Merchandising - Strengthen your Brand & Maximise Sales
Any retail coffee shop has a great opportunity to make retail sales when displayed and marketed well. Retail sales can generate a welcome additional revenue stream and an appropriate well thought out retail section of your shop can elevate your brand and your offer.
Two Key factors when selling retail are to ensure you know your customer base and to have a strong brand. Knowing who your customers are and marketing accordingly is key. It’s surprising how many people don’t see what’s right in front of them! Remember, if you don’t know what “your customer” would buy then you’ll miss out on key sales. The best retail products unite your consumer with your brand and enables them to feel a part of it.
Around the counter is the grab-and-go section where impulse purchases are made. This is where you would place carefully thought out items. In Starbucks 16% of sales are a result of displays a customer saw whilst visiting the store. To say that retail displays do not take much actual work that’s not a bad statistic – all a good display needs is a good eye to make look appealing and to be topped up every now and then, this will without a doubt boost your sales. Items at the grab-and-go section should be small convenient and inexpensive. You have a great opportunity to sell to customers who are waiting in your business for their coffee – use this time effectively, they already like your product, they already like your brand – after all they have already decided to come in and buy, so make the most of it.
When arranging your retail display think about what attracts you to make a purchase when in a store? If you want to push a certain product, how are you going to draw people to it? Ensuring that your displays are easy to understand and accessible with clear pricing, this will make a purchase more likely. A good tip is to place your higher priced products near where your customers wait for their coffee, this will give them more time to weigh up a potential purchase. Ensure your point of sale is clear and eye-catching – draw people to your product.
When stocking your merchandise, a portion of your products may be own brand products, the products that do not contain your logo still need to project your brand’s “DNA” – these will add value to your brand by association and boost your customer experience. Only sell products that fit into your shops style, stay true to your brand. Get seasonal with your offering, keep your key best sellers but offer varieties of these products throughout the seasons. Keep your stock levels low and keep your sales high, it’s all trial and error.
It’s wise to avoid long term discounts as discounting product will affect your customer’s perception of your brand – your product has value! If there are items not selling too well, remove them. Your regular customers will notice them collecting dust and it will deter them from purchasing. Bring them out at a later date, you can market them differently and they may sell better, if they don’t, make other arrangements – your shelf space is valuable! Always monitor your stores sales, make notes of patterns and what sells at which point throughout the year, this will help forecasting and planning your retail sales and enable you to capitalise on busy periods.
Lastly, make sure your team are confident in the products that you’re selling. Any situation can become pretty embarrassing if the team are being questioned by customers on coffee flavour notes for example and an awkward stuttered response ensues. Confidence creates sales, being able to talk to a customer, and spending time to ensure they leave with what they need, and sometimes what they didn’t know they needed makes them feel valued. Addressing a customer’s queries and getting to the heart of their buying values is often the difference between a sale and a lost opportunity. So all in all, retail displays and visual merchandising strengthens the aesthetics of your brand whilst maximising your sales!