E-commerce
website Owners' Guide to Holiday Sales
If this is the first time you've thought
seriously about holiday sales on your
ecommerce website, you're already late in this game.
Bricks-and-mortar stores, the traditional leaders of retail sales,
put months and months of planning into their campaigns to capture just a
few more customers and start the holiday sales season just a few
days earlier.
This same story also applies to each online store: Amazon.com, Buy.com
and all the other major .coms have extensive holiday promotions
every year and run
large marketing campaigns, and have made serious inroads to the gift
buying market.
The good news is that even you are off to a late start
there is
still plenty you can do to cash in on the biggest sales season of
the year!
Now a days every one is after an interesting gift at an unbelievable
price the only possibility is to find that item online. several sites have reported that computer savvy consumers
may conduct as much as 60% or more of their holiday shopping online.
While this statistic is a bit higher than that for the
entire U.S. and Australian consumer market, these numbers more than illustrate the
simple point that people are going online to shop for gifts. And why
not? With Internet access reaching 3 out of 4 homes in the U.S., and
hundreds of millions of consumers world-wide, buying gifts online
really is a logical decision. After all, shops mean driving,
parking, long queues, and all sorts of hassles that can easily be
avoided online.
With free shipping offers, money-back guarantees, and, often, lower
prices than physical stores, there's rarely a downside to shopping
online, especially when it comes to products that don't have
variable sizes, and no features that you want to check out
physically, first-hand, before you buy. For DVDs, music,
electronics, name brand toys and any other straight-forward product
or service, the Internet is the simplest solution to the hectic task
of buying gifts.
So, how can you sell more online? There are a number of important
tips and tricks that can win you a bigger piece of the holiday
shopping action. The first factors to consider in any successful
holiday promotion are theme, presentation and mood. Ultimately, all
your sales, marketing, discount and other offers are simply part of
an overall effort to get visitors into the gift-buying mood. This is
especially important early in the holiday season; while many
consumers start to think about gifts in late October, they may not
consider making these purchases for months. By putting subtle cues
in place, you can actually speed up the sales cycle by showing
contemplators that now is the time for them to start buying. The
better your site communicates this idea, the better are the odds
that browsers will decide to buy at your store now.
Step 1. Add the "Holiday Spirit" to your Site
Adding holiday theme changes is a touchy subject that must be
approached with careful planning. Incorporate too many holiday
elements, and you risk appearing blatant and tacky; add too few and
your customers may miss the message entirely. Finding a balance
usually means adding simple, conservative images, color changes, a
themed logo and perhaps new icon sets -- but nothing that gets too
flashy or over the top. As with all site revisions, be certain to
run some user tests before you make a full launch, just to be
certain you aren't negatively impacting your user flow, or
generating any usability issues. You don't want to miss out on 70%
of your sales because the new version of Internet Explorer has a
conflict with your cute little snowflake DHTML effect.
At this stage, you also want to start to incorporate the right
holiday message, to let your visitors know that you are the best
source of the gifts they need to buy. While your returning customers
are often your most loyal supporters, they may not consider your
store as a place at which they want to purchase products for others,
nor may new visitors who come looking for something for themselves.
This is where your gift-shopping message comes into play: by adding
some of the elements we'll discuss later in this article, you can
successfully shift the consumer mindset from, "I'm here to buy for
me," to, "I'm here for me, but I can also buy something for someone
else…" Your industry and niche is almost irrelevant at this point --
even technical, super-geeky products are something that someone else
may want as a gift.
Consider the case of just one
online store: in late October, Bath
and Body Works launched its new holiday layout. As a retailer,
choosing when to step into the holiday theme can be quite a
challenge, especially if you make the jump before retail stores kick
off their own campaigns. However, in the gift and personal beauty
products arena, competition is always fierce. Making the most of the
holiday season is vital to the bottom line.
The site revamp that Bath and Body created captures the holiday
marketing theme with a direct, warm, tasteful site. Rather than
tossing in several vibrant colors, the site focuses on red, silver,
and a hint of green, creating a visually soothing look. Holiday
promotions take the form of ornaments and boxes which both
illustrate product offerings and communicate that the store is open
for holiday shopping. Simple yet effective, the entire approach can
be summed up using the site's own marketing slogan: Get Ready for
the Perfect Christmas. That's exactly what they're attempting to get
customers thinking about.
Step 2. A Tool to Answer the Hardest Question: What Should I get
Him...?
As we start buying gifts and checking people off our lists, there's
always someone who's just impossible to shop for. Maybe it's a
cousin who likes video games, or a friend who just has to have the
latest golf gadget, but if you aren't a video game player and don't
enjoy golf, chances are that you won't know what's good and what
isn't. The same is true for most holiday shoppers: they know they
need something for a particular person -- they may even know what
category, or what type of item they want to get -- but they have no
idea about the gift's specifics. By putting together a simple
holiday gift guide, and a gift search/browse tool, you can help
direct people to the product that fits the bill. The more robust
your system, the more likely the customer is to find a good match,
and trust your site's recommendation.
Consider adding a section to your site that allows customers to
enter personal details such as age, gender, experience or skill --
any characteristics that pertain to your specific niche. Not only
can this help potential customers find exactly what they need for a
particular individual, but it can often inspire them to find
something else for another person on that all-important gift list.
Because this tool is all about helping consumers, make sure it's
simple to use, and visible on your homepage, search engine landing
pages, and any other major points of entry. After all, you want as
many people to use the system as you can.
Discovery.com offers an enormous variety of products, from
educational toys and gadgets, to DVD and VHS versions of their
television shows. Of course, too much variety can cause problems
when it comes to getting customers actually to buy something. One of
the ways Discovery.com gets around this is with a robust gift finder
that really helps shoppers get a little more direction.
The first time visitors access this feature, they're shown six
options: Best Sellers, Customer Favorites, Discovery Exclusives,
Just Aired, New Products, Stocking Stuffers and Under $25, but it
doesn't stop there. Clicking on any of these main categories shows a
list of products, along with an additional list of other gift
recommendations; gifts for him, gifts for her, gifts for children,
and gifts by product type exist within all of those sub-levels. The
system is inherently simple, but it hits on the holiday theme, works
to direct visitors by interest and price point, and easily sorts
through what would otherwise seem to be a daunting range of product
options.
Step 3. Facing the Challenge: "When Does it Get Here?"
When free shipping first appeared on the Web, people treated it as a
rare event and a major discount. At that point, consumers had become
so accustomed to paying shipping costs that these charges were
considered standard. Of course, after a few big stores introduced
the idea, it became much more widely accepted; now, some users won't
make a purchase if shipping charges are involved. This, of course,
is a silly notion: everyone knows shipping isn't free, it's simply a
matter of whether the vendor charges you the full cost up-front,
includes it as part of a bundled price, or they absorb part of the
cost via reduced margins, and charge you the rest. In any case,
customers do pay for shipping; they just aren't seeing that
particular line item on the bill.
Still, for most consumers, the idea of getting an item without that
extra little fee at the end really stands out: it's a value
proposition that people simply love. We see this same appeal applied
tax and other related handling fee discounts, although people tend
to understand those costs a bit better.
Free shipping has now become so popular that there are hardly any
retail stores that don't offer it. If you're not offering free
shipping yet, consider this as a great time to test the trend. If
you do offer it to your users, promote it! Don't just put up a
little link: scream that you don't charge for shipping! One great
way to do this is to add a banner or graphic to your homepage,
announcing the offer as if it's new and exciting. Make it a
limited-time event, and make sure you tell consumers that they get
free shipping on their gifts. Put them in their holiday buying mood:
"Free shipping on all gift purchases through Christmas week only!"
It's important to realize that shipping is your major hurdle -- in
fact, it's the major hurdle faced by all Web retailers. No matter
how cheap your products are, or how good your service is, customers
don't receive their purchases on the same day, and they will need to
pay to have them shipped (unless of course you have a local store).
At holiday time, this delay poses an even bigger risk: late
arrivals. Almost everyone buys a few gifts at the last minute, but
in the online world, the last minute might mean two weeks or more
after the holiday, once you factor in packaging, shipping and
delivery times.
Oddly enough, promoting your own "handicap" can actually solve the
problem. Rather than charging customers full rates for faster
shipping options, discount them. During the checkout process modify
your site to show the original, full amount with a strike-through,
and the special amount in bold. Despite the fact that two-day air
may cost twenty bucks, it's still a "discount" and everyone loves a
discount.
It's also a good idea to take on shipping directly by displaying a
list of "order-by" dates throughout your Website (including the
homepage). Use a simple chart to show customers the date by which
they must place their orders to have the delivery made by Christmas.
Factor in packaging time, delivery across the country (don't assume
customers live five miles away), and any foreseeable delays. If a
customer orders a gift and it doesn't arrive by December 24, there's
a 99.9% chance they will return the purchase, so save yourself the
headache: give them a firm cut-off date.
Long before Christmas, and even the U.S. Thanksgiving holidays,
Hershey's Gifts had ship-by reminders in place not for the winter,
but for Hallowe'en. On nearly every product page, on the homepage,
and on search pages, Hershey's provides a clear, prominent banner
that displays the purchase deadline for guaranteed delivery. As the
holiday season progresses, so does the banner. While the initial
message is by no means detailed, the overwhelming visibility is what
makes it so effective. A linked page shows interested users all the
information they could hope to see: shipping estimates are
color-coded by US geographic location and shipping method. The
impact is clear. Every visitor knows when they have to order by, and
that makes visitors all the more eager to buy
Step 4 Discounts, Discounts, Discounts!
Don't be afraid to put up discounts: save 10%, perhaps, or buy any
product over $50 and get a free gift, or get two-for-one. These
types of deals should be offered on all your top gift items. Slash
prices with red lines, hold 24-hour sales, liquidate the last few
dozen of any item in stock -- do whatever it takes to promote
yourself each day. Think about these sales as a one-day or one-week
events, to keep things fresh, and to drive shoppers back for more.
As you begin to notice popular trends, swap out any existing "hot
product" or "top seller" features with Top Gifts, Gifts under $10,
and Recommended Gifts boxes, if that's what works. Discount these
items even further using various promotional language to sell off
excess inventory. As you get lower on lower on certain types of
products, play this up: encourage customers to see the importance of
buying now.
Discounts should also make their way into your marketing materials.
Take advantage of deal sites on which you can post (or pay to post)
special coupons for your site as a means of attracting visitors who
are looking for a great deal. Modify your PPC keywords to include
information about your holiday sale promotions, and take those users
to a specific landing page on which a discount is already clearly
marked. Be sure the discount flag follows them throughout the entire
site, and use a standard icon, color, and line-through graphic on
the original price so that consumers know they're saving.
While some consumers shop on the basis of the lowest price, for
many, the considered factors go beyond mere dollars. They might want
to find a site that seems reliable, safe and trustworthy. If you
can't have the lowest price out there, a special deal can go a long
way to make up for your higher purchase price. A deal doesn't simply
mean getting the lowest price in the world: it means buying
something at a price that makes you feel you did better than
expected.
The problem with holiday sales is that, when the holidays end, so do
the sales -- at least, that's the theory. To counter this, popular
travel site Travelocity has come up with an appealing discount that
actually serves to boost business after the holidays. Visitors to
the site are shown a holiday themed banner using the well-known
gnome mascot (wrapped in Christmas lights) with a big sign that
invites customers to save $100. Right there and then, the site grabs
your attention. After all, with so many discount travel sites
around, and prices that are nearly identical, who wouldn't want $100
off? The catch? Your discount is on a future-dated ticket to be used
in the first half of 2006, which means you must make another
purchase.
This is truly a beautiful double-sided promotion: the amount is
substantial enough to appeal to almost everyone, and the delay
almost guarantees Travelocity another order in the future. Of
course, it doesn't hurt that they've gone the extra distance,
creating a well-themed landing page for the offer that includes
jokes, holiday photos, and few other touches to really drive the
point home.
Step 5. Bring Back Old Customers
Repeat visitors can account for 50% or more of a site's order volume
but, if you're waiting for them to come to you, you'd better not
hold your breath. This is utterly important around the holidays
because, until you get out the all-important holiday message, your
old customers may not be thinking of your site as a source of gifts.
To get them back, and get them in the gift-buying mood, you need
only do one thing: communicate with them! If you don't send regular
email communications to old clients, you need to start today
(provided that your email policy allows you to)!
Put together a new email template based on your holiday-inspired
site design, and go from there. A good holiday promotion has a few
lines of copy and a focused creative -- and it is most certainly
HTML- and text-enabled. If you can segment users on the basis of
their purchase history, show them more of the same kinds of products
they've bought in the past. If you can determine how long it's been
since they ordered, offer a discount that corresponds to their
particular needs, and use specific language to thank them for
shopping recently, or invite them back after a long time away.
Personalization will help boost the click-through rate of your
promotion, and can earn you valuable points with the client when it
comes to consideration.
If you can't personalize or segment your email list (and even if you
can), show recipients some top product and gift recommendations and,
most importantly, give everyone an offer they can't refuse. 10%
discounts are easy to come by, and don't mean much. But a $10-off
coupon? Well, that takes on a whole new meaning: it's ten bucks for
free! Even when the offer may end up being less of a discount, a
dollar figure holds a certain weight in people's eyes, so don't be
afraid to experiment with this and other non-traditional discount
ideas.
Before you finalize and send your message, be sure you can carefully
track the results not just in terms of overall ROI, but also on the
bases of open rates and read rates. As it gets closer to the
holidays, you'll want to follow up with another email to
non-performers in case they didn't get the first message. Repeat
this process every 2-3 weeks until the holidays arrive, to maximize
your campaign's efficacy. Then, when it's all over and everyone has
received their gifts, consider a final email to those customers who
did purchase, offering them super specials on all that left-over
inventory that you're just dying to sell.
Also, to tie-in to the over all idea of the holiday theme and mood,
be sure that all of your outbound emails -- order confirmations,
lost password messages or anything else -- use the same holiday
design that your site displays. Wherever customers look, they should
see your unified, spectacular savings- and offer-focused messages,
reminding them that you can provide those few final gifts.
Before every holiday, year round, you can find Circuit City's
special savings email in the inbox of past customers and Web leads.
This, along with a series of other one-off and event-based email
messages, serves to reintroduce the brand to customers over and over
again. Because of the range of products, and the focus on big-ticket
items like plasma-screen televisions, Circuit City's emails really
have to go the distance in terms of offering high-value incentives
to push their offer above the rest. As a result, customers are
likely to receive several emails during a peak seasonal period, with
offers ranging from discounted DVDs, to hundreds of dollars off
big-screen TVs and audiovisual equipment.
By branding all their emails to match the Website, print and TV
executions, and the holiday season, Circuit City's email campaign is
able effectively to reach out to customers in the fiercely
competitive consumer product market. To see these messages yourself,
you'll need to sign up for the Shop4Tech newsletter which is, of
course, free.
Step 6. Adding some Simple Touches
You can offer a lot more before you must resort to outbound
marketing tools to boost conversions. Consider your Website as
competing with local stores because, ultimately, you are. This means
you have to meet or beat any deal they might offer. Here are a few
ideas.
The return receipt is a concept that hasn't yet been taken on all
over the Web, but there's a reason why almost every large retailer
offers them. Online retailers have the ability to go a step further:
at the end of your confirmation email (and in your thank-you page),
add a link to let users print out receipts for individual items
they've purchased. This will encourage customers to buy multiple
items from your store and, when it comes time for them to order a
few more items, they'll already know that if the product isn't
right, they needn't worry. You've reduced the risk by giving them a
way to let their friend, who has no relationship with you, return
the item.
If you really want to blow this idea out of the water, consider
offering a special deal in which you'll cover shipping on all
returns bearing gift receipts. It doesn't cost me a dime to return
the sweater grandma bought me to a local store, but if I have to
ship it back to some dot com I'd have to pay -- and grandma doesn't
want me to have to pay to return the item if I don't like it (then
again, how could anyone not like a brightly colored sweater?!).
Gift Certificates are another no-brainer for the holidays,
especially if you offer technical products or other items focused on
youth. Parents, grandparents, and friends often just don't know what
to get teenagers and young adults, so, rather than having them pick
up a gift card to BestBuy, why not offer them your own virtual
certificate? Even better, offer a printed version. You may not sell
a lot in your first year, but the vouchers won't cost you a thing
and, as is often the case, you'll likely find that customers using a
voucher buy items totaling more than the value of the voucher.
If you're even considering shipping items directly to gift
recipients, gift wrapping is a must. Like gift certificates, there's
minimal cost involved in offering gift wrapping; just pick up a few
different types of wrapping, some tape and bows, and put the options
online (after you learn how to tie a pretty knot, that is). The real
factor to consider here is what to do if demand explodes; wrapping a
few items isn't hard, but wrapping 500 on your own might be. Again,
you really have the option to use this idea to your advantage by
promoting it as a free service. This makes it harder to cover your
costs, but your store becomes a much more appealing option for
potential clients who are looking for value.
And as we've already discussed, it's imperative that people can see
your shipping methods and estimated delivery times up-front and
during checkout. Make this information work to your advantage by
urging people to buy before it's too late. Don't forget to throw in
a count-down script to remind people that there are only "x days
left" before a shipping option expires. As the time ticks by, this
counter will become more and more important to ensuring that you
receive as few returns as possible. As a bonus, offer a guaranteed
delivery ship-by date backed up by a full refund, no questions
asked.
Pottery Barn Kids has already gone all-out in developing its holiday
theme. A cute, well-focused Flash animation introduces the brand's
core offerings, while red icons with snowflake backgrounds comprise
the site navigation. On the side-bar, in plain view, are free and
lower shipping rate icons, a gift locator, and sale items. Directly
below the main content even more holiday promotions can be found,
including a more in-depth version of the gift finder segmented by
age, gender, and free shipping recommendations. There is also a
holiday shipping chart to give consumers ample warning and time to
plan their purchases. The entire site wraps together neatly to
embody the holiday theme without going over the top, and it was all
prepared months before Christmas, bringing the holiday mood to
consumers just a little bit earlier than other stores.
Of course, not all of your effort should be devoted to your site's
front end. As with any major promotional campaign, you'll want to
track every aspect of your site, every new source of business, and
the impacts of all your efforts. If your current tracking involves
nothing more than a simple analytics tool, it may be time to look
for something more robust. Systems like Urchin, CoreMetrics,
FireClick and HitBox Pro offer sophisticated ecommerce tracking
applications that monitor everything from conversion rates to
abandonment and segmentation drop-off.
If you don't have the time or budget to switch to a high-end
analytics package, consider adding some extra tracking of your own.
On the most basic level, you'll want to uniquely identify each
method by which visitors access your Website, be it search engine
marketing, email blasts, or some other tactic. Monitor the daily
clicks receive by each of your special holiday tools and recommended
gifts. If a particular category attracts a higher level of activity
or sales, consider increasing your promotion or discounts to really
push orders up. The better you understand how visitors navigate the
site, the easier it will be to determine exactly which items, tools
and elements are working, and which are not. Try to optimize your
site two or three times during the period to ensure that you really
are maximizing your results, and not wasting space with unused
features or options. When everything's done, all the orders are
shipped, and you've got a minute to breathe, you will want to start
going over all the data to figure out which elements really
preformed, and which fell short. The more you learn from this
holiday season, the better you can adjust and prepare for future
promotions, or even the 2006 season -- it's never too early to start
planning.
Make it Count: Fulfill it All, or Close the Doors Early
There are a lot of quick, easy ideas you can throw at an existing
store to help boost your holiday sales volumes, but it's perhaps
more important that you're able to deliver on the orders you receive
than to simply focus on bringing more through the front door. People
expect to receive their orders before Christmas, so you must ensure
that you can handle the volumes you recieve. Find yourself some
potential temps -- even a few kids from your area -- to take on
simple tasks like gift wrapping and shipping. Every year, there have
been a few big name ecommerce stores that simply fell apart trying
to keep up with holiday gift buying demand. The result of failing to
deliver on a wide scale? Well, let's just say that Toys-R-Us doesn't
sell online anymore. If the volumes are too high to handle, close
the doors: turning business away beats an inbox of refund requests
and chargebacks any day.
Holiday sales are just waiting to be captured -- you needn't
implement all this advice to see an improvement in your sales
figures. Simply pushing consumers from shopping for themselves to
shopping for others may be all you really need to do. From there,
the opportunities are endless: add whatever you can for this season
and consider it a test. Many of these ideas can be used throughout
the year, too, so, start small or big, but don't let the opportunity |
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