California Apparel News

These are the times that can make or break a retailer.

Retailers could earn between 25 to 45 percent of their annual revenue during the few weeks between Thanksgiving and Christmas, according to retail consultant Ted Hurlbut.

Hurlbut, a principal of Hurlbut & Associates in Foxboro, Mass., typically advises his clients to start planning for the Christmas season months in advance, perhaps even the day after the season ends. However, it’s not too late for retailers to take additional measures to put more zest into an already fine-tuned business plan.

Hurlbut, other consultants and retail executives talked to California Apparel News about some of their strategies to help make their businesses blossom during winter. Their tips ranged from tweaking inventory to finding new ways of engaging customers.

Keep the winners

The main focus of December should be identifying the items that have been the top-performing products at a store and emphasizing them throughout a boutique, according to Hurlburt. “You’re going to satisfy the most customers if they know that you have the right items,” he said.

Hurlburt recommends shifting from a broad inventory to one that is narrow and deep, or one that concentrates on specific items with different variations. That’s the strategy followed by retailers such as Fred Levine, co-owner of more than 21 M. Fredric stores in Los Angeles County.

“If there is one thing retailers can do between Thanksgiving and Christmas, it is to get on the phone with vendors and stock up on items that had above-average sell-throughs for fall,” Levine said.

The logical next step, according to Hurlbut, is quickly getting rid of the items that have been underperforming. “What you may be able to move in December at 30 percent off, you may be forced to mark down 50 percent off if you wait until January,” he said.

Keep it consistent

On the other hand, an inventory shift so late in the year could confuse and perhaps alienate customers, said George Whalin, a consultant with more than 20 years’ experience consulting retail and managing stores.

Whalin said that if retailers have developed a reputation for offering a broad selection during the year, they should stick with it—otherwise they might push away customers that have been loyal.

Whalin, the president of Retail Management Consultants in San Marcos, Calif., also recommended that retailers expand their typical hours to make their businesses more convenient to visit.

Keep up the energy

Since retailers and sales staff will be working longer hours, Whalin recommended giving staff frequent breaks so they can recharge their batteries. Staff morale is important, especially when the crowded sales floor may be filled with impatient customers. Whalin recommended offering catered meals to the sales staff.

Keep in touch

Other retailers hope to add more sizzle to their holiday season by boosting their guerrilla marketing efforts. Each month, Sally Daliege, owner of fashion boutique Push Emporium in downtown Los Angeles, typically mails 2,000 to 4,000 flyers to Los Angeles loft dwellers with a coupon offering 10 percent off items at her store.

She plans to send out more than 4,000 flyers to downtown’s loft dwellers in December. She also hoped to get them to the store by producing a store party on Dec. 10 with a DJ, champagne and a trunk show by some of the labels that her store carries, such as the Los Angeles–based Tuff Gong.

Keep it exciting

Whalin recommended that promotions could serve as an entertainment for customers. One of his clients offers discounts on different items in his shop each day of the month. For example, the retailer might offer a 20 percent discount on sweaters one day of the month. The next day, the store might advertise a footwear promotion offering one pair of shoes with 50 percent off the next pair.

Keep thinking of others

He also recommended that the sales staff should get in the business of making customers think of others during the holidays. When ringing customer sales, another one of Whalin’s clients has sales staff asking, “Is there anyone else on your gift list?” The client said the line often worked.

Keep ’em coming back

The day after the holiday was just as important, according to Whalin. If a retailer had not formed a return policy, the retail consultant suggested forming a liberal one that would develop loyalty with customers.

“Most retailers can tell horror stories about return policies,” Whalin said. However, he believed it was a tiny minority. “If the item is not right, if it’s a wrong color, wrong size, they should be able to bring it back without a problem.”