7 Habits of Highly Successful Sports Retailers | 1. Optimise Every Sale
This season, we’re digging deep into what really makes some shop businesses more profitable and, over the new few months, our new advice series, “The 7 Habits of Highly Successful Sports Retailers”, will reveal the money-making practices behind some of the most dynamic and profitable pro shops.
The Summer season is all about selling and establishing new sales strategies across the team at the start of the season will give your business the best chance of a highly profitable year.
Sell More
Your Average Basket Size refers to the number of items sold during a single purchase. Not only that, it also offers insights into the performance of your products and reveals a lot about your business.
For example, the number of items per sale can tell you if you’ve got your range and assortment of products right, and whether you’re satisfying your customers’ needs. If you know that most customers are only buying one product per sale, you could be missing out.
For the average on-course pro shop, just adding a single glove to every fifth sale, or basket, will put £5-6,000 onto your bottom line this year. How many of your golfers are still wearing 2-year-old mucky gloves?
Upselling can increase revenues by 43%
The link between stock and making more sales is also key. Fundamentally, you can’t sell stock you don’t have. An empty shelf, or a shortage of stock, is potentially devastating during your busy summer period. Remembering weekly stocktakes will make sure your reports are up to date and give you the facts you need to make additional buying decisions.
XPOS tip: The Popular Product report in XPOS will show you what stock you have sold the most of, and what products are still in store right now. Use the filter to add a date range, confirm your most popular products and be sure to top up stock if necessary.
FOR MORE ON OUR ONLINE REPORTS, VISIT THE REPORTS SECTION IN THE HUB
Sell Better
In a busy pro shop, it’s easy for staff to become ‘order takers’, rather than sales people. While some team members may be uncomfortable with the idea of selling to customers, a lack of proactivity is guaranteed to hit profits hard.
‘Upselling’ can refer to increasing the value of each item you sell, as well as the number of items. In reality, it comes down to understanding your customers’ needs and providing a suitable solution.
£5,500 Extra profit when you add a glove to every five baskets*
Chat to your golfers, take the time to get to know them, appreciate where they are with their game and anticipate their needs. What we might refer to as ‘upselling’ will be perceived as great customer service by your customers.
No ecommerce site on earth can judge their needs. But you can.
XPOS tip: If you’re new to this, focus on one group (eg: shoes). Discuss what you want to do with the team and set a trial period of a month. Use the Sales Comparison report on a weekly basis to review the success of your new ‘upselling’ techniques.
CASE STUDY: Lee Brotherhood is Head PGA Professional at Olton Golf Club
I’ve always stressed the importance of trying to increase the size of the basket to my team. It’s something I’m always looking at. Understandably, they have concerns about coming across as ‘pushy’ but there’s a difference between that and good service. We want to make sure our golfers have everything they need at that moment and the difference we can make to sales is literally unbelievable!
During a recent visit from my retail consultant, we had a deep dive into my XPOS sales data and, interestingly, it was actually in the accessories categories, like tees, balls and gloves, where I was behind my target. It's easy to chase the higher turnover products, such as hardware, but it’s just as important to focus on the smaller items with the higher margins.
Sell Everywhere
Over the past 2 years, consumer behaviour has evolved faster than ever before. New innovations have led to a blend of digital and in-store shopping experiences, 24-hour shopping and faster, more convenient ways to collect goods. So much so that 73% of consumers now use multiple channels in their shopping experiences.
To stay ahead of the game, golf retailers need to embrace online methods and ensure stock is always available to view – and not just when your golfers come to play a round of golf.
A multichannel approach to selling is essential for long term retail growth, but it can be daunting for those just starting out. Many retailers have spent thousands of pounds trying to create an online retail experience, only for it to fail within a year. That doesn’t mean you should do nothing.
The average sale size in UK golf shops is £28. However, the average basket size through reserved items in the XPOS Caddie app is £75
XPOS Caddie, a free app for shop customers, enables retailers to offer a 24/7 window to their pro shop. Customers see a real-time view of shop stock at any time of day (or night) and the Reserve & Collect service means goods can be picked up in store within the hour. At the same time, your customers can view their shop balances, book lessons and even purchase gift vouchers.
XPOS Tip: Use the push notifications feature in the XPOS Caddie app to send texts to your shop customers. Use it to promote new product ranges, promotions or sales events and give your customers the same friendly, service-orientated experience they enjoy in the shop.
TO LEARN MORE ABOUT XPOS CADDIE AND SIGN UP YOUR PRO SHOP, CLICK HERE
Book an XPOS demonstration HERE
For more advice on successful retailing, visit the online Hub HERE
*Based on average UK pro shop turning over £150,000 pa
Series title credit to Steven R Covey, author of the 7 Habits of Highly Effective People ❤