365 Retail Markets’ Sales Relationship Manager, Chris Andrick and industry expert Sandy Schoenthaler joined forces last month to explain how to implement small markets to see big results in your smaller locations (50-150 employees). Small markets pair well with OCS and pantry-style offerings by using low-impact POS technology like tablet-sized kiosks or beacons; making them ideal for mobile payments. Furthermore, operators are seeing an increase of 40-70% when they upgrade a vending location to a small market.
Using Small Markets to See Big Results was NAMA’s highest attended webinar. Sandy and Chris shared tons of tested and proven facts about how to make small markets work for you. Here are a few tips you may have missed:
Know your customers
Pay close attention to the demographic and culture of the location. Sandy recommended scoping out the surrounding area to discover what restaurants are in the area and identifying any traffic and parking challenges. “Give them the convenience that they didn’t have before to keep them in.” Offering fresh meals, phone chargers, and medicine for example, can be great ways to answer the needs of your customers andkeep them in your market.
Technology as a business partner
“Studies show that we are more likely to say ‘yes’ to a machine than we are to a person,” Chris said. Something as simple as adding coffee modifiers for an upgraded coffee experience (vanilla cappuccino anyone?) can help you snag the sales that would’ve gone to Starbucks. Use your technology to take advantage of upsell opportunities.
Security is always a top question whenever discussing markets. However, shrinkage is still in the 3-4% range in small markets. If you are concerned, Sandy recommends adding a shrinkage clause into your contract and holding the location responsible for shrinkage greater than 3%.
Small markets can provide a micro market-style experience and tap into niches like OCS and pantry in a way that micro markets can’t, while giving your revenue a boost.
Did you attend the Using Small Markets to See Big Results webinar? If so, tweet us something that you found inspiring or helpful @365retailmarket!
Do you have questions about small markets? Contact 365 Retail Markets to speak to one of our knowledgeable reps.