Retail Merchandising Blog

Does Your Store Need An Exercise Plan?

2011-12-15T18:49:00.000-08:00

We all know exercise is good for us. It keeps us fit and gives us energy. If we exercise regularly, we can maintain a healthier weight. We have fewer aches and pains.

We know the benefits. For many of us, it's a challenge to fit into our busy lives. We have so many urgent things to do, that it's hard to fit exercise in. After a while, we start to notice that a short walk leaves us puffing for breath. Or our clothes fit a little snugger than they used to. We realize that our habits have left us out of shape.

Our stores get out of shape just like our bodies
When a store first opens, everything is shiny & new.
Clean windows.
Fresh paint.
New fixtures.
Shining spotlights.

And then we get busy with running the store
Each day is so full.
There's marketing to do.
Calls to make.
Inventory to buy.
Displays to build.

Staff to manage.
And then there's customers to serve!
With so much to do, we stop seeing the store as customers do.

The bright shiny shop starts to lose it's sparkle
The floor gets scuff marks.
Table corners chip.
Paint gets worn.
Windows get dirty.

When you're in the store everyday, it's easy to overlook
those little changes over time.

What happens when the store starts getting out of shape?
Customers notice.
The image of the store starts to slip.
The shop no longer makes an attractive first impression.
New shoppers aren't wowed anymore.
Existing customers start to drift away.
But the change is slow.
And hard to see.

One day the shop is fresh and new, a couple of years
later it looks a little worn around the edges.

What can you do to your store back in shape?
Or to keep it fit in the first place?

Just like exercise, it takes regular discipline.
And a little bit of planning.

Plan maintenance tasks in your daily activities
Because maintenance is rarely as urgent as ordering or unpacking merchandise, serving customers or managing employees, it doesn't get done. Planning a few maintenance tasks every day is a way to make sure it doesn't get forgotten.

For example, every morning wipe all the glass in the store, clean dust bunnies out of displays and replace burnt out lightbulbs. In the evenings, sweep or vacuum the floors. Once a week schedule fixtures, furniture and cupboards to be cleaned. And at the end of every month, walk through the store with a checklist and look for fixtures, walls, or flooring that needs to be repaired or repainted. Schedule the repairs to be completed within the next thirty days.

Scheduling maintenance will keep the sparkle your store
Maintaining your store sends a message to customers that you value quality, and pay attention to the details. They will appreciate your commitment to creating an inviting atmosphere. They'll show their appreciation by coming back again. And again.

If you don't have a maintenance plan for your store, today is the day to start.
Just like regular exercise keeps you fit, scheduled maintenance keeps your store in tip top shape.

The new year is a great time to get your store in top shape. Mark your calendar now to set up a maintenance schedule when your holiday rush as over. You'll get the new year started off on the right foot.

Recommended Product: Another great way to start off the new year. Learn more about Why Customers Aren't Buying (And How To Fix It): The Pinwheel Principle

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How to Create Customer Dreams in Your Store

2011-09-12T17:30:00.002-07:00

Have youever walked into a store and just fallen in love?

It's as if the store was created justfor you.

It smells heavenly.

The lighting is beautiful.

Each display is exquisite.

The products are calling you.

It's perfect.

Except...

it's out of your price range

But you enjoy the atmosphere of thestore

so much that you stay to browse.

You feel the fabrics.

Examine the fine stitching.

Feel the weight of the silverware inyour hand.

You imagine...

...what that table would look like inyour kitchen.

...what you'd look like in thatsweater.

...how the bbq would look on your deck.

You dream of the day...

when you'll be able to go home

with a table, sweater or bbq likethose.

For now, you're happy to take home justa little piece of

the dream. A table cloth, scarf or bbqaccessories.

Shoppers want to take home the dream

Even if it's just a small taste of thedream.

You can help your customers dream

There are three methods you can use to

help your customers dream:

1) Vignette displays

2) Varied price points

3) Visible pricing

1) Vignette displays

Vignette displays are small scenes. Thepurpose of a vignette is to show shoppers how products work together.This type of display works best with stores that sell furniture, homedécor or gifts and tableware. When you have furniture orhousewares, it is easy to create a scene that could be a part ofsomeone's home.

Set up a vignette in one section of thestore, or as a window display. Using furniture, linens and décoritems, create a scene that looks like a room in a house.

Vignettes can work for other stores too

Vignettes can be used in stores sellingclothing.

Pet supplies.

Books.

Tools.

All it takes is a little thinking. Andmaybe a few props. A vignette doesn't have to spell out all thedetails. It can just suggest a scene.

A clothing store could create avignette that suggests a bedroom at night. Hang clothes on hooks on awall. A chair nearby has a coat over the back, and a sweater foldedon the seat. A pair of shoes are lined up neatly next to the chair.It looks like clothes laid out for the next day.

If you sell pet supplies instead, create a vignette to suggest an outing totake the dog for a walk. Include a leash, treats, clothing and toys.

Vignettes don't have to be largedisplays

A few books stacked on a table, with apair of reading glasses and a teacup are enough. The glasses andteacup add personality to the display.

A magazine opened to an inviting pagedemonstrating a building project can be transformed into a display.Add a toolbelt and workgloves with a circular saw, a handful ofnails, hammer and some small scraps of lumber to suggest a buildingproject underway.

Vignettes like these are just one wayto help shoppers dream. That brings us to pricing.

2) Varied price points

How you price items in your vignettescan attract or repel shoppers. To attract shoppers to dream aboutyour products, use a variety of price points.

High price

Large, key pieces in the vignette willbe the high priced items. These are the products that attract thecustomer to the display. They are visible from a distance.

A home décor store would usefurniture, such as a table and chairs. A museum shop would use a beautifulartwork. A clothing store might use a beautifulcoat, or a leather jacket. A hardware store could use expensivetools.

The high price items command attention.But a display that consists only of high ticket items will quicklyturn off many shoppers. They won't stick around if everything ispriced out of reach. Mixing some lower priced items into the displaykeeps the attention of the aspirational shoppers.

Low - medium price

Fill in the vignette display with smallitems affordable products. Lower prices don't mean lower quality.Maintain the same high standards for quality and design in your lowerpriced items.

Some customers may not be able toafford the table and chairs, but perhaps they can afford the vase. Orthe wine glasses.

The museum shop would display highquality art notecards, calendars or books. The clothing store would use a scarf. The hardware store could use copies ofFine Woodworking magazine.

Customers want to take a piece of theirdream home with them. The high priced items are what they dream about– the table and chairs, the artwork, the leather jacket. But theycan take a lower priced product home today. When they use that item,they remember the dream. And savour it.

But, what good is affordable pricing ifshoppers can't see the price? That brings us to the third method forhelping your customers dream.

3) Visible pricing

Shoppers want to know the price of theitems on display. When prices are hard to find, shoppers turn away.They assume that if products aren't priced visibly, the items must beexpensive.

To attract shoppers that will dreamabout your big ticket items, and save up for them–you need to tellthem the price. Pricing the items clearly will let the customer knowthat the products have a range of price points. They'll realize thatnot all the items are out of their price range.

Create unobtrusive, but visible pricesigns that complement the identity of the store. Use custom hangtagsattached with string. Or elegant tent cards. Or a price list in apicture frame.

Why would you want shoppers who can'tafford to buy now?

These shoppers take up a lot of time.They browse. Or buy one or two small items. They aren't the mostprofitable. So why would you want to attract themto your store?

Loyalty.

Not the kind of loyalty that is givenin exchange for earning points on a rewards card.

I mean real loyalty.

The kind that keeps customers comingback, year after year.

These customers develop a relationshipwith you and your store. Treat these aspirational shoppers wellwhen they buy just one item. Or come in just to browse and dream.

Where will do you think they will go tosplurge on a luxury for themselves when they land that new job? Orget a promotion? Where do you think they'll shop whenthey save up the money for that new sofa? Or a piece of art they've been eyeingin your store?

Get customers to dream in your store

Get them to come back when they'reready to make that dream come true.

Let's recap how you can help thoseshoppers dream:

1) Vignette displays

Create small scenes in your displays toshow shoppers how products work together.

2) Varied price points

Within your vignettes, use a variety ofprice points to attract a variety of

shoppers.

3) Visible pricing

Don't hide your prices. Make thepricing visible, but attractive.

Get your shoppers to fall in love

Use these three steps together to woothem.

Give them the store they dream about.

And keep them coming back for more.

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Share Your Display Ideas

2011-07-22T12:34:00.019-07:00

Instead of an article this week, I'd like to get your input.

I want to create a space where Retail Tips readers can share ideas, challenges and success stories. It will also be a space where you can get some feedback on your store projects.

I'm working on how I can implement this on my website. It will take some time to get it set up. In the meantime, you can help shape what this space will look like.

How can you help?

There are two ways you can get involved:

1) Let me know what you think

2) Post your photos on my Facebook wall

1) Let me know what you think

Tell me if you like the idea of having a space to share about your store, post photos of displays and get feedback and suggestions.

If you don't like it, what would be better?

What would you like to have in an online community of retailers?

What kind of merchandising and display help do you need?

How do you send me your thoughts?

1) Send me an email at: mmcintosh@inspire.ca

2) Comment on this blog post below.

3) Post your thoughts on my Facebook Wall here:

http://on.fb.me/inspire-facebookpage
(You have to 'Like' the page to post comments)

2) Post your display photos on my Facebook wall

Post photos of your store displays or product presentation

on the Inspire Retail Solutions wall.

I'll comment on each photo with:

1) One thing I love about your display

2) One suggestion to help your display be even more effective

How will you benefit?

You get:

to share your store with others
to see ideas from other retailers
feedback on your displays and merchandising
AND a chance to win a free copy of the ebook the Pinwheel Principle: How to Increase Sales Without Slashing Prices (http://www.inspire.ca/products.htm)

All submissions will be entered into a random draw. The winner will receive access to download the Pinwheel Principle ebook.

Deadline to submit your photo for the draw: July 31, 2011

NOTE: Photo must be of a store you own, manage or are employed at. You must have permission to share the photo.

How do you post pictures?

1) Like the page

First, you have to 'Like' the Melanie McIntosh - Inspire Retail Solutions page. That means click the 'Like' button at the top of the page.

But, what if I don't want to 'Like' the page?
That's OK. You can just email the photo to photo@inspire.ca. Send a description, your name and your store name with the photo. I'll post in on my Facebook page for you. ;)

2) Click the photo button at the top of the wall

http://on.fb.me/inspire-facebookpage

The Wall will look something like this:

See where it says 'Photo'? Click on that link on the Facebook page.

Upload your photo. Use the text box to type in a description about the photo.

3) Click the 'Share button

You're done! I look forward to seeing your displays!

Here's the link again to share your pics:

http://on.fb.me/inspire-facebookpage

(And yes - I'm still working on that article about how to merchandise to help your customers dream! It'll be posted next week.)

Recommended Product: Why Customers Aren't Buying (And How To Fix It): The Pinwheel Principle

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How to Help Shoppers' Dreams Come True

2011-07-15T13:44:00.006-07:00

At first, no one paid much attention.
The sisters ogling the netbook computers were seven and ten years old. No one thought of two little girls as customers.

Even though they had been coming to the store for four years with their dad. And every time they visited, they stopped to look at the tiny laptops displayed near the door.

Every visit, they dreamed about having their own computer.
The laptops were so small.
Just the right size for a kid.
But the laptops were just something the girls talked about.
And dreamed about.
For years.

But, this time the girls' visit to the store was different
They'd learned to understand the prices. They could read the signs.
They realized if they put their money together, they could almost afford to buy themselves a laptop.

The girls found a sales clerk to help them. He asked them their price range, and recommended a laptop to suit them. He told them to come back on Boxing Day to get the best deal.

The girls were ecstatic
They went home and scrutinized their bank statements.
They saved their birthday money.
They emptied out their piggy banks, and counted out their coins.
They asked for a ride to the bank to withdraw money.

Finally, the big day arrived
Boxing Day.
The two sisters got their dad to take them back to the store.
They found their sales clerk.
And their laptop.
They paid for it.
And took home their very own computer.

How do you think they felt at that moment?
And where do you think they'll shop when they buy their next computer?

You might have shoppers, like these two little girls
Shoppers that love the your products, but don't have the money to buy them. Yet. Shoppers who aspire to a lifestyle that at first they can't afford.

The girls were aspirational shoppers
Aspirational shoppers could be anyone.
They could be young.
They could be starting out in their careers.
They may have young families.
They may be changing jobs.

They are shoppers who browse, but don't buy.
They come back, time & again.
Maybe for years.

Until they save up the money for something special.
Or earn a little more.

Then they return to the store where they were treated well.
Where they browsed, and dreamed.
Where they imagined themselves with a new lifestyle.

What are you doing to court aspirational customers?
Are you frustrated because they're 'just browsing'?
Or are you helping them dream?

Recommended Product: Why Customers Aren't Buying (And How To Fix It): The Pinwheel Principle

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How Connections Get Your Store Humming

2011-06-30T09:52:00.012-07:00

A friend of mine, Ian, struggled with the washing machine he shares with his landlord. He went to do a load of laundry, and couldn't get the washer started. So, he left the laundry until later, hoping that the next time he returned, the landlord would have the washer running.

Ian returned the next day. Still the washer wouldn't start. After trying everything he could think of, he finally knocked on the landlord's door. The landlord took one look at the washer and said, “With electrical appliances, it really helps if you connect them to the electricity.”

Washing machines need connection to electricity.
Stores also need connection to an energy source.

Customers are your store's energy source
You need to draw customers into your store. But it's tough to motivate shoppers to come into your store if you are 'just a store'. If you're putting products on the shelves and waiting for shoppers to come in, you'll wait a long time. A few shoppers will trickle in.

You might have a great product, but that great product isn't enough to get new shoppers into your store anymore.

What can you do to get shoppers in the door?
The more often customers visit, the more they buy.
The more time they spend in the store, the more they buy.

You want to get your store humming.
Buzzing with energy.
Customers milling around.
Browsing. Talking.
Spending time.

So, how do you get that energy? That buzz?

Connect.

Create a unique connection with your customers
Just inviting shoppers to connect will not attract them to your store. You need to create a unique reason for them to connect with you. A unique connection will get them to spend more time in your store. And they'll visit more often.

But how do you come up with a unique reason for your customers to connect with your store?
There are three parts of your customer interaction where you can create a unique connection:

1) Experience
2) Engagement
3) Education

1) Experience
Offer an experience in your store that is different than your typical shopping trip. Treat your customers like guests in your home. Yes, it's a bit of a cliché, but do you really act on it?

Try welcoming your customers in a way they don't expect: take their coat, offer a glass of sparkling water and show them around. Get to know them personally and introduce them to each other. Act like you're hosting a party in your store. Every day.

Customers learn that your store is not just a place to buy more stuff, but it's a place that connects them to their community.

One coffee shop used red sleeves...
A local coffee shop helped singles connect for Valentines. They created red coffee sleeves that single customers could put on their coffee cups. The red coffee sleeves let other singles in the coffee shop know they were interested in meeting other singles.

Customers were able to connect with others in their neighbourhood. The red sleeves changed the usual coffee shop experience into one the customer would remember.

Your unique customer experience
Customers will enjoy a great experience in your store. If they enjoy it enough, they'll be back again. They'll tell some friends.

That's all great. And will help keep your store buzzing in the future. But what about now? What if you need to get shoppers in the door right away?

That brings us to the next method to connect with customers.

2) Engagement
You want customers to be attracted, involved, loyal to your store. To get customers engaged, offer ways for them to get involved. One way to do this is to host clubs or groups on topics that are relevant to your customers.

Bookstores host book clubs and writers' groups. Sports stores become a meeting place for runners, hikers and cyclists. Eco-conscious retailers can organize environmental projects for customers to participate in. Stores selling products for babies & children can host mom meet-ups, or groups for stay-at-home dads.

Engaging shoppers this way adds value to their experience in your store, and brings them in your door regularly. Engagement connects your store to the community.

You can add even more value to that connection by giving shoppers an opportunity to learn something new.

3) Education
Add value to your product with education. When you educate your customers, they'll see your store as more than just a place to buy more stuff. Your store becomes a source of valuable information.

Offer education through seminars, workshops or classes. Don't just stop at one class on a topic. Offer a series of classes on a topic that's valuable to your customer. A series gets shoppers into your store more than once.

Not only do customers learn and shop, but they connect with other customers that share their interests. They get to know you better and are likely to tell their friends about you.

Art stores have scrapbooking classes. Hardware stores have do-it-yourself woodshop classes. A consignment fashion boutique offers workshops with a personal stylist. You can even go beyond classes to make education a focus of your business.

Lululemon excels in delivering shopper education
Lululemon is a Vancouver based yoga apparel company. Besides offering a schedule of yoga classes, and a well trained sales team, an entire section of their website is devoted to education. The website offers detailed information about the care and fit of the product.

But the education focus goes beyond the product. This is where the company really stands out from the competition. One section provides advice on goal setting and a free goals worksheet to download. Under the 'yoga info 101' heading is a comprehensive description yoga styles, what to wear, local yoga instructors and classes, and yoga videos.

Connect to your customers with education
They'll see your company as more than 'just a store', and keep coming back for more.

Summary
You want to see your store humming.
So, plug in.
Connect.

Attract customers with connection by offering:

1) Experience
Create an experience in your store that stands out. Get people connected to each other.

2) Engagement
Get shoppers involved. Create a club.

3) Education
Help your customers learn more. Not just about your product.
Be more than 'just a store'.

Just like a washing machine, your store needs to be plugged in. Connect with your customers.
And power up your shop.

Recommended Product: Why Customers Aren't Buying (And How To Fix It): The Pinwheel Principle

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Why Exhibitionists Sell More Products

2011-06-06T22:24:00.003-07:00

During the 2010 Olympics, The Vancouver Art Gallery mounted a special exhibition. On display were Leonardo Da Vinci's drawings and studies of anatomy. The wait in line to buy exhibition tickets was over an hour. To view the pieces in the exhibition, viewers dealt with crowds of people, all trying to see the amazing sketches.

Art museums are retail
Museums sell to consumers.
They sell experiences.
They sell education.
And they sell merchandise.

And museum curators are masters of display.
Displays that attract customers. And not just any customers.
These displays attract committed customers.
Customers who put up with inconveniences for the chance to buy.

Why would viewers pay money to look at a display?
Why would they tolerate long lines and crowds?

And why would they pay even more money after the exhibit? When leaving the Da Vinci exhibition, viewers happily bought exhibition catalogues and merchandise featuring reprints of Da Vinci's work.

Why was the exhibition so successful?
It's easy to say that viewers flocked to the exhibition because Leonardo Da Vinci is an olympian of art, science and invention. And it's true that even if the exhibition was poorly presented, the museum would still have sold some tickets.

But it's the quality of the exhibit that made it so successful. Because viewers enjoyed the exhibition experience, they wanted to take their experience home with them. So they bought products. And told friends about the fabulous exhibition. The reputation, and ticket sales, of the exhibition grew.

What made the Da Vinci exhibition and products so desirable?
The Da Vinci exhibition employed techniques that work in retail displays as well as museum exhibitions. These three techniques create an engaging experience for customers. An experience that customers want to take home with them.

1) Connect with your customers
2) Tell a story
3) Make your product relevant

1) Connect with your customers
The first technique is to connect with the customer's interests or desires. Something they already know about. Something they already desire.

Most people know at least a little about Leonardo Da Vinci. He's admired around the world. The chance to see his sketchbooks up close, immediately connects with customer interest. Viewing this exhibition is recognized as a once-in-a-lifetime opportunity.

"But I'm not selling Da Vinci"
Yes, it's easy to create a connection if you're putting Da Vinci on display. But what if you don't have such a universally admired product to promote?

You don't have to sell Da Vinci.
You just need to have a product that your customers value.
Not all customers.
Your customers.
Just the customers who like what you do.
And how you do it.

The Da Vinci exhibition opened during the Olympics.
But the gallery curators didn't try to attract all the Olympic visitors.
They didn't have an exhibition about sports.
They set out to attract Olympic visitors who appreciated art.
They created an exhibition featuring an artist who had the qualities of an olympian.

To connect with your customers, you just need to know what interests them. After hooking the customer with an interest or desire they already have, a great display maintains that interest with a story.

2) Tell a story
A great display tells a story. It doesn't just show the customer what they already know. It adds to the customers' experience by telling them something new.

In the Da Vinci exhibition, each drawing had an interpretation. Just seeing the anatomical drawings in Da Vinci's sketchbooks would have been interesting. At first. But viewers would soon get bored. Each sketchbook page was crammed with detailed sketches and notes. Notes that were written backwards, in mirror writing. In Latin. The average viewer wouldn't have a clue what they were looking at.

The interpretive panels told the viewers the story of the sketchbooks. They described when the books were found, and they translated the notes. Viewers could understand the sketchbooks better because of the story.

In retail, story interprets merchandise for consumers. Without a story, a display is just a jumble of unrelated merchandise. When you tell a story, you can create themes for displays. Themes help you group relevant merchandise together. You can tell stories with merchandise and lighting alone, or you can use signs to help interpret the product for the customer.

Restoration Hardware is an excellent example of a company that recently reworked their business strategy to tell a new story. http://www.restorationhardware.com/ Their store displays and catalogue tell a strong story of re-interpreted antiques and old world Europe. It's not a story that appeals to everyone. But their new story certainly sets them apart from competitors. And enthralls the customers they want to attract.

Not only do you need a story, but you need to make it relevant to your customers.

3) Make your product relevant
A great exhibition describes why the artwork or artifact is important. If viewers don't know why it is important, they won't be impressed by it. They may even be bored by what you have on display.

When viewers see the anatomy drawings by Da Vinci, they can appreciate the great technical drawing skill. But it is easy to take the drawings for granted at first. In the 21st century, we are familiar with drawings of anatomy. We have similar information available at our fingertips. At first glance, we may not realize how remarkable Da Vinci's drawings were in the 16th century.

The exhibition described how incredible it was that Leonardo sketched from cadavers, without electric light, without refrigeration. No one had done this type of anatomical exploration before him. And no one else would discover that much about anatomy for another 300 years!

When viewers understand the relevance of Da Vinci's work in his own time, they can appreciate just how incredible his work was.

When you describe why your product is relevant to your customers, that's when they'll understand it's value. Let them know why the product is important.

Summary
Museum exhibitions attract customers that pay to see displays, and then buy museum products. They buy so that they can go home with a piece of the show. They want to take their experience with them when they leave. You don't need to be an olympian, or sell Da Vinci to create great displays that sell. All you need to do is to use the techniques that exhibitionists use.

1) Connect with your customers
Connect with the customer's interests or desires. Get their attention with something they already know and desire.

2) Tell a story
Maintain customer interest with a story. Use the story to engage and enthrall the customer.

3) Make your product relevant
Describe why your product is relevant to your customers. Let them know why the product is important. Relevance will demonstrate the product value to customers.

Museum exhibitions attract customers that pay to see displays, and then buy museum products. They buy so that they can go home with a piece of the show. They want to take their experience with them when they leave.

Create a museum experience with your displays. Give your customers a reason to take the experience home with them. A reason to buy your products.

Isn't it time you created museum displays for your products?

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How to Save Your Products From a Death Sentence

2011-05-04T16:30:00.006-07:00

Some people have green thumbs.
I have black thumbs.
A potted plant in my hands gets a death sentence.

Not intentionally, of course. I love plants. But I struggle to keep them alive and healthy. I just don't notice them. They're in my peripheral vision, and I forget about them. Until it's too late.

Your products can suffer a death sentence too
You know those places in your store where products languish and gather dust? Often it's the bottom shelf. Products sit there, ignored by customers. The bottom shelf is like a product graveyard.

We tend to place products in horizontal rows along shelves. If we have an empty shelving unit with products, often we'll fill it like we read. We start at the top left, filling the shelf across to the right. Then we fill the next shelf down. And so on, and so on. Now, we may not always start at the top. But it's extremely common to fill horizontally across each shelf.

This is the habit that sentences your products to a slow death. You end up with products left on the lower shelves that no one sees. And no one buys.

Why don't shoppers notice products on the lower shelves?
When product is merchandised horizontally, shoppers mostly see only what is at eye level. They scan the shelves by turning their head to the left or right, or by walking past. This leaves product on lower shelves ignored and unsold.

How can you save your products from this demise?
Shoppers are most likely to see merchandise that is presented between waist level, and eye level. Capitalize on this key selling area, and eliminate the death sentence by using vertical merchandising.

What is vertical merchandising?
Vertical merchandising means placing merchandise in vertical columns instead of horizontal rows.

What are the benefits of vertical merchandising?
Merchandising in vertical columns exposes more product options to shoppers. It makes it easier for them to see and compare product offerings.

Vertical merchandising also improves the appearance and organization of the store. A wide product selection can look messy and overwhelming to customers. Presented consistently in vertical columns, a a large selection will appear organized and easy to shop.

Example:
In the illustration below, the bottles of oils and vinegars are all presented vertically creating organized, attractive bands of colour. The shopper can scan across the entire selection at a glance.

The same selection is presented on each shelf, so the bottom shelf is not a graveyard of unseen products.

How do you use vertical merchandising?
As products sell from the upper shelf, lower merchandise needs to be moved up to fill the spaces. The upper shelves remain full and attractive. The blank spots that remain are on the lowest shelf, where they are not as noticeable. When new stock is received, it is filled in on the lowest shelf.

By rotating merchandise this way, the products sold first are the ones that arrived in the store first. Selling the oldest items first reduces the chances of products expiring, or sitting around gathering dust.

So, what are you waiting for?
Start merchandising your products in vertical columns. Make sure your customers can see what you have to offer, and get rid of the product death sentence.

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How Layers Add Pizzazz to Window Displays

2011-04-26T15:22:00.011-07:00

Thin slivers of cake.
Pudding.
Icing.
Whipped cream.
Sliced berries.
Chocolate shavings.

I ogle cakes in bakeries. The elaborate layered ones that look so fabulous in the bakery case. I can bake basic cakes myself. Mine are good enough, but a little boring. Nothing like the fabulous professional bakery concoctions that make my mouth water.

A professional window display is like a bakery layer cake. It has visual interest that sets it apart and attracts attention.

You can tell a professional window display at a glance
Professional windows stand out because they use of layers. Layers give the display pizzazz. They add depth to the window display. The layers and depth add keep the display from being too boring.

To understand how layers can be used in a window display, let's look at this example from a Roots store.

There are three layers in a window display. All of these layers are used in the Roots window display. Even though the display area is less than 18 inches deep, the layers use that depth effectively.

The three layers in a window display are:

Layer 1 - Background
Layer 2 – Middle ground
Layer 3 – Foreground

Let's take a look at those layers in more detail.

Layer 1 - Background
The background of a window display is important. The background of the display screens off the rest of the store from view. Without a background, a display loses impact. The store interior distracts attention from the display.

To keep attention focused on the display, you need to have a background.

There are three types of backgrounds:

a) Permanent screens
Permanent screens includes any kind of full or partial wall that is constructed at the back of the display. The wall closes in the display, forming a permanent background for the window. A wall can be left alone, or combined with other backgrounds.

b) Temporary screens
Temporary screen partially closing off the back of the display with materials that are easily removed. The easiest way to create a temporary screen, is to hang a light coloured, translucent fabric from a dowel at the back of the window. This creates a background for the display, but does not completely block light from the window.

c) Signs, posters or graphics
Large signs are commonly used in displays. They can be used as a temporary screen on their own, or they can be combined with one of the other two background techniques. When signs or graphics are used, they attract attention to the background of the display.

Let's take a look at how the Roots display uses the background.

The Roots display uses both the permanent screening and a large hanging sign. The partial walls of wood screen the store interior from view, and provide a warm neutral background colour for displays. The Winter Sale sign is hung in the back of the display window. In this case, the sign is the main focal point of the window, even though it is positioned in the background. The design of the window is intended to direct your attention to this sign in the centre of the display.

Layer 2 – Middle ground
The middle ground of a window display is where products are displayed. This is the space between the glass and the background. Displays of merchandise do not have to be elaborate to be effective.

The Roots product display is intentionally simple. The goal of this window is to direct attention to the Winter Sale sign. The mannequins frame the sign without blocking it.

The stacked cardboard boxes on the right hand side balance the mannequins on the left. They frame and support the focal point without detracting from it.

Layer 3 – Foreground
The foreground is the glass of the window. The glass can be used by placing signs and display materials directly behind it. Or the glass can be used for a surface for paint, vinyl graphics and text, or signs.

The foreground is a great place to repeat the store name. It can also be used to create a decorative frame around the window. Vinyl cling-film signs work well on the glass. They are re-positionable and reusable. Vinyl graphics and signs are effective because are easily seen in spite of reflections and glare on the windows.

Let's take a look at how the Roots window makes use of the foreground.

In the Roots window, even the background and middle ground are close the the window. The only other foreground treatment in the red sign on the window, announcing an extra 20% off.

Even with this shallow space, layers can be effective. You can see how the layers make use of the entire space and create more interest than just a single sign or product display.

Summary
To give your displays professional pizzaz, think of those luscious bakery layer cakes. Add interest and flair to your displays with these three layers:

Layer 1 - Background
Layer 2 – Middle ground
Layer 3 – Foreground

Use the three layers in your displays to improve them right away.

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How Supermarket Display Techniques Can Help You Sell

2011-04-12T17:44:00.007-07:00

When was the last time you walked out of a grocery store with only one item?

You go to the store to pick up milk. But you come out with several items you didn't plan on buying. This happens to everyone. An overwhelming majority of grocery store purchase decisions are made inside the store. And it's not a coincidence that the displays are masterful.

You can learn a lot about display just by browsing your local supermarket. The best ones to visit are the higher priced gourmet markets. The displays are stunning. And effective. They get shoppers to buy.

You can learn many tips for great displays by visiting the produce department of a gourmet supermarket.

Let's look at three supermarket display techniques that you can borrow:

1. Angled merchandise
2. Colour
3. Containers & Props

1. Angled merchandise
When you browse the produce department, you'll notice that most, if not all of the displays are angled, or tiered. That means the display is lowest at the front, and rises up towards the back. This technique is used to present more merchandise to the customer in a small space.

Presenting the merchandise this way also makes it look more attractive. You'll notice that these displays look full and bountiful. There are also a number of different types of products arranged in layers. The variety of product makes these displays appear more attractive.

Let's look at the second display technique.

2. Colour
Once you start looking for colour in produce displays, you'll start noticing it over and over. Produce is often displayed to make the colours appear more vibrant, attractive and mouth watering. This is done by placing contrasting colours next to each other.

In a large supermarket, it is rare to see a big cluster of green vegetables all together. You'll see the green interspersed with bright colours. Green lettuce will be next to red leaf lettuce and radicchio. Green peppers next to red and yellow. Green apples next to red.

The contrasting colours are used in combination with the technique of angled merchandise. The produce department is full of artistic, still life arrangements to tempt us into buying. Yet most shoppers are unaware of how carefully each of these displays is planned to be visually pleasing. The colour in these arrangements is one of the biggest factors in making the produce tempting to shoppers.

This brings us to the final technique.

3. Containers & Props
Supermarkets use carefully chosen containers and props to present their merchandise. When you browse the produce department you'll see baskets and crates used for display. They are there purely to set the mood for the department. These are the tools the stores use to create the image of farm fresh produce. Although they do help hold the products, these containers serve mainly as props.

If you look closely at the baskets used in grocery stores, you'll notice they aren't completely filled with product. Most of them either have false bottoms, or are mainly filled with raffia or other filler.

Why is that? Well, produce looks appealing when it is mounded up and full. Not when you have to peer into the bottom of a basket to find it. Also, produce is heavy. A big basket filled with produce will be causing damage to the ones that are at the bottom. So, supermarkets keep their baskets full and overflowing by restocking them regularly.

Summary
Don't be afraid to learn from the masters of display. Take these techniques and adapt them for your displays.

1. Angled merchandise – use angled containers or risers to present merchandise
2. Colour – contrast colours of products to create irresistible displays
3. Containers & Props – mound products in attractive baskets and bins

With these display techniques, you can tempt your shoppers to leave your shop with more than just one item in hand.

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How Displays Can Increase Sales: The Strawberry Shortcake Factor

2011-04-05T01:06:00.002-07:00

Imagine someone offered you some fresh, ripe strawberries to eat. They look pretty tempting. Would you have some? You might say yes. You might say no.

What if you were offered shortcake and whipped cream with the strawberries?
Now the temptation factor goes up. It's not just strawberries, but strawberry shortcake. And you have more choices. You have more ways you can say yes.

You can say yes to the strawberry shortcake topped with whipped cream.
You can say yes to the strawberries and whipped cream.
You can say yes to cake and strawberries.
You can say yes to cake and whipped cream.
You can say yes to strawberries.

Most people will say yes to one of those options.

What does strawberry shortcake have to do with displays?
When you put a product on display, customers will choose yes, or no. When you add the strawberry shortcake factor, you increase the opportunities to say yes.

In display lingo, this is often referred to as cross merchandising. Cross merchandising is taking related products from different categories, or departments, and displaying them together. This technique increases sales by showing customers what products work well together. Instead of buying just one item, shoppers often buy more than one.

You can use this technique in your store. Add the strawberry shortcake factor to your display by adding products that compliment each other.

Example:
A pet store has a new line of dog shampoo to promote. The display idea starts with the shampoo. Add the shortcake factor by imagining a situation where a customer would use the shampoo. What are all the supplies someone might use to give a dog a bath?

dog shampoo
towel
hair dryer
brush
other grooming accessories

Now you have a group of products that create a strong theme for a display. Shoppers immediately associate the display with bath time. They might even imagine themselves giving their dog a bath.

Some will realize they need shampoo, and buy it. Other customers might already have shampoo. But they might want to have a special dog hair dryer. Or a new brush. Or both.

The display offers these shoppers more ways to say yes.

The secret of the strawberry shortcake factor
The shortcake factor is not the same as a jumble of unrelated merchandise. The secret of the shortcake factor is to display items that share a connection.

When shoppers see the display, they should be able to imagine how the products go together. When they see cake, strawberries and whipped cream, they can imagine strawberry shortcake. When pet owners see dog shampoo, a towel and brush, they can imagine bath time.

When shoppers imagine the products together, and imagine themselves using them, they are more likely to buy.

So, what are you going to put in your next display?

Use the strawberry shortcake factor
Give your customers more ways to say 'yes' to what you have to offer.

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How to Choose a Powerful Display Location

2011-03-27T17:04:00.001-07:00

The first day of middle school.
New school. New teacher. New classmates.

It's a minefield of trials. Like how to pick the right location for your desk. You don't want to get it wrong like I did. I thought I'd picked the right seat. Not too far back. Not too close to the teacher. And the boy who sat down next to me seemed OK. At first.

His name was Ross. He never seemed to have any school supplies. No pencils. No pencil crayons. No erasers. After he started borrowing mine, it became clear. He chewed up pencils and erasers. Until they were gone.

I was horrified! After losing a few shiny new supplies, I learned my lesson. I spent the rest of the year anxiously protecting my pencils and checking them for teeth marks.

You can be sure I was more careful about my desk location choice the next fall! It's a critical decision that can affect your entire year.

Like choosing the right desk location, choosing the right display location is crucial. The wrong choice means that instead of losing pencils, you can lose potential sales.

How do you pick the right location for displays?
A display has an important role in the store. It needs to attract attention, convey a message and maintain interest. A display can only do those things if it is in a key location in the store. The display needs to be in a place where it can get attention. It's not going to get attention off in a corner.

There are two key components of a good display location. It has to have high traffic, and high visibility. That means each major display needs to be in a place where all customers are going to see it.

What are some examples of high traffic and high visibility locations?
You will have displays throughout the store. Right now we're just going to discuss three key display locations. Besides store windows, these locations have the most shoppers passing by.

Three key locations for displays include:
1) Entrance
2) Ends of aisles
3) Cash desk

1) Entrance
Just inside the store is a prime location for displays. Be sure to leave space for the customer to walk in and look around. Don't put a display smack in front of the door. A few feet inside, or off to the right hand side are great spots. These are feature locations that shoppers may see from outside, or as soon as they enter.

A display just inside the door is a great place to feature new products or seasonal items. As you lead shoppers into the store, there are more opportunities to feature merchandise.

2) Ends of aisles
The end display on an aisle is often referred to as an end cap. These are highly visible, and attract the shoppers' attention. The end of the aisle usually faces onto a main traffic area.

Most large grocery stores are examples of effective displays on the ends of the aisles. These end caps tend to feature seasonal promotions, sales or new products. Sometimes the retailer has just decided to feature a particular product.

The end caps often have a large quantity of only 2 or 3 products. Repetition of the same product on several shelves creates a strong visual impact, attracting shoppers' attention.

Feature displays are also useful at the end of the in-store buying experience.

3) Cash desk
The cash desk provides a great opportunity for add on sales. All the buying customers go to the cash desk. They stand and wait. While they wait, customers look at everything in the area. Shoppers have already made a decision to buy, and are standing with payment in hand. These shoppers are the most likely to buy more.

The cash area is where you need to be very careful. This is the location that is most likely to be filled with too many messages, mixed together without a plan. Instead of crowding the desk with too many competing impulse items, plan counter displays carefully and rotate them regularly.

For an example of effective cash desk display, visit a Starbucks. Starbucks is merchandised masterfully. Many products, from sandwiches and drinks, to gift cards and mints, are presented in that small space around the cash registers. The planned, organized presentation keeps the display from being overwhelming and chaotic.

Location is critical
Displays help drive sales. But only if they are in the right location. If you do not have displays in these three key areas, you are losing potential sales. These locations are prime selling zones in your store. It is up to you to make the most of them.

Summary
The best locations in the store have two things in common: high traffic and high visibility. The three key locations that have these two qualities are the entrance, the ends of aisles and the cash desk.

Placing key displays in these three locations is even more critical than picking the right desk when you were in school. You won't have any regrets about choosing these locations for displays.

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How Sales Information Can Increase Profits

2011-03-11T10:14:00.004-08:00

You know you need to increase sales.
You need money to buy new inventory.
To pay your staff. Or invest in new equipment.

How much more money do you want to make?
Let's pull a number out of a hat.
Let's say you want to increase your sales by $50,000.

How are you going to do that?

Imagine you've decided to run a marathon
You know you need to train and practice running before you can run an entire marathon. You go get some new running shoes. And go for a run. You run until you're tired, then head home. The next day you do it again.

What's wrong with this picture?
You aren't measuring how you're doing. You haven't set any real goals. How far are you going to run each day? How long are you going to run? When will you run the marathon? There's no plan, and no way to keep track of progress.

Saying you want to increase sales is a lot like saying you'll run a marathon someday. You won't achieve that goal unless you use some specific methods of measuring your progress.

A runner tracks progress by measuring the time spent running, or the distance covered. He sets small incremental goals to gradually increase how far and how fast he can run.

How do you measure your progress?
You can measure sales with three basic types of information. You might already use some of this information. But maybe you don't use it in your planning and tracking as often as you could. The more you use this information to set goals and track progress carefully, the more successful you'll be.

What are the three basic types of sales information?
1) Sales Dollars
2) Average Sale
3) Units Per Transaction

Let's look at each of these in more detail.

1) Sales Dollars
You probably already know how much you sell in a year. Or a month. Or a week. Probably even each day.

But are you setting goals to increase this number steadily? What would happen to your sales if you set a goal to sell $50, $100 or $150 more each day? Just $140 each day would increase your sales by $50,000 this year.

For a small store with slow traffic, that might be a big challenge. You can break that $140 goal down even further. Can you sell an extra $20 per hour? Instead of assuming it's too hard, imagine it might be possible. Brainstorm how you might be able to sell an extra $20 more each hour.

The next two types of sales tracking information can help you reach that goal.

2) Average Sale

The average sale is the total sales for the day divided by the number of sales transactions that day. If you are using a computerized point-of-sale system, it probably calculates this for you. If not, you can calculate it by hand fairly quickly, or enter the information into a simple spreadsheet.

Why is the size of the average sale important?
The average sale tells you how much customers tend to buy at one time. One of the easiest ways to increase sales is to increase how much each customer buys. It is easier and less costly to increase the amount you sell to one customer, than to sell to more customers.

The size of the average sale goes hand in hand with the number of items sold.

3) Units per Transaction
One of the easiest ways to increase the size of each sale is to increase the number of items in each sale. As a rule of thumb, set a goal to sell three items to every customer. All you have to do is suggest coordinating items to the customer. A top and belt to go with a pair of pants. An ottoman and a throw with a chair or sofa. Often these are items the customer would want, but doesn't think of, or notice in your store.

Another easy way to increase the number of items sold, is simply to display coordinating merchandise together. For example, if you sell laptops, put one on display with a laptop stand, a set of speakers and a mouse.

Once you get in the habit of suggesting and displaying coordinating merchandise, it becomes easier to increase sales. When your sales increase, hopefully your profit will too.

Summary
A runner whose sights are set on finishing a marathon, sets incremental goals and measures his progress. By measuring and tracking your sales dollars, average sales and the number units sold in each transaction, you move towards your goals in the same way. Before you know it, you'll have achieved that sales increase, and are ready for a new goal.

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How to Discover Customer Secrets That Help You Sell

2011-03-04T11:14:00.001-08:00

Nancy sells trendy printed graphic T-shirts. She offers the highest quality T-shirts available. She is certain her target market of 15-25 year olds would love these fashionable brands.

But the T-shirts aren't selling. They're sitting on the shelves. Nancy is desperate to figure out how to sell all these T-shirts.

What's the secret to selling more?
Customers have the secret. Customers have the information that Nancy, and you, need to uncover. Customers will help you figure out why products aren't selling. They'll help you figure out how to improve sales.

Customers will help you discover problems, so that you can find solutions. It sounds crazy, but it's not.

The first problem is that you don't know the problem.
Say what?
There could be one of many different problems. Or maybe there's more than one problem.

Maybe the people you believe are your target market aren't shopping in your store. Perhaps you're attracting other customers instead.
Maybe customers think your products are too expensive.
Maybe customers don't like the new products.
Or maybe the customers just walked right by the items and didn't see them.

Each of these problems has a different solution.
Until you uncover the problem, any attempt to improve sales is a guessing game. There's more chance of picking the wrong solution, than the right one.

So, how do you get customers to reveal the problem?
There are three things you can do to uncover your customers secrets.
Well, at least the secrets that relate to your business.

1. Watch
2. Ask
3. Listen

1. Watch your customers.
Pay attention to the customers who visit the store. Do you attract your target customers? Watch who shops with them. Watch where they walk, what they touch, what they walk past. You'll discover what is working by noticing what customers pay attention to. And you'll get clues to where the problems are, when you notice what customers ignore.

2. Ask your customers questions.
Find more about your customers, and about what they think. Find out if they live or work nearby. Ask about their personal style and tastes. Inquire about their opinions of some of your products.

Questions help you get to know your customers better. You start to learn who they are and what they are looking for.

3. Listen to what customers say.
Of course you need to listen to the answers customers give to your questions. But listen for other things as well. Listen for objections. Pay attention to comments about price, fit, and style. Make note of questions customers ask. Write them down so you don't forget.

Customer objections and questions are a goldmine of information. These are clues to how you can improve your business. They are also opportunities to explain and demonstrate your product. They're opportunities to sell.

What should Nancy do to sell her T-shirts?
Nancy needs to get out on the sales floor. She needs to start by watching her customers. In one day, how many customers visit that fit her target market? How many other customers visit?

She needs to ask about the T-shirts. In a conversational way, she can say, “We got these T-shirts in recently. What do you think of them?”

She needs to let customers know why these are the best quality T-shirts available. And listen carefully for questions and objections.

At the end of the day, Nancy will have discovered some secrets about her customers. And maybe she'll have sold some T's in the process.

You can do it too.

--

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Why You Need to Tell Shoppers Where to Go

2011-01-05T22:12:00.018-08:00

How does it feel to get off a plane in a country you've never been to before?
It's exciting. It's different. You're not quite sure what to expect.

You step off the plane and walk through the gate. You pick up your baggage.

Where do you go next?
Everything seems strange. In all that strangeness, you look for things that are familiar. You look for clues to point you in the right direction.

The most obvious clues are signs. Signs tell you where to find a taxi, or a bus. Signs point you to the washrooms. Or to an information kiosk. Signs help you orient yourself in a strange, new environment.

To the first time customer, your store is a strange, new environment.
Hopefully your store is not like all the others on the street.
Hopefully, your store is different. Different enough to be interesting & unique. Different enough to get attention. Different is what attracts the shopper to your store.

But, whoa! If the shopper steps into the door and everything is different, he'll be overwhelmed. He'll turn around and walk right back out the door. He already knows you have something different to offer. He comes in the door, and feels just a wee bit uncomfortable. He slows down and looks around. He pauses to get his bearings. It's just a brief pause. A quick glance.

In that brief moment, you have to give the shopper what he wants next. You need to make him feel comfortable again.

What's going to help the shopper feel more comfortable?
He wants to know where to go next. He wants to know how to find his way around. He is looking for something familiar. Something to guide him through the store.

He's looking for a sign. Not an omen. Just something that tells him where to go next.

That sign can hang from the ceiling. It can be on the backwall. It can be on a fixture. The sign is a clue to show the shopper how the store is organized. And where to find merchandise that is relevant to his needs. The sign might show the way to the men's department. Or to the baking goods. Or the digital cameras.

And the sign doesn't have to be just a sign.
Sure, it can be a word or two printed on a banner. Or mounted on the wall. Or in an acrylic stand.

But it can also be a graphic. A photograph. A mannequin. Or a display. It just has to do the job of a sign. It needs to catch the shoppers eye. Provide something familiar to make her feel comfortable. And show her where to go next.

Standing in the doorway of the store is like standing in the airport. No one wants to stand there all day. Shoppers want to get out of the airport, um, doorway – to explore. It's up to you to tell them where to go next. Give them a sign to point the way.

_____

Next step: Learn how to increase sales without slashing prices in the Pinwheel Principle report. Go here to find out more: http://www.inspire.ca/products.htm

How One Sign Can Increase Sales

2010-12-16T13:50:00.016-08:00

Imagine you want to increase your sales by $100 per day.

How could you sell $100 more every day?
You could try to get one new customer a day into your store to spend $100.
You could get 10 new customers a day to spend $10.
Or you could get 10 of the customers that are in your store already to spend $10 more.

Which one would be the easiest?

You might think they're all hard. It's harder, and more expensive to acquire new customers.

Instead, you can do things the easy way. The easy way is to get a customer that is buying already, to spend a little more. And one way to do that is with a sign.

How can one sign make a difference?
It has to be the right kind of sign. A sign that encourages shoppers to buy multiple items.
You've seen these signs all over. In grocery stores. Clothing stores.
Maybe they say "Limes: 3 for $1.00" or "T-shirts: 2 for $15 or $9 each"
And they work. People buy.

Sure, some customers will still only buy one. But when you use a sign to promote multiple sales, you increase the number of customers who will buy more than one.

Will the sign work to promote any product?
Promoting multiple sales works best when you have a large quantity of one type of product to offer.

It is also most effective with products that shoppers want in multiples.
Victoria's Secret sells underwear this way. We all need more than one pair.

Items with lower price points are easier to sell in multiples. More people will buy more than one item if only costs a few extra dollars. However, multiple item pricing could be used with high end items as well. With more expensive products, a lower percentage of customers will buy more than one.

Does a sign really work? Try it for yourself. What have you got to lose? If it doesn't work, customers will ignore the sign and still buy only one item. Or maybe two. If it does work, they'll buy more.

Even if only one customer takes you up on the offer, you're ahead. (As long as you didn't spend too much money on the sign.)

Make the sign work even better with these tips:

1) Feature the sign and product prominently in the store. Place it near the entrance or the cash desk.

2) Mention the promotion to all your customers. Either when the shoppers are greeted, or when they browse the promoted merchandise. Write down all the objections customers have. The objections are valuable. Use the objections to adjust the promotion, or make your next promotion even more appealing to customers.

3) Get creative with your copy. Suggest reasons why your shopper might want multiple items.

Get one for a friend too, and you pay less. Buy 2 for $67 (1 for $37)
Get one for everyone on your list. Buy 5 for $25. (1 for $7.49)

Try it out today. Put up a sign. Keep it there for the rest of the holiday season. Keep track of how many people buy multiple items. Keep track of how your sales go up.

Next step: Learn more about how to increase sales without slashing prices with the Pinwheel Principle report. Go here to find out more: http://inspire.ca/products.htm

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Why Choice Prevents Shoppers From Buying Green

2010-11-10T12:46:00.004-08:00

You've got a great eco-friendly product to sell.
It's healthy for consumers. It's good for the planet.
And no one buys it.

Why not?
Why wouldn't a consumer switch from their old product, to a new & better green alternative?
Because the choice is too confusing and difficult.

The customer is attached to the old product. They like it. It's familiar. Buying the usual brand doesn't require a decision. It's a habit. It's easy.

The shopper might be interested in a greener product, but they don't know what to choose.
It's a risky decision.
The product might not be as good as the old one.
It might be more expensive.

What if the shopper makes the wrong choice?
She's wasted money. She's wasted valuable time. She's stuck with a product she doesn't like. And she has to face two more choices: go back to the old brand, or tackle the daunting task of choosing another green alternative.

What are these daunting choices?
Let's look at an example of choosing a new shampoo.

Shampoo choices used be mainly about performance and price. It was all about making your hair look and feel great.

Do I want a shampoo for hair that is: oily, dry, normal, curly, straight, frizzy, or coloured? Or do I need shampoo to control dandruff, add body or repair damaged hair? Do I want to pay drugstore prices, or salon prices?

Even with the range of performance and prices, we pretty much had these choices figured out.

With green products, the choice really goes crazy.
The decision becomes overwhelming.
There are so many factors. There are:

Health choices.
Environmental choices.
Trust choices.
Performance choices.
Price choice.

Here are just some of the questions the customer asks about these choices:

Health choices:
Does this product have potentially cancer causing ingredients?
Does it contain parabens?
Does it contain sodium lauryl sulfate or sodium laureth sulfate?
Does it have fragrances or other ingredients that will irritate allergies or skin sensitivities?

Environmental choices:
Does this product have reduced or recyclable packaging? Which is better?
Is this product shipped long distances?
Does this product contain palm oil?

Trust choices:
Does this product have recognized eco-certifications?
Is this product really better for the environment, or is it just a label claiming to be green?

Performance choices:
Will this product be as good as the one I already use?
Now I only have three choices – normal, oily or dry. What if I have curly, coloured hair with dandruff?
Does this product have the correct pH?

Price choice:
If this product meets all the other criteria, how much more am I willing to pay?

Even with all these choices, the customer is not likely to find one that fits all her criteria.
She has to choose between a bunch of products that each have a few of the qualities she wants.

She has to choose a new product that is likely to not perform as well, only has some of the qualities desired, and costs more

OR

stick with the old, reliable brand that gave her great hair, at a reasonable price.

Can you see why shoppers don't choose green?

Fortunately, there's something you can do. You can help them decide.
Become your customers' trusted source of information.
Learn exactly what your customer wants.
Research the products. Answer the questions.
Back up your claims.
Only offer the best options. The options that deliver performance & value.

Make it easy for shoppers to be green.

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Why Shopping Is Harder Than You Think (And How to Make It Easy)

2010-10-25T20:26:00.003-07:00

Shopping is hard work.
Harder than it used to be. And getting harder.

The culprit is choice.
We are surrounded by choice. The opportunities to choose are growing every day. We can choose to shop where we live or work. We can choose to travel to a store that has exactly what we want. Or we can choose to buy online. We can choose from hundreds, or thousands of stores. And millions of products.

You might think that more choice makes it easier to shop.
But it doesn't.
Instead, shoppers become paralyzed with indecision.
When too much choice is presented to customers, their eyes glaze over.
They move on to the next store, or the next website.

Don't customers want options?
They do. But they want their options to be simplified. They buy when the choices are easy.

Look at Amazon for example. Amazon offers tons of choice. And the number of choices are constantly expanding. But Amazon helps you choose. Amazon makes it easy to find exactly what you want. Their search feature, customer reviews, recommendations and personalized emails guide you to buy. They make it easy.

So what makes it easy for customers to shop?
Three things: consistency, organization and information.

1. Consistency
Consistency helps your customer know what to expect. Consistency means you have a strong identity that is carried through your entire company.

Imagine a store sends out an email featuring new designer fashions. It includes an elegant black & white logo. Classic typeface. Lots of white space.

What do we expect this store to look like?
Naturally, a store that has the same identity. A comfortable, elegant shopping environment. A lot of space between racks. Quality merchandise. Helpful service.

We're surprised & confused if we find a discount store instead. Or the featured merchandise is unavailable. Or the sales staff are apathetic.

Maintain consistency in all points of contact with your customers. They just want to know what to expect from you. Customers find it easier to choose when they know what to expect.

2. Organization
Shoppers don't like to feel confused.
At the slightest hint of confusion, shoppers will turn around and walk away.

At the very least, a store needs to be clean & neat. Boxes of stock and returned merchandise don't belong on the selling floor.

Beyond this, merchandise needs to be organized in clearly defined categories. To determine categories, watch how your customers shop. What products do they buy together? Group these complementary products together.

For example, imagine a store that sells computers, digital cameras and accessories. Instead of grouping equipment bags together, place camera bags with cameras. Laptop bags next to laptops.

Customers that find everything they need in one place, choose to buy more.

3. Information
Information helps shoppers makes decisions.
But only if it's the right information.
In the right place. At the right time.

Signs can help you put the right information where it needs to be. Use them to answer frequently asked questions. Do shoppers have questions about how pants should fit? Or how to choose the right printer? Or what the price is?

But how do you know where to put the sign? Sometimes the answer is not obvious. To discover the right place, watch how customers shop. What are they doing right before they ask a question? Test sign placement to see if customers read it. Test, and test again until you get it right.

To help shoppers choose, provide the information they need. When & where they need it.

Use consistency, organization and information to make your customers' choices easy.

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How Training Like A Gymnast Attracts Customers

2010-10-18T23:50:00.005-07:00

What do gymnastics and attraction have in common?

Two things. Learning gymnastics and attracting customers both depend on developing core skills. Those skills help both gymnasts and retailers shine in the face of strong competition.

What can retailers learn from gymnasts?
Competitive gymnasts are incredible to watch. They move their bodies with skill, strength and beauty. They appear to have incredible control and confidence in their abilities.

We want our businesses to look like a gymnast's performance – beautiful, controlled and confident. We want to stand out from our competitors as the best.

How do gymnasts become so skilled?
One word. Practice.

Practice is what transforms a gawky seven year old school girl into a competitive gymnast. She doesn't start out at a competitive level. She doesn't attempt complex routines. First she masters basic skills. Before she does cartwheels on a beam, she learns to do cartwheels on the floor. She learns to walk along a beam that is only six inches high. She learns how to get on the beam. How to get off the beam. When she begins each skill, she is tentative. She wobbles on the beam. She looks a bit clumsy. She makes mistakes.

The coach gives feedback. She tries again. Correcting small mistakes. Each time she gets a little better until the skill is mastered. Once she learns all the small skills, she puts them all together. At each step, the coach supports and guides her. Soon, she can do a series of skills. One after the other. Now she can do cartwheels on the beam, four feet above the ground. Her movements are so smooth, they look effortless.

What does practice have to do with attracting customers?
Consistently attracting customers consistently requires a core set of skills. You need to have customers coming in day after day. Week after week. You need to practice many small skills over and over. When you put all those small skills together over time, you'll find you've mastered techniques that bring customers in the door.

We don't want to take time to practice those small skills.
We want to find some magic technique that will bring crowds of new people through the door tomorrow. Attracting loyal customers doesn't work that way. Loyal customers are gained by building relationships and trust, one day at a time.

There are three basic skills you can practice to attract customers.

1. Make it easy for customers to shop.
Keep the store organized, uncluttered & accessible. Make it easy to find product information.

2. Keep the store looking fresh.
Make sure displays are changed regularly and stock is filled.

3. Stay in touch with customers.
Create events, send valuable information, talk to them in the store, go for coffee.

You might think these things are too basic. You might think you're doing some, or all of them. But have you mastered them? Are you doing them so well that it looks effortless? Are you training like a gymnast?

Stores that are struggling to attract customers need more practice in at least one of these core sets skills. It's one thing to know the skills, it's another to master them.

To be competitive, keep practicing!

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Why Is Retail Merchandising Important?

2010-07-25T13:15:00.004-07:00

Years ago I was told that merchandising and display are frivolous extra expenses for the small business owner who is just starting up. The implication was that expenses such as marketing, rent, inventory, utilities, staffing, etc. are 'serious' expenses, while merchandising and display are 'frills'.

I couldn't disagree more.

Merchandising and display are an important part of a marketing plan - even for a retailer operating on a shoestring.

In today's competitive retail environment, a retailer cannot afford to consider merchandising as a 'frill'. Everyone is competing for the customers' dollar. There are more choices out there for consumers than ever before.

With all these choices, what will grab the consumer's attention?

You've invested the money to get that expensive, high traffic location, but how will you keep the customers from walking right by your door? How will you encourage them to return? What is unique about your store? After investing money on the important priorities such as merchandise, great location, part-time staff, insurance, accountant, advertising, your carefully budgeted money can be lost if your store doesn't measure up to the customers' expectations.

Posters covering the door and windows, hand lettered signs, lack of lighting and untidy displays send the message that your business isn't serious.

If your store looks like a bargain basement, customers will expect bargain basement prices and may draw the conclusion that your product is poor quality. This judgement may have little to do with the product itself, but be the result of poor presentation.

Merchandising is more than simply the arrangement of products on the shelf. It is an integral component of the business image. It should be considered when you design your logo, business cards, brochures, letterhead, packaging, and product mix.

When you examine your merchandising, you examine what the customers' experience, from their first sight of your store front, until they leave store - hopefully with a purchase in hand. Merchandising is also about understanding the way customers shop. By using this knowledge, you can position your merchandise to increase sales.

You need to create an environment that attracts the customer, is comfortable to shop, and encourages the customer to return.

Are the store front and windows attractive & inviting?
Is all signage clear, professional and legible?
Is the store interior welcoming and comfortable?
Is merchandise presentation appealing?
Are seasonal and high-margin merchandise placed in high profile locations?
Overall, is the store appearance professional?

Of course, if you are on a shoestring budget, you need to start small, but make sure you include a plan for growth. One of the exciting things about retail is that it is dynamic. If you don't grow and change, customers assume you have nothing new to offer them.

You don't have to overhaul the entire store, but rotate merchandise, change displays, and change signage to make the customer feel that there is always something new for them to see or experience.

Including merchandising in your marketing plan and budget makes sense. It can make the difference between selling a product, or having it sit on the shelf.

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Shoestring Merchandising Tips for Retail Store Display

2010-07-25T12:38:00.007-07:00

Quick tips to improve your store:

• Upgrade lighting whenever you can. Retail store windows especially need to be well lit. There are some great little halogen spotlights out there that are inexpensive and easy to install. They are terrific for highlighting display areas. Just make sure they are installed safely and the cords are unobtrusive.

• An inexpensive can of paint can be used to paint your fixtures to match, or touch up chips and keep things looking new.

• Fabric and paper are two valuable display helpers. Use them under or behind a display to provide a backdrop, use a scarf to add colour and movement to a static arrangement. To avoid a busy look, stick to a few colours and textures that complement your store design and merchandise.

• Use magazines as a source of ideas for displays. Find time to go to the library so you can browse for free. Look at do-it-yourself magazines for hardware, home decor magazines for giftware and housewares, etc. The full page ads, feature stories and new product listings are helpful.

• Take a seminar or spend a couple of hours with a retail consultant to learn some display and merchandising techniques.

• Pretend you are a customer and take a look at your storefront. Try to see the store as the customer would see it. What do you notice? Take photos to get a different perspective. Often you'll see things you didn't notice before.

• Sit down and make a list of adjectives that describe the image you want to achieve for your store. Before you make merchandising plans, check your list to stay focussed. A great idea in another store won't necessarily fit your image.

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How to Create Effective Retail Signs

2010-07-25T12:33:00.003-07:00

Signage is one of the most important ways to convey your message to your customers. Your store name, promotions, pricing, and product information may all be conveyed through signage. Are you getting these messages across effectively?

As a customer walks by your store, you have about 3 seconds to let them know what they will find inside. What message are you sending? Professional signage will attract the customer, provide just the right amount of information and invite the customer to enter your store or try your product.

Unprofessional signage is confusing to the customer and sends a negative message about your store and product. Common problems include too many signs, ambiguous or misleading messages, spelling errors or signs that are difficult to read. I don't know about you, but I avoid stores that have have signs littered throughout the store that scream, "SALE! 9.99" and in small print at the bottom they add, "and up."

Effective signage has the following qualities:

1. Quality Production

You don't have to spend big bucks to get signs that look professional. Having said that, you still need to be willing to spend a few dollars to create the image that you want to represent your business.

Consider the lifespan of the sign. Exterior signage that needs to last several years requires a fairly large investment. The shorter the lifespan of the sign, the less it should cost. If you are running a small boutique, producing your own short term promotional or informational signage is perfectly acceptable, provided you have the tools and skills to do it well. If you are producing signs on your own, they should be produced on a computer, not handwritten. This might seem too obvious to mention, but I still see stores using signs that have been written in black felt marker. Use a desktop publishing or word processing program and quality printer and paper.

If your printer and paper are not good quality, take your computer file to a print shop to produce your image. Mount your final images on a heavy card, illustration board or foam core.

2. Simple Color Scheme

Don't go crazy with color. Pick a simple, two or three color scheme and stick with it throughout the store. Pick a background color, text color and highlight color.

Make sure that the colors have enough contrast to be easily read. Red on black, while a dynamic and high power combination, does not have enough contrast to be easily viewed. However, if the text is very large, bold and only one or two short words, you might be able to get away with it. Outlining the text with a thin white line will also improve the contrast.

Be careful with combinations such as yellow/green or orange/pink/red or green/blue. These combinations can be powerful and trendy, but require more work with design to make them legible. Strong contrasts such as white/black, yellow/black, red/white, white/blue increase visibility and legibility.

3. Easy to Read

Make your signage easy to read. Don't try to put too much on one sign. Some signs are so full of tiny images, starbursts, exclamation marks, and small print, that you can't take it all in. One main image, a headline and a few bullet points are all you need on an informational sign.

A sign in a store window should be even simpler. You need to get your message across immediately as the customer walks, or drives by. This means you can only use a strong image on your sign, a headline, or a simple combination of both. Some stores only use one word, such as 'SALE' or 'HOLIDAY' in the window, and provide more information inside the store.

The more time the customer will be spending looking at the sign, the more information you can include. For example, a sign near your cash register, where your customer will be waiting for a transaction to be processed, can provide details of a contest or return policy.

4. Clear and Simple Message

Keep your message simple. Avoid trying to say too much. Choose one main message that you want to convey.

Do you want to tell about a sale, a price, product info, return policy? Rather than say this all at once, try a sale sign on the top of the rack, price and product info on the tag, and return policy at the cash register.

When you craft your sign, write down the message you want to get across, then rewrite it in as few words as possible. Keep reducing until you have one to five words for your headline. If necessary, write a small amount of supporting information below.

5. Well Placed

Be careful where you place your signage. Place it where it will catch your customers' attention, but will not block essential elements of your store.

Think about how customers approach your store. If customers walk by your store, but your store name is only placed high up on your store front, facing the street, how will they see it? You also need to repeat the name on the door or window, and perhaps hanging from an awning or on a sandwich board on the sidewalk.

Make sure signs don't block traffic flow, displays, or the view of the interior of your store. Here's an example of signage placement that could be improved! http://www.inspire.bc.ca/articles/donotenter.html

Window signage may not be visible to customers for other reasons that you do not realize. Is there a parking meter blocking the view of your window? What about a loading zone where delivery trucks park for a large part of the day, obscuring part of your store from view?

Check for reflections on the window that make your interior signage invisible during the day. You'll need to check this at various times of the day to find out what happens to the light and reflections depending on the position of the sun. You can improve the visibility of your signage by improving the display lighting inside, and by using light colors in your windows. Light colored signage will stand out, while dark colors will recede and virtually disappear behind reflections on the glass.

After placing your signs, double check how they look from a customers point of view. Step back and approach the store as a visitor. Walk from front to back and look at all your signage critically and reposition as necessary.

Simplify, Simplify, Simplify

The simpler you keep your signage the better. Reduce visual clutter, and focus on getting your most important message across to your customer. You will attract more walk-by traffic, and avoid confusing your customer. Your sales should increase as a result.

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Create Retail Displays That Attract Customers

2010-07-25T12:27:00.002-07:00

Retail is a competitive business. Even if your product is completely unique, you still have competition. There is always another store down the street - or in the next cyber-mall - that is aiming for your customers' wallet. Customers have a limited amount of disposable income, but their choices of where to spend it are infinite.

While there are many aspects involved in marketing and gaining customer loyalty, one of the most important is your visual presentation.

Does your merchandise display attract and interest the customer?
Or does it overwhelm and confuse the viewer?
Is the display simply bland and unremarkable?

Here are some tips to help you create displays that will get the customers' attention:

1. Create a focal point

An overwhelming display or a boring one can both have the same problem - a lack of focal point.

Where do you want your viewer to look?
Is there one main feature you want them to notice?
Where will the eye travel through the display? Don't leave this to chance. Plan what the customer should do when they see the display. Perhaps a new product is the main focal point, with complimentary items placed in close proximity to encourage multiple sales.

Many window and table displays are too low. The focal point should be at eye level to most viewers. Visitors will not work to get a good look at your display, they will simply walk on by without noticing.

2. Use line and shape to plan your design

Don't just put your products together willy-nilly. Practice drawing a quick layout to help you visualize the plan for your design.

Will your layout be horizontal or vertical?
Will the products be arranged in straight or curved lines, in a pyramid or circular shape?
Will the design combine a variety of elements, or just one?

To experiment with this, draw rectangle that is roughly the same shape as your display space. Sketch geometric shapes such as squares, rectangles, circles, semi-circles and triangles in various combinations to get a sense of an appealing layout. For instance, a large triangle could represent an arrangement of gift ware. A long vertical rectangle to the left of the triangle would represents signage placement.

3. Create balance

Strong displays have visual balance. Dark colors appear heavier than light ones. Large objects appear heavier than small ones. This seems straightforward, but you need to think about this as you plan your display.

Generally larger, darker items would be placed near the bottom of a display, with lighter items at the top to avoid appearing top heavy. Placing too many items, or heavy looking items on one side appears unbalanced. A grouping of many items on one side of the display can be balanced by one heavy item in just the right place on the other side. Think of weights on an old fashioned scale to get an idea of how this works.

Does balance matter?

We all respond emotionally to visual stimuli. Creating a display is about creating a mood and a desire within the consumer. A lack of balance creates an impression of instability and anxiousness. The consumer is not even aware of the feeling, he or she simply searches out an environment or merchandise presentation that gives them a positive feeling and creates an appealing mood.

4. Keep it simple

Don't try to do too much. The goal is to attract attention to the product. On a slat wall, often simple rows are the best way to show the merchandise. Too often I have seen displays where every row or shelf has a different arrangement.

Your goal is to make it easy for the customer to find what they are looking for and to make sense of your product arrangement. Keep your groupings logical by grouping similar products together, with complimentary products nearby.

5. Use proper lighting

Lighting is overlooked far too often. When budgeting for store fixtures and merchandising, display lighting is not an 'extra'. Lighting your displays properly can make the difference between a display that makes people yawn, or makes them stop and look.

Displays should not be lit directly from the top, or you will get unattractive shadows. Lights should be slightly off to the side, and to the front of the display. They should enhance the 3-dimensional quality of the product. Preferably the display will be lit from more than one angle. Lighting should be adjusted every time you change your display.

If you don't have positionable lights in your key display areas, especially windows, get some as soon as possible. A good lighting store will have some for a reasonable cost and can give you advice on installing and using them.

6. Look at the display from all angles

After you have completed your display, step back and look at it. Very few people will see it standing directly in front of it. Most displays are approached from the side and seen from an angle.

Approach your display from all possible angles and view it as a customer would.

Is your focal point still placed appropriately?
Do you need to angle the display to the customers viewpoint?
Is the signage visible and readable?
Does the arrangement still appear balanced?

Observe the direction from which most customers approach the display. Make sure that the best view of the display is the one that most of the customers will see.

Putting these six tips into practice will help you create dynamic displays that attract customers.

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Are You Struggling to Merchandise Because You Don't Know the Pinwheel Concept?

2010-07-02T16:12:00.012-07:00

You've worked hard on your business. You know your target market. You have a quality product. You've trained your staff.

For some reason, you're just not getting the response you hoped for. Customers aren't buying.

You're not sure where to turn.

What do you do next?

Do you create new displays? Put everything on sale?
Get someone to help you with merchandising?
You know you need to do something.
But what?

Before you make any decisions, you need to understand the pinwheel concept.

Have you ever played with a pinwheel?

A pinwheel has four vanes that capture wind and spin the pinwheel. In your business, the four vanes are four areas of information. This information is what you need to know to merchandise your store effectively.

The information takes the struggle out of merchandising decisions. And when you struggle less, your business starts to gain momentum. The pinwheel starts to spin.

So, what do I need to know?

First, you need to understand the four areas of the pinwheel. Then you'll learn WHY you need this information to merchandise your store. Finally, you'll discover how to use this information to make merchandising decisions.

So, let's get started.

Analyze the information in the pinwheel.

The four areas that you need to know about are:

1.Customers
2.Products
3.Sales
4.Traffic

Let's look at these in more detail. You will probably know some of this information already, but probably not all of it.

1. Customer

What do you need to know about your customer?
As much as you can. Does she shop alone, or bring a friend or family member? How often does she visit?

Find out what she likes best about your store. Her favourite products. How did she hear about your store?
If she could change something about your store, what would it be? What service could you add that she would love? What would she love to tell their friends about your store?

Customers will be happy to be asked about their opinion. Ask questions when helping them shop, use a survey or try a focus group. Take a customer or two out for coffee.

2. Products

How are your products performing?

Make it a habit to always know your highest and lowest selling products. Do some detective work on these items. Do your highest sellers have a good margin?

Study where these items are placed. Perhaps the lowest selling items are hard for customers to find. How often are products rotated and displays changed? How long has all your merchandise been in the store?
Make sure you know the competitors that offer similar products. What are the price points? How are they displayed?

3. Sales

It is important to track your sales results on a daily basis. How do your sales compare to last year? To your plan?
Know the details of your daily sales. What is the average number of items in each transaction? And the average dollar amount of each sale?

4. Traffic

Analyze your traffic. Count the number of visitors each day. Calculate your conversion rate: number of daily sales divided by number of daily visitors. Multiply this number by 100 to get the percentage of visitors that are converted to paying customers.

Watch your customers walk through the store. What attracts their attention? What do they touch? How long do they spend in the store? Where do they spend the most time in the store?

Why do you need to know these things?

The four key 'vanes' of information help your business keep moving. Without information in these areas, merchandising decisions become guesses.

If a vane of the pinwheel is missing, it doesn't spin. It turns a little. And stops. Then starts again.

To start spinning continuously, the pinwheel needs all four vanes. Once it starts moving smoothly, it gains momentum and keeps spinning.

When you start catching the information in the four areas of your business, it starts to move. A little at a time. The information you take in begins to tell you what to do.

You don't need to guess.

What the pinwheel will tell you.
(As good as a crystal ball? Almost.)

You might already be collecting this information and not using it. It's no good sitting in a report. Or a computer file. Now is the time to put it to use.

Here's what you can learn by analyzing the pinwheel information.

What merchandise to buy

Analyzing your customers' needs, feedback and top sellers to know what to buy. Focus on products that your competitors don't carry.

What merchandise to markdown and clear out

Merchandise sitting on shelves and not moving is costing you money. You are paying rent on the space it takes up. If the product is more than three months old, consider marking it down. If you've had something sitting in the store for six months to a year, move it out. Deep discount it to free up the cash for new merchandise.

Older than 1 year? Old merchandise makes the store look stale, crowded and boring. Some things may never sell. Once in a while it may be best to just pull items off the floor. If you have the space to store it, pull it out for a sidewalk or warehouse sale.

Where to place merchandise

Place high margin, strong sellers in high visibility, high traffic areas. Use these areas for new regular priced, high value merchandise.
As a general rule, put sale items at the back of the store. Customers are willing to work harder for discounts.

Use cross-merchandising and displays to encourage multiple purchases. Change displays weekly to keep merchandise fresh, and capture the interest of shoppers.

When to have promotions or events

Use your traffic analysis to plan limited time promotions or small events. Use them to boost traffic during slow times.

Use the pinwheel to find out key information about your business.

Then make a change to your merchandising. Measure the results.
If it works, do more of it.

Less struggle. More momentum.
Get that pinwheel spinning.

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Avoiding Sign Chaos: Why Your Signs Need Job Descriptions

2010-06-14T12:51:00.015-07:00

Signs seem simple. But they're more complicated than you realize.

Unless you know the secret to creating great signs.

The secret to great signs has two parts:

Great signs have job descriptions.
A great sign has only one job to do. One sign, one job, one message.

When you don't know and apply this secret, you can easily fall into sign chaos. One symptom of sign chaos is multi-tasking. A multi-tasking sign has a job description that reads, “Any other duties as required.”

Multi-tasking signs are easy to spot. These signs send too many messages. They try to do a little of everything at once. A sign that has too many jobs to do, isn't really effective at any of them.

A past client had a sign in her store featuring a new product. Great message. Great graphic. The problem was that the sign also showed the logos of the main product lines the store carried. And the store's own logo. And a list of the locations of all the stores in chain. The sign didn't have one message. The sign was trying to do three jobs, instead of one.

When a customer sees that sign, he doesn't know what to pay attention to. Is the sign directing him to a new product? Or is it telling him to go look for other brands the store carries? Or should he visit another location closer to his home?

There's too much information. The customer doesn't care about all the logos. He doesn't care where the other locations are. He's already in the store. Most of the messages on the sign don't connect with the customer. He doesn't know what to pay attention to. He ignores it. He walks on by.

The job of the sign is to tell the customer to pay attention. Signs need to be confident. Assertive. Not wishy-washy. A sign with one job, states the message clearly. The sign needs to say, “Hey! Something new! Pay attention to this!”

So, now we know that great signs have one job. How do you decide what job your sign needs to do?

Signs in different areas of the store, have different jobs. They tell the customer what to pay attention to in different zones of the store.

The job description for each type of sign is defined by its location size, colour, font size and type of message.

Create a plan for your signs based on these job descriptions. You'll be on your way to calming the sign chaos in your store:

• Directional signs – These signs tell you where to go. When a customer comes into the store, she looks around the store to decide where to go. These signs are large, simple, and easy to read. They are overhead, above eye level. They either hang from the ceiling or are mounted on the walls above fixtures.

Define departments or categories with these signs. They are meant to be understood quickly in a glance. Use one or two words in a large, easy to read font. Directional signs are meant to be viewed when the shopper enters the store. Even small stores can consider using directional signs or category signs. They will help customers to quickly find the right section of the store.

• Sale or Promotional – Choose one basic style for sale signs. (Tip: Unless you are a bargain basement discount store – stay away from pink and orange starburst signs!)

If you need more than one size of sale sign for different areas of the store, keep the design, layout and font consistent between sizes. Sale signs can be used as posters, fixture signs, or shelf talkers (attached to the shelf edge) to draw attention to good deals in the store.

Most people associate sales or discounts with the colour red. If you use red for sale signs, don't use it for other signs in the store. This will help you colour code the store. Having a code helps your customers find things easily.

• Fixture signs signs are placed close to eye level. They may also be on a tabletop or shelf . They describe the products found on one fixture. They may designate a subcategory, new products, or a price point. The font used is smaller than directional signage. These signs are meant to be read as the shopper is walking through the store. The text is limited to one to three words. The sign attracts the shopper's attention to the merchandise on that fixture. She is encouraged to pause and take a look.

• Product Information – As the shopper gets closer to the merchandise, she slows down and takes more time. The signs right next to the product can be smaller and more detailed. These signs provide the basic information that a shopper needs to make a decision. Include the product description, a few bullet points of features and benefits, and the price.

Signs at this level may stand on a shelf or table top, or be attached as a shelf-talker. For general product information, a 3 x 5” size works great.

You don't need product information signs for every product. Be selective. Use product information to highlight key products.

• Price Labels – Price labels are crucial. If you are not pricing your products clearly, you are losing out on potential sales. Pricing on the shelf helps with restocking.

For high end stores, you can use small, elegant tent cards to display prices. You can use this to price products individually, or list several products on one card.

• Store Policies – Policy signs are usually placed near the cash desk, on the door or at a fitting room. State the policy wording in as positive a tone as possible. Use the same font and colours as the rest of your signage. Get rid of hand written signs taped to the cash register. Font sizes for signs on the front door, or in the fitting room should be large enough to read from several feet away. At the cash desk, they need to be large enough to read while standing in line.

Every store is different. All stores have different sign needs. Use these basic job descriptions to plan the signs you need. And calm the sign chaos in your store.

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Decoding the Store: Why You Need Effective Signs

2010-05-14T00:40:00.011-07:00

Retail stores are like coded messages to customers.

Filled with information.

Shoppers receive messages from all aspects of the store. The store front, layout, product selection, displays and lighting all convey information about what the retailer has to offer. They're all part of the code.

Our minds process this code so quickly, we don't even stop to think about it. We are constantly taking in information, sorting it and making decisions.

Usually when we shop, we are familiar with the code. We easily sort the information we need make our way through the store. We know our way around the local supermarket. We have favourite places to shop for clothes. For routine purchases, we usually don't need help to find what we need. Many of the stores we shop in use similar layouts, and have product lines we already understand. We understand the code.

But what if a shopper doesn't know your code?

New customers don't know your code. Your store might as well be an alien environment.

Imagine the first time customer stepping into your store:

She pauses inside the door to get her bearings. She is bombarded with visual information. Information about the departments, products, categories, and displays. She doesn't know which way to go first.

She feels she doesn't belong. Products have special names she doesn't understand. She has trouble finding prices. She doesn't what makes one product different or better than the next.

She feels like an outsider trespassing in a special club. You can help this customer feel comfortable as soon as she walks in the door. Before you even speak to her.

The secret is to provide a key to your code right away.

The key helps the shopper understand your store. She quickly moves from feeling like an outsider, to being an insider.

The key is signage. Effective signs help shoppers feel comfortable in an unfamiliar environment. Signs welcome new customers. Give directions. Explain new products. Compare benefits. Signs display prices and draw attention to sales and promotions.

They help shoppers find fitting rooms, or know what kinds of payments are accepted. The customer learns how to find her way around. Signs help her navigate and decode the information she needs to find merchandise quickly and easily.

But what about those stores that go crazy with signs? Some retailers create signs willy-nilly. Without a plan. Sometimes they think 'more is better.' Instead of decoding the store for the customer, they add to the confusion. In most stores, the problem is usually not too many signs. It's too many colours. Too many fonts. Too many sizes. And too many messages.

Signs are not meant to be the main attraction. Good signs draw your attention to the product. They guide the shopper to find what she needs.

Effective signs have:

1. Only one message per sign. Any more than that, and you confuse your customer even more.

2. No more than three fonts, or font variations. A basic rule of thumb is a display font for occasional headings, a sans-serif style for the majority of the text, and a bold weight of the text style. Once the fonts have been chosen, use the same ones for all signs.

3. A simple colour scheme. A good basic is black or white text with one or two high-contrast colours. Another colour can be used with black or white to highlight sale or special merchandise.

4. A similar layout and design. Signs should coordinate with each other. Not compete for attention. Ideally, the signs coordinate with the store's other marketing materials and website.

Effective signs help your customers decode the store. Both new and returning customers can find what they need quickly and easily.

And isn't that what you want?

Give your customers the key to the code.

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Anna & Kristina's Beauty Call - Guest Expert

2010-04-05T17:26:00.005-07:00

A couple of months ago I was a guest expert on Anna and Kristina's Beauty Call.

I just found out it airs this week.

In the episode, we visit a local retailer and talk about merchandising techniques. How do retailers make a store an enticing and enjoyable place to shop?

Learn some merchandising tips on Anna and Kristina's Beauty Call on Tuesday, April 6th at 6pm PT and again at 8pm PT on W Network.

Don't miss it!

(I haven't seen it yet. It's a little nerve-wracking to think of how I'll come across on TV. I hope you like it!)

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The Secret Grocery Retailers Know (And You Should Too.)

2010-03-15T16:51:00.010-07:00

When was the last time you went to the grocery store with a list?

And only came home with what was on your list?

More likely you went in thinking, 'I only need a couple of things.' So you didn't pick up a basket, or get a cart.

The next thing you know, you're half way around the store. With five items in your arms. You don't have any more room to pick up what you really came in for.

Now you have to go back to the door and dump all your items in a basket. And you walk through the store. Again.

You end up at the cash register with a full basket. Why?

The vast majority of grocery purchase decisions are made inside the store. Unplanned. On impulse.

Grocery retailers use many tools to sell: End caps. Product placement. Height. Colour. Scent. Samples. Signage. Promotions.

And it all changes weekly, if not daily. So you always see something new. Fresh. Mouth-watering.

A trip to the grocery store can teach us a thing or two:

1. Successful grocery retailers are masters of merchandising.

2. Smart retailers put baskets throughout the store.

Next time you're in the grocery store - look for merchandising tricks you can borrow for your shop.

(Hint: Check out how colour & lighting makes produce look succulent & juicy!)

Photo courtesy of ©iStockphoto.com/sjlocke

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Use Your Cash Wrap to Communicate With Customers

2009-08-03T18:00:00.005-07:00

Quick spot check! Grab a pen and paper.

Stand in line with your customers at the till. What do you see while you're waiting? Make a list.

Sale bins and return policy signs. Phones, debit machines and tape dispensers. Pens, papers and binders. Customer holds and returns. Hangers. Notes from management to staff.

Clutter is not a selling tool.

What is the job of the cash wrap? Not storing supplies. Not holding equipment.

The job of the cash wrap is to close the sale. Offer add-on merchandise. Invite guests to return.

The experience at the till is just as important as greeting the customer. Just as important as finding out the customer's needs. Just as important as helping him find solutions to his problem.

At the checkout you reinforce the identity of the store. Strengthen the shopper's impression of a positive experience.

At the this point in the selling process, you have the opportunity to resolve concerns that the customer may still have. You get to reinforce a connection with the shopper.

An effective and efficient cash wrap zone sets the stage for a favorable interaction. It creates positive customer expectations of the service they will receive.

It's hard for customers to evaluate service.

Service isn't tangible. The shopper can't touch it. He can't measure it.

When a customer evaluates your services, he evaluates how he feels about it. And much of how the customer feels about the interaction is based on the selling environment. The things he can see, touch, hear and smell.

Imagine... how do you want the customer to feel as she leaves your store?

Satisfied with her purchase. Confident that she made the right decision. Content with an efficient transaction. Happy to have met someone who understands her needs. Pleased to have made a new friend.

Your goal is to make sure that the customer leaves feeling good about her interaction with you. Give her a reason to return.

It's harder to do this if your cash desk sends a completely different message.

Be clear about the message your cash desk communicates.

Messages are not only words and signs.

The physical aspects of your store are the main way of communicating what your store is all about. If you're not careful, you can inadvertently send messages you didn't intend to send.

Dirty counters or chipped paint communicates a lack of attention to detail. Notes to employees taped on the till or the wall show you're focused on operations, not on the customer. An unattended debit pinpad on the counter says you may not be careful about preventing fraud. A pile of holds, hangers or papers shows that perhaps you're too busy to be attentive.

Think carefully about the message you want to send.

You want the customer to have confidence in you. To trust you. Believe you to be organized, knowledgeable, and approachable.

What would your cash wrap look like if it sent that message?

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Eight Retail Event Essentials

2009-07-26T17:51:00.003-07:00

Community events can be great marketing and selling opportunities for retailers. Events give you the chance to increase your profile and brand awareness in the community, attract new residents and tourists into your store, and increase sales.

On the other hand, regular customers may avoid shopping during congested events. Other shoppers may be deterred by a lack of available parking. Retailers may find that walk-by traffic increases, but shoppers don’t come into the store.

Maybe you can identify with retailers like these:

Carole owns a women’s clothing boutique in the downtown of a mid-sized city. Every year at the annual weekend Summerfest event, she puts a couple of sale racks out on the sidewalk. She brings in an extra staff member to stand outside and hand out balloons, while keeping an eye on the merchandise. Carole is disappointed that the increased traffic at Summerfest hasn’t resulted in more sales in her store.
Jim & Susan just opened a day spa that retails bath and body products in Calgary. They’re looking for ways to become more integrated in the local community. They want to show their support for next year's Stampede, but are wondering how to tie it in with their product and identity.
Eric owns an urban pet boutique in Vancouver. With the 2010 Olympics on the horizon, he wants to come up with Olympic themed ideas to attract shoppers to his store.

What can you do to get the most mileage out of participating in one of these kinds of community events?

1. Set a goal for the event. Be clear about what you want to achieve through your participation in the community event. Do you want to increase sales at the event itself? Do you want to encourage local visitors to visit the store for the first time? Do you want to use the event to build new relationships in the community? Are you trying to build recognition of your store name and brand? Is your goal to get tourists to visit your store and make a purchase? Do you want shoppers to have a great in-store experience, and shop from your online store when they return home?

2. Start planning early. Depending on the size of the event and what your goals are, you may need to plan several weeks to a year or more in advance. Consider what your needs will be for marketing, staffing and inventory for the event.

3. Consider special promotions or products. Are there particular products that tie in well with the upcoming event? Consider carrying a limited supply of a special product just for the event, or stock up on a popular item and give it an event price. If you have giveaways, find a way to brand them with your name and logo.

4. Create your own events. Host your own kick-off party a few days or a week before the big event. During the event, make sure something is always happening in your store that will draw customers in. If you don’t create a reason for them to come in, they won’t. Invite a volunteer to do facepainting for kids in the store, have some kind of food available, host live music, or an artist in residence. You could also offer short talks, workshops or book reading.

Mini events in your store don’t have to be expensive. Try to use volunteers, or find someone who will benefit from doing a joint promotion with your store. Whatever you do, tie it in logically with your product and target market.

5. Create unique themed displays. Get creative with displays, and don’t be afraid to use humour. Brainstorm how you can tie into a community event in a unique way. A bale of hay and a cowboy hat in a display with bath and body products doesn’t send any message at all. Instead, a vignette display of clothes piled on the floor, a cowboy hat on a chair, next to bath products & candles can have a sign asking, ”How will you relax after the rodeo?” Strive to make a connection in the customer’s mind between the event and your product.

Leading up to the Olympics, a pet boutique display might show dog sporting events with accessories, or pet merchandise that represents Vancouver. Props or graphics can help to get the message across. Cartoons of pets could be used to create large scale posters, or adhesive window graphics to attract the attention of walk-by traffic.

If all else fails, try using colour as a theme by creating displays that use one or two of the colours from the official event, or apply the event theme in your own store.

6. Consider in-store traffic flow. How will you handle an increase in visitors? How will you manage line-ups? Perhaps you can remove a fixture or two from the sales floor to allow better traffic flow. Consider roping off an area for line-ups or in-store activities.

Provide something for customers to do while waiting in line-ups. Providing entertainment, video monitors, interaction with staff, or something to read, helps to keep customers from getting antsy while waiting for service.

7. Create effective signage. When your store is busy, you are not going to have time to give the same level of customer service that you normally provide. Effective signage can help provide information that customers need to find what they are looking for, and make buying decisions. Signs can provide:

information about promotions, sales or discounts
answers to common questions that customers ask
pricing information
suggestions of complimentary merchandise
product features and benefits
product information
special event information or instructions
an invitation for shoppers to sign-up for a VIP list or email newsletter
information for tourists wanting their purchase shipped home for them

Thinking ahead about the types of information and signs that will be needed for your event will help your customer to have a more enjoyable experience in your store.

8. Start marketing well before the event. Don’t wait until the event arrives to create displays and marketing. Create anticipation for the upcoming event by putting up in-store posters and signs. Announce the dates of the event, planned in-store activities, as well as any special promotions, discounts, incentives or products. Create a series of displays and change them weekly leading up to the event.

Don’t forget to communicate your plans to event organizers and the media. They’re usually more than happy to let people know how local businesses are participating and supporting community activities. Event organizers may even have some tips and ideas for how you can get involved and make the event even more successful for you.

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I've been out of touch...

2009-07-26T17:31:00.006-07:00

I haven't sent out an email newsletter in ages, and have only rarely posted to this blog. It's been a much longer hiatus than I anticipated. As retailers, I'm sure you can all appreciated how long new projects seem to take to get off the ground. Not to mention the daily work of doing business.

There have been lots of changes at Inspire over the past months. Now that those projects have some momentum, I'm renewing my commitment to keep in touch with you, and keep creating new articles. And hopefully some of you will join me here on the blog, and share your comments about what's happening in retail in your neck of the woods.

Here's what's been happening at Inspire:

Marie-Claude Coté has joined me as a merchandising consultant. You can get to know more about here here: http://inspire.ca/about_us.htm (Just scroll down the page to see her lovely visage.)
In response to requests from retailers, Inspire can now help you with merchandising your store or retail cart in-person. Businesses in BC's Lower Mainland or Vancouver Island can book Marie-Claude to help you merchandise your store or cart.
Improving this blog to have more features and allow you to subscribe to RSS feeds. This has been a major challenge, and I'm still working out technical issues.
Migrating and the website from inspire.bc.ca to inspire.ca. It's not quite done yet. I'll keep you posted.

I'm working on the next e-newsletter which will go out shortly - today. I'll be sending out an article that I recently had published in Retail Connections magazine about preparing for retail events. Stay tuned.

In the meantime, add your comments below to let me know what's been happening in your store lately...

or what you'd like to see at Inspire, or this blog...

or just say hello. I'd love to hear from you!

Why would you want to subscribe to the newsletter?

Well, if you don't subscribe already - it's a way to get the latest retail articles delivered directly to your email box - because we all forget to go back regularly to blogs we like. Even if you prefer to read the articles on the blog, the newsletter will send you the link when it is published. And, subscribers get to download the pdf Attracting Customers: Steps to getting more shoppers in the door.

Why You'll Never Have Time For Merchandising: 10 Daily Actions For Success

2009-05-12T14:59:00.002-07:00

Retailers are busy! There are always more things to do in a day than there is time to get them done.

There's stock to replenish, employees to manage and customers to serve. You know you'd like to spend time on merchandising, but who has time? You plan to work on merchandising when it's not so busy. When there are not so many urgent tasks that need your attention.

Right. Let's just face it. That time never comes. There will always be something else that needs your attention.

Don't wait for that mythical 'enough time' for merchandising. Turn merchandising into a daily routine. The best way to do this is to review the store every morning and make a list of all the tasks that need attention.

Separate the list into two categories: tasks to be done today, and tasks to schedule later in the week. Write down all the tasks and assign them to a staff member to complete during the day.

Include these 10 actions in your daily merchandising tasks:

1. Review window displays. As you unlock the front door in the morning, take a look at the windows. How are the products selling? Is there a sold out product that needs to be removed from the display? If there are products in the window that aren't selling, make a note to find out why. Check for dust bunnies and burnt out lightbulbs.

2. Clean glass: Wipe fingerprints, smudges and dust from front doors, display cases and glass counter.

3. Tidy merchandise: Put away merchandise that was put back in the wrong place. Repair hang tabs that are broken or missing. Straighten products that are hanging crooked. Make sure rows and columns of merchandise are straight and orderly.

4. Replenish stock. Fill spaces where merchandise has sold down. If there is more merchandise on lower shelves, and gaps in the middle, move merchandise up. Make note of products that have sold down and need to be re-ordered.

5. Refresh product displays: Make adjustments to displays that are no longer effective. Replace merchandise displays that have sold down, with new displays that have more product. Move slow selling merchandise to more prominent feature areas or focal points.

6. Check lighting. Look for lightbulbs that are burnt out and need to be replaced. Are lights aimed properly? Do they highlight merchandise well?

7. Review 'shops', departments, and fixtures. Take a look at each section of the store. Ask yourself if the merchandise presentation is still effective. When products sell down departments or shops look empty or tired. Decide if you need to do a major move within a department. Schedule it for a slower period within the next week.

8. Review top selling products. What products sold well the previous day? Think about what made those products a hit. Was it the product quality, displays, efforts of sales staff, a special promotion, the placement within the store?

9. Review poorly selling products and returns. Why are these products not successful? Is there a problem with product quality or pricing? Are they placed in the wrong location? Perhaps the customer has questions about the product that isn't being answered. Ask your sales staff and customers for feedback on the product. Move the product to a prominent location, or create an enticing display with detailed product information. If all else fails, mark the product down, and get it out of the store.

10. Clean up the cash desk. The cash wrap area is one of the most important areas of your store. This area leaves a lasting impression of your store. The customer may spend a significant amount of time standing at the cash. Waiting. Waiting for service. Waiting for their purchase to be processed. Make sure this area is tidy and free of non-selling clutter. Try to keep tape dispensers, phones and pen holders below the counter. Remove notes to employees that are visible to the customer. Put away customer holds, papers, binders.

Each of these tasks may only take a few minutes at a time.

Together they make your store customer-ready. Ready to make a great impression!

Why You Need to Sell to Just One Person

2009-04-19T19:59:00.001-07:00

Write to please just one person. If you open a window and make love to the world, so to speak, your story will get pneumonia.

--Kurt Vonnegut

Retailing is a creative process. Just like writing.

Just like great writers, great retailers sell to just one customer.

Many retailers fall into the trap of thinking something along the lines of "If I market to just one customer, I won't sell enough to buy my family a box of cereal!" Well, maybe you didn't word it exactly like that, but isn't that essentially what you are afraid of?

Once you're in the trap of trying to sell to everyone, you're stuck. You have to figure out how to sell your product to the world.

Now that's a big job!

How are you going to do it? You don't have the money to market to everyone. You don't have enough staff to sell to the world.

You don't even know where to begin. It's overwhelming.

And what about the people who are not interested in what you're selling. Do you want to spend money trying to sell to people who are not interested in your product?

Wouldn't you rather spend your money sending your message to people who are the most likely to buy from you? People who already enjoy products similar to yours?

Do you see where I 'm going with this?

When you try to please everyone, you become exhausted. You can't possibly sell to the whole world, or even your whole community.

You wear yourself out trying to be everything to everyone. Your store gets pneumonia. Your business concept becomes weak and sickly.

The remedy is to sell to just one person.

The one who will love your product. The one who will come back over and over.

When you sell to just one person, business decisions becomes easier.

When you buy products, you won't say to yourself, "Somebody might like this." Instead you say, "Sally will love this!" or "I'm not buying that. Sally will hate it!"

When you market your business, you know where Sally lives, so you can send her a note. Or phone her. Call her up and say, "Sally, I just got this new thing you'll love! I was thinking about you when I ordered it!"

Sally realizes that you're not just talking to anyone, you're talking to her. And you know exactly what she loves. When she walks in your store, she feels like her name is written all over the store. From the scent of vanilla in the air to the upholstered chair by the fitting rooms, it is her kind of place.

The best part is that Sally has friends. And family. And co-workers. And neighbours. And many of them like the same things that Sally does.

Sell to Sally.

Not to the world.

Your business will be a lot healthier.

Best of Vancouver Retail

2009-02-24T08:13:00.007-08:00

What does beautiful Vancouver have to offer shoppers?

What can we learn by looking at what great retailers do well?

A couple of weeks ago I had the privilege of hosting a couple of guests from Great Harvest Bakery head office in Dillon, MT. We spent the day on a tour of the best Vancouver retail. What a fabulous way to spend the day - visiting stores, talking retail, snacking on the best baking in town, and making new friends.

I learned what a fabulous company Great Harvest has created. Their stores are all franchised, and they have a deep commitment to their store owners, and communities.

We visited the well-known born-in-Vancouver success stories - MEC, Lululemon, Aritizia, and many more examples of retailers who are doing what it takes to deliver what customers want. Our day was jam-packed with stores. Some of them had so much to see we had a hard time leaving to move on to the next one!

Some of the things these retailers do well:

Tailoring each store to fit the community. Many of these stores are NOT using the cookie-cutter chain approach to store design. They might have many locations, but the best of these retailers are demonstrating to their customers that they are active and involved in their local community. The stores maintain a strong brand and identity, while adapting it in each location to reflect the personality of the neighbourhood.

Great signage. Shoppers are hungry for information. The best retail examples have strong signage to help customers find what they are looking for - quickly and easily - and make an informed decision.

Good lighting in key areas. Lighting enhances texture and colour. Lighting displays well makes them sparkle, and draws the customer in.

Positioning displays to attract attention. Displays are used throughout the store - always keeping in mind the customers' point of view. What does the customer see when she walks in the store? Stands next to a table? Waits in line?

These are just a few of the many points we noted on our tour. Stay tuned...we may just open up the tour soon so you can join us...and get one of our fabulous swag bags of samples too!

The Great Harvest team with me at the end of our tour, in Coal Harbour:

My new associate, Marie-Claude, (on the left) joined us for the day as well:

Photos courtesy of Kaylee, Great Harvest Bakery.

I hope to see some of you on the Best of Vancouver retail tour soon!

What's Your Biggest Retail Challenge Today?

2008-12-10T12:42:00.003-08:00

Here's a question I received this morning in my email:

"I was looking for some additional information on some tips on driving traffic into your store. I do run a textile retail store and am at the cross roads of whether to palm it off or continue..."

I've already responded, but I'd like to hear from you...

is this the same question that is top of mind for you as a retailer?
how has your business been affected by the current economy?
what is happening in your community?
what is the biggest challenge facing you right now, today?
what are you doing that is working for you?

Post your thoughts below.

What's New at Inspire...

2008-12-10T10:27:00.007-08:00

It's been a bit quiet here for a while, as I work on some new directions for Inspire. Here's what's happening:

Teaching Fashion Retailing for John Casablancas Institute is one of the things I've been enjoying the most over the past few months. It's great to see talented and creative young people who are planning careers as part of the retail industry - whether it is styling, buying, merchandising or owning a store. Now that I've finished the big job of revising the curriculum layout, I will focus on blogging here, and staying in touch with retailers on my Facebook Page, and Twitter. Come on over and say hello!

Focus is the topic of my next retail article that I'll be posting soon. I've working with a fabulous coach, Kathy, over the past year to help me focus the direction of my business. As a result, a new face, Marie-Claude Coté, has joined mine. She will be working on merchandising with local retailers in the Vancouver area. You can find out more about her here. (Scroll down the page to read her bio.) Marie-Claude is fabulous to work with. She is starting to work with retail cart and kiosk owners in response to requests from mall leasing managers, and will also work with independent stores.

I was invited this week to participate in the start of an exciting new project with Retail BC. I met these great people - Darren at Lemonade Tactical Marketing, Joseph with NEBS and Gary at Business Advisory Team. We will be creating marketing resources that retailers can use to get more customers now. Help us help you by sharing what you need most right now:

In today's economy, what do you need most in your business?
What marketing issue keeps you up at night?

Make your voice heard! Post your thoughts below.

Is Your Merchandise Plan Working Backwards?

2008-03-04T12:21:00.009-08:00

Do you ever feel overwhelmed when new stock arrives? Where do you put it all?

Maybe you're working backwards, and don't know it.

Does this sound a little bit familiar?

It's time to buy product for the next season. You know how much you want to spend. You know what type of merchandise you need to replenish. You may have a budget to spend for each department.

You go through the catalogues and websites. You compare the suppliers minimum orders with what you think you can sell. You see some new products that you like and think your customers will buy. You make your orders.

Sometime later, boxes begin arriving. You start putting product out on the shelves. More stock is arriving. You realize you'll have to do some major merchandise moves to fit it all in.

Not to mention, how are you going to create a display of some of this merchandise? There are some really great new products, but there aren't enough of them to create a strong impact.

It takes a considerable amount of time to get new merchandise arranged.

You move it here. But you don't like it.

You move it there. It looks better, but now you have a hole over here to fill.

And then there is this stack of merchandise that you still need to find a place for. Well, we'll put it in this corner for now.

There is another way.

What if we turned the process around?

Imagine how much easier it would be if you knew exactly where your stock would go before it arrived.

What if you had a written plan or sketch that showed where to place each item?

What if you didn't have to place the stock at all, but could hand it over to a staff member?

Unrealistic, you say?

It isn't. It just takes some time up front.

Time to plan.

Time to visualize.

In the end you'll save time. And headaches.

Use these 5 steps to reduce your headaches and stress:

1. Make a floor plan.

Draw in all the elements of the store that don't change–doors, walls, pillars, windows, steps, platforms, built in fixtures, electrical outlets. Make copies.

Using one of your floor plan copies, draw in all the movable fixtures, in their current location. Make copies.

2. Determine optimum merchandise levels.

Working with a copy of your fixture plan, go through one department at a time. Decide what types of products can be merchandised on each fixture. Calculate the quantity of merchandise each fixture can hold.

Identify display areas in each department. How much merchandise will be in each display?

Label your plan with all of the types and quantities of merchandise.

3. Order merchandise.

As you choose merchandise, consider the department and fixture that will hold the products. Select quantities, colours and themes based on how the merchandise will coordinate in the store. Think ahead to how the merchandise will look in displays.

Remember - your goal is to create a strong visual impact with each department. Coordinating and complimentary merchandise encourages multiple sales.

4. Create a merchandise plan.

Make labeled sketches of where all the new merchandise will go in the store, and in what quantities. Believe me - when the merchandise arrives, you won't remember exactly what you planned when you ordered. Put your plan on paper.

Don't forget to include your current merchandise in your plan. Where will you move it to make room for the new?

There is no need to be a perfectionist. Don't try to draw the products. A row of bottles is a vertical rectangle. A folded sweater is a horizontal rectangle.

The key to this step is knowing the amount of space each product will require.

Create a clear plan that another person could follow if you weren't there to explain it.

5. Create a display plan.

Determine upcoming events. Decide how often displays will be changed. Identify the key merchandise that will be in each display. Create rough sketches for each display.

When the merchandise arrives, implement your plan.

Better yet, if you have staff, give the plans to them to install. You can go have a cup of coffee and start on plans for next season.

--

Want some help easing your merchandising headaches?

I can help you create floor plans. Email me to find out more.

OR

I can coach you through the merchandise planning process. I am starting a trial coaching program that is only $150 per month for independent retailers.

Want to find out more? Email me for details. No strings, no pressure.

Turn Customer Confusion into Traffic That Flows

2008-02-06T12:50:00.001-08:00

Have you ever entered a store, looked around and walked out because it was messy or claustrophobic?

Or been in a store, searching for a product feeling confused or frustrated because you can't find it?

Maybe you returned to a store, in search of your favorite product, only to find the merchandise completely re-arranged.

Customer confusion is a continuum.

If the customer is conscious of feelings of frustration or confusion, the store layout and merchandising are clearly ineffective. At the other end of the continuum, the shopping experience is a joy to the senses. Most shopping experiences are somewhere in between.

Customers won't complain if they are confused. They'll just turn around and walk back out.

Customers will tolerate a mild level of confusion. Maybe even buy an item or two.

But they won't become raving fans. They may not return. They may express their frustration to their friends.

So, what can you do to reduce customer confusion?

Make it easy

An effective store layout is easy for the customer to understand. It has a natural flow and visual cues to help shoppers find their way through the store.
Store departments, or product groupings are clearly separated to guide shoppers to the merchandise they need.

When the shopper enters, there is enough open space for the shopper to slow down her pace, look around and transition into the store. As she slows down she scans the layout for clues to help her find what she needs.

The front area on the right is one of the prime locations in your store. It is a key area for sales, and for establishing the identity of the store. The fixtures and merchandise in this space need to grab people and draw them in.

This section right in front of the door, should entice shoppers with its dynamic display. It should announce that the store is brimming with new and exciting offerings.

Balance new products and basics.

A general rule to use when organizing the store, is to keep major departments and staple items on walls, and in lower traffic areas.

Shoppers want to know that the basics will not move around. They want to find these things easily each time they return. Seasonal and high margin merchandise should be in high traffic areas.

Take a walk in the shoppers' shoes.

It is important to consider what the shopper sees, the 'vistas' from different points in the store. To examine how the layout can be improved, take a look at a large section of the store at a time. One of the best ways to do this is through photos.

For example, what does the customer see at the back of the store, when she comes in the store? Treat that view like a display or a piece of art that you are creating. Is there a strong, appealing focal point? Is there balance and symmetry? Is there anything obstructing the view?

A rule of thumb is to use shorter fixtures towards the front of the store, or department, with taller ones further to the back. The customer is able to take in an overall view of the store, without obstructions. It also keeps the front of the store from feeling closed in. The shorter fixtures lead shoppers into each area.

The back wall also needs a strong focal point. It is another high impact area, or prime location. It needs to be one of the strongest points of the store.

Shoppers want to look around the store and understand the layout in a glance. Creating clear focal points and moving obstructions is one step towards reducing customer confusion.

Plan first.

Before you get all excited and start moving things around, make a plan. On paper. Not in your head. A helpful tool is a planogram.

A planogram is a floor plan of the entire store with fixtures and merchandise placement, including quantities of merchandise. It enables you to work out a layout on paper, making merchandise or fixture moves quicker and easier.

Even if only a small section of the store is moved, it is helpful to plan the move on paper first. A clear plan is easy to delegate to team members. The move becomes more efficient and effective.

A well-planned and organized store will convert your customer confusion to customer enjoyment.

Are You Making Your Customers Work Too Hard?

2008-01-10T15:17:00.001-08:00

Joanne has just finished grabbing a quick turkey wrap for lunch. She might have just enough time to run an errand before heading back to work.

Her goal - a new blouse for Friday's presentation. She checks her watch. 32 minutes. It's now or never. She'll be working late on a deadline for the next few days.

Joanne walks briskly past a couple of the mall stores, giving them a quick glance. Not her style.

She walks into a familiar store. She's scored a few good finds here in the past.

It's still early - before the main lunchtime rush. A sales associate has a couple of boxes on the floor, and is hanging new stock. Joanne focuses on skirting around her and the boxes, heading further into the store.

Joanne thinks maybe she'll be lucky and find a good deal on some recent markdowns. At the back of the store, she comes across a sale rounder. Draped over it is an unreconized garment, without a hanger, that a customer must have left behind.

The shelves behind the rack may have once held neat piles of sweaters and knit tops. Now they are a disheveled mess. Who know what's there? Too much trouble to go through it.

Joanne turns and heads back the other way. On her way out of the store, she sees an attractive display of new merchandise on the wall.

A blouse catches her eye. She looks below the display to find one in her size. There are about a 1/2 dozen on the bar. They are not in any recognizable order. Joanne has to examine each tag to discover that none of them are the right size.

Joanne sighs. Once again she turns to leave.

On her way out, she glances at a 4-way rack. Another blouse. Wait a minute - it's the same as the one on the wall. A whole bar full of them. She finds a tag that shows her size. She pulls out the hanger.

Oops! This hanger is not the one with the tag attached to it. The hangers are tangled up. Joanne struggles to get one hanger back onto the crowded rack, and pull out the one she wants.

Got it! Now to try it on.

She scans the room for a sales person. The one at the front is blissfully unaware of her. Still hanging stock. A cashier is on the phone.

Joanne heads to the fitting room, blouse in hand. She tries the first door. Locked.

She glances around. Finally a sales associate emerges from one of the fitting rooms with an armload of hangers.

After a room is unlocked for her, Joanne tries on the blouse and purchases it.

So what's the problem?

The store still made the sale. If you're still selling, you're doing OK. Right?

Mmmm - maybe not.

This story is typical of the stories my retailing students are telling me about their mystery shop projects. In fact, this story would be one of the positive ones. My students are often saying, "The store I visited was a mess. No one helped me. But that was what I expected of that store. So I would go back."

The problem is that these are fashion retailing students. They understand retailing more than many customers. They like shopping. They're willing to work harder to find what they are looking for.

Some customers are like them.

Some customers do not want to work that hard. They want shopping to be enjoyable. Relaxing. They have stress & pressure at work & home. Shopping needs to be easier. It needs to fit into a deadline, or be a way to unwind.

Don't wait until your sales start dropping.

A store that excels will reduce the little complications, or barriers for the customer. Make it easy to shop.

Stores that don't make it easy, are opening the door to the competition. If someone opens a store down the street - an enjoyable, relaxing place to shop; where are your customers going to go?

If your customer learns a similar product can be ordered online, arriving directly to their door, what do you think they will do?

In an economic downturn, which stores are going to keep customers?

No one's perfect.

Your store will sometimes be a wee bit untidy. Sometimes you'll be out of stock.

The secret equation is to have more positive interactions than negative. Customers will forgive a few difficulties if most connections with you are enjoyable, engaging and rewarding.

What's the equation in your store?

A Tale of Two Products - Do You Know What Makes Your Products Sell?

2008-01-02T11:35:00.001-08:00

'It was the best of times, it was the worst of times.'

Sally's store sells widgets and woggles. She thought they would both be hot sellers.

Widgets sold like hotcakes. Woggles languished on the shelves. Store sales have not met projections.

What should Sally do? Slash prices on the woggles? Get more widgets?

The lower price will devalue the woggles in the customers' eyes, attracting just the discount shoppers. And slashing prices will cut into margins, making a rough time even rougher.

It could be a necessary tough call, but how can she tell?

The truth is, Sally doesn't know. She doesn't have enough information.

To look ahead, first look back.

Sally needs to look back and find out why the woggles didn't sell. Just as important, she needs to find out why the widgets sold so well.

Again, Sally could go with the easy answers.

Customers liked the widgets. They didn't like the woggles. Sales were down because of low customer confidence. Shoppers were tightening their belts. They only bought one item instead of two.

Sounds good. Sally doesn't have to think too much. There's only one problem.

Those answers are false. Or, could be false, but Sally isn't sure.

Uncovering the truth.

Sally decided to sit down and make a list of all the possible reasons the widgets outsold the woggles. Here's what she came up with:

1. Customer needs or preferences

2. Product problem - quality, design

3. Merchandising effectiveness

4. Pricing problem

5. Sales team effectiveness

6. Product knowledge & communication

7. External issues - economy, competitors

Sally has some work to do. She goes out on her sales floor.

Sally starts talking. Talking to the sales staff. 'What have customers been saying about the widgets and woggles? What do they like?'

She talks to the customers. 'What do you think of these products? How much would you be willing to pay for a product like this?'

Sally takes the products home. She tries them out. She gets her family to try them out. She tells her staff how much she liked them. She encourages them to try them out and tell her what they think.

Sally posts a sign by the cash register. 'Staff pick: Woggles' She watches for changes in sales.

Next week, she changes the sign. Now it reads, 'Woggles: Favorite of Jack, age 5.' She keeps track of which sign performs better.

Sally reviews her merchandising. Where were the woggles positioned? Where were widgets positioned? Sally reverses them.

A new display is created at the front of the store. Sally adds a sign: 'Woggles: a must-have accessory for your widget.'

Sally calls a staff meeting. She trains the sales team about the benefits of the woggles. She adds product information to the woggle shelf tags.

Woggle sales begin to go up. Slow at first, but gradually climbing.

Sally takes a break.

On her break, she reads the paper. She learns that the retail sales are slow this season.

Sally stretches, gets up and takes a walk. She browses through stores in her area. She notices that a competitor has a product similar to the woggle for sale.

She smiles, and goes back to her store. Sally starts planning how she will keep improving her sales of widgets and woggles.

More than widgets and woggles.

Of course, your store is much more complicated. More products. More issues.

It all boils down to the same three steps:

1. Look back

Honestly review past performance. Read department sales reports. Product reports. Most businesses generate a lot of information. Look at the trends.

2. Ask questions

Ask yourself what influenced, or may have influenced, past performance. Talk to your team. Talk to customers. Test your assumptions.

3. Look ahead

Set new goals. Make a plan of action. A multi-faceted plan. Address all the opportunities you have to influence sales, not just the most obvious. Think of merchandising, signage, product information, pricing, training.

Many small changes can make a big difference!

2007-12-28T14:35:00.000-08:00

So, we've survived the busiest season of the year!

I hope your sales fulfilled your December dreams. Early news reports say that some retailers did well, others did not quite meet expectations. Here in Canada, polls a couple of weeks ago showed that most shoppers were in a confident mood and planned to spend more than last year.

Whether sales met expectations or not, we are coming up on a time of year that is important for all of us. Once the pace slows down in the new year, we have a chance to reflect. We can evaluate what went well, what we can improve, and make plans for the year ahead.

Share your experience of this holiday season and what you are planning for next year! Leave your comments below.

Next week, I'll be sending out an article on looking back, and looking ahead.

In the meantime, while you have been juggling holiday crowds, I have been working on a recording a new audio program. This program is based on a merchandising seminar I presented a couple of times this fall.

A sneak preview of the program is available now, as a free bonus until early January, with the purchase of Five Merchandising Mistakes Retailers Make.

Here's a synopsis of the new program:

Building Blocks of Merchandising - Audio Seminar

Are you struggling to come up with display ideas? Do you know what elements go into creating dynamic displays?

Merchandise displays are one of the most important tools a retailer has to use to bring customers inside the store. If you are not using this tool effectively, you are losing customers.

Learn the three building blocks of creating effective merchandising in this audio.

http://inspire.bc.ca/merchandising_products.htm

Remember, check it out before early January!

Don't forget to leave your comments below to let me know how the holiday season treated you!

Store Displays That Turn Off Holiday Shoppers

2007-12-10T09:38:00.001-08:00

We're well into the holiday season. Shopping fever is in full swing.

Do you have what it takes to keep your customers engaged? Will your store look fresh right into the new year?

Right after Hallowe'en store start decking their walls with lights and ribbon. The latest and greatest merchandise is stocked up. Fabulous displays appear, the best of the year.

Have you ever noticed what happens in some stores close to Christmas?

Stores start to look tired. Shelves become empty. Merchandise gets messy.

It's understandable - there are more customers through the store in December than the rest of the year. It is a challenge to maintain store standards.

The busiest shopping days of the year are between December 18 - 23. The Saturday before Christmas has the highest sales volume of the year.

How much business are you going to lose if your front displays are half empty for just one day? Customers will walk by to the next store instead of stopping at your display.

How many people will be disappointed when you tell them the merchandise in the window is out of stock? How much time will it take them to find something else they like? Will they take the time to look, or walk back out the door?

Tired stores send a negative message to shoppers. Emptying shelves tell customers, "You should have shopped earlier. The best selection is gone."

The stores that will excel in the holiday season, are the ones that can live up to customer expectations all year long.

Keep your store looking fresh and inviting right through the holidays.

1. Have fresh merchandise arrive on the shelves the week before Christmas.

Customers want to give gifts that their friends and relatives will love. Make sure you always have something new and attractive to offer.

Having new merchandise in the week before Christmas and through Boxing Week will maximize your profits. Mark down the merchandise that is nearly sold out. Feature the new full price merchandise out front.

If you don't have the chance to get new merchandise in this year, move displays and merchandise to make it look new. And plan ahead for next year to have new orders arrive mid-December.

2. Keep the front displays current and full.

Make someone responsible to check your storefront every morning and periodically during the day. If you have a window display, make sure the items in the window are still in stock. If not, change it. If you have new merchandise, display it in the window.

Evaluate front merchandising fixtures. Make sure they are full and displayed attractively. Rotate merchandise by moving products from lower traffic areas to the front.

3. Make last minute gift shopping easy. Shoppers want to maximize time, and minimize decision making.

Bundle coordinating products together and price them as a package. Wrap them up with clear wrap and a ribbon. A simpler method is to tie them together with raffia, ribbon, or even string. Then attach a tag.

Merchandise stock right next to where the products are displayed. Shoppers can just grab and go. To the cash register.

4. Schedule extra time to clean up the store. At the end of each day, schedule an extra 1/2 hour to an hour to focus on store presentation. High traffic takes a toll on displays and organization.

After the store is closed, straighten merchandise throughout the store. Fill shelves. Clean up muddy footprints and dust bunnies. Wipe fingerprints off the glass. Make sure you are ready for the next day!

Keep your store ship-shape through the busiest season of the year. You'll keep customers all year long.

How Not To Serve Your Customers

2007-11-22T09:43:00.002-08:00

I have a problem with cell phones. My cell phone typically lasts about a year until I need to replace it because I've dropped it too many times.

Until this year.

I'm currently on my third cell phone since spring. No, I'm not just a klutz. Not usually, anyway.

My phone tends to get dropped when I'm trying to load kids and groceries into the car, or trying to find my phone and make a call while carrying student projects home to be graded.

The fact that my life, and cell phone, would benefit immensely from a slower lifestyle and less stress is obvious. Many of us are living life at an insane pace - and that's why we like cell phones.

Why am I telling you a story about cell phones anyway?

A basic retail concept is that it costs about five times more to acquire a new customer, than it does to keep a current customer. It makes sense to serve the customers you have as well as you can.

But cell phone companies don't seem to understand this.

Cell phone companies are totally caught up in the fight to acquire new customers. With free cell phones for new customers, and 'My Faves' type promotions, they work to persuade users to switch providers. Cell phone companies are totally ignoring their best customers - the ones that don't switch.

Actually, I should correct myself. Cell phone companies are not ignoring us. They are penalizing us for being loyal customers. The customers who stay with the company are the ones who pay the costs of all these promotions.

I'm not the only one who drops my phone. According to the Rogers website, "The two most common causes of damage are dropping your phone and exposure to moisture."

How to drive away customers.

The first time I dropped my phone, I tried to get it fixed. I called Rogers customer service and was told that I could take my phone to their store in a particular mall near me. So I did. When I got there, I was told that I needed my original receipt for the phone so that they could see the date when I purchased it.

Why couldn't the service rep on the phone have mentioned that? Secondly, why can the service rep on the phone pull up my records electronically but it can't be done in the store?

I went home and came back with the receipt. Then I was told that it would take 2-3 weeks to have my phone shipped out and returned to me. They have a courtesy phone program, but unfortunately the waiting list for courtesy phones was huge and I wouldn't get one.

My cell phone is by business phone, so being unavailable for 3 weeks was out of the question. Next, the rep informed me that I could take my phone in person to the store where some repairs are actually done, and see what they say. Another piece of valuable information that the phone rep could have told me in the first place.

Since I've already spent the better part of an afternoon on this, I was not thrilled about driving to yet another mall, for more of this infuriating service. The sales rep offered a new phone. I had spent enough money in my contract to 'qualify' for new phone and only pay $50 bucks for the most basic phone - if I sent in the mail-in rebate on time.

So - I went home, much relieved, with a new phone.

A year later, I drop this phone. I don't even consider getting it fixed after the last fiasco. I go in to replace it. This time I'm told that it is going to cost me nearly $400 bucks to get a replacement basic phone.

The rep told me that if I phoned customer service instead, I could get a phone for cheaper, but he couldn't do that for me in the store. However, if I called customer service, it would take 2 weeks for the new phone to arrive at my house. Too long.

Apparently, I could tell the telephone rep I was unable to wait that long. Then I would be able to pick up the new phone at the store instead of waiting for it to be mailed.

So, if I drove home, phoned customer service, told them I needed a new phone, I could drive back to the same store and pick it up for a lower price. How ludicrous!

I expressed my displeasure with these service policies that actually encourage users to switch to another company. The rep shrugged and said, "Well, then you have to buy out the rest of your contract."

I was tired of arguing. I said, "Just give me a phone!" At the end of the transaction, the rep said, "Oh, I have to add a service charge (around $30-35) but you can probably get it reversed if you call customer service and ask them." So, the overall cost was over $400, and I had homework to do to: send in a mail-in rebate, and call customer service for a discount. Arrgh!

Two months later, the screen just stopped working. This time I called customer service first. They had me check the phone for potential moisture damage which would void the warranty. There was none. So they sent a new phone. It's french. Which matters little to me practically, but made me feel like my replacement phone is 'leftover' stock.

I don't feel like a valued customer.

A week later, I'm in a hurry, and one of the kids is yelling. In my rushing, the clip on my phone holder slips, and the phone falls into the toilet.

I'm devastated. The thought of dealing with Rogers again terrifies me.

After letting the phone dry out, I search & search for cell phone repair in Vancouver. I come up with several businesses in Toronto. The Rogers site says in bold, "Phones that are moisture damaged cannot be repaired."

I also come across this statement "Customer satisfaction means everything to us at Rogers Wireless. We do our best to make the repair process as seamless as possible." This tells me that management is not aware of what is going on at the customer level.

Then I discover a forum post responding to someone else who had a wet phone. There is phone number listed for repairs. This looks a little dodgy, so I Google the number. It's listed to a business in Richmond, and has a little website. I phone them up.

Customers want you to solve their problem.

The man that answers is lovely. He tells me a wet phone is no problem. He needs to see it first, but he figures it'll cost $70. I ask him how long it'll take. He says, "Two hours." I'm immensely relieved, although still a little nervous.

I take the phone in, drop it off. The man I had spoken to on the phone, and a woman at the desk are so reassuring and wonderful to deal with. The next day they phone me, one hour after they open, and tell me the phone is ready.

Totally stress-free and easy.

Unless you count trying to drive in Richmond on a weekend in November. But that's another rant.

Make it easy for customers to do business with you.

Think about your sales processes from beginning to end. Make sure it is easy for customers to find what they need, pay, and leave. But don't stop there.

Anticipate customer problems. Create a smooth process for resolving customer complaints and returns. Problems are an opportunity for you to please the customer. If you can solve their problem, you will gain a more loyal customer than you had before.

Notice that the key is in how the customer feels. If you can turn feelings of frustration and anxiety into feelings of relief and reduced stress, you will have a customer who keeps coming back.

Target's virtual fashion show

2007-11-15T12:34:00.000-08:00

Retail News:

Target held this model-less fashion show at Grand Central Terminal's Vanderbilt Hall on November 6 and 7.

Business Week ran this article about the 3D production and applications in business and fashion.

Here's another example from Diesel with real models and 'holographic' projections:

Why Parties Are Key to Attracting Retail Customers

2007-11-06T10:22:00.004-08:00

Are you wondering why your store isn't attracting as many customers as you would like? It's because you aren't having enough parties.

No, I'm not crazy. And, no, don't rush out and plan a big bash.

Let's just imagine a great party first.

If you were throwing a party in your home, what would you do?

You'd pick a date and send invitations. Plan food and drinks. Clean your house. Select music. Buy flowers. Light candles. Wear a great outfit.

After all that work, what would you do when guests arrive? Would you let the caterer take care of the guests? Retreat to your office to plan the next party?

That would be nuts. You'd enjoy the party!

You would greet guests. Introduce them to each other. Show them around the house. Catch up with those you haven't seen for a while. You would make sure your guests have a great time.

Running a store is like throwing a party every day. Are you only giving it a half-hearted attempt?

I'm sure you're working hard. But is each day like a small party in your store? Are you having regular special events? Are you doing what it takes to throw parties your guests enjoy?

Do you send out invitations? Go through your customer list. You have one, right? Go through it and invite people to your store. Use the phone, email or snail mail. Ask them to bring a friend.

Tell them why you are having a party. Invite them to see new merchandise, to a bring-a-friend promotion, a customer appreciation, or maybe it's your birthday party.

Take a look at your store. Freshen the paint. Wipe fingerprints off the windows. Create new displays. Make sure it smells great. Get fresh flowers.

Imagine how your customers respond when you greet them personally at the door. You ask if you can take their coats. You show them around and offer them Perrier. The Perrier is served in a glass, not a paper cup. You introduce them to staff by name. You ask their opinion on some new merchandise.

When shoppers leave, you bring their coats, and give them an elegant, wrapped chocolate to take with them. You invite them back next week, for a lunch hour event of live music, hors d'oeuvres and product demonstration.

Now you are sure I'm crazy. That sounds like too much work and expense.

Sounds like your focus is on you. Not your customer.

Instead, think of how that customer would feel. Think about what she would say to her friends. How many customers do you think would be in your store next week? And the week after that?

Sounds like a party.

Packaging Your Store: Why The Wrapping Sells The Product

2007-08-21T16:54:00.001-07:00

Your store is one big package for the products and merchandise you have inside.

It's the package that sells the merchandise.

Let's say I give you a present. Well, not really - just in your imagination. Play along, OK?

I'm giving you a present. It's not big. You can hold it in your hand. It's wrapped in an exquisite Japanese-style handmade paper. The creamy gold-flecked paper is complimented with a gold fabric ribbon. The handmade tag bears your name in elegant calligraphy. A light floral scent wafts from the package.

You're absolutely thrilled to receive such a lovely gift. Imagine all the care and attention that went into wrapping this special present. You are so touched by the gesture.

Especially since I haven't even met you!

The presentation and packaging of the gift matters.

A lot.

You don't even know what is inside yet, and you have formed an impression about both the gift and gift giver. Even a small token gift - a chocolate, or a bar of soap, will feel exquisite and special when wrapped in a fabulous package.

You assume the gift-giver is caring, generous, and thoughtful. (Which, of course, in this case, is true.) You believe that care and attention has gone into choosing and preparing the gift.

The next time you hear from me, you remember the gift. All those positive emotions and associations come back to you.

Now imagine I gave you the same gift.

This time, instead of the handmade paper, it is just wrapped in some leftover colourful wrapping paper I had at home.

No ribbon. No tag.

It looks OK, but nothing special. When you open it up, you are pleased to find a small box of your favorite mouth-watering chocolates. You are happy I thought of you.

The pleasant experience lasts only as long as the chocolates. You might remember the experience the next time we meet, or you might not.

Missing in this gift-giving encounter is the anticipation, the emotion, the assumptions and associations attached to the packaging in the first example.

Let's imagine again...

Instead of a gift wrapped package, I hand you a crumpled paper shopping bag. You wonder if I'm handing you my trash.

Inside, you are surprised to find your favorite chocolates. I obviously didn't have time to wrap the gift, or perhaps I didn't want to spend the money on 'frivolous' wrapping.

You make assumptions about me. Perhaps you think I don't care much about you, or that I'm cheap. Worse than no association, or emotion, now you have a negative association about my sloppiness and lack of attention.

Can you see where I'm going with this?

Shoppers make assumptions about your product based on your store presentation and appearance.

The package for your merchandise should create anticipation about what is inside. The presentation needs to evoke positive associations and emotions. The store exterior, layout and visual merchandising should be designed to make shopping exciting and memorable.

Is your store a gift that is packaged with attention and care?

Visual Merchandising Is Crucial For Retail Success

2007-08-19T15:38:00.001-07:00

Visual merchandising is becoming increasingly pivotal for retail success. As retail becomes more and more competitive, shoppers have more options than ever before.

Shoppers aren't just shopping for products, they're buying experiences. The stores that put more effort into making an exciting, and emotional experience for customers, are the ones that will be successful.

In Canada, effective merchandising is becoming even more critical to retail success as retailers struggle to find staff. Not only is it hard to find qualified employees, it's challenging to find anyone at all.

This means that the people retailers employ will find their jobs more demanding as they work longer hours, and work harder with fewer team members to share the load. Employees will also be less skilled in serving customers.

I went shopping this week with a list of items to buy to wear to some upcoming events. I visited at least a dozen stores - buying in about half of them. Each store displayed prominent help-wanted signs. And in every store, not one sales associate tried to actively sell to me.

No one suggested additional merchandise. No asked me what I was looking for. I was assisted with the fitting room, staff were knowledgeable when I asked questions, and they were all generally helpful and pleasant. But I had to approach them. In some stores, the sales people barely acknowledged me.

I was obviously spending money, as I was carrying a few shopping bags. Yet, for the most part, I had to navigate my way through the stores, and find what I needed on my own.

All I had to rely on were the visual merchandising cues. To find what I was looking for, I had to depend on visual clues to tell me:

Where is the new fall merchandise located?
Where would I find pants?
What is my size? Where is my size?
What merchandise coordinates with these pants?
Where are the sale items? Is there anything there worth looking at?

Most of the stores did a pretty good job of organizing their merchandise so that I could find my way around easily. In the ones that were confusing; I looked around and left. Maybe I could have stumbled across a great find, but it wasn't even worth looking.

The most frustrating experience was with the department store, which was disorganized, had empty shelves, and had few visual cues to direct me from one area to the next. The department store also had the fewest sales associates available for assistance. It's no wonder department stores have struggled for survival.

If retailers are going to survive in this competitive market, visual merchandising will become even more vital to their business. Store owners need to focus on visual merchandising strategies that sell their products. If they don't, they won't be around long.

Why Your Retail Store Needs Drama

2007-06-06T16:14:00.001-07:00

Great retail is like theatre.

Opening the door and stepping inside a store, is like the curtain going up on stage.

Shopping is a play we all participate in. Even those who say they don't like it. Great stores entertain us, share new ideas, make political statements, express our values, and then send us home with more stuff than we intended to buy.

A great play starts out with a great story. Just reading that story on stage doesn't make great theatre. There are many other elements that make a story into a dramatic production.

In retail, the story is the product.

You might have the best product since the ipod, but just putting it on a shelf doesn't mean people will buy it. To
successfully sell a product today you need to create a shopping experience for consumers that they enjoy. If they don't like it, they'll go somewhere else.

In theatre and retail, drama and entertainment are created with the same elements. You need:
a great setting, great lighting and great talent.

Setting

A great setting creates a mood, an image. A place for the action to happen. The setting is integral to the story.

A setting can be created on stage with all the trimmings and details - a complete re-creation of another place. Or it can
be a mere suggestion of a place - a single chair, painted backdrops. The audience still gets the picture. Their
imagination fills in the rest.

The same is true in retail. Some stores are very elaborate in their design and merchandising, with every tiny aspect considered. Others
use paint and a few carefully chosen pieces of furniture to suggest an atmosphere.

If you get the setting wrong for the story, the audience is confused. In retail, this is like selling designer clothes in
a discount store. Linoleum tile, garish signs and crowded aisles won't interest someone who wants to buy a suit by
Giorgio Armani.

That shopper wants to see a small boutique, lots of floor space, maybe a couple of armchairs and a coffee table. The
floor might be hardwood, or perhaps decorative stone tile. It would be crazy for Walmart or Zellers to try to create an upscale mood like this. Their customers would immediately assume the products were too expensive, without even setting foot inside.

Lighting

An important part of creating an effective and dramatic setting is lighting. A professional theatre production would never be done without proper lighting. However, many retailers do not understand the role of lighting in their stores.

I saw a high-end theatre production that used only minimal props, and created scenes with pantomimed actions and clever lighting. A powerful scene that I will never forget was created with absolutely no props. A rectangle of light on the stage floor suggested a grave. As actors went through the motions of throwing shovelfuls of dirt onto the grave, the light gradually dimmed. The scene ended when the light had faded leaving the stage was completely black.

Retail lighting can be equally powerful. The price range of the stores products are suggested by the levels of light. Discount stores are lit with bright fluorescent bulbs, giving an even level of light throughout the store.

The overall level of light in the store is called 'ambient' lighting. It is the lighting that sets the mood for the store.

Expensive boutiques have a lower level of ambient lighting. They use accent lighting to highlight merchandise and important areas of the
store. These are usually spotlights, used to draw your attention to displays. Because your eye is drawn to light, you will naturally move through the store to these 'pools' of light.

A mid-priced shop with use a combination of these two types of lighting.

Unconsciously, as a shopper, you will get a message about the value of the products because of how they are lit.

For example, an expensive product lit the wrong way, will cause a shopper to assume the product is poor quality and overpriced.

A successful retailer needs to make sure that the lighting is consistent with the setting and the story.

Talent

A great theatre production also has the right talent. Only the right person can create a believable character. An actor's build, appearance, ability and experience are all part of what makes him or her the right choice for a role.

A successful theatre production needs a strong team of people. Each one needs to be able to create a convincing and powerful character. They also need to work well together as a group.

In retail you also need great talent. What would happen if retailers thought of their staff as the cast of a production? Maybe they would be more careful in hiring just the right people. Retail staff need to clearly understand their role. They need to know the story. They need to work well as a team.

Both in theatre and in retail, a cast member who comes across as phony or insincere will ruin an otherwise great
production.

A successful theatrical or retail production needs to have all three of these elements working together - a great setting, great lighting and great talent.

If any one of them is out of tune with the others, the audience leaves disappointed - and may not ever come back.

What are you doing to create a great retail production?
Please share your comments.

Learn from a Retail Legend

2007-05-03T14:21:00.000-07:00

This week I received an invitation from Ian Portsmouth, of PROFIT magazine, to ask a question of John Forzani, the sporting-goods retail king. (Sport Chek, Sport Mart, Coast Mountain Sports)

Ian says, "PROFIT magazine runs a regular feature called "Ask the Legends" in which high-profile Canadian entrepreneurs answer questions submitted by the general business public. Recent guests have included Jim Balsillie of RIM and Harry Rosen."

Forzani will be the next guest entrepreneur. So, if you have a burning question you would like to ask this retail giant, you can send it in by email to Legends@PROFIT.rogers.com

Forzani is Founder and Chairman of the Board of The Forzani Group Ltd. and a former Calgary Stampeder offensive lineman. He is currently Chairman of the Calgary Stampeders.

So, ask your question.

You just might learn something. And, you get to see your name in print - welll, digital print.

BC Retail Week 2007

2007-05-02T08:58:00.001-07:00

I'm taking a break from writing a regular merchandising article this week to tell you about some other retail resources and current issues.

I just spent all day yesterday at Retail BC's Passion for Retail conference. It was an engaging, high energy and informative event.

I met some great people who have some innovative services and resources for retailers:

Warren from myHRtool.com
This is a scheduling solution that helps you manage staff and reduce the amount of time that you spend planning and adjusting staff schedules. Definitely an option to investigate if you have more that 2 or 3 staff members.

Trevor from igeno consulting
Are you a larger store with more than one location, and a lot of data to manage? Excel spreadsheets and reports taking up too much of your time? Igeno can help you reduce this admin time, and create clear visual reports that make sense of all those numbers. Check out their case studies on their website. And Trevor is great to talk to.

Michael from Eigen
If you aren't using gift cards yet for your business, you might be missing out. Gift cards are great ways to offer more for your customers. Take a look and see if gift cards are right for your store. Eigen provides gift cards, and other solutions for retailers.

In the conference sessions, much of the talk was about staffing. In BC, it is becoming harder and harder to find good retail staff. There are help wanted signs, it seems, on every street. But here it is only beginning.

In Alberta, the shortage of retail staff has become a crisis. Here's an article from last fall about the staff shortage that is cutting across all industries. In some communities, stores have been force to reduce hours and services to cope with the lack of available workers.

Businesses have to find new and creative ways to find and retain good staff. Retailers need to create great environments that attract not only customers, but employees. Creating a dynamic, motivating and fun environment becomes even more important than it was before.

Store owners and managers need to think about creating stores that people want to be in
- both to shop and to work.

How do people feel when they are in your store?
How are you going to set the mood for your store?

The tone is set in the way everything works together - your people, culture, visual identity, layout and merchandising. The retailers who get this mix right for their customers will be the ones who succeed in this increasingly competitive environment.

Is Your Merchandising Holding Your Business Back?

2007-04-12T08:52:00.002-07:00

Are you happy with the number of customers you get each day? Are you satisfied with the daily sales you are generating?

If your traffic and sales levels are right where you want them to be, then you can stop reading right now. Take yourself out for coffee and bring a good book. Pat yourself on the back for doing a great job. Then relax and enjoy your coffee.

The rest of us want more customers. Need more customers.

So, what are you doing about it?

Here's some examples of situations that you might identify with:

- You sign up for a newsletter to help you in your business, but get too backlogged in email and don't confirm your subscription.

- You buy or download a book to help you in your merchandising, but don't finish reading it.

- You read a great business book, or attend a seminar, but get too busy to implement any of the ideas when you get back to the store.

- You hire a consultant but don't provide the information they need to help you with your business.

- You place an ad and hope for tons of new traffic.

- You change your window display and hope people will notice and come in.

We look for help and new ideas or strategies, but then we don't follow up. We get busy, distracted by the day to day business. We don't make regular time for the strategic work. We don't put a priority on doing the things that are going to move us forward to success.

We spend our time doing the things that keep business running as usual. Business as usual keeps us where we are now.

To move forward we have to make a habit of taking new actions. The two key words in that sentence are 'habit' and 'action'.

Make a habit every day, or at least every week, to take an action that moves you forward.

What's missing is a consistent plan, and a method of measuring progress.

Here's a simple, five step action plan that you, or your staff can start to implement today.

1. Choose one under performing department or section of your store that you would like to improve.

2. Make a record of where you are right now. Write down your current daily & weekly sales results for the products in that department. Take photos. Draw a rough floor plan of your current fixture layout and product merchandising.

3. For one week, watch this department carefully. What do you notice? How many shoppers move through this department? What percentage make a purchase? How long do they spend in that department? What do they touch? What questions do they ask?

4. Based on your observations, make changes to the department. Make your merchandise more accessible and attractive. Create new displays. Add signage. Move slow selling merchandise to more prominent locations. Mark down merchandise that you need to get rid of.

5. Watch this department for another week. What do you notice? What changes worked? What needs to be improved?

At the end of the week, go back to step 4.

Repeating this simple plan consistently, will keep your business moving forward to success!

If you have some success with this action plan, send me your results. Your story or before/after pics may be chosen to be featured here on my blog.

Free Teleseminar - Five Merchandising Mistakes Retailers Make: And What To Do About Them

2007-02-16T22:49:00.000-08:00

It's not too late! You can still sign up for this free teleclass. There are a few spots left.

You could be losing valuable sales because you are making these glaring merchandising mistakes.

- learn what mistakes you are might be making in your store
- find out how your customers perceive your merchandising
- discover how you can correct merchandising mistakes
- learn how merchandising can improve sales

Monday, February 19
1:00 pm PST

I am keeping this call small so that it will be personal and allow a brief time for questions at the end of the teleseminar. You'll get the most benefit from the call if you can join us live.

If you just can't fit it in, or get called away at the last minute, I will record the call and send you the link to download the recording.

Sign up here!

Why You Need to Know Your Customers Better

2007-02-08T14:47:00.001-08:00

When was the last time you took a customer out for coffee?

I know. You're busy. You might have trouble remembering when you last had a real lunch break. You're managing a store, and there is always something that needs to be done yesterday.

If you are not regularly spending time with customers, you're missing the boat. And I don't mean just helping customers on the sales floor. I mean getting to know them better and asking for feedback about your store.

Independent retailers, like you, have the advantage of being close to the consumer. Often you know many of your customers personally. One of the most important things you can do to attract more customers, is to build on this strength.

Work to improve your relationships with your existing customers. You will learn more about what your customers need, and they will start to tell their friends about you.

Knowing who your customers are and what they are passionate about is crucial to getting more shoppers in the door. Too often I speak to retailers who have no idea who their customers really are.

You cannot appeal to everyone. If you try, you will end up with a watered-down store identity and experience that doesn't appeal to anyone. You'll be just another generic store that looks like all the others.

To create a shopping experience that is truly unique and exciting, you need to know your customers and what they want. Then you can create a dynamic store atmosphere that your shoppers will love!

The best way to get to know what your customers want is to ask them. Start asking your customers about what they think. Make it a habit to ask your customers questions.

This works for two reasons. First, knowing what your shoppers want helps you create a store that gets attention.

Second, questioning is a great sales technique. Customers want you to be genuinely interested in them. By asking questions, you begin to develop a relationship with the shopper. The sales process begins to flow naturally as you get to know the customer better. She doesn't feel pressured when her needs are the focus, not yours.

Your favorite customers will be your best source of feedback. Your goal should be to attract more customers like them. Focusing on your best customers will help you develop a clear vision and direction.

Ask your best customers what they think of your store. Ask them what they like. Ask them what you could improve. Make it clear that you appreciate their feedback. If you are asking for a lot of information, or asking them to write down their responses, think about offering a small gift or discount as a thank you.

When you receive new products, ask your customers for their opinion. Tell them you are trying a new product and would like to know what they think of it.

You could create an elaborate system with suggestion cards, or surveys. Often in a small store, coming up with a process and system for soliciting feedback is just too complex. Before long you are bogged down in setting up the system and frustrated because it is difficult to get shoppers to respond. Soon you've set the whole idea aside and have decided that getting more feedback from your customers is just too hard.

Instead, just start talking to your customers even more than you are now. In a small store, you have the advantage of having a personal relationship with the customer. In a chain store, you can also create a personal relationship and solicit feedback, but the disadvantage is that it is harder to get that feedback to the decision makers.

You can translate feedback into new ideas almost immediately. You don't have to go through a long approval process, or write a proposal. To get feedback, just get in the habit of asking questions and talking with your customers. Teach your sales staff to do the same thing. Keep a notebook to jot down customer comments throughout the day. Review the book once a week and brainstorm new ideas.

When you have a new idea, ask a few of your best customers what they think about it. Get them to help you make that idea even better.

Try having a coffee with a different customer each week. See what happens to your business!

Retail Lighting Resources

2007-01-30T11:00:00.001-08:00

Retail Notes: Often retailers that I meet ask me about lighting and where to find lighting resources. A few weeks ago, I compiled a list of lighting links on a blog I've been working on at Retail Mob.

Here's a list of the lighting posts.

Leave a comment here to let me know how you like them, or to submit other resources you use.

Is Your Merchandising Preventing Sales?

2006-10-31T15:17:00.001-08:00

Has this ever happened to you?

You are shopping and something on a high shelf catches your eye. You'd like to know the price, but you can't reach it. You look around for a clerk to help you, but don't see anyone. You try standing on tiptoe, maybe even with one foot on the bottom shelf, to see if you can reach, but you can't.

Or, maybe the product isn't on a high shelf. Maybe it's in a locked display case.

Maybe you can reach the merchandise, but the price sticker has fallen off.

If you are really interested, you might look a little harder for someone to help you. Maybe you'll even wait at a counter for the cashier to finish with the line of customers.

The more difficult it gets, the more likely it is that you'll decide that finding out the price is just not worth the trouble.

These situations create barriers that prevent shoppers from buying.

You might be saying to yourself, "Yes, but I don't have those problems in my store. My products are all accessible."

There are many ways your merchandising can be preventing shoppers from buying, and you don't even realize it.

The barrier in your store could be poor lighting.
It could be a confusing store layout.
It could be the lack of product information.
It could be ineffective signage.
It could be poor merchandise placement.
It could be ineffective displays.

There are three steps to eliminating these barriers in your store.

1. Take stock.

Find out how you are doing right now.

Listen to your customers. What do they need help with? What are they asking for? What frustrates them? Keep a notebook of what your customers are saying.

Next, take a look at your store performance.

-- What are your current sales levels? Are you meeting your daily sales goals?

-- What is the size of an average transaction in dollars? in number of units?

-- How many shoppers come into your store daily? How many make a purchase?

-- What are your sales per square foot?

-- What are your sales per staff hour?

-- What merchandise is selling vs. not selling?

-- What areas of the store are selling vs. not selling?

Create a chart or spreadsheet to keep track of your performance on a regular basis.

2. Take action.

Walk through your store and evaluate it critically, from front to back. What can you do to improve your merchandising?

You might need to create new displays.
You might need to improve signage and product information.
You might need to rotate merchandise.
You might need to adjust the lighting.
You might need to improve your store layout.

Do whatever it takes to make it easier for your customer to shop. Make your plan and implement it.

3. Take measurements.

Now, go back to your store performance. Measure and record your results.

-- What effect did your changes have?

-- What are your customers saying?

-- How many people stop to take a look?

-- How much time do they spend at each display?

-- Do they touch the merchandise, or just move on?

You will find that some things will work, some will work better, some won't work at all. You can't tell unless you are measuring results.

You might create a great display and hardly sell anything. It might be the signage, it might be the wrong product, it might be a bad location.

Sometimes you'll get it right, sometimes you won't.

There are general merchandising and sales principles that work, but each store is also unique. You have an individual mix of customers, products, location, staff and all the other things that make up your business.

Getting the mix exactly right is like cooking.

First, you follow a recipe. Then gradually you make small changes to adjust the recipe to your taste. You get feedback from your partner, family or guests. Each time you make the dish you tweak it a little, until eventually you get it right - and it becomes your own.

In a store, you follow the merchandising recipe and then make little changes until you get the right taste for your customers.

To eliminate barriers to sales, be vigilant. Make small adjustments to your merchandising, measure your results, and start again.

Don't let your merchandising keep your products sitting on the shelves!

What Do Your Customers Really Need?

2006-09-28T16:13:00.000-07:00

When was the last time you bought tires? If you're like most people, shopping for tires is not the most exciting experience.

We buy tires because we have to. We are not usually thrilled at shelling out a large chunk of money for something as un-glamorous as tires. But we do it anyway.

Why?

We think we need tires. But, what we really need is safety.

When your mechanic tells you your old tires are unreliable, even dangerous, your priorities suddenly change. You put aside other plans, like buying a new plasma TV, because your need to be safe on the road is more important.

What's all this talk about tires? Isn't this an article about customer needs?

Customers don't need what you are trying to sell them. They do, however, have deep, universal, human needs that they are trying to satisfy. You will be able to market and sell more effectively if you can identify the needs of your customers, and how your products helps to satisfy those needs..

Sometimes, it gets a little tricky to sort out.

Once you realize you need tires, how do you decide which ones to buy? Well, if safety is such a priority, you would buy the high-end tires with the best performance in all kinds of weather conditions.

However, buying the highest quality tires, may threaten with your financial security, leaving you short of resources to meet other basic needs.

On the other hand, perhaps your need for financial security is satisfied, and you can afford the high-performance tires. Your need for status may be your primary motivator. You might decide that new rims for your Audi help you satisfy your need for status, esteem and respect.

We are all trying to satisfy common human needs. Often, we buy things to satisfy those needs.

Abraham Maslow developed the theory of a hierarchy of human needs. He believed that people have five levels of needs:

1. Physiological (biological)
2. Safety
3. Love/Belonging
4. Status (Esteem)
5. Actualization.

According to his theory, we must have our basic, lower level, physiological needs met before we can move on to higher level needs.

So, when it comes to buying tires, we will not be concerned with status, unless our lower level need for safety and security is satisfied.

What do your customers really need?

Does your product meet basic physical needs? Many consumer products connect with our needs for love, belonging and status. More and more, customers are searching for products that help them in their search for self-actualization and spiritual meaning.

Take some time to consider where your products fit in. Like tires, your product line may meet customer needs at more than one level. When you understand those needs, you will be more effective at creating marketing and promotions that appeal to your target market.

Your customers don't want you to try to sell them what they don't need. They do want you to understand their needs, and help them find what they are looking for.

Want to know more about creating a store that meets customer needs? Download Attracting Customers now. It's free.

Is Your Store Failing to Connect with Customers?

2006-09-07T17:12:00.000-07:00

Imagine yourself walking past a row of shops on a street. Some of the stores you walk by without even a glance. But one catches your attention. Something in the window makes you stop for a moment to take a look.

Something has grabbed you and pulled you out of your conversation, or train of thought, and stopped you. Just briefly. Long enough to think, "I like that," or "That looks interesting."

The next thing you know, you see a couple of other interesting things in the window. You look past the display into the store. You think, "I'll check it out for a minute."

You open the door and step inside. You love what you see. "What a great place! I'll look around for a minute." You see something that would look amazing in your house. You move from one display to the next, imagining what your life would look like with some of these beautiful things.

You feel relaxed. Happy. You love the atmosphere. This is what you want in your life. This is something you've been looking for. You're falling in love.

What makes this store different? Why do you like it so much?

Connection.

The store connects and resonates with you. It fits with your imagined ideal of what you would like for your life.

Yes, the product is something you would love to have. But it's not just the product. It's how you feel. You feel more beautiful, sexier, happier, or more fun when you imagine this product as yours.

How you feel about the product is influenced by the store atmosphere. It puts you in a mood you enjoy. Not only do you like the merchandise, but you like the idea of shopping here. You want to be here. You want to come back. You want to buy here.

Are you making this connection with your shoppers? Does your store resonate with them?

A store that resonates with shoppers:

1. Isn't for everyone.

We are all unique. We all have different tastes. What one person likes, another dislikes. If you try to appeal to everyone, you will end up with a store that doesn't attract anybody. A successful store appeals to a specific group of people with certain tastes and interests in common.

Determine who your best customers are and work to attract to others like them.

2. Has something their customers need.

Face it. Shoppers can probably find a product like yours somewhere else. They don't need your product. What they need is something else. Maybe it's security. Enjoyment. Relief from stress. One of the most common needs that people are seeking to satisfy is the need for status, or respect.

Figure out what your customers really need. Then sell it to them.

3. Has personality.

A store just like all the others is boring. A great store has character and flair. It's personality is conveyed through color, design, fixtures, lighting, signage, advertising and people. It has a quality that is unique and different.

Being different is a risk. But in retail, being the same as everyone else, is certain death.

Express your personality. And do it well.

If you want your store to resonate with your customers, show them what you have in common. Show them you understand them and what they need. Romance them. Make them feel beautiful, sexy, important, safe or happy.

Sounds like a relationship, doesn't it? It is.

Are You Struggling to Create End-of-Season Retail Displays?

2006-08-21T04:02:00.000-07:00

Retail Notes:
I received an email recently that mentioned how difficult it is to create an inspiring display window at the end of a season.

Yes. It is difficult to come continually come up with new and inspiring ideas. Especially when you are not inspired yourself.

You're tired of the merchandise in your store that you have seen it every day for the past several weeks.

You're disappointed that a product you anticipated would be a hot seller, is still sitting on the shelves.

You're frustrated by the dwindling product selection, making it difficult to create a dynamic display.

You're attitude is like a virus. You don't realize it, but your customers will catch it.

You need to be excited by what you sell.

As a retailer, that is what you do. Your job is to present merchandise in a way that inspires and attracts. You need to make each product in your store desirable. You need to infect shoppers with your enthusiasm.

1. Change your perception.

Do you see that product sitting on the shelf as a leftover that no one wanted? Or is it an undiscovered gem that is waiting to be found by the right person?

You need to make that gem shine. You need to find that person who is looking for what you have to offer.

2. Present the product well.

It may be that the merchandise hasn't sold because of the presentation. Create a dazzling display with complimentary merchandise, if you can. Of course, that is part of the problem to begin with. It is hard to find enough merchandise that looks good together when some of it has sold.

Maybe one product, featured on its own, can make a strong display. With great signage and great lighting it could work very well.

Instead of other merchandise, perhaps you can find props that would help tell a story with your product.

There are lots of options - the trick is to get creative. Which brings us to the next point.

3. Get inspired. Look for new ideas.

It's easy to get tired of dealing with the same space and merchandise day in and day out. It can get hard to come up with new ideas.

It's time for YOU to go out shopping. Shopping for ideas. Take a walk at lunch, or after work. Take a look at what other stores are doing. What is new and exciting? What colours are being used?

Browse some magazines. How are products arranged for ads? What trends are you seeing?

It is part of your job to stay in touch with what is happening around you. Really, that is what you are selling - not just a product, but an idea. You're selling a feeling, a mood that your product embodies.

You need to be inspired to inspire your customers.

4. Get something new. Fast.

When I worked in retail stores, I learned that one of the best things you can do to keep customers engaged is to always have something new arriving.

Don't just buy all your merchandise a few times a year. Keep a few new things coming in every few weeks. This is especially true for any kind of fashion merchandise.

5. Move the old stuff out.

You need to turn merchandise quickly. Product that hangs on the rack, or sits on the shelf, is money that could be re-invested in something new.

Put the merchandise in a prominent position. Mark it down. Create a sales contest or special promotion.

Just do whatever you have to do to move the old product out.

The worst thing you can do is to allow yourself to lose motivation at the end of the season. Don't just move the products you are tired of to a corner and forget about them.

Instead, get excited about what you have to offer. Your customers will sense it and feel the same. Better yet - throw a party and invite them to join you!

Interviewed for the Globe and Mail

2006-08-03T14:04:00.000-07:00

Retail News and Notes: I should have posted this earlier. I was interviewed by the Globe and Mail for an article called 7 rules for retail success by Nicholas Dinka.

Check it out!

Case Study - Retail Review

2006-07-14T15:27:00.000-07:00

Retail Notes:

Last month I sent out an invitation in my Retail Tips newsletter inviting readers to send in a photo and description of a display issue in their stores.

The first respondent was Marilyn Revell from New Zealand. She struggles with strong reflections on her front window that completely obscure her displays.

Here are a few of the highlights from her Retail Review.

Problem: Window Reflections

Dealing with window reflections is a common problem for retailers. Here's how Marilyn describes her problem:

During the day people can't see in my window as it reflects the building opposite. Although quite light inside, the shop appears dark when looking in from outside and if my door is shut (due to cold) people think I am closed!

Solution

Window reflections are caused by stronger light on one side of the glass than on the other. This effect can be reduced in a couple of ways. Light can be increased inside the store, or decreased on the outside of the window.

Increase the light levels inside the store.

Window displays need strong lighting, to reduce reflections, and also highlight the merchandise, capturing attention of viewers and directing their eye to various areas in the display.

It seems backwards, but you actually need a higher level of lighting in the windows in the daytime, than you do in the night. You need to balance the very strong sun reflecting off the white buildings across the street. Lighting should be positionable spotlights so that they can be moved when the displays are changed. There should be enough lights to highlight all the merchandise in the window adequately.

In addition to the lighting, there are a couple of things you can do with your display. Light objects are generally more visible in the window. You can screen off your window display area with light coloured panels that provide a backdrop for your display.

The merchandise in your window is quite dark and will create a strong contrast, or silhouette against the lighter background, making it easier to see. Having said that, again, I have to emphasize that this will only be effective with stronger lighting in the window.

Open for business.

Marilyn's store already has a sidewalk sign to help shoppers determine whether the store is open. This is a great start. To make sure a message gets across, the information often needs to be available in more than one location. Think about putting your store hours on the door, or even in one of the windows. Rather than placing a sign in the window, I like to use vinyl lettering that applies right on the window. It looks professional, is not too expensive, and does not detract from what is inside the store.

Display Tips

Once you have made your display window more visible, here are a couple of tips to help you make your displays more effective:

1. Choose a theme for your window. Evening wear is displayed in the window, which could be tied together in a stronger way by choosing a colour theme as well. Placing garments in the display that are of similar colours would create a more dynamic grouping. Another alternative would be to choose contrasting colours such as black and white. Keep the colour choices simple.

2. Think of outfits or coordinates in the display window. Instead of a wide variety of purses in the window, coordinate a purse, and/or other accessories with each outfit.

3. Create varying heights in the window. Using just the floor of the display window creates a static display, and is too low to attract the eye. Using cubes, displayers, or shelves of vary heights creates a more dynamic and visually interesting arrangement.

Do you have questions or experience dealing with window reflections in your store? Please share your comments.

Do you struggle to merchandise a display area or fixture in your store? Find out more about the Retail Review here.

What is Effective Merchandising?

2006-06-06T15:41:00.000-07:00

Retail Notes:

According to the American Heritage Dictionary, merchandising is the promotion of merchandise sales, as by coordinating production and marketing and developing advertising, display, and sales strategies: basically everything we do to sell a product to the consumer.

What we generally think of as merchandising is the way we present merchandise to attract the attention of consumers and sell the products. To be effective, merchandising needs to be closely connected and consistent with all other parts of the sales process.

When I address merchandising with a client, we look at the overall store image and atmosphere, as well as arrangement of merchandise and displays. Whether you are in a small store or a large one, and regardless of the type of product you sell, the basic concepts in merchandising are the same.

I'm going to start a short series of articles covering why merchandising is important, how to improve your customers' experience, and how to build on your strengths. In this article we are just going to begin discussing why effective merchandising is important in customer perceptions.

I was told once by a small business consultant that she considered merchandising and display to be frivolous extra expenses for the small business owner who is just starting up. Her assumption was that merchandising is just about making things "look nice."

On the contrary, merchandising has a crucial role to play in the selling process. The way I look at it, the role of merchandising begins before your customer even walks in the door.

Your merchandising will determine how consumers perceive your store. You need to think carefully about the first impression that you want customers to have.

Shoppers will form an idea or expectation about your store from what they see outside. When a shopper first sees your store, a part of their brain called the adaptive unconscious is at work.

Your brain makes an evaluation of your store in only 2-3 seconds. In that length of time, your storefront, displays and signage, as well as the individual's personal associations and preconceptions are all evaluated and judged.

Your storefront has a huge job to do in those couple of seconds!

It has to communicate the essence of what your store is all about. From that first impression, shoppers will make a judgment about whether your store meets their needs or not. The perception the customer has of your store may be entirely different than the image you are trying to project.

Think about your store.

* How have you seen the importance of effective merchandising in your store?
* How do you want customers to perceive your business?
* On a scale of 1-10 (10 being the best), how well are you doing at quickly communicating your store image to shoppers?
* What do you need to improve to effectively communicate the image of your store from your storefront?

Please share your comments and your experience of what makes merchandising effective.

2006-05-02T08:32:00.000-07:00

Retail Notes:

Here's a question I received from a website visitor this week.

How do I get past the "I'm just looking" phase?

One thing to remember about "I'm just looking" is that not all the shoppers in your store are ready to buy. Buying is a process that includes several stages, and usually requires several points of contact with the customer.

When shoppers are in your store for the first time, your job is to be welcoming. You can provide information about what your store has to offer. Be friendly without being pushy. You want customers to feel comfortable, to enjoy themselves, and to want to come back again.

Can you involve shoppers with your merchandise in some interactive way?

- samples
- demos
- trying out the merchandise

Think about how you can give them an incentive to return:

- an upcoming event
- new merchandise
- sale

Can you give the shopper something that will help them remember you?

- a coupon or discount card
- event announcement
- free sample

Remember - the customer who is 'just looking' is often afraid of being sold to, when they are not yet ready to buy.

Treat the sales process like a relationship, which it is.

Right now you are just at the first impression or getting to know you stage.

Be friendly.

Be giving.

Be interested. In the customer, that is. Shift your focus from making the sale, to getting to know the people who come into your store.

Any thoughts? Please share your comments.

2006-02-02T08:48:00.000-08:00

Retail Notes:

Here's a guest article by Sean D'Souza, a member of Robert Middleton's InfoGuru forum and an excellent communicator. He has some tips here that can help you improve your communication. You can apply these concepts to your marketing and your instore displays.

Harness the Psychological Power of '3' to Improve Communication

By Sean D'Souza

Two might be company in life, but in communication you can go all the way to three and still have a rollicking party. If you step over to four however, it's quite likely that you've stepped into the hara-kiri zone. Back up that truck a bit and learn how the power of '3' has the ability to make your communication soar.

Let's Start With a Little Test

Here's a psychological test. Lay out 10 business cards in a row and choose three that catch your attention instantly. Now don't cheat. Do this before you continue reading this article and you'll be quite amazed at the results.

So What Did You Find?

Isn't it strange that there seems to be no real reason why you chose what you did? There doesn't even seem to be a very clear pattern emerging.

Some of the cards have lots of information, and some have very little. Some are colourful and others are not. Yet something has drawn you to play the devil's advocate and reject some of them outright. Could that something be a deep-rooted psychological trigger embedded in your subconscious? And how can this trigger make such a dramatic difference to your communication and marketing?

Aha! You've just run into the magic of THREE.

Understanding and applying it will throw a light into the dark world of your presentations, brochures, web sites and yes, even email! Before you put this into the "This is for my graphic designer" basket, read further because it will help you recognize the psychological background of how the brain understands these things and reacts to them. It will also help you clean up your everyday communication that your designer might never get involved with.

How the Brain Sees Things

The brain finds it relatively easy to grasp threes -- elements, colours and fonts. Push that marginally up to four and the brain gets confused about where to look and what to do, and sends the eye scampering like a frisky puppy on a sunny day.

So why does this happen? For that we might have to go back a little to diaper country. As a child, everything you did and learned seemed to be centered around three -- A,B,C; 1,2,3; Three blind mice, Three musketeers, Trinity, Three Stooges and Huey, Louie and Dewey. (Quack! Quack! Quack!)

Then again, maybe these writers, animators and wise men understood the ease with which we understand 'threes' and reconstructed their work to fit this paradigm.

The Building Blocks of Visual Communication: Elements, Fonts and Colours

Most visual communication can be reduced to these three features:elements, fonts and colours. Understand how they work and you've given yourself the added advantage of a mini design degree.

Just What are Elements?

I'm assuming you've gotten rid of those business cards in front of you. So I've made up some of my own to illustrate how elements work together. Elements are simply groups of objects that are grouped together to form a common definable form. For instance, your eyes, nose, mouth and ears are the main objects that form the element called the face. Let's look at the cards below to understand this even better.

If You Look at Card# 1, You Will Spot 3 Elements:

1) The name and the title of the person.

2) The logo, the logo font and the service description.

3) The contact details form the third element.

If You Look at Card# 2, You Will Find Very Subtle Differences.

All I've done is moved the text and logo just a tad bit around. However, even that tiny displacement has ADDED a series of unwanted elements. Suddenly it appears there are 5 or even 6 elements.

1) The name.

2) The designation.

3) The logo design.

4) The logo font.

5) The service description.

6) The contact details.

Card# 3 Gets Even Harder to Focus On… Guess why?

Card#3 is all over the place, as it has not only violated the rule of elements, but also complicated the visual layout with additional fonts. It has 5 fonts. Learning how to manage fonts makes a big difference to your layout and the overall look of your project.

Here a Font, There a Font, Everywhere a Font, Font

There are zillions of fonts out there today, and it's hard to restrain yourself when you're putting together a document. Try to use not more than 3 fonts in any communication. The more fonts you have on a page, the harder it is to actually read what you're saying. Be aware that a font that is in italics visually ends up looking like another font altogether. It adds to the elements and clutters it up considerably.

Also determine what the font is really doing for your document. You might want to create some drama and use contrasting fonts. For instance, fonts that are vertical used with fonts that are wide contrast well.

I'd also recommend that you read The Design book for Non-Designers, by Robin Williams. It's an inexpensive, easy to read book that clearly explains the different facets of fonts and their usage, plus how to use fonts to set the mood.

Seven colours are for Rainbows

Whether it's a tee-shirt, brochure, website or business card, it's important to restrain yourself. Managing your colour palette with just three colours can often provide the feeling of as many as five or six colours, when moved around a bit.

Count shades of colours as two colours. So, red and dark red are not just one colour but two definite shades and hence, two definite colours. So, be clear about the colours you are choosing. Say you choose something like red, black and green. Move that round a bit and you can get brighter communication without the confusion.

Why This is Important in Marketing and Business Communication

Most of us are always presenting or selling to someone else. The proof of the pudding is always in the eating. But the taste buds start to salivate only when it looks really YUM! If you choose to ignore the psychology behind this, your 'dish' might taste wonderful, but you may never get someone to stay long enough to eat.

This also helps you keep a check on your designers. Good designers instinctively get this right, but sometimes they goof up big time. You can run this audit past your marketing material and check for elements, fonts and colours.

Having said that, a competent designer might have the innate ability to break rules. And if it works, that's OK. Nothing is that sacred, but it helps to know the reasoning behind it. Besides, you now have the ability to make that designer sweat a bit.

Heeeeeeeeeere are some Examples!

McDonald's: The McLogo consists of two elements-The name McDonald's and the Big Golden Arches. They use just one font, and just two colours -- yellow and white (or black)

Coke: The Coca-Cola button that you see in most advertising, consists of three elements: the button itself, the bottle on the button and the Coke Logo. Even though it is a full colour image, the colours are minimal and there are just one or two fonts used.

Now that you can see the forest for the threes…:)

Go out and look at advertising. Revisit your brochure. Audit your presentation. Streamline that website. You will be appalled at how much clutter you had to start with, and how easy it is to smarten it up quickly and efficiently.

Your marketing message will be much tighter and more professional. But best of all, you'll know you're doing something that's deeply embedded in the psychological psyche of humans.

May the 'fours' be with the reckless Luke Skywalkers of the universe (That's a joke, ok?)

You'll find it pays to stick to the threes!

©2001-2005 Psychotactics Ltd. All Rights Reserved.

Wouldn't you love to stumble upon a secret library of small business ideas? Find simple, yet electrifying ideas, on copywriting, public speaking, marketing strategies, sales conversion, psychological tactics and branding. Head down to http://www.psychotactics.com today and judge for yourself.

Retail Resources - Fixtures, Display, Accessories

2006-01-31T14:23:00.000-08:00

Retail Notes:

I have finally managed to compile a list of some fixture, furniture and display companies from some of my notes. There are also a few other types of companies included, like theme environment designers that are great inspiration for ideas, and hey - you just might decide to hire one of them.

Some of the suppliers are from around the world, but for my fellow Canucks, there are a few that are Canadian based. I've labelled a few that I am aware of, but I know there are a couple more in the list that I haven't identified.

Look through some of these for ideas for your stores. Use this typically slow sales season for visioning, dreaming and planning new things for your stores!

Printers

ClubCard – Printing – business cards, postcards, large format
www.clubcard.ca

Disc Imaging – large format graphics - Vancouver
www.discimaging.ca

Pictura - commercial and trade show large-format graphics
www.pictura.net

Store Design/Environments

General Theming Contractors – graphics, murals, interiors, 3D items, signs
www.theming.net

Greneker – retail and theme environment and production
www.greneker.com

Fixtures

Leggett and Platt – fixtures, storage systems, POP displays
www.leggett.com/fixtures_display.htm

StandOff Systems - Fixture systems, sign mounting hardware, furniture.
www.standoffsystems.com

Display

Almax – Mannequins and Display Items
www.almaxspa.com

Barthelmess – Better Visual Merchandising – display and mannequins
www.barthelmess.de

Display It LLC – props and display items
www.displayit-info.com

Eddie's Hang-up Display - mannequins, fixtures, retail supplies, accessories, forms - Vancouver
www.eddies.com

Goldsmith – mannequins, fixtures, forms, furniture, accessories, decoratives
www.goldsmith-inc.com

Infinity Display – email info@infinity-display.com to ask for catalogue
www.infinity-display.com

La Rosa Italy - mannequins
www.larosaitaly.com

L’ideimmagine – mannequins, window display systems, fixtures
www.lideimmagine.com

Mondo Mannequins
www.mondomannequins.com

Patina-V – mannequins, forms and merchandisers/fixtures
www.patinav.com

Proportion>London – mannequins, bustforms, displayers, accessories, furniture
www.proportionlondon.com

Ralph Pucci – furniture, mannequins, sculpture, graphics, fine art
www.ralphpucci.com

RHO – mannequins, forms and accessories
www.rho.ca

Seven Continents – email info@sevencontinents.com
www.sevencontinents.com

Siégel & Stockman - display mannequins, dressmaker forms
www.siegel-stockman.com

Venus Display Mannequins
www.venusmannequin.com

Packaging

Warner Box & Display Company - jewelers packaging & display
www.warnerUSA.com

Architectural Products

Alpolic - aluminum composite panels for storefront entryways, canopies, exterior fascia, trade shows and even signage.
www.alpolic-usa.com

Outwater Plastics Industries Inc.
www.outwater.com

Is There a Market For Your Product?

2006-01-14T11:34:00.000-08:00

Retail Notes:

Here's a question I received through my website today:

We started a dollar & more store almost 2 years ago, it is very hard to get the people in this community to support you. We are on the other end of town, we are lucky to have a few locals that are loyal and come in.
How do you get people in?
With out more support, you can not replenish the store with new merchandise.

This is an all too common question from small store owners. Often people open stores based on their own desires, without researching and evaluating the market need.

It is hard to get people to break their shopping habits. They don't want to go out of their way to try something new. You can't expect them to buy from you because they like you, or because the community 'should' support local businesses.

You need to be competitive. You need to have something exciting to offer them, and you need to make it easy for them to buy from you.

If you are thinking of opening a store, or have a new store that is not as busy as you would like, think about these questions:

Location: Are you far from other shopping? Are you far from where your desired customers live? Would another location be better?

Need: Why do you sell the products you carry? Is there a need for your product or service? Do you have a big enough community to support a store like yours?

Competition: If the community is not buying from your store, where are they shopping? Can they get what they need somewhere else?

Your Store: What do you offer that is unique? What market need are you meeting? Do you honestly offer something no one else does? What do you do better than the competition?

Marketing & Promotion: Do people really know about your store and what you offer? You would probably be surprised to hear how many people don't know about you. You probably don't have a big marketing budget, but you can get great publicity by becoming involved in your community. Host events in your store and invite the media, participate in community groups and fairs. Be creative.

Don't expect the community to come to you. You need to be where they are, and offer them something they want and need.

Easy Tips to Increase Retail Sales

2005-10-08T12:31:00.000-07:00

Retail Notes:

A website visitor recently asked me for easy tips to increase retail sales:

Don't block the entrance to your store with fixtures. Leave some 'breathing room' inside the door so that shoppers can pause and get their bearings inside the store.
Improve directional or departmental signage to help shoppers find their way to what they need.
Improve price signage and labelling. Make it easy for shoppers to find the price for each item. Add signage to shelves or top of fixtures that indicate the price range of items in the area. This also helps shoppers find what they are looking for quickly and easily.
Add product information signage where appropriate. The more relevant information is available to the shopper, the more likely they are to buy.
Remove unrelated posters and signs in your window and on your door. They distract the viewer by drawing attention from your store and product. If you want to support community events, create a small bulletin board in an unobtrusive spot.
Encourage shoppers to get 'involved' with the merchandise. Shoppers want to touch fabrics to find out how soft they are, sample food, listen to music, try things out for themselves before they buy. Make every attempt to have the customer try your product.

Dynamic Displays

2005-09-22T09:23:00.000-07:00

Retail Notes: Does your store offer something new and exciting each time your customer visits?

Your repeat customers are one of your best assets. Are you engaging them every time they enter your store?

Some shoppers will walk by your store several times, maybe on their daily way to work, before ever venturing inside the door. Do you have something to attract their attention each time they walk by?

If your store doesn't have something to new to offer customers on a regular basis, the impression they receive is that your store is stagnant and boring. It also encourages customers to put off a purchase of something they want 'until later', when they have more time, or it is more convenient. They assume that you will always have what they want available.

As a retailer, you can't afford to have stock just sitting on the shelves. Your business needs to be vibrant and dynamic. Of course, most independent retailers are not getting completely new stock every week. How do you keep your customer interested and offer them something different on a regular basis?

The answer is in your displays. Use your key display spaces to feature a small selection - 3 to 5 products - at a time. Maybe even just one strong item if you choose. Create an eye-catching display and change it weekly. Consider this your 'feature of the week' display. Make sure the display includes signage that will encourage sales.

Shoppers will be more attracted to a store that stimulates their interest with new displays of interesting merchandise.

Discount, Not Dumpy

2005-09-17T23:36:00.000-07:00

Retail Notes:

Here's a question I received from a website visitor recently: "How do I attract the customer into a middle market discount store without having to sacrifice appearance?"

The type of products being sold are not mentioned so it is hard to get into specifics, but here are a few general tips.

How to keep a discount store from looking bargain basement:

know your target market and their needs
make sure the store is well lit
keep merchandising and displays very tidy
use quality fixtures, even if they have an industrial look - cheap tables with folding legs are a definite NO
keep store clean and well maintained
use professionally produced signage - not handwritten
set aside some spaces in the store for attractive, themed displays of complimentary merchandise
keep the shelves full without becoming crowded or messy. Customers need to be able to touch and move merchandise without knocking things over
use adequate signage - clear pricing on shelves and merchandise, directional signage to designate departments or product families.
don't clutter windows with unnecessary posters and signs.
create an overall appearance that is organized, easy to shop, well stocked and affordable

Any other suggestions? Merchandising questions? Add a comment below.

How Do Customers See Your Store?

2005-09-08T17:26:00.000-07:00

Retail Notes:

It can be hard to look at your own store objectively and notice the same things that shoppers notice. As retail owners or managers, we become so familiar with our own store that it is hard to pick out things that we could improve in our displays, merchandising or maintenance. Customers might be getting an entirely different perception of your store than what you intend.

To try and see your store through different eyes, take photos of your store exterior and interior. Photos are a great way to see your store from a new perspective.

Photos can help you to see:

- fixtures that block traffic
- signage that cover up displays
- fixtures in need of repair
- displays and merchandising that are too cluttered
- displays that lack a focal point
- displays that need to be tidied

On the other hand, photos can also give you a sense of what is working in your store, They provide a record of what displays and merchandising has been successful or effective in the past.

Do you have photos and stories of either successful displays, or merchandising that could use improvement? If you send them to me we'll post them here!

Your Ideal Customer

2005-09-08T01:07:00.000-07:00

Retail Notes:

Who is your target market?

Independent retailers often have trouble stating who their target market is. They are afraid that creating a specific profile of who they want their customer to be will limit their market and be too narrow. On the contrary - if you don't know exactly who you are trying to attract to your store, you end up attracting nobody.

To help you figure out who your target market is, write down the description of your ideal customer. Make this as detailed as possible. This is easiest if you picture a real person in your mind. Who would you consider to be your best customer, or your top 10 customers? You want to attract more customers like them because they will be the most profitable for your business.

Making this description as specific as possible will help you to create the most effective marketing. While you will also attract customers who fall outside of this profile, the focus of your marketing and merchandising efforts and budget should be on the people who would be your ideal clients.

Your ideal customers are the ones who are repeat customers, who give you feedback on what they like or don't like, who tell their friends about your store, and you enjoy doing business with them. Create a profile based these great customers. Try to find more like them.

Need to Increase Your Sales?

2005-08-02T14:01:00.000-07:00

Retail Notes:

One of the best ways to boost your business is to focus on your current customer base. Business owners often spend so much time and money trying to bring in new customers instead of marketing to their 'warm' market – the people who have already spent money in their store.

Are you marketing to your current and past customers? Even if you are, there's probably more that you could be doing to boost your repeat business.

Some ideas to boost your repeat business and increase sales:

=> Get to know your customers personally. Talk to them in the store. Find out about who they are, what their lifestyle is like. Make your business all about them, not about you.

=> Keep customer information on file. Don't forget to get permission first! Get customers to offer their information in exchange for a valuable free gift. Remember, their info is valuable too. And let them know why you want their information - to send them special offers or a newsletter, to provide better, more personalized service, etc. Be honest.

=> Actually use your database or information file. Your resources are much better spent on following up current and past customers than on advertising to try to find new ones. Send out invitations to special events, birthday greetings, new product info, testimonials, refill reminders – whatever your customers will enjoy receiving and will get them to come back to see you again. Getting a customer to come back to the store again is much less expensive than the cost of getting a new customer.

=> Ask your customers for referrals. You can create a fancy referral program, or simply ask your customers to tell their friends. You can host a special VIP event for customers and their friends. Offer current customers a discount for referrals.

More ideas? Things you've tried? Leave a comment or two.

Copyright Melanie McIntosh, Inspire Retail Solutions 2005

Planning Resources

2005-07-30T19:00:00.000-07:00

Retail News and Notes:

Here are a few handy planning resources to help you do some thinking and planning about your business and direction.

=> Interactive Business Planner (Canadian)
http://www.cbsc.org/ibp/home_en.cfm

=> Here is a great list of business planning resources from Susan Ward at Small Business Info Canada at About.com
http://sbinfocanada.about.com/od/businessplans/

Here is an article by Susan on the marketing section of your business plan
http://sbinfocanada.about.com/cs/businessplans/a/bizplanmarkplan.htm

and some more marketing resources:
http://sbinfocanada.about.com/od/marketing/

=> If you have a website, or even if you don't, Bobette Kyle writes some great articles on marketing and marketing plans. There seem to be quite a few ads to wade through on the site, but she has some great info in the articles.
http://www.websitemarketingplan.com/

Do you have any business or marketing plan resources that you've used and would recommend? Post a comment to let me know.

Copyright Melanie McIntosh, Inspire Retail Solutions 2005

Do you have a plan?

2005-05-24T08:18:00.000-07:00

Retail Notes:

The great thing about not planning is that failure comes as a complete surprise and is not preceded by periods of worry and depression.

- Anonymous

- - -

Are you effectively planning your business?

Do you have a current business plan?

Do you have a marketing plan?

Too many business owners think they don't need a written plan.

How about you? What if an effective marketing plan could help you increase your sales by 10% this year? Would that make it worthwhile?

I can't say that a plan will make achieving your business goals a sure thing, but it will give you a clear plan of action and increase your chances of success. Or, maybe more importantly, it will decrease your chance of failure.

Next time: I'll list some sources of marketing and business planning to help you grow your business.

Are You a Downtown Retailer?

2004-08-17T16:00:00.000-07:00

Retail News: The International Downtown Association is holding their 50th Annual Conference right here in beautiful Vancouver, BC, Canada. Downtown redevelopment has been one of my pet interests for many years. This conference promises to bring together leading experts on downtown issues.

Scroll down the page to download their conference brochure.

Another great resource for downtown redevelopment: Downtown Research and Development Center

Wet Paint

2004-05-18T09:52:00.000-07:00

Here is a window display photo from Retail Tips subscriber,
Susan Black. It's an example of what you can do with a little
creativity and a few props.

This is a window display I did for our lingerie
shop! I wanted to show the customer how much color we
had to offer in intimate apparel.I am always trying to
find ways to attract a younger clientele as the shop has
been in business for well over 50 years and is still known
as "Grandma's Girdle Shop" I try to attract the foot
traffic we get from a very popular, large, used bookstore
a few doors down.

This one caught quite a bit of attention and I couldn't
help but notice that the bookstore I mentioned put one
together that was very similar-which I found flattering!

Susan Black
Alice Rae Intimate Apparel
Tucson, Arizona

Note: I'm primarily looking for submissions of exterior photos of
storefronts that show the entire front. Additional close-ups are
good too. I liked Susan's idea though, and I will post other display
photos if you would like to send them in.

Do you have a storefront that's worth talking about?

2004-05-10T10:21:00.000-07:00

Would you like to see your store here?

If you think you have a store front that makes your customers
say 'Wow' send me a photo (jpg or gif) and a brief description
of your store and customer.

I'll post the best on the website, and I'll be creating a new
ebook full of stores that make a great first impression.

Send your submission by email to:

mmcintosh@inspire.bc.ca

Call of the Mall : The Author of Why We Buy on the Geography of Shopping

2004-05-07T00:40:00.000-07:00

Retail News:
A new book by retail anthropologist Paco Underhill. I loved his last book, and I'm sure this one will be just as good if not better.

Quote of the Day

2004-05-06T23:12:00.000-07:00

"Risk more than others think is safe.
Care more than others think is wise.
Dream more than others think is practical.
Expect more than others think is possible."
ó Claude T. Bissell

*What could this mean for your business?
*What could you do in your store that your customers would find remarkable?

Small Biz Owners Cope With Rising Prices

2004-05-06T23:03:00.000-07:00

By JOYCE M. ROSENBERG
AP Business Writer

NEW YORK (AP)--With inflation rising, especially when it comes to gasoline prices, and interest rates also on the way up, many small business owners are becoming more creative about cutting costs.

Complete this retail survey: Be entered to win a $50 gift certificate!

2004-05-06T21:16:00.000-07:00

Retail News:
Just for participating you'll...

* Receive a free copy of the retail survey summary.
* Be entered to WIN a $50 gift certificate to Amazon.com!

Click here to take survey

Canadians to Spend an Average of $60 on Gift for Mom

2004-05-06T21:09:00.000-07:00

Retail News:
Florists, candy stores and jewellery stores to benefit the most

TORONTO, May 6 /CNW/ - With only a few days remaining to find the perfect
Mother's Day gift, a new survey conducted for Moneris Solutions Corporation
("Moneris"), Canada's largest processor of credit and debit card payments,
reveals that Canadians are expecting to spend an average of $60 on a gift for
Mom for this Mother's Day - slightly more than the $55 they plan to spend on
Dad for Father's Day.
"Merchants should be prepared for a busy weekend, as Mother's Day
generates a significant amount of retail spending," said Jim Baumgartner,
President and CEO, Moneris. "By examining our transaction data, Moneris is
able to indicate the types of merchants that are most likely to benefit from
consumer spending this week, and not surprisingly, merchants that sell
flowers, candy and jewellery lead the way."
The survey, conducted by Leger Marketing in late April, offers some
interesting insights on consumer shopping plans for Mother's Day and Father's
Day. Highlights of the survey include the following:

- Approximately four in ten Canadians (36 per cent) plan to purchase
both a Mother's Day and Father's Day gift this year;

- When it came to buying just one gift - either for Mother's Day or for
Father's Day - more Canadians indicated that they would purchase a
gift only for their mother (18 per cent), instead of buying a gift
only for their father (two per cent).

A review of the reasons offered by respondents for this difference
found that:

- One in ten people buying gifts only for their mothers say it
is because their mothers appreciate receiving gifts more than
their fathers;

- Another ten percent feel that Mother's Day is more important
than Father's Day; and

- Approximately five per cent responded that they did not know
what to buy for their fathers.

- Just over a quarter (26 per cent) of those surveyed do not plan to
purchase a gift for either Mother's Day or Father's Day. Those in
British Columbia (33 per cent) and QuÈbec (32 per cent) were more
likely than Canadians in other provinces to say they would not
purchase gifts for either their mothers or fathers; and

- Men are slightly more likely than women to spend over $100 on
Mother's Day gifts (15 per cent versus nine per cent) and Father's
Day gifts (13 per cent versus five per cent).

As Canada's leading payment processor, Moneris is in a unique position to
analyze the increase in debit and credit card spending at Canadian merchants
leading up to major holidays and events, such as Mother's Day.
The data below presents an interesting snapshot of the purchasing
activity from May 5 to 11, 2003 and may be a good indicator of what merchants
can expect leading up to Sunday, May 9, 2004. The following merchant
categories experienced the biggest increase in card spending last year
(compared to the week immediately preceding last year's Mother's Day):

- Florists up 119 per cent;
- Candy, nut and confectionary stores up 54 per cent;
- Jewellery stores up 34 per cent;
- Lawn and garden supplies stores up 23 per cent;
- Book stores up 21 per cent;
- Movie theatres up 15 per cent;
- Department stores up 10 per cent;
- Restaurants up nine per cent; and
- Gift, card and novelty stores up eight per cent.

"Mother's Day has always been an important holiday for merchants because
they benefit from consumers loading up on two types of items - gifts for mom
and spring-related merchandise," continued Baumgartner.

Source: Press Release - Canada Newswire

Successful Retail Strategies

2004-05-02T00:08:00.000-07:00

Retail News:Some basic tips that retailers could implement with little effort. Good archived article at Inc.com.

Are you involving your customers in your business?

2004-05-01T22:47:00.000-07:00

Retail News:
Here's a great example of a business that does it right. The customers are emotionally involved. The business knows it is important to be personal and unique.

What are you doing to stand out?

You can't win the lowest price game!

2004-04-30T23:59:00.000-07:00

Retail News:
I heard a discussion recently where some retailers were discussing pricing products in relation to how to make a living running a shop. It came up that some could only run the shop because they were not completely dependant on the income for personal survival.

They mentioned competition that was not taking any money out of the business as salary, and were lowering their prices to get lots of traffic. So, how could anyone else compete in that type of market?

Well, first of all, the competition won't be around too long with that strategy. One of these days they'll have to realize they are supposed to make money. Retail is just too much work to do it just for the fun of it!

Second, stay in business to outlast the crazy competition.

Simple solution: don't compete on price! You don't have to offer all the frills AND have the lowest price.

Of course, some of your customers will say, "I saw this cheaper at a store across town." If your store is the same as the one across town, that is a bit of a problem.

You have to be different! Simple to say, but a challenge to do it.

So here's the question for you to think about.

How can you be so different from the competition that your best customers (and more like them) will prefer to pay a little more to shop at your store?

HINT: It has to be something valuable to your customers. Why don't you ask them?

Any American Country or Gift stores out there?

2004-04-28T14:00:00.000-07:00

Retail News:
I received an email about a product line that sounded interesting for gift stores that sell collectibles. It is called Great American Collectibles. What sets them apart is that according to their new owner, Dan Sherman, they are, "essentially the last mass quantity resin collectible manufacturing company that still makes and hand
paints everything in the USA."

They also have an affiliate program for retailers, available only through this link.
http://www.gr8american.com/ebiz

Contact info:

Dan Sherman
Great American Collectibles
http://www.gr8american.com
503-678-6565

Tell them Melanie sent you!

Are you selling to Generation X'ers?

2004-04-15T19:29:00.000-07:00

Retail News:
Better keep an eye on the trends. Gen X'ers are not the same kind of parents the Baby Boomers were. If you sell to young families, check out this article.

2002-09-12T15:38:00.000-07:00

Retail News: Remember, Customer Service Counts

Some customers feel Home Depot could improve their customer service.

2002-09-12T15:27:00.000-07:00

Retail News: Kmart launches new magazine
Reaching out to Spanish speaking customers with La Vida.

2002-09-09T08:11:00.000-07:00

Retail News:Disappointing Back-to-School Season
September looks like a tough month in retail.

2002-07-24T12:00:00.000-07:00

Retail News:
Blockbuster Boom
DVD and video game sales and rentals have helped Blockbuster increase their profits.