Follow These 7 Pillars of Success To Turn Your Store into the ‘It Store’
Every independent retailer’s dream is to be the go-to store for his or her customers, but capturing that type of attention and customer loyalty, as well as keeping it, is no easy feat. So, how does a retailer stand out from the competition and become top of mind for its customers? Bob Negen, co-founder of Whizbang Retail Training, shares seven pillars to becoming a customer’s store of choice.
1. Think Differently
According to Negen, the first step to succeeding in independent retail is to shift your thoughts from fear to courage. “We’ve all been trained to be afraid over the last three years,” Negen said during a seminar at the January Atlanta Market. “When you live in fear, it’s natural for fear to be the default. But every time you act with courage you get confidence, and confidence means you’ll try something new.”
Negen says that trying new things is pivotal to success and growth because it creates either new successful opportunities or chances to learn from your mistakes.
Part of thinking differently also includes shifting your mindset from “cost” to “investment.”
Too often business owners get caught up in worrying over what something might cost them, instead of focusing on what the investment will give them. Negen warns that if you don’t invest in your business then it can’t grow. “It’s not about ‘how much does it cost,’ but about ‘how much will this make me?’”
Once retailers shift their mindset to investment mode, they should ask themselves, “What Would My Customer Want (WWMCW)?” Negen says it’s crucial to think about the lifetime value of a customer when considering investments and store improvements. “They aren’t pieces of meat with a credit card,” he says. “They’re people we have relationships with. If you love your customers, the money will follow.”
Negen suggests that retailers think about their customers needs, like when they need the store to be open, how they would want a return to be handled, and generally what would allow customers to feel good about shopping in a store. Don’t get caught up in only being open during the most profitable days or hours, or not losing a small margin by not accepting a return. Those small pros do not outweigh the effect it will have on the overall lifetime value of a loyal customer.
2. Master the Fundamentals
“If you’re not fundamentally strong, you’ll always be putting out fires,” Negen says. There are 11 critical retail skills, which he teaches in the company’s retail mastery system, that Negen says every retail must have or their customer will feel it. He recommends that all retailers have these fundamental skills, so that they can focus their energy on growing their business, rather than fixing problems or spinning their wheels on logistics.
3. Nimbleness
In a world of constantly changing needs, inflation rates and ongoing crises, the ability to adapt is a moniker of success. In a colorful metaphor, Negen compares Amazon and big-box stores to a large freight carrier and independent retailers as speed boats, able to adapt and quickly pivot to changing needs.
“You have to be prepared to change,” Negen says. “You are a speed boat; you can change directions on a dime and that’s your competitive advantage.”
4. Authenticity
Just like the general rule of social media, it’s important to be authentic in independent retail. Customers aren’t just following your store or buying from your store; they’re following and buying from YOU.
Negen says not to get caught up in trying to be like everyone else or like someone with a ton of followers or customers. “Just be you; the people that are attracted to you will find you,” he says. “You are enough.”
Being authentic also makes you more relatable, which is key in attracting a loyal audience or customer base.
5. Give to Get: The Rule of Reciprocity
According to Negen, “Wise retailers realize you give to get.” It might sound counter-intuitive, but Negen says if you want to get someone into your store then give them something, like a gift card. Handing out just one $10 gift card costs you $10, but can gain you extra sales – or better, yet – a lifetime customer.
“The rule of reciprocity is how independent retailers become the store of choice,” he says.
Cause-marketing is another way to “give” in order to “get.” By giving a portion of the proceeds to a charity, retailers most likely will get more purchases and a more engaged customer base.
6. Value Innovation
Too often business owners try to handle everything on their own and overlook the wisdom, experience and creativity they have on staff. Don’t underestimate the power of your team; utilize your staff members to grow your business by making them feel a part of it. Negen reminds retailers to get their team involved through “ADD: Ask, Discuss, Decide.”
“Empower your team to think about your business with you,” he says. “You want a team of people who are excited and you don’t do that by telling them what to do.”
Store owners should also be careful about taking too much on and not training their staff and delegating duties. “Take the monkeys off your back,” Negen says. “Whenever you start to feel stressed, get rid of a monkey on your back. Train (your staff) so they know what to do and take the pressure off of you. You don’t have to do it all by yourself.”
7. Utilize Technology
“We are now tech-enabled,” Negen exclaimed, reminding retailers that they now have new tools at their fingertips, like social-selling software, smartphones that are as good as photography studios, web-development tools and more.
“People want to shop local, but now we have the technology for them to do it … local can now be national with tech.” Be sure you’re utilizing the latest social-media strategies, user-friendly interfaces and more to further engage your customer base and grow your business.
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