SET YOURSELF UP FOR SUCCESS
Here's hoping you had a successful holiday season. Now it's time to let all that old stock go and prepare for an even more successful 2017.
Step One: Out with the old.
Get rid of all your old and out of season stock. Think of creative sales promotions. Some good examples: 1-2-3 - 1st item 20% off, 2nd item 30% off, 3rd item 40% off OR Daily discount - Monday - 10%, Tuesday - 20%, Wednesday - 30%, Thursday - 40%, Friday - 50%, Saturday and Sunday Final sale all sale merch 75% off. The goal here is to gain physical space for new merchandise AND get cash on hand for your OTB and Cash and Carry at AETA.
Step Two: Do the Numbers.
Run a % of category to Sales for 2016. It may be helpful to run this for each quarter or season depending on your categories AND run a current inventory by Category as of right now AND determine how much you have to spend on new inventory now, your OTB.
The goal here is 3 fold. First, you want to sort your OTB into categories where you need to build up inventory. Next, you want to leave a % of OTB for Cash & Carry. Third, you want to reset your store by this general rule of thumb: the % of total sales of a category should determine the % of floor space designated to that category. For example, if Show Coats are 25% of your total sales, 25% of the floor should be designated to Show Coats and you should determine your buy for that space. This IS NOT a hard and fast rule because the size of items and the space they take up also plays a part in decision making. If Fine Jewelry is 25% of your total sales you will not designate 25% of your floor to this category. Similarly, if Saddles are 25% of your total sales, you will likely need more than 25% of your floor to house them.
Step Three: In With the New.
Sign up for Friday's pre-show planning session at AETA. This session will walk you through planning for a successful show. There are a few seats available for the limited seating events.
Don't miss our hands-on workshops in the AETA (American Equestrian Trade Association) Edge 3D store. We look forward to seeing you there.
Best wishes for a happy, healthy and prosperous 2017.
Written by Anne Cecil, founder of ONO-Made in the 191. Anne has over 30 years professional experience in retail merchandising & management, product design, coaching, public speaking & consulting. Her posts focus on helping retailing maximize profits, floor space & creating impactful merchandising. email@example.com
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