Bad Habits Merchants Need to Break

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Bad Habits Merchants Need to Break

• Karen M.Videtic
• Associate Professor

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Purpose of this workshop

• Summarize critical decisions that most merchants
  make on a regular basis.
• Become aware of the pitfalls of these
  merchandising decisions.
• Recognizing that a problem exists.
• Rectifying the situation.

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Failing to analyze available data to make better
decisions.

• Buying
• Right merchandise
• Right amount
• Profitability
• Maintained Markup
• Expenses
• Payroll
• Advertising

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Trying to be all things to all people

• Tailor your assortment.
• Dont carry merchandise that cant generate
  margins.
• Refer your customers to your competition.

5
Not owning a cash register/computer or not
utilizing it.

• What can you learn from your cash register
• Sales distribution patterns
• Gross margin by class
• Sales by class
• Sales by vendor

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Believing that employees have the same passion
for their work that you do.

• Ownership
• Motivation
• Pride

7
Buying what you like not what your customer
likes.

• Dont write orders at market.
• Ask your sales rep who else has bought it.
• Do you have the same customer?
• Dont buy it in your size or for yourself in case
  it doesnt sell.

8
Failure to train employees.

• What is great customer service?
• Employees should treat customers as guests in
  their home.
• Product knowledge do they know more than the
  customer?
• Sales techniques
• Features vs. benefits
• Narrow selection
• Customer approach

9
Failure to delegate.

• You cant do it all nor should you try to.
• Well trained employees have much greater
  potential than we give them credit for.
• Results are importantthe path is irrelevant.
• Learn from your employees they talk with your
  customers.
• Empower employees by giving ownership of their
  job.

10
Failing to manage your inventory.

• Take regular inventories.
• Take markdowns in a timely manner.
• Turnover make to make more .
• Return on investment

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Decreasing promotions/advertising and staff
during slow times.

• Maintain customer relationships during slow
  times.
• Remember that price is not the only motivator.
• Keep employees loyal and empowered.
• Plan for the future.

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Lack of Visual Merchandising

• Keep the sales floor interesting
• Fresh
• New merchandise
• Or just different
• Make customers want to buy.
• Do the hard work for them put it together!

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Failure to Plan for Change Its your job.

• Role Modeling
• Training for you and your employees
• Technical support
• Creating a new work environment that motivates
  your employees.