Implementing Sales - the practical stuff
Effective SALES will at least double normal sales for the duration if they are well planned and effectively promoted. True, they can be a lot of work but the difference between a satisfying result and fair result is GOOD PLANNING
Effective SALES are designed to
- Increase turnover substantially especially on the shoulder periods – early Sept / Nov / Mar
- To clear excess stock / reduce seasonal stock
- To build a profile for quality value to reinforce their market position.
To ensure success with SALES, they must be
- Credible and a good offer in the customer’s eyes – both product and price
- Merchandised very aggressively with copious SALE signs
- Communicated through email, social media and in some cases mainstream media.
The following implementation points are important:
Customers won't respond to a SALE if they have been before and found that the SALE was confined to a relatively small range of surplus stock – often trees and shrubs which are only of interest to a few customers.
Discounts of 10 – 20% are no longer enough to attract customers.
Product and Pricing
A successful SALE will be storewide, with reductions in all categories.
- Seasonal greenlife that is essential to clear – 40% -50% off
- Surplus greenlife but not about to deteriorate – 30% - 40% off
- About 5 - 10 lines of popular plants which have been especially purchased in volume for the sale. (Lines that are popular in your area at that time which you are sure you can move in the 12 days of the sale) These lines are purchased at a good price to enable still achieving say a 70% +gst mark up at a 30 – 40% discount. These could be pittosporum, coleonema sunset gold, nandina, hebe, griselinia, photinia.
They could be some of your Garden Value Favourites (or some of them).
- Five lines from each category:
Garden care – compost, potting mix, fertiliser, slug pellets, glyphosate
These lines could be 20% off
- All other product not specially marked 10% off
The purpose of having tiered SALE discounts is to:
- Ensure there are a number of big discounts to attract customers
- Ensure the product you most want to clear, does clear by offering the most discount.
- Ensure the SALE has enough discounted items to be credible.
- Have say, 60% of product at only 10% off to minimise the margin loss.
The garden centre must be dripping with SALE signs, to create a SALE hype. There must be absolutely no doubt in the customer’s mind that the garden centre is overflowing with bargains. SALE signs should also dominate the road entrance, and showroom entrance.
Product SALE signs should be A3.
The SALE should be communicated through email, facebook/social media and in some cases media.
For small stores in provincial areas even one day of saturation advertising on local radio or a quarter page ad in the local paper can be effective.