Black Friday, the power of momentum
Author: Lex Voorhout
Author: Lex Voorhout
Your mailbox is probably still full of the Black Friday mails from last week. The hype came from America and has been growing in popularity in The Netherlands for years. So, what is the strength of this collective marketing stunt that generates record sales every year and what can you learn from this?
Besides Black Friday there was another day last Monday called Cyber Monday. In the run-up for the Holidays, this is the most popular moment to shop for presents. Last year this weekend had an online profit of 850 million euro, and this year it will be quite similar. What sets consumers to go on a shopping spree and how do you respond to this?
For starters, the power is in the momentum. In America, Thanksgiving is celebrated on the fourth Thursday of November, and many people are free the next day to celebrate a long weekend. Marketeers saw an opportunity to transform this Friday into Black Friday. With the holidays on the way, consumers are very sensitive for sales and are thus easily wrought-up for purchases.
When you’re talking about discounts, it is to no surprise that this trend is growing in popularity in The Netherlands as well. This is mainly thanks to us and the fact that we purchase online on foreign websites more often such as Amazon and AliExpress. The big online warehouses such as Bol.com, Wehkamp and Coolblue responded to the discounts of the foreign websites and in no-time not a single retailer was able to ignore this hype.
Enough reasons to go along with this hype one would think, but is that really the case? Perpendicular to all opportunities Black Friday brings, more and more resistance comes from the market, especially from small retailers, that Black Friday is not always profitable. High discounts on products with limited margins, extra use of marketing and staff and high retour-percentages that come with these days have to be carefully thought of in advance.
Are you convinced that you can swing a home-run with Black Friday? Make sure you are very well prepared. It is not only about giving discounts on products, there is more than meets the eye. Even though you offer the best discounts, it is just as important that you bring your products under the attention. As you have noticed in your mailbox last Friday, you are not the only retailer out there. It is advisable to start thinking about your marketing campaign and how you are going to apply this strategy during the Holidays, for at least two months in advance. This way there will be plenty of time to shape and start your campaign.
Make sure to put high stakes in (online) advertisements. Consumers have a much stronger intention to buy compared to normal circumstances. To ensure that you get as much possible potential clients in your shop or website, it is essential to make good arrangements beforehand.
Finally, try to maximize your profit. Don’t make the mistake and focus solely on revenue, because that is hard enough during this discount spectacle, but also focus with an eye on the future. If you play your cards right in this period, the chance of gaining new customers is big. Try to pluck the fruits of this endeavor in the long run by means of repeated purchases by your new group of clients. You already know what people have bought and that they are extra sensitive for discounts, link this in a strategical way to a follow-up action and turn these bargain hunters into loyal customers.
The right preparation
All in all, Black Friday and Cyber Monday are not that different from Valentine’s day, Singles Day, Father’s day, Mother’s day or a random sports event in which they play to the emotions of consumers revolving around a specific event and the anxiety of missing an amazing sale or discount.
The success you can achieve as a retailer succeeds or fails with a well thought through plan. A strategical plan to get the right message across to your consumer before, during and after the momentum and to take full advantage.
Are you curious to find out how to best plan your strategical marketing campaign? Let Get Hooked advice you. We are experienced in developing marketing strategies and developing marketing campaigns. Set your brand on high in the run-up for the Holidays and reach out to us.