As the financial year draws to a close, retailers should start looking at what stock they have left to move before tax time. The easiest way to move excess stock and make room for new products is to hold a sale, this of course, is basic retail knowledge and not reserved for end of financial year (EOFY). The difference, however, is that consumers are aware of the upcoming sales and will often plan major purchases around them.
Now is the perfect time for retailers to start advertising their big ticket sales items. Smaller items can be advertised closer to the date but big ticket items that may need to be financed will take a little longer to organise and the hype surrounding the sales will mean consumers are far more keen to organise their finances to maximise the ‘bang for their buck’.
Digital marketing company, Salmat, has just released research showing that 66% of Australian’s plan on making at least one major purchase during the EOFY sales this year and 22% are planning a shopping spree once sales have been announced. On top of that, 32% are planning a big shop in June with 14% waiting until the final week of the financial year to score the biggest savings.
Salmat’s research also found that price was the most important factor when making a purchase, coming ahead of quality, convenience and availability. This was most obvious in online shopping. With this in mind, consumers feel they can get a better product for a discounted price during EOFY sales and will wait until these sales to get a top of the line product for the price of an average one.
Unlike seasonal sales, EOFY sales are applied to all manner of products, from cars to white-goods, fashion, furniture, home, office and everything in between. Luxury items and everyday necessities all fall under EOFY sales and for this reason, retailers should really take advantage of the chance to clear stock and limit inventory before starting the next financial year.
So if you are a retailer with excess stock, now is the time to jump on your EOFY Sales marketing to get in and move your stock before everyone else starts doing the same. It’s not just consumers that have the opportunity to beat the rush at the end of the financial year.
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