BFCM 2023: Exploring Discount and Alternative Strategies

Black Friday and Cyber Monday are not just about slashing prices. They’re strategic landmarks on the retail calendar, offering the opportunity to enhance brand perception and drive sales in a creative way.

When to Use Discounts

Crafting a BFCM strategy is like assembling a custom jigsaw puzzle for your brand—every piece must fit your goals, your products, and, most importantly, your customers. Whether it’s discounting end-of-line stock to refresh your inventory or devising non-discount promotions that build long-term brand loyalty, the key lies in understanding the motivations behind your customer's clicks and purchases before you implement your BFCM strategy.

Discounting can be a smart move, but sometimes the best discount might be no discount at all. The truth is, discounts are double-edged swords. Wielded strategically, they can carve out a competitive advantage and boost sales, but when used indiscriminately, they risk devaluing your brand and thinning profit margins. 

The question isn't just whether to use discounts, but when.

Early Access

Serving as a prelude to the Black Friday frenzy, early access discounts not only tap into the anticipation of bargain hunters but also reward your most engaged customers with a sense of exclusivity.

Grant your subscribers the privilege to skim through deals before the general public and you create a compelling incentive for them to commit early, ensuring they don't hold off on potential deals elsewhere.

This tactic can also provide data on customer preferences and buying patterns, with early interactions yielding a preview of what might resonate best during the main event.

Time-sensitive Deals

'Deal of the Hour' promotions inject energy into your Black Friday sales, keeping customers riveted to your offers throughout the event. This approach not only maintains high engagement, presenting a new value proposition every hour but also encourages repeat visits.

Time-sensitive deals create a sense of urgency that taps into the psychological trigger of scarcity, compelling customers to make snap decisions. By staggering discounts across different products or categories, you can cross-sell and introduce customers to a broader range of your inventory.

These ‘too-good-to-pass-up’ promotions help mitigate the risk of a single discount overwhelming your supply chain, allowing for a smoother operational flow and more controlled stock management during the high-traffic period.

Targeted Discounts

In a market where consumers are inundated with choices, making them feel special isn't just a nicety—it's a necessity. The modern consumer, awash with options, seeks a shopping experience that feels bespoke and considerate. Stepping beyond the one-size-fits-all approach allows us to craft discounts that resonate personally with diverse customer segments. 

Targeting first-time visitors with welcome discounts stokes the embers of a budding brand relationship and Black Friday is as good a time as any to strengthen your relationship with new subscribers. Contrast this with the seasoned buyer, where a bundle deal sweetened with free shipping echoes a thank-you for their loyalty. 

By tailoring discounts to fit the customer's unique journey and purchase history, we not only enhance the perceived value of our offerings but also the customer's connection to our brand. 

Smart discounting during BFCM, based on customer data and shopping habits, ensures that your discounts are not just driving sales, but also building a foundation for sustained customer relationships post-event.

Discounts have always been the go-to approach, but it's important to consider the broader spectrum of promotional ideas and find ones that align with your brand's long-term vision and values.

Non-Discounted BFCM Strategies

There are plenty of inventive ways to enchant customers without reducing your prices. Non-discounted BFCM strategies can boost sales and strengthen brand integrity, and are a good way to protect your margins.

Preserve the perceived value of your products while still participating in the BFCM excitement with these non-discounted strategies.

Smart Bundling

Bundling products can move less popular stock while increasing your average order value—a strategic win-win.

The key to successful bundling lies in the art of combination; pairing items of similar value and utility is often more appealing than mismatched pairs. Transparency in the bundle's value and conditions can make the difference between a confused customer and a satisfied one.

Making bundling optional also respects customer autonomy, allowing them to partake in the deal or opt for individual items as they see fit.

Gift Cards

Another avenue is to look beyond the immediate gratification of BFCM. Offering gift cards as a reward for purchases made during the event can ensure future engagement.

This strategy plays on the endowment effect; customers value the gift card as 'cash in hand' and are more likely to return to redeem it, especially if it has an expiration date that nudges them to act swiftly. It's a sophisticated method of fostering loyalty while postponing the discount to a future transaction.

Doubling Down on Loyalty

Leveraging your loyalty programme during BFCM can bolster customer retention without resorting to discounts. Offering double points or similar is an excellent way to acknowledge and reward your loyal customer base without slashing your prices.

Introduce exclusivity while incentivising purchases that might have been otherwise deferred. Special perks for loyalty members can also include expedited shipping or early access to deals, enhancing the perceived value of being a loyal customer.

Final Thoughts

The potential of this shopping season is vast and varied. Discounting tactics have their place, but they're just one part of a more complex customer engagement puzzle. The key to unlocking the full potential of BFCM lies in understanding your customers and creating tailored experiences that speak directly to their needs and desires.

This is where crafting a precise, effective BFCM campaign becomes both an art and a science.

At Mélusine Studio, we specialise in bespoke email marketing campaigns that cut through the noise to create meaningful connections with your audience. Let’s have a chat and find out how you could supercharge your brand’s BFCM approach.