The Pre Order is nothing new. It is as old as the retail industry. But the rise of the Pre Order Industry is something that I feel will be shown more and more in 2024, especially in our small sector of the Goodyear/handwelted industry.
A lot has changed since the pandemic, especially for companies that hold a stock of products and also how business-to-business relationships are managed when it comes to the supply of materials to make said products.
Due to this change, companies have had to roll with the punches and by doing so, hedge their bets, so to speak. One way of doing this is through the Pre Order system of placing your large orders and allowing people to pre-purchase your stock before it has actually arrived. This phenomenon is going to rapidly grow in my opinion, so here I discuss why and to let you know what made it come about and to be prepared for it to become more prevalent.
It is not a bad thing either. It will ensure that people get their products and that companies don’t order models that end up not selling and also potentially have better sell-through rates of their consistent core models. And the day, it is a win-win so long as the customer is patient and not in need of instant gratification. But that is where the pre order industry and its prevalent rise might stir things up. Traditionally speaking, shopping was always about “instant gratification.” And if more and more brands do Pre Orders as a way to protect themselves it could lead to less of that. Time will tell!
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