Black Friday and Cyber Monday are at the center of the holiday shopping season. Retailers can expect an increase in sales as consumers search for holiday deals. Contrary to popular belief, the holiday shopping season does not end on Christmas Day. Sales peak between Christmas and New Year’s Day when consumers use gift cards and purchase the things they did not receive as gifts.
Post-holiday promotions are the key to making the most of the most active sales season. It is advisable to spend some of the holiday marketing budget for after Christmas Day.
Here are three promotion strategies to keep revenue high after the holidays, according to Entrepreneur:
1. Make it easy for customers to make returns and exchanges. During the holidays, 20% of Americans expect to return at least one gift. This makes it more likely for gift recipients to return to your store or site. It also gives you the opportunity to up sell. Consumer spending, in these cases, tends to be positively correlated to the ease of the process. Free shipping on returns items, according to Entrepreneur, can lead to 58% to 357% increases in purchases over a two year period.
2. Re-engage potential customers. Many retailers will not see 20% to 40% of holiday shoppers until the next holiday season. The gap between purchases can be reduced by reconnecting with those customers. Retailers can target customers who view items online, but do not make a purchase. Showing customers what they looked at could increase their interest and lead them to make the purchase. Discounts and other special offers could also drive them to do business with you.
3. Launch new products on the 25th. On Christmas Day, many customers are prepared to make purchases. It is a great time to introduce new products at full price, balancing the discounts on holiday inventory. This serves to engage motivated consumers and welcome new customers without taking a revenue hit by offering discounts. A Shop.org survey revealed that more than 30% of retailers plan to spend up to 50% of online-marketing budgets during the holiday season. January is a great sales opportunity, so some of the budget should be reserved for after the holidays.