If you work in procurement as a buyer for an online store, this blog post is tailored to assist you in gearing up for the upcoming Black Friday rush. Your role as a buyer is pivotal in ensuring that your webshop has the correct products in stock to meet the anticipated demand during Black Friday. To thrive during this frenzied period, it is imperative to base your decisions on precise data and strategic planning.
One of the most effective methods to prepare for Black Friday is to analyze previous sales data from the holiday event. By examining the sales trends and demand patterns from previous Black Fridays, you can gain valuable insights into which products are in high demand and which ones have lower appeal. Armed with this information, you can optimize your inventory, ensuring a comprehensive supply of the most sought-after items while mitigating the risk of overstocking less popular products. Additionally, studying the lead-up to Black Friday can provide insights into the latest market trends and consumer tendencies.
In this regard, collaborating closely with your sales and marketing teams is beneficial. They can offer insights into consumer behavior and general market trends. Keeping an eye on various social media platforms, including TikTok, Pinterest, Instagram, and Facebook, can also be instrumental in identifying trending brands or products within your target audience. For instance, if a particular brand or product is experiencing high demand, this knowledge can guide your procurement decisions, allowing you to order the appropriate quantities.
Pricing plays a pivotal role in Black Friday‘s success. Consumers expect tempting offers and competitive prices, so developing a pricing strategy that attracts customers while ensuring healthy profit margins is critical. A pragmatic approach involves analyzing competitors’ pricing and previous Black Friday offers.
Collaborating with your e-commerce team, you can strategically position your webshop by offering competitive prices that maintain a favorable profit margin. Additionally, consider utilizing dynamic pricing, which can be adjusted in real-time to respond to shifts in demand and the competitive landscape during Black Friday.
You can leverage historical data to determine which items should be used as customer magnets, requiring exceptionally competitive pricing. You can use your sales history to estimate market conditions, identify the lowest prices, plan targeted campaigns, and even feature products in your upcoming newsletters.
Simultaneously, it makes sense to identify items that can boost your average profit margin and cart value, where matching the lowest market price may not be necessary.
Taking it a step further, you can automate pricing adjustments based on a product’s sales performance. If sales surpass expectations and your inventory is running low, raising prices can be a sound strategy to enhance profitability.
Close collaboration with your suppliers is key for a successful Black Friday. Begin discussions well in advance to outline your sales volume expectations and delivery timelines. Clear communication with your suppliers can prevent delays and ensure sufficient inventory availability during the peak period.
Additionally, maintaining a healthy relationship with your suppliers ensures you receive crucial information to stay well-prepared. For instance, suppliers may introduce new products with potential demand among your target audience. With advanced knowledge, you can set up pre-orders and ensure these products are in stock.
If you have scheduled meetings with your suppliers, consider compiling a comprehensive list of all products, current sales data, and market prices. This enables you to assess how your product assortment compares in terms of pricing against the market. Combining this with your profit margins, you can calculate the necessary discounts to remain competitive.
Before placing substantial orders, it’s also tactful to cross-check the item numbers you’re about to order. If the difference between the suggested retail price and the lowest competitor’s price exceeds the percentage tolerance you’ve set, reconsider your order quantity.
To streamline your preparation and purchasing decisions, consider utilizing tools like tgndata.
By harnessing tgndata, you can effortlessly monitor your competitors’ pricing, identify price-sensitive products, and adjust your prices to attract more customers. This data can also enhance your discussions with suppliers. For instance, information about your competitors’ pricing can strengthen your negotiation position.
tgndata‘s dynamic pricing and reporting capabilities enable you to track real-time price fluctuations and respond to changing market conditions and demand patterns. This ensures that your business always offers the most optimal prices during Black Friday, ultimately delivering the best possible customer experience.
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