WAYS TO BEAT CASH FLOW IN RETAIL

I’m sure you have heard the saying “money is the soul of business.” No matter how you look at it, this sentence is as true as the gospel. One of the biggest challenges of small businesses is getting free cash flow. What does this mean? It means the amount of money flowing into your business over your expenses.

For retail stores like thrift stores and dollar stores, it is quite vital to get the cash flow as early as possible. This is because these stores are usually run on a low budget, so they rely very much on the money flowing through the business. Data gotten from CB Insights indicates that at 29 percent, the cash crisis is one of the leading reasons for startups failing.

Many business owners are quite willing but some don’t know how to go about it. Fortunately, Retail Guidance is available to help you organize your business and set up a cash flow system for you.

How to keep cash flowing in your business

Considering thrift stores and dollar stores, here are some ways that you can keep the cash flowing. Now

Set targets

It is vital that you set reachable and reasonable cash flow targets for your retail store. This would serve as a sort of guide for you. Ensure that your targets are easily updatable, so you can make changes as you move along.

The biggest issue here is setting reasonable targets, and how to go about setting targets. At Retail Guidance, we have a team of experts that can help you set your targets.

Keep track of your expenses

This is straightforward really. Selling at a loss, it is impossible for you to get any form of cash flow. Dollar stores and thrift stores sell at very low prices, so their interest isn’t as impressive as bigger retail stores. It is therefore crucial that you take a close look at your expenses, so you can figure out how much spending you can afford to do. of your expenses

Encourage repeat customers

Honestly, for any thrift or dollar store, repeat customers are your holy grail for cash flow. This is quite evident in the statistic that states that you get about 67 percent more sales from your existing customers than new ones.

it is important that you deal with your customers with patience, and give them a good experience.

Easy mode of payment

It is essential for you to adopt a means of payment that is pretty easy and straightforward. No one wants to go through numerous steps just to pay for a piece of item. This is particularly important for low budget stores like dollar and thrift stores.

Conclusion

Many thrift and dollar stores have profit margin forecasts but don’t have any sort of cash flow plan. This is actually a rookie move and it’s a mistake. If your cash flow is solid, then the profit is going to grow.

There are many more ways to ensure you beat cash flow in retail, but we can’t put everything in this article. If you need help setting up a plan or you want more information on setting up a cash flow plan for your retail business, then you can contact us at Retail Guidance.

INCREASING SALES OPPORTUNITY

Increasing Sales Opportunity

The retail market is one of the biggest around today. According to Statista, retail sales would increase to about $27.7 trillion in 2020 from $20.8 trillion in 2015. Thrift stores and dollar stores are two of the fastest growing stores in the retail industry today.

Any retail store owner should understand that the quality of goods you offer doesn’t always translate to increased sales. Your business relies strongly on getting new sales opportunities for growth and development. Yes, it is essential that you keep your existing customers, but it is vital that you integrate new opportunities.

Of course, you can’t just sit on your desk and expect sales opportunities to land on it. Retail Guidance can help you formulate a strategy that will increase your sales opportunity. Let’s look at some of the steps you can take to increase sales opportunities.

Ways to increase sales opportunity

Here are ways to improve sales opportunity in your thrift and dollar stores.

Be very hospitable

Putting this more plainly, we can say, “be warm and cuddly with your customers.” This is a foolproof tactic that you need to adopt as a thrift and dollar store owner. Everyone wants to feel special, so you should take steps to understand the needs and wants of your customers. You can then use this knowledge to make them happier. And what do they say about a happy customer?

Honesty is key

The saying “honesty is the best policy” could never be truer. Many store owners believe you have to bend the truth in some way before you can make sales. Ensure that all your goods are exactly what they seem. If your customers know that you are honest, they sure will come back to patronize your store.

Also, honesty is pretty essential in forming any meaningful relationship, so if you want loyal customers, you need to be honest with them.

Set mini objectives

Objectives are small steps to reaching your goal. Ensure that you set meaningful objectives that you can reach as you move to become that successful thrift or dollar store. If you are not sure on how to go about it, Retail Guidance is a great place to start.

You can set goals on how many calls you would make in a day. You can also decide on the number of customers you would send text messages to in a period. These objectives are easy ways to evaluate the progress of your store.

Networking is vital

In this business age, networking has become impossible to ignore. Platforms like LinkedIn offer an easy way to communicate with your customers as well as potential customers. When used correctly, these platforms open more doors of opportunities and allow you reach audiences that would have been impossible to reach.

Conclusion

Every retailer’s dream is to see an increase in sales opportunities, especially small businesses like thrift and dollar stores. Of course, it is very possible to achieve. We have highlighted some steps you can take to achieve this. If you need help on more effective steps to take, then you really need to visit Retail Guidance.