Posts tagged with Scarcity

sense of urgency

How to increase conversions by creating buyer urgency & fear of loss

A sense of urgency and fear of loss are powerful sales drivers in ecommerce.

Undecided shoppers can be encouraged to make an impulse purchase if they think they’re in direct competition with other people for a product that has limited availability.

I recently rounded up 11 examples from ecommerce sites that use stock levels to create buyer urgency, but that’s by no means the only tactic available.

Here is a range of other techniques used by well known brands that can prove to be very effective in driving conversions.

And just to clarify, I've intentionally avoided group discount and flash sale sites (e.g. Groupon) that are built around scarcity and deadlines.

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depop logo

Depop’s app trumps eBay with a slick combination of m-commerce and social

Depop was launched in April 2013 and has achieved 200,000 downloads from the App Store so far. 

The UK based start-up, which is difficult to describe as anything but a cross between Instagram and eBay, expertly marries mobile commerce with social networking and has many advantages over other m-commerce platforms: simple and quick selling, fluid checkout, inherent social integration and no listing fees.

According to TechCrunch, the app has been responsible for 200,000 items being sold worldwide, at a value of around €5m and as of February 2013, Depop is now available for Android users, thereby extending its reach to the dominant operating system of mobile users worldwide.

If you haven’t heard of Depop before, now is the perfect time to acquaint yourself. Here I’ll be looking at the app from a user experience point of view to see what the advantages and disadvantages are in using it. 

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jaws poster

What is scarcity marketing and should you use it?

As a relative newcomer to the digital marketing world, I've decided to write a series of 'beginner's guides' to uncover what is meant by certain terms, trends and technological advances in digital; being both a travel guide and a personal investigation.

Here I’ll be answering the following questions: What is scarcity? Why should you use it? Are there good and bad practices? In a tone of voice that has been described as both 'helpful' and 'not too rambling'.

Scarcity in marketing means to use the fear of shortage to sell more

It’s a fairly simple psychological premise. “We don’t have many Furbies left I’m afraid, you’ll have to buy it now if you don’t want to ruin your child’s Christmas” is the simplest and most extreme example.

However if we think of scarcity in terms of providing transparency about how much stock is left of a particular item, then it’s a very helpful, positive tool. 

Scarcity can also increase the perceived value of the item or service you’re providing. 

Your products can become that much more precious in the eyes of a customer. The fear that there is only a limited supply will make the customer purchase faster and possibly with less thought.

Which leads to the argument that scarcity can also be manipulative and in some circumstances, exploitative.

Before we get to the more frustrating end of scarcity, let’s take a look at some of the positive uses.

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