As an ecommerce entrepreneur, selling products and generating profit is your main goal. To achieve this goal, you’ll need to employ a variety of different marketing tactics to encourage potential customers to purchase products from your store. One marketing tactic which is often underutilized by ecommerce entrepreneurs is a product sale. Many believe that product sales are only required when you need to shift unwanted inventory, but they offer your ecommerce business much more than this.
In this article, we’ll show you the benefits that a product sale can bring to your ecommerce business, and we’ll demonstrate how you can launch your own sale and take advantage of these benefits for your own business. At the end of this article, you’ll be equipped with the knowledge you need to launch your own successful sale, which will help your ecommerce business to generate profit.
Let’s get started.
Why Should You Have a Sale?
When the idea of having a sale is brought up, many entrepreneurs think to themselves: ‘Why should I have a sale? I’ll lose money on the inventory that I mark down.’
If you execute your store’s sale well, you’ll be able to generate a sizable amount of profit from it, as well as a range of other entrepreneurial benefits. Below, we’ve listed some of the reasons why having a sale is a great idea for ecommerce entrepreneurs:
Clear Unwanted Inventory: This is one of the predominant reasons why ecommerce entrepreneurs launch sales. If you’ve sourced products which haven’t really resonated with your audience, then a sale is a great way to clear them from your inventory. Perhaps your audience were interested, but the price was a bit too high for them — a sale will solve this issue. Your audience may also be enticed into a purchase with the urgency that a sale brings — customers are aware that the price won’t be dropped forever.
Gain Marketing Leads: Launching a sale on your ecommerce store is a great way to gain new leads for your marketing activities. As you’ll likely be making more sales, you can implement a form into your checkout process, which will require customers to fill in some information about themselves like their name, email address, etc. Once you have this information, you’ll have access to a qualified lead that you can retarget with your marketing efforts. You already know these customers are interested in your products, so you can provide them with further suggestions based on their purchase.
Increase Brand Awareness and Authority: If you run a sale on your ecommerce store, it’s likely that your brand awareness will increase. You’ll likely be promoting your sale, which will help to draw in more traffic to your online store, and also increase the awareness of your brand. This is a recipe for success in ecommerce, and your sale will help your customers to fall in love with your brand. Your sale will also help you to gain authority in your niche, which will help you to achieve your long-term goals.
Gain Customer Reviews and Social Proof: 61% of customersSocial proof is huge in ecommerce — read online reviews before they decide to purchase a produce. As you’ll likely have higher traffic to your store, and be selling more products, it’s a great opportunity to gather reviews from your customers. Your customers will have a great shopping experience, especially as they’ll be getting discounted products, so you can ask them to leave a product review once they’ve received it. This will help you to increase the social proof of your brand, which will lead to more sales in the long run.
Grow Your Social Media Presence: As an ecommerce entrepreneur, social media channels are a powerful tool. You can use social media to build relationships with your audience by informing them of new products, alerting them to sales, or even providing them with exclusive content like discount codes, or blog posts. These channels are scalable, so they’ll continue to be an asset for your ecommerce business. You can promote your social media channels once a user has purchased a product from your store by sending them a confirmation email with links to your accounts — this will help you to skyrocket your social media following.
How to Nail Your Sale
A sale can be the catalyst that propels your ecommerce business to success, so it’s essential that you do everything you can to give your sale the best chances for success.
Preparation is key. If you spend some time to play your sale before you launch it, you’ll be much more likely to achieve your goals. Think about why you want to launch your store’s sale, and optimize everything that you do to help you achieve that goal. If you’re looking to use a sale to get rid of products that haven’t performed well, it could be a good idea to slash your prices. If you’re launching a sale to gain more marketing leads, you can try discounting some of your most popular items — you’ll make a bit less profit on every sale, but the lead will help you to grow your store.
Once you’ve set goals for your sale, take some time to consider if you’ll be launching a flash sale, or one that is announced prior. Both types of sales can bring different levels of success to your store, so it’s down to you to decide which one best fits your business.
A flash sale is typically announced with short notice, and launched at the same time — these types of sales are more successful if you’re running an ecommerce store that already has consistent traffic. An announced sale is a sale that customers are notified about in advance. You can alert your audience about your sale with email campaigns, social media posts, and even notices on your store.
Decide which type of sale is best for your ecommerce business and do everything in your power to drive potential customers to your store. If you’re using any inbound marketing channels for your store already, it’s a great idea to use them to alert your audience to the sale. Create several posts from your social media accounts, and use your email lists to draw in your audience. Make sure that your audience are aware of what they can expect from the sale — if you’re selling summer clothes then make sure that your campaigns convey this.
Always remember that your goal is to provide value to your customers. This can be done in a variety of ways when you’re running a sale. Offering them high-quality products at a discounted price is amazing, but think about what else you can offer your customers. Perhaps you can offer them a free shipping code, or you can offer them some exclusive content related to your niche. This onus should always be on your customers — they’re the ones who are purchased your products, and without them you can’t be successful.
Running a Sale With a Dropshipping Business
If you’re running your business with a dropshipping business model, you’ll be able to use a sale to gain all of the benefits listed in this article, without ever having to worry about getting rid of any unwanted inventory from your store.
The reason for this is simple — when you’re running a dropshipping business, you’ll never need to carry your store’s inventory. Instead, whenever a customer orders a product from your dropshipping store, you’ll simply get in contact with your suppliers, who will then ship the items directly to your customers door.
Dropshipping is a simple way for budding entrepreneurs to get started with their own online stores, and it allows you to focus on the tasks that matter most to your business — making sales.
Now you know everything that you need to launch your own successful sale — it’s time to start making more sales. If you’ve got any questions about optimizing your store for a sale, or ecommerce in general, let us know in the comments section — we’re happy to help!