Be cautious with
cash discounts.
These days, many contractors prefer to give
themselves more ways to sell by giving buyers
more reasons to say "yes". For example, rather than
offering a 10% cash discount, offer a choice of 5%
off for a cash purchase, deferred interest if paid
during the promotional period
2
, or reduced APR
financing. Given the choice, many consumers will
prefer to retain their own cash for other purposes.
It's like having their cake and eating it, too.
Action item Determine the amount you can
offer as a cash discount, if you also offer a deferred interest
2
or reduced APR financing plan as an alternative.
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