This Black Friday won’t look like last year’s.
Not for shoppers and not for the e-commerce stores who rely on this period to drive sales. That’s because the economy has taken a hit and doesn’t seem to be getting on its feet anytime soon. On top of that, inventory is expensive, runways are short and supply chains are still delayed.
You might think this means fewer shoppers and fewer sales, but the need for great deals heading into the holiday period will be higher than in 2020 or 2021.
If anything, there’ll be more Black Friday shoppers than usual with more in their carts as they try to make the most of discounted prices.
You can make the most of this opportunity too with great marketing and a website that converts. But you don’t need to disrupt your cash flow to achieve these things. Instead you can borrow Black Friday funding from a trusted provider like Uncapped.
Why e-commerce brands need capital heading into 2022’s Holiday season
The state of the e-commerce industry in 2022
Thanks to this year’s economic downturn, e-commerce brands are leaving behind a period of unprecedented success for one of uncertainty.
When it comes to finding the best deals in an effort to save money, consumers still lean towards online shopping. One report shows that 47% of respondents make weekly purchases online but that could change if the economy continues to decline. In fact, 41% state online purchases would be the first to go if they need to cut back on spending.
With pandemic related supply chain issues continuing to make inventory expensive to purchase and difficult to get hold of, many stores have had to raise their prices to cover the costs — costs that the end-consumers are no longer willing to pay.
For some e-commerce stores, this has led to shortened runways ahead of their next round of funding. For others, it means an uninspiring forecast in revenue.
While this makes it difficult for brands to spend on marketing and to keep their inventory fully stocked, they can’t afford not to be top of consumer’s minds this holiday season.
Borrowing working capital could be the difference between a disappointing Black Friday and a fruitful one.
Getting a leg up on the competition — Additional capital could give you the advantage this Black Friday and Holiday season
You’re not the only e-commerce store struggling with inventory prices, cutting costs to extend a runway, experiencing delays with supply chains, or seeing consumers spend less.
While your competitors cross their fingers and hope the holiday period goes well, you can ensure it does, with funding that covers lucrative marketing activities.
You can also rest knowing that you’ll have enough stock to cover demand — this isn’t a time you want to miss out on potential sales.
Marketing that puts your products top of mind
Most people don’t need to be told that Black Friday is approaching but what they might not know is where they’ll do their shopping.
You can use marketing channels to let potential customers know what deals you’ll have running.
This helps them plan where they’ll spend their hard earned cash or allows them to discover your store on the day itself.
You wouldn’t be the first ecommerce store to drive sales with great marketing.
PsiBufet, a subscription pet food brand in Poland took on Uncapped capital to scale their marketing efforts. They saw a 57% increase in revenues as a result.
If, like PsiBufet, you market your deals to the right audience with the right language, you’ll have shoppers clicking through to your site and purchasing your products in no time.
“Accessible funding from Uncapped allowed Piotr to continue growing throughout the prolonged equity raising process, become the market leader and go on to raise a 5 million PLN seed round in March 2021. Since then, he’s taken another €188,000 in funding from Uncapped.”
Read all about PsiBufet here.
And PsiBufet isn’t the only e-commerce brand benefitting from marketing funded by Uncapped.
Marketing is the best way to connect with online consumers but it doesn’t come cheap. A funding provider can put you ahead of the competition without disrupting cash flow.
Black Friday funding from Uncapped can help you with:
- Paid ads across social media platforms
- PPC campaigns for product related keywords
- Influencer marketing in the build up and on the day
- Partnership expenses to have your products featured in emails and publications.
Your competitors who didn’t fund extensive marketing campaigns will be missing out while you make the most of Black Friday.
Optimize the shopping experience on your website to turn traffic into paying customers
Getting your customers to the site is just half the battle.
You then need to make sure your website converts. There’s two ways you can do this — great website copy and a seamless checkout experience.
Ecommerce funding can help you improve your website ahead of the holiday season so that you don’t lose customers between ‘add to cart’ and ‘check out’.
You’ll want to look into optimizing your load times, adding product bundles, building upsell features, and having persuasive copy at every stage of the process.
Improving your website probably means bringing in additional help either through a seasonal hire or using a freelancer. Either way, you’ll need to pay them.
In a tough economy where you can’t easily forecast your sales, you may want flexible repayments that fluctuate with your revenue. Or you may want to know the exact amount you’ll owe every month.
Either way, you’ll have a trusted funding provider that you can count on this holiday period and as you scale.
How a long term growth partnership with Uncapped can support you with scaling your brand
A long-term partnership with Uncapped means you’ll have somewhere to turn to for further funding. That kind of support is invaluable as you scale.
Funding ‘on tap’ — a partner you can turn to for more than one round of capital
“Uncapped is a great growth partner I’d recommend to every ecommerce founder,” says Stuart Nice from Outsmarted. “Their funding allowed us to increase our marketing spend by 4x, gain new customers and generate over £300k in extra sales last Black Friday.”
Your growth efforts continue amid high and low seasons, fast moving trends and economic fluctuations.
With that pace, there’s likely to be times where you need access to cash that you don’t have in order to capitalise on opportunity or to help you survive a downturn.
Uncapped makes it easy to secure funding as and when you need it, it’s even easier when you have a provider who already knows your business and has built a good relationship.
Even if you use other funding methods such as investment, Uncapped can support you in the stretches of time between fundraising rounds.
When you first secure Series A, B, C and beyond, your runway feels like it goes on for miles. But in reality, the track is shorter than you think and if you’re not meeting targets, it can shrink even further.
Funding can extend that runway and make it possible for you to boost sales.
That’s exactly what PsiBufet did. Their scaling efforts led them to return to Uncapped for further funding after the success of their first round mentioned earlier.v
Access to an e-commerce network
It’s not easy being an e-commerce store owner. In fact, 65% of new startups fail during the first ten years.
But with the right resources and support you can do more than survive in this arduous industry, you can thrive.
That’s why Uncapped introduces their borrowers to a network of top ecommerce agencies who provide deals on services and tools that help ecommerce businesses grow and sell more.
These deals include analytics platforms, email marketing providers and more.
All of this so that you can:
- Create a profitable marketing strategy
- Optimize your website for SEO and customer conversion
- Find and keep product market fit
- Beat out the competition
- Know who to hire, when
What you can do next
You have a choice to make this Black Friday.
You could carry on as usual or you could make the most of the holiday season with e-commerce funding.
Imagine drawing in 1000s of customers to your online store, generating more revenue and building brand loyalty with new customers. A great Black Friday could put you steps ahead of the competition.
And the right funding provider will be there when you need them most, so that you keep your competitive edge.
It takes just 2-minute to find out if you qualify for funding from Uncapped.
If approved, you’ll know in as little as 24 hours and be well on your way to making the most of your Black Friday and beyond.