When the going gets tough the tough get going...Billy Ocean's hit song never rang more true than today.
How can showrooms in the kitchen, bedroom and bathroom industry ensure they are still going when the recession ends and growth returns? How are some businesses surviving and even thriving in the downturn, when others around them are dropping like flies? The answer is a mix of reducing overheads, offering a better deal and increasing marketing activity.
But I can hear the objections now - "we're cutting back on marketing, we haven't got the money".
I would like to share with you my top ten marketing tips, which will show you why you don't need a big budget. Most of these techniques are low cost and in some cases no cost at all:
1. Exceptional customer service
Look out of the industry at companies like John Lewis, Dell and Lakeland: of course there are many more - but these spring to mind for exceptional customer service. They are not necessarily the cheapest places to shop from but they offer a responsive and positive experience, which is why they are successful. When you are out and about look at how different businesses treat you. Use these ideas and tailor them to your showroom. When you are faced with an unhappy customer, turn their problem into an opportunity to show them how great your company is.
2. Referrals
The greatest form of advertising is free. Your best customers could be your best advocates. People buy from people they trust. Even if you don't know a provider, the fact that a friend recommends them to you immediately makes you massively more likely to do business with them than with a stranger. Our local car showroom uses a more formal approach, they give buying customers five £100 vouchers valid for six months that can be redeemed if their family or friends purchase a car. One of our customers goes a step further and offers both their existing and prospective clients store vouchers if a sale is made so that they both benefit.
3. Guarantees
Heavily promote the guarantees and warranties offered by you and the manufacturers you represent. From our experience, for the small number of false claims you will receive the increase in sales will certainly offset this. Customers are more willing to part with their money if they know they are buying with complete peace of mind and confidence.
4. Unique selling point
Why should anyone buy from you? What is different about your business - are you known for reliability and dealing with problems quickly and efficiently? Shout about why you are different. Have you got the largest display in your local area? Do you have the widest choice, the most knowledgeable staff? Look at what you offer from your customers' perspective. If you were looking for a new kitchen, bedroom or bathroom would you buy from your own showroom?
5. Go that extra mile
Offer something that is perceived as high value by your customer but doesn't cost you much. Simple gestures such as giving your customers free gifts of specialist glass and ceramic cleaners, or maybe a set of e-cloths when you deliver their order will go a long way and when they have used them and need more they will probably come back to you to buy them - an added sale. It's the little things that get remembered.
6. PR and publicity
Contact local lifestyle magazines and newspapers with stories that will interest their readers. Have you recently won a prestigious job or supplied something unusual? Become an expert in your field and offer this advice to the publications. Get involved with a local sporting team or host a charity event - be imaginative, local press are always looking for interesting stories.
7. Joint marketing
Join up with local non-competing businesses, such as a home entertainment specialist or a furniture store, that target the same type of customers and promote each other's services or products. Refer contacts to each other. Discuss possible joint events. Be imaginative, be different.
8. Create strong partnerships with suppliers
Concentrate on suppliers who you trust and have a strong relationship with. You may offer great service but if your supplier doesn't back you up it will be your company that will reflect badly on your customer. Talk with your suppliers regularly as they have the knowledge and experience to advise you. Are there ways they can support you, do they have special offers or products you will benefit from selling?
9. Review your product offering
Apply the 80/20 rule to your sales - 80% of your sales will come from 20% of your products. Take a good look at all your products and concentrate on your best selling lines. People still want to renovate their kitchens, bedrooms and bathrooms but are more price conscious and looking for deals. Don't be tempted to slash prices at the cost of your margin. Instead it may be worth looking at more affordable alternatives. Look for products that are of similar quality but more reasonably priced. Repackage offers at psychological price points.
10. Thank your customer
And finally don't forget to thank your customers. A simple handwritten note with a few lines, a quick call after a job has finished and only for the cost of a stamp or telephone call. When I started calling and emailing customers to say thank you, they were so surprised that someone had taken the time and effort and they weren't just an account number. The goodwill it generates is priceless.
I believe 2009 will present some amazing opportunities. The months ahead will be a time of great change and those with the vision and courage to adapt to these changes will get rewards. You are the masters of your own business destiny and, above all else, believe that you can influence the outcome for your company.
Sofia Charalambous, Homestyle Bathrooms
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