Don't Go Straight To "On Sale"
What to do with slow-selling product.
September 28, 2011
Not every product that stays on the display bench a little too long is necessarily a dog. The way you’re trying to sell it may just need a little rethinking.
Challenge: How do you get slow-moving merchandise moving again without resorting immediately to a margin-busting price cut?
Solution: Stauffer’s of Kissel Hill in Lititz, Pa., uses an MSRP policy, but it has nothing to do with the Manufacturer’s Suggested Retail Price. COO Jere Stauffer says “MSRP” is the garden center’s strategy for handling products that aren’t moving as quickly as anticipated. “There could be a number of reasons why a product isn’t moving, so we take a number of steps before marking something down,” he says.
Step One: Move it. Everyone knows location is the key in retail. It may just need a more prominent display.
Step Two: Sign it. Better signage may catch the customer’s eye.
Step Three: Remerchandise it entirely. A new look for the display may do the trick.
Step Four: Price it. OK, they can’t all be winners. If all else fails, do what you have to do to move the product.