The Black Friday frenzy has started! But the question is: Has your business prepared for it?

This are the important days of the year for most e-commerce business.

There was a time when Black Friday was limited to sales in the high street, while Cyber Monday was the online equivalent, but this distinction is now blurred, and most businesses make big moves from Thanksgiving to the Cyber Monday and beyond throughout Q4.

Black Friday and Cyber Monday

Black Friday sales were up 139% globally when compared to October.

In 2020 (Thanksgiving plus Black Friday) raked in $14.13 billion in online sales. That’s $9.03 billion spent on Black Friday and $5.1 billion spent on Thanksgiving. That’s a 19% increase over 2019!

Business aspires to capitalize the high consumer demand. Preparation and the need to have a series of strategies in place is critical. You cannot rely on an increase in traffic, with the level of offers and discounts putting power in the hands of the consumer.

Use Paid Advertising in Advance!

Most paid advertising channels will cost significantly more during the Black Friday and Cyber Monday sales. A huge number of advertisers will be looking to capitalize on the easy sales available, leading to higher auction costs for clicks.

However, advertising before the dates can ensure you have a number of warm leads at a reasonable cost who will be likely to buy when they see a great deal.

In 2019 there was a 23% rise in CPC and a 22% rise in CPQ for all clients across Rocketer’s global business so to not plan for this occasion is almost criminal!

This year, we forecast a similar increase in cost, despite the influence of the Covid-19 pandemic.

That’s great for e-commerce, what about the Insurance industry?

So, everyone loves great shopping with reduced prices but for the Insurance world, Black Friday starts in January!

In previous months, CPL and CPC were high and the spending was maintained within the insurance industry. January is when people are likely to invest buy and the insurance companies are the most willing to invest in social media advertising.

During this period advertising on social media indicates CPC and CPL are at its lowest, following increase media spend. January is the springboard for the rest of quarter!

What should you do?

Be prepared to answer questions and educate

For many, January represents their first foray into learning about new requirements they may have. For example, expect to see more, and be present for more informational or research based queries.

Answering questions with your content on-site or distributed content on things such as difference between term vs whole life insurance, what life insurance policy is best for me.

Answering these questions and educating users will build trust in you. Increase their engagement on-site and increase the likelihood they will navigate through your purchase funnel.

Adopt a full funnel methodology

Whilst conversions will always be the focus, think further up the funnel, and utilize a strong mix of awareness, consideration and conversion based digital marketing strategies.

Look to have these work in an integrated manner, segmenting users based on their level of engagement with your campaigns.

Continue the narrative of your messaging across all stages of your activity as you prepare to move customers down your conversion funnel.

Sow the seeds in December

Whilst commercial intent may be low in December, it represents a great time to begin to get your brand out in front of new prospective customers who are not yet in-market in a cost-effective manner.

Video is a great format for the delivery of this messaging, with short, snappy video on a high frequency to build brand awareness with users.

This will help to build up the cognitive relationship between the user and your brand and could be the difference between a user leveraging a branded search for your company when they are in-market as opposed to more competitive and cost prohibitive generic keyword sets on search.

Utilize CRM data to instruct your audience targeting

Have a clear goal in mind as to what you are looking to achieve. This will all start with your CRM data and modelling your existing customers.

Understanding who are your existing “MVP” customers will enable you to model your prospective new targeting on behavioral traits of your existing MVP audience, enabling you to drive lasting quality leads and not just volumes of leads.

Considerations for segmentation of your audience lists should focus on areas such as LTV, most profitable, the longest tenure, most frequent customers, and previous upsell cross-sell history as a starting point.

Test, Test, Test

Ensure you have a comprehensive testing plan in place, and stick to it rigorously, given the peak in volume in December you will get significant learnings in January much quicker than you would do in other months, and this can form the springboard for 2022, set the scene, learn what works and reap the benefits throughout the year.

Conclusion

Planning and preparation

You cannot ride the way of Black Friday success without putting in the work at the start. Have a strategy in place with outlined goals and objectives.

    Be active throughout Q4

    Not matter what industry you are in it is key that you stay live and continue to have presence during the period. Its key to be active throughout Q4 and managing the media budgets accordingly. Don’t just ride the wave, own it! Different industries have different successes and results pending on the time of year. Make sure you do what is key to your industry!

    Make sure you do what is key to your industry!

    Don’t just ride the wave, own it! Different industries have different successes and results pending on the time of year. 

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