Cost of entry for Ecommerce is lower than most, but are you looking for a way to lower some of the costs of your business? Well in this article, I will show you a few ways to cut some costs that you may not have thought of before. These are simple steps which you may be able to see improvements in profits quicker than you think.
One way to cut costs is to utilize the early payment discount of merchandise from your vendors. For instance, instead of paying in payments with interest, pay for all the products in full at the time of the order. You could even go as far to talk to your supplier and see if they will give you a bit of a discount for paying in full early.
Paying for freight can get expensive as well. You should talk with your vendors and see if they offer a discount on freight with larger orders. By looking at your sales history, you can forecast the amount of sales that you are able to sell. If you understand that buying more of the product, effectively discounting freight charges, while being able to sell all of the products. This could save you a decent chunk of money. You will need to make sure that the cost of holding this inventory doesn’t exceed the discount of freight though. This would just hinder your company.
Talk to your vendors and see if you can get some co-op money. For instance, add some pay-per-click advertising for the vendors’ products on your website. This will help market not only your website, but the vendors’ products as well. So, your vendor may give you some money for doing this, hence, the co-op money. Another way of getting some co-op money is to set up advertising banner for the particular brand.
Lastly, advertise with social media. Have some sweepstakes, giveaways and advertise it on Facebook or Twitter. Take a bit of money out of your current budgets, and put it towards the event. When you do this however, have the participants register to your website so that you can have them in your email marketing. This will get your business’ name out there for a cheap price of only the winnings of the event.