Independent Electrical Retailer - the leading trade magazine for the electrical industry
Training holds the key
There are many reasons why you should not start cutting back on staff training as recession advances. Bryan Lovewell, Chief Executive of retra, explains.
Published:  11 September, 2008

When trading becomes more challenging it is important that you identify ways to reduce costs and increase profits. Ways that this can be achieved are through more targeted advertising, better use of your customer database and more efficient management of stock. 

But one area that you should never cut back on is training. Why? Because when footfall is down, you need your sales team performing at the top of their game. Every sales opportunity needs to be converted into an actual sale. For this reason, cutting back on sales training is a false economy. If your staff do not know how to demonstrate products, and if they do not know how to engage with customers, then you are effectively pouring profits down the drain.

Earlier this year, I visited a retra member with the intention of buying a Blu-ray player. The salesman, who had no idea who I was, listened to what I was looking for and asked questions about my lifestyle. Half an hour later, I walked out of the store with a Sony Playstation3 and a Denon sound system. I spent almost twice as much as I had originally intended, but I felt confident I had the best product for my needs.

We may all work in electrical retailing, but remember that at the end of the day, you're a customer too. Think about what you expect when you go shopping, and then make sure you're providing that standard of service to your own customers. Like most customers, we also want the best deals for our money. But as we live and breathe this industry, we are keenly aware that the cheapest deals are not always the best ones. Never assume that your customers think the same way! 

The consumer's view

In our fast-paced society, many customers simply flick through a catalogue or surf the web until they find the cheapest product. They do not take the time to decide if it is completely suitable for their needs. So when they visit your store with a specific product in mind, do not think for one second that their minds cannot be changed. 

Encourage your staff to talk with the customer to find out what and why they're looking to buy. With the right training, your sales team can then successfully promote a range of products that are better suited to the customer's needs. Does the budding chef, for example, know that the next oven up will cook their Sunday roast to perfection in less time? Does the film enthusiast know that a slightly more expensive TV can support full high definition, making them feel like they're part of the action?

And do your customers know about all the extras that can make their chosen product perform even better? It is important to promote HDMI leads, surround sound systems, wall-mounted displays, extended warranties, cleaners and cookware as part of the sales process.

People value a service that is knowledgeable and honest. If you can provide this, you will find they're far more likely to return to you when they want to buy something else.

The manufacturer's perspective

And it's not just customers who value this approach. Manufacturers are increasingly on the look-out for retailers who can add value to their brands. Samsung for example, are investing in retailers who are prepared to create theatre with their new ‘shop-in-shop' displays and Miele are partnering with key independents with a view to opening customer-friendly Experience Centres. At the heart of these new initiatives is the desire to better communicate product features to customers, and as specialists in your trade, these opportunities should not be overlooked.

Staff training has always been crucial to running a successful business. But as the economy falters and customers become increasingly cautious about spending, I believe it is now more important than ever. It is an investment that will help you build stronger, more profitable relationships with your staff, suppliers and customers.

As a member of retra, you and your staff can benefit from subsidised sales training, which has been designed with independent retailers in mind. A series of introductory training courses have been running throughout 2008. In September and October, a further five courses will be held across the South West of England. These two-hour sessions, including dinner, only cost £10 per head.







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