Imagine you discount a product from $50 to $30.

How would you frame the discount? "$20 off" or "40% off"?

Would it change if the price was $150?

Today& #39;s Thursday Thread is dedicated to this question: How should I frame my discounts?

It& #39;s been proven again and again that consumers decide differently on the same absolute discount depending on the base price.

This means it& #39;s not the same for us to save up $40 if the original price was $50 than if it was $900, even though we are saving the same amount of money.

To maximize value, discounts for small priced items should be expressed in relative terms (%), while high priced items should be expressed in absolute terms ($x).

As a rule of thumb, you should choose the highest number for the discount, either for $ saved or % saved.

If the regular price is below $100, display the discount in terms of percentage saved:

"From $80 to $46.. 40% saved!"

If it& #39;s above $100, present your discount in terms of how many dollars will be saved.

"From $180 to $106.. $74 saved!"

Now you know!