Bright window displays can capture attention in a busy shopping mall, but with the use of technology, you can go one step further.
Stationery retailer Smiggle has upped the ante with the use of huge plasma screens playing eye-catching images in its windows, according to retail expert Stephen Saunders of The Shoppologist. He says windows can be used to create a sense of theatre.
“What Smiggle has done is by far and away the best use of plasmas screens that I’ve seen. I’ve watched shoppers walking past the store do a double take.”
Retailers should consider hiring a talented visual merchandiser to create a professional look in the front windows. Make sure the display is changed regularly.
Strong visual merchandising is a good start, but retailers need to look beyond a dazzling front window if they want to attract customers into their store.
A growing number of small and large retailers are creating more inviting stores by adopting softer lighting, playing appropriate music and scenting the retail environment.
Saunders says stores like Crabtree & Evelyn, L’Occtaine and Peter Alexander engage the senses.
Or, consider giving shoppers a glass of champagne or a coffee while they shop, suggests Dominic Toledo, The Mint Organization’s general manager.
“Retailers need to look to differentiate themselves from their competitors on the strength of the customer experience,” Toledo says.
You may remember the first name of a few of your best customers, but are you able to get in contact with them if you have an offer you want to let them know about?
According to Saunders, collecting a database of your customers and communicating with them in a manner that adds value to their life is paramount.
While direct marketing mail-outs can be hit and miss, creating an online presence (like Twitter or Facebook depending on your target market), can encourage consumers to communicate with your brand online.
Saunders says if a retailer is collecting customer details, customers expect to hear about relevant offers.
“The more contact someone has with their customers, the stronger the relationship will be with consumers and the brand. And once you’ve engaged with someone online, the cost of each piece of contact is very low.”
Saunders says consumers are tired of campaigns that talk at them.
“Customers want more of a dialogue these days. But if they expect a dialogue with your brand and it doesn’t take place, it can be very disappointing and could cause them to go somewhere else,” Saunders says.
Understanding what motivates your staff to sell can make or break a business, according to Toledo.
Hourly wages and a bonus for the store manager was the old model, but a new progressive model has incentives attached, he says.
Staff could be rewarded if they manage to sell more than one item in a transaction, if customers have a better sales experience, or if overall profits are up at the end of the month.
He encourages his clients (who include Australian retailers) to weigh up which incentives motivate staff. He says cash, free or discounted merchandise, educational opportunities and travel are popular choices.
“A motivation can have a very strong role to play in changing behaviour among employees.”
Toledo says when asked, employees will say they want cash as an incentive, which is a left side of the brain response. A non-cash reward is a right brain response, which has a stronger emotional drive.
“To change behaviour you need to stimulate the right side of the brain. Offering both incentives together works well.”
Consumers will get frustrated very quickly if they’re unable to locate the price of your product or service, so make sure you don’t hide your prices under a bushel.
While merchandise should be clearly marked, it’s just the start. A growing number of consumers research their purchase online prior to hitting the shops thanks to websites that enable consumers to compare prices on goods and services.
Price aggregation site lasoo.com.au is going from strength to strength, as is rival site getprice.com.au, which has seen an increase of traffic of more than 500% from June 2008. getprice.com.au enables consumers to search through more than one million products across 500 categories and track price history to compare prices.
“Knowledge is power when making purchase decisions, and consumers want to be able to see all their options quickly,” says Chris Hitchen, CEO of getprice.com.au.
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