Times are uncertain, and while we don’t have all the answers, there are a variety of companies and organizations doing everything they can to offer guidance to their customers and small businesses around the world.
As retailers are forced to close their doors to combat further COVID-19 outbreak, one of the biggest concerns (especially among “non-essentials” retailers), is how to compensate for lost in-store revenue.
There are some immediate steps that retailers can take to mitigate cash flow constraints, respond to declines in revenue, and redeploy digital marketing spend.
For example, while Now Creative Group runs paid digital marketing campaigns, we recognize the need to revisit paid strategies during times of uncertainty, as the market changes. With less cash flow available, it might be a good time to adjust your paid marketing mix, spending on tactics where you can see the highest return on investment, and taking advantage of the daily and lifetime budget control options.
Below are links to helpful resources provided by Canadian e-commerce platform Shopify, along with advice from their in-house experts and partners. There are also examples of the steps other businesses have taken in response to COVID-19.
- How to inject cash flow into your business
- Strategies to boost online sales
- Revisit your paid marketing strategy
- How Shopify can help
Revenue Tip | Just one example from the above list, our favourite immediate step if you are not already doing so, is offering gift cards. Gift cards provide retailers with an immediate infusion of cash and (in most cases) ensure that a customer will return to their business in the future. For businesses with especially thin margins, gift cards can help you stay afloat until the crisis passes. To further incentivize customers, you can discount gift cards, or even collaborate with complementary local businesses to create co-marketing opportunities that can help you acquire new customers. Finally, to reduce the risk of human contact, you should consider a digital gift card program to include in your social media and email marketing campaigns.
Update Your Listings | If you have a physical storefront and are closing (either temporarily or permanently), be sure to change your Yelp listings and Google Places info to direct customers to your online store.
As always business funding is always helpful during this time. Shopify has recently launched Shopify Capital. If you are a user of Shopify like many of Now’s clients, you can get the details here.