Change for Success
In today’s challenging economy, one of the most valuable asset a small retailer has is its ability to be nimble and change courses quickly. Many small retailers overlook that powerful ability and actually fear the idea of change. Helen Kenney Poore is not one of those retailers. She is the owner of The Scented Garden in St. Michaels, Maryland. She had the ability to see this recession coming and the courage to make changes in her business to position herself to thrive, not just survive. It has paid off and she is seeing record sales. Below is her story in her own words.
Offering a deal without a discount
Way too many stores are offering way too many markdowns. Getting your customers used to markdowns will have long term consequences to your brand. It will become much more difficult to sell items at full price when conditions improve. On the other hand, I understand that if you do not survive right now, there is no need to worry about the future of the brand, because there will be no brand.
Here is an alternative. Find another retailer that has products that compliment your products. For example, you sell women’s clothing. Go out there and find a women’s shoe store, accessory store or even another women’s clothing store.Ask them to join in with you in a marketing effort. You trade out gift cards with this store, then you turn around and offer your customers a free gift card to the other retailer with purchase from your store. So, instead of marking you products say 50% off, you would offer your customers a $50 gift card to the other shop with a $100 purchase in your store, or something similar to that.
Now you got your customer to pay full price, but they also got a value. So your $100 pair of jeans remains a $100 pair of jeans in that customers mind and not a $50 pair of jeans.
The other retailer would do the same thing. In the short term you generate business, but in the long term, you are not cheapening your products.
Is your Brand addictive?
In today’s challenging economy, it is more difficult than ever to hold on to customers. Many long-term customers are jumping ship and going to where they perceive to be the best value. So how do you keep your customers in this economy and in the future?
Well, it takes two things, a strong brand and a remarkable customer experience.
First let’s determine what makes a strong brand. Scott Davis of Brand Asset Management says, “A strong brand position means the brand has a unique, credible, sustainable, and valued place in the customer’s mind.
Before you think outside the box, think inside the box
You will not hear me say too often to think inside the box. I will always be the first to tell you to do things different, stand out, or you will be lost in a crowd. But there is one thing that once you figure out, you never should change. That is your core values. It is who you are as a person and a company. These two should be one in the same, timeless and everlasting. Values in my opinion, are the most important things to figure out in order to have a successful and enjoyable business.
You can change your business strategies, your product line, your marketing, advertising, even your brand. These are healthy to change to adapt to market conditions and people’s buying habits. Your values, on the other hand, are what your company stands for and believes in, and should never change regardless of the economy, competition or even the bottom line.
How do you discover what your values are? First thing is you do not invent, create or take someone Else’s. You figure out your values by digging deep inside yourself and getting in touch with what is important to you. What are you passionate about? Whatever it is that you feel is the most important thing(s) to you, those are your values.
Continuing education for retailers
Many professionals are forced to take continuing education classes in order to renew their license and stay in business. Obviously retailers are not among them. But that is no reason to stop educating yourself and learning. I am not talking about going to expensive seminars or taking expensive courses. Although a seminar once in a while will not hurt. I am talking about the cheapest way to learn. Reading. There are many great authors out there, who have spent years doing all the research for you and acquiring knowledge that you can learn in hours by reading their books.
How often do you read books that will help you in your business? When was the last time you picked up a book on Viral Marketing or creating customer loyalty? How about hiring and managing people? There are many great books out there that could really help your business and expand your mind. I recommend reading at least 1 book a month. In a year, you would have gained the knowledge of 12 books.
I would also find retail consultants and experts and subscribe to their newsletters. Read retail news and articles. Commit to 1 hour a day to researching and learning about retail. Do this regularly and watch your mind and your business transform.
