Partner With Other Retailers to Build Traffic at Low Cost

Our new retail economy has reduced customer traffic levels
as tighter consumer credit and lower buying confidence
affects  shopping patterns. In earlier articles, I stressed
how critical it is to increase your conversion ratio, so that
sales are maintained even though fewer customers are
walking through your door.

If you create a partnership or alliance with a complimentary
retailer, a joint promotion can introduce you to customers
that your partner retailer has that you otherwise might never
encounter. Conversely, your partner retailer can meet a
portion of your customers that they may not normally
have enter their store.

A complimentary partner can be defined as one that is
non-competitive, but would have offer common interests
between your customer type and theirs. For example, if
you sell Men's clothing, consider a partner that sells men's
shoes.

You and your partner can co-ordinate a one or two week
sale promotion. Have in house signs advertising it and
hand out 25% off for example coupons in your store
for your partner's store. Customers who purchased
clothing in your store receive a 25% off coupon for
shoes in your partner's store. Conversely, customers
who purchase shoes in your partner's store can receive
a 25% off coupon for your store on clothing.  Through the
event effective cross traffic can be generated. You can
meet and sell to customers that you may not normally
have visit your store. Most importantly, your goal is
to discover new customers through cross promotion
that will become long term repeat buyers.

The great thing about Contra-Promotions is that they
cost very little to create and just a little legwork. New
customers are generated between two retailers who
partner up that have some geographical separation.
Two retailers at opposite ends of a regional shopping
mall or  one retailer in a mall and one in the downtown
street core of stores is also a great combination.

Your first successful Contra-Promotion will motivate
you to organize others with more complimentary
retailers. You can also repeat the Contra-Promotion
with the same retailer in perhaps another 6 months
as well.

Do a little legwork and tap into the entire array of
complimentary retailers and discover new customers.

Build your traffic back!

TAKE ACTION TODAY

1)  Determine a timeframe for your first
Contra-Promotion. Consider a two week period during
the Christmas Season, and definitely two weeks after
Christmas in January or February.

2) Create a list of complimentary retailers with some
geographic separation and propose terms and
timeframes.

3) Determine what extra discount your will give to
coupon bearing customers from your partner store.
This will of course be affected by how much of your
store is on sale for regular customers. A typical
coupon discount should offer an extra 10 to 25%.

Hang In There!