Monday, 7 October 2019

Retail Struggling? No bloody wonder!



NZ retailers complain they are struggling. I refer you to:

https://www.newshub.co.nz/home/money/2019/09/retail-industry-far-from-dead-despite-half-of-businesses-struggling-to-hit-sales-targets.html?ref=ves-nextauto

The newshub article repeats retailers whinging about sales on line.

What it doesn't address is why online sales are so popular.

Let's start with price and availability.

I'm a fat bastard. Only one retailer in my area (I'm in a large NZ city) caters for fat bastards clothing (although the Warehouse is starting to). That retailer (and now the Warehouse) aim at being cheap. I want quality and will happily pay for it so reasonable price is acceptable.

Recently I needed shorts.

None of acceptable quality were available locally.

I went online to NZ companies.

The cheapest were $199. and then I didn't like them.

I went online to Amazon America.

Wrangler Brand denim shorts, bloody good quality, were less than $NZ50. - at my door with a three week delivery time.

As an aside they are GREAT!

I can accept a 100% mark-up but 400% for an inferior product suggests NZ retailers deserve to be struggling.

Next: Service.

The following quote within the article suggests retailers or their representatives actually have no real idea how humans work, something I've noticed when in shops recently.

"In many cases it's going to be possible to find cheaper goods online, but what you won't necessarily get if you're making those purchases online is that customer experience, that in-store experience - the ability to touch and feel goods, the ability to go in there with friends and family and see what's going on," he says. "There's that whole social aspect to retail which is really, really important."

What bloody "social aspect"?

If I want the ability to go in there with friends and family and see what's going on," I'll have a family bar-b-que, go to the pub, visit friends for a quiet drink.

I certainly won't go to a F$#King shop!

When I go into a shop (any shop) I want a salesperson to acknowledge me and ask (if possible) if they can help.

My purpose in that shop is to buy what I want the get the hell out.

I want service that enables that. It is the marketing department's (the Boss in a small shop) job to ensure I see what they are trying to sell, not the sales attendant.

The sales attendant is there to help me decide which option to choose.

One shop (electronics) I went to recently had a sign "Please wait here for a sales person".

I went to the opposition.

Retailers are struggling because they are not catering to what I want. Price is a very small component in this although certainly a consideration.

The main consideration is when I walk into a shop I want the salesman to approach me and tell me "Yes we have what you want, It's here. Please leave as much money here as you can. Did you see anything else on your travels through this shop that may enable me to lighten your credit card?", smile, process the sale and thank me for my business.

That is all.

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