Retail Contrarian

Verrill Farm - More Than a Farm Stand

This is a guest post from DEG Vice-President Carin Casey.

We’re very lucky to live in an area where there are still farms that grow fruits and vegetables to sell locally.  There are several good farm stands within just a couple of miles of my house.  So why, for the last twelve years or so, have I driven past all of them to shop at Verrill Farm in Concord, Massachusetts?  And why am I one of the many people in and around Concord who are so saddened by the news that the VerrillFarm store was destroyed by an electrical fire last Saturday?  Nobody was hurt, they’ve got insurance, it’s only a farm stand, kitchen and bakery, for Pete’s sake.

But Verrill Farm isn’t just a farm stand.  It’s a place where knowledgeable people will gladly tell their customers about the differences between more varieties of tomatoes than you probably knew existed.  They’ll offer recipe suggestions, too.  So will the other customers as you strike up conversations over three types of corn or four sorts of eggplant.  It’s where small children get excited about trying new foods.  What finicky four-year-old can resist a tomato called “Mr. Stripy?”  Or a red carrot or a blue potato?  Cooking classes for children as well as adults, festivals, hayrides, a kitchen that makes delicious prepared foods and some of the best pie you’ll ever have, Verrrill Farm is much more than just a place to pick up some green beans for dinner.

They’ll get excited about a neat bug, too.  Last year a friend and I were shopping at Verrill with our kids.  The kids wandered into the greenhouse where their attention was completely (and somewhat loudly) captured by a spider and its beautiful and intricate web.  The employee who was watering plants in the greenhouse stopped what she was doing and engaged the girls in conversation about spiders and webs.  Then she climbed up, carefully gathered up the spider and held it so the kids could get a close-up look before she brought it outside and let it go.   Personally, I’m not sorry I missed the up close and personal spider meeting but it was a memorable moment for the kids.  A memorable experience that had nothing to do with making a big sale.

The fire was Saturday.  On Monday what was left of the building was being torn down, a sad sight.  But New England farmers don’t give up easily.  As ruins were being cleared a temporary stand was being set up nearby.  Corn and tomatoes are still being harvested.  The Verrill family says they will rebuild.  A building may have been lost but the building was not what made Verrill Farm special.  What’s really important – people who don’t just grow amazing food or bake delicious pies but share with customers their pride and passion in the work that they do – remains.  So thanks, Verrill family, for your commitment to reopening and rebuilding.   Your customers, this family included, will be there.

Articulating Value and Benefits

Two weeks ago we went bike shopping for my oldest daughter. At every specialty bike store I asked what I thought was a simple question.  I asked, "What's the reason to pay over twice the price of a bicycle from a big box retailer?"

It seems a simple enough question. As a consumer, I'm looking for the retailer to tell me the value I'll receive if I invest more money in their product.  And that's what it is, an investment. All the retailer has to do is articulate the value of his (yes, everyone we spoke to was a "he") product as a benefit to me as compared to the cheaper big box product. By the way, it seems like they need more women in that industry.

I was kind of disappointed when I was told, "That stuff is crap." "You don't want that junk." "Save yourself the headache." "We charge twice as much to work on those things." That last one was almost there.

But nobody ever answered the question.  Not a single retailer told me the benefit to investing in their product. They told me their opinions but their opinions didn't tell me anything.  Why is it crap?  Why is it junk?  Why do you charge twice as much to work on them?  What kind of headache am I going to get besides figuring out on my own why your bikes are twice the price?

I’m more than happy to invest in a quality product if the salesperson articulates the value and benefits. Here are some of the things they could have told me that would have done just that.

• “It's safer. The better quality brakes won't fail when your child needs them most.”

• “You won't get a headache from having to constantly fix poorly made parts.”

• “Of course you can bring it in to us, but we'll have to charge twice the price because we're unable to salvage the cheaply made parts.”

• “The bike will last you much longer and your younger daughter will be able to enjoy it when her sister outgrows it.”

• “While this bike costs more now, it's a safer bike and will cost you less to own.” Of course I would add, "And can you really put a cost on your daughter's safety?"

So let me ask, in a situation like this would you and your team offer their opinion or state the value and benefit to the customer?

Preaching About Retail Storytelling

My grandfather, Johnny Fleener, was a remarkable preacher.  Grandpa Fleener was known all around our Midwestern area as an energetic fire and brimstone preacher. I assure you that nobody fell asleep in the pew when Johnny was in the pulpit. I vividly remember him pounding on that pulpit and scaring the life out of me, and that was 40 years ago.

Like most preachers, Johnny was also a great storyteller.  He spoke in such vivid detail about Moses and the parting of the Red Sea that I was sure he must have been there.  I'd be thinking to myself, "How old is this man?"  And not only that, how was it that he seemed to have been present at every major event in the Bible?

Of course I knew that my grandfather had not actually been present for any of those biblical events but he sure had a way of transporting us there. A master storyteller, Johnny had a way of getting our attention, especially the children who seemed to hang on every word he said.

Johnny Fleener would have made one heck of a retail salesperson.  No, he wouldn't have told those tall tales about only one item being left in stock when there is a stack of them in the backroom (he was a preacher, after all) but I'm sure he would tell his customers stories to allow them make a purchase with confidence.

One his methods would have been to tell a potential buyer about a customer who is happy with her purchase.  But he wouldn't just say, "I have a customer who loves this widget."  He would relate in detail how the customer, using her first name of course, had recently come into the store with a big smile on her face wearing/using the widget. Johnny would probably go into great detail about how excited the customer was with the widget and how she had been recommending it to her family and friends.  He would probably even add that the customer was so thrilled with her widget she's probably recommending it to complete strangers. And I'm positive he would be creating another story as he walked the buyer to the register and asked her to come back and tell him how much she loves her widget, too.

Knowing my grandfather, I'm know he would have used storytelling in other ways.  He would probably create a new story with the buyer as the key character.  I'm positive he would help him picture where and how he would use his widget. This way, the buyer could try out the widget without even leaving the store.  I worked with a guy at Bose who was a master at this.  Not surprisingly, he sold circles around his colleagues.

I'm sure there are people who doubt the effectiveness of storytelling in retail.  I challenge them to try this exercise. Which is more effective in persuading you to try storytelling in retail, someone telling you, "Painting a visual picture of a happy customer is a great way to sell products," or me sharing of the story of my grandfather and how he would have used stories to sell more products?

Seems like a no-brainer to me. Then again, Johnny was my grandfather - so I know the impact of a good storyteller

A Customer Experience List for the Store Staff

Here are twenty signs you're focused on delivering a great retail experience.

1. Rather than greet customers who walk into the story you actually meet them at the front. That's what friends are for right?

2. You personally see it as a challenge when a customer says, "I'm just looking."

3. You're bummed when the customer's "just looking" really means leave me alone. You know most people say it as a natural reaction to other store's bad service.

4. People comment how you're always in a good mood. You and I know better, but we'll keep that our little secret.

5. Customers ask for you by name. Even better, you know theirs when they do.

6. Customers will wait for you to come in to buy something even if you're not on individual commission. While you've told them they don't have to wait for you, you've also told them how much you appreciate the gesture. By the way, never dismiss the customer for doing so.

7. Even on the busiest days you pretty much know which customer has been helped and by which employee.

8. When the store is really busy you always work with multiple customers at once. More often than not the customers who didn't know each other end up buying together like friends do.

9. You always assume the customer will be making a purchase, and you're actually taken back a bit when they don't. Of course you would never show that to the customer. 

10. Since you get to know your customers so well when they say they'll be back to purchase something you know if that's really the case or not.

11. You're surprised when a customer returns a product you sold since you take such pride in matching customers up with the right product.

12. You know that an apology without some type of action is unlikely to make things better for the customer.

13. You enjoy the challenge of an upset customer. Sure most people on the team would rather chew glass than deal with that customer walking in that looks loaded for bear, but for some strange reason you actually enjoy it.

14. You work with a customer the same way if the president of the company is watching or you're alone on the floor.

15. Some people might think you're really competitive, but really you just love to win every single sales contest. Oh wait, you are competitive.

16. You're happy to jump in and help your colleague make a sale, but you'd never considering interrupting them unless it was an emergency.

17. You welcome feedback from your manager and colleague since you're always out to improve.

18. You're always checking to see how your sales, ADS, and UPTs are compared to your colleagues.

19. Nothing makes you happier than to see your customer happy.

20. Even if you don't do all of these things every single time, you keep striving to do so.

21. You go above and beyond for your customer whenever you can.

As a retailer I appreciate what you do. As a consumer, I love what you do. Thank you.

                   - Doug & Matt

A Liberal Return Policy That's Worked for Over 60 Years

Over the summer one of my favorite shopping experiences was at The Vermont Country Store in Weston, Vermont. The Vermont Country Store describes themselves as purveyors of the practical and hard-to-find.  I found it to be a fun, hands-on and engaging store with something different at every turn.  If you've ever read their catalogue you know what I mean.  Where else would you find customers with maple butter, a rubber Mr. Bill doll, beautiful placemats, a corn slitter, penny candy and an old-fashioned flannel nightshirt all in one shopping basket?

But what stood out even more was The Vermont Country Store's 100% customer satisfaction guarantee. If for any reason a customer is dissatisfied, they will exchange the product or refund the money with no hassles or fuss.  It doesn't matter how long ago the product was purchased or even the condition of the product itself.  If the customer is unhappy, they'll fix it.  As they say on their website, this is the way they've been doing business since 1946!

When I talk to retailers about leveraging a more liberal return and exchange policy they often tell me they can't afford to do so.  I suspect that if a liberal return policy wasn't profitable The Vermont Country Store wouldn't have done it for the last 62 years.

As specialty retailers, we are in the business of customers.  To be successful we need to ensure that our policies, procedures, and most of all our people meet and exceed our customer's expectations.  When we do that we are rewarded with a lifetime of business.

When we fall short of those expectations we may still get a transaction or two from that shopper, but they're not our customers. The difference between the two makes a huge difference to the bottom line.

So let me ask, are your policies, procedures, and people customer focused?  If not, what changes do you need to make in order to make them so?

And thanks to the Vermont Country Store for a great experience and proving that a liberal return policy is smart business.

The Dirt on Selling in Retail

Yesterday I was doing some work around the house when I heard a commotion coming from the front yard. When I walked out to investigate I saw that my daughters, along with a neighborhood friend, had set-up what appeared to be a lemonade stand.

As I watched from a distance I was impressed by how well they were able to persuade people driving or walking by to stop and make a purchase.  At one point I saw several customers clustered around their stand.  It wasn't a particularly hot day so I wondered what could be the secret to their success.

When I approached I didn't see the usual pitcher and cups so I figured they must have sold everything. Here's how our conversation unspoiled.

Me: "Hey guys, how are the lemonade sales?"

Kate: "What lemonade?"

Me:    "I saw you making sales from the stand so I figured you were selling lemonade."

Jane:    "Nope. We're not selling lemonade. We're selling potting soil."

Me:    "Dirt? You're selling dirt?"

Theo:    "Actually, we took dirt and sifted it until the rocks and twigs were all gone.  Now it's potting soil. We have two different sizes."

Me:    "How much dirt can you actually sell?"

Kate:    "Six dollars so far. It's more than we ever made selling lemonade."

Me:    "They're selling dirt.  Holy cow, they're selling dirt" mumbled under my breath as I walked away.

Here's the dirt (pun intended) on what the kids did that made them successful and what we can all do to sell more products:

1. They approached and engaged every possible customer. Not a single person drove, walked, or biked by without being approached by the kids. Actually, they yelled pretty loudly as people went by but when you're selling dirt you have to work extra hard. You can be sure they never asked passersby if they needed help or if they had any questions.  Like any sales, retail selling is a numbers game. The more people you approach and engage, the more sales you make.

2. They sold with passion and enthusiasm. Let's be real. When you're standing at the end of your driveway selling dirt you won't make many sales if you're not passionate and enthusiastic about your product.  Obviously, a lot of their customers bought the dirt to be nice, but these kids did beat their lemonade number. I've said it before; passion and enthusiasm create more sales than any other skill or competency.

3. They followed the Butcher Rule. Long time readers know that the Butcher Rule is to always offer your best product first. So while the kids only had one type of "potting soil," they always tried to sell the gallon size bag before offering the quart size. This of course made perfect sense since their cost of sale was zero. (They were my bags.) They know what successful salespeople do; it's easier and far more successful to sell down than to sell up.

4. They differentiated their product offer from their competitors. I'm pretty sure they were the only kids in our town who spent time on Sunday selling dirt.  They could be the only kids in the United States who spent time on Sunday selling dirt. I'm sure there were a lot more lemonade stands yesterday than dirt sellers. I actually think that people bought the dirt because it was so different. Who can turn down kids selling dirt?

Retail is more complicated than just child's play but yesterday I was reminded again that strong execution of the basics creates sales.  Even if you're only selling dirt.

Don't Assume You Know What the Customer Wants

Last week I got a one-word inquiry from my website.  It read, "Help!"  That's it.  Just "help" and the person's name, email, and phone number in the rest of the form.  I figured I should call this person right away since she was in such dire need.  I assumed that business must be really bad, so bad that she might be in imminent danger of going under. So I put on my red consultant's cape and gave her call.

When I got the woman on the phone I learned that she was fine.  As a matter of fact she's quite profitable.  When I asked her about the "Help" message she laughed and said that when she was sending me the form she felt overwhelmed and distilled all of her thoughts and emotions down to a single word.  All of my pre-call assumptions were incorrect.  During the call I learned that she wanted help on being a stronger manager and leader. 

After we spoke I got thinking about how often I assume what people need or what they're thinking before even talking with them. It's just not usually as obvious as this example. I must think I'm Carnac the Magnificent or something. (Those under 35 or so might have to Google that one.)

How about you?  How often do you assume you know what your customer needs or what they're thinking?  I bet it's more often than you think.  I encourage you to listen intently to your customers and employees today to find out what their "Help" really means.