Are Discounts a Good Idea? A Reflection on Sales, Pricing, and Anti-Capitalist Business Practices

Dec 02, 2022
A stylized collage of a hand emerging from stacks of coins, with flowers growing from its fingers and dollar bills floating around. The background features the repeated word 'ECONOMICS,' symbolizing the intersection of money, value, and alternative economic models. This visual represents rethinking traditional capitalist structures and exploring more sustainable, values-driven approaches to business.

 If you’re anything like many small business owners I work with, you’ve probably felt the pressure to run sales, offer discounts, or come up with some kind of promotional pricing at some point—especially when bigger businesses seem to be pushing discounts constantly.

But is discounting actually a good idea? And, more importantly, is it aligned with the way you want to run your business?

Why Discounts Are Complicated

Traditional business advice often says that discounting your work diminishes its perceived value. And sure, that can be true in some cases. If you price your work fairly and transparently from the beginning—without inflating costs just to cut them later—then running a sale could mean losing money or signaling to customers that your pricing isn’t stable.

On the other hand, I know small business owners whose customers are bargain shoppers. Their people love a sale and will often wait for one before making a purchase. For them, periodic discounts are just part of how they reach their audience.

And then there’s the bigger question: Do sales align with your values? Anti-capitalist business owners often struggle with the pressure to sell in a way that feels coercive or manipulative. Mainstream business strategies are built around urgency, scarcity, and FOMO (fear of missing out)—all of which are designed to make customers feel like they have to buy right now. But that’s not the only way to do things.

Three Questions to Consider Before Running a Sale

If you’re wondering whether discounts make sense for your business, here are three things to consider:

  1. Are your customers motivated by sales? Not all audiences are drawn to discounts, and not all products or services are a good fit for them. If your people are waiting for a sale, it might be worth testing one. If your work is highly personalized or priced transparently, discounting might not make sense.

  2. How does a sale impact your business? Does offering a discount create financial stress, extra labor, or an unsustainable precedent? Or does it bring in new customers and help clear out old inventory? Sales should serve you too, not just your customers.

  3. Does it align with your values and long-term goals? Do you want to offer discounts, or does it feel like something you’re doing just because you think you should? If discounting makes you resentful, it’s not a good strategy.

 

Alternative Ways to Engage Customers Without Discounts

If slashing prices doesn’t feel right, there are plenty of other ways to create momentum in your business that don’t rely on the typical sales cycle:

  • Offer added value instead of a discount. Instead of cutting your price, you could add a bonus—extra time in a membership, a free resource, a community call, or something that supports your customers without undercutting your pricing.

  • Create a ‘pay what you can’ option. If accessibility is important to you, consider offering a sliding scale or limited community-funded spots instead of across-the-board discounts.

  • Run a mutual aid-based promotion. Instead of discounting, contribute a portion of your sales to a cause that aligns with your values. Invite customers to participate in solidarity instead of just getting a deal.

  • Encourage sustainable purchasing habits. Instead of pushing urgency, remind your people that your work will be available when they’re ready. Offer flexible payment plans if that makes sense for your business.

  • Make a limited-time bundle. Rather than discounting, combine complementary services or products into a package that makes sense for your customers.

Ethical Selling in an Anti-Capitalist Business

Running a business under capitalism is already a challenge. Finding ways to market and sell without relying on scarcity tactics or coercion takes even more intention. But it is possible to sell in a way that is ethical, transparent, and aligned with your values.

At the end of the day, discounts are just one tool—one that may or may not work for your particular business. The key is making intentional choices about how you market and sell, rather than just following industry norms that don’t fit.

So, what do you think? Do you use discounts in your business, or do you take a different approach? Drop a comment below—I’d love to hear how you navigate this in a way that feels good for you.

 

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