As shopkeepers, we all strive to be kind and nice and friendly. We want our clients to be happy with our business policies and happy with us.
But there’s a balance we have to strike between accommodating and operating a profitable business.
And how to find that balance is today’s question. My recommendation is: when being nice makes you money.
Sound cold and callous?
Not at all. Consider this scenario: Customer finds more than she/he expected while shopping. So much more, that there is a problem with paying for it all today. Being nice would translate, in this scenario, to offering to hold her/selections for payment the next day, arranging a layaway for the items, or reducing the price until it reaches an amount she has in her purse.
Let’s bypass the “hold” idea for the moment. And let’s certainly skip the “well, what can you afford to pay?” conversation, one that will do little if anything for your profit margin (and potentially cause you to be “un-nice” to the consignor, if you are a consignment shop.)
Being nice by offering layaway can make you money. How?
- By prompting a return visit by that enthusiastic shopper, when the balance will be due to be paid. Who knows, she might even find more to buy on her second visit.
- By collecting her contact information which lets you ask “would you like to be on our mailing list?” Who knows, she might be the customer who buys next season’s most extravagant [fill in the blank.]
- By building a relationship with her which is more than just spender/cashier. Who knows, she might bring her entire book club to “meet my friend Sally Shopkeeper.”
- By giving you the opportunity to carefully package her purchase, even going so far as to tie your business card onto it with curly ribbon or raffia or black leather as befits your shop branding. “Oh, doesn’t my sweat suit look pretty all wrapped up… and a bag over it too!”
- By allowing you time, as the item waits for pick-up, to perhaps find the perfect scarf or tie or lamp that you will be able to show her when she returns. Nothin’ says lovin’ like “I found a purse you might really like to go with you dress”! Building a sale is always a good idea, both for you and the buyer (and the consignor of that purse, too!)
Now layaway is just one example of how being nice makes you money (and lets you feel good about yourself as well.) How about the kidswear shop that keeps a supply of emergency diapers around? The boutique which remembers which regular customer likes which regular’s consignments, and calls her when they come in? The furniture shop which opens its doors 10 minutes early, even if they have to apologize that “we’re still vacuuming, but come in, come in out of the cold!”?
The photo’s from here
Auntie Kate The Resale Expert 
Hi! I have a clothing consignment in Maryland.
We used to have a lot of request for hold.. and we did hold items…just to be nice. We had some crazy customers that would pick twenty items and ask to hold. Only one out of ten would come back and actually buy the held items. Now, I offer 10 days lay-away with 25% down.That insures that the buyer does come back. I have a poster on the wall behind the cash register “10 days lay-away with 25% down”. It makes whole lot easier for employes when customers asks/demands to hold things. All they need to say “we offer lay-away plan for your convenience..” The rules are not written in stone though, I’ve held items for month and two at times, as long as they put money down. In three years, I didn’t have even one person that wouldn’t come back for layaway.
Another sign that helps a lot “10% OFF on purchases of $300 and more” . Eliminates constant demands for discounts. Customer:” Can I get a discount?”. Staff: “Sure! You can get 10% OFF if you spend $300 or more..” Before I made up that rule, we had customers picking up $1 items and demand discount.
When I’m in the store, I can play it by ear and be flexible and try to accommodate… But it’s harder for staff. Especially for part-timers who may not be aware of what is happening every moment at the store. Having clear rules in place makes it easier and takes some pressure of my employees. You can train your staff. You can also train your customers and consignors!
Paying consignors my way: checks by request only ( I don’t do them automatically every month). $2.50 fee for each written check (Some consignors will harass you for every $5 on their account. Sure, I’ll be happy to write you a check right this moment for your $5… minus $2.50 check processing fee). No cash payouts. Store credit with 5% OFF all purchases. Credit doesn’t expire. Easy!
You’d like to bring a trunk full of crap without an appointment and damp it on a teen that works today?? Sure! I’ll be happy to go thru when I’m back and when I’ll have time for it. I’ll pick the items that I can sell and I’ll damp the rest when Salvation Army truck will stop by. I won’t call you to report on every dirty t-shirt that you brought in. Because, last 5 times I called and ask you to pick up unwanted items, you didn’t bother to even call back.
You changed your mind and want the items back that you brought in last week?? I won’t tell you that we spend and hour to set up an account for you, steam and tag your clothing. I won’t even mention that I fixed that hole in your sweater and sewed on the missing button. I won’t mention that I really don’t have time to search for your things. I’ll take a deep breath and tell you politely:”Sure, any time! Just put aside 3-4 hours, because that’s about time you’ll need to find your items in our 2500 sq ft store packed with clothing. Thank you very much, and have a great day!” Needless to say, this lady will change her mind again.
Don’t get me wrong, I love my customers and consignors… almost all of them;)
and most of them love me back. And there is whole lot more love to go around when we don’t have to deal with things that can be avoided by having some simple rules in place.
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Thanks for your contribution to the conversation, Guzilia. Isn’t it great that we can all run our real, local, small businesses our way?
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As long as my cash drawer has been counted and put away, I’ll let customers in as early as they get there. I’m there, why not? And my customers love layaway. It has made me lots of money over the years. I won’t mark things down in order for a customer to be able to purchase it, but if they are short some change, I might just tell them not to worry about it. The good will that builds is usually worth a whole lot more than a few pennies.
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Poor customer service for sure. If I see customers coming to the door 5 to 10 minutes I gladly open the door for them. Can never undestand why stores have to wait for the exact minute to open, it just deters customers.
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Katie, I can’t remember how many times I’ve waited outside a “big box” store when the clock says exactly the opening time and they just look at you through the locked door..like you are the enemy …unreal
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Jan, here’s a horror story for you. When I was in Dallas, Irene Mylan of Clothes Circuit was taking me on “the grand tour” of shops, and we got started early so we could see as many shops as possible. We therefore arrived at the first shop at, oh, maybe 15 minutes before opening time of 10 am. We were able to attract the grudging attention of a person vacuuming… he shook his head, we hammered some more and he finally stuck his face in a crack to tell us that they weren’t open yet. Irene very nicely mentioned the owner by name, he said he’d ask her if an exception could be made, and came back from the back room with a flat NO.
This was a new-ish, nice looking shop… and Irene is a doyenne of Dallas consignment… and still, “no.”
So we left.
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