What Does Pre-order Mean?

In recent years, the pre-order button on e-commerce websites has become increasingly important. This is because more and more suppliers and retailers are seeing the benefits of online booking because they can well understand the demand and ensure the sales volume. If you are launching a new product, the pre-order strategy is well worth exploring. This article will discuss what the pre-order is all about and how you can utilize it to your full advantage. By reading this article, I believe it can contribute to driving your business smoothly.

Pre-Order Definition: What Is Pre-Order?

A pre-order means advance payment, which means that commercial enterprises pay part or all of the payment in advance to the manufacturers to support their production, stabilize the production and marketing relationship, and ensure that they can get the products they need as soon as possible.

What Are The Pros And Cons Of Offering Pre-Ordered Products?

1. The Pros of Offering Pre-ordered Products

  • Reduce financial pressure

When consumers pay the deposit in advance, enterprises can quickly recover some of the funds and put them into production or purchase. In this way, we can quickly have working capital to continue to put into production and produce more benefits.

  • Lower purchase price

According to the order quantity, merchants can purchase products in batches with suppliers. The more products, the lower the purchase price. At the same retail price, businesses can earn more. At the same time, it can increase sales volume to increase business exposure.

  • Reduce operational risk

If merchants produce their own products, they will not blindly produce according to the actual needs of customers after advance orders, so as to avoid oversupply and waste of manpower, material resources, and other production costs. It can promote the stable development of businesses.

What Are The Pros And Cons Of Offering Pre-Ordered Products

2. The Cons Of Offering Pre-ordered Products

  • Depend on Manufacturer

Unlike inventory that you keep in your own warehouse, you don’t have control over your pre-ordered products. If there are production issues, an increase in lead time, or another issue you don’t have much recourse. This can be made even worse if your supplier isn’t great at communication. Stick to suppliers you trust and have a good relationship with.

  • Limited Production

Product scarcity and pre-ordering commonly go hand-in-hand. This means you have a very short window to purchase the products you need and the competition is stiff. If you advertise products too soon or are reliant on pre-orders, you can run into issues that hurt your bottom line.

How To Get Started With Pre-Orders In Your Online Store?

Pre-order is to ensure a certain level of sales in online stores. In addition, purchasing in advance can save warehouse costs and minimize the risk of unnecessary goods overstocking. The following are some tips for adjusting the reservation policy:

1. Convenient Pickup And Delivery Options

If you have an offline store, the easiest way to collect advance orders is to introduce the self-pickup option. In the online store, you can set the picking time at the moment when the product is ready. In addition, you can add a schedule for your store.

2. Provide Various Payment Opportunities

To receive payment, you can choose the payment method flexibly. The first option will allow your customer to choose to pay immediately. The second option will allow your customer to pay for the product later.

3. Use Social Media To Promote Your Product

If you want to increase sales through a pre-order strategy, you can also use social media in your marketing campaigns. New products should be provided in advance, leaving suspense, so that it will attract many people’s attention to your online store.

How To Get Started With Pre-Orders In Your Online Store

How To Use Social Media To Promote Your Product?

Step 1: Find User Groups

The biggest point of social media is to gather more users, but not all of them are our users. We need to find our own audience, and then we can carry out further promotion. After finding the audience group, it is necessary to analyze, understand and record the relevant basic information, interests, hobbies, etc. of the group for future use.

Step 2: Determine your goals

Determining your goals is not only necessary in social media, but also in any promotion method. In the first step, analyze your target group, and then analyze your goals, what you can provide to users, and what services you can provide to users in Chengdu. These are all based on the basic goals of users. The effect of social media promotion also needs time to verify. Therefore, when setting goals for yourself, you can’t set them too high. You should change your goals according to the development of public opinion.

Step 3: Develop A Promotion Plan

It is indispensable to draw up a plan before promotion. What is included in the plan should be formulated through the promotion purpose, and the promotion strategy based on evidence can better make the enterprise profitable.

Step 4: Implement The Plan Immediately

On the basis of the previous three steps of planning, we can basically start to promote. In the process of implementation, we may encounter some problems that are not mentioned in the plan, so we should learn to be flexible.

Step 5: Real-Time Analysis Of Promotion Effect

In the process of analysis and promotion, the effective methods should be continued to be used, and the ineffective methods should be found another way. The promotion effect should be comprehensively analyzed to see the promotion effect.

How To Use Social Media To Promote Your Product

Conclusion

In short, most products will not be sold by themselves, so you should ensure the success of your pre-order through proper marketing. If you use them effectively, advance orders can be a simple and powerful tool to increase sales and develop an e-commerce business, and it is particularly important to select a good fulfillment company.

Honest FulPhilment provides comprehensive eCommerce fulfillment services. One of the most daunting aspects of third-party logistics (3PL) is the hidden charges and complicated pricing structures that companies offer. but, Honest FulPhilmenthas transparent pricing. All of our eCommerce fulfillment services are fully scalable and flexible, enabling our services to adapt to your growing business. If you want to know more, please contact us now!

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