What is green and looks like a tree? A tree of course, unless you have a vivid imagination at the dinner table and you take a good look at broccoli. I never looked at it that way until one day my daughter said, “Look Daddy, I’m eating trees”. Beside the fact that kids are cute and say the darnedest things, they can really open your eyes to see the world around you in a new light.

As a retailer, it is important not to lose the ability to look at your business, your competitors, and the industry with fresh new eyes. I encourage you to regularly take the time to step out of your shoes and drive up to your showroom, surf your website or take a look at your marketing materials (ads, flyers, etc.) as a new customer. Afterwards, evaluate what you perceived. Is this how you want your business to be portrayed?

Another great exercise is to drive around town and see what your competitors are doing. Especially those businesses with cars parked in front of it. Look beyond prices; take a note of how they handle customers, their use of in-store signage, their online reputation, etc. Are you doing these things better or could you improve in areas?

When you critically take a look at your business do you see a flourishing tree that bears profitable fruit? If not, it is time to nurture your tree so it bears enticing fruit that consumers will want to pick from. Think about it, when you go to the produce store, which apple do you pick: The nice shiny Granny Smith or the one in the corner that is bruised and oddly shaped? Most likely you’d pick the shiny one and with good reason – it’s the most appealing. Are you the most appealing option to your customers, does your marketing make you shine, and most importantly, would you buy from you?

If you can’t answer yes to the last question, then maybe your apple is bruised and it’s time to look at how to bring that polish back. I’m not saying that you necessarily have to tear down the tree and plant a new seed. Although that may be the solution at times, most often a little elbow grease and polish, a nice basket, and maybe a ribbon or two can make your apple shine above the rest.

In the coming year, The Retail Observer will be bringing you new writers and new sections that we feel will help you see your store in a different light so you can grow a stronger tree in the orchard with much more enticing fruit from which to pick.

Happy Pruning!
Moe Lastfogel
moe@retailobserver.com

With everything we see today — a teetering economy, stocks on a virtual rollercoaster and retail indicators bouncing around like a warped super-ball — we need to stop and think about what we are doing to help ourselves in our current state, as well as how we are going to prepare for what is yet to come. I’m not a soothsayer, but I do see no matter where we are in our economic cycle that change will always happen. How we handle that change today will be what takes us into the future.

How many of you stick to one product? Are you a white goods only dealer or consumer electronics house? Do you sell only furniture? With the various buying groups we cover, I have been afforded the opportunity to speak with many dealers, and the ones who weather the storms the best seem to have a diverse line list or marketing strategy. They sell many, not just in one category or two, or they sell the optional added value products with their main lines.

If you are a white goods dealer, why not sell pots and pans, small appliances, vacuums and even laundry detergent? The customer who is doing a full kitchen remodel is likely to end up buying pots and pans and would jump at the option of buying them new from someone they trust. If you are doing in-house cooking demos, why not offer the specialty products and food items that you use? Gourmet food products might also be a nice addition. A spatula bearing your company logo actually goes a long way towards developing loyal customers.

If you are selling consumer electronics, why not sell the cables, installation, and furniture for a home theater including popcorn machines and hot dog cookers? Why not put a video rental kiosk in your store to generate passive income? What about throwing Monday night football parties in your store, with specials on products? Furniture stores also have a great opportunity to sell all the accessories to create a complete package: lamps, pictures, vases and bedding products are all high margin items and will all help with your bottom line.

But why stop there? Don’t forget a salesman’s best friend, the warranty, which is the most forgotten high-profit piece that we miss in the excitement of the sale. I’m not suggesting you go out tomorrow and open your own Sears-style store, but why not look at what you sell, ask your customer what they would buy and act on it? Many vendors today would jump on the opportunity to open these new markets and help you get going.

Happy Retailing,
Moe Lastfogel
​moe@retailobserver.com