2024-10-03

Maximizing Q4 performance: Get ready for success

Introduction

Q4 is pivotal for retail and ecommerce brands, with retail ecommerce sales expected to grow by 9.5% during the 2024 holiday season (source: eMarketer). This period sees a surge in consumer traffic, offering brands a unique opportunity to drive customer acquisition and sales. Our proprietary technology (Ignite) shows that many brands allocate around 50% of their annual budget to this critical quarter. With major events like Amazon Prime Big Deal Days, Black Friday, and Cyber Monday, strategic planning and execution are essential for boosting brand visibility and long-term growth. Our experts share tips and insights for a successful Q4 season in this article.

Why Q4 matters and why brands must plan ahead

The stakes are high in Q4. Within our proprietary technology Ignite, we can see that Q4 on Amazon is the biggest sales period with revenue doubling compared to previous periods. Additionally, brands within the gifting categories generated more revenue in Q4 than in the other quarters combined.

Intense competition means that without meticulous planning, brands risk being outshined by competitors better optimizing their retail readiness, advertising, and promotions.

Key retail events in Q4

To dominate Q4, brands must focus on the most impactful shopping events:

1. Amazon Prime Big Deal Days (October)

This event has transformed into a significant shopping moment, setting the tone for the holiday season. Brands in the Home & Garden sector that combined deals and ads saw a 2.1x lift in customer acquisition during Prime Day week, proving the power of combining promotional deals with advertising.

2. Black Friday and Cyber Monday (November)

These two shopping days remain cornerstones of Q4 retail, with promotions and discounts driving massive traffic and conversions. In 2023, Black Friday shoppers spent a record $9.8 billion in US online sales, up 7.5% from the previous year. (source)

3. Christmas Shopping Season (December)

The holiday gifting season extends beyond Black Friday, offering opportunities to re-engage customers and capitalize on late-season shoppers.
Search volume for Christmas and Christmas gifting reached the highest point on November 4 2023, the 28th most searched term on Amazon GB. (Source: Ignite)

Getting Retail-Ready for Q4

Don’t forget about promotions and discounts 

Launching time-sensitive promotions for your best-selling or overstock items can increase conversion rates. Deals pages on your brand store or Amazon storefront can boost visibility and conversions, especially when paired with Amazon's mass advertising efforts.

We typically see that brands that discount by 25-35% have a Glance View Conversion Rate (GVCR) of over 70%! This is 5x the average GVCR.

The Role of Advertising in Q4 Success

Strategic advertising is key to drive visibility, conversions, and long-term brand growth during Q4. Whether it’s preparing for Amazon’s Prime Big Deal Days or Cyber Monday, brands that advertise effectively can maintain an edge over competitors.

The advertising period is not just one day! 

Running ads solely on event days isn't enough. Successful brands engage shoppers throughout the entire Q4 period: before, during, and after key sales events. 

Implement a lead-up strategy (2 to 3 weeks before the event) as many customers start their research well before purchase. During the event day, increase bids and budget across campaigns to capture as much demand as possible. Finally, implement a lead-out strategy (2 to 3 weeks post-event) to keep the momentum going. 

Data is key: Amazon Marketing Cloud

AMC (Amazon Marketing Cloud) is your best friend when it comes to Amazon Q4 strategies. It will help you use data to educate your advertising decisions and increase your impact. 

AMC can help you discover your customer's lifetime value, identify path to purchase, define the optimal campaign frequency, and much more.

For example, using AMC data we can see the importance of a full-funnel strategy and ensure budgets for Q4 are split accordingly.

In this instance, we can see DSP, Sponsored Display, Sponsored Products, and Sponsored Brands work best in tandem with a purchase rate of 8% and high combined RoAS (return on ad spend) of £8.42. (source: ignite)

Full-funnel advertising strategy for Q4

To fully capitalize on the Q4 retail surge, brands should implement a comprehensive full-funnel approach, targeting all stages of the customer journey. From driving brand awareness and engaging new customers to fostering loyalty and repeat purchases, a balanced strategy is key. It's crucial to maintain a strong presence across touchpoints, ensuring your brand is visible when shoppers are researching, considering, and ready to buy. 

Our experts see that brands that engage with their customers whilst on promotion using remarketing strategies such as DSP and Sponsored Display see a 58% increase in NTB sales and 69% increase in total sales. (source: Ignite)

During this peak period, focusing on brand awareness is just as important as driving conversions and cultivating long-term loyalty to maximize success.

The Importance of an Omnichannel Strategy

In a high-stakes period like Q4, brands cannot afford to treat their marketplaces in silos. Implementing an omnichannel strategy is crucial for centralizing data and delivering a seamless experience across all touchpoints. By leveraging tools that provide a unified view, brands can make informed decisions and optimize performance.

Creating a cohesive customer experience across all channels—whether on marketplaces, websites, or physical stores—is essential. Retail media's role within the broader marketing mix must be measured and understood to fully grasp its impact. An omnichannel approach allows brands to remain customer-centric by covering the entire customer journey, ensuring that they’re engaging shoppers at every stage.

By stacking multiple marketing channels and considering their synergies, brands can maximize impact and boost ROI. A well-executed omnichannel strategy increases brand visibility, enhances customer satisfaction, and drives higher sales throughout Q4 and beyond.

Don’t miss the opportunity to see the effect of Black Friday on all your platforms all in one place. Get in touch now to implement Ignite and be ready in just 48 hours!

Conclusion

Q4 is the most critical time for big commerce and retail brands, offering unmatched opportunities for revenue growth, customer acquisition, and brand visibility. To succeed, brands must combine retail readiness with a strategic advertising approach that maximizes visibility, conversions, and long-term customer loyalty. By planning ahead, staying stocked, and executing promotions, brands can drive performance and secure lasting success throughout the holiday season.

Authors:

Ready to maximize your Q4? Check your retail readiness with Ignite and stay ahead of the competition.

Contact us now