As online mega-sales like ClickFrenzy this week rise in popularity, there is huge opportunity for retailers to fine-tune their sales strategies and fast-track growth.
Mega-sales are increasing in popularity, with Australia’s own 24-hour sales ClickFrenzy taking off this yesterday for the seventh consecutive year. And with Black Friday fast approaching, there is a lot retailers can learn from consumer-purchasing habits during these online sales, an expert says.
During last year’s Black Friday sales Australians spent more than $200 million—16 per cent more than in 2016—a rising trend that is likely to continue, with data from Courier’s Please revealing that Black Friday and Cyber Monday have seen a 10 per cent year-on-year growth.
Kylie Gleeson-Long, Managing Director ANZ of dunnhumby says that retailers should increasingly be looking at ways to leverage the success of days like ClickFrenzy in a broader context – by bringing this focus on the customer into broader sales strategies.
“Mega-sales like ClickFrenzy and Black Friday are a perfect opportunity for retailers to take stock and consider how every single day of the retail calendar can be as special for customers. Why can’t every day be like ClickFrenzy for loyal customers? Preparing for these mega-sales forces retailers to look through a customer-first lens in a way that may get swept under the rug at other times of the year,” she says.
Think customer-first
Putting the customer at the centre of every element of a retailer’s strategy is the best way to gear up for mega-sales like Click Frenzy, Gleeson-Long says. But the lesson learnt from these mega-sales should also be used at other times throughout the year, she says.
“Retailers are competing for clicks more so than ever during mega-sales, and need a strategy which will help them stand out. Thinking customer-first is the best way to differentiate in this busy period. ”
Data is key
Learning from customer data is absolutely critical for retailers to understand the customer ahead of these mega-sales, Gleeson-Long says.
“Retailers should be thinking about how to capture and analyse the customer data that mega-sales events like Click Frenzy and Black Friday generate to implement a strategy to apply the insights to make decisions made with the customer in mind for a more rewarding experience,” she says.
“Maximising these vital interactions with their customers, and delivering more relevant, personalised messaging will keep customers coming back for more—for far longer than the end of the sale.”
Useful data includes information around what consumers are consistently buying and searching for – information which is key to effective promotional content during mega-sales like ClickFrenzy, where consumers are often bombarded with material, Gleeson-Long says.
Having access to and understanding this data, which can be sourced through a third party, enables retailers to pre-empt consumer decisions and target promotions more effectively including with personalized product recommendations, Gleeson-Long says.
“Personalised product recommendations can be offered to individual customers based on a number of factors, such as: products they have purchased previously, when they have opted in and out of these types of offers, or their preferred communication channel.”
Fending competition with personalization
These mega-sales offer critical opportunities for businesses to convert consumers to your brand, Gleeson-Long says. But competing with other brands with competitive pricing means that personalization is the best way to get ahead of the market.
“With competition at a high during mega-sales, when everything seems to be discounted, brand loyalty can be thrown out the window as customers hunt for a bargain. To combat this, retailers must offer not only relevant products, but also fully personalised and tailored retail experiences,” she says.
The last mile
Optimising the consumer’s experience throughout the entire supply chain is also essential, Gleeson-Long says, and this means a transparent delivery process.
“In the retail supply chain, there are numerous touch points to engage with the consumer, even after an item is purchased. Keep them informed of when an item ships, share updates around the delivery process and expected time of arrival, and check-in to ensure the item has met or exceeded their expectations.”