Or rather: giving discounts makes me itch. Not a normal kind of itch that passes, but an unbearable itch, right where I can't reach it.
The speed of light is considered unbeatable. I'd like to contest that. Our MICE industry beats light by a mile when it comes to discounts. The customer makes a slightly odd move, discount. The customer looks a bit pitiful, discount. The customer writes a sentence that's longer than usual, discount. The fact that the customer simply had a big party the day before and didn't take their paracetamol in time, no, that couldn't be it. The customer wants a discount. Discount, I tell you, or we'll lose the deal. Yes sir, madam, reduction.
I repeat, an itch, right in the middle of my back, and I'm not in the slightest bit supple.
And I have one traumatic spot that won't stop itching, my personal discount spot, I cherish it, I have to. I'll explain myself further.
Why then? Why do we keep that 8%, 10%, 12% or, if we're really lucky, 15% commission, margin, gross income, as a starting point? Is there a single colleague who would dare to look me straight in the eye, without blinking (note, I can read body language, I did a course in it), and dare to say: "Jan, I can survive perfectly well on 8%, I think that's more than enough. Further still, I'll even give a discount. I think it's perfectly legitimate for our customers to ask for that." I challenge you then, to look me in the eye and say that to me. I won't laugh at you, I was brought up properly, but I will give you a pat on the back, or rather, I'll touch you where you can't get to it, and I'll make sure you get an itch too.
And no, I don't know any colleagues in our small market who are falling short; we're global leaders in our field, we work all hours of the day (and night), we're engaged and we provide a first-class service. No, sorry, another correction, we provide....discounts.
I'll talk about how much margin we should be taking and how we can generate additional margin another time.
Until next month.
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