December 16, 2017
December 16, 2017
How can brick and mortar retailers compete against online retailers to get their fair share of holiday shopping? There is one simple advantage your physical store has, you are local.
40% of shoppers will have waited until the last 10 days before Christmas to buy their gifts. The last day for mailing Priority Mail to arrive in time for Christmas is Monday December 18.
That means last-minute holiday shoppers will likely be in your mall, strip center, or downtown area with extra cash to spend this week.
And these shoppers don’t want to have to go store to store; they want a one-stop shop that removes stress. That can be your store if you refocus your goal from getting them out as quickly as possible to getting them to buy as much as possible.
I know this is the time of year when local news pushes stories about how stores use retail psychology tricks to make customers spend more. They approach it the wrong way.
This is how you make money in a retail business.
1. Give a shopping basket. If you don’t already have shopping baskets, get them – now. Paco Underhill first reported 75% of people who take a basket actually buy something versus 34% who don’t. To grow your retail holiday sales, don’t ask, just give. Walk up to a shopper, hold out the basket handle and say, “Here you go. It’ll make your shopping easier.” While some will refuse, some will protest but still take the basket and buy more because their hands are free. Others will happily take it and say thank you. And you’ve just made their shopping experience even nicer.
2. Empty their arms. If you are a clothing store, sporting goods, or other retailer where baskets aren’t practical, your crew should still be walking up and offering to take the clothes or items from the shopper so they can be more relaxed while looking around. Yes, some will refuse, some will think about it, and some will accept.
Make this your mantra: full hands equal fewer sales.
3. Keep ‘em in the aisles. Keep your best associates out on the selling floor and away from ringing up sales or wrapping gifts. Their goal is to increase add-ons. As they finish helping someone, make sure they simply ask, “Who else is on your list?” It works wonders.
4. Spotlight A No-brainer Gift. Put one product under 15 bucks, - even better under 10 - by the register, ideally pre-wrapped with a sign that says, “A gift for the person you’re bound to forget.” The key is to have one product that doesn’t require any thinking. The shopper has to get it like a USB charger for $9.95 rather than a tiny book of pithy quotes by Margaret Thatcher.
5. Ship it. While UPS and the rest will be challenged, there’s still time to sign up for a local delivery service like Deliv in the US or Shutl if you’re from the UK. Millennials hate to carry too much – they’d rather have it shipped. Notice I didn’t say free – it’s a value add.
6. Cut the line. If you offer gift wrapping, make sure you have a separate line for pickup away from the queue to pay. Make sure to get their cell phone number so you can text them when it’s ready, and add their name and number to your CRM so you can market to them in January.
7. Heads up. Always instruct your managers to have their heads up and looking around the store to see who has been waiting a long time, who has a question, and which cashier is not up to it. They need to be able to step in as appropriate to keep your store moving along.
8. Keep it clean. Make sure your store is clean and organized by your part-timers or even a young relative. One of my earliest bosses told me during the holidays, “Your job is to keep us looking good.” People are more stressed than ever with less time, and they are going to quickly leave those stores that make them trip over things or hunt and peck through messy shelves.
9. Work the line. Particularly this week, when lines get too long and people have to queue up, have a few impulse items along the way. The key is to keep them with general interest but not too many choices or price points.
Many retailers seem averse to looking for new ways on how to get customers to spend more, but that’s a big mistake during the holiday season as most retailers make 20% or more of their sales in December. You should always be looking for any way you can to increase sales.
The better you get at adopting these quick tips to increase your retail holiday sales during December, the more you’ll put them into place throughout the year.
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