How to Design Promos and Deals with Your Target Customer in Mind

When trying to get new customers or achieve revenue goals, companies will offer promotions to drive sales. Creating a promotion that targets the most likely conversions is part economics and part sociology. These basic concepts will help any up and coming entrepreneur when designing a deal.


Review Your Customer Demographics

A customer relationship management (CRM) tool and other market research information might give you a better idea of who your customers really are and what they really want. If you haven’t yet, build customer profiles that give a quick glance at the most common consumers frequenting your storefront. Target audience analysis is available through a variety of eCommerce tools, providing insights like the conversion rate of a promotion for various demographics.

As a target audience example, a fast-fashion clothing line would have a typical customer that’s a woman from 18 to 24 years old in the United States and European countries. Social media usage is higher than average, while buying power is below average.


Avoid Stereotyping in Promotions

Targeting a demographic compiles many real individuals into one theoretical customer. This presents a risk of overly simplifying the customers and opening the way to stereotypes that are considered harmful, which may ultimately result in lost customers.

As with many marketing tactics, there is a fine line between what’s acceptable and what will draw ire. “Gamers drink Mountain Dew” is a stereotype that certainly isn’t 100% true. Those who don’t drink Mountain Dew aren’t likely to care if a game is advertised on the drink, while the promotion draws in the intersection of the customer bases.

Focus group testing the promotion beforehand may help spot these problems, but it is not a guarantee.


Offer a Bargain

Promotion design ultimately relies on offering the customer something more than their usual purchase. A giant promotion with ample marketing that doesn’t actually offer a bargain may get a few nibbles from new customers, but it also might damage promotion credibility with your existing customer base.

If your product offerings include physical items, promotional deals are also a way to clear out storage space to make room for new products without a total loss on the old items. The customer feels like they’re getting a great deal, and not having to pay for more warehouse space increases net revenue.


Give Customers Everything They Want

Sales data may indicate that customers tend to buy items from related categories while shopping. They may not be interested in getting multiples of the primary product, but it’s possible to upsell by creating a promotion that lumps the customer’s main interest with common accessories.


Survey the Field

Few businesses are wholly unique, so looking at the competition may reveal new promotional strategies. Don’t lift their ideas directly or try to chase their promotional offerings, as playing catch-up with a derivative promotion may leave your products straggling.

Alluding back to the fast-fashion example, one popular company offers a discount referral program, encouraging their wearers to promote the product. It’s not their only promotion, but it leverages the social nature of the demographic in exchange for a great bargain.


Reach Out to Related Companies

Similarly to pulling inspiration from other companies, it may be possible to work with other companies to create promotional deals that benefit all the businesses involved. The Doritos Locos Tacos from Taco Bell is a frequently run promotion shared by the two companies. Snack food and soft drink companies also commonly partner with sports and video game companies.


Build Your Demographic Database through Promotions

Every interaction with customers, including promotional deals, is an opportunity to build a better picture of your target audience. Filling out a small form for a quick discount is an attractive offer for many consumers, giving both sides of the deal something that they want.

Be sure not to ask for or store any information that would be covered by the Health Information Portability and Accountability Act (HIPAA) or the Payment Card Industry Data Security Standards (PCI DSS) or similar laws wherever the company is operating unless it can fulfill the security requirements. Failing to do so may result in massive fines.



Crafting promotions and deals is an art, and takes a lot of thought and creativity. When the effort is put forward and you empathize with your customer base, you are bound to succeed, build your customer base, and scale your business and revenue.


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Experience effortless inventory management! Connect SKU IQ today and start syncing your Point-of-Sale with your eCommerce account.

Sign up, it’s FREE!