Small retailers are using a little creativity to stand out in their markets and increase sales. For some, the results have been very positive.
As part of the National Retail Federation’s Independents’ Day during the recent conference, an owner of a small chain of furniture store showed how a little creative adjustment to sales and promotions added up to a big growth in sales.
Diving in head first, his chain of stores moved on from their usual “every day low price” of 5 – 10 percent off to a huge 50 percent off, additionally offering separate promotions to both loyal customers on the email list and those not on the list as well. The promotions, along with some creative in-store adjustments (using Post-It notes and handwritten prices and strikethroughs to show price discounts), he was able to raise sales by 62 percent on Labor Day weekend from the same weekend in 2009. By offering longer term financing, he was also able to take in record sales the weekend before Thanksgiving.
Another example of creativity directly related to increased sales is a small AC/Heating company’s use of Facebook and Twitter. Not a business that people generally assume could benefit from social media accounts, the company grew web sales by 113 percent and referral sales by over 50 percent from the previous year. Using content like video clips, ways to reduce energy costs, and reminders about tax credits that would expire at the end of the year, they aroused awareness and converted the extra channels of marketing into revenue.
If these small retailers keep up their creative streaks, they’ll soon become big players in their sectors. Does your organization have the transparency to take advantage of social media like Facebook and Twitter? Do you trust your customer relationship management enough to do so?
Source: Oregon Live, January 2011