Page modified: Friday, June 23, 2006 20:29:25
A discount (of ital.: rabatto, rabattere = strike down, reduce) are a discount, which is usually expressed in per cent and taken off from the net price.
Discounts are immediately taken off from the list price (net sale price) and not only afterwards. This has the disadvantage that the customer connection is smaller than with a bonus system. In the bonus system base factors (e.g. conversion or quantity) are consulted, in order to later grant after a certain time interval (e.g. one year) departures. It is however possible to grant discount and bonus parallel.
Discounts are used as inducements in the sense of the price strategy. Until 2002 a discount law in Germany, which reglementierte the grant of discounts strictly, applied. Since the liberalisation of the law dealers within nearly all ranges can negotiate individual discounts. An exception forms those for book application of fixed prices.
Critics of the liberalisation fear that toward the using price fight smaller offerers are pushed by the market and so jobs lost to go to be able.
Discount forms
There are numerous forms of the discount. Following enumerating gives an overview:
- Commodity value discount: The price reduces starting from a certain commodity value.
- Quantity discount: The unit price reduces starting from a certain quantity. It is of importance with the determination of the optimal order quantity.
- Cash discount: A discount, which buyers receive, who pay bar.
- Discount payment: During fast payment of a calculation the buyer can shorten the amount of number around a certain sum/a certain portion (often two or three per cent). On the net amount one takes into account.
- Action discount: With a purposeful discount action new customers are to be won (advertisement function). By an action discount one understands a discount for the trade in the course about special actions (e.g. Mailings). This is granted, because the trade with it takes over a recruiting function.
- Point discount: Over past conversions proportionately accumulated "points of bonus" (usually 1-5% of the purchase sum) into price deductions for coming purchases are converted.
- Clearance of stocks discount: Remaining commodity must be sold, in order to create stock pile for new goods (e.g. winter sale).
- Bonus in kind: Instead of reducing the price, the buyer receives free copies (differs between a Drauf and a three-gift).
- Fidelity rebate: If a customer to repeated times goods orders (again and again).
- Personnel discount: for employee.
- Special discount: with certain causes (e.g. anniversary).
- Damage liberty discount: in the motor vehicle insurance
- Season discount: with premature purchase of goods, which are subject to large seasonal variations.
- Trade discount/function discount: those the large and retail trade granted trade profit margin with goods, whose final selling price is determined by the manufacturer.
- : Reduction on the Katalogpreise of tour operators during early travel reservation.
- Mail in discount: The buyer keeps a discount disbursed by cheque, after he returned a purchase proof and/or a part of the packing to the manufacturer. Generally speaking yardstick in North America is offered, in Germany only very rarely.