Sales Strategy considering Advertising in Advance-Selling and Spot-Selling Integration Mode for Fresh Product

Abstract

In this paper, we look into the optimal sales strategy of e-commerce platform which sells fresh-product advertising in advance-selling period and spot-selling period, respectively, when advance-selling and spot-selling integration mode is applied. The study found that, with the increase of advertising investment, the marginal benefit of e-commerce platform is declining; whether advertising during the advance-selling period or the advertising during the spot-selling period, the e-commerce platform can improve its profit, but under the same advertising effect factor, the optimal advertising investment for the sale period is smaller, and the profit when advertising in the advance-selling period is greater. When advertising in different periods, the optimal advertising and price strategy depends on the maximum valuation of consumers about the product and the advertising effect factor.