If you’re planning to have a successful Black Friday this year, you should be already planning your rollout and sales plan. It’s no secret that Black Friday and Cyber Monday can mean huge profits for businesses but it must be done right and it must be done strategically. We pulled together information found from successful entrepreneurs and researchers to give you 5 ways to have a very successful sale season.
Choose A Profit Margin
When thinking about your sales, it’s beneficial to work backwards. Think about your ideal profit margin for the season. Don’t just think about a blanket percentage off for your products or services. Instead consider how much you want to make, and then calculate what you will take home after cost of goods, advertising cost, and any other expenses.
Look at this example:
Get 25% off when you spend $100
Average order value: $110
Product cost: $30
Discounted price: $82.50
Advertising cost: $20
Your Profit: $32.50
You can move these numbers around however it most benefits you but try to find the balance between giving a good sale and making a good profit.
Highlight Your Most Wanted Item or Offer
Some experts say to offer a site wide or store wide sale for you consumers and it’s not a terrible idea. Other retailers find success in highlighting their most popular item or service and giving a generous discount. This is said to bring more sales and profit your way. You can also sell out of underperforming items by creating a bundle with the most popular items. Offering a bundle is a strategic way to up your sales while giving your customer more for their money.
Target Your Audience
Be intentional about who you’re selling to! Many businesses will say their products are for everybody – which is admirable. But in reality, finding your core audience and selling to them will prove much more lucrative for your business. Fishing in a small pond of people who desperately want your product is much easier than fishing in a huge ocean of people who man or may not be interested. If you haven’t already identified your target audience, pay attention to the types of people who purchase your products. Think about who could most benefit from your products or services during this holiday season and focus on those people. Others will come, but your core audience will help you sell out!
Launch Daily Deals
Ever heard of the 12 days of Christmas? Well think about doing a campaign for your Black Friday sale that extends across several days. Maybe you start with a sale on one item for a limited time and then move on to another after a certain time period. This creates an exclusivity around your product and gives people a limited time to opt in. It also helps you spread your catalog across the days leading up to Black Friday so that you can highlight different sales at different times.
Use that creativity! Creativity wins in sales campaigns and we all know that. Be willing to try something new and different for your Black Friday sales! If you have ideas, try them out. Whether they win or lose, at least you tried something new. Creativity stands out amongst the crowd of people all doing the same thing. If you have a unique way to pitch your product or service or you have a niche way you present on social media, go for the gold and do something wild. At the very least, you’ll get a lot of attention for it.