9.11 Whirlwinds In Retail September 11, 2008
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The world of retail has changed a great deal since 9.11. It’s always been challenging but more so today.
Competition is more fierce, your customers attention span has never been shorter, customers are bombarded by pressures at work, kids, quality of life, finances, ads, depression and so much more that makes our lives complicated.
Maybe that’s why Starbucks has got it right. A mini moment to sooth the soul and satisfy the body. It all ads up to a satisfying experience which translates into many more returns and with friends.
Now, that’s what retailers are searching for but for the most part they don’t have a plan of attack. A good plan of attack means sitting down with family and employees in regard to your plan for 09 and beyond but first you must make some decisions about your business.
Do you have a passion for what you do? Is the location and lease right? Is your interior design inviting and feel like a place where customers can catch their breath or get what they came for? Is each department a profit center unto itself? Are you doing the right kind of marketing that’s cost effective? Do you have a target market or demographic? Are you getting good advice on how to approach and sell to that market?
All these questions and more will be answered in the coming issues of this blog. But that’s only the start, wel will be having interviews with experts in all aspects of retailing to give you inside information on how to not only succeed but build a retail empire.
On the other hand if you’ve had enough, we’ll show you how to liquidate your retail business so that you walk away with the shirt on your back and buldging pockets full of money!
Until then…happy retailing,
John Young
When Was The Last Time You Had A Crowd? September 13, 2008
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When was the last time you had a crowd standing like this standing outside your door on a Wednesday Morning?
Many retailers are discouraged because their business has little momentum and customers as a result of poor planning.
You have to realize planning starts with you. If you want a raise or your business to be profitable then there is only one person who has the responsibilitity and that’s YOU.
In the beginning of every year you should make a list of goals for your business. You start of by saying to yourself, this is what I want to do in sales. Next this is my monthly plan based on last years sales of what I need to do each month in order to get to that point.
Your yearly plan should make every dept. a profit center and if it is not profitable then it’s for one of two reasons. One you did not buy the right merchandise or 2 if you did you’re not getting the traffic you need.
One is a buying issue, the other is a marketing issue. You have to decide is it one or the other or both then address those issues. Both will be topics in the coming blogs.
Then it’s important to have a store employee meeting and set the standards of what you expect and discuss the best ways of meeting your objectives with them. As a store owner, they’re on the front lines everyday and you must decide if their issues are real just for them or everybody.
Perhaps sales training is an area which you must address. In my upcoming podcast, we will have a well know sales trainer discussing the ends and outs of making your customers shopping experience rewarding and profitable for you.
The best customer you have is the one who makes or has the capacity to make purchases in your store. So my question to you is why do you spend big dollars on advertising, giving merchandise away in order to lure people through your front doors and hope some of them are your regulars?
There is a much simpler, cost effective method of marketing. At every opportunity you should try to get your customers name, address (including email) and phone number.
One of the most successful stores I ever saw was a womens business boutique where the owner had his staff call up their customers when new merchandise arrived to give them advance notice. Plus she had the local women on the news channel wear her labels. She had a 6 time turn and if she put out a newsletter with pictures, descriptions, and more it could have been a 7 time turn.
By the way, that will also be a future blog page of mine…I can increase your profits by 20-100% or more just with newsletters alone. Can’t wait to show you how.
If you’ve got questions…send an email to: rkmtnhi@yahoo.com Subj: Secrets2RetailSuccess and I will get back with you.
The New Model For Success October 10, 2008
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The new model for success in these difficult times is continue to develop the relationship between you and your customer.
Next you need to continue to develop categories that are already successful in your store or add something trendy but be careful because trends can die fast.
The days of being all things to all people for the small retailer are gone unless you’re in a remote location, selling souvenirs or are a large general merchandise store like, Dollar General or Wall-Mart.
You also need to pay close attention to inventory control and track department sales.
Customer attention is one of the most overlooked opportunities retailers for today. It’s time to pamper your good paying customers with special rewards like FREE Gas Cards where they can save $25.00 a month on their gas bill of $100.00 or more. They’ll tell their friends about it too!
Your success comes down to caring more about your current customers than caring about finding new ones, although that is part of the marketing mix.
One of the best ways to build a relationship and list with customers is through direct mail marketing, e-marketing, and “Private Events”.
The least expensive way is through e-newsletter marketing and we can do that for you, but it’s important not to just blast your customers willy-silly into cyberspace. About 3 times a month is all you need to be very successful. Once E-Newsletters are started you’ll find customer retention should start improving shortly and you’ll find steady increases in your sales.
Best of all starting at $199.95 you can stay in contact with your customers. Just send me an email to: john@retailmarketingsuccess.com or call me at 512.627,8181 to get started.
The best way to over come this is by a monthly or bi-monthly E-Newsletter. Besides it’s really inexpensive once you have a system in place. Don’t like marketing or creating ways to stay in contact with your customers?
No problem if you either have deep pockets to hire an in house ad agency or are willing to hire free lance professionals who understand the retail industry such as Retail Marketing Success. See Contact Info.
If you’re a small retail business owner, chances are you can not be all things to all people and if you try to compete on price, there is always someone else cheaper than you.
This depends somewhat on your business but you should be tracking sales to find your 4 to 6 most profitable depts and go deep in inventory in them.
Then start to eliminate those departments that are very slow movers with promotional sales designed to sell off this inventory, gather cusomer names and address, create cash flow.
Customer Satisfaction Is A Big Deal January 13, 2009
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Customer satisfaction is a big deal according to About.com/Retail Industry…here is what Barbara Farfan has to report:
Amazon.com reported its best holiday season ever, with a 44% increase in units shipped, a 7% increase in web visitors, and 6.3 million items ordered in a single day. Coincidentally, or not, Amazon.com also had the highest customer satisfaction scores in the first half of December. When rating Amazon based on the merchandise available, the functionality of the website, the product information and descriptions, and the prices charged, Amazon customers awarded a score of 84 out of a possible 100. Amazon shoppers were happy with Amazon experience, and they made Amazon purchases in record numbers.
Some will argue that Amazon’s 2008 holiday season success was really only motivated by price, but the numbers from liquidation e-tailer Overstock.com refute that argument. Despite its everyday clearance prices, additional “Red Line Deals,” and $2.95 shipping, Overstock’s web traffic decreased by 16% this holiday season. Coincidentally, or not, Overstock had the third lowest customer satisfaction rating of the 40 major online retailers studied. Overstock’s customers are dissatisfied despite its low price offerings, and they’re avoiding the website in droves.
The point is price is not always the determining factor according to this article, relationships with customers, how you deliver the good with the least amount of inconvience is what attracts customers to come back. Therefore, do the little things like follow up with your customers, especially the ones who purchase higher priced items.
A “Thank You” note is the least you should do but a phone call, saying…”I’m just checking in to see if your clock is working fine?” This opens the door to dialogue such as “I know we discussed you getting the china as a gift and since it’s the only set we have would you like me to hold it for you until tomorrow or the next day?”
Of course putting a fence around your customers with a newsletter is not a bad idea since so many people are flocking online these days. Think about it. You not only have the economy facing you down but e-tailers who are very aggressive and attracting customers with online marketing.
Online marketers say, “The money is in the list”. Think about that for a moment. This list is a collection of email addresses and they present strong messages to potential consumers. Hello…this should be a wake up call.
If you’re doing nothing more than the same old newspaper ads that everyone else is doing and in most cases wrong, (watch for my upcoming blog on How To Design An Ad”) then you’re going to fighting for survival among those who do not know how to survive.
For more answers to these and other questions, go to http://www.retailMarketingSuccess.com
Happy retailing,
John Young
Lack of Traffic…Who Should Really Take Responsibility? December 17, 2008
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I was in a clients store this week helping her build a data base and as a result of our direct mail post card, our promotinal sale
had a slew of new customers in this high end gift/furniture/floral store,
So, I told all of her customers coming through the door, to drop their post card in the draw box for free prizes. I also asked them to give me their email address if they would like to get future announcements about other promotions.
I got over 50% email address. This translates into a huge savings on stamps and printing of post cards or letters for her next promotion. Here’s what you do. Go to www.constantcontact.com and sign up for their free trial. Constant Contact is your marketing machine for newsletters to your customers.
It’s simple, you just put your customers email addresses into a data base at the site, then create a newsletter from one of their templates, then mail it out. It’s only costs $15.00 a month if you want to put more than 100 names in the data base at the beginning/otherwise it’s FREE for 60 days.
Now you have the framework for a retail promotion such as “The Last Ho, Ho, Ho Sale” or, “The Last Big Snow Storm Of 08 Sale” or “Overstock Liquidation Sale” or Emergency Cash Raising Sale at XYZ Store! These do get people into your store.
Then E-mail out your newsletter. Your newsletter should contain 3-4 pictures (taken with a digital camera) then downloaded on your desktop, then inserted into your newsletter. These are pictures of good merchandise that people would be interested in.
Never reveal your prices for 3 of your 4 items. Announce X is 20% off, Y is 30% off, Z is 1/2 off. The reason being is you want them to come into your store to find out: A. What’s the price and B. What does it look like or will it solve my problem.
Then put in your newsletter with a picture, item “A” was $149.95 now $79.95 or whatever you can do to make it look like a huge discount. Even if it’s an okay mover, use it as a lost leader because you really want customers to see the value of coming into your store!
Here’s a little secret you can use in your mass email. If you’re going to kick a sale off on Wednesday, make sure they have an email newsletter in your customers “in box” by the previous Sunday morning. Why? People read stuff on Sunday that they don’t during the week.
But that’s not all, send the same newsletter on Tuesday before the Wednesday you kick off the promotional sale and tell them that you will give them an extra 10% off the sale price for every friend they bring in that is willing to give you their email address.
Your list of customers is the most important asset you can have, even ahead of your inventory because without customers walking through your doors, your inventory is just money on the floor.
You can even bring in a herd of customers during a snow storm, use Constant Contact or any other autoresponder (software that sends out mass mailings) to bring them into your store. Frankly most people are shocked at how good this works.
So, enjoy Black Friday and think of it as an opportunity to gather names, addressses, phone numbers and email addresses. Your business will prosper if you’ve done everything else right.
Happy retailing,
John Young
“Instant Sales Letters..The Secret To Your Success “ November 5, 2008
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Today, Staying in Touch With Your Customer is Your
Only Model for Success
Hence, Instant Sales Letters are one of the marketing tools for success if used in conjunction with promotional items to drive customers to your business and reward for a job well done by employees.
I’m going to show you how these premiums such as FREE airfare for 2 almost anywhere in the world, or a weekend stay at a resort, or FREE gas vouchers can make money for you in a moment.
As a marketing consultant, I come across a disproportionate amount of business people who do not stay in touch with their customers. Now, more than ever you have to solidify that relationship because you need them and hopefully they need you.
Your business comes from customers who need your product or service because they came across you by hearing about you, saw your storefront, saw your newspaper ad or internet presence, and want you to solve their problem. That customer is a buyer.
Another part of your business comes from customers who come in to your place of business because of the above reasons and are curious. They might be thinking…maybe this would be of benefit to me. I think I’ll check it out. These people need to be educated about your products or services if they come into your store or otherwise.
So, how do you bring customers and clients back to your business? It all starts with a with promotion a promotional sale. The promotional sale is not about giving away the store but making it look like you are with incentives.
Incentives can be a simple as a FREE weekend get-a-way for 2 in a nice hotel, which Vacation Travel Vouchers has for as low as $1.99 each. It’s a great promotional tool for your store. Can you imagine, FREE Weekend Get-a-Way Hotel awaits you if you’re one of the first 50 customers in on Wednesday morning or a Saturday morning.
You can do a sale with hundreds of variations and themes. Here’s a cool one that I recently found out about. First you put in your ad…BUY ANY 2 ITEMS FOR $100 OR MORE and Get Back a $20.00 Gift Certificate for Your Next Purchase.
The next purchase has to be at least 1 day later. In that way, you drive traffic back to your store and there is no minimum. Again, you’re buying wholesale and selling retail, so the most you’ll be out is $10.00.
Here’s the real kicker on this offer. Your true markdown is really only 16% because of 2 items involved.
Now, you can also add, “Any Purchase Over $150.00 You get a 15% Gift Certificate” Hence a $300 item, they will get $45 back.
Coming soon on my blog…www.Secrets2RetailSuccess.wordpress.com will be a unique way to stay in touch with your customers by giving away FREE calling cards and also build another stream of income on the side so watch for that in the coming weeks.
Cheers,
John
Put Video On Your Website N More November 4, 2008
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Click on the play button
If You Don’t Have A Website…Get One
The world is moving faster than ever before and marketing is no longer a matter of writing mediocre sales copy, letting your newspaper rep design you ads, or letting the local radio station write copy for you.
No…if you don’t have a website, you’re not only loosing ground but if you don’t have video on your site, you’re loosing ground. Video not only let’s you show and explain your business, goods and services more clearly, it helps you move your site up in the search engine rankings which means more exposure for you.
I created at video above that really doesn’t have much to do with nothing except at the end, I’m promoting FREE talking phone cards that you can use as a business card. How? Once your customer or prospect uses the FREE phone card to call almost anywhere in the world, then you have the capacity to send them a text message.
Think about the power of that…it’s a slow day or the weather is lousy and you want customers in your store. Well, announce if they come in today or tomorrow, you will give them either 15% of their purchase over $100.00 or 20% of their purchase less than $100.00 in the form of a gift certificate for their next purchase.
Hopefully you’ve got the kind of merchandise or business that can offer something of value but these little FREE phone cards you can pass out are amazing as a marketing tool.
If you’re interested…send me an email with subject line: Phone Cards? to: john@RetailMarketingSuccess.com
Until next time…go to 1and1.com to build your own site, or Craigs List under computers, or elance.com to get someone to build your website for less than $300.00 in some cases.
Happy retailing…
John Young
Resources From Radio Interview With Jim Nemley October 29, 2008
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Isn’t It Time To Turn Your Business Around
With “Get R Done 4 U Marketing”
www.RetailMarketingSuccess.com
Your Solution To Solving Your Marketing Problems
Thank you for coming to my blog and taking time out of your busy day. The following is a list of resources from the radio talk show with James Nemley on Wednesday, Oct 29, 2008.
Writing Articles:
1. A really good guy who has lots of information on writing articles and even how to make money with them. http://fromthedeskofjeffherring.com/
2. Yanik Silver…one of the best and his course is less than $40.00 but you can also sign up for a FREE mini course: http://www.instantSalesLetters.com/?53872
3. Promotions should be part of your business to drive traffic into your business and can be used in conjunction with Newsletters, Press Releases, Video’s, and Audios…to find out the whole story go to www.TravelVacationVouchers.com Choose from FREE Airfare for 2, Luxury Condo’s for a week, $500 gas or grocery coupons and so much more!!
4. Another great source if you’re thinking about affiliate marketing this information is invaluable on any niche your looking for $4.95 trial membership : http://www.affiliateelite.com/index1.htm
Videos is Camtasia as they have FREE trials and it will make a difference on your website. If you want a less expensive but very good version for putting streaming video on your site go to: http://www.flvproducer.com/fullstory.html#Said
For Press Releases the best is PR Web if you want it on and off line but of course you can Google others.
http://www.prweb.com/destination.php?awsrc=prwebsearch_pressrelease_fp&gclid=CP-QxrOazZYCFRJexwodtm4WxQ
The Courage To Change N More October 23, 2008
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We all want so much for our business, our family and ourselves but often change seems difficult. Well on this Donny Deustch interview it’s not as difficult as you might think.
So, if you’re thinking of making a change in your life, or business and want something positive to happen you have to watch this…it’s a favorite of mine.
Just click on this word
or cut and paste the site below
http://sta.rtup.biz/video/video/show?id=2084667%3AVideo%3A16444
Cheers,
John Young
Developing Relationships is Not a “Slam Bam, Thank You” October 23, 2008
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What would your life be like if you asked your spouse/partner to marry you on the first date? Chances are you would not be married now and even if you were, maybe it would have been a big mistake?
The point is, it’s getting harder and harder to attract customers with price alone, besides someone will always be cheaper than you!
Your customers wants to feel connected with like minded merchants and business people, whom they can trust to make their life better in a frenzied world?
No matter what your businesses, In today’s marketplace, customers want to know what your product or service can do for them. They want information, some of it for FREE, some they will be willing to pay for?
If you can really solve a problem or need, then there’s no way to stop the sale!
What they don’t want is a sales pitch with something they’re not interest in or won’t be of benefit to them. At least your message should:
A. Tell a story with how your product or service was of huge benefit to someone along with a short testimonial and better yet if the story and the testimonial are about the same thing or person.
Your story should offer features and benefits and as an added bonus, if you act before a certain date, then your customer will receive a bonus.
B. To get and keep customers’ attention, there is a place for the softer sell but done fill up your customers mail box with what I call “Nothing Mail” because after a few mailings, you’ll loose them!
With customers increasingly interested in information, companies now have the ability to build their brand as a solution provider and as a trusted resource.
Writing a sales letter is not a hard process to find out how go to: http://www.instantsalesletters.com/?53872
If you’re not sure you have the time, or energy to learn, write, or produce a email a weekly newsletter to enhance your biz, then go to my website… www.RetailMarketingSuccess.com to see how easy a done it for you E-Newsletter customized for your clients is.
Cheers,
John Young
How Not To Go Out Of Biz October 20, 2008
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In the course of closing out businesses which I do from time to time, it always amazes me how one of our competitors gets a contract when they don’t have any business being in business for the most part.
In an attempt to expose one of these so called liquidation companies, one of which I recently ran across in Denver, Colorado, I put together this video at the link below.
You judge for yourself the merits of what they were doing with only 3 days left in the sale, then look at my web page www.retailmarketingsuccess.com under Sales to see about my recommendations.
A Way To Save & Sell More October 10, 2008
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I found this article that might get your creative juices going. You may not be as big as Ann Taylor but you can certainly team up with complimentary companies or individuals who will be of benefit to your customer.
At the end of the day, your customer might be thinking, my loyalty belongs to you because you go out of your way to make my life better.
Think about it….
Happy retailing,
www.retailmarketingsuccess.com
A Way to Save and Sell More
Published: October 9, 2008
Tide Total Care and Downy Total Care from Procter & Gamble on display next to clothing at Ann Taylor Loft stores.
For consumers, that means finding creative ways to stretch a paycheck, like shopping at less expensive stores or machine-washing clothes that would normally be dry cleaned.
For retailers, it means helping customers cut back — even if it means going outside their comfort zone.
A new partnership between the retailer Ann Taylor Loft and Procter & Gamble is turning stores into launching pads for two new products, Tide Total Care and Downy Total Care. Both products claim to cut down on dry cleaning bills by helping clothes look new for a longer time.
The store chain is handing out free samples and coupons to customers who buy machine washable clothes, while posters and decals throughout the stores alert customers to the products’ benefits. The retailer has also produced an eight-page magazine, available free in its stores, that provides tips on how to keep clothes looking fresh (hint: they require Tide or Downy Total Care).
The arrangement may be the first of its kind between a consumer packaged goods company and a fashion retailer, most of whom avoid associating themselves with laundry detergent. But dwindling store traffic and budget-conscious shoppers have retailers like Ann Taylor experimenting.
“The partnership between Loft and P.& G. is not typical, and we admit that at first we had concerns,” said Robert Luzzi, chief marketing officer of Ann Taylor Stores. “But we decided that the partnership at this time was incredibly relevant for our clients in this pretty tough economy.” The promotion started in September and will run through November.
Ann Taylor operates about 360 of its stores and more than 500 of its lower-price Loft outlets in the United States, but announced plans this year to close about 117. (The company’s stock has dropped by about 10 points in the last year.) Overall sales in the women’s apparel category have dropped by about 3 percent, according to the research firm NPD.
“The economy is fairly tough right now, and we want to deliver value for our clients,” Mr. Luzzi said.
•
For Procter & Gamble, which is based in Cincinnati, the introduction of the Total Care line represents years of research into preserving the shape and color of clothes after repeated washes. The ads assert that they keep clothes looking new for up to 30 washes.
At a time when people are looking to save money, Procter & Gamble sees an opportunity to attract customers who will gladly machine-wash clothes they formerly dry cleaned if there is no loss in quality.
“Women and families can’t afford to buy clothes as frequently, and are searching for ways to keep clothes looking newer longer,” said Kash Shaikh, a manager of communications for the North American fabric care unit of Procter & Gamble. “Women spend $1,500 a year on dry cleaning, and 65 percent of those clothes are actually machine washable.”
The company is spending $60 million to market the new products, the largest marketing investment ever in its fabric care category, Mr. Shaikh said. Tide accounts for $3.2 billion in annual sales, and Downy about $1 billion, he said.
Pairing a retail brand with a product like detergent is “definitely a new and cool idea at this level,” said Mike Gatti, executive director of the National Retail Federation, a trade group. “Target did it years ago by making ads that featured lots of different brands, but this is different because it’s a high-end clothing store.”
It is a message that could resonate now, which would be good news for struggling retailers like Ann Taylor, said Marshal Cohen, chief industry analyst at NPD.
Retailers are looking “for any reason they can give customers to come in,” he said. “This message is different. It says, ‘We understand you want clothes that are going to last.’ ”
In addition to the partnership with Ann Taylor, the introduction includes three TV commercials — one for Downy and two for Tide — and special events and Web promotions. P.& G. is also running print ads, some of which include the Ann Taylor brand, for the first time in fashion magazines like Elle and InStyle. The TV spots are running on networks like NBC, ABC and CBS.
The ads for Tide were created by Saatchi & Saatchi in New York, part of the Publicis Groupe; ads for Downy were created by Grey, part of the WPP Group.
Procter & Gamble has also enlisted the help of fashion arbiters like Tim Gunn from the Bravo series “Project Runway” and the celebrity stylist Jorge Ramon, who make several appearances throughout the campaign. The idea is to assure women that they do not need to spend a lot of money on dry cleaning to keep their clothes looking stylish.
•
Indeed, Procter & Gamble said it approached Ann Taylor because the stores appealed to the target audience for the new detergents: budget-conscious women who are interested in fashion.
“This idea of fashion combining with value, that’s why Loft was a perfect fit for us,” Mr. Shaikh said.
In addition to the giveaways and signs, Ann Taylor Loft will hold events around the country in coming months where women will have a chance to get personal styling tips from Mr. Ramon.







