The internet connects buyers and sellers from around the world with a click of a button.
Everywhere you go you can see business advertisements promoting items at sale prices. Online businesses are no different. The internet connects buyers and sellers from around the world with a click of a button. People can talk to others all the way across the globe, trade information and the get bargain prices on goods from the comfort of their home.
To Sell or Not to Sell
A sale would be beneficial to your business if you are testing the market to see if they like a particular product or as a tool to increase your customer base. A sale can also be used to clear out your merchandise if you are planning to sell your business. Sales can be offered frequently enough so that your target audience knows that you offer good deals, but not so frequently that they take the initial price as being expensive or overpriced.
Psychology of Buyers
Learning about your target audience and measuring how they react to certain opportunities will help you to determine how often you should have a sale and the exact amount to discount. Keep track of your sales figures from month to month and from year to year. Pay special attention before and after sales. This will help you to determine the impact each sale has on your earnings. Statistics show that the target age group for the very popular store, Aeropostale, is from age 7 to age 17. This means that when you see an older woman shopping in the store she may be shopping for a child or young adult.
Strategies for Success
...get the desired amount for your product.
Have you noticed that when you buy an item on sale that the original price is visible along with the sales price? This tactic is known as price watering- where you inflate your prices then lower them to your original price to get the desired amount for your product. Giving your subscribers exclusive offers, makes them feel valued and keeps them coming back for more. By limiting your offer to 1, 5 or 20 people, a sense of urgency is created that increases the perceived value of those sale items. A great way to address overstock on certain items is to offer a free item with the purchase of another or to hold a two for one sale.
If you want more tips for holding successful online sales then connect with an ONDABOX sales representative and we would be happy to help you to develop a profitable strategy.
Posted: Fri, Apr 6, 2012