SPRING AND SUMMER 2009

 Retailing is an art. And you are the artist!

Entrepreneurs are creative. Free enterprise built our great country. When an economic downturn courses through our commerce and industry it can be the time when good merchants rise to the top like cream in a bucket of milk. Now is not the time to quit doing what has always worked. It is indeed the time to adapt, because that is what successful people do—but it is not the time to stop marketing and stop advertising; nor is it the time to neglect reaching out to those loyal customers that got you this far in business and made you the success you are today.

So it’s about getting back to the basics. Going back to the beginning has always proved fruitful for my business career in any economy. Here are my ideas on the topic:

Merchandising and visual display—

• Having tracked your sales since the day you opened your doors you now have a good idea as to which vendors are your “bread and butter.” Put 80% of your budget into their hands. Keep 20% open for small assortments of simple spring and summer trends and as a monetary cushion or emergency fund. 

• Without open-to-buy it’s essential that you give extra attention to your visual displays. Change your windows once a week; move merchandise around inside the store from front to back at least once a week; run specials on items that have been on your floor for 4 weeks; change interior displays at least once a week. Strive to make the store appear fresh with new merchandise even when you don’t have the dollars to spend on bringing in new lines.

Advertising and promotions—

• Basically the advertising-to-sales formula has always been 5-10% of gross sales with 10% added into the budget for producing the ad. Perhaps the numbers need to be adjusted for this economy but they do not need to be cut to zero. Commit to a 12-month advertising campaign; mix your media; talk to your local newspapers, radio and TV stations, and magazine ad departments, as often during a downturn you can negotiate incredible rates that extend over the next 3-5 years; repetition in advertising will prove successful when the economy does turn around—consumers will remember you first when they need what you have for sale and are ready to start buying again.

• The top five persuasive ad campaigns are now 1) newspaper inserts and coupons; 2) direct mail and “green ads”—ads that tell your reader that you are a business that recycles and offers reusable shopping bags—that tell your customer that you give to charitable causes and 2-5% of their money spent with you goes to that cause, as well; 3) e-mail advertising; 4) magazines; 5) in-store promotions. Yes, customers still want to be entertained. They want to be recognized. Concentrate on your loyal customer base and invite them to a simple gathering on a Saturday with coffee and cookies. Have them bring in a coupon from your ad for a discount or gift with purchase; run a 10-15% off special on 4-week old merchandise; or just simply thank them for remaining loyal. As we go into the next phase of retailing, throughout the next 4-6 quarters, there will be nothing more important than the “customer experience.”

Designing a complete sales team—

• Businesses often believe that during tough economic times one of the first things to be cut should be the number of your employees. I believe there is nothing further from the truth. It is a proven fact that employers who have laid people off have to find, hire and train new ones when the economy recovers. Sales help with specialized skills or strong customer contacts are not easily replaced. Therefore, layoffs could be much costlier down the road.

• Businesses also believe that dollars spent on training employees should be slashed. I believe instead that you should work to keep the people in which you have already invested time and energy. Hone the basics of customer service; get your vendors involved by teaching your staff about new trends in your industry; keep on top of technological advances; have a plan to track customers that come into your store by teaching your employees to ask the right questions such as, “How did you hear about us?” Hire a consultant to help you keep your staff trained and motivated. Your employees are the backbone of your company. Give them the opportunity to share in your success. It’s the right thing to do!

Customer loyalty has never been more important. The customer experience will drive success in your business over the next few years like never before. Focus on the customer and they will remember your business when they need what you have to offer.

Here is my 15-point Service Success™ formula:

C is for Courtesy —Anticipate the customer’s needs even before they know they have them.

U is for Understanding —Listen to your customer.

S is for Smile! —The universal language!

T is for Tenacity —Is anyone really “just looking?”  Find a need and fill it!

O is for Open Minded —Be willing to think outside your policy.

M is for Make a Friend — Make a friend, not just a sale.

E is for Empathy — Agree with the disgruntled, diffuse the anger, and then give them everything they want.

R is for Resourcefulness — If your mission is service then do whatever it takes to help your customer achieve their goal.

S is for Serve — If you don’t have what the customer is looking for then don’t be afraid to tell them who does.

E is for Enthusiasm — It’s catching!

R is for Recognition — More than money, prestige, promotion, or power, what a person really wants is recognition.

V is for Value — The value of goods but also the value of service.

I is for Indulge — Pamper your customer!

C is for Commitment — Do what you say you’re going to do or don’t say it.

E is for Establish Integrity — Uphold your part of the relationship.  Be a genuinely nice person.

 PUT YOUR BEST FOOT FORWARD!

In any career, it’s all about the marketing. This economy means fewer jobs and higher competition. So how can you stand out from the masses?

You have only ten seconds to make a first impression, and in the workplace—especially when interacting with customers and clients or interviewing for a job—there is nothing more important than making a good one. Like it or not, these first impressions have little to do with knowledge or experience and everything to do with appearance. Does your perfume precede you into a room? Are you wearing so many bangle bracelets that I can’t concentrate on what you are saying?

Luckily, it doesn’t take much to make a favorable first impression, as long as you commit to creating a professional wardrobe. I recommend setting aside a certain amount of money each month, just as you would for a car or house payment, and allocating it to your office wardrobe. This is much more than just a purchase—it’s an investment in your career and therefore your future!

Stay away from trends and impulse buys and instead focus on classic items that will always be in style. Select basic colors such as navy, black, charcoal or camel for your “hard pieces,” such as suits. Update your wardrobe each season with inexpensive trendy accessories. Don’t commit to an entire suit in leopard print, for instance—a scarf will suffice!

And don’t forget the little things that become very big in a first impression—cleaned and pressed clothing, shiny shoes, groomed fingernails, soft makeup and kempt hair.

Particularly in this competitive job market, there is simply too much at stake to overlook the basic yet important concept of professional appearance. While you may have the right to adorn yourself as you see fit, the employer has the right to hire you! When you show up for a job interview and are one of maybe 50 people vying for the same position, looking your absolute professional best could swing the odds in your favor. So stand tall, look sharp, and smile often! It makes people wonder what you’re up to!

Cliff Palace ruin in Mesa Verde National Park near Durango, Colorado.

TRAVEL! My favorite thing to do. And yet with the economy as it is much of the tourism industry is being affected. So I began to think creatively. With gasoline still relatively inexpensive it makes sense to drive. So instead of the Caribbean or Europe, for instance, what’s within an 8-hour drive of my house? What wondrous places could I visit here in my own “backyard?” If I head southwest I can be in Mesa Verde National Park sitting on my deck at the Far View Inn ready to hike a petroglyph trail! Driving due south for 7 hours I can be eating New Mexican food at The Shed in Santa Fe. Heading east would take me to fields of sunflowers in Kansas, stopping in Kansas City for some great barbeque. Northeast for the Fourth of July and I could watch a world-class rodeo at the Greeley Stampede—or into Wyoming for Cheyenne Frontier Days. I can even make Hot Springs, South Dakota, in 8 hours and visit Mount Rushmore, the Crazy Horse Monument, or dig at the Mammoth Site. Northwest takes me to a national park full of dinosaur tracks. Driving west for 3 hours and I can soak in the hot springs or get a massage at the spa in Glenwood Springs; fly fish along the Blue River near Carbondale; be in Aspen enjoying the same world class shopping I find in New York City! So what’s within an 8-hour drive of your house? Contact your state Convention and Tourism Bureau for a Calendar of Events. Get the family together and plan an adventure. Here’s to happy traveling in 2009!
See previous tips, including travel destinations, here. <Back to Top ©2011 Duncan & Duncan Enterprises LLC P.O. Box 4164 •  Evergreen, CO 80437 •  303-512-7638 •  fax: 303-674-5356