Miami, FL—Are you old enough to remember Peter, Paul, and Mary’s famous song, Where Have All The Flowers Gone? Most jewelers are asking the same question about where all the customers have gone.
If you track people coming through your door, you’ve probably noticed a continual decline over the years, with a corresponding decline in overall transactions. If you are maintaining sales figures year over year, it’s because you are increasing your average retail sale, which you must do to stay in business.
But if you really want to increase traffic, you have to do something out of the ordinary to accomplish this task. Customer attrition is a stark reality. They move, cease purchasing, change lifestyles, and eventually pass away. You have to reinvigorate your database of clients because a continuous renewal of your customer base is vital.
One of the surprise benefits to most of our clients for whom we’ve conducted sales is the number of new customers who buy jewelry during the event. These are people who have never been to the jeweler’s store. The percentage of new customers is usually around 30% of the total number of purchasers, and many of those new customers become clients well into the future, assuming the sale isn’t a store-closing sale.
A major sale event can help you eliminate aged merchandise, increase cash flow, allow you to pay off debt, and acquire fresh new inventory to keep the customers coming back.