9 Ways to Offset Seasonal Business Dips
Some businesses have peak periods when their services and products are in high demand. Landscapers, HVAC techs, roofers, and stucco companies are busiest in the spring and summer. Seasonal business peaks for florists are Valentine's Day and Mother's Day.
If you run an ecommerce business your seasonal dips may have different patterns. The Christmas holiday shipping season could be a peak season but the summer months could be a low point.
Regardless of the nature of your business, your peak seasons are often the key to your success. Having a small business financial planning agenda is a must to get you through the less profitable months.
Even without seasonal lows, businesses need to be prepared to handle dips in revenue.
Are you a business owner concerned about making it through revenue slumps? Keep reading for nine ways to maneuver your way through months when your business is making less money.
1. Know Your Seasonal Business Cycle
The best way to deal with a seasonal dip is to know when it occurs. By your second or third year of business, you should have a good idea of your client's buying habits.
Starting a business means highs and lows. You'll ace the same pros and cons of big business. If you're going to be successful, you'll have to learn to deal with it to remain profitable for the fiscal year.
2. Measure the Difference in Revenue Intake
There is no doubt that seasonal business provides a significant boost to small businesses. This doesn't mean that the other months of the year aren't good months as well. Measure the difference between revenue intakes.
Are you still able to meet financial obligations in your slowest months? Or are you robbing Peter to pay Paul? If this is the case, focus on ramping up your sales in the months with the lowest revenue earnings.
Getting consumers to your website during slower months will also create an uptick in sales that flow into the next month.
3. Survey Your Regular Customers
Create a customer satisfaction survey. You may think the reason for the dip in business from one season to the next is obvious. A survey may reveal some things you never imagined.
Having an ecommerce business provides you with the tools to capture customer data. You can track their spending habits and send surveys to those with particular spending habits. Understanding how your shoppers think is vital to your success.
Take the information from the surveys to understand your target audience. Develop marketing initiatives like free shipping to keep your loyal customers coming back year-round.
4. Launch a Marketing Campaign to Attract New Clients
It's easy to get comfortable with your regulars, but business owners should never become so complacent they stop looking for new customers. For every regular client you lose, you will need multiple new customers to fill their void.
Create a marketing campaign geared toward attracting new clients. Be specific in your wording to let people who are unfamiliar with your product know you're talking to them.
People love saving money. Offer a first-time buyer discount to encourage them to place an order. Host a live online event on social media to tell people about your products.
5. Become More Visible Online
Slow sales months are a good time to get online and let people know about your business. There are so many ways you can attract new customers. Run a contest or create a video ad and boost it for a larger audience.
Set a certain time and day to do a product demonstration or a Q & A session. People love to interact with business owners online. Seasonal businesses have to become creative to remain relevant.
Use the opportunity to build a contact list for future marketing.
6. Enlist the Services of an Influencer
Influencers have become very popular over the past few years. These are individuals that are respected and have large followings. You are more likely to see influencers on social media platforms like Instagram and YouTube.
For ecommerce businesses, an influencer during dips in business can make a huge difference.
Not all influencers are on social media. On the local level influencers can be popular pro athletes or a news anchor. If you're lucky, an old high school friend who made it big can host a virtual meet and greet to talk about your website and products.
7. Ramp Up Your Marketing Strategy
If you are not actively promoting your website through digital ads you should. The internet has millions of users every day and you can reach them through Google retargeting campaigns.
A Retargeting strategy can be very useful for a seasonal business. The strategy allows you to capture data from website visitors when they visit your site. You take the information and create digital ads that appear on other websites the person visits.
These custom ads remind the person of the items they viewed on your website and provide incentives for them to return.
8. Invest in Every Door Direct Mail
One mistake ecommerce business make is forgetting about potential consumers in their own backyard. Every Door Direct Mail is a service offered by the US Postal Service. It allows businesses to tailor marketing campaigns to specific audiences.
Promote a new product, advertise a sale or simply let residents know about your online business. It is a proven effective way to spotlight your website.
9. Offer a Loyalty Program to Current Clientele
Businesses with a strong clientele base need to have a loyalty program. If you have seasonal business dips consider special promotions during slow months.
Set a day and time they can use special product codes to receive a discount or buy a new arrival item.
Don't Let the Dips Get You Down
Seasonal business dips are an unavoidable part of doing business. Use these nine tips to keep customers coming to your website.
Businesses that ship merchandise to clients should be integrating processes to improve the shopper's experience. Contact us today to see how our integrations can take your ecommerce business to the next level.