7 Surefire Ways to Increase Sales This Holiday Season

The holiday season can bring a big surge in retail sales. But this revenue boost can come with challenges as well. Small business owners have to manage increased sales volume, deal with more customers, and handle increased work hours and labor expenses. With more sales comes more customers needing assistance, more support tickets, more shipping orders, and more exchanges and returns.

This can leave small businesses short on staff, low on inventory and feeling like they’re missing out on a big opportunity. Let’s explore some ways you can prepare to take full advantage of the holiday shopping season.

1. Predict your sales activity.

Having an idea of how holiday sales will impact your business is a good first step. You can use data from past years to make an informed estimate and project what your sales will look like (rather than just guessing).

You’ll need a system to record your sales data. This can be done manually in a spreadsheet or with apps designed for business intelligence analytics. Some of these apps even integrate with your point-of-sale and accounting software so sales and inventory get automatically updated when you make a sale.

This data can help you make informed decisions about staffing and inventory needs. You can look at data from past years and calculate your year-over-year growth to project how the upcoming holidays will compare to last year.

2. Plan for increased staffing and inventory needs.

Your sales projection should help you plan how many seasonal employees you’ll need to hire and how much you’ll need to increase your inventory. You can look at past holiday sales to predict which items will be the most popular.

You can also use your sales projections to estimate how many additional hours of labor you’ll need to manage the additional holiday orders. Look at how many hours you normally spend to handle sales, then use your holiday sales projection to estimate how many additional hours you’ll need for the holidays. This should give you a sense of how many extra hands you need to hire.

Ordering extra inventory and hiring more people can disrupt your cash flow. For example, stocking up inventory for Black Friday can leave you low on cash. You can do a cash flow analysis to predict if you’ll be tight on cash over the holidays. If you are, you can look into short-term financing options like small business term loans or small business lines of credit.

3. Plan a seasonal sale.

The holiday shopping season kicks off with a few days dedicated to big sales — Black Friday, Small Business Saturday and Cyber Monday. But you don’t have to stick to the big three days if you don’t want to.

Having a sale is a great way to draw in holiday shoppers. Be sure to think about what kind of holiday promotions will matter to your target audience. It could be a percentage discount, a special bundle deal, a buy-one-get-one offer or a free holiday gift with purchases of a certain amount. If you’re looking to attract new customers and grow your customer base this holiday season, consider offering referral incentives such as a gift card or discount.

You can customize your sale to make it stand out. Consider a holiday-themed promotion such as “12 Days of Christmas” or a “New Year’s Countdown” where each day offers a new deal. You could also reward your most loyal customers by offering them early access or additional discounts. A well-planned sale can boost e-commerce sales, in-store foot traffic and more.

4. Decorate or host a special holiday event.

A great way to attract customers is to make your store look festive or to host a special event. A fun atmosphere can improve customer experience. You can do things like host workshops, offer gift-wrapping services, or allow a local artist to set up a pop-up shop in your store. If you run an online store, you can create a guide with different gift ideas available in your online store. You can also create holiday landing pages to promote holiday deals.

5. Promote your business.

Without a holiday marketing campaign, potential customers won’t know about any of the deals and events you’re offering. Here are few different marketing strategies you can try:

Social media marketing. Promote your holiday offerings, share festive content and interact directly with customers through social media marketing. You can create your own hashtags, work with influencers and even do special promotions like giveaways to boost engagement.

Email marketing. Email marketing is a powerful tool. Create an email campaign to inform customers on your email list about holiday sales, events and exclusive offers. E-commerce businesses can create a sense of urgency by including time limits such as “Today only, get 10% off!” This can help improve conversion rates and boost sales.

Local marketing. Local marketing can be impactful for small businesses. Consider taking out an ad in the local newspaper or on the radio. This can help drive foot traffic to your store — especially the customers who prefer to shop locally.

6. Make the most of downtime.

Although the holiday season can be hectic, some days will be busier than others. Take advantage of the lulls by using downtime for the tasks that need to be done. These can include:

• Taking year-end inventory counts.
• Processing shipping and receiving orders.
• Stocking shelves.
• Processing returns.
• Bookkeeping tasks.

Getting these tasks out of the way will help you keep up with everything that needs to be done and avoid getting overwhelmed.

7. Keep your holiday season manageable.

The holidays don’t have to be a headache if you plan ahead. Use your data to predict sales activity and adjust your hiring and inventory accordingly. Be sure to factor in the surge from any holiday campaigns, events or sales. Don’t try to do everything at once, pick a few things that work for your business. You can try new things each holiday season as your business grows.

What are some of the best ways to increase holiday sales?

Now that we’ve gone over some of the more high-level ideas for increasing holiday sales, let’s go over some specific strategies. The best ways to increase sales during the holiday season combine strategic planning, customer engagement and creative marketing. Here are some things to try:

Leverage customer data. Use historical data and customer purchase patterns to tailor promotions. Personalized marketing can create a better customer experience and improve conversion rates.

Utilize multiple sales channels. Maximize sales by being present where your customers are. This could mean expanding into online marketplaces, promoting your business on social media or even hosting virtual events. Multi-channel selling allows you to reach different segments of your audience and capture sales from multiple touchpoints.

Ensure a smooth checkout process. Abandoned carts can be a big problem during the holidays. Make sure your checkout process is simple, fast, and optimized for mobile devices. Offer multiple payment options and consider offering free shipping if possible, as this is a major purchase driver.

Encourage user-generated content. Prompt customers to share their holiday purchases or gift ideas on social media. You can create a holiday hashtag and run a contest, where participants stand a chance to win a special prize. This can boost engagement, spread awareness and help grow your followers.

Upsell and cross-sell. Offer complementary products during checkout to increase the average order value. For example, suggest matching accessories for clothing items or gift-wrapping services for a small fee.

Extend your holiday sale. Not everyone shops early, and many look for post-holiday deals. Consider extending your sales beyond Christmas to capture late shoppers or those looking for New Year’s bargains.

These strategies, when combined, can help boost sales by tapping into customer behavior, increasing visibility, and offering timely and appealing deals.

How do I find more customers during the holidays?

Finding new customers during the holiday season can be challenging, but with the right approach, it’s achievable. Here are some additional strategies for attracting new customers:

Optimize for SEO. Make sure your website and product listings are optimized for search engines. Many people search online for holiday deals and gift ideas, so by targeting relevant holiday-related keywords, your business can rank higher and attract new traffic.

Referral programs. Offer incentives to your existing customers for bringing in new ones. You can give both the referrer and the new customer a discount or a special offer, which not only helps you find new customers but also rewards your loyal ones.

Gift cards. Promote gift cards as a perfect holiday gift. Not only do gift cards attract new customers when they are gifted, but they also ensure repeat business when the recipient comes to your store.

Run paid ad campaigns. Utilize paid ads on platforms like Google, Facebook and Instagram to target potential customers based on demographics, interests and behaviors. Holiday shoppers are often looking for deals, so highlighting your seasonal promotions in these ads can drive more traffic to your store.

By engaging with new customers through multiple channels — both online and offline — you can build brand awareness and attract holiday shoppers who may become long-term customers.

How much do sales increase during the holidays?

Sales tend to spike significantly during the holiday season, especially in the retail and e-commerce sectors. For example:

Retail and e-commerce. In the U.S., retail sales typically jump in November and December, with e-commerce sales rising even more sharply. According to the National Retail Federation, holiday sales make up to 19% of annual retail sales for some businesses. Black Friday, Cyber Monday and the week leading up to Christmas are some of the biggest sales days.

Hospitality and travel. The hospitality and travel sectors also see an increase in demand as families travel for the holidays or book vacations to coincide with year-end celebrations.

Gift-related and seasonal businesses. Companies selling gift items, holiday decor and seasonal food products see the largest sales boosts. Businesses specializing in experiences — such as spa treatments, event tickets, or subscription services — also experience an uptick, as more people are looking for unique gift ideas.

However, the actual percentage of sales growth will depend on various factors such as the type of product you sell, your marketing efforts and the overall economic climate. Brands that invest in marketing, stock up on high-demand items and create memorable shopping experiences are well positioned to see the biggest increase in holiday sales.

See how other business owners handle the holidays.

Using social media to provide content of value.

I start thinking about the holiday season in relation to my ecommerce T-shirt site by mid-summer. I typically don’t run Facebook ads in the first half of the year, but by this time I get the structure in place to start running ads again. However, I don’t run sales-focused campaigns, since the ROI there can be so hit-or-miss these days. I run engagement-focused ads that drive people to like the brand’s Facebook page or lead generation ads that encourage people to sign up for our email list to get a discount.

But everyone essentially does that. In trying to separate myself – and save on advertising costs wherever I can – I use this time to also ramp up my blog post output on the site, in addition to crafting new videos that I can use across TikTok, YouTube, Instagram, and Facebook. This also allows me to differentiate my email newsletter offerings and send at a higher frequency without turning off my subscribers who no doubt would get tired of me hammering them about discounts and what’s for sale on the site. Providing other content of value – in this case, content about Cleveland and the city’s history – gets a whole other level of buy-in and brand loyalty.

This all coincides with an increase in new shirt designs at this time, coalescing into a successful holiday push through the end of Q4.

Steve DiMatteo

Cleveland Vintage Shirts

Offer multiple types of sales; tie sales to a charity.

One of the key elements of any strategy is timing. Everyone jumped into the holiday season this year with promotions popping up in early October so I had to get started early also to set the mood for holiday spending.

Other strategies include offering several types of sales. I offer a pre-holiday sale when I start between now and Nov. 1, a traditional holiday sale that starts at the end of November, a last-minute sale set for the week before Christmas, and a post-holiday sale that starts the day after Christmas and runs through Jan. 1. I also have one-day flash sales featuring something specific that keeps people interested, opening emails, and looking at my posts and website.

It is critical to do email blasts during the holidays. You are competing with all other businesses so repetition of your brand and sales is the best bet to get customers to buy from you during the season.

Another boost strategy is to tie your sales with a charity. This has worked for me in the past where I say a percentage of holiday sales or one-day sales goes to a charity. I name the charity and fully support it. I also post the result of how much was contributed and include a picture to build trust and enthusiasm.

A good strategy is to make more personal appearances during the holidays to promote your brand or products. There are usually holiday events for businesses to rent booth space and those events are well attended. Meeting the public is always a good thing. You may not make a lot of sales at the event but some of those potential customers will become loyal customers in the new year if you gather their information and start marketing to them.

Baruch Labunski

Rank Secure

Offer your sale before the usual holiday sales.

A few years ago we discovered the benefit of having our biggest sale before the usual holiday days. Therefore, we host our annual Buy One Get One Free BOGO sale a week before Black Friday.

We call it our loyalty sale because we really only announce it via email. On the day of we post it on socials, but not until then. We send an email 2 months before, one month before, 2 weeks, 1 week, 2 days, day before, and 3 on the day of the sale.

The buzz we generate and the customer happiness we get are unbelievable. It starts our holiday season off with a roar.

We start manufacturing in August to make sure we have enough of everything. We hire extra staff on that day to make sure everyone is being helped properly.

The rest of the holiday season is wonderful and consistent. We offer gifts with purchases on Black Friday and Small Business Saturday, and free shipping on Cyber Monday, but nothing is like BOGO day.

Roberta Perry

ScrubzBody Skin Care