Discount strategy

A discount strategy defines how, when, and to whom price reductions are offered to drive sales without undermining perceived value.

A discount strategy sets the rules for offering price reductions, including who qualifies, how large the discount can be, and under what conditions it applies. A well-defined strategy prevents uncontrolled discounting that erodes margins.

Example: A SaaS company sets a policy that sales reps can offer up to 10% discount autonomously, while discounts above 20% require VP approval, protecting margin while empowering the sales team.

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