If you run an eCommerce business, one of the best ways to improve your bottom line is to reduce your costs. Here are a few tips that can help you to lessen expenses, and you may even be able to increase your revenue along the way.
- Target past customers – It costs way less to directly market to an existing customer than to acquire a new one. Rather than using all your marketing budget to compete with other businesses, why not spend a little bit to get your existing customers to make another purchase? You may find that this is a far more cost-effective form of marketing.
- Limit your products – If a product isn’t selling, clear out your inventory, and move on. Besides, consumers seem to appreciate specialized businesses. So choose the best selling items and keep your product line small.
- Take advantage of bulk discounts – From packing tape and shipping boxes to advertising credits and clearance merchandise, you should always be looking for a deal on the things you need. Buy your products and materials in bulk, so you don’t end up paying a premium. Then, when you mark things up, you can have a higher profit margin and still undersell the competition.