What is Synchromarketing and How to Use It to Balance Consumer Demand Fluctuations?

For businesses with unstable demand, seasonal goods, or services, it is very difficult to survive in the market and overcome the calendar year, because periods of high demand are always followed by a decrease in consumer activity and, accordingly, a decrease in financial income. That is why the synchromarketing strategy is used to balance demand.

In this article, we will talk about what it is, what advantages this method has, what types of discrepancies exist in demand, and how to use the strategy for your business.

What is Synchromarketing?

Synchromarketing is a type of marketing aimed at reducing seasonal and other types of demand fluctuations. Demand fluctuations can occur for any product, where the time of supply may not coincide with the time of demand and its use.

Among the tasks of synchromarketing, one can single out:

●      Forecast of the current market situation and development

●      Finding ways and opportunities to attract an audience in the off-season

●      Updating the marketing plan

●      Interacting with the target audience and providing information about marketing activities

●      Developing and implementing opportunities to increase sales

The main goal is to achieve a stable turnover of goods without excessive fluctuations. Simply put, synchromarketing is the stabilization of demand.

Pros and Cons of Using Synchromarketing

Advantages:

●      A more stable workload of employees – they are neither overloaded nor idle

●      Effective distribution of company resources

●      Equal receipt of income and the absence of sharp declines

●      Finding additional ways to develop the company and ensure process stability

●      During periods of low demand, the ability to offer customers promotions, discounts, and special offers

●      Establishing a closer relationship with the audience and maintaining constant interest in the brand

Disadvantages:

●      The need to allocate additional funds for seasonal and fluctuating periods

●      The need for additional costs for marketing activities and attracting customers

●      No guarantees of results and the need for experimentation

Synchromarketing Strategies and Tools

The main method of synchromarketing is process control. In order to control the process, marketers must act in a complex manner and use one or more process control methods simultaneously.

The main directions are:

Automation of business processes During peak demand, the organization may not be able to cope with processing orders and may be forced to hire additional personnel. During periods of fluctuating or low demand, it may be necessary to lay off existing employees.

To avoid such situations, during periods of increased demand, special attention should be paid to process automation and the introduction of new tools. For example, the introduction of chatbots in the sales department for initial sorting of leads, filtering customers, and redirecting genuinely interested buyers to operators. Chatbots can also collect applications during managers' days off and during periods of low demand, which are then easier to process.

Introduction of pre-orders and pre-sales To reduce the load during peak demand and balance orders during periods of demand decline, it is necessary to place pre-orders. Customers can be offered special prices, more favorable conditions, or bonuses.

Impact on a specific segment of the target audience It is not necessary that a product or service has a constant and stable demand from the same audience. During periods of high and low demand, completely different segments of the audience may be interested in the product.

For example, a resort that attracts young people with an active lifestyle in the summer may not be attractive to this category at all in the winter, but will be visited by families with children, for whom the resort is too noisy in the summer.

Promotions and discounts The demand for goods may fall for various reasons: the release of a new collection, model updates, more affordable alternatives, and many other factors. During such volatile periods, marketers hold promotions and lower prices in order to sell less popular goods.

An important nuance of promotions is that they should be limited in time and held during a period that requires adjustment and control of demand growth.

Demand fluctuation compensation Compensation differs from promotions and discounts on unpopular goods. It focuses on reordering and selling new trends.

For example, in the summer, a sports store actively sells trampolines, accessories for summer sports, and pools, while in winter it focuses on skis, sleds, and similar products. When a business knows and monitors periods of high demand, it can wisely plan resource allocation and avoid the accumulation of unsold products in the warehouse.

Cooperation with other companies To sell goods during periods of low demand, it is possible to cooperate with other companies, conduct joint promotions, and organize marketing activities. For example, a cosmetic brand during such a period can collaborate with influencers, create joint gift boxes of less popular products, or hold events with various activities.

Conclusion

Synchromarketing is a good tool for stabilizing sales volumes and reducing seasonal and other fluctuations in demand.

Using a synchromarketing strategy helps businesses more accurately organize demand and optimize inventory and losses.

Synchromarketing strengthens the relationship between the brand and the consumer: companies can offer relevant products at the right time and satisfy the emerging demand of the consumer.