Seven Ways to Profit Despite Eroding Margins
I hear the complaints all too often."The way prices are dropping I have to sell 20% more units just to stay even." Or "Big box stores have not only managed to convince consumers that price is paramount, they've taken the margin out of the product as well."It seems like the perfect storm for unprofitable retailing.
While some dealers have convinced themselves that it's impossible to compete in today's marketplace, others have found ways to make money despite lower prices and margins.Here are some of the things they're doing to maximize every selling opportunity.
* Show customers you're competitive.If you're going to advertise price - either on your website or on other media-yours has to be as low as anyone else in the marketplace.Flaunt your price guarantee policy to reassure customers that you'll refund the difference if they find the product at a better price somewhere else.Few customers will take the trouble to check pricing after making their purchase, but your offer will help them decide to buy from you.