marketing magic?
Speed Up Cash Flow
Economic worries are no doubt causing some consumers to delay purchases. But here's a tactic big businesses are using to bring in cash faster from those consumers who are still buying: Offer a discount for payment in full now for products that won't be used or physically acquired until some future time.
One example: A friend's daughter is getting married this summer and just ordered her wedding dress. The store she ordered it from offered her a 15% discount if the gown was paid for in full now.
Another example: I just placed a reservation for a rental car online for a trip I'm taking a couple of months from now. The rental agency was offering a discount for payment in advance (i.e., now) for the car rental.
Small businesses can use this same tactic. Just be sure you have the inventory or put aside whatever cash is necessary to meet future obligations if you offer discounts for advance payment. If you don't have a big enough margin to offer a discount (or don't want to discount your product or service) offer a free gift or some extra service for free in exchange for payment in advance.
More: 7 Simple Rules to Increase Cash Flow
Posted by Janet Attard on March 9, 2009 at 9:04 AM
| Comments (0)
Post a comment
|
