20 September 2009
The Small Retailer's Marketing Plan... a real tightrope
Sep/26/2009 05:53 Filed in: Marketing
for the Small Retailer
Marketing
for the Small Retailer – A Real Tightrope Act
For most small retailers, planning their marketing and allocating their marketing dollars is a real balancing act. One small slip and you come tumbling off that tightrope and for most there is no safety net below.
A marketing mistake can not only have serious short-term effects on your sales, but also affect your store reputation and brand. For the small retailer reputation and brand is key.
When developing your marketing plan, you need to have one goal in mind. That goal is to develop and maintain a relationship with your customer base. In the past a small retailer could be successful by serving a niche within a given market area. That’s not true in today’s “connected” world. Your customer can go on-line and shop that niche statewide, region wide, nationwide or worldwide. That means that to be successful you must offer more than just product.
The days of your marketing plan consisting of your yellow page ad and a few ads periodically scheduled in the local newspaper are gone. Mass marketing still works for some companies, but not the small retailer. Today that plan needs to be a balance between, direct mail, email, your website, blogs, social media and event marketing. The good news is that many of those tools are relatively inexpensive money wise to use. The bad news is that those same tools are usually quite time demanding until you move to the downhill side of the learning curve.
The key to the success of these marketing tools is that they communicate directly with your customer. Not all tools will reach all customers. It is your challenge to find which of these tools work best with your customer base and then concentrate on polishing your skills with those tools. The time invested will provide great dividends.
Solutions For Retailers is focused on helping small retailers. The majority of our clients are retailers that have decided for one reason or another that now is the time to conduct a store closing sale or going out of business sale. Most of these clients had failed to change their marketing strategy to focus on building strong and current relationships with their customers.
Don’t make the same mistake!
For most small retailers, planning their marketing and allocating their marketing dollars is a real balancing act. One small slip and you come tumbling off that tightrope and for most there is no safety net below.
A marketing mistake can not only have serious short-term effects on your sales, but also affect your store reputation and brand. For the small retailer reputation and brand is key.
When developing your marketing plan, you need to have one goal in mind. That goal is to develop and maintain a relationship with your customer base. In the past a small retailer could be successful by serving a niche within a given market area. That’s not true in today’s “connected” world. Your customer can go on-line and shop that niche statewide, region wide, nationwide or worldwide. That means that to be successful you must offer more than just product.
The days of your marketing plan consisting of your yellow page ad and a few ads periodically scheduled in the local newspaper are gone. Mass marketing still works for some companies, but not the small retailer. Today that plan needs to be a balance between, direct mail, email, your website, blogs, social media and event marketing. The good news is that many of those tools are relatively inexpensive money wise to use. The bad news is that those same tools are usually quite time demanding until you move to the downhill side of the learning curve.
The key to the success of these marketing tools is that they communicate directly with your customer. Not all tools will reach all customers. It is your challenge to find which of these tools work best with your customer base and then concentrate on polishing your skills with those tools. The time invested will provide great dividends.
Solutions For Retailers is focused on helping small retailers. The majority of our clients are retailers that have decided for one reason or another that now is the time to conduct a store closing sale or going out of business sale. Most of these clients had failed to change their marketing strategy to focus on building strong and current relationships with their customers.
Don’t make the same mistake!
Email Marketing - The Small Retailer's Friend
Sep/25/2009 07:22 Filed in: Marketing
for the Small Retailer
Email
Marketing - The Small Retailer's Friend
With all of the hype on social media there’s a danger that the small retailer might take his eye off a marketing tool that really works. Email marketing continues to be an effective, low-cost way for the small retailer to reach out to, inform and retain their current customers. We all know that it’s a lot easier to get a previous customer back in the door than it is to find and motivate a new one.
Your customer likes receiving targeted messages about products and services they care about. That is why Email marketing works. Don’t mess-up your relationship with that customer by bombarding them with un-targeted messages.
Email marketing is all about customer retention and growing your business. It’s about building stronger relationships with customers who already know you. Your customer wants to hear about new products, hot deals and what’s going on at your store. When your messages land in their inbox it helps keep your stores name in their top of mind. No, they are not going to respond or even open every Email you send, but when they have a need guess who they’re going to think of first.
Here at Solutions For Retailers, when we run a store closing or going out of business sale, an Email campaign is always part of our marketing plan. That plan is a balance of direct mail, Email, traditional media and social media. Email remains the most cost effective marketing tool we use. Though running a store closing sale is different than trying to grow your business, Emails to existing customers always result in increased traffic at a low cost.
With all of the hype on social media there’s a danger that the small retailer might take his eye off a marketing tool that really works. Email marketing continues to be an effective, low-cost way for the small retailer to reach out to, inform and retain their current customers. We all know that it’s a lot easier to get a previous customer back in the door than it is to find and motivate a new one.
Your customer likes receiving targeted messages about products and services they care about. That is why Email marketing works. Don’t mess-up your relationship with that customer by bombarding them with un-targeted messages.
Email marketing is all about customer retention and growing your business. It’s about building stronger relationships with customers who already know you. Your customer wants to hear about new products, hot deals and what’s going on at your store. When your messages land in their inbox it helps keep your stores name in their top of mind. No, they are not going to respond or even open every Email you send, but when they have a need guess who they’re going to think of first.
Here at Solutions For Retailers, when we run a store closing or going out of business sale, an Email campaign is always part of our marketing plan. That plan is a balance of direct mail, Email, traditional media and social media. Email remains the most cost effective marketing tool we use. Though running a store closing sale is different than trying to grow your business, Emails to existing customers always result in increased traffic at a low cost.
A Bad Recipe For A Hot Dog Stand
There
was a litttle old man who ran a hot dog stand in the
financial district in Chicago. He did really well
selling his hot dogs. One day, a customer that worked
in the district mentioned, while adding mustard to
his hot dog, that he felt there was an economic
downturn looming. The hot dog stand owner decided
he’d better prepare for the worst so he immediately
fired his helper, switched to lower quality hot dog
and stopped advertising. Sure enough, business
dropped off and he finally had to close down. “It’s a
good thing I was prepared,” said the hot dog stand
owner, as he signed his bankruptcy documents.
The fact is, that when times become tough, the first thing many business owners do is stop marketing, buy cheaper products and lay off staff. This most likely means there will be fewer customers coming in and fewer people to serve the ones that do show up—a good recipe for disaster
The fact is, that when times become tough, the first thing many business owners do is stop marketing, buy cheaper products and lay off staff. This most likely means there will be fewer customers coming in and fewer people to serve the ones that do show up—a good recipe for disaster
Does Your Store Closing Sale Smell Like Dead Fish?
Sep/23/2009 06:16 Filed in: Store Closing
Sale
In
Seth Godin’s blog (http://sethgodin.typepad.com/) on
July 22nd he posted “Death Spiral”. In it he tells
the following “Fish Monger” story…
“You've probably seen it. The fish monger sees a decline in business, so they have less money to spend on upkeep and inventory, so they keep the fish a bit longer and don't clean up as often, so of course, business declines and then they have even less money... Eventually, you have an empty, smelly fish store that's out of business.”
The story is oh so true, even for the small retailer that has decided that now is the right time to have a store closing sale or going out of business sale.
Your retail business should be operated up until the week of the start of your store closing sale as if it was going to be in business forever. Your inventory quality and quantity should be maintained. The idea that you should sell down your inventory prior to running a going out of business sale is a bad idea. Your inventory should not become depleted. You should maintain a good stock of your fast moving items. If anything you want to be a little overstocked in these products. If inventory is trimmed in any area it should be the out-of-season, slow moving items.
When you begin your store closing sale your store should look full and fresh (limit the stinky fish and get it sold early). This will result in increased traffic, smaller discounts and more money in your pocket at the end of the sale.
“You've probably seen it. The fish monger sees a decline in business, so they have less money to spend on upkeep and inventory, so they keep the fish a bit longer and don't clean up as often, so of course, business declines and then they have even less money... Eventually, you have an empty, smelly fish store that's out of business.”
The story is oh so true, even for the small retailer that has decided that now is the right time to have a store closing sale or going out of business sale.
Your retail business should be operated up until the week of the start of your store closing sale as if it was going to be in business forever. Your inventory quality and quantity should be maintained. The idea that you should sell down your inventory prior to running a going out of business sale is a bad idea. Your inventory should not become depleted. You should maintain a good stock of your fast moving items. If anything you want to be a little overstocked in these products. If inventory is trimmed in any area it should be the out-of-season, slow moving items.
When you begin your store closing sale your store should look full and fresh (limit the stinky fish and get it sold early). This will result in increased traffic, smaller discounts and more money in your pocket at the end of the sale.
The 4th Quarter - The Best Time To Close Your Store
Sep/22/2009 09:59 Filed in: Store Closing
Sale
The
last three months of the year is the best time to
conduct your store closing sale if your goal is to
maximize your return on investment. This is
especially true this year with the current recession.
The last three months of the year provide the highest
volume and profitability for the vast majority of
retailers. This makes the last quarter the best time
to conduct your Store Closing Sale. Here's why:
• The holiday season is the best time of the year for most retailers. A Store Closing Sale is the fastest and safest way to sell a store for the highest possible cash price.
• A Closing Sale during the last quarter allows your inventory to be sold out at the highest possible profit margins, in the shortest period of time, with the lowest advertising and other expenses, thus maximizing your return.
• All sales are cash, and your cash flow becomes positive almost immediately.
• Consumers always spend more for the holidays and are more likely to shop a well-planned and advertised Store Closing Sale. Price conscious consumers are more attracted to these sales than ever before.
• The holiday season is the best time of the year for most retailers. A Store Closing Sale is the fastest and safest way to sell a store for the highest possible cash price.
• A Closing Sale during the last quarter allows your inventory to be sold out at the highest possible profit margins, in the shortest period of time, with the lowest advertising and other expenses, thus maximizing your return.
• All sales are cash, and your cash flow becomes positive almost immediately.
• Consumers always spend more for the holidays and are more likely to shop a well-planned and advertised Store Closing Sale. Price conscious consumers are more attracted to these sales than ever before.