Sarah from Boutique Hub explains how to know when to discount inventory. Check your data first: online analytics like views and add-to-cart rates, in-store signals like dressing-room behavior. Try fixing copy, photos, and fit info before cutting prices. If demand won't recover, discount aggressively to clear rather than nibbling at the price.
Hey guys, it's Sarah with the Boutique Hub and I am back today to talk to you about inventory. There are more discounts on your inventory. Yes, it's going to happen. You're going to have those products that you bring into your store that just don't sell. Why? Why don't they sell? That's another video. But how long before you decide to discount these items? Well, guys, I'm just here to tell you, you're living in a day where there is a lot of data. There's. There's a lot of data behind every product you put on your website. How long it's been sitting there, when it's been moved, has it been put into a cart? Are they abandoning that cart? Right. What's the click on rate on those items? What items and what pages are getting the most traffic? If they're not getting traffic, they might not be bad products. You just might need to rethink your marketing strategy. Right. If they're getting traffic to that item and people are putting them in the cart but not following through, maybe there's a reason. Check out your website, check out that process. Maybe the price isn't right, maybe the copy's not right. Maybe you have not reduced enough of the questions and answered enough of the questions that the consumer has. Remember, a confused mind won't buy. So just because your picture looks awesome, if they're confused on the fit, the feel, the function, the return policy, all of those things, they very well might not buy. It might not have anything to do with the product itself. And if you go ahead and just discount it, you might have just lost money. So before you discount, go back and double check everything, run a sale, double check that everything works properly on your website, double check the copy, double check the how to wear, making sure you're answering all the customer questions. Now, if you're in store, you're able to look at those analytics a little bit different. Are your customers touching and feeling the product but not taking it into the dressing room? Are you, they taking it into the dressing room but leaving it there? Right. Is that product maybe never being touched? Is it in a bad spot on your store? Have you marketed the product at all? Has it been shown on FIT videos and flat Lays and on a live sale? And have you done all of the different marketing strategies across all your social media to get eyeballs on it? If the answer to those questions is yes, I, Sarah, I have done everything I possibly can and nobody wants this thing, then make it move. Don't wait, make it move. Unless for some reason, you know, it's going to have a big boost in demand coming soon, right? Maybe it's concert season or maybe it's, you know, holiday or something coming up that you know, this product is going to have a bigger or longer life cycle. But when your analytics and your customers are telling you it's not working, make a move. And when you do that, price that thing to be gone. Do not murder the price tag with a bunch of 5% off. Now it's 10% off. Now it's 20% off. No, make that thing go away. And guys, ask your customers, hey, Susie, can you try this on? I don't know why, I thought it was really cute, but it's not selling and I'm just wondering why. And Susie will answer those questions for you. All right, guys, those are my tips on markdown strategies. You're not a big box store. You're not running on a 30, 60, 90 day have to markdown strategy. Those are your products. So make sure you're giving them the best life cycle, the most visibility on all channels and that you possibly can to try to make that high dollar sale, the high markup sale. And if it doesn't work, cut your losses and go ahead and price it to move. Thanks guys. Have a great day. We'll see you on the next one.
