Jeweller - May 2021

BUSINESS
Strategy
Business Strategy
Does your store have ‘community charisma’?
Today’s consumers want to feel connected to the businesses they purchase from – and being part of the local
community goes a long way towards earning their trust and confidence, write RICH KIZER and GEORGANNE BENDER.
Much of our time each year is spent
visiting retailers, interacting with
shoppers, and perusing stores. In our
31 years together we’ve seen the good,
the bad and the really ugly. The retailers
we meet can be placed in one of three
categories – those who ‘get it’, those who
don’t yet, and those who never will.
Retailers who ‘get it’ always find a way to
thrill shoppers.
Those in the second category can evolve into
category one, but the ones who never will
are the retailers who take to social media
to complain about the lack of sales, about
customers who annoy them, suppliers
that cheese them off, and the things their
community won’t do for them.
Sadly, most of these retailers won’t survive
in the long run.
Connecting with community
When we started our business, we decided
we’d need an office. We got a map of the
area and put a pin in the dead centre
between the two towns we lived in, and St
Charles, Illinois became our new home. St
Charles has a strong sense of community
and an active Business Alliance that plans
year-round events that draw thousands of
people from all over region.
While most businesses embrace these
events, some don’t – and that’s their
first mistake.
What these businesses lack is ‘community
charisma’; they feel separated from the
people who should make up the majority
of their customer base and don’t generate
much customer loyalty or goodwill.
Terri King, owner of gift store My Secret
Garden in Michigan, is one of the retailers
we have visited over the years.
She suggests retailers jump into community
events with both feet, saying, “When there
is a festival in my town, we throw the doors
open. We drag things out on the footpath,
create photo ops, dress in costume and
have a blast with all the energy.”
The only opportunities you’ll miss are the
ones you don’t take.
You can’t win if you don’t play
One example of a great community event
is the annual Scarecrow Festival. Over
The next time
your community
has an event,
or another
local business
proposes
a crosspromotion,
look at it as an
opportunity
to engage
shoppers
three days, more than 150 hand-crafted
scarecrows made by local businesses are
displayed in the town park.
The festival also features live entertainment,
food, rides, kids’ activities, an arts and
crafts show, plus special deals from local
businesses – there’s a lot to do.
The town is jam-packed with people (or it
was, prior to the COVID-19 pandemic, and
will be again in the future).
What is frustrating is the stores that decide
to close during the festival while there are
tens of thousands of potential customers
walking past!
This decision is justified by the limited
parking available, because people will
ask to use the store’s restroom, or because
the store owner thinks shoplifting will be
an issue.
All of these concerns are understandable,
but closing the store serves no benefit.
The retailer could have stood in front of
the store and told passersby about their
business, perhaps holding a raffle to collect
email addresses, and hand out coupons for
special offers.
The bottom line is that people notice when
a business doesn’t participate in a
community event, and there are real
benefits to participating.
Assess your charisma
We have developed an exercise called
‘Circles of Excellence’ that we recommend
business owners carry out every quarter.
Begin by drawing a circle and inside list
all of the things that are essential to serve
your customers – such as staff who have
excellent product knowledge, a clear,
informative, and functional website, and
parking close to the store.
Next, draw a larger circle around the first
one; this outer circle represents the extra
things that you offer, for example free gift
wrapping, classes and other in-store events,
spontaneous sales, and social media
promotions.
It’s most important to focus on the outer
circle – these are the factors that make your
store stand out and create your ‘community
charisma’. However, once customers get
used to the perks in the outer circle, they
get relegated to the inner circle.
This is why it’s so important to do this
exercise at least once a quarter and before
each community event.
The power of participation
So, what can you do to jumpstart your
community charisma? Here are some ideas
from our recent travels to help you get the
ideas flowing:
Harness the power of selfies – People of
all ages today practice ‘lifestyle marketing’,
sharing where they are and what they are
doing on social media. For that reason,
‘selfie stations’ with props are an easy way
to make your store a part of their story.
Sometimes all you need is a cardboard
frame to make a selfie special. It should
include your business’ name, address and
hashtag.
Alternatively, you can increase your
business’ local exposure by hosting a selfie
contest. Your post might read: “Take a selfie
in our store and receive 10 per cent off your
next purchase! Visit us between (date) and
(date), take a selfie in the store and post it
on Instagram. Tag us, include the hashtag,
and you could win (prize)”.
Change your selfie station and/or props
seasonally to encourage shoppers to share
photos often.
Make your signage work harder – A survey
commissioned by courier service FedEx
found that 68 per cent of customers said
they had made a purchase after a sign
caught their attention.
Every smart retailer knows that signs on
that sales floor encourage purchases, so
why are so many stores ‘under-signed’?
And when displays are signed, why are
those signs so boring?
It’s okay to have fun with your in-store
signage; express your personality!
Chalk on the footpath is another option for
signage as it stops foot traffic right outside
your storefront, takes advantage of unused
space, and is free.
Many retailers have embraced easel signs
too because they give a store ‘street level’
exposure and they are easy to change. Use
them to highlight events going on in-store
or to give your customers a laugh.
Another way to build good-will and
community charisma is to put up signs
celebrating your employees.
This helps build a rapport with your
potential customers, improves your staff
morale, and makes your business feel more
relatable and friendly.
Try out cross-promotions – Something that
always stands out is when retailers support
one another, and cross-promotion can be
a very effective and affordable strategy for
increasing the visibility of your store.
Repetition is a key part of advertising
because it helps customers recall your
business, and cross-promotion means
shoppers will be reminded several times.
Large companies that own multiple
businesses often use cross-promotion to
their advantage. In the US, Disney owns the
television network ABC, so advertisements
for Disney films are regularly played in the
commercial breaks of ABC shows.
Another example is airlines cross-
BETTER
TOGETHER
Local events
Make sure
your business
is an active
participant in
local events that
attract footfall
Online meets
offline
In-store
competitions
and fun signage
can get extra
traction via
social media
Promotion
partners
Cross-promote
with other local
businesses to
attract new
customers
promoting with hotels and car-rental
companies. Product placement in movies
and TV shows is yet another form of crosspromotion.
On a local level, cross-promotions between
small businesses can be even more creative.
One example we encountered during a
holiday season was a dance school that
began providing ‘living window displays’ to
stores all over town.
The dancers would interact with shoppers
and perform in the window, enticing them
inside, while the businesses cross-promoted
the school’s presentation of The Nutcracker.
While this cross-promotion may seem a
little unexpected at first, it is to a retailer’s
advantage to choose a cross-promotion
partner without many shared customers to
reach new and untapped markets.
The ice-cream parlour next-door isn’t a
great fit because you probably have many
customers in common simply by proximity
– but the hairdresser or nail salon down the
street could be perfect.
Find businesses with customers who would
be interested in what you sell and exchange
ideas on how to promote one another.
The bottom line
Community is important to today’s
customers; you attract positive reviews for
being a good corporate citizen, protecting
the environment, recycling, producing
sustainable goods, and supporting charity.
You also earn their loyalty by weaving
yourself into the fabric of your local
community.
So, the next time your community has an
event, or another local business proposes
a cross-promotion, look at it as an
opportunity to engage shoppers and meet
potential new customers.
And if someone uses your restroom without
purchasing anything? You’ll survive!
RICH KIZER and GEORGANNE
BENDER are retail strategists,
authors and consultants. Visit:
kizerandbender.com
49 | May 2021
May 2021 | 50