If you’re like me, you love a good holiday sale. It feels amazing when you score the perfect item at a reasonably lower price. But when you’re on the other end of that, being the one selling that item, it may not be that exciting. Especially when taking a look at what is can do to your finances. If you are a business owner, you should weigh what impact a holiday sale could have and determine whether it’s right for you.

 

Pros
1. Increase your customer base
There’s no doubt that the holiday season brings in crowds of holiday shoppers, preferably some new faces who weren’t previously familiar with your brand. And a good way to entice new people is to offer discounts or free samples during this time. People love feeling like they are getting a good deal. By doing this, it could result in them loving your products and continuing to shop with you.

2. Increase in revenue
As with any sale, there’s going to be a loss in profit. But if you plan it out strategically then you can come out ahead. Offering 50% doesn’t sound to appeasing but it’s a great way to rid your shelves of inventory that would otherwise just be sitting there. The outcome short term may not be what you had in mind but for the long term you could benefit by gaining new customers.

Cons
1. Increased pressure
Having to compete with other businesses out there can lead to unwanted pressures. This stress, at an already stressful time, can be hard to handle so make sure you are taking the necessary steps to prevent it any way you can. Take a short vacation to rejuvenate. Get help from others in any ways you can to take some of the weight off your shoulders.

2. Marketing costs are expensive
As the competition to sell increases during the holidays so does the cost of advertising it. This can be a burden financially to many small businesses. Do your research so you find the best deals out there. Get creative in your marketing strategies too.

 

There can be many more pros and cons within your unique business situation. Making your own list can help you determine whether or not a holiday promotion of any type will be a good choice for your company.