product, e-commerce, sell, pre-launchI am starting a greeting cards company. Right now I am done with the website and almost ready to print my cards (which will probably be ready in 2-3 weeks). I am planning on printing 12,000 cards first (40 versions, so 300 of each).
My question is: Does it makes sense that I launch my website now and let people pre-order? Until I get the cards? One benefit I see is that I would get an idea of what people like. I will be able to get user feedback which I can use to modify what cards I will print before actually printing them.
What do you guys think? Are there any other benefits or drawbacks?
Launching a website prior to production can be very beneficial. You probably have seen the “Coming Soon” signs at brick and mortar retail stores. Launching early will allow you to put key words in search sites like Google etc. It also, as Dawny33 says, can help you gauge your market, however 2 to 3 weeks lead time is very short as the general public probably will not find you quickly.
You might take more than the 2 to 3 weeks lead time to have your production up and running due to the small number of initial viewers of your site, you will have. To take the time, I recommend a large notice you are “coming soon” and you are not currently open. A projected date of opening would also be beneficial. You need to delay opening until you think you will some sales. That is purely a judgement call. To maintain interest of earlier viewers, you might have a numbered 10 % coupon. (Numbered to insure it can only be used once.)You can also ask your early viewers to choose a particular card or cards they like so it will be on hand for them when you do open. Remember your site is brand new and you will more than likely have only a small trickle of initial customers.
You can use the additional time to reserve some of your capital. Rather than outlaying capital for the same number of each card, you can do as you proposed by having a larger supply of the pre-selected cards and a lesser supply of those that aren’t.
I think the number of cards you are planning to print is exceptionally high, unless it will months to receive reprinting orders. You might want to visit a retail store and ask the number of each card they have in stock. You should correlate that number with your reorder time. I would spend some time estimating your just-in-time inventory and raise it just a few percentage points for uncertainty. You don’t want to have a large number of cards that don’t sell. It is not a bad thing for a new business to have some cards on back-order. It is fine as long as you know when the back-orders will be received. A significant under-estimate or actual back-order time will probably cause you to lose that customer. Please don’t think, “its just one customer”. In your opening days your best advertising will be word of mouth. By losing one customer, you are loosing many potential customers.
I personally would not have pre-orders. With a new store and customer types you know little about, the chances of pre-orders being canceled are significant. I don’t think you want to get stuck with expected sales not happening. And if you are thinking of prepayment, the chances of it for a new store are slim.
I think you should check out your competition, other website card shops. Since you are the new kid on the block, you need to do what they do, but different. You can try to piggy back their method of getting customers (if you can figure it out), but differentiate your store. Make it have easier to check-out or have better customer service or something else. Remember to ask for your customer’s email address so you can send them advertising. Tell them that your advertising will not be overwhelming (and stick to it). You need to do everything you can to get your store known.
I think it is a wonderful idea. It helps in gauging the market, demand and most importantly in knowing who your customers are and who would be your early adopters.
Does it makes sense that I launch my website now and let people pre-order? Until I get the cards?
As mentioned above, it is a wonderful idea, but don’t leave a lot of time between the pre-ordering and the launch. You don’t want to get the excitement die down.
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