SCREAM OR YOU'RE "OUTTA HERE" Moving more merchandise at the point-of-sale           Don Capman, President           J.D. Associates

Last month my article was focused on where your customers most often make their decision to buy or not to buy your products. The area where this takes place is called “the point of decision” and is usually the area where the product is displayed in your store. I also suggested that you might want to take a critical look at your merchandise through a customer’s eyes and ask yourself whether or not you would buy the item. Since merchandise is taking up real estate and costing you rent everyday it sits in your store, it should always scream “BUY ME!!!” If you find merchandise that only whimpers and doesn’t scream, do something that makes it scream or get rid of it. So how do you make it scream?

• Is your merchandise prominently and attractively displayed? Do you find customers frequently asking if you carry items that are on your store floor? Why are they missing it? Is it stuck in a corner or hiding behind some other merchandise? How’s the lighting in the display area? Is it too dark, too bright, or just not right for the merchandise? It might not be selling simply because it’s not properly or attractively merchandised.
• Are all of your items properly ticketed with a clear price? Customers are sometimes reluctant to ask a clerk about a price if they can’t find the ticket so they overlook those items. Missing tickets can also tell the customer that the item was returned and subsequently not fresh off the shelf. Unless the item is a super buy, most customers don’t want to purchase items that have been returned. Also, if you have consecutive markdowns, don’t make the ticket messy by crossing out the price several times. Use new tickets that indicate a markdown or price it right to begin with.
• Do you position your merchandise with companion products? If a customer decides to make one purchase, is there another item close to the purchased item that would complement it? Are the tees next to the golf balls? Is the mannequin wearing the matching sweater and trousers also sporting a matching designer purse? Get the picture? Your customer does. Also, consider giving a package deal. If they buy both items, you may want to offer a discount or coupon towards a future purchase. Get creative.
• Do your sales associates know what they’re selling? Do they care? How many times have you been in a store and asked a question of an associate who just didn’t have a clue? If they don’t know about the products you sell, teach them! If they still don’t know, fire them! A “warm body” without proper product knowledge and enthusiasm can be worse than no body at all. Spending a couple of extra dollars on recruiting and keeping great staff can be worth its weight in gold.

Given the fierce competition for today's retail dollar, we always need to be on the lookout for new and creative ways to make our products scream "BUY ME!"

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The prior suggestions don’t require sophisticated technology to implement. They require knowledge of retail and a good eye and ear. So how can technology help customers at the point of decision? I recently attended an IBM conference where the buzz was all about kiosks in specialty stores. What is a kiosk and how does it fit into a specialty store? I found a couple of great ideas. First of all, a kiosk is a stand-alone computer somewhere in a store that interacts with a customer. The computer screen is the focal point of customer interaction, and can be enclosed in an elaborate display case or simply mounted to a wall or column in a store. So what are a few ways to make use of a kiosk in a specialty store?

Price check. If, God forbid, a price is not clearly marked on an item, a kiosk station can scan the item barcode and find the correct price. Then, if all of your sales associates are busy talking to each other about their upcoming vacations, the customer can simply scan the item and purchase it without interrupting anyone.

Education. Customers often have questions about features and benefits of a particular item and there is no one around to ask. Price tickets are too small for all the information and often packaging is nonexistent or not sufficient to include valuable product information that will help the customer purchase the item. Why not include product information on a kiosk? Most manufacturers supply extensive information on their product lines and are more than happy to share it.

Print coupons. A store in the UK installed a pink kiosk at the entrance to their store. This kiosk produces coupons and “today’s specials” that are directed at women shoppers. These coupons change on a daily basis and are good for that day only. Since the kiosk is at the entrance to the store, shoppers are motivated to buy then and there instead of receiving a coupon towards a future purchase when they check out. This kiosk-coupon approach has been extremely successful.

Endless aisles. One of the ways specialty retailers distinguish themselves from the “big box” stores is by carrying depth within a product line. While depth of selection is very attractive to customers, it is also very expensive for the retailer. So even though you would like to display everything that a customer could ever want to buy, you can’t do that because your store isn’t big enough and you simply don’t have the funds. Try adding a kiosk for items that you don’t stock. Let the customer place their order on the kiosk and offer them free delivery. You can be the biggest little store in town!

These are just a few ways to help customers make positive buying choices at the “point of decision.” Given the fierce competition for today’s retail dollar, we always need to be on the lookout for new and creative ways to make our products scream “BUY ME!” Remember, if you’ve tried some of these suggestions, and the items still don’t move, get rid of them. Use the money to buy 'screamers' or simply use it to fill your gas tank.

ABOUT THE AUTHOR
Don Capman is President and co-owner of J.D. Associates. He can be reached at don.capman@jdapos.com