Archive for March, 2009

Happy Birthday to you, and me, and everyone !

Monday, March 30th, 2009

Using Birthdays to sell !

Using Birthdays to sell !


Going off kilter from my previous posts. It’s my birthday (well, it was yesterday) and as birthdays are a time of celebration and sometimes as we get older a little reflection, I started thinking about the role of birthdays in retail.

More specifically what can you do with birthdays to promote your shop or business? Most of us love birthdays, we try to prolong the event seeing friends and family over a week or so to celebrate, and that air of celebration is real because everyone knows how it feels to be the birthday boy or girl.

So there’s no reason why we couldn’t capture that feeling and widen the birthday net? After all you have a birthday each year, your shop has a birthday each year and so do your staff. So what am I getting at here?

Well, simply using birthday promotions as a part of your promotions plan for the year. We all build in Valentines day, Mother’s day, Easter and the like, so how about creating a shop birthday week? – You could mail out about this, you could send birthday cards out to your customers thanking them for their support, you could have a special event this week, an open evening, a small show, invite the press for an interview about how things have changed over the years? Have little birthday fairy cakes for customers, or get a cake made in the image of your shop and send a picture to your local paper, put out balloons and generally create a buzz around the event.

This will be good for you in quite a few ways. It promotes your shop in a positive light, it associates you with a celebration (can’t be bad in the current economy) gets you some press attention (for a very small outlay) and highlights your longevity (people think that you must be doing something right if you’re still here) it’s a focal point for you and your staff, and lets face it, its fun to have a birthday week. After all we celebrate milestones in our lives, our children’s and families lives, why not our businesses?

In monthly newsletters, you could pick a member of staff and have their pick of the month, or what they’ll be choosing from the shop to celebrate their birthday, or just a crazy birthday offer.

Then there’s your customers birthdays – Do you keep a record of them, if you do, how lovely to get a card from you on their birthday, much more personal than a Christmas card, more memorable and more unusual – How many birthday cards do you get from places you frequent – Not many I’m willing to bet?

Could you do birthday vouchers or small gifts for customers? Obviously you need to cost this out, but you’ll be surprised how something so small can generate good will for your business.

Birthdays are a great opportunity, they’re something everyone understands, they’re a cause for celebration and a brilliant marketing opportunity, so have a brainstorm about how you could capture the power of a birthday celebration and get some brilliant marketing from it, everyone loves a birthday story….

Happy Birthday to you , and me, and your shop…..!

Can a yawn create a retail epidemic?

Friday, March 27th, 2009

Yawning is infectious !

Yawning is infectious !


What’s an epidemic and what’s it got to do with retail?

Epidemics are by their nature contagious. If I say epidemic to you you’ll probably think of a cold of flu epidemic, as that’s what the media uses most often. But epidemics don’t have to be biological. We can epidemics of crime or fashion, or hope – witness the inauguration of President Obama.

Lets consider yawning for instance. Yawning is a contagious act, just because you’ve read the word yawning three times now, you’re probably thinking about yawning, or actually yawning. I’m yawning myself here writing this. If you’re reading this where other people can see you yawning you’ve probably started a mini yawning epidemic of your very own.

Yawning is incredibly contagious, just by writing the word yawn, you’re likely to Yawn. Just as an aside to the yawn epidemic as some of you yawned did it cross your mind that you might be tired? So consider that yawns are emotionally contagious too, simply by writing the word yawn I can create a feeling in your mind.

Isn’t that interesting, what does that mean for retailers ? – Well, it goes some way to explain the resurgence of products with union jack flags on them for instance, and they’re really coming into fashion now, at a time when supporting team GB is really rather vital.

It explains the national indulgence with things vintage and shall we say “pre-loved” and the green effect – all side factors of a recession economy.

But the real value in the great yawn debate is the realisation that big changes can follow small events. We seem hard wired to think that the link between cause and effect must be massive. We are trained to think that if we want to communicate that we love someone for instance we must speak passionately, if we are angry we should communicate this loudly (Eastenders anyone? Could anyone be in any doubt someone is angry on that TV programme?)

But sometimes big changes follow from small events, and they can happen very quickly… There is a tipping point for virus’s, ideas and even for recessions – have you noticed the more balanced news reporting (locally at least) on the recession recently? There comes a point where everyone is literally sick of the bad news and journalists start casting around for good news stories to tip the balance from going too far in the wrong direction.

So what should you do about the yawn factor? Simple, anything you can that’s going to increase your chances of things tipping in your direction….. get yourself in the paper, write a blog, re-do your window, freshen up your approach, get a haircut , anything that makes you feel good, so you radiate this positive approach, because small things can create big changes, talk to your neighbouring shops, create a trade association, get on the council so you can vote against increasing car parking charges…. ! Whatever it takes !

If you’re in any doubt about the power you have, consider the yawn factor, and when you’re sat in that local council meeting just turn to your neighbour and yawn, and once you realise the power of this, you’ll have to take the superhero charter, and promise to only use your power for good, because yawning is the small stuff, there’s lots of big stuff you can do too…!

Remember the power of the yawn !

Retail is detail, what creates change?

Wednesday, March 25th, 2009

Positivity is contagious !

Positivity is contagious !

Its fashionable in the Uk, to diss stuff, everything really from celebrities, we build them up and we knock them down, its sooooo predictable (except for a few stalwarts who are the nation’s favourites you gotta love Brucie !) to food, our roads, our weather - anything is fair game !

I don’t really understand this attitude – I really just don’t get it ! In my travels in other countries I don’t see this – I mean, sure they acknowledge their counties problems but they’re also proud of their countries – They certainly don’t do that knowing sarcastic half smile and then soundly trounce it !

So I got to wondering, why this is? I’ve been pondering this and I think its because we don’t like to raise our hopes because they’ve been dashed in the past. Children certainly don’t seem to ascribe to this cynicism, so it must come later. I think that by the time we’ve become what I’ll loosely term “grown ups” we’ve been kicked in the teeth a few times and probably learned to lower our expectations. Is it nature? Is it nurture?

I think its nurture because while there’s obviously individual differences in people, I don’t see other countries with this bizarre “mustn’t grumble” attitude of “well, it could be worse” Since when did – It could be worse become a reason to get up and go to work in the morning? It certainly doesn’t spur me into action.

There’s a raft of information on change, the individual, the crowd, the society, But what’s the actual tipping point?

Well, that something could be the “broken windows theory” which was the brainchild of Wilson & Gelling, who were criminologists, who argued that crime far from being a nature beating nurture effect was in fact due to the little things, so for instance, crime would be the inevitable result of disorder.

If a window is broken and left unrepaired, people walking by will soon conclude that no-one cares about the building and no-one is in charge. Pretty soon there’ll be more broken windows and this sense of anarchy will spread from this building to the street and beyond to the area. Sending the signal that anything goes and no-one cares, creating a downward spiral.

This is the epidemic theory of crime. It says that crime is contagious – just as a fashion trend is contagious, but here the tipping point isn’t a person or group of people it’s a thing – a broken window.

By the same measure positivity is also contagious. If you doubt me, walk down the street and smile at people – 9 out of ten will smile back at you, especially if you make it a big megawatt smile ! (the other one will be so shocked that someone smiled at them that their reactions will be delayed) So you just introduced some positivity into the world – with a smile. It didn’t cost you anything, its fleeting sure, but so is cleanliness, we have to work at being clean every day, why shouldn’t we work at being a positive contribution too.

So just for today, hang up your negativity hat and try to make everything that comes out of your mouth a positive phrase.

Try it, what harm can it do?

Standing out versus fitting in…!

Monday, March 23rd, 2009

unlock your potential

unlock your potential

You won’t have any trouble at all finding someone who can tell you how to fit in.

Almost anyone can tell you what to wear to that restaurant or this show or that event. Smart, dressy, smart casual, all black, cocktail dress, black tie optional, you get the picture…

It’s not that difficult to figure out how to fit in – If of course, fitting in is your goal. You should be able to get great advice on how to do that.

Standing out, of course, is trickier. Stand out too much and you’re an idiot, or a troublemaker, or a fool. Putting yourself above the parapet is dangerous – Lets face it you’re going to get shot at ! There’s always someone who loves to question your intentions, or tell you how you’re doing it wrong…!

Clothing is not the issue. But choice is. You have this choice to make in everything you do, from your career, your business, your window displays, to the wording of a sales letter.

I understand this concern. I realise that I can come across as flippant, or a know it all, when in fact the reverse is true, I started this project when I realised that there just wasn’t a resource for independent retailers out there… I started it because I like to learn, I wanted to expand who I was, and meet some new people, learn some new stuff and move out of my comfort zone, in short I wanted a challenge.

Of course, as soon as I’d started it (and publicised it, so I couldn’t back out of it) that by the way is the best way to ensure that you’ll carry something through – tell everyone you know what you’re going to do and by when !!! Where was I? – Yes, as soon as I’d started it, I wondered what on earth I thought I was doing, who was I to take this on, and what was I thinking….?

But I’d already committed myself to it, designed the website, talked to the right people – and had some stickers made, even (although that does sound like a ridiculous reason to continue - even to me)– so I carried on, of course, and now I’m amazed by the phone calls and positive response I get and I have a different idea of who I am and what I can do.

So what’s my point? – Its simply this – Choose !

Are you doing this to fit in or stand out? What’s going to be best for you and for your business? So make that call today, call the local newspaper editor, come up with a marketing campaign, buy a sales book and learn something new, expand your idea of who you are and what you can do…..

In short and in the words of a brilliant movie – Choose something, choose anything, choose a challenge !

10 Ways to Increase Your Margins Without Working 23 Hours a Day!

Friday, March 20th, 2009

tick tock, tick tock - Don't work around the clock !

tick tock, tick tock - Don't work around the clock !

1. Audit your costs: Review your outgoings and incoming revenue. This will highlight any costs that seem particularly high and any parts of the business where your revenue has dropped. Have key customers stopped spending, or could you get more creative with some of your costs - such as advertising?

2. Streamline your running costs. Could you cut your utility bills by turning off all electrical equipment every evening or making sure your heating system is energy efficient? Get everyone involved with this, and make it a game, who can save the most money ! Have a chart up on the wall, with the winner so far !

3. Assess your staff bill. If you have surplus staff for the work available, look for ways to reduce staff costs. Ask employees if they might be open to voluntary measures, such as reduced hours or pay. Take legal advice if considering changing employees’ terms and conditions. Basically, this will have to come from you, no member of staff is going to walk up to you and say “I’ve noticed we’re not as busy, so I could work less time, or take overtime as time off in lieu, to help you out here ” Not going to happen, so seize the bull by the horns - Not pleasant, but necessary !

4. Improve your purchasing. Assess the costs of your stock. Are any of your suppliers having special offers, creating buying groups or generally acting responsibly to help retailers? Could you reduce costs without making your products less desirable. Review your utility providers - there are a lot of gains to be made by comparing tariffs from different energy companies.

5. Reduce your stock. Consider whether you can cut back on the level of stock you hold. Can you get hold of or manufacture items quickly enough to satisfy customer orders without having goods sitting in storage for long periods? Aim to keep just enough stock to service your customers’ needs. If you look at the multiple retailers, I’d estimate they’ve cut their stock levels by around 30% this year - you only have to look at the store layouts to see this in action.

6. Look for growth opportunities. With competitors potentially falling by the wayside, look for ways to take advantage and expand into different parts of the market. Can you start that website you’ve been talking about for ages, run a workshop, have an open evening, team up with the local college?

7. Protect your marketing spend. Cost-cutting is key during a downturn, but continuing to spend on marketing is vital to attract and retain customers. Focus your marketing efforts on your most profitable customers and cost out your advertising and marketing. Calculate how much revenue you need to make for your advertising spend to be worthwhile. Remember there’s a key difference between advertising and marketing - if you have no money for advertising, make sure you’re still marketing yourself well !

8. Boost staff productivity. Home and work worries can make employees less productive during a recession. Try to increase morale by offering low-cost incentives, such as monthly vouchers for the best performing sales person. Keep employees informed about what’s going on in your business if you can, without scaring them ! Promote team spirit - xxxx shop team against the recession - Recession busting ideas from the team !

9. Loyalty schemes - Re-look at any schemes you may have in place, or be thinking about putting in place - Loyalty schemes breed just that - loyalty, and if you’re fighting for customers, this will bring them to your door, and make them come to your shop first ! It doesn’t have to be expensive to run, a few vouchers are usually all it takes, ie spend £100 and get a £10 voucher, which is going to cost you around £3.50 / £4 so its not going to break the bank.

10. Use social media to communicate with your customers - Its cheap and effective and ensures you maintain a presence in the market, even if you have little money for advertising - start a blog, twitter about your shop, or update your newsletter with recession beating tips for your customers.

It’s a matter of Principle !

Thursday, March 19th, 2009

Follow the money

Follow the money

Wow, what happened to Principles and how on earth did it all happen so fast?

Principle’s demise is one of the instances of severely troubled retailers using the new pre-pack administration. This is quite a controversial insolvency process that had new rules instigated at the start of this year (did they have a crystal ball?)

The pre-pack process, frequently involves the swift sale of a business back to its original owners, but free of unsecured debt. It has prompted concern that suppliers have been left in the lurch, and as a supplier to businesses myself, you’ve got to wonder, who’s paying the suppliers?

Sure Debenhams have bought the stock, but if the suppliers don’t get paid, there’s a knock on effect down the food chain, which could mean many suppliers businesses going under, which is hardly fair, as the thing with these agreements is that they happen behind closed doors and there is no advance warning to unsecured creditors. The suppliers are blindly trading right up to the point of administration with these companies.

If there was more transparency, the client could make a choice over how much they supply to the company. Pre-packs have been used recently by retailers including the tea and coffee specialist Whittard of Chelsea, Officers Club and Envy to name a few.

So what actually happened? Basically Mosaic (the parent company) owned Principles, Shoe Studio, Oasis, Warehouse and Karen Millen among others. With debts of up to £450 million. Yes, that’s million pounds Sterling, they couldn’t keep refinancing their loans in the current economic climate. They entered the pre-pack agreement in order to shed some unprofitable sites, and if we’re honest, a lot of debt, so their debt total would be more manageable and make them more attractive to investors.

Now Mosaic were partly owned by Baugur,(the parent of the parent company if you like) Baugur are an Icelandic investment group who snapped up stakes in brands on the UK high street on a ten year shopping spree, their investments included House of Fraser, Hamleys, Iceland and of course Mosaic. The Baugur group hit the buffers in the wake of the Icelandic banking collapse in October and after building up debt as it expanded.

Baugur has now filed for bankruptcy after Icelandic courts refused to grant its application to extend its protection from creditors(Hmmm rather an interesting concept really). Baugur had to file for bankrupcy after its UK arm was forced into administration by Landsbanki, although they still have stakes in All Saints, Jane Norman and Whistles. Management at some of these retailers are now looking to make deals exploring debt-for-equity swaps or management buyouts.

So the knock on effect down the chain is clearly visible. What hasn’t been transparent up until now is the sometimes perilous life cycle of retailers. I remember years ago the MD of a very cool chain of 27 shops telling me that his stores didn’t make a profit for 10 months of the year. At the time I was shocked, as independent retailers just don’t have that luxury! Try having that conversation with your bank manager as the owner of an independent business – it will be short !

As small businesses we may be standing in awe looking at the huge figures that these businesses are talking about, but the principles are the same, whatever the size of business, don’t borrow more than you can afford to pay back…!

So, what’s the moral here? Well, the most obvious one is that borrowing in a vibrant economy is ok, but in a contracting economy, spare money is scarcer than hen’s teeth, and if you’re going to borrow an insane amount of money, you’d better check out not only your lender, but your lender’s lender and so on up the food chain.

As the saying goes “Follow the money ! ”

Why life is like a sausage machine….

Monday, March 16th, 2009

Life is like a sausage machine !

Life is like a sausage machine !

We live in challenging times. Credit crunch, full blown recession, doom & gloom or comic relief raising £41 million, sunshine and daffodils…

What’s the truth about our situation? Simple. It’s whatever you focus on !
Whatever we think about daily determines how we feel, what we’ll do and ultimately what we’ll have.

The media are strangling the lifeblood out of the word recession and having a field day with it. But you have to ask yourself why? Have you ever noticed that the media uses negative anecdotes even when the news is primarily positive? For example: factory wins fabulous new contract ! How brilliant, but it may not be in time to prevent Dolly the duck from having to move nesting ground(or whatever) (cue sad picture of Dolly the duck).

Why do they do this? Simple, because bad news sells ! We’ve all heard this, but what does it really mean? News has to sell – it’s the primary reason for its existence, its not that they’re really altruistic, and want to make sure we’re completely informed – honestly, its not.

Bad news sells more because it creates a sense of urgency in us. We feel that we need to know more in order to prepare ourselves. Eg: you’re walking down the street and you see the newstand with the title : “Lovely evening ahead” you smile and walk. But if the sign on the newstand says “Terrible snowfrenzy coming” you’re likely to buy the paper to read about what you should do, to protect yourself and your family.

Its not really the fault of the news media – they’re simply feeding the public what the public responds to….!

So you’ve got to be careful what you allow in from this onslaught of doom and despair. Remember the old adage, Rubbish in , Rubbish out !

I love the analogy from the Minister for Inspiration : “Life is like a sausage machine” You know the old kind of sausage machine with the turning handles. Think about it, if you put into the sausage machine – despair, overwhelmed and lack of control – guess what’s going to be in your sausage !
Yep, you got it – you’ve got a sausage full of despair, overwhelm and out of control ! Tasty? Would you feed it to your staff ?

So we have to make intelligent choices about which information we allow in.

Have you noticed that in order to make yourself feel down about something you have to generalise. The economy is terrible, the customers haven’t got any money, the staff don’t care. But when you look at these things closely, they just don’t stand up – When you get specific – “the economy is terrible”. But is it really? Is it for everyone? Or are some people making a lot of money?

This is pretty hard hitting stuff, and I can imagine some of you out there asking stuff like: How can I make myself miserable Rachel?
Well, that’s easy. Focus on what you don’t have, what’s not working and why it always happens to you….!

But in all seriousness, the real and lasting danger in negative thinking, is subscribing to the belief that its crap for everyone. How we look for evidence that its rubbish for all the shops next to us, so its ok not to try then, because its just the way it is. Psychologists call this “Learned helplessness” It’s an actual social phenomenon, but the good news is that its an opt out phenomenon!

What we need in this situation is a balanced view.

3 steps to getting a clear view:
1) See it as it is. – exactly as it is, not worse because then you’ll get overwhelmed
2) See it as better than it is now.
3) Make it like you see it ! - Make a step by step plan of how you’ll get to your
vision.

Now is the time to get really curious about what you could be doing? It’s the time to focus on solutions – not problems ! Focus instead on the value you can add. Look for areas that you’re sure you can add value in.

What could you do differently? Are you doing the same things everyone else is doing? Advertising in the same places? What are you doing to make your business stand out?

We live in a time of uncertainty – we can’t look to the past for answers. The present is a very different time to the last recession of the 80’s

Now then, pay attention here, because this bit coming up is important…..!

We all posess a reticular activation system ! Yes, I bet you didn’t know you had one of those ! What on earth is a Reticular activation system I hear you ask? Lets call it RAS for short to save my fingers.
Well, its like suddenly getting a focus. Eg, It’s the feeling you get when you buy a new car, and suddenly you notice this type of car on the roads wherever you go, whereas you’d never seen any before. That’s your RAS !
My point is, that we live in an information age. We are bombarded with it, there’s so damn much of it its hard to know what we need to pay attention to and what we don’t.

The smart thing to do would be to set your RAS to your specific business questions. What do you want to accomplish? What’re your goals …? Then you’ll be looking for answers to this question.

One way to do this is by modelling. This is where you find someone who’s getting the results you want and go ask them how they do it? You tell them what you know, and ask them what you don’t know that you need to know ? For example: If you were mountain biking down a new and dangerous trail, wouldn’t you take an experienced guide with you the first time, a) to keep you safe and b) to get the maximum enjoyment out of the trip?

You can look at people or companies outside your particular sphere, in fact that’s probably the best thing to do, whether it be a tyre changer or a beautician, we can all learn from each other.

Ask a better question…!

Friday, March 13th, 2009

question_mark-1We spend our whole lives thinking, or at least we think we do. After all, what is thinking? What’s the actual process of thinking? What do we do when we’re thinking?

Well, what we actually do when we are thinking (or think we are, stay with me here) is we ask questions ! You can really see how the world breaks down into two camps from the questions people ask themselves….

For instance, If you want to lose weight and you can’t seem to, you might ask the question? Why can’t I lose weight? Then your brain will tell you “because you’re a fat pig that’s too lazy to exercise, that’s why!” So you go round again in the same old familiar circle, trying to lose weight, not really doing it, and feeling bad about it.

I’ve used the weight example because it’s one that we’re all pretty familiar with, but it could be anything: forming a new relationship, opening another shop, getting great staff…

So, given that our brains are programmed to give us the answers to the questions we ask them, (and quite brutally usually – lets face it, we all talk to ourselves much more viciously than we’d let anyone else talk to us!)

What can we do with this information? Well, the really interesting thing here is that if you want to move forward and out of the cycle of dispiriting answers, then you’ve got to start asking better questions!

So, to go back to our old fat analogy. If, instead of asking “Why can’t I lose weight?”, we had asked “What can I do to lose weight?”, we’d have got an answer something along the lines of: Exercise; eat sensibly; have a goal to aim for; a reason to be setting out to lose the weight; a losing weight partner; a trip of a lifetime as a reward etc. So, our brains know the answer to the questions, if we just ask the right questions.

So, now then - Recession ! Now that’s a word that’s pretty much guaranteed to strike fear into the hearts of full grown men and women.

Instead of us fearing the recession (and that does seem to be the national psyche at the moment) with everyone running around asking how can this be happening to me? What about my job? What will become of me?

How about we ask the question “What’s good about this recession?”

I think the answer will be along the lines of – Opportunity, a new way of looking at your business, using our brains to work out how to respond, instead of just doing the same old things we’ve always done. Shedding stock, moving resources that we should have moved a long time ago, coming out of lines that never really worked for us, but we were attached to, looking at new markets as an opportunity rather than another thing we have to do and a host of other things waiting to be explored.

Retail is changing, shops are changing, jobs are changing, technology is changing - heck, life is changing! So why would any of us think it should somehow stay the same…? If you want to move on, then you’ve got to take something on…!

In the words of Bruce Springsteen, “these jobs are going boys and they ain’t coming back!”

Another great speaker that I’ve admired for years, Jim Rohn famously said “Don’t wish it was easier, wish you were better!” - which is fabulous advice at a time like this…. So the questions we could be usefully asking ourselves are things like : What have I learnt recently? What new skills or training have I invested in? How can I develop my marketing? How can I widen my horizons and get really excited about the future?

So if you want a better answer – Ask a better question?

The lipstick effect - Adding value in a recession.

Wednesday, March 11th, 2009

The lipstick effect

The lipstick effect

What on earth is the lipstick effect?

Well, the lipstick effect is one of the consumer trends forecast for 2009. Basically, there’s good news and bad news. The good news is that “consumption is more resilient than people might think” and the bad (ish) news is that the consumers mindset has turned to “recession-spending”

So, the idea goes that in a recession spending mentality, consumers veto expensive holidays and cars, but as life goes on and they still want some treats to look forward to, they save money in one place while treating themselves in another. So while they’re buying own brand groceries, their weekly treats will be more luxurious. Clarins hand cream as opposed to Atrixo, ladies, or a massage instead of a T shirt !

This self-treating phenomenon, will be really important in 2009, and will lead into other areas such as health and general well being. As people hunker down and retreat into their own homes more for entertainment and solace. Spending on homes is supposed to rise as people anticipate spending more time in their homes and entertaining more often at home. A move called “cocooning” which makes a lot of sense, particularly for some people there’ll be a worry about maintaining their homes, so the home automatically assumes more value than its had in the past.
On the shopping front, there’ll be a lot of loyalty for brands that focus on quality and value, and value can be interpreted, not only in the financial sense, but in the broader sense of adding meaning to our lives. So we can expect brands to be advertising through the recession.

Rather unsurprisingly, conspicuous consumption is expected to become less trendy and accepted, so bling is out, and care over your choices is in. This also ties in with the general trend for “thriftiness” and knocks on into the “green” trend.
On-line shopping is set to continue rising, for many reasons, simplicity and comfort of purchase(no lugging boxes around crowded shopping centres), hidden purchases (What this old thing? I’ve had it ages !) the ability to check prices with ease, and the fact that the internet has made certain types of business transparent. While the experts say that for marketing and PR purposes, online social networking sites are doing the business, and innovative online campaigns are thriving.

Although I don’t want to disparage the expert trend analysts, on a personal note, I have to say that town this weekend was swinging, the restaurants were all fully booked, shops were busy, there were queues and people seemed upbeat, indeed looking about the restaurant on Saturday night, the only question you’d be asking is “What bloody recession?” But maybe that’s just my small neck of the woods?

The real question for retailers is how can we take this knowledge and adapt our businesses and our offer to these changing consumer trends. If we’re smart the next question is how we can use the messages contained in them for our advertising and marketing?

Buzz words such as saving, treats and value are obvious winners, but how else can you promote the value in your products?

In a contacting economy people are more sensitive to receiving genuine value, they want to be sure they’re getting a good deal. So businesses that deliver value can actually do better during a recession. So instead of focusing on making more money, why not put your energy into creating and delivering real value. Find out what people REALLY want and then figure out a way to give it to them.
Note that it’s a two way process, well, three actually, you’ve got to find out what’s missing for your customers, create something to fill this gap and then go and deliver this product or service…..

So finding means – really searching for some answers ! Creating means putting your unique talent to work to plug a hole in someone’s expectations and delivering means – Making sure you’re actually getting your product or service across and people are actually benefiting from the value you’ve created.

If you don’t do all three, then it’ll be hard to receive value (money in return) If your shop is beautiful but no-one knows you’re there then you haven’t created value. If you have amazing products that will make consumers feel good, but they don’t know about them, then you haven’t created value.

Make sure you spend your time equally, finding, creating and then delivering, please remember that delivering doesn’t simply mean advertising, get creative around this area – why not set yourself a budget, say £50 and see what you can create for this, rather than waiting for magazines to call you…?

The fortune is in the follow up…

Monday, March 9th, 2009

Here's a good idea !

Here's a good idea !

Do you follow up on all your contacts and leads? Honestly? Hmmm, more than likely you’re not doing enough follow up. I haven’t seen any small business owner yet who is, and I include myself in this category.

Often it’s because you have no time to get it done, or no idea what to write or send your customers or prospects? But think about it, could you contact all your past customers with a special offer, some news about new products or trends that they should be aware of? How hard could that be?

The bottom line is that if you’re not keeping in touch with your customers, prospects and contacts on a consistent and effective basis, then you’re not only missing out on a lot of sales, but you’re also leaving your contacts wide open to being seduced away from under your nose.

You’ve basically got to own the market share of your customers brain for your particular product or service. I think one of the army general’s said it best - “It’s a battle for hearts and minds” He was talking about Iraq, but the sentiment is the same.

You need to be at the forefront of their minds, on the top of the morning post and in the inbox on their computer, and basically in their face – so that they’ll think of you first when they need to buy your particular product.

It’s an idiosyncrasy of our mental hardwiring, that we ascribe people and companies traits (in our own minds) We have to do this in order to process all the information that comes to us on a daily basis. Otherwise we literally couldn’t process the world around us in time for us to function regularly. Our brains need to create some shortcuts, so that once we’ve evaluated someone or something and decided what it means to us, it’s pretty hard to change our opinions on the subject.

Some companies take advantage of this and even create ownership of particular words in our heads, I’m thinking of Volvo and the word “safety” for example, or Kate Moss and the word “edgy” You could argue that President Obama owns the word “hope” You get my point?

So what’s the best way to gain this market share? The answer is of course, that it depends – on you, your personality, your creativity, your type of business, the amount of money available to you and even maybe your technological knowledge.

So while we figure this one out, the key question to ask yourself is: What can I do, given what I have to create a blanket around my customers so that none of my competitors can snuggle under the blanket? So that if they come and try to lift the corner of the blanket your customer will tell them “Sorry, x is sitting here, this seat is taken!”

What can you do to generate that kind of loyalty, what can you give, send, share or create? Don’t rattle your brain alone trying to figure this out, ask everyone you know, you’ll be surprised where the answers might come from.

Just make sure its something you’re excited about doing – that way you can be sure you’ll stick to doing it !