10 Tips to Store Survival

Don’t let the economy get you down! Here are some easy (and inexpensive) things you can do to fight back! 

There are two kinds of retailer reactions in tough times: retailers who hunker down, preferring to wait and see what happens before making a move; and retailers who look for opportunity. The latter are willing to scrutinize day-to-day operations and dive into waters their complacent competitors tend to avoid. They find ways to move forward, tapping every available resource along the way, without spending lots of extra money to get to their goal. These are the retailers to model in tough economic times. Here are 10 things they have in common: 

1. Become a 1%-er.

Vow to be just one percent better each day and you will be amazed at what you will accomplish. That little 1% more will help you grow your business in all sorts of new ways. You’ll look at your store with fresh eyes, and you’ll see new opportunities where you’ve never seen them before. Your customers will notice – and so will your competition. Being a 1%-er requires focus and commitment. 

2. Keep Your Eye On the Big Picture.

Always keep one eye on the BIG picture – long range goals for your store. You need short term goals as well, but understand that to keep the future bright, they have to plan ahead. Part of this planning involves keeping track of retail trends, keeping notes of things you’d like to do, floor moves you’d like to make, and lines you’d like to sell. When a vendor visits your store, spend quality time with them, taking full advantage of their knowledge. 

If you don’t have time to set goals or work on the big picture, ask your team for help. When you turn over some of the day-to-day tasks to your associates, you’ll find extra time in your day. Don’t be afraid to delegate. 

Remember this African proverb: “How do you eat an elephant? One bite at a time.”  The same goes for the goals you set. You can easily accomplish your goals by breaking them down into smaller, more manageable, easy-to-do steps. Plan your work and then work your plan. 

3. The Customer’s Definition is the Only One that Counts.

Every retailer has an opinion of their customer service and it’s usually better than their customers.’ But when it comes to service, the customer’s definition is the only one that counts. 

Don’t assume you know what your customers are thinking. If they’re not happy they probably won’t tell you, they’ll just quietly go someplace to buy what you sell. If you don’t know how your guests define great service, then you’re going to have to ask. 

One day a month, station yourself near the front door and conduct exit interviews. Introduce yourself and ask customers if they found everything they were looking for. Ask about their in-store experience and their interaction with your store associates. Ask if there are any classes or events they’d like to attend or product they wish you carried. 

When a customer tells you something good, write it down! Use their positive quotes in ads, bag stuffers, in-store signing, social medias, and on your website. A customer testimonial is instant credibility because it’s 10 – 20 times more believable than what you have to say about yourself. 

4. Ask our BIG Question.

Ask customers, “What ONE thing could we do to ________________? You fill in the blank. You might ask, “What ONE thing could we do to improve our customer service?” or “What ONE service could we add that would make it more convenient for you to shop here?” or “What ONE product line would you like us to carry?” Because the customer has to put thought into their answer, you will hear constructive things that you will be able to implement. And don’t be surprised if several customers tell you a variation on the same theme. If it’s positive then you have one more thing to brag about, and if it’s negative, then you know just what to fix. 

5. Do one more thing.

Before the customer leaves the store, before you hang up the telephone, before you hit send on that email, do one more thing. Invite the customer to sign-up to receive your newsletter and email blasts. Invite them to follow you on social media and to join your loyalty club. Send information about upcoming events. Just do or suggest something that will keep that customer closer to your store. 

6. Adopt our “7-Tile Rule”.

A greeter makes sense on days when the store is really busy, but when it’s not, you can still make customers feel welcome. Whenever anyone in the store – sales associate, stock person, truck driver or CEO comes within seven floor tiles (that’s 7 feet) of a customer they must personally acknowledge that customer. 

You can engage the customer in conversation or look them in the eye, smile, and nod or do whatever makes sense at the time is okay as long as every single customer is acknowledged. Do you really want to make this a priority? Tell your team that if they catch you ignoring a customer, pizzas for lunch are on you every Saturday for a month. 

7. Implement the 360 Degree Pass-By.

Ideally, you should do an in-depth tour of your store at least once a month, but to keep things in balance, do our 360 Degree Pass-By each morning before you unlock the doors for business. 

Survey the parking lot; size up the store front; access the decompression zone (the first 5’ to 15’ just inside the front door of the store); work your speed bumps: the displays just beyond the decompression zone that shoppers see first; check the displays at the front right (90% of shoppers enter the store and look or turn right) – this area needs to be set to sell! 

Review your in-store signing: Does it make sense? Check out the checkouts: Is there room the counter for a customer to comfortably complete a transaction? Are there impulse items displayed at the checkouts to encourage add-on sales? 

Walk the aisles: Is there product spilling over into the aisles? Are there stack or dump displays blocking the main aisles? Can customers easily maneuver a shopping cart, wheelchair, or stroller down the aisles? 

Survey your merchandise presentation: Are your displays fresh? Do they encourage customers to stop and look, and entice them to buy? Are there open spaces on the sales floor or empty spots on the shelves that need to be restocked? Is the product “faced” (brought to the front of the shelf or hook)? Are the displays properly dressed, fluffed and signed? 

8. Cross-Merchandise to Increase Sales.

Look for opportunities to cross-merchandise product all over the store. Doesn’t it make sense to send customers home with everything they need to complete a project, rather than forcing them to make another trip to the store when they don’t want to? 

You can easily cross-merchandise in every product category using clip strips and J-hooks, and you can set beautiful displays on your speed bumps and throughout the store. Vow to never put a new item on the sales floor without first choosing items to cross-merchandise with it. 

9. Remember that Merchandise does not get better with time.

This is a big one. How old is the product merchandised on your store’s shelves? The scary thing is that too many retailers we consult with cannot tell us when product was received, nor can they quickly identify slow-sellers or those items that are dead on the shelves. The store’s problem then becomes decreased inventory turns, increasing cash flow problems, and soon the owner is eating out of inventory sales. From here, the downward spiral quickens. 

To avoid this, you need to be disciplined. Add a code to the product labels and/or bin tickets that tell you how old the merchandise is. We know your POS system tells you how old your stock is. Good! When was the last time you took those reports to the sales floor to find all the old stuff? Last year? Never? What are you waiting for? 

10. Let Your Store Associates Shine!

Each associate brings a unique talent to your store, but you have to let them use it. Get them hyper-involved in store operations. We’ve seen hundreds of associate ownership examples where store programs, operations, promotions, merchandising and more have been turned over to associates who have demonstrated the ability to perform tasks, introduce profit-producing ideas, and encourage others to collaborate with customers in ways that would make any retailer proud. 

Do you know why this works? Letting your associates shine works because they know that you believe enough in them to let them try. If they fail, talk about what could have been done differently and then they move on. The associate feels a sense of ownership continually strives to do more for the store. 

A renewed emphasis on these 10 things will help you combine a unique customer experience with great customer service, critical in a tough retail economy. They’ll do something else as well: build positive word of mouth – the number one thing that brings new customers to your store.