Strategies for Revitalizing Underperforming Products in Your eCommerce Business

Introduction

As an eCommerce business owner, you've likely invested significant time, effort and resources into sourcing, purchasing and promoting your product inventory. But what happens when a product fails to deliver the expected results? Underperforming products can be a drain on your profits and warehouse space. However, with the right approach, you may be able to turn things around.

In this article, we'll explore how to identify underperforming products in your inventory and outline strategies to revitalize them. We'll cover optimization techniques, leveraging fast shipping programs, gathering customer feedback, and other tactics that can help stop a product from underperforming in the first place.

Identifying Underperforming Products

Before taking action, it's crucial to accurately identify which products in your inventory are truly underperforming. Here are some key indicators to watch for:

1. Low Sales Figures

The most obvious sign of an underperforming product is low sales numbers. If an item simply isn't selling, it's not generating revenue or moving inventory. This ties up your capital and warehouse space.

2. Decreased Profits

However, sales volume alone doesn't tell the full story. A product may be selling well but still underperforming if high marketing costs or low pricing are eating into your profit margins. Analyze your profit margins to get the full picture.

3. Negative Customer Reviews

Even products with decent sales and profits can be considered underperforming if they're generating consistently negative feedback from customers. Poor reviews can damage your brand reputation and hurt future sales.

Strategies to Revitalize Underperforming Products

Once you've identified underperforming products, it's time to take action. Here are some effective strategies we can employ to turn things around:

Optimize Your Product Listings

Sometimes the issue isn't with the product itself, but with how it's being presented online. We recommend thoroughly optimizing your product listings:

• Include relevant keywords in your product titles, descriptions, and image details to improve search visibility
• Add high-quality, professional product images from multiple angles
• Craft compelling product descriptions that highlight key features and benefits
• Incorporate proven eCommerce psychological tactics to make listings more appealing

Leverage Marketplace Advertising

Boosting visibility through paid advertising on major marketplaces can jumpstart sales for underperforming products. Options like Walmart Performance Ads can push your listings to the top of search results with a "Sponsored Product" banner, increasing visibility and conversions.

Offer Promotions and Discounts

Creating an initial buzz around a product can help generate momentum. Consider using marketplace promotion tools like Walmart Promotions to highlight discounts with prominent badges and price comparisons. This can attract price-conscious shoppers and generate those crucial first sales and reviews.

Gather and Leverage Customer Feedback

With 95% of consumers being influenced by reviews, building up positive feedback is essential. We recommend:

• Offering free shipping to encourage purchases and positive reviews
• Providing order tracking details promptly to enhance the customer experience
• Actively seeking feedback through email campaigns and social media outreach
• Addressing any customer issues quickly and thoroughly to turn negatives into positives

Implement Fast Shipping Options

Slow shipping is a major contributor to cart abandonment. We suggest offering a mix of shipping options, including fast shipping programs like eBay Guaranteed Delivery. Fast shipping can provide customers with:

• More choice in delivery speed and cost
• Added confidence through marketplace-backed guarantees
• Easier product discovery through fast shipping tags and filtered search results

Fast shipping programs often come with additional perks like improved search placement and buy box consideration.

Reduce Costs to Improve Margins

For products with slim profit margins, finding ways to reduce costs can make a big difference. We recommend exploring options like:

• Comparing in-house fulfillment costs with outsourced fulfillment providers
• Using unbranded packaging to reduce expenses
• Leveraging volume shipping rates through third-party logistics providers

Cost savings in these areas may allow you to offer free shipping to customers while maintaining profitability.

Seek Direct Customer Feedback

If the above strategies don't yield results, it may be time to go directly to your customers for insights. We suggest:

• Reaching out via social media to engage customers
• Contacting regular customers directly for their thoughts
• Conducting formal market research studies

This direct feedback may uncover simple issues you've overlooked, like unclear product descriptions or cultural misunderstandings that are easy to address.

Conclusion

While underperforming products can be discouraging, they don't have to spell disaster for your eCommerce business. By carefully analyzing performance, optimizing listings, leveraging fast shipping, gathering customer feedback, and controlling costs, we can often breathe new life into struggling inventory items.

At FreightAmigo, we understand the challenges of managing a successful eCommerce operation. Our Digital Logistics Platform offers powerful tools to help you optimize your shipping processes, reduce costs, and delight customers with fast, reliable delivery. From comparing door-to-door freight quotes across multiple modes to automating customs clearance and providing 24/7 expert support, we're here to help your business thrive.

Don't let underperforming products hold your business back. Implement these strategies and leverage FreightAmigo's Digital Logistics Solutions to revitalize your inventory and drive growth. Your eCommerce success story starts here!