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From Holidays to Special Events: 10 Easy Steps to Craft Effective Seasonal Discounts

A step-by-step guide of creating seasonal discounts for Shopify stores

Any festive season is significant for both sellers and buyers. Online sales totaled $131.5 billion between November 1 and December 2, according to Adobe Analytics. So, a lot of Shopify merchants offer many exclusive seasonal discounts to draw more customers.

Is a sale always profitable, though?

Regretfully, no. Your sale might not be successful. What will you do, then? Don’t provide any discounts? However, doing so will make customers less interested in your store. The correct response is strategically planning the discount.

But how do you strategize a discount campaign? Keep reading to know all the tips and tricks.

Specific Events And Seasons to Offer Discounts on Your Shopify Store

Holidays and Celebrations

You can use any holidays to offer seasonal discounts. It will depend on the types of products you sell. Suppose you sell winter clothes. You can’t offer a summer sale, can you? So, choose events wisely. During Christmas and New Year, people buy a lot of gifts. So you can give discounts on winter clothing, gift sets, and items with holiday themes.

How can we forget Valentine’s Day? Set up a sale with flowers, jewelry, and romantic presents. You can provide discounts on items you believe any parents would find appealing on Mother’s Day and Father’s Day. Cyber Monday and Black Friday are excellent times to offer amazing discounts. Costumes and candies are the hallmarks of Halloween. So you know what to do, right? You can also create events on your business’ anniversary.

Seasonal Sales

The demand for outdoor equipment, swimmers, and summer clothing rises over the summer. So use this opportunity. During the Winter Sale, offer savings on winter apparel, accessories, and holiday décor. For children and their parents, the start of the school year is a significant time. Offering discounts on clothing, electronics, and school supplies is a fantastic concept.

Types of Discounts You Can Offer

Let’s take a closer look at the different types of promotions you can offer.

  1. Percentage discounts
  2. Fixed Amount Discounts
  3. Free Shipping
  4. BOGO
  5. Bundle discounts
  6. Flash Sale
  7. Holiday Themed Contest

Type#1 Percentage Discounts

Percentage discounts are a popular type of seasonal promotion. It provides a percentage reduction in the standard cost of a good or service. For instance, you may have a summer clearance sale where all summer apparel is 20% off.

Type#2 Fixed Amount Discount

Fixed-amount discounts provide a certain percentage off the standard price of a good or service. For example, during a Christmas promotion, you may give $10 off every order above $50.

Type#3 Free Shipping

Offering free delivery is a great way to entice customers to buy, especially during busy shopping seasons like the holidays. As a short-term promotion or for all orders over a certain dollar threshold, you might provide free shipping.

Type#4 BOGO (Buy One Get One) Offers

BOGO offers are a conventional marketing tactic. When a customer purchases a particular product, you give them a free item. For example, you might give a customer a free pair of socks when they buy shoes.

Type#5 Bundling Discounts

Bundling discounts are given to clients who buy several things at once. For instance, you could provide a discount on a collection of summer apparel goods when purchased together.

Type#6 Flash Sale

Flash sales or limited-time discounts create urgency. A flash sale means you offer a discount for very short periods of time. For example, you host a discount campaign on Christmas for 24 hours.

Type#7 Holiday-Themed Contest

Use a contest with a festive theme to engage your readers. Give them a chance to win a festive gift bundle or holiday package.

Suppose you are in charge of a travel agency. A vacation to a winter wonderland place might be the reward of a Christmas competition. Customers will be enticed to enter by posting their vacation travelogues on social media.

How to Create an Effective Seasonal Discounts Campaign

  1. Segment Your Customer Base
  2. Create Seasonal Collection
  3. Set Budget and Pricing Rules
  4. Make a Deal They Can’t Refuse
  5. Create a Timeline
  6. Maintain Inventory
  7. Spread The Word
  8. Ready For The Rush
  9. Decorate The Store 
  10. Use Technology

Step#1 Segment Your Customer Base

Customize your campaigns for various customer segments to improve relevance and engagement. For example, offer VIP clients special early access or discounts based on past purchases. You can easily do it with a discount app from the Shopify app store.

create seasonal discounts with an app

Step# 2 Create Seasonal Collection

Put related items in your store’s seasonal collections. Customers can now more easily explore and buy seasonally appropriate products. You should emphasize in your product descriptions how each product is appropriate for the particular event.

Step#3 Set Budget and Pricing Rules

Make sure the campaign continues to be profitable. Determine the most discount you can provide without suffering a financial loss. Establish restrictions (such as a minimum order value) on maintaining margins. Use the built-in Discount Settings feature in Shopify to automatically enforce limits. You can also use a quantity restrictions app from the Shopify app store.

Step#4 Make a Deal They Can’t Refuse

You should consider some factors when determining the discount amount. You should provide an appealing discount to increase sales. However, it can’t hurt your bottom line, can it? When determining the amount, consider both your profit margin and the cost of products.

Another important factor is the discount’s perceived value. A 10% discount might not be as enticing as a 20% discount, even if the actual savings are the same. Additionally, you should consider the level of competition and the discounts offered by other businesses in your industry.

You need to understand your customers’ desires. So you can do demand-based pricing.

Lastly, it’s critical to continuously test and refine your discount strategy. You can identify the most successful deals and modify your approach by examining the statistics and client reviews.

Step#5 Create a Timeline

You should consider how long the promotion will last. You should specify a shorter time limit if your promotion is only going to be active for a few days. It will create a greater sense of urgency. However, if your campaign will last several weeks or months, you should provide a slightly longer time restriction. Customers will have enough time to purchase without feeling rushed.

Planning promotional activities for when clients are most engaged or active is a smart idea. For example, you may want to begin your holiday promotion in the weeks leading up to the holiday.

Step#6 Maintain Inventory

Using seasonal prices requires effective inventory management. Keep a careful check on your inventory to satisfy demand during peak periods. You can also prevent overstocking during sluggish periods. In this manner, you can avoid losing sales or cutting the price of items that don’t sell substantially.

Step#7 Spread The Word

Use a multi-channel strategy to increase store traffic. Work with email marketing, social media, SMS marketing, and website pop-ups. 

You can notify your email list of the sale. Hashtags are vital on social media. They help people find your content. Use them in organic posts and targeted advertisements. Directly advertise sales on your home page or checkout page. Collaborating with influencers might attract their fanbase.

Use captivating language and images to grab the attention of potential customers. Seasonally appropriate celebratory themes are good to look at. Emphasize the urgency using expressions such as “Limited Stock Available” or “Hurry, ends soon!”

Step#8 Ready For The Rush

Train your customer support and sales team. They must be able to communicate properly with customers. Also, make sure your website can handle the extra pressure.

Step#9 Decorate The Store

Your Shopify store needs to be dressed up for the event. Update banners, product images, and color schemes to reflect the topic of the event. Make sure your customers enjoy the joyous atmosphere your store brings.

Step#10 Use Technology

The Shopify app store offers a large selection of automatic discount apps. These programs greatly simplify your work. Schedule discounts for special occasions, events, etc. at the time of your choosing to save time. Depending on the type of products your store sells, you can provide the discount as a price or a percentage. You can also target a specific audience base.

Challenges You Might Face in Seasonal Discounting

Here are common challenges of offering seasonal discounts and solutions to address them effectively:

  1. Increased Competition
  2. Stock Management Issue
  3. Profit Margin Erosion
  4. Discount Abuse

Challenges#1 Increased Competition

Many stores hold sales, particularly at specific seasons of the year. The competition will be fierce, and you may not receive any attention.

Solution: You must make your sales stand out if you want customers to choose your store over others. Develop original concepts or provide something unique that no one else has. Consider your store’s unique selling points and emphasize them in your sales.

Challenges#2 Stock Management Issue

You will sell a lot of items during a large sale. Lack of inventory will have a detrimental effect on your brand’s reputation.

Solution: Ensuring you have enough to satisfy the demand without having too much leftover is important. This entails organizing and figuring out what your clients are likely to purchase.

Challenges#3 Profit Margin Erosion

Seasonal discounts are excellent for encouraging purchases, but you must also make sure you’re still earning money.

Solution: This involves finding the ideal balance between the amount you must make to maintain the sustainability of your firm and the amount you discount. It’s similar to creating a home budget. You want to save money where you can but still have enough for all your needs.

Challenges#4 Discount Abuse

Some customers misuse discount codes, such as redeeming them multiple times or combining offers improperly.

Solution: Set clear discount rules (e.g., one-time use per customer or cart-specific restrictions). Use fraud detection tools like Shopify’s Fraud Filter to block suspicious activity. Monitor discount redemptions and adjust campaign settings if misuse is detected.

Benefits of Seasonal Discounts

Seasonal discounts are one of the best methods to increase sales, draw in new clients, and get rid of extra inventory. It could lead to more impulsive purchases from clients. You may increase brand recognition and attract new customers by strategically implementing promotions. Brand loyalty can be increased by providing devoted customers with special offers and rewards. You may make space for new products and get rid of outdated inventory by using seasonal promotions. Adding value through sales and discounts can improve the general shopping experience for customers.

Seasonal Discount Vs. Other Discounts

Seasonal discounts are a form of promotion, although they are slightly different from other kinds of promotions.

These two discount categories differ primarily in their timing and intent. Seasonal promotions are associated with particular periods of the year, such as summer sales, back-to-school, and vacations. They are frequently linked to seasonal inventory clearance. Other promotions can be offered at any time, independent of seasons.

Seasonal promotions are often anticipated by customers. It has higher competition since most businesses offer similar deals during the same period. Other options are less predictable and can surprise customers.

Seasonal ones are often more heavily advertised and promoted than other types of promotions. It creates a sense of urgency and drives sales during key times of the year.

Should You Consider Using Seasonal Promotions?

Undoubtedly, seasonal discounts are great for businesses. But is it good for YOUR Shopify store? It will depend on your business and scenario. Let me explain.

You should use seasonal promotions if:

  • Your products or services are aligned with seasonal demand.
  • A boost in sales during peak shopping periods would be a great opportunity.
  • You need to clear out inventory before the new season.

You should not consider seasonal promotions if:

  • Your product demand remains constant throughout the year.
  • It would put a load on your resources to run promotions frequently.
  • Discounting tactics are incompatible with your brand’s premium pricing.

Final Words

Offering seasonal discounts is more than just a means of making sales. Their goal is to establish a connection with clients. When customers want to shop, they will think about your store first if your marketing is effective. Determine the best times and methods for customers to make purchases, then prepare your store for the spike. However, be sure you’re still generating a profit. These sales can significantly increase your company’s revenue.

Seasonal Discounts FAQ

What is a Seasonal Promotion?

Seasonal promotions are exclusive deals, discounts, or limited-edition products associated with a certain annual event. This could be a particular time of year, like back-to-school season, or a celebration, like Memorial Day or Columbus Day.

What are The Benefits of Seasonal Promotion?

Seasonal discounts help you raise brand awareness and draw attention to your company. It increases revenue and product sales. Additionally, it makes you more visible to your clients.

How do Seasonal Promotions Differ From Regular Promotions?

Seasonal promotions are initiatives that are time-sensitive and coincide with holidays or other noteworthy occasions. Their purpose is to capitalize on increased consumer expenditures at these times.

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