| Discount | Sale Price | Profit | Margin |
|---|---|---|---|
| 5% | $0.00 | $0.00 | 0% |
| 10% | $0.00 | $0.00 | 0% |
| 15% | $0.00 | $0.00 | 0% |
| 20% | $0.00 | $0.00 | 0% |
| 25% | $0.00 | $0.00 | 0% |
| 30% | $0.00 | $0.00 | 0% |
| 40% | $0.00 | $0.00 | 0% |
| 50% | $0.00 | $0.00 | 0% |
A 20% discount doesn't mean 20% less profit. Because your costs stay fixed, discounts hit your profit margin much harder than you'd expect.
Example: $50 item with $25 total costs = $25 profit. A 20% discount ($10 off) drops your profit to $15. That's a 40% profit reduction from a 20% discount!
DO discount if: Item has been listed 60+ days, you need cash flow, it's end of season, or you have multiples.
DON'T discount if: Profit drops below $5, item was just listed, it's a rare/unique piece, or you'd make more donating for tax deduction.
Poshmark: Use "Offer to Likers" (OTL) with 10-20% off. Must include $1.99+ shipping discount. Best sent on Friday nights.
eBay: "Send Offer to Watchers" with 5-15% off. Or run promoted listings at 2-3% for visibility boost.
Mercari: "Promote" button sends 10% off to likers. Free and effective.
Price High First: List 10-20% above your target price. Then "discount" to where you wanted to be all along.
Closet Clear Out (CCO): On Poshmark CCO days, dropping price 10%+ gets you featured. But watch that profit margin!
Bundle Instead: Instead of 25% off one item, offer 20% off for buying 2. Higher total profit, same "deal" perception.