Richard J. George, Ph.D.

Braintrust Query: Four Ways Smaller Stores Can Create Deeper Customer Connections

October 29, 2009

FROM RETAILWIRE:
A small retailer has the ability to develop stronger and more loyal customer relationships. The reality is that merchants aren't doing enough to create and maintain customer relationships. How can smaller stores connect with local customers in ways that big boxes can't?      [more...]

As noted, some terrific suggestions by Doron Levy as well as some practical advice from other BrainTrust panelists. I would add two more options for a differential advantage for small retailers: First, use the community connection to your advantage. For example, if you are a food retailer, host the local high school marching band one day a week, allowing them to practice in your parking lot with soft drinks and snacks after practice. Another, cross merchandise your offerings with other small retailers that compete with big box stores. For example, cross promote an outdoor grill from the local hardware or garden store with steaks from the local food retailer. Another, promote a local restaurant and chef with an appearance at your bookstore, supermarket, etc. One more; invite local pet groomers, veterinarians, and kennels to set up in your parking lot the first Saturday of the month. The goal of each of these tactics is to reinforce the local/community connection and your involvement in their lives.

Second, use your compact size to be more nimble than the behemoths. Their strength and size is also their weakness, namely, speed of response. For example, on Wednesday, announce a one day/eight hour sale for Friday. Use late breaking news or events as a way to promote your store. For example, as your favorite sports team advances in its pursuit of a championship, decorate your store with team colors, banners, and other paraphernalia. The key is to do something immediately, while the big guys are still trying to figure out what to do.