Buy one get one free (BOGO)

In essence, when you buy one item, you receive another identical item for free or with a discount percentage. Brands such as Subway, Starbucks, Pizza Hut, and McDonald’s often offer a variety of BOGO deals to their customers.

When a retailer presents a BOGO deal, customers typically purchase one item at its regular price and receive a second identical item for free. The discount is automatically applied at the checkout, with customers only paying for the higher-priced item, if applicable.

While conventional BOGO offers may erode profit margins or cheapen brand image, there are creative methods to implement BOGO deals while safeguarding profitability and brand integrity:

Incorporate BOGO deals into your omnichannel strategy. Customers can purchase one item online and receive designated items for free during their next in-store visit (or vice versa). This approach enhances customer value and drives traffic to both physical and digital storefronts.

Gated offers, accessible only to specific groups, are highly favored by customers as they foster a sense of exclusivity. By leveraging insights into your target audience, you can tailor BOGO deals to items of significance to them. Additionally, offering these deals exclusively to a particular tier of your loyalty program demonstrates appreciation to members in that tier and motivates others to move to higher tiers.

To mitigate the impact on profit margins, implement BOGO deals within larger product bundles. Employing a flexible Promotion Engine allows you to establish rules and avoid generic, steep discounts.