How to Run a Retail Store

Retail businesses sell all types of merchandise and arestore.
not limited to what is sold in a five and dime or a dollarAttractive displays also may need special devices so
store. The items sold could be clothes to skateboardsthe items can be shown to advantage. Stacking or
to motorcycles. Any store at a fixed location that sellshiding items is not a good way to get the customer's
similar items each day could be considered a retailattention. When thinking of a display try to get into the
store. There are several facets to a successful retailcustomer's mind and imagine what they will see with
operation.the display. If it does not draw attention, it is probably
Locationnot doing the job. Eye level or slightly lower is the
Location is the critical element for almost all retailoptimum position to show specials. Signs and placards
outlets. A store needs traffic passing by it every day.are another way to grab the customer's eye.
In a shopping center with other good retail outlets, thereNewspaper ads, TV and radio will help to get them in
is a synergistic effect between them that helps eachthe store, but the displays are what sells the
capture customers. Most centers are anchored by amerchandise. It is a terrible waste of money to get
prominent store, which gets a lot of traffic. This is ofcustomers to come to your store, only to walk out
prime importance when looking at locations. A newwhen they cannot find what they came in to see.
store needs traffic to get off the ground and developPutting the customer first in your ideas will help you
a following.make the correct display decisions.
MerchandiseOrdering
The next two important factors are the merchandiseOrdering in a timely manner needs to be automated
and the staff that waits on the customers. Both aresome how. Inventory levels need to be monitored and
critical to success of the store after the traffic situationkept at the right level at all times. Being out of sought
is resolved. Attractive merchandise is needed or littleafter items just sends the customer to another store.
or no sales will be made. If you get the people in theThe store owner and the store manager should be
store, you need merchandise that gets attention andaware of inventory all the time. This is a prime area of
will be attractive enough that people want to purchaseresponsibility in running the store correctly.
the items. The store will also need to constantly haveOther business concerns
new items for sale or the customers will begin to thinkA retail business has to operate like any other
that there is never anything new to look at or buy.business as far as sales tax, payroll taxes and
Marketing and merchandising of products is an ongoingquarterly reports to meet state and federal
challenge to the retail merchant. How they do this andrequirements. This part of the business is like many
how often depend on what the general store image isother businesses and is just part of owning a business.
to the public. Special times of the year will dictateTime must be scheduled for these activities or hire it
some of the merchandise on display and offered forout to an expert on a part time basis. For some
sale.owners this is the best way to handle this needed
Employee impactfunction. There are dates that must be met and these
Customers desire well-trained and helpful employees.reports must be filed on time. Hiring this out may solve
They want to deal with store employees that knowthis problem with expert help.
where items are in the store and can answer otherAdvertising is another area that needs to be
questions. A store employee should know the mainconsidered in the retail business. What is done in this
items the store sells and should be continually broughtarea is related to the items sold. How often it is
up to date on new merchandise or specials the storeneeded and the type will depend on the business. This
is currently marketing. If you run weekly specials thecan also be contracted out, but it must be kept under
store people should be versed on the special and it'scontrol, as it is easy to buy more than is useful. An
pricing. Customers should not have to remind peopleexperienced ad agency may be needed for a while
waiting on them that the merchandise has a specialuntil the business can become stable. This is a learning
price this week. When a customer has to do thatsituation and what works must be found.
every time they shop at your store, they will begin toConclusions
believe it is on purpose and not an accident.Location, location, and location is the critical factor in
Employees that are idle should not keep a customerevery retail business. Walk by traffic or car traffic is
waiting when they are ready to be helped. There isneeded to be successful in the retail business. Once
nothing more irritating to a customer than being ignoredthis factor is covered, the merchandising and
by the store help. A store owner would be wise to getemployee management can be put in place. If people
a report by a secret shopper of their experience withdo not come in the store, then it will not matter what
the store. Being aware of what is happening in theyou do as far as employees or merchandise is
store is part of good management. Never assume allconcerned.
is well as many owners are the last to know what isExcellent customer treatment is the result of
really going on between the customer and the storewell-trained employees and does not happen
employee. Customers will complain by not comingautomatically. This has to be part of the planning by
back and you will never know they feel mistreated.the management. Trained employees help to bring
Not being helped by a knowledgeable employee is aback customers and make them the best customers
common complaint by store customers.of all. A repeat customer is worth a great deal of
Displaying merchandisemoney over time. Also repeat customers will refer
The art of displaying merchandise in an attractiveother people to your store. This is word of mouth
manner is an entire course in retail store management.advertising that all business want, but have to earn the
If items are not seen or displayed properly, you will nothard way.
sell many of them. Merchandise needs to look freshDisplays need to be eye catching and help to sell the
and crisp at all times. Shop-warn items should not beproduct. Posters and placards can be used to direct
displayed except in a bargain section. Impulse itemsattention. Once the customer is through the door, you
should be on display near the cash out area. Itemshave a chance to make a sale. A successful retail
should be displayed in the appropriate sections. Similarstore puts all of these factors together.
items should be collected in the same area of the