Black Friday and Cyber Monday, often abbreviated as BFCM, are two of the most significant shopping events of the year. They represent a golden opportunity for businesses to boost their sales, clear inventory, and attract new customers. However, achieving success during BFCM requires careful planning, and one of the most critical elements is pricing. In this ten-part series, we'll explore strategies for getting the pricing fit just right to maximize your BFCM sales. In part one, we cover the price tool needed.
What is Black Friday and Cyber Monday?
Black Friday Cyber Monday, often abbreviated as BFCM, refers to a major shopping event that occurs annually, primarily in the United States but has expanded to other countries as well. BFCM marks the beginning of the holiday shopping season, occurring immediately after Thanksgiving. It comprises two main days:
- Black Friday: Black Friday traditionally falls on the day after Thanksgiving in the United States, which is the fourth Thursday in November. It is considered one of the busiest shopping days of the year. Retailers offer significant discounts and promotions on a wide range of products, encouraging shoppers to kickstart their holiday shopping. Many people line up outside stores early in the morning or shop online to take advantage of these deals.
- Cyber Monday: Cyber Monday is the online counterpart to Black Friday and takes place on the Monday immediately following Black Friday. It was created to encourage online shopping and e-commerce sales. On Cyber Monday, retailers offer substantial discounts and promotions on their websites, making it an attractive day for online shoppers. It's an opportunity for people who may have missed Black Friday deals or prefer to shop from the comfort of their homes to find great bargains online.
Over the years, the distinction between Black Friday and Cyber Monday has become somewhat blurred, as many retailers extend their promotions throughout the entire weekend or even the entire week between the two events. Additionally, with the growth of e-commerce, online deals are prevalent throughout the entire BFCM period.
BFCM has become an international shopping phenomenon, with retailers and consumers around the world participating in the event. It's an excellent time for consumers to find discounts on a wide range of products, from electronics and clothing to home goods and more, and for businesses to boost their year-end sales.
When is Black Friday and Cyber Monday?
Black Friday takes place the day after Thanksgiving, over the final weekend of November. Last year, it fell on November 25th – in 2023, it will take place from Friday, November 24th, through to Monday, November 27th (Cyber Monday).
Why is Pricing Important in Black Friday and Cyber Monday?
Pricing is exceptionally important for branded retailers during Black Friday and Cyber Monday (BFCM) for several key reasons:
Competitive Advantage
During BFCM, consumers are actively seeking deals and discounts. Effective pricing strategies can give branded retailers a competitive edge by attracting customers who are looking for value. Offering compelling prices can help retailers stand out from the competition and capture a larger share of the BFCM market.
Sales Boost
BFCM represents a massive shopping event, and retailers have the opportunity to significantly increase their sales volume during this time. By pricing products competitively, retailers can attract more customers and drive higher sales, potentially making up for any profit margin sacrifices through increased volume.
Clearing Inventory
BFCM is an ideal time for retailers to clear out excess inventory from the current year. Pricing products strategically to move inventory quickly can prevent items from becoming obsolete and tying up valuable resources. It also frees up space for new inventory, setting the stage for a fresh start in the upcoming year.
Customer Acquisition
Attracting new customers is a key goal for many retailers during BFCM. Offering attractive prices and discounts can lure in first-time shoppers who may become repeat customers if they have a positive shopping experience. It's an opportunity to expand the retailer's customer base and build long-term brand loyalty.
Brand Visibility
BFCM generates a significant amount of online and offline buzz. Retailers that offer appealing prices and promotions can benefit from increased brand visibility and awareness. Even if a customer doesn't make a purchase during BFCM, they may remember the brand and return for future purchases.
Customer Retention
BFCM isn't just about attracting new customers; it's also about retaining existing ones. By providing loyal customers with exclusive discounts or early access to deals, retailers can show appreciation and encourage repeat business.
Data Gathering
The pricing strategies employed during BFCM can provide valuable data and insights about customer behavior, preferences, and buying patterns. Retailers can use this information to refine their pricing strategies for future events and optimize their overall business operations.
Revenue Generation
Ultimately, the goal of BFCM for retailers is to boost revenue. Effective pricing strategies that strike the right balance between discounts and profit margins can help retailers achieve their revenue targets for the year, setting a strong financial foundation for the upcoming months.
Part One – Get Pricing Fit for BFCM – Create a BlackCurve Account
To set yourself up for success this Black Friday and Cyber Monday, you'll need a BlackCurve account. BlackCurve offers a free 14-day trial (and yes it is possible to get pricing fit in this time!) with no credit card required. In this section, we'll guide you through the straightforward setup process.
1. Access BlackCurve
- If you're a Shopify user, visit Shopify BlackCurve Page and click 'Install'.
- For other users, head over to BlackCurve Signup.
2. Account Setup
- On the activation page, you'll begin your setup process. Provide your ‘Full Name’, ‘Email Address’, and a ‘Password’. Your email and password will be used for account access.
- Click 'Next Step'.
3. Workspace Setup
- In this step, enter your ‘Company Name’ and a memorable ‘Workspace Name’. The Workspace Name forms part of your personalized web address for future access (e.g., 'companypricing.blackcurve.io').
- Click "Create Account".
4. Create Channel
- In Step 1, specify the geographic location your e-commerce website serves by creating a channel. This ensures that competitor pricing information is collected from the correct country.
- Provide a Channel Name (e.g., 'UK Website') and select a 'Country of Sale' (e.g., 'United Kingdom').
- Click 'Continue'.
5. Adding Products
- In Step 2 (Shopify users will skip this step as it is handled automatically via the app install), inform BlackCurve about the products you want insights for or want to manage. Click ‘Create Product Feed’.
- You have several options for providing product information, and we recommended selecting 'Google Content API' for ease and automatic connection.
- Follow the authentication steps to connect your Google Merchant Account.
6. Marketing Insights (Optional)
- Step 3 offers the option to share digital marketing metrics with BlackCurve to improve your Cost Per Acquisition (CPA).
- You can connect your digital marketing data using Google authentication.
- Alternatively, if you wish to skip this step, simply click 'Continue'.
7. Review and Submit
- In Step 4, review your setup details. If you spot any errors, click the pen icon to make necessary updates.
- If everything is correct, click 'Submit'.
- You'll receive a message that says 'Thank you for configuring your Workspace'.
- With your setup complete, BlackCurve will start mining Google Shopping for possible product matches and competitor pricing insights. Your first set of competitor pricing insights should be available in less than 24 hours, and you'll receive an email confirmation when your site is ready.