CHAPTER 6 7 MIN
|
Other Seasonal Fluctuations to Consider
These common holidays and events are great to plan for, but there are some circumstances, both predictable and sporadic, that retailers must also consider:
Changes in Weather
Weather can be both seasonal and unpredictable. Here’s what I mean: Some areas have a rainy season, and that rainy season is at the same time of year every year. A retailer can look to purchase raincoats, umbrellas and boots in anticipation of the rainy season.
But not all weather patterns are so predictable. And predictable or not, the weather has a major impact on a brick-and-mortar retail store. Research from Deloitte found that unusual winter storms severely disrupted the entire U.K. retail market. “Snow and freezing temperatures hit footfall in shopping locations and disrupted supply chains leading to empty shelves and closed stores.”
Being able to respond to unexpected changes in weather as a retailer is extremely challenging, but rewarding when executed well. “Weather volatility can disproportionately impact smaller retail businesses with less resources, but indie retailers also have the flexibility to pivot faster than their bigger competitors ahead of the first rain drop,” says Joanna Rutter, marketing specialist at Dor.
The number of weather patterns and changes to be prepared for as a retailer is truly infinite. It’s always best to do the research on your local area and past sales history and combine that with industry reports and research to strike the balance that makes the most sense for your business.
“The only way you can start noticing trends and take action on them is keeping track of how weather impacts your business now, so you have data to refer to when planning ahead next time,” she says. “For example, noticing that rain in the forecast means you take a 10% hit in foot traffic, you can plan a marketing campaign to drive more foot traffic during inclement weather so you don't take a sales hit on days that aren't sunny.”
Changes in Weather
Weather can be both seasonal and unpredictable. Here’s what I mean: Some areas have a rainy season, and that rainy season is at the same time of year every year. A retailer can look to purchase raincoats, umbrellas and boots in anticipation of the rainy season.
But not all weather patterns are so predictable. And predictable or not, the weather has a major impact on a brick-and-mortar retail store. Research from Deloitte found that unusual winter storms severely disrupted the entire U.K. retail market. “Snow and freezing temperatures hit footfall in shopping locations and disrupted supply chains leading to empty shelves and closed stores.”
Being able to respond to unexpected changes in weather as a retailer is extremely challenging, but rewarding when executed well. “Weather volatility can disproportionately impact smaller retail businesses with less resources, but indie retailers also have the flexibility to pivot faster than their bigger competitors ahead of the first rain drop,” says Joanna Rutter, marketing specialist at Dor.
The number of weather patterns and changes to be prepared for as a retailer is truly infinite. It’s always best to do the research on your local area and past sales history and combine that with industry reports and research to strike the balance that makes the most sense for your business.
“The only way you can start noticing trends and take action on them is keeping track of how weather impacts your business now, so you have data to refer to when planning ahead next time,” she says. “For example, noticing that rain in the forecast means you take a 10% hit in foot traffic, you can plan a marketing campaign to drive more foot traffic during inclement weather so you don't take a sales hit on days that aren't sunny.”
Tourism
For retailers located in tourist destinations, the seasonal selling periods may revolve around the tourism seasons. For example, a ski resort town will be bustling in the winter but much quieter in the spring and fall.
Beyond knowing when your busy season is and how to prepare for it, you’ll want to understand the psyche of this customer vs. an average shopper in a non-tourist destination. How are their needs and desires different? Which types of products are they looking for? What are they willing to spend?
For retailers located in tourist destinations, the seasonal selling periods may revolve around the tourism seasons. For example, a ski resort town will be bustling in the winter but much quieter in the spring and fall.
Beyond knowing when your busy season is and how to prepare for it, you’ll want to understand the psyche of this customer vs. an average shopper in a non-tourist destination. How are their needs and desires different? Which types of products are they looking for? What are they willing to spend?
The answers to those questions depend entirely on your unique customer base. But, there are some universal truths and trends that can help you appeal to the shopper who is on a holiday:
● Impulse buys: These shoppers don’t really NEED anything; they just WANT a keepsake to take home. Small items that are impulse buys are great for tourists.
● Travel-friendly: Whether they got there by plane, car, train or bus, no one wants to lug around heavy or bulky purchases. Think of products with travel-friendly characteristics: flat, lightweight, small, durable, etc. ● Locally inspired: Remember how we mentioned that tourists want a keepsake to take home? If you can find something locally made or inspired by the destination, that makes the perfect trinket to take home and remember their trip by. If you’re a maker or local manufacturer, find opportunities to sell in-person at or near must-see attractions. ● Last-minute needs: Tourists aren’t just shopping for souvenirs. They may have forgotten essentials at home or unexpectedly need help acclimating to a new environment. Books and guides (available for purchase) to your local area also fit under this category. ● Luggage and gadget-related items: Think of tech and tools that make a traveler’s life easier. You can be the place where they upgrade from their old suitcase or find their next don’t-leave-home-without-it travel accessory. And you can also offer conveniences as a service while they shop around! Think phone-charging stations, concierge-level recommendations to other area shops and eateries, or even a place to set down luggage to make it easier to browse your wares. |
Sports
There’s a plethora of opportunities for retailers when it comes to sports. There are spectator sports and recreational sports. According to CreditCards.com, 34% of Americans spend money on attending sports and 29% spend on participating in sports. This means the opportunities are two-fold.
On the spectator side, consumers are buying tickets, food and beverage, as well as paying for transportation to and from the events. Here are some ideas on what to sell to these consumers:
There’s a plethora of opportunities for retailers when it comes to sports. There are spectator sports and recreational sports. According to CreditCards.com, 34% of Americans spend money on attending sports and 29% spend on participating in sports. This means the opportunities are two-fold.
On the spectator side, consumers are buying tickets, food and beverage, as well as paying for transportation to and from the events. Here are some ideas on what to sell to these consumers:
● Apparel that supports their team (if you can’t get the logo, just use the colors)
● Party supplies ● Ready-to-go tailgate bundles with small batch snacks, condiments and beer |
On the participant side, look for ways to support their hobby. Maybe you sell sporting goods — host an in-store demo where customers can learn more about the technology in the products, or put on an event where a local professional athlete gives a talk and autographs.
Fleet Feet is a chain of retail stores which sells products for runners. They host in-store fitness classes, organize running groups, and offer a gait analysis to help runners find the perfect sneaker for them. If you’re ramping up for the busy season, consider events and additional services like custom fittings for a limited time. If it pays off, this can also turn into a permanent service you provide.
Fleet Feet is a chain of retail stores which sells products for runners. They host in-store fitness classes, organize running groups, and offer a gait analysis to help runners find the perfect sneaker for them. If you’re ramping up for the busy season, consider events and additional services like custom fittings for a limited time. If it pays off, this can also turn into a permanent service you provide.
NEXT CHAPTER 2 MIN
7: Make the Most of Slow Seasons
|
|
BUILD RETAIL PROFIT IN SIMPLE, ACHIEVABLE STEPS
Vertical Divider
HI, I'M CHRIS GUILLOT!
I made my first sale when I was eight years old and started teaching retail business classes at 20. Now, 23 years after guiding my first clients, I'm here to help you build more profit.
|
Vertical Divider
LET'S STAY CONNECTED
|
LINKS
|
© THINKING THUMBPRINT LLC DBA MERCHANT METHOD