Deals businesses have gone viral all over the world. The ever increasing competition is not only making group buying business a hard struggle for new contenders but is also giving a tough time for the established players as well. Many deals businesses have started losing out their sales to much younger competitors and hence it is time for them to rethink and refresh strategies to find back the lost pace.
While looking into the areas which have let your sales down, the advanced marketing methods and business strategies of your competitors would be among the main reasons for the drop. Well, in the field of business, learning from your competitors helps you stay ahead and hence there is no harm in learning from them.
CSO Insights, a research firm which does extensive analysis to throw light on best sales and marketing practices adopted by various online business has released an useful report which reveals how advancements of competitors can harm a daily deals business.
Strategy #1: Better Pricing
According to the survey 79.6% of daily deals business drop due to better pricing of competitors.
From a customers’ point of view deals are all about saving huge money and hence they tend to go with the group buying sites which offers the biggest saving. Pricing is one of the key strategies which govern the success of deals business and hence take good care in pricing. If you are setting up a high price, you should be able to justify it in order to make a good sale out of it.
Strategy #2: Good Customer relationship
Maintaining a good relationship with customers steadies the growth of group buying business.
55.6% of deals sites lose business because of the fact that their competitors are doing it better. Set up a perfect customer relationship panel which takes care of all your customer queries.
Revamp your newsletter system and keep your customers informed about the new arrivals, seasonal discounts, special offers and any other updates related to your business. Conduct loyalty programs to reward regular customers.
Strategy #3: Brand reputation
Brand reputation helps a lot in driving sales. Brands which have earned the goodwill of consumers can easily market their products and this is true for businesses of all types.
A daily deals business runner who is not so popular among the deals shopping community can lose over 37% of sales due to poor brand popularity compared to the competitor.
Prepare a perfect plan for creating awareness for your brand. Social networking platforms are the best channels to earn larger brand visibility in quick time and minimum investment. After getting your brand popularized, selling and up-selling becomes a cakewalk.
Strategy #4: Marketing Strategies
Marketing campaigns define the growth of business and serve as the gateways to fetch more. Going by the same research report of CSO Insights, we can infer that 20% of group buying websites lose business due to their poor marketing strategies.
Marketing is the prime medium which helps your business reach out to millions of users. Hire a perfect word smith who could understand your business to the core and interpret your ideas in short and sweet marketing copies appropriate to the mediums in which they are used. Refining your contents will make sure that your messages to your target audience are unmistakably delivered.
Strategy #5: Service and support
You want your site’s visitors to turn into shoppers and once it is achieved your next move would be to turn them into a loyal customer. Loyal customers are valuable resources for a daily deals website as they keep the business up and running irrespective of the seasons.
CSO Insights say that 16% of businesses lose sales due a better service and support offered by competitors.
Streamline your customer support to offer online help for your customers like assisting in payments and clarifying service related queries. A perfect post and pre sale support will improve your company’s goodwill and motivates customers to recommend you to their friends.