Springtime brings in huge crowds for both brick-and-mortar stores and online retailers! Do yourself a favor and make the most of your time to maximize sales. Here are the five things retailers should avoid speding their time on durring the Spring season.
1. Low Margin Promotions
Spring is the season that was made for high margin products! Just as the weather starts warming up and flowers start blooming, clothing, cosmetics, shoes, sporting goods, lawn items and accessories start flying off the shelves. What do all these products have in common? THEY ARE PROFITABLE!
With that said, if you’re an apparel retailer you may do better in the Spring than even 4th quarter. So this is the perfect time to start selling your new lines, new colors, and high margin products and leave your lost leader products alone this season. (Lost leader products are items that may have a low margin, but get buyers in the door.)
Sure, you might be sitting on some old products from Winter or Valentine’s Day, but it’s time to move on. You should use your valuable selling space and marketing dollars to showcase your new Easter, Graduation and Mother’s Day gifts. Run promotions on new spring styles, outdoor items or allergy healthcare products instead of running clearance sales. It’s the season to be relevant because more people will be shopping during this time.
3. Toys & Electronics
Toys and electronics are two of the 4th quarter retail categories that you do not need to waste time on in the Spring. Instead, you should look at your selling trends year-over-year and focus on your best seasonal products. Toys might drive sales in November, but that doesn’t mean it’s where to spend your time and money in the Spring. Think women’s fashion, cosmetics, health care & allergy, kids apparel, outdoor, sporting goods and gifts. (Learn more about accessing your last year’s purchase data.)
4. Male-Driven Promotions
Ok, so I’m kind of picking on men here, but springtime is notorious for high sales in all apparel areas: women, kids and baby as well as accessories, shoes and gifts. These are areas that are usually ruled by women shoppers. The point is that you should identify your target shoppers for Spring sales and eliminate promotions that are not relevant to this group. (Learn more about understanding key customer personas by playing our free customer lifetime value game.)
5. Merchandising Summer Products Separately
For most retailers, Summer is a slower season than Spring. Go ahead and run promotions on swim and home improvement items, but don’t jump ahead too far. Steadily transition Spring into the Summer season.
A time-saving tip for merchandising is to display some of your Summer products with your Spring inventory and then move them around as the season changes to emphasize certain times within the season. The exception will be for your holidays, such as St. Patrick's Day, Mother’s Day, Graduation and Easter, which will need clear start and stop dates with replacement plans.
Your time is money, so spend it where it counts this Spring. If you would like to have access to three years of historical purchase data to get a clear understanding of who your customers are, feel free to check out the Free 60 Day Trial of our Retention Analytics Suite.