You will convert more customers if you sell them a ‘solution’ that solves their problem rather than a product at a price that may be cheaper online anyway, says Daniel Todaro, managing director at field marketing agency Gekko
Let’s be honest, it’s a challenge out there in retail and every one of us shudders when we see superb businesses like Maplin hanging up the ‘closing down’ signs.
It’s now more important than ever to offer a solution-based sales model to your customers, converting as many as possible of those precious shoppers who take the time to visit your store.
Whatever their motivation for coming into your store, consumers are looking for a solution to a lifestyle problem. As a retailer, it’s within your power to provide this solution, offering consumers the right product for their needs and reinforcing why traditional retail is still the best platform to buy consumer electronic products.
Overall online sales were up 13.9 per cent year on year in January, with footfall down 6.6 per cent and it was almost 12 per cent down in London and the South-East.
When you look at the CE category, this was only up 4.4 per cent online, suggesting that shoppers are more hesitant to go online for big-ticket, considered purchases.
That first face-to-face interaction is critical. Sales staff should be asking key questions of consumers to discover why they are in the store, their needs, budget and motivations, in order to create the foundations of a solution-sales approach.
Is your shopper looking to buy new, upgrade or has something broken down? What do they currently have? What features do they require? Where will it be used? How often? Is it a primary or secondary device? What is their preferred price range? Do they need it installed? A customer wants reassurance that the product will meet their needs.
It is important to ensure your staff can demonstrate the product and explain the benefits. And don’t ignore what the shopper tells you, so that the features link naturally to their needs. This could make all the difference to their decision to purchase.
If shoppers can see how the product will solve their unique ‘problem’, they will go away satisfied and come back for more. Online will never be able to provide this level of service, so retailers need to take control of their destiny and provide consumers with an experience that was worth the trip.
Gekko’s OnePoll ‘influencer’ research has conclusively proved that ‘50 per cent off’ shoppers still want to head to a store to see, touch and experience a product in person. Now you’ve got them in your store, you should also know that our research showed that 35 per cent are influenced by recommendations from shop staff.
So the training you give your staff is possibly the most important part of achieving effective solution-based sales. Imagine how great it would be to convert that 35 per cent. If a shopper has confidence in a salesperson who focuses on their needs as a whole, rather than just on a particular product, they are more likely to purchase. You will instil confidence in your shopper and also build that all-important relationship that converts them into a customer who will keep coming back.
If you don’t believe me, the research also showed that that only 10 per cent of customers were influenced by celebrity endorsement, or 15 per cent by bloggers, etc. This is because there is no tangible engagement with, or as much trust in, these opinions to create a meaningful relationship. Compare this with the 71 per cent who are influenced by word of mouth from friends and family. The back-and-forth conversation needed between shopper and salesperson for solution selling is vital for building the trust needed to buy based on their recommendation.
This underlines the importance of having well-trained staff that know the products inside out and the lifestyle issues that each product helps address. We work with our brands to understand what strategy works by measuring sales before, during and after. One example from a connected-home partner confirmed that the number of units sold in three store groups in the 10 days after a briefing and merchandising campaign increased by 45 per cent. But 10 days later, sales dropped marginally, as staff didn’t continue the solution-selling techniques they’d been trained in.
The need to retain and continue the solution-based approach highlights the need for regular training and is proven to convert your shoppers into customers today, tomorrow and long into the future.