When I first entered the Jewelery Industry I constantly heard the term: Fast Seller. I had to find my fast sellers. Fast sellers are your “bread and butter” in everyday sales and sustain the cash flow and therefore business, I was told.
I’d been in retail over 25 years and had never had such an emphasis on fast sellers in other industries. The reps would tell me: This has gone well for me, everyone buys this one, you can’t go wrong with it, that’s the seller. Funny thing, it did not sell for me!! I was puzzled, was it me, was it my team? If the Fast Sellers are bread and butter, why are they not bringing all the cash flow I need? The highly recommended stock did not sell fast, sometimes not at all. What to do? I turned to my previous years’ experience in retail and marketing and found this answer: It’s NOT about the stock, the merchandise, it’s about the CUSTOMER.
Why tracking your customer’s preferences is more important than tracking your Fast Sellers
Ultimately, a fast seller is anything you buy in and are able to sell reasonably fast. Seeing it is your customers who are buying your goods, you need to know exactly who your customers are, what type of Jewellery they prefer, at what times of the year and for which occasion or for what reason. Having that information will allow you to buy merchandise which your customers will buy instead of it sitting on the shelves.
Improve your stock turn and cash flow with the right information
When you are learning all you can about what motivates your Customer to buy you are in control of your stock purchases. Let’s use Pandora Jewellery as an example. If you have customers who come to you to buy Pandora and constantly expand their range, would you buy the same pieces over and over or do you buy in a new selection? Now, if you know beforehand what your customers like and are likely to buy, every piece you buy in will sell fairly fast. And that’s what cash flow is all about.
It is your customers’ buying habits which create good cash flow
Successful Marketing is about understanding the customer’s buying habits. The more detail you know about your customer the better you can predict what and when they are likely to purchase the next item.
To create a good cash flow situation you need to understand in detail what your customers are likely to buy next and why.
What is a Fast Seller for your Merchandise Representative is not necessarily one for you
Merchandise representatives are not selling to your customers, they are selling to you. Your customers are unique to you and the area you are drawing your customers from. The rep wants to make sales and just because he sells certain stock really well does not mean you will sell it well to your customers. You are your reps target market, not your customers.
Collect as much detail about your customers as you can
A good Point of Sale System collects in depths information about your customers. Make sure you train your team to enter the information regularly and correctly. With a comprehensive customer profile in place you can directly target each market segment. Some might think a Jeweller’s target market is “everybody who likes Jewellery”. A target market is much more defined. Just one example would be people who like Sterling Silver compared to people who prefer 18ct yellow Gold. Each group has very distinct buying habits.
Now you know that all it takes to improve your stock turn and cash flow is using the right information. You can collect your customer’s details with a good point of sale system and then stay in contact with them directly to understand and market to their buying preferences. Your reps are not selling to your customers but to you, therefore they do not understand what your customers like and prefer.
Tracking your customer’s preferences is what helps create fast sellers and good cash flow.
Stock Turn and Cash Flow is part of Marketing and Marketing is about communication between Seller and Buyer, the CUSTOMER. As a Seller I have always made a point of learning all I can about what motivates the Buyer/Customer. And because it’s not about me but the Buyer/Customer, I make sure to use the Buyer’s language to present the product or service in all promotional material. To help me be successful in understanding the Jewellery Buyer I was fortunate to have had invested in a very efficient Point of Sale System from Octahedron which I used in conjunction with the Unfair Advantage Marketing Profit Building Program. I now mentor Business owners with the same successful program to leverage and increase their sales.