Retail Contrarian

"I didn't know your store was here."

It doesn’t matter if you’ve been in business 22 days, 22 weeks or 22 years, inevitably you’re going to have a customer walk in and announce that they didn’t know your store existed. If you’re like many retailers, you’ll immediately decide that your marketing strategy is obviously not working, the store location stinks, etc., etc., etc. But you don’t have to do that; whenever a customer says he didn’t know your store existed don’t get frustrated, view it as an opportunity. When a customer says he didn’t know your store existed he might be saying:

1. I didn’t know your store was here because I wasn’t in the market for what you sell until now. Obviously, we LOVE these customers. Think about it - would you really pay attention to, say, pet stores in your community if you didn’t have a pet? Probably not. But once you start thinking about getting a pet you might begin notice the pet stores in your area. A customer who is new to your store and market segment may offer you huge opportunities.

2. I didn’t know your store was here because I’m new in to this area. We LOVE these customers, too, because to sustain and grow our sales we need new customers. This customer is saying, “I have an interest in what you sell and here is your opportunity to capture me as a customer.”

3. I didn’t know your store was here because I just hadn’t noticed it before. I have lived in the same house for nine years. For eight and a half years I never noticed that there was a large open space behind my neighbor’s yard and the neighbor behind them. I mean so big that that neighborhood kids explore and play back there. When I learned about it at a neighborhood gathering a few people looked at me like “Dude, do you need to get your glasses checked?” No, I just never noticed. The same thing happens all the time with customers. They might go by our store every day for five years and never notice it. And then one day, they see it. Unless you hear it over and over and over this is usually a customer issue, not a marketing or real estate issue.

4. I didn’t know your store was here because I don’t read the newspapers or magazines you advertise in. The reality is that it is impossible to reach every potential customer in the marketplace with our advertising strategies. You may never reach this customer even if you quadruple your advertising expenditures.

So how do you know what a customer is really saying when she tells you that she didn’t know your store existed? It’s all in how you engage her after she makes the comment.

“Well it’s so nice to have you here. Are you new to the area?"

“We’re so glad you found us. Where have you shopped for (products you sell) before now?”

“We didn’t know you existed, either, so I’m glad we found each other. Have you ever seen any of our advertisements?" (Obviously, he’s going to say no. You’re asking this question so you can find out more about him and perhaps gain information that will enable you to refine your advertising approach.)

So from this day forward, “I didn’t know your store was here” might just be the happiest comment you hear.

Twenty Ways to Increase Sales by Delivering a Better Store Experience

Here are 20 ways to increase your store sales by delivering a better store experience. Remember, the experience is in the details!

1. Have a designated out-of-the-way place for UPS, Fed-Ex and other carriers to stack your shipments. Don’t let them pile boxes where it’s convenient for them or for you, stack them where they are out of your customer’s way and preferably out of their sight.

2. Often one of the last things a customer does before leaving your store is to sign a credit card slip. Be sure the pen the customer use is a good representation of your store. It is amazing how cheesy some pens are. A few weeks ago a clerk nonchalantly handed me a pen from behind his ear. Not only that, but the pen had been chewed on. Yuck!

3. Don’t load up your cashwrap with a lot of impulse items or brochures. It takes space away from the customer and is overwhelming.

4. If you must take a phone call while with a customer, offer to call the customer on the phone back. I’ve never understood why retailers do not recognize the customer in front of them as the highest priority.

5. Offer to take products from your customer to hold behind the counter while they continue to shop.

6. If at all possible, don’t eat on the sales floor. If you are alone in a store and must eat in the store avoid heating foods up that leave an aroma.

7. Keep the back door closed. Nobody wants to see your backroom and it really distracts from the rest of your store.

8. Actively listen to your customer. Never ask a question if you’re not interested in the answer.

9. Keep concise written directions to the store at the counter for when customers call on the phone. If you’re in a mall you might even tell every customer who calls where in the mall you are and what mall entrance is closest.

10. Never miss a chance to tell first time visitors what’s unique about your store. The only way to know if they are first time visitors is to ask.

11. Play music with a high quality sound system. Never play the radio. Play music that is appropriate for your customers, which may or may not be what you or the staff want to listen to.

12. Whenever a customer asks “How’s business?” always reply with a positive response. Nobody wants to do business with a retailer who is “slow,” “could be better,” or “not bad.”

13. Have something to give to every customer’s child. It could be a cookie, balloon, lollipop, a page to color, etc. Always first ask the parent – and not within earshot of the child - if it is okay.

14. If you sell items large enough for customers to need to bring their cars around, give them a preprinted card with directions to the pick-up area and the phone number of the store so they can call you when they’re ready. This way they can take their time going to the car or not have to come back inside to let you know they’re ready. The benefit to you is that you don’t get stuck outside waiting for them to appear.

15. Insist on keeping dressing rooms and other areas where customer try on products impeccably clean.

16. Don’t interrupt angry customers. Let them vent, and then find a solution. Remember, always tell the customer what you can do, not what you can’t do.

17. Ask for and then use the customer’s name, especially when you are ringing up their sale.

18. Always offer to call the customer when a product comes in. Never tell them to call back to check to see if something came in.

19. Don’t let sales reps visiting your store take precedence over your customers. Ask them to visit your store during off-peak times or even before the store opens. You may say “Please feel free to ask any questions as you look around,” but the fact is that most customers won’t interrupt you and the rep.

20. Smile!

21. Always go above and beyond for every customer.

Labels: Increase retail sales, store experience

Vacation Observations to Boost Your Sales and Profits

I just spent a week on a vacation in Florida that included three days at Walt Disney World. Naturally, I have a few observations that may help your store's performance:

* No detail is too small. I know that’s the one thing everyone writes about Disney, but the fact is that Disney absolutely nails the details. They get it right not just in the parks or with the characters but in every single store we visited including The Marketplace. Not once did I see boxes of inventory sitting on the floor waiting to be put out or a single thing out of place on the counter. As I talked with some Disney employees it became clear to me that it isn’t the attention to detail that is their focus, it’s the commitment to perfection that drives the attention to detail. Disney has incredibly high standards and the only way to achieve them is to focus on the details. Dick Nunis, who was Chairman of Disney Attractions, once said “There are two words that make things work around here. . . . quality and pride.” It’s clear both words are still key at Disney. Let me ask, how high are your store’s or organization’s standards? Better yet, what does your customer think they are?

* Customers are given the room necessary to have a pleasant shopping experience. Except when a store was packed with too many people, every store at Walt Disney World had plenty of space between fixtures and in aisles. Never once did I feel overwhelmed in a store. I know this is difficult for smaller stores and independent retailers with small stockrooms but the fact is that crowded stores cost you sales. Let me ask, can your customers navigate comfortably through your store?

* Make it easy for your customers to buy more. I hadn’t been to Walt Disney World in over 10 years and was impressed with some of the ways they now have to make it easier to spend even more money. Since we stayed at the Wilderness Lodge on Disney property, all of our purchases at any of the parks could be delivered directly to our room so we didn’t have to carry packages around all day. Our room key could be used for all retail and restaurant purchases, including even the snack carts throughout the parks. With two children eating and buying their way through The Magic Kingdom and Epcot I practically sprained my wrist reaching for that card. So let me ask, what are some ways you can make it easier for your customers to buy more? This could be a great project for someone on your staff to work on or make it a topic at your next store meeting.

* It’s all about the guest/customer. I realized while we were there that one of the reasons I enjoy Disney - besides the amazing rides and shows - is that practically every single employee is focused on making sure I have a great experience while I’m on Disney property. From the Main Street characters to the ride operators to the retail employees, they know that their primary purpose is to deliver to my family and everyone else at the park that day a safe and wonderful experience. This focus on the guest/customer is ingrained in the culture of the company; it began in 1955 when Walt opened Disneyland and declared “The visitors are our guests.” As an owner/manager/leader in your store or organization you set the tone every day. Your staff learn what’s important from what you say and what you do. So let me ask, do your actions tell your staff that it’s all about the customer?

Make it a magical day!

Labels: customer experience, disney, retail

How to Identify the Different Retail Associate Profiles Before You Hire Them

Last week I described the five different profiles of retail associates. (If you didn’t read that post do yourself a favor and skip over this one and read it before continuing on.) If you recall, I categorized retail associates as Doers, Sliders, Hiders, Blamers, and Leaders. We often don’t know which type we’ve hired until after the fact. Here are some suggestions to help you hire Leaders and Doers and to avoid getting stuck with Sliders, Hiders, and Blamers.

1. Try to meet every person who asks for an application. Don’t make the mistake of letting the staff hand out applications. I think it is important to meet each person asking to work for you so you can see them in non-interview mode. While handing them the application, ask a few questions about why they are interested in your store. Leaders and Doers will probably be able to answer without hesitation because they specifically want to work at your store; they’re not just looking for a job.

2. Pay special attention to the energy level of your applicant during the interview. I often share with my audiences that if a person can’t “turn it on” for you during the interview, they’re very unlikely to do it on the retail floor. No, I don’t think every person we hire has to bounce off the walls during an interview, but if you don’t feel any energy or passion then you’re probably talking to a Hider. Some people don’t interview well so it is up to you to put them at ease, but if they don’t wow you in some way during the interview - keep looking. If they don’t smile at you during a job interview they’re not going to smile at many customers.

3. Ask unexpected questions. One of the mistakes hiring managers make during interviews is asking stock questions that everyone knows they’re going to be asked. Examples include, “How would you handle an unhappy customer?” or “Why do you want to work here?” These are the questions that people are ready for, have prepared answers for, and don’t really tell you much about the person. Here are a couple of my favorites unexpected questions that will help you identify the type of person you’re interviewing:

* Who do you see as our toughest competition and how do we differ from them? Listen carefully to the answer. Sliders and Hiders are in deep trouble with this question because they’ve never given it any thought. They’re prepared for the usual questions because they always give the same answer, no matter where or with whom they are interviewing. Leaders will nail the answer, as will some Doers, but Sliders will babble and Hiders won’t be able to answer it at all.

* Tell me about a time that you or a team you were on fell short of goal. What was the situation, what happened, and what did you learn from it? This is a great question to identify a Blamer as they’re not likely to take personal responsibility. Leaders and Doers might point out how others failed as well but will never blame others for their own failure. The person being interviewed is totally unprepared for a question like this. Give them time to think about it. They might be embarrassed they can’t think of anything. If this happens more than once during an interview you should pass on the person as you need a more critical thinker on your team.

* Tell me about a time you had to deal with an extremely unhappy customer. What was the situation, why was the customer unhappy, and what was the outcome? If the person is new to retail, substitute an unhappy friend or family member. What you’re looking for is someone who can empathize with the customer as well as try to find a suitable solution. This question works because it’s not about theory, it’s about real life. Ask some probing questions so that you can better understand the applicant’s thought process. Sliders and Hiders will share very little detail, a Blamer might fault company policy or even the customer, and Doers and Leaders will probably answer the question to your satisfaction.

4. Last but not least, go out on the floor and roleplay. You wouldn’t buy a car without a test drive, why hire a retail associate without one? Have another employee play the role of the customer to take a little pressure off the applicant. Have the employee come into the store like a customer and have the applicant greet them and show them a specific product. While nerves can sometimes get in the applicant’s way, you’ll be able to tell whether talking to customers comes naturally or not. At the very least, you’ll scare off Sliders and Hiders and maybe even some Blamers as it will be clear that you’ll have high expectations of them.