Data from electronic cash registers (cash register systems), product databases, customer counters or loyalty programs, or stock data can be a source of interesting information. They can sign up for increased turnover and higher profits thanks to the correct interpretation.

Retail Trends

The general trend is to simplify analyzes and move them towards clear conclusions. Some entrepreneurs do not use existing customer data at all. Those who use it are often too focused on data and products and forget about other important factors in retail—training employees in connection with contact with the customer. At the same time, loyalty programs are being withdrawn because customers are already showing a degree of fatigue and dissatisfaction with loyalty systems and their lack of transparency. The first decisive factor remains the price; customer loyalty has not yet returned after the crisis.

What Works In Retail?

Offer An Experience

The era of information and communication technologies is still in power, allowing customers to quickly and easily compare the prices of goods. As the internet is saturated with online stores, brick-and-mortar stores have to compete with added value; e.g., a specific atmosphere or helpful and professional staff. The retail store should also evoke in the customer a sense of experience that will resonate in him long after he leaves it. Because if there are two different bookstores close to each other on one street, the customer will logically choose the one with excellent and well-thought-out staff, a pleasant environment, and maybe good coffee.

Avoid The Disease of The Retail Market: Exaggerated Stocks.

Most retailers are wasting a lot of money in warehouses. Therefore, the retailer should rely on data analysis and the obtained data to give the goods, e.g., to sell or find a more efficient place in the store. “Thanks to the optimization of stocks through the correct identification of lagers and poorly selling products, the so-called cash flow and release the amount of money fixed in stores. Many retailers think that their stock is set optimally.

Don’t Underestimate The Planning of Changes in The Retail Operation.

Retail data should be the primary indicator when planning work changes. The number of employees in the store should be determined based on precise hands and not only the intuitive feeling of the operations manager. The lead can be, e.g., movement of people around the shopping center and rescheduling the employee’s work shift by moving it within a time horizon of one, two hours. It should not happen that the establishment employees will be at lunch when people like to visit some establishments during the lunch break. In some cases, sales can be increased by more than 5% by simply rescheduling a lunch break for a later or earlier period.

It Also Depends On The Little Things.

Attracting a customer in a time of almost unlimited possibilities requires a certain amount of creativity. However, it does not always have to be a breathtaking campaign. During Christmas shopping, people will also enjoy the gift wrapping service or the opportunity to postpone the purchase so that people do not have to worry about a handful full of shopping bags. These are primarily discreet services , but they get in the customer’s memory. Trivia that the customer does not expect, not to shout at him from every corner, so to speak, and creating the right atmosphere, become the key. For example, it is, e.g., also coffee or mineral water to buy when the customer is exhausted from the shopping marathon.

Don’t Forget The Loyalty Card Data.

This is because it is a source of usable data about the customer who regularly buys in the given operation. Although it mainly benefits customers, it also helps the retailer with quality data that should not be forgotten. This is a priority for larger store chains, but smaller retailers can also benefit from loyalty cards. They do not obtain data by distributing loyalty stamps, but they secure, e.g., your customer’s loyalty. The source of information about clients can be, e.g., customer competition. It pays to think about a loyalty system in the form of customer loyalty cards for data collection from the number of five or more establishments.

The little reward is attractive for the customer, but if he buys the goods regularly, he will also appreciate the non-financial benefits, e.g., in the form of 2 pieces of the product for the price of one. In the case of operations with fashionable clothing, it is more appropriate to reward the customer with a voucher due to the constantly changing seasonal goods. It works, e.g., a coupon for a discount on a future purchase within the new collection.

Category Management In Retail

Retailers tend to run the store as a whole. But if they divided the products into individual categories, they would find that each has a different effect on the customer. “It may be that one brand has a low margin and another, on the contrary, is high. The retailer is likely to decide not to sell the low-margin brand. However, it should not be forgotten that other indicators reveal that the brand attracts customers to the store

(Non) Undercutting

Up to 50% of the contents of the average basket in the food chain are discounted products, while in the Western world, they do not even represent 20% of the purchase. The marketing strategy in Slovakia is based on discounts, so people are explicitly waiting for them and buying only when the goods are currently cheaper. Retailers are set to subordinate fixed prices.

Also Read: Why Do Employees End Up Falling Prey To Cybercriminals?

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But is it? If the price of success is, for example, a broken family relationship, can we talk about success at all in this case? Unlikely.

Let’s look at this question a little deeper and make sure that

To oppose the process and the result is wrong. In achieving any goal, both are important.

Let’s compare business with sports, and such a comparison is entirely appropriate because there is an element of competition and competition here. We can say that the result of the race always depends on how the process was set up, that is, on training. An athlete, movement, dreams of an Olympic award. But if he is not interested in training, if he does not enjoy victories over himself, he is unlikely to “run” to his dream since, figuratively speaking, he will not have enough “breath.”

Let’s consider that many modern business people are taught to take a hobby, a favorite thing, as the basis of their business. They will pay considerable attention to the process.

If you like what you do, you will be more creative in solving problems. While working for a result, a person does not yet see the fruits of his work, but the interest feeds him. It is the fascination of the process that helps him overcome difficulties.

Managers, for whom the goal is most important, may treat their employees with disdain. Yes, sometimes toughness is needed in business, and in the end, the meaning of any work as a result, but it is essential when the process itself gives pleasure to a person or a team. Otherwise, what’s the point in it? The moment of receiving the crown of glory is short-term, but the path to this award can be a life-long one. And if the process itself, the same way to achieve the goal, was uninteresting, then what is the point of the reward?

Process, Result And Model of Excellence

There are perfect business models (excellence models, more abbreviated) against which businesses can self-evaluate. These models are also used to organize and hold prestigious competitions.

So, the model of excellence is built so that processes and results are present in it in a proportion of 50 to 50. A perfect business is perfect when it has equally well-developed methods and stable positive results.

What do they come from when creating such models in the proportion of 50 to 50? From the fact that if there is an excellent result, the processes of the enterprise (business) are not built up perfectly. The repeatability of the results is very doubtful. It turns out that an enterprise (business) that demonstrates excellent results (including over a long period) but is also unable to verify its processes in a classy way may not confirm the brand of a successful enterprise in the future, like this.

At the same time, it happens the other way around: the processes are built up, even if you demonstrate achievements at the exhibition, but, alas, there is no result worthy of these processes. This may mean that these processes have just been built, and the results will have to wait a bit. Or it means the focus of the enterprise (business) on the process.

The situation called “process for the sake of process” is the way to increase costs, to demotivate staff, to change concepts, and, ultimately, this is the way to business bureaucratization and loss of competitive advantages.

This means that if both the prevalence of the result over the process and the focus on strategies to the detriment of the results are alarming, then it is necessary to achieve the “golden mean,” the proportion of 50 to 50.

It remains to understand how to digitize processes and results and determine these proportions between methods and results, based, for example, on the models of excellence already mentioned. But that, as they say, is an entirely different story…

Also Read: Five Reasons To Create A Business Plan

The post What Is More Important In Business, Process Or Result? appeared first on TechReviewsCorner.