Inside Scoop on Impulse Buying

Wednesday, May 24, 2017

In order to maximize sales, it is important to have strong strategies in place. Impulse purchases are one of the most powerful and effective strategies that impact a customer’s spending habits. Hilbert & McGee stated in an article, “Increasing Impulse Purchases and Buying”, that impulse purchases account for close to 40% of consumer spending. With this statistic in mind, it is important to consider increasing sales through impulsive buying strategies. Here are several ways to boost your sales:

Product Type- Generally, most impulse purchases are small, inexpensive and lightweight. Candy was the number one item bought on impulse, with baked goods and mints as a close second.

Product Placement – Now that you are aware of what items to place, it’s important to consider where to place them. The best place for impulse items are near the sales counter due to the heavy foot traffic. However, there are many other places around the store where customers travel. For example, placing impulse items around deli counters, coffee bars and beverage coolers can be just as successful as the sales counter.

Product Promotion- After determining the correct products and placement, now it is important to promote them! One way to draw attention to products is to advertise it at a lower price or BOGO sale. Finally, promote impulse products with urgency. For example, promote with signage stating “Limited Time Only” or “Limited Quantities.”

Impulse buys may not add up to much individually, but with the right strategy these purchases can add up to considerable increases to your bottom line.