Sunday, 18 November 2012

Converting a walk-in to a sale through a proper welcome and query


Scenario:- A large department store of with rows and rows of ready to wear women apparel of jeans, kurtis etc..

Priya, a smartly dressed young women is walking into the area…

Lakshmi, a CCA at the department is folding and stocking the stocks, when she notices the customer walking in..

As per the training, she walks towards the customer and asks “Madam, how may I help you..”?

Priya has just walked in and she is still getting a feel of the place and says, “just looking”.

Then, Priya is left to shop for herself and Lakshmi will wait for to ask for any help.  Priya, then walks through and not having seen any thing in particular, go out of the department.

If only the training had been changed to the following :-

Lakshmi waits for Priya to start looking and then offers help, then she might have asked  a few questions and responded to them. The chances of a conversion would have been better.

What are your experiences in handling customers like Priya ? Share it with us at RetailGurukul@gmail.com

Friday, 16 November 2012

Reliable Rapid Replenishment

Dear All, 

I would like to bring to your attention an upcoming workshop that Goldratt India is organizing in partnership with Time n Cash, on the following topic: 

Increasing Availability without increasing inventory: TOC Way

Date: November 28, 2012

Venue: Hotel ITC Windsor Manor, Bangalore

Who should attend: Supply Chain Heads, Materials Heads, Production Planning / Production Heads, MDs, CEOs, Decision-makers of organizations

Workshop Details:

One-day workshop on eliminating stock-outs without increasing inventories through the application of Theory of Constraints (TOC)

The workshop would address the following issues:
¦Perennial stock outs of fast moving SKUs
¦Inability to meet sales targets
¦High obsolescence or discount sales
¦High inventory
¦Low inventory turns
¦Crisis mode of operation on regular basis
¦Inadequate or no profits
¦Squeeze on cash

This workshop presents the fundamentals of Reliable Rapid Replenishment – the TOC solution for eliminating all the above pains without increasing inventories.

Please send nominations to ira@timencash.com or call on +91 96320 18261 in case of any clarifications.
or me shivaram 9036036524

Thursday, 15 November 2012

Up selling skills

As a sales person, the first responsibility is to make the first sale. Then, to make the second sale and so on.

The best example that I have come across on Upselling goes like this...( it is an extract from the book Entrepedia by Prof. Nandini Vaidyanathan, a Mentor and Coach to over 500 mentees, including this author).

Quote...

A week before Christmas, the Wal Mart store in Denver, USA was gearing up for the big Christmas sale. It had hired close to a hundred people in Sales and the HR Manager was exhausted. Just then a  young sardar boy walked in saying he was looking for a job. The HR Manager said that he had just finished hiring and there was no vacancy.

But the boy was persistent and would not take no for an answer. That's when Sam Walton walked in and the boy went up to him and said,"Sir, I have just come from India and I need a job. I will come at whatever time you ask me to come tomorrow and I will work till I'm required to. At the end of the day, if you are not happy with my performance, you don't have to pay me a cent. But please give me the one chance.".

Walton perhaps saw some spark in the boy, so he asked him to report at 8.15 the next morning and work till 8.15 at night.

The next night Walton went in search of the boy and found him wrapping the shift up. So he asked him: "Young man, how was your day ? How many sales did you make ? "The boy diffidently replied:" It was ok , I made one sale."

Walton said:" On an average, each of our sales people makes 30-45 sales per shift. Just before Christmas, it is as high as 65-70. If you have managed to make only one sale pre-Christmas, you are obviously not good enough. I'm sorry but I don't think we can hire you."

Walton was about to walk away when something made him pause and ask: "What was the value of the sale?".

The boy replied :" One hundred thousand dollars."

Now it was Walton's turn to do a double-take. He asked the boy: "One hundred thousand dollars ? What did you sell? ".

The boy said,"Oh ! A customer came in wanting to buy a small fishing hook, I sold him a set of large ones and some bait. Then I told him, 'Since you bought so much of fishing equipment, why don't you go upstream and catch some really big ones?'

The customer said that it was a very good idea but he didn't have a boat. So I told him, 'That is not a problem, we have a lovely boat,and we can sell it to you.Then I told him, Now that you have the boat, why don't you go to the woods that the river leads to and camp the night? We will even throw in some Budweiser Beer for you '.

The customer said,  he loved the idea, except that he did not have any camping equipment. So I told him not to worry, that we have some wonderful ones that we could sell him. He looked at all that he had shopped and said," I have done so much shopping, how will I carry all of this with me?' and I told him ' Don't you worry, we have an awesome 4X4 truck and we would be more than happy to sell it to you ".

Walton then asked him :" Are you seriously trying to tell me that a man came to buy fishing hook and you sold him a boat, camping equipment and a truck?"

The boy replied: No sirjee, the customer came in saying he had a headache and wanted a pill for it. I told him fishing was a good way to get rid of the headache.

What was it this boy saw that the other hundred people in the store did not ?

The boy saw opportunity.

Did he only see the opportunity ? No, he also cashed on it.

Did he only cash on it ? No, he even created it !

Unquote...

Do you have any such incident to share with us ?

Wednesday, 14 November 2012

Why is after sales service so bad in India ?

3 problems in 3 weeks ! Our washing machine, the fridge and even the water filter and have had problems . In fact two of them are even under an annual maintenance plan costing us 1000's of rupees each year.
Yet, the service we have got from each of the companies, the first is a famous MNC, the second an equally famous Indian company, the third is known for its door to door sales people who pioneered water filters.
Yet, there are some TV manufacturers like Samsung who are offering 10 years warranty for the first time !
On the other side of the sales cycle, I saw full page advertisements today with gifts and prizes worth Rs. 6 to 10 crores from retailers as part of the Diwali Scheme.
Does it make sense for an unhappy consumer point of view, to ask me to buy their products when they cannot even service existing products ?
Every one is in a hurry to sell more and more to achieve their targets. Yet, the after sales service is so bad. The entire arrangement is outsourced, the mechanics are hardly trained on courtesy, on the products or even on time management. After repeated appointments, they come shabbily dressed, cant trouble shoot nor have adequate spares to support .
With each of these products are first time savers, the companies have done nothing to offer temporary replacements even at a cost.
Will the companies first look within existing customers , solve their pain points and service those who are already customers rather than just chase new customers with bigger and bigger prizes ?
Shivaram
Friend, Philosopher and Guide to Retailers.

Whirlpool, Godrej and Acqaguard. pl contact us !

Tuesday, 13 November 2012

Whose Diwali Greeting is this anyway ? No name, no identity


The Divine light of Diwali spread happiness n prosperity 2 U & ur family.

Did you recognise who sent this greeting ? Neither did I.

He would have thought it was a good thing to have wished me, but since I did not recognise his number, and it is not polite to ask him who is the sender, I just deleted the message !

About 10 % of the Diwali Greetings that I received this season had no name at all.  With increasing use of mobile numbers by every one, it is virtually impossible nor is it needed to store the mobile number of every person you meet.

And considering that I did not store his number in this case, and he paid about Rs. 1.50 on an average during this season to send out, I presume he must have lost about Rs. 45 if even 30 such messages were lost on its recipient.

Similarly, there is a saying in marketing, 50 % of all advertising is a waste of money, except that we don’t know which 50 %. But when you send an SMS, it is like direct marketing, and it is entirely possible to reach the target audience with the correct message and identity of the sender.

Those of us who will send out the next bulk SMS ( possibly during Christmas and New Year, might do well to remember to add the complete identity.

Having said that, belated Happy Diwali.

Shivaram/ Founder/ RetailGurukul.com

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