Post on 21-Jan-2015
description
Retail PromotionsProfit by Collaborating withComplementary Businesses
Retail Promotions• Promote district goods & services
– Events, seminars related to specific events
• Generate immediate sales– Old merchandise liquidation, new merchandise sale
• Ensure satisfaction– Customer Appreciation Days– Special Invitation Sales
• Support an economic development goal– See table
• Cooperative Promotionis Key
Existing New
ExistingMarket
PenetrationProduct
Development
NewMarket
DevelopmentDiversificationC
ust
om
ers
Products
• Enables greater visibility & reach• Provides greater selection & value• Solves customer PAIN• Builds customer base• Capitalizes on common customers• Enables involved businesses to more
effectively compete• Lines up channel partners who can
regularly refer customers• Uses current mix of assets, while creating
a larger asset• Leverages marketing dollars• Increases sales
Why cooperative promotion?
www.1662designzone.com
Successful Coop Promotion• Focus on defined target
customer groups• Consider customer pain and
how customers calculate value• Any # of businesses• Cooperative . . .
– Learns from operations– Evaluate its efforts– Invest in what works
• Common Cluster Promotions cluster businesses within the same category
• Cross Cluster Promotions groups businesses with complimentary goods/services
• Geographic Cluster Promotions group businesses in a target area
Always start with the customer!
Coop Promotions Defined
You & Your Business• Decide what you’re willing to offer
– Strategy, Information, Investment
Your Group• Start small and be clear about goals• Develop standards & process for new members• Be committed to a joint marketing plan – set a schedule to do
research, plan and implement• Have steps, timelines, persons responsible• Agree to learn about customers• Agree to a process, don’t depend on personalities
Before Getting Started
Community Marketing PlanningHandbook & Banners @ www.eightpoints.com/communitymarketingplanning.htm
Find the Opportunity
Customers: Different Groups, Different Needs• Analyze demographics
– Age, education, family status, income
• Understand customer behavior– Buying behavior & preferences
• Talk with customers– Satisfaction– Surveys – formal or informal– Hold focus groups
• Competitors’ customers• Segment into groups
Knowledge Sources• Best Customer Demographics
– Household Spending, Best Customers by New Strategists Publications (Central Library)
– Esri.com, claritas.com
• Customer Behavior– Marketresearch.com
• Surveys– Eightpoints.com– Stop, Start, Continue– Surveymonkey.com
Simple Data Collection• Business card drop• Contest with an entry form
– Hagerstown, MD
• Ask for zip codes• Count customers• Discounts for Company IDs• Sum the # transactions
per day• Security cameras• Internet• What ways to you collect
and use customer info?
What to do with this info?• Create a coop of firms
that share the same customer
• Understand current penetration
• Draft copy, images & materials
• Plan a geographic distribution strategy
• Choose media• Pool resources• The more you know,
the less you put at risk
Channel Partners• Suppliers
– Major product suppliers– Common vendors
• Distributors– Civic groups– Contractors
• Supports– Municipalities– Tourism bureaus– Foundations
Set Strategy per Customer
Cooperative Products• Expected Products
– Your product or service– The products/services
referred most often– Suppliers’ products
• Product Add-Ons– Coming or going– Long term maintenance– Disposal
• Provide value & solve pain!
• AwarenessAwareness building promotions sell the benefits and image you want customers to remember. Not sales oriented.
• EducationEducation promotions encourage customer curiosity and activity; generate eventual - typically not immediate - sales
• SellSell promotions generate sales in a particular time period
• PurchasePurchase promotions add to the sale at the moment
• SatisfactionSatisfaction promotions encourage repurchase
Retail Promotions
Awareness Promotions• Image Advertising &
Promotional Tools• Print Materials• HTML Newsletters• Media Relations• Image Building Events• Google Maps &
Switchboard.com ads• Google Adwords• Direct mail
• Focus on benefits messages • Select the compelling means to
communicate message• Coordinate the image campaign
with other promotion activities• Encourage and enable customers
to get more info• Distribute effectively
This marketing plan for this community is in the Community Marketing Planning handbook.
Good Awareness Promotions
• Educate buyers about the value of what you provide
• Change customers’ knowledge and opinion of you over time – change their behaviors
• Create reasons for customers to call or come in
• Give customers a compelling reason to buy
• Help customers evaluate you against the competition
Education Promotions
• Target specific audiences• Give customers all the
information they need• De-emphasizes the commercial
nature of your business – the ‘sell’
• Are creative, lighthearted,informational, and fun.
Good Education Promotions
• Cause sales• Are sharply focused on
connecting potential shoppers with goods and services customers value
• Magnify good times, minimize bad times
Sell Promotions
Good Sell Promotions• Get target customer groups to buy• Are not regular – this can lower
prices over the long run• Can be tracked• Are promoted in several
ways – professionally• Are evaluated
Purchase, Satisfaction Promos
Purchase Promotions– Get customers to buy more– Add to ticket
Satisfaction Promotions– Ensure satisfaction– Build loyalty– Encourages repurchase
Use www.goleads.com
• Time of day & day of week• Seasons & times of year• Temporary places
– Festivals
• On consignment• Non-places, such as:
– Internet– Toll-free phone numbers– Mail order
• Put a $ in a merchant’spocket & you can do anything
Appropriate Places
Best Prices for Promotions• Great opportunity to
liquidate slow-moving merchandise
• Nominal amount• Consider competitors’ prices• Bundle• Un-bundle• Fill a bag
• Know your customer• Make sure to have a
balance in all areas of promotion
• Look at sales data for your area . . Plan retail events near peak or trough sales
• Develop a theme and name the event
• Assign responsibility• Work with the media• Document the promotion• Evaluate the promotion• Involve channel partners• Have fun
Planning Promotions
• All partners should invest• Work with an economic
development agency• Look to suppliers for $
or investment• Have different levels for
participation • Buy & sell space among
members• Lakeland Day & Night
Funding Coop Promotions
Customer Satisfaction
0
10
20
30
40
50
60
70
80
90
100
CustomerService
MerchandiseQuality
Store Prices ParkingAvailability
Traff icCongestion
Variety ofRestaurants
Store Hours CustomerService
Variety ofStores
Cleanliness Lighting Sidew alks Appearancesof Stores
Fairmount Garden Court Kingsbridge Lawndale Ridge Ave Average
Dynamic Model
People
BusinessProperty
Number (N) of Customer Merchandise Store Parking Traffic Variety of Store Customer Variety of AppearancesDistricts Respondents Service Quality Prices Availability Congestion Restaurants Hours Service Stores Cleanliness Lighting Sidewalks of StoresFairmount 323 0.49 0.60 0.57 0.35 0.40 0.35 0.47 0.49 0.48 0.52 0.51 0.50 0.51 Garden Court 223 0.58 0.44 0.72 0.43 0.58 0.71 0.61 0.58 0.66 0.69 0.56 0.62 0.68 Kingsbridge 154 0.43 0.55 0.31 0.27 0.41 0.41 0.46 0.43 0.44 0.53 0.46 0.53 0.53 Lawndale 99 0.36 0.67 0.56 0.39 0.35 0.60 0.36 0.63 0.62 0.68 0.75 0.52 Ridge Ave 291 0.56 0.71 0.49 0.50 0.60 0.61 0.56 0.64 0.64 0.64 0.59
1,090
Primary Satisfaction Subcales Quality Hours Store Variety Clearnliness Lighting SidewalksSecondary Satisfaction Subscales Prices Restaurant Variety Store Appearance
Thanks!
More ideas at www.eightpoints.com
Market Knowledge, 302.777.2279, info@eightpoints.com