Business turnover tips for small retailers
26 October 2023
It’s no secret small retailers face different challenges to those of their larger competitors. Whether it’s attracting and retaining customers or optimising their operations, with the right guidance and a solid plan, achieving growth as a small business is possible.
Consider the following insights and practical tips to help keep your small business turnover high and your stress levels low.
Understand your customer base
For any small business, having a deep understanding of your customer base has the potential to reap substantial benefits.
Small businesses thrive on personal connections and building strong customer relationships nurtures loyalty and word-of-mouth referrals – both powerful drivers of retention and growth. By knowing your customers on a personal level, you can create memorable experiences that set you apart from larger competitors.
With many small businesses running on limited resources, any marketing funds need to be spent wisely. By understanding your customers' preferences and needs, you can tailor products to resonate with them, enhancing customer satisfaction.
As you interact with customers on a more intimate level, you may be able to recognise customer pain points and desires faster. This means you can make immediate changes to your products, services or operational processes, often without the layers of red tape bigger businesses have to contend with. This flexibility is a significant advantage in today's changing business environment.
Optimise product placement and display
If you have a customer-facing store, your retail space is a critical asset, so you want it to be inviting. Think about how best to showcase your products and appeal to your target market. While a big, bright sign and jam-packed window display might be perfect for a toy store or comic book shop, an elegant, less cluttered display would perhaps be more suitable for a high-end store.
Inside the store, maintain cleanliness and provide excellent lighting so people can easily find what they need. Leave ample space for comfortable navigation and be considerate of all customer needs, including people using mobility aids and parents with prams. Make safety a priority by keeping aisles clear of debris and boxes and address maintenance issues quickly.
Offer promotions and discounts
Promotions and discounts can be game changers, attracting new customers while keeping existing ones coming back for more. By strategically timing your promotions, you can create a sense of excitement or urgency around your products or services. Discounts, special offers and loyalty programs can boost sales and strengthen customer loyalty, turning one-time shoppers into long-term supporters of your brand. The trick is to create enticing promotions and discounts to drive sales while keeping a healthy profit margin.
The online experience
The internet can be a powerful tool for small retailers and implementing online strategies as part of your business plan can improve turnover. An e-commerce website or strong online presence expands your reach and also provides convenience for customers who prefer to shop online. Additionally, online marketing like Search Engine Optimisation (SEO), pay-per-click advertising and social media campaigns can attract new customers to your virtual storefront.
From here, data analytics tools can give you valuable insights into customer behaviour, allowing you to design online offers and marketing that resonates with your target audience. Whether it's personalised product recommendations or targeted email campaigns, the internet has lots of opportunities to drive sales and foster customer loyalty.
Improve customer experience and satisfaction
Exceptional customer service can turn visitors into loyal patrons. Greet everyone warmly, offer help without being overbearing and maintain a friendly demeanour. Even during busy times, acknowledge waiting customers, thanking them for their patience. Prioritising great customer service should be an essential aspect of your business.
Know you're covered
Regardless of your business's size, having the right business insurance in place is crucial. While it’s impossible to guarantee there’ll never be an incident in your store, you may want to consider Public Liability Insurance for your own peace of mind.
Implementing these small business turnover tips can help you build a loyal customer base and achieve financial success.
- Public Liability vs Professional Indemnity Insurance
- The different types of Business Insurance
- Inflation: How it impacts your business insurance premium
Insurance issued by AAI Limited ABN 48 005 297 807 trading as GIO. Read the Product Disclosure Statement before buying this insurance. Go to gio.com.au for a copy. The Target Market Determination is also available. This advice has been prepared without taking into account your particular objectives, financial situation or needs, so you should consider whether it is appropriate for you before acting on it.
This information is intended to be of a general nature only. We do not accept any legal responsibility for any loss incurred as a result of reliance upon it – please make your own enquiries.