Observed Signal · Aug 3, 2026 · Opinion · Source: The Drum · Impact: 2/5 · Sentiment: Neutral
Pricing & Promotions Market: Mark Ritson: 10 Reasons Never to Cut Prices
Marketing commentator Mark Ritson argues that price promotions systematically damage brands by eroding margins, training shoppers to wait for deals, encouraging stockpiling, and triggering category price wars. He cites comments from P&G CFO Andre Schulten — who said promotional volume in Europe is up about five points and that P&G uses promotions only to drive trial — and notes P&G has delivered a positive price mix in 20 of the past 21 years. Ritson lists ten specific reasons to avoid discounting, offers narrow exceptions for targeted promotions during economic pressure, and advocates investing in product, packaging and brand building instead of cutting price. He uses Tide (P&G) as an example of product-led growth without discounts.
Opinion piece with strategic marketing guidance referencing P&G CFO remarks; relevant to brand and retail marketing but not a platform policy change or industry-shifting event.
Key Takeaways & Evidence Grounding
- P&G chief financial officer Andre Schulten said volume sold on promotion in Europe is up about five points in the latest read.
- P&G uses promotion only to drive trial and deliberately delays regaining market share rather than buying it with promotions.
- P&G has driven a positive price mix in 20 of the past 21 years, according to the article's summary of company remarks.
- The article enumerates ten reasons why price promotions are harmful to brands and margins.
- Mark Ritson is a former marketing professor, brand consultant and founder of the MiniMBA in Marketing; enrollment is stated as open at £1,950 with no discount option.
Connected Companies & Entities
3 Entities mappedUnilever
Consumer goods company selling branded household and personal care products.
“Rival Unilever had cheerfully reported cranking up its own promotional activity a day earlier, as an official World Cup sponsor with 50,000 ...”
Tesco
UK retailer combining grocery commerce, loyalty data and retail media.
“The article references a linked piece about Tesco’s pricing monster, noting that retailer loyalty pricing has made the identification of a r...”
P&G
Global consumer goods company selling household and personal care brands.
Ontology Mapping & Concepts
Track Real-Time Market Signals & Shifts
Set up custom watchlists to receive automated, evidence-grounded executive digests whenever material signals or shifts occur across your tracked landscape.