Shenzhen GK Lighting Co.,Ltd.
LED modules and LED strips lighting expert
These are the reasons why LED physical stores closed down!
If we do not re-construct our customer-oriented retail business essence from the perspective of customers, and re-examine the various inherent defects and deficiencies in stores, in the Internet age, we will bring physical stores to a dead end.
1. There are "six major problems" in the difficulty of doing business in physical stores
1. Only look at what others do, not who I am
Chinese people have a habit of watching what other people are doing. In recent years, the decoration and layout of industry stores have been highly "similar", which is the reason.
In the past 10 years, we have advocated and emphasized every day: each store should be oriented by the needs of customers in the business district! Who are the customers of the store? What are their spending habits and buying preferences? What is the structure of each customer order and the cycle of returning to the store? Wait, these all need to be understood, instead of always looking at how other people's stores are organized.
Have you ever seen that the decoration of each store of Watsons is the same? Is it different from other stores? Many of our local retail stores are actually still at the stage of crossing the river by feeling the stones, so don't always look at what others do, just do what you do, and finally lose yourself.
2. Only consider what kind of product you want to sell, regardless of who the customer is
I believe that most retail stores have one thing in common, that is, no matter who enters the store, they only want to promote the products they want to sell the most.
why? Of course, because they only consider their own interests. This is also the most serious misunderstanding and crux of the store at present! Especially since the beginning of this year, retail stores are facing relatively high pressure on operating costs, and this phenomenon of only wanting to sell the products they most want to promote has become more serious.
How far do you think you can go with this kind of one-way business thinking that only considers yourself, does not consider the feelings of customers, and ignores and does not respect the real needs of customers?
3. Only consider the unit price of the customer, not the number of baskets
What is the unit price per customer and the number of baskets? If your average order price is 50 yuan, the meaning of this order is completely different whether there are one or two products or more than three products.
The higher the customer unit price, the lower the number of baskets, which means that the proportion of profitable products with customer orders is too high, and the proportion of products that can cultivate popularity and basic categories is too low, which also means that the shop assistants are mainly promoting the products they want to sell .
The lower the unit price per customer and the higher the number of baskets, it means that the proportion of popular products and hot-selling categories is higher. Of course, most of the current problems in retail stores are the former.
4. Only the gross profit rate of the product is considered, and the "turnover rate" of the product is not considered
Some famous products or popular products that are easy to sell well may have low gross profit, but high turnover rate.
Take liquor as an example, if it has a gross profit of 10 points (too low to death), is there little room for gross profit? But if it can be circulated once a month and 12 times a year, taking the principal of 10,000 yuan as an example, it means that it can earn a gross profit of 1,000 yuan a month, and it can be circulated twelve times a year. Generated a gross profit of 12,000 yuan, then its annual gross profit is 120%!
At the same time, more importantly, the turnover of 10,000 yuan twelve times a year also means that it has brought you a lot of attention, mainstream customer flow and popularity of famous products. In addition, for some of our own profitable products, we must dare to use gross profit space for activities to increase its turnover speed and commodity turnover rate.
However, in the actual operation process, physical stores only accept death in this respect. Therefore, the category structure is unreasonable, let alone the flat efficiency.
Shenzhen Guangke Lighting Co., Ltd. is mainly engaged in LED modules, LED flexible light strips, and LED rigid light strips. The products serve customers in the field of global advertising production. Your needs are my choice.
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