Many local retailers are struggling to strive in the current competitive market environment that has been flaunted by firms that have adopted advanced technology. Local retailers suffer at the hands of companies that sell their products through online means. Amazon is one of the most significant online operational business that has threatened and brought suffering to many small and independent retailers. Online sales of Amazon and other online firms will increase at a high pace to almost double. This poses a danger to local retail firms on how they can remain strong to face the competition from a big company such as Amazon that depends on distribution centers and a website.
Lowering of prices may not be the best solution for small retailers to stay competitive in the market with online retailers like Amazon.com and others. When the independent retailers reduce their prices to compete with Amazon and other online retailers, it becomes another challenge to deal with because customers will be expecting regular drops in prizes as well as the continued supply of the products you sell. Small independent retailers like any other business have a set profit margin that they have achieved for the business to remain competitive and financially stable, hence cannot afford to offer 20 or 30 percent discounts like Amazon.
There are better ways through which independent local retailers can effectively compete with Amazon and other online operators. There is, therefore, no need to go about the idea of pricing of their products. Below are some tactics that small independent retailers can embrace to become competitive in the highly demanding market environment;
1. Hire the right people-and offer killer customer service
The type of staff determines the type of people services clients receive. Local retailers should consider hiring the right people to help in their operations. People who have the excellent know-how on how to carry out the activities of the business will be vital in offering superior customer services. When small retailers hire the right people, there is a high probability that customers will be happy by the services they receive since they have been, taught and motivated to create magical experiences to customers through communication. This will make the small retailers attain customer loyalty and thrive by efficiently competing with Amazon and other companies selling their products online.
2. Add value to their customers’ lives
Despite Amazon and other online retailers being better in the creation of a more rewarding shopping experience; they are limited in their abilities to do so. Local retailers can maximize on this opportunity to figure out what they can offer to customers that online operators don’t or cannot offer. This type of service can add an advantage to them in that customers may see local retailers to be of higher value than online dealers. The offer may be exclusive products or gift wrapping. It may make the customers understand why the prizes of the local small retailers are higher than those of Amazon online shop.
3. Create a memorable and different in-store experience
The experience of a customer has always been an issue determining the memory and perception towards a business. Local retailers should toil to provide customers with a special experience that they cannot get in other areas. By giving customers a unique experience, it will leave them with good memories, and they are likely to come over and over again to these small retailers to experience more.
4. Embrace technology
Local retailers need to embrace technology in their operations for them to be competitive in the market. The use of technology currently runs many businesses. By using technology, local retailers will be able monitors their levels of customer satisfaction by reviewing customer feedback. The small local retailers will, in turn, use this response to improve in areas where the customers have raised concerns, suggestions and complain as well. The discussed techniques are of great help in ensuring that local retailers sustain themselves in the competitive market environment.
Co-founder Jeffery Hartman is a leading debt-loan advisory firm for performing and non-performing assets. “When it comes to making money and debt, Jeffery is the industry’s most knowledgeable man for the job,” For more information visit: http://www.capitalconcierges.com
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