Success factors for retailers
There are many key success factors in the grocery and supermarket retail industry. IBIS world indicates 3 of the main success factors are ability to control stock on hand, attractive product presentation and an experienced work force.
Stock Control
Retailers must be able to control their stock. High selling products that consumers associate with retailers must always be available.
Retailers should ensure that these products are available and within expiry date using a variety of methods:
- Employ POS systems to monitor its inventory amounts;
- Source from multiple suppliers;
- Have one or more backup suppliers;
- Seasonal products must also be kept in mind (Often multiple suppliers run out of the same product at the same time);
The ability for a retailer to have these products could give them the edge over their competitors. The last thing you want as a retailer is a long term customer looking for and finding alternative sources for their usual shopping.
Product Presentation
The presentation of products and services greatly affects consumer buying habits. Retailers should ensure they source their products from suppliers that take this into consideration as it can make a huge difference in sales.
Different suppliers employ different packaging techniques including weights and presentation. Retailers must ensure they stock the weights their customers need and want. To do this, they must understand their customers and make sure they find suppliers that match their customer’s needs.
Experienced work force
The ability to gauge the customer’s needs and be able to advise potential products that meets their needs is key in sales. Retailers need to understand their main demographic customer needs, source primary products that fulfil those needs, as well as second alternative products that could act as a substitute option.
Retailers should be able to predict customer’s buying habits and be able to source new products hoping the customers adopt and purchase repeatedly.
All this can be done utilizing experienced workforce that can keep abreast of customer needs, serve them better and support sales generation.