Today’s marketplaces are getting increasingly customer-centric. As customers forget the difference between an established brand and a local retail shop, they expect the same experiences everywhere. This has surely increased the burden on retail stores to provide their buyers with impressing experiences every time.
For anyone having an online portal arguing the importance of their physical store, 87% of shoppers confess having visited a retail store in the past month. So, there is a massive opportunity for retailers to improve sales and revenue via their store even if they have an online presence.
Another insight worth noting is that one in three consumers are ready to pay more when they receive better service. Better customer service is the boil-down of effective store management. When store managers can efficiently stay on top of everything that happens on their premises, they can make key decisions, discover loopholes, and plug them.
Let’s explore a few tips for store owners / managers to execute a better store.
How To Optimize Store Management for Better Profits
Understand your Customers
70% of companies that are known to deliver exceptional customer experience encourage and use customer feedback. Retail stores should make it their business to understand at a deep level what their customers want and value. With that insight, you can buy, sell, and show them exactly what they want, how they want it. In the end, make sure you thank the customer for their business. Always remember, the customer is out looking for an experience and not just a product.
Measure and Optimize KPIs
To maintain the sustainability and profitability of your retail store, you need to work with KPIs. Establish clear baselines for your critical KPIs (Key Performance Indicators). The easiest way to do this is to use a Point-of-Sales system that comes with a reporting and analytics tool.
Here are a few data points your store manager might want to track:
1. Sales by store (for multi-store businesses)
2. Total sales
3. Worst selling items
4. Fast selling items
5. Average sales per employee
6. Conversion rate
7. Inventory turnover rate
Tracking these metrics and defining their threshold levels will give you a good starting point to see how well your store is performing. With advanced sales reporting and analytics, you might gain visibility into the loopholes in your store management.
Improve Employee Engagement
Do you need to improve training for store associates? Do you need an incentive program to encourage your employees to do better? How do your customers feel about the service they get from your store? These are a few questions you can ask to learn what’s missing from your employees’ perspective. Solicit feedback from your employees to learn what they think about you as an organization and learn where you can improve your processes to improve employee engagement and satisfaction.
Optimize New Product Launch
For retail stores, launching a new product is a critical step. Optimize new product arrivals by strategizing product positioning and marketing. Increase marketing efforts by using advertising channels such as newspaper ads, specialty pubs, magazines, and other print and digital formats. Because a product launch is something new happening in your business, send a press release to the media. Grab a free coverage whenever possible. This is your chance to stay top-of-mind with buyers. Create a promotional event to generate buzz about the product and your business.
Manage Customer Queries Proactively
Excellent customer service is a key driver to improve sales. When customers hit you up for a query, make sure your customer service reps handle the situation well. This goes both for general queries and negative feedback. Train your customer service reps to handle each query with grace and politeness. Also, train them on how to handle difficult situations. It is worth noting that mouth publicity is a great way to earn new customers. And, satisfied customers recommend your business. Let your promotions spread like wildfire after an exceptional service.
Train and Retrain your Employees
Training your employees regularly and helping them upskill has a lot of benefits for your business. On one hand, you convey to your employees that they are valuable to you when you invest in their learning. Secondly, you get better employees who are now empowered to either take up other tasks or do the same tasks with better efficiency. Continue to provide specialized training to staff that has been with you since long. Companies that invest in upskilling their employees do better with sales and profits.
Use Store Checklists and Perform Audits
Retail store checklists can be used by retail managers to monitor the status, processes, branding, and standardization of retail outlet. Audit checklists are used to measure the effectiveness of displays, keep track of inventory, observe employees, and ensure the cleanliness of the store. Manage your daily operations and never be non-compliant with an exhaustive retail store checklist.
Get an Easy-to-Manage Store Management Platform
Wooqer is a platform that allows companies in the retail space to digitize parts of their store management. Wooqer can be used in a variety of ways by different companies, thus multiplying the ways in which it can be implemented. Learn more about how Wooqer can help your business grow. Check Wooqer’s listing here B2B Listings