Saturday, October 20, 2007

How do Watson make money

Every time I walk past a Watson store, I'll drop in and pick up one or two things. It seems that you can always get what you need in a reasonable price in Waston.

Waston is in a very good market. Its products are mainly makeups, household appliances, and healthy food. They are necessaries and of low profits. Some are Waston's own products, while some are only on sale there.

One strategy Waston has been using to increase sales is giving certain discount to a range of products during a specific period. And according to my own experiences, I look for these with a large discount and take them home. Of course after I pay for them.

While using the low price strategy, Waston has other strategies to distinguish its self-owned products and others. Customers usually get extra pieces when they buy Watson's self-owned products, and there are small but cute presents for them if the total amount reach a certain figure. That's really smart! Though I never got them because I keep a close eye on the price of things I buy:)

Earlier today I bought a pair of slippers together with other little bits and pieces. Then when I check the prices I found that the price of the slippers is CNY 39.9. And I thought it was 19.9. What a mistake! I sat there thinking then I decided to go back and return them. Then I did. They accepted the slippers and gave back my money. I was very happy to go home.

There is one thing I want to mention about Wastons, the shopping environment. It's easy and relaxing. Just like wandering around and pick up what you like. Usually you only have to pay a small amount of money to get what you really like and be happy. And next time you will come and pick others. I call it some business every time.

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