Two of the biggest shopping events of the year are just around the corner -- Black Friday and Cyber Monday, bringing in millions of shoppers looking for the best deals. Last year, around 59 million Americans shopped in stores on the Saturday after Thanksgiving, and approximately 200.4 million customers shopped during Cyber Week. It's the perfect time for your business to boost sales and attract new customers. However, with this surge in shopping, you’ll need to balance your inventory, marketing spend, and special offers to make sure you meet demand without overstocking. How can you do this? The key is rightsizing your plans.
What is Rightsizing?
When it comes to sales events like Black Friday and Cyber Monday, rightsizing means you're prepared but also flexible. About 85% of retailers worry about running out of stock during these busy shopping days. Rightsizing happens when you adjust your business's operations, inventory, and resources to align with the current market conditions and demands. You need to find the right balance between having enough stock, staff and marketing to meet your customer's needs, all while avoiding unnecessary costs.
Differentiating Your Strategy for Black Friday and Cyber Monday
It's good to know what deals shoppers want and where they're shopping to help you plan ahead. Even though Black Friday online sales jumped by 8% in 2023, hitting $70.9 billion worldwide, many shoppers still prefer heading to stores to hunt for deals in person. Last year, in-store traffic increased by 4.6%, with customers searching for big-ticket items like electronics and toys. If you have physical stores, make sure they are well-staffed and stocked up to handle the rush and keep those popular items available for customers.
Cyber Monday is more focused on online shopping, with some in-store promotions available. In 2023, 44 million people shopped on Cyber Monday using their desktops or laptops, while mobile devices made up about 59% of total sales. As a business, this means it's important that you focus on your online presence, so ensure your website is fast, mobile-friendly, and ready for high traffic.
Ensuring You Have the Right Inventory
Having the right inventory for Black Friday and Cyber Monday can make or break your sales. In 2023, inventory management was more important than ever, with 17% year-over-year growth in order volume on Black Friday and 22% on Cyber Monday. To get this balance right, look at your past sales data. What items flew off the shelves last year? Which ones didn’t? This will help you predict demand and place orders accordingly.
Many retailers also leaned into buy-online-pick-up-in-store (BOPIS) strategies, which accounted for 24%-25% of Black Friday weekend orders, helping them manage inventory across both online and physical locations.
Reaching the Right Audience with Targeted Marketing
When you speak to everyone, you speak to no one. Rather than casting a wide net, focus on targeted marketing that speaks directly to your ideal customers. Use data like past shopping behaviors, demographics, and interests to create personalized ads or email campaigns that resonate with them. 74% of marketers say that when they tailor their messaging to specific audiences, it leads to better engagement. Something as simple as adding a customer’s name to an email can increase open rates by 50%, and personalized emails are 6 times more likely to lead to a purchase than generic ones. It's a simple yet powerful way to connect with your audience on a more personal level.
Maximizing and Personalizing the Cart Experience
A well-thought-out, personalized cart can increase the chances of a customer completing their purchase and even adding more to their order. For example, if someone adds a sweater to their cart, suggesting matching accessories like scarves could increase their order value by up to 369%. Small perks, like offering free shipping when they reach a certain amount, also motivate customers to throw in that extra item. Even simple touches, like greeting them by name or reminding them of items they left behind, can make a big difference in keeping them engaged and increasing sales.
Advertising & Balancing Your Inventory
When advertising for Black Friday and Cyber Monday, a successful campaign can contribute to as much as 25% or more of your annual revenue. It's important to make sure your ads reflect what’s in stock and update them frequently to avoid promoting items that have sold out. Many businesses use dynamic ads that adjust based on real-time inventory, making sure customers see only what’s available.
Conclusion
Making the most of Black Friday and Cyber Monday is all about rightsizing your plans. Balance your inventory, marketing, and special offers to meet customer demand without going overboard or running out of stock. Depending on your business, think about tailoring your approach for both in-store and online shoppers, using targeted marketing, and keeping your ads updated in real-time to reflect what’s actually available. With a smart game plan, these shopping events are a great chance to drive more sales and build strong, lasting connections with your customers.
