1. Introduction period
1. Product selection strategy
During the introduction period, if the company has strong product development capabilities and can accurately find the pain points of consumers, it can develop a hit product. After these products enter the market, they will enjoy a long-term growth period bonus. For example: Pet Safe’s original self-cleaning cat litter box can be ranked at the top of the category rankings for a long time due to its innovative model.
If the company does not have the strength of product development, it needs to patiently find products that already exist on the platform, analyze the consumer evaluation, concentration index, sales volume, strength of the top sellers and other factors of these products, and roughly select the products you like and make differentiated transformations.
In the process of selecting products, pay attention to product infringement issues. For example: the popular fidget spinner was removed from the cross-border e-commerce platform in North America and Europe due to intellectual property issues.
2. Pricing strategy
When the product is first put on the shelves during the introduction period, its own advantages are not obvious, the product competitiveness is weak, and the evaluation data is not rich enough in the short term. In order to allow the product to enter the market quickly, the seller can set the price lower.
3. Promotion strategy
After selecting the product, you need to start creating the listing. Taking the Amazon platform as an example, the listing includes title, picture, five-point description Enterprise Business Capability (EBC)/A+ page, keywords, classification node, evaluation and star rating. The relevant information should be improved before listing. Cross-border e-commerce sellers can create exposure opportunities for products through platform advertising, and pay certain attention to the advertising sales cost ratio, focusing on whether the product exposure is sufficient, so as to find a better source of traffic. Sellers should maintain the activity of listings so that the platform can capture and determine products with potential, so that the platform will provide more traffic support.
4. Logistics strategy
In the introduction period, consumers do not know the product yet. Except for a few consumers who pursue novelty, almost no consumers actually buy the product. The marginal profit of the product is high and the potential demand is uncertain, reflecting the characteristics of small batch and high frequency purchase. Once out of stock, the results of marketing may be lost. Therefore, if you want to gain a foothold in the market, you must meet the conditions of being able to deliver goods at any time. At this stage, sellers need to choose a logistics model with high product availability and flexibility. When formulating a logistics support plan for new products, it is necessary to consider whether the company has the ability to provide product replenishment quickly and accurately. At the same time, it is necessary to improve the distribution channels and simplify the traditional channel model of “manufacturer-distributor-retailer”. The more intermediate links there are, the greater the logistics cost and the longer the delivery cycle. In addition, if small batches of goods are distributed, it is difficult to form economies of scale.
2. Maturity
1. Pricing strategy
In the growth stage, the product has some indicator data such as sales, good reviews, and star scores. The sales volume of the product is on the rise, the number of new good reviews is on the rise every month, the number of new sellers is increasing, there is sufficient inventory, the product is recognized by consumers, and a large number of new consumers buy it; however, the number of loyal consumers is still relatively small. When the product is in the growth stage, the price can be controlled within a range slightly lower than that of competitors’ products.
2. Promotion strategy
In the growth stage, if you want to further tap the potential of the product, you need to pay attention to the conversion rate and trend of the product. At this stage, various resources should be invested in on-site and off-site promotion (including TikTok, Facebook, Youtube and various shopping websites). Enterprises should control the conversion rate of traffic promotion and have sufficient budget, otherwise once the advertisement is interrupted, the previous weight will drop; at the same time, the link should be maintained to avoid being copied or receiving bad reviews.
3. Logistics strategy
During the growth stage, the product has achieved a certain degree of market recognition, and the demand forecast is relatively accurate. The task of the enterprise at this stage is to seize the market and expand market share. The focus of logistics activities has changed from providing the required services to a more balanced service and cost performance. Enterprises can purchase raw materials and deliver goods in large quantities and establish a broad and intensive distribution logistics system.