I started this article before the Covid19 outbreak and was then conflicted as to whether I should continue writing with the ensuing carnage. Inevitably, the pandemic would have a significant effect on our personal and professional lives, as well as our future behaviour. So, I pressed the pause button on my previously planned feature and, as predicted, the global economy has since slipped into recession. Now 8 weeks into lock down and I’ve had plenty of time to put together my thoughts on a post-Covid golf retail industry. Continue reading “What is the Future for a Post-Covid Golf Retail Industry?”
Today I went online and searched up “reasons to be happy”. It was a real challenge to find anything positive. I came across one article from 2013 and another from May 2018. And that’s it. Hasn’t anyone felt the need to write happy stuff since then?
If you believe everything you read in the Press, we do seem to be experiencing some unhappy times in the retail sector. Hysteria, conflict and sensation sell newspapers, whilst stories of doom feed the television news channels.
Many retailers offer a loyalty card to customers to keep them coming back to the shop. Loyalty schemes can help give your customers an emotional connection with your brand with every transaction: deepening loyalty, and encouraging them to spend more. However, it’s essential to choose a program that will resonate with your customer base, or your business could miss out.
Loyal customers spend more money in shops than new ones. Plain and simple. A recent study by Harvard Business School found that a customer’s 6th purchase was, on average, 40% larger than his, or her, first: with the 8th being 80% more. Loyalty pays.
Loyal customers don’t just help your business because they spend more, however. According to Bain and Co., a 5% increase in customer retention can increase a company’s profitability by 75%. And, if those numbers don’t make you sit up and listen, a Gartner Groups study showed that 80% of a company’s future revenue will come from
It’s been brought to my attention that there is some confusion over pre orders and what should people do with them. So, following a few conversations about planning, pre orders and agile stocking I thought I should put some thoughts down to point people in the right direction.
I am often asked by golf Pros if they should cancel all their pre orders. The answer is a definite “NO”. Well, maybe…
The reality is that the answer has to be specific to your situation and your current plan. Let’s run through some scenarios to see what might be appropriate for you.
In general, you should not just cancel all your pre orders. You’ll end up with nothing to sell. The only reason to cancel all pre orders is if you are about to go bankrupt. There is no point is wasting your suppliers time and money and getting yourself further in to Continue reading “Should I cancel all my pre orders?”
If I had a crystal ball, I’d have won the lottery a few times and would be sitting on my own island trying to work out how to take out Amazon. However, since I now have you on to my blog page, the least I can do is give you a few thoughts on what could happen in the world of golf retail in 2019.
Well, 2018 will have to go down as a pretty interesting year. England did well in a football tournament; Europe thrashed the US in the Ryder cup; the Beast from the East caused total havoc, only to be followed by a heatwave that got us all in a sweat. Then the political system imploded, as the Parties forgot about voters amidst the Brexit maelstrom: leaving the general public in a spin, and delivering the worst Christmas sales for 10 years.
So, what does any of this mean for 2019 and what can we expect for the golf industry in the New Year?
With the build-up to Christmas well and truly underway, most retailers are trying to maximise their sales and take advantage of all the festive fervour. I’ve seen some great promotional efforts in golf clubs around the country. It’s amazing who has a special Christmas suit!!
While most people won’t start thinking about 2019 until long after the turkey has been eaten, there’s no harm inputting some thoughts together in preparation – especially as we all want next year to be “the best one ever”. Again.
The main area for consideration here is planning. In Crossover’s recent Pro Shop Retail Tips advice article, we brought up, what is, for many, the dreaded topic of budgeting. This may not be the most popular area of business, but it really is a key part to running your store. I’d encourage all business owners to spend a few hours over the coming weeks to make sure they have all their numbers together. If you want to have a really Continue reading “Get Set for 2019”
Thanks to Head PGA Pro Michael McCrudden from Roe Park Resort in Northern Ireland, for this Tweet:
“Hi Phil, any chance of a blog post on how to deal with suppliers going direct to consumer and cutting out/by-passing bricks and mortar retailers like the green grass PGA Pro?”
This is a great question, and one that seems to be a really hot topic at the moment. Whilst I can’t provide you with a silver bullet, I might be able to provide some insight in to why brands are doing it, why consumers like it, and how retailers can respond.
So, here goes!!
Why Do Brands Go Direct?
It’s only since we have moved in to the digital age that brands have been able to interact directly with the consumer. In the past, manufacturers relied on distributors selling Continue reading “When a Brand goes Direct to your Customer”
Discounting stock for the wrong reasons will cost your business dearly. In fact, without a strategy in place, sales can even be dangerous to your business: lowering your Average Sales Price (ASP) and reducing overall profits. To maximise the opportunities of a sale, retailers need clear objectives, says Phil Barnard.
Some might say that you don’t need a reason for a sale. We know customers love a bargain, (who doesn’t?), and sales are something most retailers do intermittently throughout the year. However, sales need to be planned as part of your business strategy, and with specific reasons in mind. Putting on a sale because ‘it’s that time of year’, could have a negative effect on your bottom line.
So how can you ensure your sale will bring the maximum benefits to your business?
Following my article outlining some of the lessons learned from Amazon, here are a few pointers for the golf retailer on how one could use some of Amazons tactics.
So what does the rise in online sales mean for smaller retailers?
First of all, you are going to have to compete with Amazon and the other big online marketplaces – this is just a fact of life. These behemoths of the online world have advantages in the scale of their operation, the sheer range of products they can provide, their reach, and their infrastructure – but do not be disheartened.
You have strengths that the online giants don’t have. So, what should you be doing?
Times are a changing, and in the world of retail, things move very quickly indeed. The online (clicks) and offline (bricks) continue to battle for the consumer spend and, of course, each has its pro’s and cons. Bricks and mortar provide the experience and immediate gratification of being able to touch and see: whereas online stores have seemingly infinite choice, and greater convenience, enabling you to shop from your armchair.
If the online channel is of interest to you, then there is one certainty – Amazon has changed the marketplace for ever.
So, what does lessons can golf retailers learn from the largest online retailer in the world?
Lesson 1: Have Clear Business Aims
Amazon established clear business principles and focused on them without distraction – no matter what anyone else thought or said.