How I (almost) doubled sales by wiping out half my product line

Summary

This video challenges the common belief that having more products leads to more sales. Instead, it emphasizes that a focused, curated product line designed with customer needs in mind is far more effective. The speaker shares personal experiences of simplifying product offerings, demonstrating how fewer, high-quality items can drive higher sales by making the buying process easier and more professional. By eliminating unnecessary options and focusing on what customers truly want, businesses can increase trust, reduce overwhelm, and ultimately achieve greater success without adding more work.

Takeaways

• 😀 More products don't necessarily lead to more sales. In fact, offering too many products can dilute your appeal and decrease your chances of making a sale.
• 😀 Having a lot of product options (like colors or variations) can overwhelm customers and lead to decision paralysis, reducing the likelihood of a purchase.
• 😀 A focused product line can help build trust with customers. If your shop seems scattered or overly diverse, customers may perceive you as unprofessional or indecisive.
• 😀 Instead of offering every possible option, curate your products to appeal to a specific audience and make the shopping experience easier for your customers.
• 😀 The key to higher sales is not in having more products, but in offering the best products that are in demand and specifically designed for your ideal customer.
• 😀 Removing unnecessary options or products (like offering both scented and unscented versions of products) can actually increase sales by simplifying the decision-making process.
• 😀 Don't get trapped by the sunk cost fallacy—just because you've invested time and effort into a product doesn't mean you should keep it in your lineup if it's not selling.
• 😀 Prioritize products that spark joy or generate meaningful sales and remove anything that is underperforming to streamline your business and improve overall efficiency.
• 😀 A few well-curated products can be more profitable and easier to manage than a vast, cluttered inventory. Fewer products mean less complexity and more focus.
• 😀 Use a customer-first approach when designing products. Instead of creating based on what you want to make, design products based on what your target customers actually want and need.
• 😀 Selling on platforms like Etsy might allow for a broader product range, but when you sell on your own website, a more cohesive and narrow product line can improve branding and customer trust.

Q & A

Why doesn't having more products necessarily lead to more sales?

Having more products doesn't automatically mean you're appealing to more people or increasing your chances of a sale. In fact, it can overwhelm customers with too many options, causing confusion and analysis paralysis, which may lead to fewer sales.

What is the 'garage sale' shop approach, and why is it problematic?

A 'garage sale' shop is one that offers a wide variety of products for different types of customers, without focusing on a specific audience or product type. This approach can make it difficult to create products tailored for the right customer, leading to a lack of trust and professionalism.

How does offering too many options for a product affect customer decision-making?

Offering too many options can overwhelm customers, making it harder for them to make a decision. This can lead to them abandoning the purchase altogether or choosing not to buy, as they are unable to settle on a choice.

What impact did the unscented option have on the author's sales?

The author discovered that removing the unscented option from their shop actually led to more sales, as it simplified the shopping experience and removed one unnecessary decision from the customer’s process.

What is the 'Sunk Cost Fallacy,' and how does it affect decision-making in business?

The Sunk Cost Fallacy is the tendency to continue investing in something because of past effort, even if it no longer serves a useful purpose. In the context of business, this can lead to holding onto products that don't sell well because of the emotional or financial investment already made in them.

Why is it important to curate a focused product line?

Curating a focused product line helps build trust with customers, as it shows that the shop has a clear vision and is tailored to meet specific customer needs. A cluttered or unfocused product line can confuse customers and diminish the credibility of the shop.

How does having too many products affect business flexibility?

Having a large number of products can make a business less flexible, as it increases the amount of work needed to maintain inventory, manage supplies, and design new products. This reduces the business's ability to quickly adapt and respond to market needs.

What does the author suggest about creating products with a 'customer demand first' approach?

The author suggests that businesses should focus on creating products that meet specific customer needs based on research, rather than producing products simply because the creator has leftover materials or ideas. This approach ensures the products have a higher chance of selling.

How does narrowing down a product line benefit both the business owner and the customer?

Narrowing down a product line makes it easier for customers to make a decision, as they are presented with fewer options that are more aligned with their needs. It also allows the business owner to focus on creating high-quality, well-designed products, reducing the workload and the chance of creative burnout.

Why is selling on a marketplace like Etsy different from selling on an independent website?

On a marketplace like Etsy, having many product listings is effective because each listing can rank for its own specific keywords, and customers often only see the individual product rather than the whole shop. However, on an independent website, a large number of products can confuse customers, making it harder to establish a cohesive brand and trust.