Despite record-breaking prices at the gas pump, hard-hitting hurricanes, skyrocketing energy costs and a host of other debilitating disasters, predictions for holiday spending are positive.
The NPD Group, which provides global consumer and retail information, and the National Retail Federation (NRF) both expect moderate holiday sales growth. With a pinch of strategic thinking and a dash of creativity, you can use marketing to maximize your holiday sales.
Simplify shopping
While most of us like to shower those we care about with gifts, many of us view the act of shopping for gifts as sheer drudgery. Add to that the results of a recent NPD Group survey that found that 48 percent of holiday shoppers prefer to buy special gifts the recipients wouldn’t buy themselves and that 27 percent also say they will pay more for the perfect gift.
Use this to your advantage. Direct your marketing to their point of pain.
• Businesses that can simplify the process provide a value-added service. Advertise gift suggestions with a theme or by price points. Let your customers know that you have gifts to fit every budget and personality — gifts under $10, $50, $100; or gifts for book lovers, cooks, sports fans, etc.
• Although they may want to give the perfect gift, many shoppers are clueless about how to find it. If you’re able to offer help, advertise a complimentary personal shopping service.
• Use your expert status to make shopping easier. Let shoppers know that you will display shopping tip sheets or a list of hot-selling gifts.
• If you have a Web site, make sure it’s ready to welcome holiday visitors and shoppers. Web sites can be great advertising tools and a great way to offer added value to customers. For example, you could include free holiday e-cards as a bonus for web customers; include a holiday gift ideas page, broken down into different price categories; or even offer reduced shipping rates as a perk.
Add value
Everyone likes to get value for their money. Sometimes even a tiny add-on can make the difference between someone patronizing your store or your competitor’s. Why not advertise that you’re giving shoppers free recipes for holiday goodies? Better yet, offer samples of tasty holiday treats and give the recipe to those who make a purchase in your store.
Open your heart
Research also suggests that a trend will be giving to those in need this holiday season, making shoppers more inclined to shop at places where a portion of the proceeds will go to charity.
Of course, you can’t only do this as a marketing ploy, but if you can offer to make a contribution, it’s important to let customers know. They may be more inclined to patronize your business if because of your charitable contribution.
Use the power of partnerships
Gifts of experience — such as spa days, meals at area restaurants, and travel or entertainment packages — are not a new concept but research suggests that their popularity will grow. This could be a good opportunity to add another gift category. If you sell toiletries, you might pair a bath oil gift set with a day at an area spa for a great gift package for instance.
Partnerships also provide a different way to use gift cards, which continue to have stellar sales. According to a report released by American Express in February 2004, gift cards accounted for more than $17 billion dollars in 2004, or eight percent of all holiday sales, so there’s good reason for businesses to climb aboard. A clothing store and a beauty salon might create a package that includes an article of clothing and a gift card to the salon.
Make sure that you communicate your ability to help lots of challenged shoppers find that perfect, unique gift to capitalize on the predictions of good holiday sales.
Happy holidays!