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  • Suggest You - The Small Retailer's Survival Guide - Part 8 - The Highs and Lows of Refitting Your Store

    Business Needs Vs. Network Performance: Critical Challenges Facing Network Managers
    Networking is getting tougher. Networks must deliver a growing range of services, from ERP, CRM and email to VoIP and web services applications, each of which has its own idiosyncrasies and requirements. Each new service introduced onto the network contends for available resources with every other service, impacting the network’s ability to support the business.Meanwhile, the network itself is constantly changing. New locations are added – some of which may be in another country or on another continent. Equipment is upgraded and/or re-configured. New management and/or security tools may themselves impact service performance. Decisions about data center consolidation and business re-organization also affect the network in different ways. All of this makes the network a highly dynamic environment where even subtle changes can have a major, unforeseen impact on application performance and availability.Yet business users expect this complex environment to be as reliable as electricity – despite the fact that networking budgets are not being increased in proportion to these growing challenges. So network managers can’t simply over-provision network infrastructure to make sure every service has all the bandwidth it needs. Moreover, over provisioning may not eve
    ill have taken the trouble to discover another store which will give them the service they need. It is more likely that the former of the two "locked out" customers will return - at least they care enough to be upset. The second customer may be lost forever. If you multiply the loss of just one regular customer over a few years you may be shocked at how much profit you have turned away. So, when costing store closure for refitting, add a reasonable percentage for lost goodwill.

    Another very important point is the fact that customers will find products in all the wrong places if you have remerchandised most or all of your product ranges. Older customers, some disabled customers and those in a hurry will not be too happy about this. Most of them will undoubtedly get over it, but a few may not and may reduce their visits to your store or may be gone forever. You may accept the short term pain, but some of your customers

    Team Motivation - Tough Enough to Care
    Sir Alex Ferguson has just celebrated his 1000 game in charge of Manchester United, probably the world's most successful soccer team.I have a great deal of respect for Sir Alex as a man manager. However, I always feel that he's misrepresented in the media. The press portrays him as this big, bad, angry guy who manages his team by aggression, bullying, shouting and throwing teacups and football boots around the room.I don't think there's any doubt that he does get angry when his team aren't performing but there's another side to his personality that people don't see or don't want to see. As Peter Schmeichel the ex Man United goalkeeper said in a recent newspaper article - "The kind and understanding side to his personality is something people outside United don't see. Fergie can be explosive, yet once he'd got a problem out into the open and dealt with it, it was gone. He never bore grudges. One minute he'd be furious, the next he'd ask - How's your family."I've spent many years studying successful managers whether they're in business or in sport, trying to establish what makes the good guys so good. I have absolutely no doubt in my mind that these managers and coaches know: 1 - How to do all the business parts of the job 2 - How
    If you have decided to refit your store you may consider employing an independent consultant to advise you on the bet layouts an fixtures. A shop fitting consultant may plot the flow of customers around your store. One important factor is to try to marshal your customers past as many product displays as possible and especially the higher margin lines. By strategically placing staple everyday (low margin) goods at certain intervals around the store, the customers will need to walk past higher profit goods. Many store owners are tempted to put these fast sellers near the entrance of the store as this is near the checkout area and low stocks are easier to deal with. Perhaps more importantly for some store owners, the low profit stock tends also to be low value and theft of these products is less expensive than losing high value goods, hence why they are near the entrance/exit. As well as finding ways to maximise sales and profit, a good consultant will know all the latest - and the more traditional - methods of reducing wastage through theft and will advise you accordingly. They will also crucially advise on how to have customers use the whole sales space rather than have dead areas where nobody ventures. I often see dead areas, even in large superstores where the normal sales per square foot requirement seems not to apply. Your sales area is an asset that must be made to work for you.

    A good consultant can cost you a lot of money, but you may find that they add a considerable premium, not just to your sales, but more importantly to your profit. They may also prevent you falling into some of the many traps that are part of the shop refitting experience.

    Full Package
    Many shop fitting companies will employ their own consultants. Obviously they would not be as free with their advice as an independent and they would understandably be in the business of maximising the shop fitter's sales to you. If the cost of the consultant is loaded into the price of the shop refitting, then make full use of this service. You can always reject advice if you do not like it, but you may find that it's very useful, even if you have to cherry pick the best bits. You should also bear in mind that if the shop fitting process should go wrong, it is easier to get redress when you are dealing with one company. If you are splitting responsibilities between the consultant and the fitter as two separate parties, then you may find them blaming each other. Even before anything goes wrong you may find that the two parties just don't get on. If, for example, you ask the consultant to be the specifier and the shop fitter to work to his specifications, you may discover that the relationship between them doesn't work and you will have your work cut out arbitrating between the two.

    Customer Resistance
    In part seven of this series of articles, I mainly concentrated on the benefits and pitfalls of refitting from the point of view of your business and crucially whether a refit would do harm or do good to your sales and profits. Store refitting is all about short term pain for long term gain. You may decide to shut the store down for a day or two (or even longer) in order to minimise and shorten the refit work. When calculating the cost of closing, always consider customer goodwill as well as sales for any given period of time. Yes, you have lost the takings for the closure period but you may also have lost some customers for good. Some may not appreciate that fact that you have withdrawn your service. Others may not take it so personally, but will have taken the trouble to discover another store which will give them the service they need. It is more likely that the former of the two "locked out" customers will return - at least they care enough to be upset. The second customer may be lost forever. If you multiply the loss of just one regular customer over a few years you may be shocked at how much profit you have turned away. So, when costing store closure for refitting, add a reasonable percentage for lost goodwill.

    Another very important point is the fact that customers will find products in all the wrong places if you have remerchandised most or all of your product ranges. Older customers, some disabled customers and those in a hurry will not be too happy about this. Most of them will undoubtedly get over it, but a few may not and may reduce their visits to your store or may be gone forever. You may accept the short term pain, but some of your customers

    Checklist for Starting a Business
    Use this comprehensive checklist to plan each step of your new business and transform your dream of entrepreneurship into reality. These steps may not necessarily be completed in the order listed; however, you can use them as a guideline for completing all of the necessary business startup tasks.- Determine what kind of business you want to start. - Learn about the industry for your business. - Analyze the market for your business. - Study your competition. - Educate yourself on running a business. - Join trade associations. - Name your business. - Perform a trademark search. - Register a domain name. - Design a website. - Obtain a logo. - Determine business structure (sole proprietor, partnership, or corporation). - Evaluate your personal budget. - Write a business plan. - Write a marketing plan. - Locate financing. - Create a list of start-up supplies with budget. - Set up a system for accounting and payroll. - Apply for business license, fed tax ID, fictitious business name. - Select a location and set up shop. - Order signage. - Obtain business tools (computer, printer, fax, postage, office supplies, and fixtures). - Order business stationery (busine
    rofit, a good consultant will know all the latest - and the more traditional - methods of reducing wastage through theft and will advise you accordingly. They will also crucially advise on how to have customers use the whole sales space rather than have dead areas where nobody ventures. I often see dead areas, even in large superstores where the normal sales per square foot requirement seems not to apply. Your sales area is an asset that must be made to work for you.

    A good consultant can cost you a lot of money, but you may find that they add a considerable premium, not just to your sales, but more importantly to your profit. They may also prevent you falling into some of the many traps that are part of the shop refitting experience.

    Full Package
    Many shop fitting companies will employ their own consultants. Obviously they would not be as free with their advice as an independent and they would understandably be in the business of maximising the shop fitter's sales to you. If the cost of the consultant is loaded into the price of the shop refitting, then make full use of this service. You can always reject advice if you do not like it, but you may find that it's very useful, even if you have to cherry pick the best bits. You should also bear in mind that if the shop fitting process should go wrong, it is easier to get redress when you are dealing with one company. If you are splitting responsibilities between the consultant and the fitter as two separate parties, then you may find them blaming each other. Even before anything goes wrong you may find that the two parties just don't get on. If, for example, you ask the consultant to be the specifier and the shop fitter to work to his specifications, you may discover that the relationship between them doesn't work and you will have your work cut out arbitrating between the two.

    Customer Resistance
    In part seven of this series of articles, I mainly concentrated on the benefits and pitfalls of refitting from the point of view of your business and crucially whether a refit would do harm or do good to your sales and profits. Store refitting is all about short term pain for long term gain. You may decide to shut the store down for a day or two (or even longer) in order to minimise and shorten the refit work. When calculating the cost of closing, always consider customer goodwill as well as sales for any given period of time. Yes, you have lost the takings for the closure period but you may also have lost some customers for good. Some may not appreciate that fact that you have withdrawn your service. Others may not take it so personally, but will have taken the trouble to discover another store which will give them the service they need. It is more likely that the former of the two "locked out" customers will return - at least they care enough to be upset. The second customer may be lost forever. If you multiply the loss of just one regular customer over a few years you may be shocked at how much profit you have turned away. So, when costing store closure for refitting, add a reasonable percentage for lost goodwill.

    Another very important point is the fact that customers will find products in all the wrong places if you have remerchandised most or all of your product ranges. Older customers, some disabled customers and those in a hurry will not be too happy about this. Most of them will undoubtedly get over it, but a few may not and may reduce their visits to your store or may be gone forever. You may accept the short term pain, but some of your customers

    Love Those Clients
    A friend referred a client to me for my free-lance writing/editing business. After I took the assignment and then delivered it, it seemed as though this new client was one of those who wanted my services but didn’t want to pay.Weeks went by and I just wrote it off. But then she called me and wanted me to do some more work for her. I was still resentful about the non-payment, so our conversation unfortunately devolved into a shouting match.As we yelled at each other, I finally realized this whole thing wasn’t right. So in the middle of flying invective, I tried to collect my thoughts.Was I merely in business to provide a particular service? Was the only important result the paycheck? In my heart, I didn’t think so. I knew good business practices include building good relationships, based on respect and professionalism.I realized that it was frankly a bad business tactic to indulge in thinking poorly of my clients. I had to see *everyone* as a child of light, as a creation of Spirit, not just those who behaved as I thought they should.This stems from the spiritual discipline I try to follow. I study Christian Science, and it teaches that each one of us is the loved creation of the One Altogether Lovely—the divine Father-Mother. I couldn
    tandably be in the business of maximising the shop fitter's sales to you. If the cost of the consultant is loaded into the price of the shop refitting, then make full use of this service. You can always reject advice if you do not like it, but you may find that it's very useful, even if you have to cherry pick the best bits. You should also bear in mind that if the shop fitting process should go wrong, it is easier to get redress when you are dealing with one company. If you are splitting responsibilities between the consultant and the fitter as two separate parties, then you may find them blaming each other. Even before anything goes wrong you may find that the two parties just don't get on. If, for example, you ask the consultant to be the specifier and the shop fitter to work to his specifications, you may discover that the relationship between them doesn't work and you will have your work cut out arbitrating between the two.

    Customer Resistance
    In part seven of this series of articles, I mainly concentrated on the benefits and pitfalls of refitting from the point of view of your business and crucially whether a refit would do harm or do good to your sales and profits. Store refitting is all about short term pain for long term gain. You may decide to shut the store down for a day or two (or even longer) in order to minimise and shorten the refit work. When calculating the cost of closing, always consider customer goodwill as well as sales for any given period of time. Yes, you have lost the takings for the closure period but you may also have lost some customers for good. Some may not appreciate that fact that you have withdrawn your service. Others may not take it so personally, but will have taken the trouble to discover another store which will give them the service they need. It is more likely that the former of the two "locked out" customers will return - at least they care enough to be upset. The second customer may be lost forever. If you multiply the loss of just one regular customer over a few years you may be shocked at how much profit you have turned away. So, when costing store closure for refitting, add a reasonable percentage for lost goodwill.

    Another very important point is the fact that customers will find products in all the wrong places if you have remerchandised most or all of your product ranges. Older customers, some disabled customers and those in a hurry will not be too happy about this. Most of them will undoubtedly get over it, but a few may not and may reduce their visits to your store or may be gone forever. You may accept the short term pain, but some of your customers

    Bringing Your Brand Into Focus
    To promote your brand, you first have to be clear what it is, or what you want it to be. In essence, your brand should be unique. In a nutshell, it is what can be associated with your business and no other. Think of any hugely successful brand and you’ll know exactly what I mean.To identify what it is about your business that you should be promoting, take a piece of paper and make a list of the key points of your business operation that you’d like to be known for. Whether you’re selling a product or service, there will be elements of your operation that distinguish you from competitors.Your Unique Selling PointIdentifying your unique selling point involves also studying your market. What are your customers looking for?Remember that they will likely be looking for authenticity and originality. Often, they’ll pick your product over others if it, or your selling point, meets a need or solves a problem for them. We are emotional creatures. Selling is all about feelings. Knowing how your customers feel, what they want and how they think is critical. You simply can’t study this too much. You may even consider commissioning an expert to create a “Persona” for you. A Persona is profile of a
    two.

    Customer Resistance
    In part seven of this series of articles, I mainly concentrated on the benefits and pitfalls of refitting from the point of view of your business and crucially whether a refit would do harm or do good to your sales and profits. Store refitting is all about short term pain for long term gain. You may decide to shut the store down for a day or two (or even longer) in order to minimise and shorten the refit work. When calculating the cost of closing, always consider customer goodwill as well as sales for any given period of time. Yes, you have lost the takings for the closure period but you may also have lost some customers for good. Some may not appreciate that fact that you have withdrawn your service. Others may not take it so personally, but will have taken the trouble to discover another store which will give them the service they need. It is more likely that the former of the two "locked out" customers will return - at least they care enough to be upset. The second customer may be lost forever. If you multiply the loss of just one regular customer over a few years you may be shocked at how much profit you have turned away. So, when costing store closure for refitting, add a reasonable percentage for lost goodwill.

    Another very important point is the fact that customers will find products in all the wrong places if you have remerchandised most or all of your product ranges. Older customers, some disabled customers and those in a hurry will not be too happy about this. Most of them will undoubtedly get over it, but a few may not and may reduce their visits to your store or may be gone forever. You may accept the short term pain, but some of your customers

    Provide a Local Support Office for Your Remote Employees
    Expanding your company to a new city is a giant step. There are many important decisions to make about your location, employees, financial needs and how you will best benefit your clients. If your remote employees will be working from home or their cars for the most part, you can provide them with access to a local branch of your company without paying high rent or buying expensive office equipment. Here are two options:Renting a Virtual Office for Your EmployeesProviding a local virtual office for your remote employees is one way to help their daily tasks go more smoothly. A virtual office is designed to help employees who work either from home or operate out of their vehicle most of the day by providing a local business presence and convenient location for part-time office tasks. Rather than using their home mailing address and phone number, your employees are able to use a local business address and phone number provided by the virtual office services.Virtual Office BenefitsYour sales force will be able to operate professionally and can use the virtual office to perform vital tasks that might not be possible otherwise. For example, many virtual office services provide part-time access to a fully-equipped office. Your employees can
    ill have taken the trouble to discover another store which will give them the service they need. It is more likely that the former of the two "locked out" customers will return - at least they care enough to be upset. The second customer may be lost forever. If you multiply the loss of just one regular customer over a few years you may be shocked at how much profit you have turned away. So, when costing store closure for refitting, add a reasonable percentage for lost goodwill.

    Another very important point is the fact that customers will find products in all the wrong places if you have remerchandised most or all of your product ranges. Older customers, some disabled customers and those in a hurry will not be too happy about this. Most of them will undoubtedly get over it, but a few may not and may reduce their visits to your store or may be gone forever. You may accept the short term pain, but some of your customers may not. It is always hard to quantify this affect, but you must take it into account.

    Merchandising
    As well as advising on layout and fixtures, a consultant may also discuss your product range, perhaps suggesting lines that you could introduce while encouraging you to stop other lines. All storekeepers hate to reduce stock to clear, especially non perishable items. Your consultant may persuade you to accept less backroom stock space and give this over to the sales floor. As a result you may need to be ruthless with those ladies slippers that have hardly moved over the past two years. As much as it hurts, accept that these and other stuck lines have failed and reduce them to clear. Your back room stock needs to kept low as the space is required for the sales floor. Once you have cleared the unwanted slippers and other stuck lines, you will have a vibrant range offering products that people want and you should have more total sales floor space. This will allow creative merchandising, using traditional retail shelving as well more innovative designs such as carousels, hanging fixtures and display rings. You may group some product lines together and perhaps separate others. You will certainly ensure that higher profit premium products are prominently displayed very close to their everyday low profit items. For instance, if you sell milk, then most people will happily pick up the same low priced milk every other day. You can also display higher margin organic milk prominently nearby and, just now and again, your customers may try organic for a change, just because it is right there. This method of having low margin products shine a light on higher margin products is just one of the techniques that are employed when merchandising goods.

    There is a philosophy amongst some retailers and consultants that a store with a low volume turnover and a large sales floor should reduce their sales space, even going to the extent of erecting false walls. This is only true of fresh foods where sparse and empty displays can be off-putting. If you have a large space to fill - then use it! If you put up a false wall with a empty space behind, the space will soon be filled again with stock that nobody wants. If you cannot extend current product ranges then consider introducing a niche product range or a distant related range. For instance, if you sell ladies clothes only, perhaps it is time to introduce a niche men's range? If you sell computer accessories, consider having a section that sells audio products or cell phones. You may even consider having a third party use the space as a store-within-a-store concession.


    Lighting
    Food stores need bright, white lights that are as close as possible to natural light. Darkness is associated with a lack of hygiene. Clothes and fashion stores tend to have softer and colorful lighting. Whatever your product range, ensure that the lighting does not act as a barrier to sales. It is amazing that, if a light bulb suddenly goes out of action in one corner of a store, that corner suddenly looks less inviting. If your whole store has dull lighting, then the whole store is not inviting. Just as a town or street looks pleasant on a sunny day, as opposed to a grey day, so must your store look pleasant through the use of bright lighting.

    Cleaning and Moving Fixtures
    Whereas older fixtures can be hard to move and hard to clean, modern fixtures are made to a more modular format, so that bits can be snapped off and snapped on, and large items can be moved using castors etc. There are also less dirt traps and

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