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Retail Furniture & Mattress Stores – Are These 5 Mistakes Killing Your Business?

When I ask liquidators what the biggest mistake they see furniture and mattress retailers make, this is what they tell me. Identifying these areas and strengthening them could possibly make your store more profitable. Enjoy!

1) Don’t Advertise Effectively- They don’t advertise consistently. They don’t communicate the right message. They don’t choose the right media. They don’t track their results. They don’t adapt soon enough.

2) Margin is Too Low- Many retailers do not charge enough for their products. Understanding what margin you need as a retailer is critical. If a retailer doesn’t charge a high enough price for the merchandise they won’t be able to capture enough advertising dollars to aggressively promote their store. 

3) Don’t Merchandise Properly- Dealers often duplicate similar looks and feels, which confuses both the RSAs and the consumer. They often miss some bestselling looks and feels and sometimes they miss entire categories.

4) Salespeople Don’t Close- Most stores that are in financial trouble are not closing enough of the too few customers that are coming through the door.  Here is a helpful article on the secrets to closing more sales. http://peteprimeau.com/the-closing-secrets-of-the-top-furniture-mattress-salespeople/

5) Salespeople Miss Opportunities- While it is certainly important to close as many sales as possible. It is vital that the average ticket of each transaction is maximized. When stores are struggling we often find there are salespeople who are not maximizing each customer transaction.  Here are three articles that will help your salespeople improve their average ticket through better needs analysis. 

http://peteprimeau.com/8-keys-to-needs-analysis-for-furniture-mattress-stores/ 

http://peteprimeau.com/questions-that-reveal-your-customer%e2%80%99s-needs/

http://peteprimeau.com/the-final-step-of-needs-analysis/

Stay tuned to to the next several articles as I explore each of these areas in more depth. 

Action Step- What are the biggest mistakes you make? Please share your wisdom with us! Your feedback is critical to this blog’s success. Please post your comments and questions. I answer them all. Please visit http://www.facebook.com/PrimeauFurnitureSales and Like us! Our like page has the latest breaking news in the industry as well as product information, inspiring videos, motivational quotes, and selling tips!

Articles? Please email me any ideas for articles that you want me to write. Have you written an article on sales, goal setting, or time management? I’ll be glad to publish them in my ezine and on my website! Please email them to me at peteprimeau@ameritech.net.

Wishing You Success,

Pete

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Comments (4)

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  1. Rick Lynch says:

    Pete,
    Great article, I would add the following.
    Take a look at your mattress dept display area, clutter, cleanliness, message?
    Also, too many vendors, who do you as an owner believe in ? What message are you sending to your customer with several different vendors ? Take a stand and believe in something and communicate that message in a clear way.
    Thanks !

  2. Scott Graham says:

    Pete,

    Good topic. I think all retailers have a successful core, they just get in a rut and don’t pay attention to the reason they began their business, or the core things that keep them successful.

    Thoughts on 5 things unsuccessful:

    1 Don’t Advertise Effectively- I would add that they also need to take advantage of newer advertising avenues like Craigslist and social media. CL right now has up to a 20/1 ROI If done properly.

    2 Margin is Too Low- I agree. Another reason why their pricing too low is because of week sales staff who can’t close at higher prices

    3 Don’t Merchandise Properly- I have to think that not attending markets affects this. That is the prime time to see a whole line, have rep show what is trending and see other vendors. Critical and yet less and less small and medium size accounts take advantage and get eaten up by larger smarter businessmen like Andrew.

    4 Salespeople Don’t Close- Must hire and train the right people and continue to educate. Fire the weak quickly.

    5 Salespeople Miss Opportunities- See #4. A good book on hiring the right people is “Good to Great”.

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