Accepting Competitor Coupons

Does anyone do this, and how is it working out for you. Also what do you do when their pizza is not the same size as yours.

All day every day!

If it is not something I can duplicate then I dont. I do stipulate that in any advertising I do for it.

Overall not many get used. Although I am not selling high dollar single pizzas. My base prices usually end up being what Marco’s pushes as coupon specials.

If your an indy with single pizza prices and no real discounts it may work really well for you, but then again if you are that model you may not want to open the Pandora’s Box of Coupons at all.

Pandora’s box but what do you do?..I had a client tell me a while back that they do not take competitors coupons, but make up a “special” on the spot that works out well for the client and gets a new name in their POS…If you work those names, they are “gold” over time…

I HATE! this concept. Now I am not a pizza shop owner but I was a mfg of food service items and I understand food cost. That said… who is your competitor? If I sell $25 pizzas and someone walks in with a 2 for $10 large pizza coupon I would laugh them out the door. On the flip side I understand you want/need sales. Ask yourself “why is this person here and not there?” Hmmmm??? Two reasons… first and foremost they are CHEAP!!! Not just the usual everyday cheapo…but the next level that only goes out with groupon in hand and now want YOU to take someone elses discount. The second reason is that the place that issues this great discount sells crap and they know it! They want a better pizza but do not want to pay for it. I would offer them a one-time “special” but not at the loss of dollars that most would have with these discounts. Offer them a free something…or 2 free toppings. Get them to bite but dont make it a negative sale. Also get their info for doing this. Make a note in the system what was done. Use this too your advantage and not just a cheap pizza deal…because when you do they will be back!!!

I have to say it does not come up. Not that we do not do coupons etc… we do, but nobody every asks us to take someone elses…

I do not see why I would not do it though. I would honor the discount not the price. Our pizza costs more for a reason, but if another store’s offer amounted to X $'s discount on two pies and some drinks, I would offer the same discount even though the end price might not come out the same.

Also, our national neighbors are quick to advertise the price of a '“large” but we find we spend a fair amount of time explaining that that is a 14" pie… so their offer on a “large” would need to be comparable to an offer on our 14".

Steve you are a good example of this. Your pizzas sell for the $18-25+ range and I can see you accepting a $3 off a large coupon but never a 2 large for $20 coupon. Like I said…I agree with get your pizza in their mouths but most of these people are only after the lowest price and will expect it the next time if you do it the first. All this is mute if you are selling head to head with the big 3 and your food cost is on par with theirs. Then I would still say…be careful! :!:

What I read in Jim Moran’s book was a little different approach, he offered a bounty on competitors ads. Bring in a competitors ad and get X.XX off your order. It made more sense to me because you are not having to match price with LC or PJ’s or whoever deep discounts in your area.

Rick

Mike you are right… what I would is: if the competitor’s “regular” price was $13 and they offered 2 for $20 that would amount to a $6 discount. I would not match the $20 price, but I would be willing to match the $6 off.