40

151 Quick Ideas to Increase Sales

The Elbow Room is a restaurant icon on the near north

side of Tucson. Its claim to fame is its daily menu specials.
Friday is fish night, and the special is all you can eat for $4.95.
Other days, it offers similar deals on other meals. The place is
always packed, and you have to squeeze in.

In this case, the pricing strategy is not just a discount—it’s

the primary promotional strategy. It’s not a coupon advertised
in the paper or a two-for-one deal in the Entertainment Book.
The Elbow Room does a robust business six days per week, 52
weeks per year. Word of
mouth carries this message
of value.

Whether or not pricing

is one of your primary pro-
motional elements, a
relevant pricing strategy is
something you should seri-
ously consider. By offering
service across a wide range
of price points you make it
more difficult to leverage pricing as a promotional strategy. This
approach serves everyone poorly, and no one especially well.

I like the old saying: You can be cheap, fast, or good.

Pick two.

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26

Pricing Strategies Are Way More

Than a Discount Program

Assignment

Examine your pricing as

it compares to others in the
market relevant to the range
of quality you offer. What
role does pricing currently
play in your business devel-
opment process?