There are myriad drawbacks of attracting customers with frequent discounts. The most conspicuous one is that the impression it creates among customers that the
company is enticing them into purchasing products in an effort to augment its profit at the expense of quality, but they also apprehend that the company has started losing credibility and reliability. This is because big brands such as Apple, Samsung and the like hardly offer discounts; they rather focus more on their brand name keeping prices high at all times. Needless to say, there are very few consumers who would agree to compromise with the quality of products by paying less. Instead, they will pay more and choose better products.

Another pivotal aspect of price cuts is that although companies will have short-term financial benefits, they will lose that premium tag they used to enjoy in the past. As a result, unlike other competitors, who are more into image building, these companies will lose recurring customers, thanks to the fall in their reputation, thus suffering in the long run astronomically.

From what has been discussed, one can conclude that the pitfalls of offering discounts to increase the number of customers are indeed too great to ignore.