Retail: To dominate or just participate?

As the “crazy season” approaches, retailers are positioning themselves to take advantage of the huge influx in customers. While trying to match or beat last years numbers, retailers miss the bigger picture. By focusing on internal numbers it is easy to forget about your competitors. That’s right, you are competing for holiday dollars against products you have never even heard of and that may not be even closely related to your product line. As consumers hit the malls and online stores, they are looking for that perfect something. After all, the goal of most shoppers is to give the “wow” experience to those they are shopping for. Here are some last minute things to keep in mind as you ready your business:

1. Your staff should care about your revenue goals.

If your staff is packed with a bunch of pimply faced teenagers that don’t care about their job or your success, replace them. There are plenty of qualified people that would happily take the extra money around the holidays and that has never been truer than right now.

2. Train for the sales environment

Whether we are talking about the current staff or holiday help it is well worth the time to explain to them what they are up against. Teach some basic trial closing techniques and explain that mentioning direct competitors by name is not against the law. When a customer says that they saw a product in another store, encourage your people to explain that yours is better and that it is more desirable.  Statements like that will often be the little nudge a consumer needs. Let’s face it, although we enjoy buying gifts for other people, we certainly do not like laboring over that decision.

3. Know the data

Regardless of what you sell, there is consumer data on the web that can help you prepare your staff. It can also be helpful in display placement. Know the priorities of consumers and know what will trip their trigger. In retail, a little homework goes a long way. No matter what anyone says, display what sells the best. Do not be afraid to adjust displays daily until you are satisfied with the results.

4. Your staff

I cannot overemphasize the importance of a staff that either has a vested interest in the success of the store or is of a psychological profile that is highly conducive to driving sales. Either way, you need competency in every phase of your game. They must be willing to do what your customers need them to. Whether that is the “helpful” rep or the “pushy” rep, make sure your first line of attack is ready and able. In a retail setting, people buy from people.

5. Stay involved

One of the biggest problems with a consolidated market is that as we “kick off” our efforts and get things in line, we tend to back off and coast. The difference between killing it and doing ok is management’s ability to drive sales all the way through the season. Half way through you may be on target and then end up slightly behind. Do not coast no matter how far ahead of last years numbers you get. It will come back to haunt you.

6. Make smart decisions, not popular ones

As we get further into the season, “stars” will emerge. Use their time to your advantage. Put them in the time slots that will utilize their performance the most. Others may not like it, especially if your talent is seasonal but you cannot concern yourself with that. Your primary goal has nothing to do with being liked. Your focus must remain on the task at hand. Your customers could care less if your staff is happy with your staffing decisions. They come with a purpose and your job is simply to help fulfill that purpose.

7. Facilitate impulse buyers

When a customer walks in and makes a snappy decision, the tendency is to ring them up right away. Sales psychology tells us that doing so is a huge mistake. People that make snap decisions will make three snap decisions just as easily. Unless they request to pay and go, walk them through the store and point out other products they may want.

8. Create product driven paths

Whether you use gender, age, or products that are associated, you should teach your staff to walk customers by other products that compliment their purchase. For example, if I am buying a pair of jeans for my son, your rep should walk me by shirts for that age group and point out popular styles. Electronics are even easier; accessories, accessories, accessories. That goes for girls clothing as well. You get the point. You should literally show your staff the path to take to the register for each product group you sell. It is one thing to suggest, it is another to show them.

For retailers, the difference between a good year and a bad one is a very thin line. The addition of a lot of little things can and will add up to a big difference in the bottom line. Retail management is intense this time of year but developing a plan of action can take a lot of the heat off of the seasonal pressure. Either way, good luck this season!

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