{"id":1506922,"date":"2022-07-24T07:55:05","date_gmt":"2022-07-24T11:55:05","guid":{"rendered":"https:\/\/www.practicalecommerce.com\/?p=1506922"},"modified":"2022-08-29T13:04:29","modified_gmt":"2022-08-29T17:04:29","slug":"7-holiday-revenue-generators-amid-inflation","status":"publish","type":"post","link":"https:\/\/www.practicalecommerce.com\/7-holiday-revenue-generators-amid-inflation","title":{"rendered":"7 Holiday Revenue Generators amid Inflation"},"content":{"rendered":"

Inflation continues to impact merchants and consumers. We’ve addressed reasons for price hikes, which include supply chain disruptions, overall demand, and how rising costs could harm<\/a> direct-to-consumer brands.<\/p>\n

Inflation alone may result in record-breaking declines<\/a> during the 2022 holiday shopping season, especially for essentials and tech-reliant products. Higher packaging and delivery costs will make competing against the internet’s most prominent retailers more difficult.<\/p>\n

But merchants can still profit. Cost-cutting tactics include streamlining customer support and opting for generic packing materials over custom. And critical revenue generators help consumers save money on gift-giving.<\/p>\n

Holiday Revenue during Inflation<\/h3>\n

Volume pricing can be a win-win for consumers and retailers.<\/strong> Volume pricing can help shoppers save money while increasing average order values. And it doesn’t have to restrict buyers to the same product. Offering quantity-based discounts across categories or the entire website can reward loyal customers and attract new ones.<\/p>\n

Consider, too, tiered pricing that adjusts discounts at various shopping cart thresholds. For example, buying $200 worth of product could trigger a 5% discount; $400 could trigger 10%. Party at Lewis, a retailer of special-occasion supplies, offers mix-and-match savings based on the total number of products.<\/p>\n

\"Screenshot

Party at Lewis uses a tiered pricing model. Customers can mix and match 12 items for 10% off, 24 items for 15% off, and so on.<\/p><\/div>\n

To be sure, not all products are suitable for bulk discounts. Thin-margin items are problematic, as are status-type goods that rely on a perceived value. Regardless, use clear language to explain how discounts work.<\/p>\n

Launch reduced-price product kits. <\/strong>Offering items frequently purchased together, such as master products with accessories, simplifies the buying process and boosts order values. Even small discounts that offset sales tax help shoppers’ budgets. Cricut, a retailer of crafting goods, bundles its cutting machines with supplies.<\/p>\n

\"Screenshot

Selling kits of products increases order values. Source: Cricut.<\/em><\/p><\/div>\n

Introduce buy now, pay later options. <\/strong>BNPL services such as Klarna and Afterpay deliver funds to merchants quickly, less a fee, while allowing customers to pay over time<\/a>. This “better than layaway” option \u2014 customers receive goods before making a payment \u2014 helps cash-strapped shoppers.<\/p>\n

No-rush shipping. <\/strong>Consumers know that expedited shipping costs are on the rise. Using simple words such as “no rush” tells shoppers they can save on delivery fees if they’re willing to wait<\/a>.<\/p>\n

Build waitlists or accept “charge later” pre-orders. <\/strong>Many merchants list high-demand, unavailable products as merely “out of stock.” But creating a waitlist is a better practice. Then notify shoppers when the goods arrive or, even better, collect their payment information for automated restock shipments. Be sure to list lead times.<\/p>\n

Offer loyalty-program members locked-in pricing. <\/strong>Trendy products will sell out quickly, resurfacing on auction sites and marketplaces at higher price points. Reward your most loyal customers<\/a> by earmarking inventory.<\/p>\n

Sell custom-amount gift cards. <\/strong>Rather than pushing fixed value gift cards, let shoppers decide the amount. They can then enter the cost of out-of-stock products and pop it into a greeting card with an image of the gift. Strategically place a “buy a gift card” link next to “out of stock” messaging.
\n<\/p>\n

Sell More<\/h3>\n

Some online sellers anticipate a lean holiday season in 2022. But if you start planning now, you can sell more than expected and expand your loyal following.<\/p>\n","protected":false},"excerpt":{"rendered":"

Consumer spending could decline this holiday season owing to inflation. However, online merchants can implement selling strategies to support gift-giving needs without losing revenue. <\/p>\n","protected":false},"author":273,"featured_media":1507048,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":"","_wp_rev_ctl_limit":""},"categories":[58305],"tags":[31768],"class_list":["post-1506922","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-product-pages","tag-holiday-selling",""],"acf":[],"yoast_head":"\n7 Holiday Revenue Generators amid Inflation - Practical Ecommerce<\/title>\n<meta name=\"description\" content=\"Consumer spending could decline this holiday season owing to inflation. 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