"Buy one, get one free", "Buy one, get one", "two for the price of one", "two for one" or "2 for 1" is a common form of sales promotion. While not often presented to customers in acronym form, this marketing technique is universally known in the marketing industry by the acronyms BOGO, BOGOF, and BOGOHO (Buy one get one half off).
Economist Alex Tabarrok has argued that the success of this promotion lies in the fact that the price actually takes into account the fact that two items are being sold. The price of "one" is somewhat nominal and is typically raised when used as part of a buy one get one free deal. Whilst the cost per item is proportionately cheaper than if bought on its own, it is not actually half price.
Video Buy one, get one free
Criticism and negative publicity in the UK
Buy one, get one free promotions received some negative publicity in the UK, in 2014, and many retailers were told to scrap their 'Buy one, get one free' promotions. The rationale: it has been reported that every year 15 million tonnes of food are wasted in the UK alone, and supermarkets and retailers are being blamed for this because they are convincing customers to purchase buy one, get one free products. They lure customers in by offering them something they don't necessarily need, and as a result of this food is wasted. Because many buy one, get one free foods have short shelf lives, customers do not get around to consuming the products before their 'consume by date'.
Supermarkets were also being blamed for contributing to the increase in obesity through buy one, get one free promotions. University of East Anglia's Norwich Business School conducted research into products used in buy one, get one free deals. The results show a trend: buy one, get one free promotions are aimed towards unhealthy products, such as chocolate, sweets, soft drinks, etc. Supermarkets might have to start using some of their marketing budget to specifically promote healthy products, and so would spend less money promoting unhealthy and fattening products. This is because The Department of Health has decided to step in and take action.
Maps Buy one, get one free
Other promotional offers
Retailers use many promotional offers to increase sales, attract new customers, and keep old customers. Also, some countries have laws requiring products to be sold at full price for a specific period of time before they can be put on offer. Promotional offers are crucial in the retail industry; their many benefits play a large part in increasing sales, profit, and revenue. These promotional offers fall under different categories, and a few are listed below:
Quantity and other common promotions
- Buy one, get one half price
- Buy one product from category A and get another product from category B free up
- Buy two, get one half price
- Buy three for the price of two
- Buy three items for a certain fixed price
- Free testers of new release products
- Promotions on certain weekdays
- Seasonal based sales
- Discounts targeted at groups of people such as: Students, OAPs, NHS employees, Armed Forces employees, females only
Price Discount
- Save X amount when you spend Y amount or more (Voucher)
- X amount off selected items
- X% off selected items
- X% off selected items (Voucher)
- Buy item X and get % discount on item Y
Delivery Promotions
- Free delivery for all orders over X amount
- Free delivery for any item
- Save X amount on your delivery
- Delivery charge for one product and the rest free
References
External links
- Cambridge Online Dictionary, Cambridge Advanced Learner's Dictionary
Source of article : Wikipedia