Monday 11th March 2013
Best-One Tool Unearths 10% Sales Opportunity
Best-one retailers could boost sales by more than 10 per cent thanks to a new ‘Store Performance Analysis Tool’ unveiled by the symbol group.
The bespoke model shows independents exactly where they can make improvements through changes to store layout, range and the space given to key categories such as chilled and fresh foods, alcohol, grocery and food-to-go. Trials have demonstrated minimum sales uplifts of 10 per cent for those implementing the recommendations based on the analysis.
“We take a store’s trading performance by category and benchmark it against the convenience sector’s sales and gross margin averages,” says James Hall, Group Director of Symbol at Bestway. “Once all the data is in the model it shows exactly where the store is over or under trading in all its key categories. We can then plan how to correct under performance in areas that need improving.”
Using the modelling tool, Best-one Business Development Executives (BDEs) can show retailers exactly what level of sales and profitability they should be making in each area and the amount of space they should be allocating to each category. For retailers thinking about investing in their store, the tool also includes a payback calculator to show how quickly their investment will be repaid if they implement the recommendations based on the analysis.
According to Hall there are hundreds of examples where the tool has shown retailers the positive effect that even small changes can make to sales and profitability.
“In 2013, more than ever, independents must ensure they have the right mix so that every square foot works as hard as it can for them,” he adds. “Sales statistics show that in many categories 80 per cent of sales come from 20 per cent of the range, so accurate space planning and ranging is critical. The prize is to grow sales by targeting new shoppers by ensuring retailers are meeting their needs better for little and often, top-up replenishment.”
The tool is regularly reviewed to ensure the space allocation recommendations reflect shopper trends. Best-one BDEs can also go online with their tablet whilst in store, arrange for a merchandiser visit, organise orders online and even introduce new local suppliers.