How our POS software helps small business retailers reduce the cost of dead stock

Dead stock is dead money for small business retailers. Too often we see businesses where buying mistakes have been made and action has not been taken to correct the situation.

Using our POS software, small business retailers can make better buying decisions. They can buy based on evidence, hard data showing what works, hard data showing exactly what they need to satisfy demand, based on past performance data.

Small business retailers who buy by the numbers, who buy based on data, are less likely to have dead stock challenges in their businesses.

Here at Tower Systems we provide the software with tools to reduce the incidence of dead stock. We back the software with practical advice and help for our small business customers on how to actually use the tools.

It is one thing to sell someone a hammer and another thing entirely to show how to best use the hammer for safety and efficiency. That is what we do but here the hammer is our smart POS software.

Our goal is to stop the dead stock problem before it is a problem, before the business purchases stock. This can be done as we can show in many businesses with which we engage regularly today. We can show it in our own shops where we use our advised principles to reduce the incidence of dead stock and thereby save the businesses significant costs compared to others.

We work with retailers, retail business employees and suppliers on a range of tech and business solutions to ensure that dead stock is minimised, to provide commercially sound outcomes for small business retailers such that the cost of dead stock reduces in businesses with which we engage.

Our POS software is part of the solution. Training is another. Business management processes are another. Together we combine these and offer our partner small business retailers a solution on which they can rely to achieve better outcomes for themselves and their businesses.

The how, the real nuts and bolts of how are a discussion for a more private place as it is part of our IP, something that separates us in how we have the retailers who use our POS software and who rely on our support and business assistance services.

Advice for small business retailers on managing shopper theft

The importance of accurate stock on hand data is  critical, especially for retailers with online sales.

We recommend regular custom stock takes for the categories where you transact online.

A consequence of more regular stock takes is greater understanding of theft from the business. Rather than getting angry about discovering the extent of theft, which a lot of retailers do, act to manage theft. This is the best reaction you can have to theft of stock.

  1. Know the problem. Regular custom stock takes will help you achieve this.
  2. Own the problem. Based on evidence, take the problem on board as yours to fix.

Too often, retailers sit in the office or the back room. Problems like this are not fixed from the back room – they are fixed from the shop floor.

Too often work is done in the back room or away from customer sight that could be done on the shop floor and thereby reduce shopper theft. The more work you do on the shop floor the greater deterrent to those who would steal.

  1. Ensure all staff know about the problem. The more they understand the problem the better the opportunity for them to become engaged. Understanding must include knowing the cost to the business and the impact this has on the business and on them.
  2. Encourage staff to greet shoppers, explain this is a starting point to reducing theft.
  3. Spot (custom) stock take weekly or at least fortnightly. Record the number stolen from a category somewhere for staff to see. This sets a target for all.
  4. Move the product you are concerned about, try different locations.
  5. Place a portable work table near the often stolen products and move most there such as product pricing, invoice checking or other tasks that could be easily done on the shop floor.
  6. Ensure you have camera coverage of the location.
  7. Place the stock so there are no blind spots that make theft easy.
  8. Watch the location or stand from outside your business to see how shoppers interact with it.
  9. Bring in a retail security expert for their advice on your specific situation.
  10. Keep your staff informed about progress on resolving the problem.

The only way to reduce theft is to change things. If what you change does not work, change more. Keep changing until you find the answer.

Note: those often stealing the most are not those you suspect.

What small business retailers need to know about Amazon setting up shop in Australia and how to best respond

There have been many reports about Amazon opening distribution centres in Australia, with the first, in Dandenong Victoria, well advanced in preparation.

Little advice has been provided to small business retailers on what is needed to compete in this ever evolving online-focussed world.

At this workshop we will share insights from the various retail store connected websites that were run. We will show when, hope and why people shop. We will take you under the hood, back to what they search Google for.

We will explain steps you can take in your business to win business that Amazon sellers m might otherwise try and win from you.

We will show how you can get online in any type of business, without breaking the bank and without needing your own tech employee.

Plus, we will answer every question you have.  Without obligation.

Book now. These workshops are free. All welcome.

  • August 24, 8am. Figtree Conference Centre: Mission Room, 5 Figtree Drive, Sydney Olympic Park NSW.
  • August 24, 11am. Figtree Conference Centre: Mission Room, 5 Figtree Drive, Sydney Olympic Park NSW.

We will demonstrate live websites that are connected to our small business POS software in local businesses. we will also show how to transfer stock to a website and how to manage images. We will answer all your website related questions. Bookings are essential.

We develop software and websites for: gift shopsjewellers,  bike shopstoy shopsfishing/outdoors businessesgarden centres/nurseriespet shopsproduce storesfirearms businesses and newsagents.

If you have questions, please call our Sydney Account Manager, Nathan Morrison on 0417 568 148.

Helping small business retailers understand the best trading hours

Our advice to small business retailers when it comes to the best training hours too open is to consider carefully the evidence available, for your specific business.

When was the last time you assessed sales by time and particularly at sales revenue at the start of the day and at the end of the day?

It could be that you are opening your small business retail shop too early or too late or that you are closing too early or too late.

What does your data show?

Use your POS software to assess sales at the fringe of the day for, say, the last six months. Look overall and then for each day of the week. Good software should allow you to do this level of reporting. Work out the slew revenue per hour, apply your overall gross profit percentage and then deduct the hourly cost of being open.

If, for example, your average revenue is $30 for an hour at the start of the day and you have staff working this time and they don’t have much else to do those days and you have, say, GP of 32%, your GP is $9.60. Once you pay wages for the hour you are losing money. If the customers are not regulars it could be that you are better off closing.

If, on the other hand, your sales are $100 or more in the first hour, it could be that opening earlier could win even more business.

Only you can make the assessment of what is right for your business.

Our advice today is look at your data and make sure you are open the right hours for the best possible financial outcome for your retail business.

Retail management advice: How to prepare your independent retail business for sale

Selling an independent retail business is like selling a house, you need to prepare it so that it looks appealing to prospective purchasers.

The process of preparing a retail business for sale can take time, depending on the state of the business. The earlier you start the better.

The keys are too leave yourself plenty of time and have a plan. The advice we provide here is based on years of service to small business retailers across many different retail channels.

Here is our overview advice of what you need to do to prepare your independent retail business for sale.

  1. Maximise profit. What anyone will pay will depend on the profitability of the business. While you should be on this every day, if it is a new project for you, start six months prior to putting the business on the market.
  2. Eliminate dead stock. It looks bad on the shelves and looks bad on the books. Purchasers should not pay full wholesale for inventory more than six months old as your poor buying or management is not their obligation.
  3. Streamline operations. Make the business look easy to run by ensuring it is easy to run for you. The easier it looks to run the more interesting to people who don’t understand the business.
  4. Make the business look appealing. Ensure displays are stunning, the shelves full and every pitch the very best you can make. You want them to want your business because they like it.
  5. Be happy. Owners who talk their business down will find it harder to sell the business. If you are complainer, keep it to yourself or in the family.
  6. Keep your social media presence up to date. Today, many people check out a business online prior to looking at it in-store. Maintain up to date Facebook and other
  7. Get your paperwork in order. Early on, get business documents together and check:
    1. Premises lease.
    2. Equipment lease documents.
    3. Franchise document.
    4. Supplier agreements.
    5. Details of any forward orders.
    6. Any other documents relating to the operation of the business including manuals for any equipment items.
  8. Choose your broker carefully.

Success at selling your business depends in part on the work you do to prepare it for sale. Extra focus now can help you get timely price satisfaction.

Small business retail marketing tip: turn your shop into a classroom

Theatre is important in retail if you want to separate your store from an online shopping experience. Retailers need to exploit ways to demonstrate the added value of the physical store shopping experience.

Having products on the shelves or racks is not enough. You have to bring these to life.

Beyond being able to touch and smell and item live, every retail store has opportunities to make the shopping experience more personal and physical.

Supermarkets do this all the time with food sampling and demonstrations. They have someone cooking product nearby where the product can be purchased. These in-store demonstrations are done because they work, the drive sales. The smell and the taste guide the senses to encourage the purchase.

You do not need to be selling food for an in-store demonstration to work. Here are some suggestions from us for other retailers on how they could use in-store demonstrations and other techniques to bring products alive:

  1. Books: book readings, book clubs, author visits, performances from children’s books.
  2. Fashion: Fashion show, a talk by a designer, a talk by a stylist, a dress making demonstration by an expert, a makeup demonstration to go with the clothing you sell, a hairdresser to show the importance of hair to go with what you sell.
  3. Camping: A tent setup competition, tips from a local ranger for safe camping, stories from camping trips – a group discussion sharing ideas, a supplier presentation on new equipment.
  4. Homewares: A dinner party in store showing how a range of dining homewares products look when you have guests over, a stylist speaking about how to style your home, a manufacturer presentation on a new line.
  5. Card shop: A calligrapher to write beautifully on cards purchased in-store, a local writer to help customers with the right words for each card purchased, a card stylist to help shoppers find the perfect card for the occasion, a card maker presenting a talk on what goes into making a card.
  6. Stationery business: Supplier presentations on the latest items for sale, a competition for customers based around clever use of a particular line of items you sell, a recycle class from an environmental expert on how to recycle used stationery items, a presentation on the different brands of printers you sell and how each suits a particular need.
  7. Cosmetics shop: Host a fashion parade showing off how your cosmetics look with the right fashion, run cosmetics classes for different occasions – make up for work, evening wear and weekend fun times, have a manufacturer speak about what makes their products special.

Each of these ideas is about bringing interactivity to your store, going beyond static products on the shelves and bringing them alive. This separates your business from the mass merchants who will have fewer in-store displays and from online retailers as well.

Schedule interactive sessions. Plan them carefully, promote them and make sure that they are covering topics of interest to your shoppers. Ask your shoppers too if they have a presentation idea as they could be a welcome source of new in-store content.

Small business retail marketing advice on helping customers

The single most important point of difference any local retail business has over a big business or online competitor is local knowledge and context.

Leveraging local knowledge and context as they relate to products in the business is easy through POS software. For example, using our software, retailers can include on receipts details of care for and use of products sold.

This knowledge can add significant value to a purchase as it can be specific to the area.

We see retailers doing this all the time, in ways that make customers happy as they can get more out of the products purchased than might be the case had they not been given the useful information.

  1. A garden centre can add care information tuned to local conditions.
  2. A bike shop can share local bike track information.
  3. A toy shop can share information about family play groups.
  4. A pet shop can share information on local dog walking groups.
  5. A fishing store can share information about sports only the locals know.

These are just some examples of personalised local information can be shared on receipts.

Retailers can take it even further and include information that is absolutely product specific.

This is an excellent way to promote the personal focus of the business.

Small business retail management advice: be David to the big business Goliath – how small business retailers can compete against big business

Small and independent retailers often feel helpless when a big national retailer opens up nearby. There is no match for their range, buying power, advertising coverage or even news coverage.

The sheer size of a national competitor is what scares many smaller retailers. This is often enough for them to give up and close the business.

Giving up and running is the easy way out. There is no lesson learned, just an escape from the fear.

The alternative is to find out how to deal with the national retailer.

Here are five tips for small businesses on how to face and deal with a national retailer moving into the area:

  1. Don’t compete. By not talking about the competitor, pricing against them or pitching your business in any way, you separate yourself. While they may have similar products, it is unlikely that they are targeting your specific business so why target them? Focus instead on your own business.

Not competing should include not advertising price comparisons, not focusing on the competitor at staff meetings, not expanding your range to sell more of what they sell and not obsessing about them.

I was working with an independent retailer recently who decided to offer a product they sold which is also available in a nearby national retailer for 10% less than the sale price in the national retailer. This move gave the independent retailer a margin of 15%. In discussion I discovered that most of the customers who visited the independent retailer were unlikely to shop in the national retailer. So why compete on price?

If you know why customers shop with you, you have the opportunity of not giving up margin out of fear.

  1. Run a better business. From the moment you hear about a new national retailer coming to town, look at every aspect of your business for opportunities for improvement. From the back room to the font counter fine tune your processes, employee training, stock buying and the look of the business. Dramatically improve your business from the inside out. This will improve your business health and help you weather challenges which may lie ahead.

Too often, independent retailers wait until the national retailer is open to react. This is probably a year or two too late.

  1. Be unique. Look for ways to make your business unique. It could be on product range, operating hours, add-on services or something else. Embrace any opportunity to make your business unique. Even a unique niche range of products can give you traffic a big competitor will not chase. Try and focus on products which require a level of retail skill and knowledge to sell – national retailers have challenges hiring and retaining retail employees with specialist knowledge and skills.
  2. Engage the community. Connect with the community at every possible opportunity. Support local groups, speak at functions, get known as someone and a business who care deeply about the local community. Subtly make the connection that you are fortunate to be able to help because of your local business.

Being smaller and independent you are better able to personally engage with the community. You and your team are the business whereas a national chain will always be the corporate. They can throw money around locally, you can throw time, knowledge and more flexible assistance.

  1. Tell your stories. Your retail narrative, your stories, connect you with the local community. Tell these through the people you contact, your own blog, a Facebook page and in the pages of the local newspaper. Tell human stories about your business, the people who work in it and the local stories which connect with it.

Your stories could be about local community connection, convenience of shopping, commitment to range, personal customer service, product niche knowledge … there are many different narratives with which an independent retailer can connect. It is important that one you have your narrative you stick to is, that it inhabits your decisions, marketing and public presentation.

By acting early and in advance of a national retailer opening, you better position your business to weather their advertising and PR onslaught. Get in early, build a stronger business and understand that through this the new business in town will not be your competitor.

Christmas marketing tips for local small business retailers

Christmas is a noisy time for shoppers. Every retailer is pitching to them on TV, radio, in print, on social media and in-store.

Christmas marketing tends to be the same: jolly, celebratory and, often, price based.

It is a challenge for small business retailers to cut through all of this noise.

Here are some tips for cutting through. Sure we are a POS software company, but we are retailers too and have been for decades. We have experience in several retail channels. This helps us create better small business software and provide advice beyond the software itself.

We hope this Christmas advice is directly helpful or unlocks ideas of your own.

  1. Make it easy. People often talk about how hard Christmas is. Be the business that makes it easy. The ways to do this are with easy Lay-By, free wrapping, better shop floor help, guide buying advice or tips on perfect gifts no one else will think of. Consider making Christmas easy as being a key part of your messaging.
  2. Be thrilled people are in your shop. Your personal smile or greeting is something they may not see in a big business where employees are less invested in each shopper and where the owner is usually thousands of kilometers away.
  3. Make the giving easy. If people purchase form you to send somewhere else. Offer a one-stop shop. Save them the trip to the post office.
  4. Make the shop less about Christmas. Consider pulling back on the Christmas visual noise. Go for something simple, muted, respecting the season but making a calm statement. Consider declaring the shop a Christmas carol free zone – not because you hate carols but because you want to help customers take a break.
  5. Help people rest and recharge. Create a Christmas shopping rest and recovery zone. Offer free tea, coffee, water and something to eat. Encourage people to take a break in your shop – without any obligation for them to spend money with you.
  6. Let your customers help each other. Setup a whiteboard or sheets of butcher’s paper, yes keep it simple. Get customers to write gift suggestions under different age/gender groups. For example: Girls 18 – 25, Boys 55+. Encourage your customers to help each other.
  7. Make price comparison difficult. If you sell items people are likely to price compare with other businesses, package them so price comparison is not easy. Put items into a hamper as a perfect Boy 8 to 12 bundle for example. Or offer the item with pre packages services if appropriate for an item.
  8. Less is The stack em high watch em fly mantra can be wrong. Indeed, it is often wrong in retail. Shoppers can be store blind because a shop is too full or a display is too busy. Consider creating simpler less cluttered displays and window promotions. Draw attention to what you want people to see by promoting that one thing. Every time someone asks if you have something that you think through should be able to find easily – take it as a challenge for you to address rather than a commentary on a facility of the customer.
  9. Christmas season in your shop should evolve. Major change weekly is vital for people to see what you have that they could buy.
  10. Be socially engaged. On Facebook, Instagram, twitter and elsewhere, be the calm voice, the person people enjoy reading or seeing photos from. Provide entertainment this Christmas rather than the usual retailer shrill of come and shop here!

We think the key to a more successful Christmas is to be different to what people expect from your business.

A checklist for anyone considering buying a retail business

A common question we are asked by people contemplating purchasing a retail business is what should I ask for when looking at buying a retail business?

The question itself, when asked, indicates how green a prospective purchaser is when it comes to purchasing a business.

Here is a list of data we suggest retail business purchasers access from the vendor or their representative:

  1. P&L from the accountant for the last two years. i.e. not a spreadsheet created for the purpose.
  2. A good explanation of any add-backs.
  3. Sales data reports, for the last two years, from the POS software in use – to verify the income claim.
  4. Sales data reports from the lottery terminal to verify the income claim.
  5. BAS forms to confirm data in the P&L.
  6. A list of all inventory to include purchase price and date last sold for each item.
  7. A copy of the shop lease.
  8. A copy of any leases the vendor expects you to take on board.
  9. A list of all employees: name, hourly rate, nature of employment, start date, accrued leave.

This is good basic information that will enable any purchaser to undertake reasonable assessment of a business.

A good business will shine through the numbers just as a business with upside achievable by new owners will shine through.

Our advice to newsagents looking to sell who are concerned about this list is: think about it now and focus on your business so the data I have listed looks good.

Every day you make decisions in your business that impact many of the data points listed.

This is why we say every day is your pay day. Run a smart, lean and profit focused business and you will have a good pay day today and a good one when you come to sell.

The most appealing businesses are those that are easier to run and are making money.

Sure a purchaser can turn a business around. They should get the rewards if they are expected to do that for your business.

The price you can sell your business for will be based on what it is making now.

Getting the data ready for the sale of the business could, of itself, help you improve how you run your business.

Advice for small business retailers on how to promote Halloween

Halloween is a fun season in retail. It is an opportunity to ramp up traffic and sales leading up to Christmas. It is also an opportunity for the business to play outside its comfort zone. This is great news for any small business retailer.

Here is our advice from seeing Halloween in many retail businesses, advice on ways to promote Halloween to drive the opportunity further:

  1. Run a series of Facebook posts early in the season. Through these demonstrate your engagement as unique, different.
  2. make your front window scary amazing.
  3. Have customers step into Halloween when they step into your store.
  4. Have a fancy dress competition on the weekend before.
  5. Mock yourselves in social media and elsewhere about being big kids, scary pants or more. Change how people look at your business.
  6. Run sales connected with people dressing up to access a sale price.
  7. A colouring competition for kids with a prize for the best.
  8. Have candy to give away.
  9. If you’re in a small town organise a Halloween trick or treat party for safe kid fun.
  10. Print a recipe sheet and give this away. Online you can find recipes for eyeball soup, eyeball appetisers, bloody desserts and the like.

Here at Tower systems we are all about small business retail. Anything we can do to help we will do, including providing practical business management advice for retailers on seasons such as Halloween.

Small business retail advice: what to do if your year on year sales are down

If your year-on-year sales are down, something has to change if you want to turn the situation around, please read on.

If you keep doing what you have been doing, the sales results in your business will be what they have been.

It would be a mistake to think that external factors are the sole reason your sales are down.

So, change is necessary – change in what you sell, how you merchandise and how you promote.

It is only from change that the sales decline could be arrested and reversed.

Our advice is to look for u-turn or right turn opportunities, changes you can implement to divert you from your current path.

Suggesting such changes is something Tower Systems can help with through our free Business Check service. Ask us to challenge you. We will first ask to see your year on year data at a detailed level as this will reveal the truth of the situation and from there we can develop change suggestions for your consideration.

We don’t have all the answers, we will even suggest ideas we later discover are mistakes. However, doing what you have been doing in a situation of declining sales is a bigger mistake.

If your year-on-year sales are down, are you open to suggestions for change?

We have seen resistance to a u-turn or right turn in the business result in the year on year sales decline continue. Don’t let this be you.

SMALL BUSINESS RETAIL ADVICE: CHOOSE THE LOYALTY OPTION THAT IS RIGHT FOR YOU

The Tower Systems POS software has every possible shopper loyalty requirement covered from points to integrations to instant gratification loyalty to collectible loyalty to multi buy loyalty to supplier driven and funded loyalty.

No matter what loyalty option you could conceive, Tower has, in its community of 3,500+ small business retailers, most likely encountered the need and served it.

Our experience with loyalty is different businesses have different needs. This is why one of our loyalty experts works with you to determine which of the options is right for your business needs.

We help you discover the options in the software that serve your needs.

Our retail management advice today is think about the needs of your business carefully. The most obvious loyalty option, the one most others use, might not be right for you.

Our retail management tip today is: choose the loyalty option that is right for your small business.

  1. Points based loyalty.
  2. Loyalty rewards where the rewards are a voucher.
  3. A cash discount off your next purchase.
  4. Integration with a banner group loyalty program.
  5. FlyBys integration.
  6. A partner program where the shopper gets a reward and their community group gets a reward.
  7. A local community support loyalty offer.
  8. VIP pricing.
  9. VIP pricing coupled with a loyalty rewards offer.

There are plenty more options than these – catered for and serves within the smart Tower Systems POS software.

SUNDAY SMALL BUSINESS MANAGEMENT ADVICE: CHOOSE MUSIC THOUGHTFULLY

Is the music you play in your retail store right for the retail store? While major chains broadcast in-store radio with ads for what they sell, you can create an oasis in your business that suits your customers and the retail space you create for them.

Rather than turning on commercial radio or playing CDs, our suggestion is to sign up for a premium service like Pandora, ideally the ad-free version. Pandora [provides an excellent selection of stations, allowing you to set the mood based on the season or other aspects of what is going on in your business at the time.

Using a service like Pandora brings flexibility to the business, it ensures change and helps provide an environment that is more enjoyable and flexible.

No music is not good. Commercial radio may be okay in some situations but the ads promote outside your business. CDs need changing and you need a vast library to have a different sound. Pandora, or a similar service, is ideal for i-store small business retail use. This is what we see in plenty of retail businesses now.

There is a free version of Pandora, and other services, that you can try before you spend any money on ad-free facilities.

The sound of your business can help drive excellent sales for little or no cost.

SUNDAY SMALL BUSINESS RETAIL MANAGEMENT ADVICE: MAYBE IT IS TIME TO CHANGE YOUR FRIENDS

Who do you talk to about your retail business? Are they sympathetic, pandering almost? Or, do they challenge your perception of your business?

Do they agree with everything you say? Do they offer pity as a response for you explaining your situation?

Good friends will challenge what you say. They will ask tough questions to test what you say about business performance. They will not put up with a victim mentality. They will want to know what you are doing to improve your situation and that your actions are rooted in your business data.

If your friends don’t challenge you when you talk about your business consider seeking out others you can talk to who do challenge you. 

Owning a business of any size can be tough and lonely. In the business it is rare you will be challenged. In your immediately family, too often, you will not be challenged. This is why you need to seek out those who could and will challenge you. You need to be challenged. Your plans need to be tested through tough questioning.  While some good friend will do this for you many will not.

So, do you need to change your friends?

Seek out people who will give you truthful assessment of what you say, people who will have an opinion and be unafraid to share it. You want people who will actively listen to you and give you their insights.

Seek out people who will want the same from you.  The ideal friendship is one that is equal, open and honest in conversation.  This is what retail business owners need – people who can help them see what they may not be seeing for themselves.

POS software customer love helping us sell POS software

We invited several customers last year to have their photo taken in-store as part of a promotional series showing happy small business customers in their shops where they use our smart POS software. We were thrilled every customer we approached agreed.

Here is one photo from the wonderful LollyBomb business in Adelaide. Some of the specialist facilities in our software help this business in smart and engaging ways.

We are grateful for their help in promoting our software.

LollyBomb_Page_1

Helping small business retailers transact without a POS software computer system

Tower Systems has published updated advice to help retailers transact in the unlikely event of their computer system not being available. This advice proved to be popular with our customers – we can tell from the considerable download count.

Small business retailers learn to rely on their POS software. If it becomes unavailable for some time and for reasons outside anyone’s immediate control it can challenge the business operations. This is why having a plan for survival is vital to the business.

Planning for contingencies such as a blackout, massive hardware failure or some other contingency is important in retail and we take our role in guiding retailers on best practice business management seriously here at Tower Systems.

This latest business management advice is part of a long-term commitment to publish advice that is useful, accessible and freely available for our small business retail customers.

POS software helps retailers sell more hampers at Christmas time

Christmas is hamper season for many retailers and Tower Systems helps retailers easily and confidently make, manage, sell and deconstruct hampers.

We track all the components of a hamper, special package pricing, sales history, customer engagement and, if necessary, the breaking down of hampers to single items should a hamper not sell.

Making it easy to manage hampers helps the Tower software be selected by gift shops, bike shops, pet shops, garden centres and other retailers where hampers are an important part of the Christmas trade.

Our work in the hamper space started years ago when we sold our software to a hamper specialist. They guided us to develop smarter tools and these sit in the core POS software we offer to retailers today.

Hampers are a terrific way for local small retailers to pitch a point of difference. Our software makes hampers easy to manage and sell. More important, our software makes it easy to leverage for next season.

This is another POS software Tower AdvantageTM.

Five management tips small business retailers most often ignore – Sunday retail management advice

Based ion our many years experience and our personal work with more than 3,000 retailers, here are the five most common bits of advice small business retailers ignore. Do these five things and your business will improve.

  1. Track everything you sell from the moment it arrives to when it sells.
  2. Reorder stock using your software and not your gut.
  3. Track all employee transactions.
  4. Do not purchase from suppliers who do not provide electronic invoices.
  5. Run a dollar based loyalty program that encourages shopper engagement more often.

These tips are offered as part of a series from Tower Systems, a POS software company serving more than 3,500 small business retailers with specialist POS software for a range of retail niches.

Every day through our software, advice, support and training we provide help beyond the software, help to make a genuine difference to the small retail businesses we serve.

Five ways small business retailers can reduce labour costs

Next to rent, labour is the next largest cost faced by small business retailers. Too often, retailers do hot manage labour as effectively as they can. In our work with small business retailers across a number of channels we have developed ideas on reducing labour costs. Here are five ideas we see work well:

  1. Roster by revenue. Plot revenue by hour and roster shop floor sales staff according to the sales volume.
  2. Roster to an hourly cost. Use smart roster software, like our free eziroster.com.au, and roster to a budget.
  3. Track sales by employee. Report on sales by employee by hour worked and assess the contribution they make to the business.
  4. Time shift tasks. Most away from rostered hours work that can be done without a labour cost. For example, backing up data or linking to your accounting software – both can be done without any labour cost.
  5. Eliminate manual processes. Get suppliers to provide electronic invoices, stop pricing everything you sell – use shelf labels, don’t count stock manually … to name a few tasks you can eliminate entirely.

These tips are offered as part of a series from Tower Systems, a POS software company serving more than 3,500 small business retailers with specialist POS software for a range of retail niches.

Every day through our software, advice, support and training we provide help beyond the software, help to make a genuine difference to the small retail businesses we serve.

Five free forgotten marketing ideas for small business retailers

Retailers often forget these marketing opportunities they have everyday in their businesses, opportunities to make a pitch at no cost that can have shoppers more engaged with a business.

  1. Pitch on your receipt. Sure, it is a record of a purchase. It is also a valuable advertising platform.
  2. Pitch by time of day. Some days are slower than others. Some times of the day are slower than others. Promote based on the low times to drive engagement.
  3. Add value. On the receipt with a purchase automatically include care instructions or other advice to add value to the purchase. Show your customers why purchasing from you is different, better, than if they were to purchase from elsewhere.
  4. Be smart with placement. Use your business data to see what sells with what. Place commonly purchased together items next to each other and drive sales.
  5. Thank your customers. Email customers a thank you note based on a recent purchase and they will be back. Your software can make this type of marketing easier.

These tips are offered as part of a series from Tower Systems, a POS software company serving more than 3,500 small business retailers with specialist POS software for a range of retail niches.

Every day through our software, advice, support and training we provide help beyond the software, help to make a genuine difference to the small retail businesses we serve.

Retailers love the shop local campaign from our POS software company

We are thrilled at the number of small business retailers engaging with the free marketing advice and collateral at our POS software company website. Any retailer can download the free posters and other materials and use them how they want to promote these marketing pitches for and through their businesses. Here are some of the free poster artwork Tower Systems has made available.

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Sunday small business retail management advice: are you open the right hours?

When was the last time you assessed sales by time and particularly at sales revenue at the start of the day and at the end of the day?

It could be that you are opening your small business retail shop too early or too late or that you are closing too early or too late.

What does your data show?

Use your POS software to assess sales at the fringe of the day for, say, the last six months. Look overall and then for each day of the week. Good software should allow you to do this level of reporting. Work out the slew revenue per hour, apply your overall gross profit percentage and then deduct the hourly cost of being open.

If, for example, your average revenue is $30 for an hour at the start of the day and you have staff working this time and they don’t have much else to do those days and you have, say, GP of 32%, your GP is $9.60. Once you pay wages for the hour you are losing money. If the customers are not regulars it could be that you are better off closing.

If, on the other hand, your sales are $100 or more in the first hour, it could be that opening earlier could win even more business.

Only you can make the assessment of what is right for your business.

Our advice today is look at your data and make sure you are open the right hours for the best possible financial outcome for your retail business.

Sunday retail management advice: how to pick the right POS software for your retail business

Here is our advice on how to pick the right POS software for your independent retail business. Choose:

  1. Software designed for your specific type of retail business.
  2. Software that serves your needs.
  3. Software already extensively used in your specific retail channel.
  4. A company offering face to face training in your business.
  5. A company with support that is provided by people used to supporting your type of retail business.
  6. A company offering a structured process for continuous evolution of the software to serve your needs.

While generic off the shelf software can be cheaper, what you save in price can be lost through lack of functionality to your specific type of retail business.

Good software helps make good businesses.

Sunday retail management advice: remove barriers and red tape in your business

Business owners often call on politicians to remove red tape and make doing business easier. We think some small retail business owners create red tape of their own, red tape that makes it harder for customers to do business with the business and red tape that makes it harder for our employees to serve our business.

Common red tape we see in small retail businesses that could be eliminated and thereby help improve business includes:

  • Don’t touch. Your shop is a show room. The benefit you have over online is that people can touch. Uphold this point of difference.
  • Credit card processing fees on products where you can cover yourself in your pricing.
  • A shop layout that discourages shopping.
  • Handling returns. Have a process and ensure your people follow this as it offers certainty and comfort.
  • Slow sales processes.
  • Signs like this is not a library.
  • Poor back office processes with customer accounts.
  • Mixed messages in signs in-store leaving shoppers unsure about offers.

What red tape, what barriers could you remove from your shop thereby making doing business with you easier?