Well-Timed Sales Boost Profit
Your sales strategy should be fluid, mainly because so many factors can impact it. Chief among these is product performance, distribution channels, branding and customer behavior.
To avoid confusion, choose methods that effectively promote your products within the framework of your desired marketing image. Keep in mind that timing is key, so identify specific holidays and events that make great reasons to sell particular merchandise.
For example, hold “theme sales” on Halloween, Mother’s Day, St. Patrick’s Day or Valentine’s Day. Memorial Day and Independence Day provide perfect reasons to feature summer clothes, seasonal outdoor merchandise such as patio furniture, and garden and grilling products. By the same token, Labor Day offers a real opportunity to promote back-to-school clothing and supplies.
On the flip side, if a holiday isn’t looming, go for a different type of sale. Here are some typical promotions:
- Loss leaders. These products and services are offered below cost or at deep discounts. The rational is to entice customers away from competitors. This is a good way to take care of slow-moving or overstocked inventory. Besides freeing up shelf space, quick selling via this route loosens up cash flow. Meanwhile, customers who come to your business to snap up loss leaders may stick around to buy costlier goods.
- Weekend sales. These events work well because employed customers are likely to shop on Saturdays and Sundays as opposed to weekdays. In fact, some research suggests that weekend sales generate the most revenue. To promote your weekend sales, advertise during the prior week via social media, newspapers and emails. It also is a good idea to post signs throughout your facility.
- Product of the month (day, week, etc.). These sales highlight specific goods for a range of reasons. Likely candidates are overstock, slow movers and discontinued products.
- Retail discounts. Targeting a designated market demographic such as senior citizens, these discounts typically are offered on regular weekdays identified as slow. They also can apply to specific circumstances, such as use of a store credit card. Usually, these discounts are applicable regardless of other advertised promotions.
While no single sales function can keep your company profitable, when you use those discussed here consistently and in combination, your bottom line truly benefits. This makes buying easier for your customers – and selling simpler for you.