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What is a call product? All you need to know 2024

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September 16, 2024
7 min
Product Information Management

How to use a call product to boost your sales?

The Call product is a term you may have heard before, especially if you work in marketing or sales. But what does that mean exactly?

And why is it so important for businesses to fully understand and use this concept in their business strategy?

In this article, we are going to dive into this concept, see how it is used in the world of commerce and above all, how you can take advantage of it to boost your sales.

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What is a call product?

A call product is a product or service offered to a particularly attractive price, often lower than its real value, in order to attract customers to a store or to a website.

The idea behind this strategy is that, although this product does not necessarily generate significant profits (if any), it attracts enough attention that customers end up buying other products that are more profitable for the business.

For example, an e-commerce site could offer headphones at a very low price, knowing that customers will come for this attractive offer but will end up adding additional accessories or even more expensive headphones to their shopping cart.

How do I identify a call product?

Identifying a call product is not a trivial task. It's not just about choosing a Popular article And of the sell at a low price. Several criteria must be considered:

  • Attractiveness for customers : the product should be attractive enough to encourage customers to travel or visit the site. It can be an everyday product, a novelty that is in high demand, or a seasonal item.
  • Low cost for business : ideally, the product should be inexpensive to produce or to acquire. This makes it possible to minimize potential losses if the product is sold at a reduced price.
  • Complementarity with other products : the product must be related to other products or services that the company wants to sell. For example, selling a printer at a discount could encourage customers to buy ink cartridges, where the margin is higher.

Developing an appeal product: The essential steps

The development of a call product requires a well-thought-out strategy. Here are the key steps to success:

  • Market and consumer needs analysis : start by understanding the needs and expectations of your customers. What products are essential for them? Which products are of particular interest but remain financially accessible?
  • Product choice based on demand and supply : once you have a clear idea of your customers' expectations, select a product that meets these expectations while being easy for your business to source.
  • Development of an attractive offer : offer this product at a price that attracts attention. Make sure that the offer is perceived as a real deal by consumers.
  • Integration of the call product into a product line : the product should not be insulated. Integrate it into a range of complementary products, and encourage customers to buy these additional products.

A classic example of Call product is a large supermarket chain that offers a basic product, such as a baguette, at a very low price, often close to the cost of production, or even at a loss. For example:

Call product example:

Product: Baguette of bread at 0.30€

Strategy:

  • Attractive price : The baguette is sold at €0.30, a price much lower than that of bakeries or other supermarkets.
  • Objective : Attract as many customers as possible to the store with this very low price. The idea is that, once there, customers will also buy other products, which are often more profitable for the brand.
  • In-store location : The wand is placed in an area of the store that encourages customers to walk past other products, thus increasing additional sales.

Result:

  • Increase in traffic : More customers are visiting the store to take advantage of the baguette at a low price.
  • Increase in sales : These customers also buy other products, thus making up for the low margin, or even the loss, on the call product.

Call products are commonly used in various industries to attract customers by offering them a product at an exceptionally low price, with the hope that they will buy other, more profitable items once in the store.

Commercial issues related to the appeal product

Offering an attractive product can have a significant impact on your business. Here are some issues to consider:

  • Impact on brand perception: a well-chosen product can improve your brand image by making it more accessible and by demonstrating your ability to offer quality products at competitive prices.
  • Managing customer expectations : it is crucial not to disappoint customers. Ensure that the call product is of good quality and available in sufficient quantities to meet demand.
  • Risks associated with selling at a loss : selling at a loss can be a risky strategy. It is important to ensure that losses related to the appeal product are offset by the gains made on other products.

Strategies for maximizing the effectiveness of a call product

Once the call product is chosen, there are several strategies to maximize its impact:

  • Promotion and targeted marketing : use effective communication channels to promote your appeal product. This may include social media campaigns, online ads, or special offers that are only available to subscribers to your newsletter.
  • Use of call products in the context of cross-selling and additional selling: Offer products that complement the call product to encourage customers to spend more. For example, if you offer a discounted coffee maker, offer discounts on filters or coffee as well.
  • Optimization of online and in-store visibility: Make sure your calling product is clearly visible, whether online or in store. Place it at the head of the gondola, in the window or on the home page of your site.

Real examples of successful call product strategies

Many businesses have successfully used call products to boost sales:

  • IKEA and cheap accessories: IKEA often offers accessories at very low prices, such as kitchen items or small decorative items. This attracts customers who end up buying furniture and more expensive items.
  • Amazon and the books on sale: Amazon regularly offers promotions on books, especially on best sellers. Once on the site, customers often add other items to their shopping cart.

How do I price a call product?

Pricing an attractive product requires a careful balance between attracting customers and maintaining the profitability of the business:

  • Setting the price according to business goals : Determine whether the objective is to attract a large number of customers or to retain existing customers. In the first case, a very low price may be justified; in the second, a slight discount may suffice.
  • Balance between customer attractiveness and profitability : don't sacrifice profitability for attractiveness. Calculate margins on complementary products to ensure that the call product indirectly generates profits.
  • Price adjustments based on results and the market: monitor sales and adjust the price of the call product if necessary. A price that is too low or too high can hinder the effectiveness of the strategy.

Mistakes to avoid in setting up an appeal product

Setting up an appeal product can be tricky. Here are some common mistakes to avoid:

  • Choosing a product that is not well suited to customer expectations : if the call product does not interest enough customers, it may not attract the expected traffic.
  • Underestimate the importance of the profit margin on other products: If the complementary products are not sufficiently profitable, the appeal product could result in losses for the business.
  • Do not integrate the call product into a global strategy: The call product should be an integral part of your business strategy. It should not be just a temporary promotion, but a key element in attracting and retaining customers.

Conclusion

One Call product, when well chosen and used well, can be a powerful lever for attracting new customers and increasing sales. It is a strategy that requires thought and precision, but can greatly contribute to the commercial success of a business.

By taking care to select the right product, price it correctly, and integrate it into a global strategy, you can turn a simple product into a real business asset.

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FAQS

What are the benefits of a call product for a small business?

A call product helps attract new customers and increase business awareness, which is essential for a small business looking to grow.

How do you measure the success of a call product?

The success of a call product is measured by the increase in traffic (in store or online), the volume of sales of the product itself and complementary products, as well as by the retention of new customers.

Does a call product always have to be sold at a lower price?

Not necessarily. The important thing is that the calling product is perceived as a good deal by customers, which can also be the case with a special offer or an additional benefit.

How long can you use a call product in a marketing strategy?

It depends on the product and the market. Some call products can be used for the long term, while others are more effective over short periods of time to create a sense of urgency.

Should you always promote a call product?

Yes, promotion is essential to maximize the impact of this product. Without promotion, even the best call product risks going unnoticed.

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