Today's global economic ambivalence spurred this month's question,
as consumers grapple with their own viewpoints of their economic
future and that of the U.S. We posed this query to our Retailer
Advisory Board: "How are you addressing consumer concerns in the
present economy?"
Here are their answers:
We had noticed a drop in customer count due to the price of
gasoline and uncertain economic future. We decided to use a chunk
of the advertising dollars we had budgeted for the fourth quarter
and run a concentrated series of TV ads now. We focused on kitchen
gadgets, and it's working. Our increase in customer count and sales
has paid for the campaign and the buzz is back in the store.
Janet Ostrow, Premier Gourmet, Kenmore, N.Y.
First, we have to identify what our customer's concerns are "in the
present economy." We would list them as:
1. Lack of faith in the federal government.
2. Worry about the weakening dollar (read: higher prices on
everything).
3. Higher energy prices (read: higher prices for gasoline, air
travel, etc.).
4. Concern for long-term ecological issues (read: increased
awareness of "green" products).
In order to address these issues, the first thing that comes to my
mind is a quote from many years ago by Joel McLendon of Dallas.
"When times look tough, the most important things you can stock are
the same things you sell day in and day out. Stick to basics, and
fluff it up with a few new looks or items."
We are stressing value in tight economic times. When a customer
expresses concerns about the price of an item, we stress the
long-term economic savings of buying better quality and replacing
it less often, or never, if it has a lifetime warranty — and much
of our cookware and cutlery does. We stress the longer warranty of
those electric items that carry a one-year or longer warranty
versus the 30-day or 90-day warranty at discount stores. And we
repeat the promise we've made for over 20 years. "We want you to be
happy with everything you purchase from us, period. We will make
every effort to see that you are."
We suggest that our customers buy a few extra sauces or oils to
keep on hand, to save on driving costs; and we remind our students
that if they plan their purchase to coincide with the dates of
their cooking classes, the 10 percent discount they get on those
dates will help to offset the cost of driving to class.
Mostly, we just try even harder to make every experience in our
store a pleasant one, which will entice people to return, in spite
of the cost of gasoline, in spite of higher prices, in spite of
their distrust of the government; for, after all, people don't
think about the cost of shopping if they are really happy to get
what they want, at a reasonable price, for a product which meets or
exceeds their expectations. And it's even better if that product
comes with a warm smile.
Mike Sackett, Kitchen Affairs, Evansville, Ind.
Although consumers are more conscious of their spending, they are
still shopping. In the present economy, it is critical to be at the
top of your game. We have used this time to review all of our
operations and service standards to focus on creating a better
overall service experience. Although we have always had extremely
high standards, we continue to focus on improving them. All members
of our team have that responsibility. We have been working with all
of our team to make sure that they understand every customer has a
choice where they spend their money. Our role is to make sure we
can offer them the best experience possible. You simply cannot
afford to make service mistakes.
We believe that taking this time to invest in operations and staff
development is a key strategy in setting ourselves apart in the
current economy. We have put an even greater focus on product
education, consumer product testing and supporting the customer's
buying decision. In addition, we have focused on the things that
set us apart and actively market them to our customers. Creating a
more unique experience is key to attracting a more cautious
shopper.
Doug Huemoeller, Kitchen Window, Minneapolis, Minn.
If you would like to pose your own question, please send e-mail
to mmoran@gourmetretailer.com.










