In business, it is ideal to do what you can to make the sale without sustaining a financial loss.
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It is also important to realize that you must spend money to make money. In other words, you have to do what you can to achieve a return on investment (ROI). In this case, it is by implementing the bonus offer.
The bonus offer is an incentive. This incentive says, "If you buy something from us, you get something for free." For example, many Internet marketers like to utilize the free eBook to help sell their products. They will place a value on this eBook. For example, "Get our free eBook on how to market your product and we'll throw in a second eBook on how a website can help you grow your business. A $39.95 value for FREE!"
A retail establishment may implement a buy one get one free incentive, but it must be executed in a way that the business's return on investment is not affected. For instance, a product may be purchased at wholesale for $3 and you may sell it for $9. If you buy two, then you have invested $6. You are still making a $3 profit when you do a buy one get one free promotion.
No, you won't be making your usual $6 profit, but when you sell more, you make more money. For instance, you may usually sell 10 of that item in a week, which would be a $60 weekly profit on a $30 investment. Through a buy one get one promotion you can sell 50 at $150 and make a slightly higher profit of $75.
But a $75 ROI doesn't seem like a lot, does it? Well, you do have to take into consideration when doing a buy one get one promotion that customers are going to buy other products during their visit.
In the case of the online marketer, the investment in an eBook is minimal. The eBook may have been written by someone else and the marketer simply has permission to distribute it or the marketer has written the eBook themselves. This means the only investment made has been time.
You can use your imagination as to what type of promotion you want to use. Your bonus offers are going to gain you business because customers love anything that has the word "free" in front of or behind it. Whether you're offering free product or a promotional item such as a free pen, t-shirt, or notepad for making a purchase, you will succeed through bonus offers.
The good news is that bonus offers are easy to utilize and that you can use your imagination. You know your clientele, so you know what is going to appeal to them. You may even choose to ask your customers through comment cards what it is they would like for you to offer them. Find out what incentives will appeal to them and you can then watch the customers pour in when you find the right one.