just Debra: July 2025

I’ve learned a lot about marketing over the forty years that I’ve been doing it. There have been numerous changes in how we market, including updates to marketing tools. It’s been a constant learning experience, and it takes many hours of studying to get it right for your target audience.

In this article, I will discuss some marketing ideas, explain why they were implemented, examine some failures, and provide guidance on how to handle customers who are dishonest about the deals offered.

Let’s examine ‘loss leader’ promotions. A loss leader is a product or service that is heavily discounted to attract customers. It is typically an item that people need. During my days working at big box stores, we would sell toilet paper as a loss leader. We would offer deep discounts on certain brands and set maximum quantities per purchase so no one could buy up an entire pallet.

Loss leaders work well in large stores because customers often pick up other items while buying the deal, like toilet paper. They can also be effective in smaller stores. A small store/business might advertise a loss leader item, but it should be touted as a gift-with-purchase to come out ahead.

When running an item as a loss leader, tap into your buying power. Find an item that people want, but also an item that you can buy in bulk at an incredibly low cost to you. Sometimes that may take making a deal with a supplier. At one of my stores, I would procure miniature tea sets as a giveaway with a purchase. Once a year, in the Spring, I would hold that promotion, and it worked so well that people would line up around the outside of the store before opening. I used my buying power and got these pretty tea sets for under $2 per set!

One thing to consider is your audience. My audience always purchased more than the promotion, and it worked out quite well for my store. However, it doesn’t always work out for all situations.

Case in point. A certain retailer always did a giveaway promo in the fall. It was tradition. And because it became tradition, they were afraid to change things up so that they wouldn’t be on the losing end of things. As the neighborhood changed, their audience altered too.

I had talked to them about the promotion because I thought that my business could partner in their marketing efforts, as we were a fit. But once I discovered what they were doing, I walked away. They were doing a loss leader event, giving items away, with no strings attached. The neighborhood was poor now, so guess what happened.

The morning of the promotion, the parking lot was FULL before the doors opened. People were waiting in line at the doors. As soon as the doors opened, the parking lot emptied just as fast. Yup, they only came for the free items and left. Little to no shopping happened during that promotion. I was watching this take place and was shaking my head. It was sad. A lot of money went out the front doors, and barely any money came in. Free is free, after all.

So, was this promotion marketing or benevolence? It’s okay if it was benevolent, some companies do that. Knowing your dollar limits in what you can give away and recording it under the proper category for your taxes is important. Visit with your CPA and find out which way works best.

How do you handle someone trying to take advantage of a deal by cheating? If you are a small retailer, you will need to gain some skills for this. Small retailers can’t just ‘let it go’ like the big boxes can. Those ‘one per family’ promos, well, people always cheat on those.

The first thing to have in place is clear rules for the promotion. Put the rules in print on the signage and adverts. All marketing materials and efforts should say the same thing.

I used to offer a ‘buy three, get 4^th item free’ promotion that worked very well. The rules were that the least expensive item was the free item. This is a rule that is well known across many retailers who offer the same. Of course, I had the rules posted everywhere!

One day, a dear friend stopped by to shop, and she had picked out twelve items. She was standing at the counter, sorting items into groups to get some of the more expensive ones for free.

I looked at her and explained the rules. She would get three of the least expensive items for free out of the twelve she picked out. She argued with me and stated that the way she had everything laid out was how she wanted to purchase the items. She was persistent. Obviously, she wanted the ‘friend’ wink, wink, discount.

I firmly looked at her and stated, “When you do me this way, you are taking food out of my son’s mouth.” He was five at the time, and she dearly adored him. She backed down and apologized for her actions.

Some people don’t realize the harm they are doing to retailers, and this was a great lesson for her. She now respects the small retailer.

Yes, marketing can be a crapshoot if you don’t know what you are doing. Don’t waste your money by throwing it out there like spaghetti against the wall to see what sticks. There is a method to the madness, and it takes skill, knowledge, and practice. And with the proper planning, you will have the marketing hits.

Debra Lee | Biz & Life Coach | Author | Keynote Speaker | Blogger

Books: “It Is What It Is…But It Wasn’t A Tragedy” | “Making Wise Choices…the most important life skill to master”

DLBizServices.com

just Debra

"Making Wise Choices ...the most important life skill to master"

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