FRAM SYSTEMS ^blog

When times are good and your stores are busy you may not pay very close attention to every sale person’s performance. When time are tough you had better scrutinize how each of your sales people are doing. This is important not only for your bottom line sales, it also gives you the opportunity to grow your sales people into more aware, more productive employees while increasing their income opportunities and satisfaction.

Start out by a careful review of your sales staff’s KPI’s. Key Performance Indicators (KPI’s) are quantifiable measurements that measure the effectiveness and success of your organization in general and, for the purposes of this article, your sales people in particular. For sales, some of the indicators you might measure can be the amount of old costumer’s contacted and the sales generated from these contacts, or the number of potential customers contacted and the sales derived from them. Although the scope of KPI measurement is beyond the scope of this article, keep in mind that whatever indicators you decide on, they must reflect the organization’s goals, they must be vital to its success, and they must be measurable.

One area for retailers to consider is scheduling. Try to discover if there is a correlation between your best performers and their schedules. Quite often we find that the best performers have similar and consistent hours. For example, evenings and weekends or other high traffic times. You may also find that your best performers often work the same shifts. They may either be in competition with each other or may have a very cooperative relationship that boosts all their numbers. Whatever the case, uncovering these relationships and dynamics will lead to your building a stronger sales force overall. Change the schedules to let some of your weaker sales people work the premium hours and institute programs that encourage the top performers help those less successful. Always make sure your best performers are in the store when you need them and make sure you reward cooperation, as well as, sales figures.

To make this work I recommend a tried and true system taken directly from military operations planning called the plan, brief, execute and debrief cycle. This consists of starting each day or shift with a meeting. You, as an owner or manager enter the meeting with specific goals for that day or shift. The goal could be increasing product knowledge, dealing with difficult customers, up selling, cross selling or any specific task that will directly and measurably impact the dollar amount of business you do. During the meeting involve everyone with specific tasks and talk in detail about how to achieve them. Leave room for your sales team to give constructive input and don’t tolerate anyone getting off track. This meeting shouldn’t take more than 15 to 20 minutes.

During the shift pay attention to how your sales people are accomplishing the tasks you set forth. Provide coaching where necessary to help your staff and never make it personal. If you observe that something could have been done differently or better, if an up sell opportunity was missed, whatever you feel needs improvement, simply demonstrate you technique to the individual and make sure they pay attention. Have them try again while you observe or even role play them.

The real learning takes place at the end of the day during the ‘debrief’ where you can discuss what happened during the shift. Talk about what you observed and have everyone share their experiences. It’s your job to keep these meetings positive and impersonal. Listen for new ideas and be sure to find something good to say about all your team members. If negative criticism is necessary, and it rarely should be, do it in private.

If you work with a management team, it is your duty to ensure that they all run this cycle every shift. Make it mandatory, make it habit and make it motivating. Pay close attention to your managers and make sure they act in a consistent manner. You never want a situation where one manager countermands another’s instructions. Instead, if questions arise they should be dealt with you and the other managers. Most importantly, managers should always be available to them sales team to guide, teach and help them make and increase sales.

When things slow down in retail like now with the economy in turmoil, you still need to make sales. This is when the competition will really pour on the heat. Here’s what you can do to keep your sales up.

Get the message out

Advertising and Marketing are critical now. Think of it this way: with fewer dollars being spent, there’s simply going to be more competition for those dollars. Get the word out about what makes your store special. You do this by increasing advertising. Try new avenues such as direct mail, telemarketing where appropriate, newspaper, radio and even television. Whatever you do, make sure to can measure the results of your efforts so you can fine tune what combination of media and message pulls the best for your store or location. The mix won’t be the same in very market so you have to continually test and tune. Hiring an experienced marketing expert is probably a good and profitable investment because of the time and effort and expertise required to do this right. Try find one that will work on the fruits of their efforts such as a percentage in the increase of sales instead of one that charges a flat fee or on a project or time and material basis. That way they are motivated to give you their best work.

The Price is Right

Everything has a price and everyone knows that the right price is the price someone is willing to pay for your product or service. When times are tough, like they are now, be sure that you are making the right deals with your suppliers to keep your costs down and your store more competitive. You want to be able to make a profit and still be competitive in your market. It helps if your market is exclusive or high end and you are directing your marketing message and pricing strategy to an audience with deeper pockets that are more like spend with you.

Also consider pushing for better deals and longer payment terms from your suppliers, they are likely feeling the pinch too and may be willing to help you out to their sales figures up. Consider taking new lines or diversifying your offerings.

Keep it fresh

Freshness isn’t only for grocers. Keep the look of your store new and exciting. Give your steady and loyal customers a reason to come back in and take a look. Revise your layout to take maximum advantage of impulse sales and cross merchandising. Consider changing your lighting and adding multimedia displays that capture attention, promote and educate your customers. Now might be the right time to speak with an experienced store planner. They can help get the most sales opportunities from every square foot of selling space and may also be willing to work cheaper or do more for less money in these tight retail times.

Now with all the strategies available to you don’t let the basics slide by. Your current customers already know and trust you and will be willing to support you now. Emphasize customer service. Brainstorm with your loyal customers and fans to better understand their needs and desires and how you, as a retailer, can satisfy them. Show them you appreciate their business by immaculate attention to detail. Reward them free or low cost extras that make their experience with your store an extraordinary one. When you go the extra mile for them, they’ll go it for you. Make sure new customers go on your mailing list and don’t be shy about asking for referrals.

Stay focused. Tough times don’t last for ever. Keep your eyes peeled for new opportunities and better ways of selling in your market. They’re always out there. Engage your managers, sales staff, clientele, consultants, bankers and other professionals in helping you discover them. Don’t give up but keeping trying and persistent.