Sarah Williams--Founder & CEO of Framed! | Founder & CEO of Launch Your Box | Podcast: The Launch Your Box Podcast | Author: One Box At A Time | Inc 5000 Honoree

Sold Out Mystery Boxes: My Strategy

Name: Sold Out Mystery Boxes: My Strategy
Uploaded: 2024-04-26T20:15:38+00:00
Duration: 59 s
Channel: Sarah Williams
Description: In this monologue, Sarah Williams explains her approach to selling mystery boxes. The primary objective is not profit maximization but to recoup the cash…

26 Apr 2024 · 1 min

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In this monologue, Sarah Williams explains her approach to selling mystery boxes. The primary objective is not profit maximization but to recoup the cash invested in the product and clear excess inventory. She emphasizes stuffing the boxes with high perceived value so customers feel they received a great deal. By using mystery boxes instead of traditional clearance discounts, she avoids associating her subscription box items with clearance pricing, thereby preserving the perceived value of the subscription line. The strategy also reduces inventory handling burdens and improves cash flow without devaluing previously sold full‑price items.

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The goal with mystery boxes is not to make profit. The goal with mystery boxes is to get back the cash that we have invested in this product. My goal is to stuff them with so much value when people open them, they are blown away at how much stuff they got for the cost. It's going to clear our inventory. It's going to put cash in our bank. It's going to reduce the amount of inventory so we don't have to count it. And when I run a mystery box sale, like, it's better than saying all this is 75% off. I don't want my subscription box item being associated with clearance. And so when I can run a mystery box sale like this, that makes me feel good about discounting them that much, but not saying, oh, all this stuff that you bought at full price earlier in the year, it's now 75% off. I don't have to say that. That may be the case, but that gives a better perception of the value of my subscription box when I'm not putting stuff on a clearance. So that's, that's the strategy behind that.