Over the last 10 years the landscape of the retail industry has changed altogether. Not only has there been a huge increase in high street retailers, but also the huge influx of online retailers entering the market, has made this industry one of the most competitive in the UK.
Whether you are a small pop up shop or an experienced retailer, these 4 tips can assist you in staying ahead of your competition.
Not only do you need to offer quality products at a fair price, but you need to offer value in your brand and customer experience. Whether that be an experience through the design of your shop, your staff, technology or service, each business needs to identify their unique selling point other than just product and price.
Communicate with your existing customers
Every business knows that selling to existing customers rather than new ones, is a much easier process, this is no different to the retail industry. Following on from point 1, if you create a great experience for your customers you would expect them to return, however if you don’t keep in regular contact with them how will they now about your promotions. Be sure to collect contact details from customers to send out newsletters, promotions, events and more.
This is probably one of the most revolutionary tools that retail business owners can take advantage of. Gone are the days where your target audience is the local Town, City or even Country, the online market place enables businesses to become global companies, selling to consumers/businesses around the world. If you can create a website that has the same customer experience as your outlet, you can increase your customer base 10 fold.
Cash Flow Management
Cash flow management is key to any business, but more so in the retail industry. Due to their reliance on major expenditures such as stock, employees and operations, as well as seasonal changes, and market fluctuations, cash flow is at the heart of the retail world. Without cash, there can be no marketing, no product and no employees. Be sure to keep up to date with the management of cash; create budgets each quarter, create sales objectives to hit each month and quarter, and keep on top of price trends.
This leads me onto the next point, finance. Due to the heavy reliance on major expenditure, retailers should identify an easy to use external finance facility early on. Whether that is to ease cash flow through hard times, an injection of capital to assist large stock orders, or to enable the business to grow, finance can make the difference between failure and success.