To most retailers, zoning a store means assigning an
associate to a particular area.
To retailers who want
to deliver memorable and effective customer experiences
it means to focus on certain customer activities in
different areas of the store.
Here are the three zones for everyone on the team:
Zone #1: The No-Engage Decompression Zone. The
decompression zone is the area a customer enters
immediately after walking into your store. The size of
the zone depends on the store's overall size and layout.
For some retailers the decompression zone might be only
three feet wide while in other stores it could ten or
twenty feet wide. Whatever its size, we should avoid
engaging customers here. Customers need this time and
space to acclimate themselves to their new surroundings.
A big mistake many retailers make is greeting and
engaging customers while they are in the decompression
zone. Watch how customers react when they are engaged
too soon after they enter a store. They seem almost
surprised to be greeted and are much faster to say they
are just looking. They are also much more likely to see
the staff as pushy and overbearing compared to stores
that let the customers get through the decompression
zone before engaging them. I strongly encourage you to
identify the decompression zone in your store.
Zone #2: The Welcome/Greet Zone. This is obviously
the area right after the decompression zone and this is
where customers should be welcomed. By keeping the
welcome to this area you prevent customers from being
over-greeted. When customers are over-greeted the store
staff appears insincere and pushy. Customers by and
large find being over-greeted to be extremely annoying;
I've left stores because of it. Once customers leave
the Welcome/Greet Zone you should only greet or welcome
them if you are positive that no other employee has done
so.
You might also consider "banning" closed-ended
questions and certain phrases in this zone including,
"How may I help you?" and "Do you have any questions?"
Zone #3: The No Shadow One-to-One Zone. After the
Welcome/Greet Zone is zone three, which is most of the
store. It's in this area that experiences are delivered
and sales are made. Or not. As we saw last week, being
too overbearing in this area can actually upset
customers. That's why zone three is a No Shadow Zone.
The goal in this area is to engage the customer in a
one-on-one conversation. Not a sales pitch per se but a
conversation to get to know your customer and develop a
relationship with him/her.
If your customer clearly wants to be left alone then
by all means do so. And this doesn't mean just stopping
talking but also giving him/her the appropriate physical
space to enjoy your store. No shadowing! I'm sure that
if your customer has a question or wants to buy
something he'll find you.
The no-shadow rule of course does not apply to people
you suspect might have less than honest intentions. If
you believe a customer is interested in your products
but not so interested in paying for them then of course
you want to show them so much attention they get annoyed
and move on to another store.
Owners/managers of stores that aren't already
sectioned into zones may well want to review this three
zone system. You'll find that such an approach goes a
long way to ensuring that every customer has a great
experience and has the opportunity to share their money
with you.
April 30, 2008
The Four Me
Managers
In
working with retail managers I've observed four different
styles of management.
The first is the "Like Me"
approach. This person manages by being one of the gang.
They try to get everyone on the team to like them so the
employees will want to achieve their goals for the
manager. They dislike any type of conflict and work hard
to have team harmony.
The upside to the Like Me management style is that it
makes for a fun place to work since the team usually
enjoys each other's company. The downside is that Like Me
managers often don't hold their employees accountable to
the appropriate standards because they don't want to risk
people disliking them. They are also less likely to
confront unacceptable behavior or deal with internal
conflict. It's peace at any cost.
Another style is the "Fear Me" approach. Under the
disguise of high standards, these autocratic managers rule
with an iron hand. While the advantage of this management
style is a high and consistent level of execution, the
price is high. The staff is rarely happy and has zero
loyalty to the manager. Why should they? They usually
feel underappreciated and are shown little respect.
While the Fear Me manager offers some short-term
success, in the long-term they will fail not just because
the staff will not continue to respond to the Fear Me
manager's threat but also because they don't especially
want the manager to succeed. The sad part is that the
majority of Fear Me managers don't even know they manage
this way. They see themselves as tough or demanding but
unfortunately the only way they know how to show toughness
is through fear and intimidation.
The third style is the "Skate with Me" manager. This
person often has some of the same traits of the Like Me or
Fear Me manager but they lack motivation. Their only goal
is to do enough to get by. They live to stay below the
radar and not create any waves.
Skate with Me managers are usually well-liked because
they're so easy to work for. They only demand enough of
their employees to meet the minimum standard. The problem
is that Skate with Me managers bring the other employees
down with them. I have met some very talented employees
who never rose to their potential until we moved them away
from a Skate with Me manager.
The last managerial style is the "Follow Me" manager.
These folks lead as much as they manage. They understand
that while it's nice to be it's more important to be
respected. Follow Mes lead by example because they have
extremely high standards for the store and for themselves.
Their staff doesn't fear the Follow Me but they also
know that the manager has no problem calling out them out
when they under-perform. They also know that this is
balanced with recognition and encouragement. People grow
and develop under the Follow Me manager and often go on to
become Follow Me managers themselves.
Looking back, I see that I have been all of these
mangers at one time or another. When I was a young manager
I was a Like Me. When I took over an under-performing
store I tried to be a Fear Me manager but failed
miserably. The staff needed to be held to a higher
standard but they needed to be lead, not driven.
At one time I was burned out on retail and was slowly
becoming a Skate with Me manager. It was only after I
left retail for a while that I fully recognized this and
realized how that harmed not only me but my staff the
most.
I'm also proud to say I can look back and see that I
was successful because I evolved into a Follow Me
manager. I grew into being a manager that led with
respect, humor, and a positive attitude. Most of all, I'm
happy to say I created other Follow Me managers, and that
is the best legacy that any manager can leave.
So let me ask, which Me Manager style have you been
lately?
April 23, 2008
What's it
Going to be Today: Distractions and Reactions or Actions and Satisfaction?
I got a call the other day from a retail colleague of mine
I haven't spoken to in a long time. We talked about family
and mutual friends, and then the conversation turned to
work. He said that his business is off from last year and
immediately launched into an economic dissertation worthy
of the front page of The Wall Street Journal.
He started with "the recession that started a heck of a
lot earlier than the feds want to admit." From there it
was the collapse of the housing market, the rising price
of gasoline, spiraling food costs, tightening credit, and
consumer confidence. I think he eventually even tied in
Paris Hilton but I'm not sure because by then he had lost
me.
When he was done ranting I asked, "But aren't
those just distractions? A lot of stores are
hitting their goals."
And off he went again. This time he told me about all
the challenges he faces as a result of the above. His
payroll was cut, his marketing budget is down, his
inventory has been reduced and his travel budget was cut,
which he doesn't seem to really mind since it means he is
home more.
To which I replied, "But those are just
reactions to the distractions. What are you doing
to help your stores achieve their DAILY goal?" There was
a long pause on the phone, and then he said, "Probably not
as much as I should be doing."
My old colleague is an excellent motivator. He's
wonderful with people, he's a great coach, and people love
working for him. But he's gotten so caught up in the
distractions and the reactions he can't control that he
hasn't been doing the things that will enable his stores
to succeed.
I reminded him that he could have a great year by just
having a successful day. Today. That's all it takes. One
day. If he can lead his stores to hit today's goal in
spite of the distractions and reactions then he is on his
way.
I told him to forget everything he just ranted about.
I jokingly suggested that he clearly needs to spend less
time online or watching the news. What he needs to do is
figure out what actions he and his managers can take to
achieve today's goal.
The actions he needs to take today are no different
than last year or even five years ago. Be a great leader.
He needs to encourage and motivate his team, set high
expectations, coach them to achieve those expectations,
and take action if someone is falling short. How he does
those things might be different than before, but the
actions are the same. Because he manages managers he also
needs to make sure this is happening in every one of his
stores.
It was a great call for both of us. I was energized by
the conversation and you could hear the difference in my
colleague's voice. He seemed excited to get off the phone
and do what he can to make today's goal.
Of one thing I am absolutely certain. If we
set aside distractions and reactions and focus on the
right actions, we'll receive the satisfaction of hitting
the one goal that's most important. TODAY'S.
So regardless of your position, what actions are
YOU taking to achieve today's goal?
April 16, 2008
50 Ways to
Improve Your Customer's Experience
Three years ago I shared with readers a list of 50 ways to
be more customer-focused and deliver a better experience.
I've decided to update the list and publish it again.
It's a bit long so you might want to print it out and read
it later. Even better, check off those actions you and
your team take on a regular basis.
Here are 50 Ways to
Improve Your Customer's Experience:
1. Open the door for your customer whenever possible.
This is especially important if her hands are full.
2. Don't just hand your customer his product, "present"
it to him.
3. Keep the store temperature at a setting that is
comfortable for customers. Most retailers set the
thermostat at what's comfortable for the employees.
4. Acknowledge your customer's children.
5. Offer to gift-wrap purchases if you already know it
is a gift. Don't wait for your customer to ask.
6. Always suggest accessories and other items that will
enhance a customer's purchase and his/her life.
7. Offer to carry your customer's purchase, however big
or small, to her car.
8. Send handwritten thank-you notes. Come on, do you
really do it?
9. Smile.
10. Introduce yourself to your customer.
11. Ask your customer her name. Use it.
12. Compliment your customer on his purchases. This is
especially effective if he is another staff member's
customer.
13. Don't give your customer too many choices. You're
the experts, so recommend a product based on what you
learn from him/her.
14. Tell her why a product isn't right for her.
15. If you can't fulfill a customer's need, suggest
another company that may be able to do so.
16. Never ever say something negative about another
company.
17. Act just as happy to see a customer with a return
as you are one who walks into make a purchase.
18. Make it easy for customers with returns. Almost
all customers are honest and should be treated as such.
If you have to give a customer a refund, end the
conversation with "I'm sorry this product didn't meet your
needs but we will welcome the chance to serve you again."
19. Warmly welcome every customer who comes into your
store.
20. Loan umbrellas on rainy days for customers to get
to their cars. Ask them to either drive up to the
sidewalk where you are waiting to receive the umbrella
back or to bring it back on the next visit. Most
customers will turn you down but you score major points
for offering.
21. Don't interrupt the customer to talk. Talk -
listen - talk - listen. You get the idea.
22. Do whatever you can - within reason - to keep an
unhappy customer. What you'll lose on the one transaction
you'll make it back because he will tell his friends and
family how wonderful you are.
23. Refrain from visiting with a colleague when he/she
is with a customer. It's distracting to both the customer
and the colleague.
24. Never rush customers out at closing time. Gently
let them know that you'll be closing in a few minutes.
Never flash the lights or sound the air horn. (I'm
joking.)
25. Offer to teach your customer how use the products.
Clothing and home goods retailers might show their
customers how to accessorize the items he/she have already
selected.
26. Never blame the company for a policy or decision.
You are the company.
27. When a customer says "Thank you," say "You're
welcome."
28. Add "It's my pleasure" after you say "You're
welcome."
29. Provide written details of frequently asked
questions.
30. Don't coach or reprimand an employee or colleague
in a customer's presence.
31. If you're on the phone with a customer and you
absolutely must put him on hold, tell him approximately
how long he will have to wait.
32. Don't interrupt an employee with a customer unless
it's extremely important.
33. Create a children's craft area in your store so the
kids can create art while their parents shop.
34. Give your customer your undivided attention when
she is talking. Everything else can wait.
35. Accept responsibility when the store has made a
mistake. Too err is human. To not admit it is stupid.
36. Empathize with upset customers. Say you're sorry.
37. Offer free drinks to your customer.
38. Give a gift for no reason. Even better, give a
gift for being such a great customer.
39. Have the owner or manager personally call a
high-ticket customer and thank her for her purchase if the
sale was made by another staff member.
40. Loan books and other resources at no charge. This
positions you as an expert and creates repeat traffic.
41. Ship a replacement to a customer with a defective
product before you receive the original back.
42. Open the doors early when customers are waiting
outside.
43. Provide seating for customers and offer to bring
them product to look at.
44. If you're busy and a customer is waiting for help,
give him an estimate of how long he'll have to wait for
someone to help him.
45. Stop cleaning and doing busy work when customers
are in the store. They're less likely to ask for help if
you're doing other things.
46. Partner with restaurants and other stores to
present exclusive discounts and offers to your customers.
(A win-win-win. The other company gets incremental
revenue, your customer saves money, and you're the nice
person doing it for both of them.)
47. No checking email or text messages on your phone
when customers are in the store. It makes you look bored
and nobody wants to shop in a boring store.
48. If you have to walk away from your customer to go
to the backroom or counter tell her what you are doing.
49. Always offer to contact your customer when a
product she wants comes in. Never tell her to call and
check.
50. Always thank as many customers as you can for
coming into your store and invite them back.
51. Always go above and beyond for every customer.
You can
download the 50 Ways to Improve Your
Customer's Experience article that's formatted as a
handout.
April 9, 2008
A Retail
Phenomenon Alert
Some of the retailers I've talked with recently have told me
that to some degree they are seeing less traffic than
previously. While it seems that most weekend traffic is
holding up pretty well, the weekday traffic appears to be
the most affected.
In talking with retail associates
during a recent mall walk I heard time and time again about
the slow days and lack of traffic. One employee commented
that "corporate" keeps telling them to "sell, sell, sell"
and she wanted to respond "to whom, to whom, to whom?"
The challenge is that the slower the store the less
focused and attentive the staff becomes. Now before anyone
becomes defensive let me say that I know this for a fact
from working the floor myself. I almost always executed at a
higher level on busier days than the slower ones.
Please put tongue in cheek and read on!
On slow days we all become victims of the dreaded "slow
store trance" phenomenon. You know the slow store trance,
don't you? The clock slows way, way down until you're no
longer sure it's moving at all. Then the yawning starts.
From there the only way to stay standing up is by leaning on
the counter or a fixture. Sometimes you don't even realize
you've fallen into the slow store trance. One sure sign
it's happening is that you spend an endless amount of time
talking about what you're going to have for lunch or dinner,
or what you're going to do that night.
The challenge with the slow store trance is that you're
unable to quickly snap out of it. When a customer comes in
you think you're operating at full capacity but you're not.
As a result you don't completely maximize the customer
opportunity, which then causes you to go even deeper into
the trance. It's an ugly spiral.
I'm sure you're wondering why other retail experts don't
write about this malady. I'd like to tell you that it's
because I'm the only one who is brave enough to take on this
fearsome subject, but the fact is most of them probably
don't have the vivid imagination I do. But I digress.
Here are some ways to avoid the slow store trance
and maintain productivity:
1. Use the buddy system. That's right;
friends don't let friends fall into trances. By using the
buddy system a staff can warn each other when they see signs
that a trance is approaching. Remember, those signs include
yawning, leaning, and endless talk about your next meal or
what you're going to do that night.
2. Remain focused on your daily sales goal.
Sales are to the slow store trance as garlic is to a
vampire. A laser focus on making goal is a sure fire way to
repel the trance and make the time fly by.
3. Roleplay. Whenever you see that a
fellow team member has fallen into the trance, use
roleplaying to help snap them out of it. Think of it as CPR
for the trance but thank your lucky stars you don't have to
put your lips on your co-workers.
4. Create mini-contests throughout the day.
For most employees, their competitive nature easily
trumps the conditions that allow the trance to take hold.
The manager/owner can even put up some small prizes, an
action that almost guarantee the trance will move on down
the street and take up residence with another retailer.
So what's it going to be today, an alert and sales
focused team or the dreaded slow store trance?
April 2, 2008
Obsession:
Your 2008 Strategic Competitive Advantage
One way to not simply survive but thrive during the current
financial (insert whatever word you'd like to use here -
situation, opportunity, challenge, crisis) is to become even
more obsessed about your customer's shopping experience.
Contrary to what some people are saying, customers are
shopping and they are spending money. Malls were packed with
shoppers last weekend. While consumers are not spending the
way they did this time in 2007 or 2006, it's not really that
far off. They're just being more selective in what they buy
and where they buy.
What I see when I walk malls and strip centers are
retailers who haven't changed many of their actions beyond
marking merchandise down faster and faster. Sure, customers
want value but they also want to feel good. As a specialty
retailer, part of your value proposition is how you make your
customer feel when he/she is in your store and, most
importantly, when he/she makes a purchase.
Is there any better time to make customers feel
good about their experience with you?
Since that retail experience is indeed part of your value
proposition, you must deliver a better experience in 2008 than
you did in the past. Failure to do so will have a direct
impact on both your top and bottom lines.
Ask yourself and your team these six questions about your
customer's 2008 shopping experience:
1. Does your customer feel a positive and energetic vibe
when he/she enters the store?
This usually comes from a combination of the staff's
attitude, quality of greeting, music, and other variables.
2. Is it clear to your customer that he/she is the staff's
highest priority - without being pounced on as they walk in
the door?
Some retailers have cut back staffing to a point that the
employee's priority is now completing tasks instead of
focusing on the customer.
3. Are you creating some type of memorable moment for your
customers?
What is happening inside your store that isn't happening
anywhere else? Is it that bottle of water your customer is
offered, a comfortable chair, a piece of candy or a product
sample? While the best memorable moments are usually the
result of your staff doing something spontaneous with a
customer, a planned strategic memorable moment is a very
effective tool.
4. Are your customers able to check out quickly when
they're ready?
Customers never feel good if they have to wait a long
time to finalize their purchase. Sometimes they don't even
bother. A friend of mine was at a department store last
weekend and wanted to buy over $400 worth of clothes but the
only register open was much too slow for him.
5. Is your store impeccable?
Not just clean, not just well merchandied, impeccable!
Beyond the staff, the store environment plays a big part in
the customer's experience. Are the product displays well
maintained Are new shipments put out quickly without
causing any disruption to the customer? Is the cashwrap
clutter-free?
6. Most important of all, is every single employee in your
company obsessed with your customer's experience?
That by far is the most important thing you can and
should be doing right now. Every employee in your company or
store should be obsessed with the customer's experience
because they know that it is the highest priority and
there's no one more obsessed about the customer's experience
than you.
So let me ask, are you obsessed enough to be a
strategic competitive advantage?
Note: A printer friendly version of this article to share
with others or to use in a store meeting is available
here.
Into Action Tip: At your next store meeting have
the staff brainstorm additional ways that they can add value
with the store experience they deliver. Think outside of the
box and use this as an opportunity to create an even stronger
strategic competitive advantage.
March 26, 2008
Helping
Customers Trade Up Not Down
According to Retailing Today, a survey by AlixPartners
of more than 7,400 consumers, shoppers are keeping low cost in
mind when making purchasing decisions. The survey found that
pricing is now important to consumers at all income levels, and
all were likely to shift "one level down" in terms of the type
of stores they shop, with aspirational high-end retail shoppers
shifting down to department stores, department store shoppers
now buying at mass-market stores and so on.
I have a bit of
trouble with the "all were likely to shift" comment
since it makes it sound like customers are all engaged in some
sort of mass exodus. But there is no doubt that some customers
may have to trade down and others are at least
considering trading down.
Does this mean that every retailer needs to drop their prices
or risk losing their customers? Of course not. What it does
mean that our employees must be able to articulate the value of
our products to our customers so they don't consider trading
down. It also means that we do need to price products with a
sharp pencil.
Consider focusing on attributes like durability and
versatility. This is usually a secondary consideration for
customers but could now be a key driver in their decision
process. When showing a woman a piece of jewelry a retailer
might point out that the piece can be worn with both casual and
formal attire. Or if a retailer is showing a jacket or a
handbag they might point out that many customers continue to
enjoy their jacket or handbag for many years.
Help your customer picture the use and pleasure the product
will bring them. I believe many customers trade down because
some retailers are treating the products like a commodity. Treat
every product and every purchase like something special -
because it is. For example, if a woman is looking at a silk
dress you could find out where she's planning to wear it and
talk with her about the place or event. This is the hardest
value to articulate to the customer but also the most effective.
Get the product in the customer's hands and demonstrate its
value. Open up that luggage and have them unzip some special
compartment. Get the phone in their hand and have them call
someone. Have the customer open and close those premium pruning
shears, just watch your hair! I bring this up time and time
again because time and time again I see people miss this chance
to demonstrate a product's value and transfer ownership.
Though some customers might trade down, continue to show the
customer the best product that meets their needs first. While a
retailer might be tempted to show their lowest priced product
first, that's really unfair to the customer. Always lead with
the best and, based on the customer's reaction, you can move to
a less expensive product if it's appropriate.
Remember that if a few of your customers trade down, so are
some other retailer's customers as well. So make sure you
continue to deliver the best experience all customers will
receive that day. No matter what, customers will always want to
do business with a retailer that respects them, appreciates
them, and makes them feel good. Add a great value on top of
those things and you, my friend, just made a sale.
March 19, 2008
An Education
from the Observation
One of my favorite parts of my job is spending time with owners
and executives in their stores observing how the staff goes about
their business. Sometimes improving some of the smallest details
can pay some of the biggest dividends. I decided today to share
with you some of my observations from a recent store visit.
* One employee always positioned herself in approximately the
middle of the store so she could greet and engage customers from
where she was standing. Another staff member stayed closer to the
counter that was in the back of the store. To greet and engage
the customer she had to walk towards them. It was interesting to
see that customers were more open and friendly to the staff member
who didn't have to physically move towards them. I'm not sure I
ever noticed the difference before but you could see how much more
defensive the customer became when an employee walked towards
them.
* The owner had coached the team to focus on making multi-unit
sales. One thing we observed is that about half of the team would
tell the customer about an additional product while walking
towards the counter. The other half transitioned to an additional
product in the same spot or led the customer to a different place
in the store. When we looked at the historical units per
transaction averages for the staff it wasn't surprising to see
that most of those who tried to talk about a second product while
going to the counter had the lowest average.
* I've talked about this one a lot but it was fun to see in
person. The best salesperson always got the product into the
customer's hand. It was obviously second nature to her because
I'm not sure I ever saw her hold a product except for the brief
moment it took to pick it up and hand it to the customer. We
observed that the less productive salespeople had a tendency to
point at products or just stand in front of them but rarely got
them into the customer's hands.
* I was really impressed with one woman's ability to engage
customers who said they were just looking. She would welcome and
engage a person and whenever they said they were just looking she
responded by thanking them for coming in and giving them a
10-second overview of what made the store unique. What made this
woman's approach stand out is that she never took it personally or
became defensive when the customer said they were just looking.
As a matter of fact her enthusiasm level was where it would be if
the customer had just said he would take one of everything in the
store. We compared that to other employees, whose energy level
dropped and approach changed if the customer said they were just
looking.
* One thing the entire team did well was to reinforce the
customer's purchase during the checkout. This is a skill that the
owner had clearly spent time teaching her staff. Every single
customer walked out of the store not just believing but knowing
that they had made a good purchase. I really liked when they
linked it back to something they had learned from the customer
when asking questions. Not surprisingly, this store's return rate
is extremely low.
I think the owner was quite surprised what we could learn in
just a few hours. It's not that these things are terribly hard to
see but you have to look for them and then put what you've learned
into improving your team.
So let me ask, when did your team last spend time observing the
fine details of each others sales and experience approach? I
think you'll be amazed at what you can learn that will improve
your store and your overall sales.
March 12, 2008
Coaching
Sales to Success
One thing I've learned is that high-performing store managers and
owners are extremely focused on being good sales coaches. I see
some managers and owners who are good people coaches and have
strong business skills but their stores never reach the desired
level of performance because they fall short in coaching sales.
One of the mistakes I made when I first became a district manager
was rewarding strong operationally focused managers before those
who were more sales focused. While running an operationally sound
store is certainly important, I now see that a manager/owner needs
to be focused more on coaching sales than running a perfect store.
Here are some of the activities I see those high-performing
sales coaches carry out on a regular basis:
1. They coach each individual - as well as the team -
to perform at a peak level. Many managers have a tendency
to coach the team as a whole but unless they work with each
individual the team will never reach that next level.
2. They regularly meet with each individual as well as
the team. High-performing managers and owners know that
constantly communicating with their team is key to their success.
Taking time to meet one-on-one with their team at least once a
month pays huge dividends. They use the time to discuss the
employee's strengths as well as those areas that need
improvement. A mentor of mine once told me that if every employee
doesn't know what areas they need to work to improve then you're
not effectively coaching your team.
They also have a monthly staff meeting that no one would dream
of missing. Those meetings are used to improve the team's
teamwork and performance by focusing on training and business
development. These managers/owners never use this meeting to
communicate information that transmitted in a memo or one-on-one.
Having the team all together is so valuable that the time should
never be used for anything except improving the team and business
results.
3. High-performing sales coaches have their team
focused on the behaviors that improve sales performance.
The key word is behaviors. High-performing sales coaches know
that right behavior drives the desired results. Just talking
about the desired results isn't enough; you have to teach people
what those behaviors are. I have sat through countless rah-rah
meetings where a manger/owner went on and on about making goal but
never once said what the team needed to do to achieve it.
In sports, before every game a coach will meet with his/her
team and tell them what they need to do to win. They don't just
say "Go win the game," the players already know that; they tell
them how to win.
4. They spend a lot of time on practice and feedback,
feedback and practice. High-performing sales coaches
never miss a chance to praise an employee and tell them what they
could do better. They find the time to roleplay every day until
it becomes second nature to the team.
So let me ask, are you a strong sales coach?
March 5, 2008
Win Like
Joey N.
Let me share a quick story with you. Joey was 10 years old when he
played on a Little League team with kids who were both bigger and
older than he was. Because of this he was intimidated when it was
time to join his team.
Joey talked to his father about his concerns playing with the
bigger and older boys.
Joey: "You know, Daddy, those other kids are so good. I don't
have a chance."
Father: "Well, then you take that uniform off right now. Take
it back to the manager and tell him that you can't make the team
because the other boys are better than you."
Joey looked at his father with sad eyes: "Oh no Daddy, I can't
do that."
Father: "If you can't make the team, what's the use of keeping
the uniform?"
Joey: "But Daddy, they're so good."
Father: "You're good too. You can field grounders. You can hit
the ball. You know where to make the plays."
The father gave Joey a choice; return the uniform or practice
with the team. If, after practice, he didn't feel he was better
than every other kid, he should quit.
Joey said he'd try.
As it turns out, Joey was the best player on that team and on
every team to follow.
Joey's dad loved to tell people about one game that season when
Joey came in to pitch with the game tied and no one out. Joey struck
out the side and then hit the game winning home run.
Joey continued to be a winner, even when he grew up and started
going by "Joe." You've probably heard of him - Joe's last name is
Namath.
In Namath, a biography by Mark Kriegel, Joe's father John said he
knew that it was important that confidence came before success.
Joey gained confidence when he didn't give back the uniform and took
on the bigger and older boys. We know that confidence stayed with
Joe Namath and served him well when he predicted a victory for his
team in Super Bowl III, a prediction he backed up with a victory
nobody else expected.
The elder Namath always told people, "What you should feel is
that you are better than everyone else out there." If you don't
then you probably won't achieve the success you desire.
The same holds true for specialty retailers. To succeed you have
to know that you are indeed better than your competitors. You may
not always have the lowest price or the largest inventory, but you
must be confident that the store experience you offer is indeed the
best.
Keeping that confidence is easy when things are going well but it
can get challenging if you're falling short of goal. And once a
team begins to lose confidence it becomes even harder to win.
Every day your store is open you're stepping up to the plate.
Every day you either hit your goal and win that day's game, or you
fall short and you don't.
I guarantee that if, when you open your doors in the morning, you
are absolutely positive your team is indeed better than everyone
else, then you've got a great shot at winning that day's game.
As Joe Namath's father pointed out, the others may be older and
bigger but if you don't believe you're the best then just give back
the uniform and go home. Of course like Joe, you have to back it up
with your performance.
So let me ask, are you the best out there?
February 26, 2008
Ten Ways to
Know if You're Working or Clerking
I recently talked with an executive from a specialty store chain who
is worried about the economy's impact on his stores. Sales were off
so he contacted us to see what we might be able to do to help. I said
I would shop a few of his stores and follow-up with him.
After visiting four stores in three different markets it was clear
that indeed he has a problem - but not the one he thinks he has. The
problem I saw didn't have anything to do with an economic slowdown but
it had a lot to do with a customer focus slowdown. In every store I
visited the staff was not very attentive to the customers and didn't
seem that concerned if the customer made a purchase or not.
While in the fourth store I heard my friend Donny's booming voice
in my head call out, "THE PROBLEM, PEOPLE, IS THAT YOU'RE CLERKING IT
AND NOT WORKING IT!" (I'm often grateful that people can't hear what
sometimes goes on inside my head.)
As I looked around I saw all the signs of a staff that was clerking
the customer, not working with customers. Since you're a regular
reader of The Weekly Retail Experience I'm sure you don't lack the
customer and selling focus that this retailer did.
Just to be sure, here are the top ten signs you know you're working
with customers and not just clerking them. (I'm not going to bold each
one so please read them all!)
1. A customer rarely gets to the counter to make a purchase without
having already been engaged by you or one of your teammates. Actually,
very few customers even get to the counter who aren't brought there by
a staff member.
2. You enjoy greeting and engaging customers when they come into
your store.
3. You're not behind the counter unless you're ringing a sale.
4. You naturally ask your customers questions to see how they can
best be served.
5. Unless the store is extremely busy you know exactly which
customers have been assisted by which one of your colleagues.
6. Asking the customer if they'd like to purchase what you're
showing them has become second nature - and if it hasn't yet it's your
goal.
7. You already know what product you're going to show the customer
after you've finished showing the current one.
8. You're disappointed when your customer doesn't make a purchase
but you never let them see it.
9. Customers seek you out when they come into your store.
10. You're extremely focused on providing a great experience to
every customer who comes into your store.
11. You try to go above and beyond for every single customer.
So let me ask, are you working or clerking?
February 19, 2008
Adapting for
Sales and Engagement Success
One of the ways GREAT retail salespeople differentiate themselves from
good retail salespeople is in their ability to adapt their sales and
engagement approach to the customer. Most retail salespeople will engage
the customer based on their own style and approach. Some are high
energy, some are low key, and most are somewhere in-between. Good retail
salespeople will deliver the same quality experience throughout the day
with little difference between the first and last customers of the day.
GREAT retail salespeople deliver a quality experience but they adapt
each experience to the customer themselves. They are able to quickly
size up a customer and completely adjust their sales and engagement
approach based on the customer's style and mannerisms. It's a real art,
but it's one that can be learned.
Years ago I worked with a guy like this at The Sharper Image in Palm
Beach Gardens, Florida. The man was a master retail salesperson. Or at
least he was when he hadn't stayed out all night before coming to work.
But when he was on, he was on! His ability to adapt to each customer was
unbelievable.
The result was that customers just loved him and were practically
begging him to sell them things. For the life of me I can't remember his
name so I'm going to call him Bob. These are four ways Bob personalized
his approach to each customer that made him a GREAT salesperson.
1. Bob mirrored the customer's energy level. Bob's
own energy level was extremely high. Sometimes he'd get talking so fast
you weren't sure if he was speaking English or not. You knew when he
arrived at work because it was if a whirlwind had hit the store. But
when he was with customers you would only see that energy level with
customers who also had high energy. He always welcomed a customer in his
natural style but would ramp it down if needed based on the customer
himself. Within minutes he would be at the almost same energy level as
the customer, always remaining just a bit more energetic. He didn't just
adapt how he spoke to the customer but he even adjusted the speed he
walked with them.
2. Bob always got - and used - the customer's name.
This is one of those things we know will make us better salespeople but
we simply don't feel comfortable doing it. Or maybe we've convinced
ourselves that people don't like it so we don't do it. The reason most
people don't like salespeople using their name is because it seems
forced. This happens because salespeople are using a customer's name
just for the sake of using her name. Bob set out to create a
relationship with each customer and if you're going to have a
relationship you should at least know the other person's name.
3. He personalized the pace of the experience he delivered to
the customer's own pace of shopping. It's always easy to see
when a customer is in hurry but each and every customer wants to shop at
his/her own pace. Some customers are slow and deliberate while others
want to move the process along quickly. Don't confuse a customer's
energy level with pace. To judge a customer's pace you should observe
how he is moving between products and how focused he is. Customers who
like a quick pace are often misjudged as in a hurry or "cranky," while
customers who are slower and more deliberate are mistakenly labeled as
browsers and non-buyers. The more you are aligned with your customer's
desired pace the more likely you are to complete a sale.
4. Last but not least, Bob always assumed and asked for the
sale. Bob was our top salesperson practically every month
because he spent his time working with buyers while the rest of us
waited on customers. The difference lies within our own thoughts and
attitudes.
So try this out on your customers this week. Adapting to your
customers might just get you adapting to higher sales.
February 12, 2008
Making The
First Day Count
Remember when you were first learning to count down a register? I don't
know about you, but for a while I was as slow as molasses. For the first
few weeks I thought my manager was going to wear out the carpet pacing
while he waited for me to finish. Over time, of course, I got faster and
faster. Like most retailers, I eventually learned to count down a
register at lightening speed while talking on the phone and completing
paperwork. How did I improve? Practice, of course. The more I did it the
faster I got.
There is one task you have that you don't get to practice much even though
it is one of the more important parts of your job. You probably don't
even realize the impact it has on your store's long-term success. I'm
talking about working with new employees.
Unless you run a large retail operation, outside of the holidays you
may only bring new employees on a couple of times a year. Because you
don't do it that often you may not do it as well as you'd like. I know,
because I've done my fair share of starting new employees and more often
than not the experience wasn't up to the standards I had expected.
Here are some tips to help you make sure you give your new employees
the best possible experience.
1. Schedule an employee's first day for a day you can give them
your undivided attention. Always start the new person on your
slowest day. For most of us that means Tuesday through Thursday.
2. Staff up on an employee's first day. You need
enough employees to cover the floor so you can spend an appropriate amount
of time with your new employee. Don't make the mistake I did - I not only
didn't staff up but I would schedule the new employee to work the floor.
You can imagine how well that worked out.
3. Have all of the employee's paperwork ready days before they
start. Once I started an employee only to discover I was out of
new employee packets. So there I was spending all of my time getting other
stores to fax me the necessary paperwork. Yes, it was a fax and not an
email. I've been doing this for a while, you know. I'm sure the employee
went home and told her family what an idiot her new manager was.
4. Have an agenda for their first few days so both of you know
what is going to take place. Having a successful new employee
orientation is important for getting the new hire off on the right foot.
An agenda keeps you focused on everything that needs to be done and done
correctly. If you work for a large retailer there is a good chance your
employee will miss their first paycheck if you don't get everything done
correctly and completely. You want talk about how NOT to start a new
employee, have them not get paid for a month.
5. Assign a mentor to the new employee. I think we can
all remember how awkward it is to start a new job. You don't know how to
do much and you walk around feeling like you have two left hands and two
left feet. The last thing you want to do is keep asking your new manager
so many questions you're fearful that you're bugging them. By having a
non-manager as a mentor the employee will feel more comfortable asking
questions, and we know the staff knows more than you do anyway!
6. Celebrate the employee's first day. I'm written
before that it's odd that we throw a party when an employee leaves. "Hip
hip hooray, you're leaving!" Okay, there are employees we would do that
for, but most of the time we're sad to see our employees go. Well, throw a
celebration when an employee leaves AND when they start. Imagine how
special someone feels when you celebrate their joining the team. A little
cake, a few balloons, a welcome card signed by the entire staff and you've
delivered a WOW that will keep giving for a long, long time.
So while I doubt you'll get as good at starting new hires off as you
are at counting down a register, with a little bit of planning and focus
you can do it well enough for an employee to always remember how great it
was to start working for you.
Remember, we can't expect our employees to wow our customers until we
wow them first. And that starts on the very first day.
February 6, 2008
Our Opinion Sort of Counts
While visiting a wireless store I overheard the following conversation. A
customer was looking at an entry-level phone and when the salesperson
walked up to him they had the following encounter.
Salesperson: "Can I help you?" (Gee, that's original!)
Customer: "I was interested in this phone."
Salesperson: "The (brand removed)?"
Customer: "Yes. What can you tell me about it?"
Salesperson: "You don't want that phone."
Customer: "Why's that?"
Salesperson: "It doesn't have Bluetooth capabilities or a very big
display for reading emails and surfing the net. The camera is also only
1.2 pixel."
Customer: "Hmm. I'm just going to look around then. Thanks."
Salesperson: "No problem. If you have any more questions or need any
more help just let me know."
Two minutes later the customer was out the door. A lost sale and a lost
customer because the salesperson "helped" them out and pushed his opinion
on the customer.
Wouldn't it have been great if this had happened?
Salesperson: "It doesn't have Bluetooth capabilities or a very big
display for reading emails and surfing the net. The camera is also only
1.2 pixel."
Customer: "Well I don't need Bluetooth capabilities or a big display
for reading emails or surfing the net. I may or may not use the camera.
All I want is to make calls. I really don't want to spend any more money
than I have to for any more phone than I need but since you didn't bother
to learn anything about my needs and only shared your opinion I'm going to
look around for just a few more minutes and then hightail out of here and
go buy a phone somewhere else." (Customer then catches breath!)
Salesperson: "No problem. If you have any more questions or need any
more help just let me know."
A retail salesperson's professional opinion is extremely important to
your customer.
The problem is that many salespeople, like this one, share
their personal opinion.
While I'm sure the guy's heart was in the right place, his personal
opinion doesn't add value to the customer's experience. What does add
value is his professional opinion, and the only way to form a professional
opinion is to learn something about the customer to whom you are speaking.
In the instance above, if the salesperson had asked questions like "how
do you think you'll use the phone?" and "Do you like to read email or use
the internet?" and "Do you like to use a headset?" and "Does your current
phone have a camera?"
After the customer provides enough information the salesperson can make
a professional recommendation, but until you hear the answer to those
questions you're just giving the customer your personal opinion.
Just because we like a certain look or want certain features doesn't
mean the customer does. We're not buying it! We're helping the customer
buy it, and our role is to help him/her buy the right thing.
So the next time you're giving a customer your opinion stop ask
yourself, is it personal or professional?
January 30, 2008
Turning Your
Cards Into a Winning Hand
I was talking recently with a retailer in my mentor and coaching program
who said she seemed to be having "one of those bad weeks." Among the
contributing factors was that her best employee had just given his
notice, one of her top lines was picked up by one of her competitors,
and the anchor in the center where one of her stores is located has gone
out of business. After going through the list we both agreed that she
was lucky it was only "one of those weeks" and not "one of those
months."
We commiserated for only a minute or two and then agreed that she
needed to move past her current thinking. I even challenged the notion
that she was having a "bad" week. Maybe her week was actually a good
week. I reminded her that more often than not the difference between a
good week and a bad one is your perspective.
I told her the story about my daughter learning to play poker with her
cousins a few years ago. Jane seemed to catch on pretty quickly and even
won once or twice in the first hour. After a while, though, she wasn't
doing so well. At one point she came over to me to complain that she
wasn't doing well. I looked at her cards and she had drawn an ace high
straight. Jane thought because she didn't have a pair or three of a
kind that her cards were bad. Once she learned to see her cards
differently she started to win more.
The same thing happens to us. We're dealt something at work or home
we immediately view as bad but if we look at it from a different
perspective it may not be so bad at all. I told a friend of mine this
story and he said, "You're right. After I lost my job when my company
downsized I had more time to look for a better job." Obviously my
friend is a smart aleck and was trying to say that I was being a little
Pollyannaish. I got the last laugh when two weeks later he landed a
great job he never would have gotten if he hadn't been downsized. Okay,
I did luck out on that one.
If you're going to run a successful business or store you
need to be able to play the cards you are dealt and turn them into a
winning hand.
That's just what the retailer I was talking with is doing. The best
employee who gave his two-week notice is leaving retail so this gives
the owner a chance to promote another up-and-coming employee. To get
this person trained she is going to have another store manager be a
mentor to the new manager. This is a perfect scenario since the owner
is considering promoting the store manager to an area manager and this
will be a way to try her out in the new role.
She also realizes that her competitor picking up one of best lines is
actually a good thing. When she thought about it she realized that the
competitor has a lot more foot traffic, is only carrying a limited
selection, and offers sub-par service. So instead of moving out of this
product line she is going to increase the number of skus and advertise
it more. I think this is a winning hand!
And in regard to the anchor going out, well there's not a whole lot
she can do about that. She is going to meet with the store team and
hopefully together they'll come up with some ideas to drive traffic.
And who knows, maybe they'll get an even better anchor.
So let me ask, are you turning your cards into a winning
hand?
The Attack
of "How's It Going?" and "May I Help You?"
Most retailers who miss sales do so by ignoring customers. Others miss
sales when they over-engage the customer. Yes, there really can be too
much of a good thing! I know that nothing will run me out of a store
faster than too many people trying to help me.
Last year I was in a store that was obviously implementing a new company
initiative that required staff to talk to a customer whenever the
customer was within a certain distance. I was asked at least eight times
either "How's it going?" or "May I help you?" within the first five
minutes I was in the store. The funniest - or maybe it's the saddest -
part is that there were only four or five employees working in the
store! I was attacked by some of the employees more than once. Either
I'm not a very memorable person or they were only going through the
motions and didn't really care how I was doing or if I needed help. I
suspect it was a little of both.
When I was attacked for the ninth time I snapped and said I'd been
doing pretty well until I came into this store and was asked over and
over how I was doing. I'm sure they talked about the crabby customer
after I left. I didn't care because I had no plans to return (unless I
needed something to write about.)
Greeting or welcoming a customer when they enter your store is an
important piece of delivering a quality customer experience. I was
discussing this with some clients on Friday and someone compared it to
someone coming to your home. You welcome them when you answer the door
but you don't keep greeting them over and over.
These are the different types of QUALITY engagement that should take
place in a store:
1. Greeting and engaging the customer when he/she first comes
into the store. I've covered this many times in the Daily so I
won't go into much detail here. What I do think is that it should happen
within thirty seconds or so and can be done either verbally or
non-verbally.
2. Re-engaging by the same employee who first greeted and
engaged the customer. This is often a continuation of the
conversation the employee had with the customer. Customers should
probably only be re-engaged once unless he/she is clearly open to it.
Don't overdo it or you'll ruin their shopping experience and your chance
at making a sale.
3. Acknowledging the customer by a different employee.
If a sales associate is somewhere near a customer and makes eye contact
it more than appropriate to smile and say hello. Sometimes you can tell
the customer wants help but more often than not they are just being
friendly. Skip "How's it going?" and "May I help you?" Just
acknowledge the customer and show by your actions that you're willing to
help.
4. Engage for a reason. When done well this can be
one of your most effective sales tools but when done poorly it is
potentially extremely annoying to your customer. Engaging for a reason
is when an employee engages a customer he/she did not initially greet in
a conversation. The engagement can be based on what the customer is
looking at, what they are wearing, bags they are carrying, etc. If the
store I wrote about above had engaged for a reason then I wouldn't have
left so annoyed. Then again, engaging the customer nine times in five
minutes is annoying no matter how you slice it.
Note what isn't listed:
* Asking customers how you can help them.
* Asking the customer if anyone is helping them.
* Following customers around the store.
* Talking to the customer without purpose.
* Telling someone "welcome" when they're well into the store.
The difference between making and not making goal is often based on a
staff's ability to naturally engage the customer. The difference
between a customer having a good or a poor experience is usually based
on how much value the employee's engagement approach adds to the
customer's experience.
So let me ask, how well do you and your team engage and not
over-engage the customer?
One of the most effective tools for growing your business doesn't
cost a dime but it works with astounding results. It can be used
by any retailer of any size who sells any given product. It works for
anyone in just about any position including store management, retail
owners, executives, and internal support managers.
Instead of me telling you about this tool I'm going to have one of our
Daily Retail
Experience readers do so with an email she sent last
week. Here's Patti from Canada.
This year we've had a lot of new customers that have been
recommended by other people. We know because they walk in and tell us
that so-and-so sent them to us. It made me wonder what was different
from last year. I realized that what had changed is I had started
complimenting my staff more than I had in the past. I see now that it
made them feel appreciated and as a result we delivered a higher level
of service and then they told more customers about us. And as result our
sales have grown along with our customer count.
Patti discovered that the powerful tool that can help you grow your
business is praise. Regularly recognizing your employee's
contributions, both big and small, can absolutely impact your bottom line.
I've seen managers come into an existing store and grow sales five or ten
percent just by doing what Patti did in her store.
I suspect that a lot of managers praise their staff less than
they actually think they do. I know I personally thought I was
pretty good at it until someone told me otherwise. I was pretty surprised
by that feedback but because it was given by someone I respected and
considered both a colleague and a friend I had to take it to heart.
Here are five important things to consider about using praise to grow
your business.
1. Praise must be authentic. If you don't mean what
you say then odds are that the people you "praise" will see right through
it. False praise is worse than no praise.
2. Recognizing someone for their contribution is not the same
thing as thanking them for their contribution. One of the things
I learned about myself is that I was pretty good at thanking people for
their hard work and efforts and in some strange way I thought that was
praise. It isn't. Saying, "Hey Bob, thanks for taking care of that
unhappy customer" is not the same as "Hey Bob, you did a great job of
turning that unhappy customer into a happy one." Obviously you thank
someone as well as praise them but don't confuse the two because they're
not the same.
3. Recognize both big and small contributions. I
think a lot of us are probably pretty good at recognizing employees when
they go above and beyond the call of duty but we probably miss those less
obvious opportunities. I was in a store one day and a customer walked in
and asked for a $3,000 stereo. The employee went to the back, got the
product, brought it to the counter, rang it up and delivered it to the
customer's car.
Ten minutes later another customer walked in looking for a specific
product. Instead of telling the customer the product wasn't in stock the
same salesperson made a call to another store and tracked down the item
the customer wanted.
Guess which customer interaction the manager praised the employee for?
I hope you picked the second one. While I think many managers would have
mistakenly praised the employee for making a big sale, the manager of this
store was very skilled at recognizing when her employees did something
well; she praised the employee for giving the second customer a great
experience. Okay, maybe she praised for both of them but you get the
picture.
4. Don't over praise. We all know that if you over
praise the recognition will eventually mean nothing to your staff. As
long as you keep your praise authentic this is less likely to happen.
Even so, when in doubt, over praise. Believe me, if your team had to pick
from hearing praise once a day or once a year, they'll take the daily
praise.
5. If praising people doesn't come naturally to you consider
giving yourself a praise quota. I know that sounds silly but I
know from experience that it works. After being told I didn't praise my
team enough I told myself that I would make at least one statement of
praise every day. It was more of a reminder than a true quota, but it
worked.
So let me ask, how much are you using the Power of Praise to grow your
business? It worked for Patti and it can work for you too.
With a New Year comes new beginnings and new opportunities. An annual
event for many people this week is making New Year's Resolutions. I figure
if we all work together on 2008 resolutions then we all will
have a better chance of keeping them. And I guarantee that if you keep
these resolutions you'll achieve success in 2008.
For Store
Managers:
I resolve to delegate more of my administrative paperwork to my
assistant and spend more time coaching and developing my staff on the
floor.
I resolve that by March 1st every staff member will know what I believe
are their strengths and they will have an action plan for improvement
opportunities.
I also resolve that by that date I will have worked on my assistant's
development in the areas he/she needs to develop further as a manager. By
the end of the year I want that person ready to run a store.
I resolve to write down three areas in which I want to grow and
improve. Once each month I will review that list so I remain focused on
becoming the best leader I can be.
I resolve to spend ten minutes every work day reviewing store results
to date and strategizing my day to achieve goal. I resolve to create
success and not just wait for it to happen.
Finally, I resolve to achieve sales and other performance targets no
matter what.
For Independent Store Owners (Some retail executives may
consider these as well.)
I resolve to take the actions listed for the store manager position
and/or ensure my managers do those resolutions.
I resolve to spend at least one hour each week focused on growing my
business and my own personal development. I know that if I don't do this
that it will be harder for my business to grow and succeed. (Our Dynamic
Experience Group Coaching and Mentor Program is a wonderful tool to help
you with this resolution.)
I resolve to put into place a structured sales and experience approach
to make sure we maximize every single customer opportunity.
I resolve to stop complaining about Wal-Mart, Target, Home Depot, Bed
Bath and Beyond, Toys R Us, or any other big box retailer because of what
they sell and how much they sell it for. I will instead use that same
energy to find opportunities that are available in key niches not being
served by the big boxes as well as delivering more personalized service.
I resolve that by the end of the year I will only be employing great
employees or employees who are on their way to greatness. I know I can't
afford to have any staff member that I wouldn't want helping me in a store
if I was a customer.
I resolve to hand off more of my low impact tactical tasks and spend
more time coaching my team and working on strategic plans.
Finally, I resolve to set and achieve sales and other performance
targets no matter what.
For Store Support Team Members
I resolve to discover more ways that my department and/or role can help
the store be more efficient in 2008.
I resolve to find ways that my work can help improve the experience a
customer receives in our stores.
I resolve to be a resource to a manager who is struggling in his/her
role and do my best to not be frustrated with that person.
Finally, I resolve to achieve my performance targets no matter what.
For All Store Employees
I resolve to spend 5-10 minutes each work day improving my sales and
experience skills or product knowledge.
I resolve to try to do a little something extra for each and every
customer.
I resolve to not show a customer a product until I know something about
them or their needs.
I resolve to never finish a sale. I will keep recommending products and
solutions until the customer finishes the sale.
I resolve to not take personally anything an unhappy customer says. I
will also try to turn them from unhappy customer to raving customer
advocate.
I resolve to be a good team member by recognizing my colleagues when
they do something above and beyond for a customer or another team member.
I resolve to be a positive influence on the entire team.
I resolve that no matter what 2008 brings, I'm going to enjoy it as
much as humanly possible.
I resolve to make 2008 the best year ever both professional and
personally.
Finally, I resolve to achieve sales and other performance targets no
matter what.
Post-Holiday
Returns and Exchanges = Incredible Sales Opportunities
Happy Day after Christmas! I hope and trust that those of you who
celebrate Christmas had a fabulous day with family and friends. We had a
splendid and relaxing day. The girls were excited that Santa Claus had
put them on the "nice" list and left presents under our tree. We had a
splendid dinner with extended family and a wonderful time was had by
all.
Today retailers move into the third holiday season. The first
season is Black Friday, the season of bargain hunters and lookers. The
second season is the week before Christmas, the season of
procrastinators.
The third season, which runs for the next ten days or so, is The
Season of Me. Starting today, customers will be descending on
your stores armed with gift cards, cash, and a strong desire to buy for
their favorite person, themselves. Many of them will also have gifts
that were purchased before Christmas to return and/or exchange.
Here's how to maximize this third season, The Season of Me.
* It's vital that everyone on the team understands that the next ten
days offer great sales opportunities. Customers with returns and
exchanges offer opportunity, not inconvenience. Think sales, not
refunds.
* Be aggressive in turning returns and exchanges into additional
sales. There are three common mistakes retailers make when it comes to
holiday returns.
1. They assume the customer wants a refund. Wrong.
2. If the customer doesn't have a receipt, or they have a gift
receipt, the retailer assumes that the customer will only spend the
amount of the product they're returning. Wrong.
3. They assume that if they can just break even on the few days
after Christmas they are doing well. Wrong.
Last year I shared with readers our Three 'I's with a Smile
approach to handling returns. Do this and I'm sure you'll
maximize your post-Holiday opportunities.
Intercept all customers before they get to the
counter. Greet them with a warm smile, a heartfelt "welcome" and an
offer to take the return from them. In most stores associates ignore
customers with refunds, or at the very least just point them to the
counter. This is not only a big mistake that ends up increasing the
amount of returns, but makes the person with a return feel less
important than person making a purchase. A store manager I once worked
for told me that any retailer can make buying something a good
experience for a customer, but it takes a great retailer to do the
same with a return or an exchange. Try to engage the customer as close
to the door as possible without making them feeling accosted.
Identify why the customer is making a return.
Since you are assuming the customer will make an exchange (and quite
possibly spend even more money,) listen carefully to what they say as
you will gain information that will you help your next step be the
correct one. One important thing you need to know is whether the
person returning the product is the original buyer or received the
item as a gift.
Influence the customer by suggesting or
recommending products that better meet their needs than the product
they are returning. The customer may object to this and state that
he/she just wants a refund. With a smile and the information you've
gained from your identify step you can easily try to overcome the
objection by stating what you've learned from them. I think we owe to
the customer and ourselves to always try and overcome at least one
refund objection. This can save a retailer thousands of dollars in
returns. If the customer objects again then of course you escort them
to the counter and get their return handled cheerfully and
efficiently.
* A store manager once told me that a customer's disappointment is an
individual problem that needs an individualized solution. As sure as
Christmas comes every year, so do a few unhappy customers. When you're
faced with an unhappy customer, listen carefully to what she has to say
and don't determine your solution un
Get In the
Zone
1. A customer rarely gets to the counter to make a purchase without
having already been engaged by you or one of your teammates. Actually,
very few customers even get to the counter who aren't brought there by
a staff member.
GREAT retail salespeople deliver a quality experience but they adapt
each experience to the customer themselves. They are able to quickly
size up a customer and completely adjust their sales and engagement
approach based on the customer's style and mannerisms. It's a real art,
but it's one that can be learned.
There is one task you have that you don't get to practice much even though
it is one of the more important parts of your job. You probably don't
even realize the impact it has on your store's long-term success. I'm
talking about working with new employees. 
Salesperson: "Can I help you?" (Gee, that's original!)
While I'm sure the guy's heart was in the right place, his personal
opinion doesn't add value to the customer's experience. What does add
value is his professional opinion, and the only way to form a professional
opinion is to learn something about the customer to whom you are speaking.
I told her the story about my daughter learning to play poker with her
cousins a few years ago. Jane seemed to catch on pretty quickly and even
won once or twice in the first hour. After a while, though, she wasn't
doing so well. At one point she came over to me to complain that she
wasn't doing well. I looked at her cards and she had drawn an ace high
straight. Jane thought because she didn't have a pair or three of a
kind that her cards were bad. Once she learned to see her cards
differently she started to win more.
Last year I was in a store that was obviously implementing a new company
initiative that required staff to talk to a customer whenever the
customer was within a certain distance. I was asked at least eight times
either "How's it going?" or "May I help you?" within the first five
minutes I was in the store. The funniest - or maybe it's the saddest -
part is that there were only four or five employees working in the
store! I was attacked by some of the employees more than once. Either
I'm not a very memorable person or they were only going through the
motions and didn't really care how I was doing or if I needed help. I
suspect it was a little of both.
Patti discovered that the powerful tool that can help you grow your
business is praise. Regularly recognizing your employee's
contributions, both big and small, can absolutely impact your bottom line.
I've seen managers come into an existing store and grow sales five or ten
percent just by doing what Patti did in her store. 
will
have a better chance of keeping them. And I guarantee that if you keep
these resolutions you'll achieve success in 2008.
The third season, which runs for the next ten days or so, is The
Season of Me. Starting today, customers will be descending on
your stores armed with gift cards, cash, and a strong desire to buy for
their favorite person, themselves. Many of them will also have gifts
that were purchased before Christmas to return and/or exchange.