Article
The DTC Price-Increase Playbook (Without Killing Volume)
Eightx · eightx.co Free Advanced
The clearest arithmetic on why discounting is more expensive than founders think - roughly 1.7 points of contribution margin per point of average discount depth at 60% gross margin - and a sequenced playbook for reversing it.
- Each point of average discount depth costs about 1.7 points of contribution margin at a 60% gross-margin base.
- Cleaning up discount leakage alone can recover 2-4 points of margin before any price tag moves.
- Sequence price increases: fix discounting first, then raise headline price, then test elasticity.
