It's challenging to discuss eCommerce without discussing flash sales or regular offers. This famous marketing technique has been around since the early 2000s and is still popular today.
These days, flash sales are pretty standard. There are many websites devoted to supplying consumers with flash sale offers. On the other side, certain websites offer flash sales regularly. Some businesses have made flash sales their sole method of selling their products.
WHAT IS A FLASH SALE
Flash sales aim to sell goods at steep discounts. In certain instances, the commodity is sold at its total retail price. Due to the high demand for these goods, they can use the flash sale route to sell them to consumers. The simple truth, however, is that consumers demand a cost advantage from a flash sale. People would not waste their money having to queue up online to purchase a product if there is no "extra" deal.
It should be noted that flash sales are not a recent phenomenon. Many brick-and-mortar shops have used this model for slow-moving marketing stock.
Flash sale websites aim to aggregate the process and make it simpler for retailers. Previously, five different stores had to hold five different sales. There were advertising expenses involved, which resulted in a dilution of the brand name. Flash sale websites, on the other side, purchase items from all vendors at even lower prices. They then make a profit by selling it to consumers. This saves each store from having to organize its sale.
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WHY RUN A FLASH SALE
eCommerce sellers are all too familiar with the competition to get the lowest price. Today's educated customers can quickly analyze, compare, and purchase from the lowest-priced sellers. A flash sale is an ability to give customers just what they want. Then, running the sale for a limited time gives consumers the extra push to move quickly and buy now.
Moreover, merchants see results. Overall, flash sales are said to increase transaction rates by 35%. Flash sales can be a very efficient way to rapidly unload surplus inventory, transforming a negative into a profit in a couple of moments.
Although it's desirable to sell items regularly, it's almost impossible to schedule the inventory to exactly meet future consumer needs. During the 2012 holiday period, Reuters estimated that retail businesses that used flash sales expanded twice as quickly as online stores that did not use this strategy.
Although flash sales assist sellers in competing on price, they are not their only benefit. A seller can run a limited sale for a variety of reasons. You may want to dispose of the excessive stock. Some use it to attract new clients in the hopes of keeping them later. Others want to boost overall revenue and benefit.
Whatever your motivation, a flash sale can be just what you need to try something new. Flash sales, on the other side, are not for everyone.
TIPS ON HOW TO RUN A GREAT FLASH SALE
Here are some pointers on how to run a successful flash sale:
- Classify your customers (target market)
- Time your big sale
- Have flash sale offers that go above and beyond the standard discount.
- Plan your delivery strategy ahead of time;
- Use urgency to generate enthusiasm for your flash sale; and
- Don't overdo flash sales.