Calculating blended discount involves combining multiple discounts into a single, weighted average discount. For instance, a retailer might offer a 10% discount on all items and an additional 5% discount for loyalty members.
Blended discounts are used in various industries, offering advantages such as increased customer loyalty, higher sales, and improved profit margins. Historically, the concept of blended discounts emerged in the retail sector.
Next, we’ll delve deeper into the specific steps involved in calculating blended discounts.
How to Calculate Blended Discount
Calculating blended discount is crucial for businesses to optimize pricing strategies and enhance customer value. Key aspects include: