How to buy ‘sales’ and profit growth for summer, Christmas 2009

 

Last week we spoke to preparing your OTB for summer, Christmas 2009.

 

This week we speak to ‘how to buy sales and profit growth for summer, Christmas 2009.

 

Firstly we have moved from a ‘want to buy discretionary spend’ retail market to a ‘have to buy necessity, replacement and semi-basics / basics retail market’.

 

Moving from a passive shop front profile to a proactive value proposition profile will be a given.

 

Understanding this change in consumer buying behaviour sets the stage for retailers ‘buying’ sales and profit growth for summer, Christmas 2009.

 

We are going to assume that your OTB has flattened price points, taken a minimum 5% of purchases away from high risk ranges and added the minimum 5% of purchases.

 

We also assume that your store layouts for summer, Christmas 2009 reflect layouts that have KPI’s set making sure that every fixture is geared to make a profit; no passenger space allowed.

 

It is also assumed that a hero line or range has been defined for each product category.

 

Taking these assumptions you are now ready to plan promotions to ‘buy’ sales and profit growth for summer, Christmas 2009.

 

Recommendations.

 

  1. Plan for monthly ‘refresh’ signing for chosen hero ranges.

 

  1. Change windows from display windows to proactive selling windows.

 

  1. Make sure that the magic 10 feet, magic 3 meter store entrance has compelling value proposition offers to take market share away from your competition.

 

  1. Have your hero ranges front and centre on your web-site.

 

  1. Start lay-by promotions early.

 

  1. Create value proposition packages for each category.

 

  1. Stiffen up silent salesmen signage to promote product benefits and features.

 

  1. Promote value propositions via loyalty programmes.

 

  1. Move away from profit draining’ just discount’ promotions lifting ‘value propositions’ with some discounting as the new marketing emphasis for summer, Christmas 2009.

 

  1. Make sure that you have ‘hot’ buy-ins to counter expected savage competitor discounting from early December 2009 to end February 2010.

 

Now is the time to plan; first market break Fathers Day September 2009 followed by 2009 Spring School Holidays.

 

Planning for summer, Christmas 2009 demands the attention of your management team now.

 

Radical changes will be required in buyer thinking, marketing thinking and store layouts to prepare for summer, Christmas 2009.

 

You are running out of time.

 

For a planning session on summer, Christmas 2009 email Planning Sessions summer, Christmas 2009.

 

Tony Standley

Principal
The RETAiL Alert Group (Australia)
Mobile +61 (0)41 924 0497
e-mail info@adsass.com.au
Fax +61 (0)2 9987 0633
Website http://www.retailalert.com.au
 
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