One Change that Could Triple Your Sales
A buddy of mine owns a menswear store. Business has been pretty tough the last six to eight years.
Between the economic downturn, a move to more and more casual wear, and competition from the likes of Jos. A Banks and Men’s Wearhouse, business hasn’t exactly been booming.
But he was able to hold on and keep his store going.
The other day I got a mailing from him offering a gift-with-purchase – which is a classic direct marketing strategy – and I just had to go by and ask him how it was working for him.
Now, I know that too many businesses feel that they’re too “professional” or have clients that are “too sophisticated” to do this sort of thing. Big Mistake.
His clientele is very high-end… heck, he sells chinos for $117.99. His suits START at $799.00… and some go for over $5,000.00! I’m guessing you’d like to have his client base.
The other thing is that, like me, he HATES discounting. Offering a gift with purchase does not erode your value like discounting does.
So what was he doing? He was offering a free pair of Bose noise-cancelling headphones with the purchase of a business suit.
When I asked him whether it was working, he told me that it has quadrupled his sales – that’s FOUR TIMES the closing ratio, with no other change in pricing or presentation.
Now, maybe you’re thinking, “Well, at those kinds of prices he can afford to give away a gift like that, but I could never do that…”
Maybe… maybe not. If you’re doing $500,000 additions, my guess is you could afford that sort of gift. If your average job is $2,500, I might suggest a different gift.
The key is to make sure it’s a QUALITY gift – not some cheap, worthless piece of junk that nobody wants. And please don’t make the mistake of thinking that a discount off of future work is a gift… it’s not.
My buddy is already on the lookout for the next gift he’s going to offer with a purchase.
How can YOU make this work in your business?