The primary concern of most business owners is how to attract customers or window shoppers even you already have a list of loyal patrons. Search for new customers doesn’t stop there. The fact is, repeat customers may either move away, find a new store or business to purchase items or fall on hard times and do less discretionary spending.
Attracting window shoppers or persuading buyers requires developing a quality product with attractive packaging, and advertising it to your target audience. Modern businesses have their ways to attract buyers online and in-store. Making a business more relevant and inviting to shoppers and buyers is one of the key responsibilities of its owner. This is not an easy task. New people keep you on your toes and they bring new sources of revenue for the business. If revenue is no longer making an increase, this will be your cue to begin planning for creative ways to market your business into converting your shoppers into buyers and attract new potential customers.
Every business owner has a false belief that the most important minute of the day is when your transaction computation is highest. The truth is, high traffic periods and the opportunity to turn window shoppers into actual buyers is more significant.
Here are some tips on how to make your business a standout that will transform window shoppers into buyers:
1. Look for a conversion hole and plug its leaks
The possible reasons why people choose to leave the store could be the long lines on the cashier, unavailability of stock or limited sales personnel’s help. That is why traffic volume and conversion rates tend to be inversely related. To address this type of concern, observe the behaviors in your store during its peak and off peaks hours or days. Understand the behaviors of people inside and the possible reasons why some shoppers are disengaging. You will find out what actions are needed on each concern to improve their buying experience in the long run.
2. Set conversion targets by store
Defining goals and targets for each of your stores is important to improve its performance results. The action plan for this strategy is to have a higher conversion rate depending on your store’s performance. Since every store is unique, it makes each of their conversion targets different. One of your stores might be doing well with a low conversion rate of 15% while the other might underperform despite having a 25% conversion rate.
You also have to understand and set realistic targets for retail conversion rates. For instance, a convenience store may have an 80% conversion target or even higher but this won’t work for a department store that only needs to have a conversion target of 50%.
3. Make conversion a team
A store’s performance is a team effort. The cashiers, merchandisers, and sales associates have their own set of contributions and roles to play. The store’s conversion rate is not merely a business metric but a simple way of measuring, how the store is performing and how the employees work together in helping to make the people buy your merchandise.
An excellent way to improve your conversion rate is to make it certain that your team members know and understands what your goals and conversions are and encourage them to hit your targets. You may ask for their ideas and other possible contributions to achieving your goals. Giving incentives to your personnel will be a driving force for each of them to deliver a better quality of work. That will significantly improve your chances of hitting your targets.
How to calculate retail conversion?
To measure retail conversion, you must measure the number of your store’s visitors and must understand how to interpret the data. Retail conversion rate is used to assess the effects of the marketing and operational actions, from changing your store’s layout, employing more staff, increasing stock levels or running promotions can help your store’s conversion rate.
With all the tips on how to turn your prospects into the buyer, it is important to understand how conversion is calculated. You first have picked a time frame for your study. Then pull your sales data during the specified time frame and divide it by the number of customers who visited your store during that period. Once you get the decimals, multiply it by 100 to get a whole number. The result of this computation process is your store’s conversion rate.
What is a good conversion rate in retail?
The average landing page conversion rate is 2.35%, the upper 25% in the industry has a rate of 5.31%. Hypothetically, if you aim to be among the top 10%, your landing pages should have a conversion rate of 11.45%.
Importance of retail conversion.
Retail conversion measures the proportion of visitors to a certain retail outlet who made a purchase. It measures the opportunity for sales and is crucial for evaluating the overall health of your business.
Customers are the fuel for driving sales. For growing your business in a competitive industry, it takes more than just getting a sale on your register. You must focus not only on what the consumers buy but also on the reasons why people don’t buy.
You may also want to read: Target Market: How to Determine Your Target Audience Properly