Double Threat: Price Drops & Low Stock Alerts Playbook

Don't Miss Out: Securing Deals and Scarce Finds

Objective: Maximize Value and Availability: Converting Interest into Immediate Action

Capitalize on customer interest by combining price drop notifications with low stock alerts. This dual strategy ensures customers are informed about both valuable deals and limited availability items, driving immediate conversions.

This approach empowers customers with timely, relevant information that turns browsing into buying, addressing two critical purchase barriers: price sensitivity and fear of missing out (FOMO).

By strategically combining these alerts, brands:

• Increase conversion rates: By triggering immediate purchase decisions with deals and scarcity.
• Enhance customer satisfaction: By providing valuable information and exclusive opportunities.
• Optimize inventory flow: By reducing stockouts and moving discounted items quickly.

Play Concept

This playbook leverages the power of two key customer motivations: seeking value and the fear of loss. By integrating price drop and low stock alerts, we create a sense of urgency and opportunity, encouraging customers to act fast.

This approach turns interest into immediate action by:

• Highlighting value: Notifying customers when items they desire are discounted.
• Creating urgency: Alerting them when stock levels are low and items may soon be unavailable.
• Personalizing the experience: Catering to individual preferences and purchase intents.

Ideal Target Audiences

This strategy is particularly effective for customers who:

1. Price-Sensitive Shoppers: Customers who are actively looking for deals and discounts.
2. High-Interest Browsers: Customers who have added items to their wishlists or frequently view specific products.
3. Repeat Visitors: Customers who regularly check for product updates and availability.
4. Seasonal Shoppers: Customers who are tracking specific items for holiday or seasonal purchases.

Primary High-Value Segments

1. Wishlist Users: Customers who have saved items and shown clear intent.
2. Cart Abandoners: Customers who added items to their cart but did not complete the purchase.
3. Previous Purchasers: Customers who have purchased similar items in the past.
4. Loyalty Program Members: Customers who are highly engaged and value exclusive offers.

Execution Framework

This execution framework ensures a seamless and effective implementation of the dual alerts strategy.

1. Trigger Setup:

‍Price Drop Triggers: Configure triggers for automated alerts when product prices fall below a certain threshold or percentage.
Low Stock Triggers: Set triggers for alerts when inventory levels drop below a defined limit.

2. Enable the Price Discount triggers: Enable the Wishlist application to be able to send out the discount emails or SMS’es to your customers

3. Personalized Outreach: Set up the email campaigns. Either use your existing email provider to send out the emails or SMS’es or use Swym to send out the price drop emails

4. Enable the trigger and start the re-engagement: Once the trigger has been enabled you are all set to re-connect with your customers. Discount the products and convert the customer intent into sales.

5. Enable the Low Stock  triggers: Enable the Wishlist application to be able to send out the discount emails or SMS’es to your customers

6. Personalized Outreach: Set up the email campaigns. Either use your existing email provider to send out the emails or SMS’es or use Swym to send out the price drop emails

7.Enable the trigger and start the re-engagement: Once the trigger has been enabled you are all set to re-connect with your customer any time the product variant stock falls below the low stock trigger.

8. Personalized Outreach:

1. Email Marketing: Design email templates that combine both price drop and low stock information.
   
   • Example Subject: "Deal Alert & Low Stock Warning: Your Wishlist Item Just Got Cheaper!"
2. SMS Notifications: Send concise SMS alerts for critical updates.
   
   • Example Text: "Item on your wishlist is now 20% OFF & almost gone! Act fast!"

Performance Measurement Framework

Monitor these metrics to assess the effectiveness of the combined alert strategy.

Wishlist Conversion Rate:
‍Percentage of customers who purchase wishlisted items after receiving alerts.

Price Drop Purchase Rate:
Number of customers who purchase items due to price drop alerts.

Low Stock Purchase Rate:
‍Number of customers who purchase items due to low stock alerts.

Customer Engagement:
Increase in site visits, time spent on site, and interactions with notifications.

Revenue Generated:
Total revenue from purchases made directly via price drop and low stock alerts.

Average Order Value (AOV):
‍Comparison of AOV between alert recipients and general customers.

Notification Open Rate:
‍Percentage of alerts opened and viewed by customers.

Click-Through Rate (CTR):
‍Percentage of customers who click on links within the alerts to visit the product page.

Time to Purchase:
‍Time between receiving the alert and making a purchase.

Additional Considerations

1. Alert Frequency:
   Avoid overwhelming customers with too many alerts. Set reasonable limits on the number of notifications sent per day/week.
2. Customer Preference:
   Allow customers to customize the types of alerts they receive and their preferred notification channels.
3. Urgency Language:
   Use clear and compelling language to convey the urgency of low stock and the value of price drops.
4. Visual Appeal:
   Ensure that alerts are visually appealing and easy to understand, regardless of the delivery channel.
5. Mobile Optimization:
   Make sure all notifications and landing pages are optimized for mobile devices.
6. Accuracy:
   Ensure that all price and stock information is accurate and updated in real-time.
7. Legal Compliance:
   Comply with all applicable data privacy regulations and obtain necessary consent for sending notifications.
8. Feedback Mechanism:
   Implement a feedback system to collect customer input on the alert system and make improvements.
9. Dynamic Pricing:
   Use dynamic pricing strategies in conjunction with alerts to optimize sales and inventory management.
10. Segmentation:
    Segment your customer base and tailor alerts based on individual preferences and purchase history.

Conclusion:

By effectively combining price drop and low stock alerts, you create a powerful tool for converting customer interest into immediate purchases. This strategy enhances the shopping experience, drives sales, and ensures that customers never miss out on valuable deals or hard-to-find items. Implement this playbook, continuously monitor performance metrics, and refine your approach to maximize the impact of this double-threat strategy.