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Coronavirus in Q4 2020: what can we expect in Marketplaces?

It is clear that the global pandemic Coronavirus or Covid-19, although it now seems more under control, has caused and is causing real havoc in the business figures of companies. Closure of physical stores, shoppers' fear of going out shopping or a drastic reduction in family spending on leisure, fashion or luxury products are some of the "stones" that all retailers are accumulating in our "2020 backpack".

New rules of the game

If you have been in this new invention of online sales for some time, you will know that dates such as Prime Day, Black Friday, Christmas or even Blue Monday are key dates for the development of our activity.

Obviously, your results in Q3 2020 will depend on what sector you are in, but in the same way that sectors such as small household appliances have reached turnover rates of +80%, others such as the Beauty sector have faced a real debacle in sales results. Moreover, during this period of confinement, Prime Day was confined to Jeff's garage, leading to a situation that in some cases turned out to be ruinous.

So much for the summary of results and consequences of COVID-19, now let's go to what really matters, what can we expect from Q4 2020 in Marketplaces?

Highlights for e-commerce 2020

"Take them off my hands!" This will be the phrase for October, November and December 2020 as we are going to experience an unprecedented accumulation of "Special Days", let's see what these 2020 featured dates are going to be:

  1. Prime Day - tssss... it's a secret and no dates are known, although all indications seem to indicate that it will be during the month of October.

  2. Black Friday - November 27, 2020.

  3. Cyber Monday - November 30, 2020.

  4. Christmas - From the 2nd week of December to the 1st week of January for the latecomers.

How to prepare your offers for the special days in Q4 2020

Now that you know the juiciest days for this 2020 I ask you, are you ready?

Amazon for example, has already closed the period to deliver exclusive discount offers for Prime Day 2020, however you still have time to present offers with "Prime member coupons" type modalities.

But beyond Prime, you must take into account the following two factors that will determine the success or failure of your campaigns in these key days for e-commerce 2020:

  • Stock

Remember to have enough stock to cope with the increase in demand. If you move in Fulfilment by Amazon, Fulfilment By Cdiscount or Fulfilment by Marketplaces Random logistics, remember to send your products to their warehouses well in advance.

If your option is FBM or Fulfilment by Merchant, have a contingency plan so that your supply lines are not saturated or contemplate a crisis protocol in case of stock rupture. Remember that cancelling orders due to stock shortages will put your seller accounts at risk of deactivation due to poor service.

  • Discounts

Between 20-30% discount is the most appropriate for these dates, but we all know that margins are margins. Remember that your products not only have a production cost, but also a shipping cost or even the proportional part of the advertising cost that you may have allocated on the RRP. In other words, selling more is not earning more if margins don't come out, so keep an eye on it.

Now you know two keys to the success of your sales results in the key days for e-commerce in Q4 2020. Obviously there are many more, but if you master these you have 50% of the equation worked out.

"It is through curiosity and the search for new opportunities that we have mapped our path. There's always a new opportunity to make a difference." - Michael Dell

If you think you need help, you are not sure which strategy is the most appropriate to face this period or you simply have no idea where to start, do not hesitate to contact us and we will help you plan and implement your entire 2020 sales strategy.


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