319 | 2024 Market Trends For Product-Based Businesses with Jessica Totillo Coster
We recently did a two-part series on the State of Retail where I talked to two independent brick & mortar retail shop owners. I highly encourage you to check out part 1 and part 2 of that series. That conversation is important because it helps us establish some of the 2024 market trends for product-based businesses.
Here at Proof to Product, we teach all of you how to sell wholesale to stores like Katie & Jen’s shops, and it is important that you understand the challenges that they are facing and how they are adapting to the market and how that will trickle down and affect you as a manufacture.
Today, I want to expand on that conversation with a colleague of mine, Jessica Totillo Coster of E-Commerce Badassery.
Jessica is an e-commerce and email marketing strategist. You may also remember her from episode 195 of Proof to Product where we talked about strategies for email marketing. Jessica works exclusively with product-based business owners — many of whom are also Paper Camp Alumni & LABS members.
Jessica and I have a unique perspective on what’s happening in the product space right now — observing trends with sales and marketing and spotting issues before they become widespread.
That’s what our focus is on today’s episode. Sharing what we’re seeing on the sales & marketing front for product-based business - what’s working, what’s not and sharing advice that you can implement right away.
This episode is brought to you by our Email Marketing For Product Makers guide. 49% of our customers want to hear from us on a consistent basis, yet, only a small percentage of product-based business owners are actively sending monthly emails to their customers.
If you’ve struggled with what to say, when to send, or how to plan out your email marketing strategies, we’ve got just the tool for you. This tool and the optional training have helped hundreds of product makers plan out an entire year’s worth of emails. And, the best part… they are creating templates that they can rinse & repeat year after year.
Current Sales & Marketing Trends
Jessica and I started off by talking about the rapidly changing landscape of digital marketing and the current challenges faced by product-based businesses.
Jessica shared that the two main things she is seeing (which happen to be in agreement with what I am seeing as well) are:
Sales are down across the board
We know sales are down. We are seeing conversations about it inside of our LABS and Paper Camp community everyday. It’s also what I talked about in the previous to episodes on the state of independent retail.
But, what do you do about that?
Jessica shared that she has pretty much gotten off organic social media. She isn’t the first guest on the Proof to Product podcast to do that same thing. Recently, I talked with Brigida Swanson about business contentment over business growth.
Leaving sales platforms that are not serving you is an option.
Another option is to put some money behind paid ads. As Jessica mentions, pretty much anyone “big” you are following is running ads to their products.
We brought in a paid ads expert recently to talk about running ads as an e-commerce business and how you can do it.
Key Strategies for Maximizing Email Marketing
Email Marketing is what both Jessica and I continue to see as the front-runner for scaling your product-based business.
It is a highly effective tool, offering the capability to create different sequences for an excellent customer experience.
Here's a quick look at some essential sequences that can significantly impact your email marketing efforts:
Welcome sequences
Nurture emails
Abandoned cart sequences
Follow-up emails
If you are a member inside of our LABS community, don’t forget we have trainings and templates for all of those sequences to help you get started!
1. Simplifying Product Offerings
We discussed the importance of simplifying your focus on the best-selling products in your inventory.
Jessica highlighted the need to use technology to sell these products effectively rather than overwhelming customers with a wide range of offerings.
A focused approach allows you to lean into what sells well and deliver meaningful touchpoints to your customers.
2. Tailoring Email Series for Best-Selling Products
Creating a separate email series for your best-selling products is a strategy we highly recommend.
I have been doing this with some clients inside Advisory Board. We are crafting email sequences with three to four emails all focused on selling those top one or two products.
Consumers often need to see things multiple times before making a purchase.
Jessica highlighted the power of using email sequences to increase sales through meaningful touchpoints, driving home the importance of data-driven decision-making in this process.
3. Relying on Data for Decision-Making
It is also important to rely on data rather than emotional attachment to products when making business decisions.
Emotional attachment can lead to incorrect assumptions about customer preferences. Both myself and Jessica have had experiences of stocking products or thinking a product will sell really well simply because we have an emotional attachment to it.
Just because you think the product will sell well doesn’t mean it will. And if it isn’t, you need to be prepared to discontinue that product or at least pull back on it.
2024 Market Trends for Product-Based Businesses
We wrapped up by talking about what we see coming for 2024. Focusing on what's working in your business and letting the rest go is important.
This involves maintaining a balanced approach, particularly when it comes to making products or doing things in the business that don’t drive revenue.
Jessica talked about the importance of honing in on the parts of the business that make money as your main focus and letting some of the other, fun, things you enjoy doing go. At least during business time.
It’s important not to bring personal hobbies into your business.
Focus on What is Working
The most important takeaway from today’s conversation is to focus on what is working and let the rest go.
Remember, the key to sustained growth lies in staying focused, prioritizing sales, and maximizing the potential of email marketing for your product-based business.
Quick Links
Here is a quick recap of links to other helpful blogs and podcasts shared in this post.
316 | The State of Independent Retail with Jen Palacio & Katie Wilson [Part 1]
317 | The State of Independent Retail with Jen Palacio & Katie Wilson [Part 2]
113 | Why you can’t rely solely on social media for sales with Nicole Walters, The Monetized Life
309 | Business Contentment Over Business Growth with Brigida Swanson, Yardia
227 | Paid Advertising for E-Commerce Brands with Alexander Rossman | Rossman Media
302 | Paid Advertising for E-Commerce Brands with Taylor Frame, Focus Funnels
If you have ever wanted to pick my brain, or get my eyes and ears on your business, Proof to Product LABS is the place to do it.
We have monthly group coaching calls and a wide range of On Demand training specifically for product-based business owners. We open up the doors a few times a year so be sure to sign up to learn more!
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MEET JESSICA
Jessica is an eCommerce & Email Marketing Strategist for boutique owners & product entrepreneurs. She supports scrappy female entrepreneurs with actionable steps & strategies to grow and scale their eCommerce businesses. After 20+ years in retail, owning her own multi 6-figure brick & mortar boutique and 3 years as the ONLY employee of a 7-figure eCommerce store and having the pleasure of learning from the top experts in the digital marketing & eCommerce industry - now she’s sharing everything she learned the hard way so you don’t have to.
CONNECT WITH JESSICA
WEBSITE: ecommercebadassery.com | INSTAGRAM: @ecommercebadassery | FACEBOOK: @ecommercebadassery | LINKEDIN: jessicatotillo
Connect with Katie Hunt
Katie Hunt is a business strategist, podcaster, mentor and mama to four. She helps product based businesses build profitable, sustainable companies through her conferences, courses and coaching programs.
Website: prooftoproduct.com | Instagram: @prooftoproduct
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