How to Establish a Retail Area in Your Barber Shop

21 Jul, 2015

When you are learning how to set up a barber shop, it’s important to consider the sales of physical stock, as well as the offered service. Regardless of space, a well-stocked retail area will strengthen your identity. It creates awareness of your products and begins to help plant a seed that can develop a desire to buy.

There is unlimited potential to increase turnover and improve cash-flow within the business by focusing on and increasing retail sales. This sales process will have a positive impact on figures, increasing both overall turnover and staff commission. However, the approach to display and merchandising of retail products can be quite poor and sometimes overlooked in Beauty Salons and Barber Shops. Merchandising refers to how products are categorised and grouped together to enhance them and encourage customers to buy. Effective merchandising views selling from the customer’s point of view, and since a huge percentage of purchases are made on impulse, merchandising strives to make purchasing products as easy as possible for the customers, while increasing profits for the business.

The merchandising process must contain these 3 elements

Products: according to your market, are the right product types and brands present in the point of purchase display?
Position: location – are the products placed in the ideal location in the client traffic flow? Are products in the right section, in order with market leaders, and in order of package size? Are the products rotated to keep stock up to date?
Presentation: pricing – are the products clearly priced? Do you use point of sale materials strategically? Are the products and shelving clean and attractively displayed?

Next, to Increase Your Sales

• Know your stock inside out, such as stock in hand, available delivery times and advertising schedules and promotions. • Create an atmosphere that your Beauty Salon or Barber Shop is having the biggest event ever! Look busy and successful. Make sure to display any awards, mementos, photos and testimonials that allow clients to see the true professionals they are dealing with. • Know your competition and all their strengths and weaknesses. Know your brands and all the corresponding product information. When you know more than anyone else, there is really no need for a customer to go elsewhere. • Having confidence in your product line will allow you to make higher sales. • Get to know your customers and how to relate to them. • Be prepared with price lists, costs and product information. • Always use confident and friendly body language.

And be sure to avoid these 10 most common mistakes retail sales persons make!

1. Failing to build rapport with the customer. 2. Failing to find out the customer’s requirements. 3. Focusing on their own agenda, instead of the customer. 4. Not giving the customer adequate time. 5. Not listening or hearing what the customer is saying. 6. Not knowing about promotions, specials and regular pricing. 7. No differentiating the brand enough to create additional value in the customer’s mind. 8. Selling too fast, trying to close before the customer is ready to buy. 9. Failing to address objections properly, not realising that satisfactory resolution of any queries is the shortest distance to purchase. 10. Not taking advantage of add-on sales, as soon as the main purchase is done, which is when the client is ready to entertain them.