Gift Basket Time: Dropshipping for the Holiday Season

2008 will go down in history as, among other things, the year that gave all kinds of businesspeople the world over a wake-up call. We usually learn more about business and economics in times of crisis. The previous year offered researchers a wealth of new data about consumer behavior.

Christmas shopping is a critical time for many retailers. This was still true in 2008, though Yuletide revenues had slipped. Retailers were, however, able to learn a great deal about what drives consumers.

Firstly, customers tend to consider prices first, before looking for specific gifts when it's financial crunch time. Finding the perfect item is great when you can afford it, but it appears that Christmas shoppers last year prioritized the sale pages over search engines for specific items, or pages suggesting particular types of items as gifts. To continue on the note of sales, customers tend to go for discounts when they are notified that the price is likely to go up again. Let your customers know when you are planning to raise your prices again.

Timing-as in the time of year-is also important. Understand that many shoppers tend to procrastinate, leaving the majority of their gift-buying until after November. However, do not expect a deluge of brand-new customers once time starts to run out. Studies indicate that the majority of Christmas shoppers prefer to drop cash at stores they are already familiar with. In other words, you will most likely be able to count on your old customers, but are unlikely to start buying until late in the game. Factor this information into your plans, such as timed sales.

The calendar is important for another reason. The modern Christmas season seems to go on forever, but one must not forget that all those weeks lead up to one special day. Punctuality, therefore, is even more important than it is at other times of the year. "Just a day late" is not good enough. Being able to give the gift in question to the recipient on the right day is extremely important, as anyone who has had to do frantic last-minute shopping for back-up presents knows. Do not put your customers in that position. Punctual dropshipping ensures a gift basket for a loved one arrives on time, never on Boxing Day or later.

As to marketing, try using means like emails and social networking websites. The former may sound hokey and potentially annoying, but many successful online merchants have testified to finding emails useful. The latter may sound trivial, but keep in mind that sites like Facebook have recognized their own business potential, and have applications specially designed for retailers.

Use these suggestions, and you may just find booming Yuletide sales under your tree!