3 Types of Promotions to Offer During the Holidays (and 2 You Should Rethink)

Running sales and promotions is commonplace during the holiday season, but what exactly are the types of offers that resonate most (and least) with consumers? 

To answer that, commerce marketing automation solution Bronto surveyed 1,000 consumers about the offers that would make them want to buy. A separate survey was sent to 100 major retailers, asking them how they plan to meet shopper expectations.

The results, which you can view in more detail in Bronto’s Holiday Planning Report, revealed the most and least effective types of promotions for consumers. More important, the report also shed light on the discrepancies between what consumers want, and what retailers think they want.

Below are some highlights from the study: 

Promotions shoppers love

Percentage discounts – Bronto found that the top promotion that would make consumers want to buy is percentage discounts. This shouldn’t come as a surprise, since percent discount offers are one of the most common types of promotions implemented during the holidays (or any day of the year, for that matter). 

And the good news is that retailers are on the same page with shoppers when it comes to offering percentage discounts. 72% of merchants say that they’ll be offering them in the coming months.

Free shipping – Free shipping seems to be a major factor in people’s purchase decisions. The study found that 38% of respondents won’t shop a site unless it offers free shipping. 

Retailers are getting on board with free shipping as well. 41% of merchants intend to offer free shipping with restrictions (e.g., certain order values, certain times). Only 18% and 30% of online-only retailers and multi-channel stores (respectively) are planning to offer free shipping without any restrictions.

BOGO – This is where we see a major disconnect between what shoppers want and what retailers are offering. According to Bronto’s study, 58% of consumers said buy-one-get-one (BOGO) offers would make them want to buy during the holidays. Unfortunately, retailers don’t seem to be on the same page; only 38% are planning to implement BOGO promos.

Promotions retailers should rethink

Doorbusters – It looks like retailers and shoppers don’t see eye-to-eye on doorbuster promotions. Bronto found that “70% of retailers consider them effective sales tools, but only 28% of holiday shoppers report they love them.” 

So if you’re considering doorbuster promos at your stores, you may want to opt for other, more effective offers. 

Promotions on Thanksgiving Day – Ditto for Thanksgiving Day offers. While a few retailers are planning to open their doors on Thanksgiving, the study found that the holiday “is not yet catching on as an inaugural shopping day.” Results indicated that a mere 2% of shoppers said they would start shopping on Thanksgiving Day.

Your take

Will you be offering any of the above-mentioned promotions this coming holiday season? Why or why not? Tell us in the comments.

Want more holiday advice?

You can check out our guide on how to make money through effective discounting.

You can also catch a replay of our Retail Success Webinar - How to Turn Lookers into Buyers This Holiday Season, with special guest and top 5 industry expert, Bob Phibbs.

Attendees will learn:

• Staff training techniques to implement now, before the holidays
• How to create displays to ensure your best & brightest will draw repeat shoppers
• What to promote in your email messages (and what to minimize) to drive sales

Get the exclusive opportunity to have your sales and staffing questions answered live by Bob himself, who’s consulted with big name retailers including Sport Chalet, Vera Bradley, and more.