Three Really Simple Sales Tips No Serious Major Retailer Can Afford To Ignore!Part Four
As you previously discovered in part one of this ongoing series about using proven (not to mention) relatively inexpensive sales tips.
Far too many extremely cash strapped small business owners and or service providers rely on trying to advertise as if they’ve got fortune 500 bank accounts!
And as net result, they receive far too little a return to remain viable.
On the other major corporations like Kmart, often seem to abandon the far less traditional type “cash conscious” low cost creative marketing strategies, that can, and definitely will better serve their purposes far more effectively, while simultaneously save them a lot of money.
In part two, we will explore one such approach, that Kmart and other struggling retailers might implement, in order strategically (while rather inexpensively) increase their long term gross profit margins.
Kmart is going to super leverage (if you will), the current relationship they have just established with their (in house) hair salon vendors. And by doing so, help their vendors (while) simultaneously, dramatically lower their cost per lead! And ultimately make way more net profit in the process!
Why No Really Serious Cash Strapped Retailer Can Afford To Ignore These Proven Sales Tips!
Let’s say Kmart is closely tracking their daily and weekly sales numbers, with regards to the hair salon vendors that they allowed to set up in house mini hair salons inside their stores, in order to both attract their current customer base, and to (hopefully) attract some brand new customers as well.
But for now Kmart (or cash starved) major retailer X is going to inexpensively test a few more marketing concepts, and see first hand “how” much more gross profit they can generate from this particular cash generating arrangement.
First, Kmart is going to sponsor a weekly contest where every employee of the vendors hair salon (the people actually cutting and styling the hair, or doing nails etc.),each week they will be given 25 (in essence) Kmart gift certificates, valued at $25 (or X ) dollars each.
And every week, that the top two hair salon employees that have the most gift certificates redeemed that week, the first prize is $500 dollars in cash, plus a $50 card card, and a $50 dollar gift certificate from Kmart.
The second runner up gets $250 dollars in cash, plus a $20 dollar gas & Kmart gift certificate. And anytime any hair salon employee wins first prize more than once. They automatically receive double value!
So in other words, Kmart wants to spark some competition among their hair salon employees and motivate them to aggressively pass out those extremely time sensitive Kmart gift certificates!
First of all, think about how relatively inexpensively it is for Kmart (or cash starved) major retailer X, to aggressively reward this in house vendor’s employees for aggressively marketing Kmart’s gift certificates.
As opposed to constantly spending, ever increasing, outrageous amounts of money on the traditional advertising mediums such as, local TV, radio and local newspaper and or magazine or local billboard ads etc.
There Is A Ton Of Marketing Leverage To Be Gained Simply By Maximizing Your Relationships With Vendors!
Now let’s go just a little further in establishing this sales funnel thingy, shall we? First, what if Kmart (who) don’t forget, is easily currently spending anywhere from $50,000 -$150,000 dollars per month on all types of traditional mediums, such as outrageously expensive inserts in local Sunday newspapers.
And constantly buying expensive local-prime time-radio and TV ads etc.
Trying to drive new and repeat customers into their stores. Now let’s say they set aside a mere $25,000 dollars each month, to be used in the following less traditional manner.
Every customer that redeems their gift certificate before it expires, they get to buy any one product of their choice, at Kmart’s actual cost! Think about that simple marketing ploy for just a second. (With no price limitations on which one item they can buy!)
If they can pay Kmart’s actual cost for any one item, what are the chances it will probably be a more expensive item? Exactly! But here’s the catch. In order to eligible to receive this particular benefit, they’ve got to opt in at Kmart’s WordPress blog. Plus, once per week, as an active member of Kmart’s exclusive VIP members club.
(I know, original right?) Anyway, they also get to enter Kmart’s weekly raffle, where Kmart raffle’s off really cool stuff, like state of the art 75 inch flat screen TV’s with a suggested retail value of $2,339.95!
It only cost VIP members $300 dollars each!Some happy camper wins the TV, and they only paid $300 dollars, plus the applicable taxes & fees etc.
Do you think they will immediately share their good fortune on Facebook, twitter and or Instagram etc ! Yep! Do you think they’ll suddenly start texting friends, family and co-workers like crazy etc! Yep!
Do you think they’ll suddenly decide to host this years Super Bowl party extravaganza at their place? Of course! Now then, what do you think these weekly raffles,with all these really cool prizes, that’s available only to Kmart’s mobile and or VIP email list subscribers, will do to create tremendous on and offline buzz!
(And that absolute best part is, they can do it for literally a fraction of the traditional cost!) How cool is that?
We’ll cover even more marketing twists in part five. For now, suffice it to say, Kmart and or any struggling cash starved retailer, would be wise not to overlook and or ignore, these proven sales tips. Don’t you agree?
P.S. Please list at least two simple spin off concepts (in the comments section below) that you can apply to your business, product or service in the next 30 days or less!
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