Author: Mark Fletcher

As the staff member in a newsagency was saying that, behind their back, a customer picked up two of the items and purchased them.

It frustrates me when I hear about retail business owners, or retail staff, who block the opportunity of success in their business. Their negative talk discourages them from engaging positively, and, if heard by customers, it can discourage them, too.

I saw this firsthand recently in a shop. The staff member didn’t;t think they were doing anything wrong by saying that people shopping in the shop your not like a product. The thing is, they said this without understanding the product.

I opened the product and demonstrated it to them. They loved it. It’s not what they thought it was. Their ignorance had got in the way of them finding joy in something they sell.

I wonder how much business this ignorant approach of our customers don’t like it, they won’t buy it has blocked.

Sure, there are products on any shop floor that don’t sell. You can see that in the data evidence. data matters more than opinion. The staff ember I observed was sprouting off based only on opinion … about the product I mentioned and other products.

If it was up to me I’d invite them to leave the business because their negative commentary suggested they did not like working there.

I am not saying everyone working in retail has to love everything about the business and all the products. Rather, I am saying that product knowledge is the starting point – understand what you sell. If you don’t like it, keep that to yourself. Never speak for what the customers of the business may or may not do. And if you do plan to comment about whether a product works in the business or not, make the comment based on evidence and not opinion.

Retail is more competitive than ever, especially local small business retail. Having a negative staff member facing customers is not good for the business. Such a person needs to either change or leave the business. Doing nothing about this could harm the business.

Deliveroo, a platform with around 15,000 delivery riders in Australia, has announced that the company has been put into Voluntary Administration:

There has been a flurry of Christmas product pitches and offers from suppliers to newsagents and other retailers over the last two weeks.

I think there are several reasons for this.

• Supply chain challenges have seen stock arrive late with some suppliers. They were too wary to push what they did not have. Meaning they now and limited time to push.
• Some others suppliers have over ordered on the back of strong 2021 and 2020 and have not allowed for any post-Covid (even though we are not retail post-Covid) trading situation change.
• Some are engaged in the usual end of year warehouse clearance for Boxing Day sale opportunities.
• Some are approaching new channels because of bumpiness being experienced in their traditional channels.

These and probably other reasons have combined to provide us with more product pitches now than is usual for this busy Christmas time of the year. 

It is a lot of noise in an already challenged retail situation with strong trade, staff scarcity and patchy retail conditions.

I am okay with the changes and that suppliers want to pitch what they want / need to move. What I am not okay with is the nosiness, demands and pressure of some. What they think is a good offer may not be and some suppliers don’t realise that their view may not be the view of the retailer.

A couple of suppliers have recently asked me what they can do to boost Christmas sales. I’ve said it’s too late, there is nothing to do now as most retailers have their Christmas plans well and truly set. Any pitch now needs to be out of the box compelling at a level that demands attention. I’ve said unless it is that, don’t waste retailer time as they are too busy.

Oh, and by out of the box compelling, I mean a discount so good that the retailer can sell at half price and still make better than average margin. I appreciate that’s a tall ask. But, if you want attention from retailers in the next few weeks, that is what it will take.

While Christmas sales are excellent, and Boxing Day should be goon=d in states with it, most smart retailers planned for these opportunities early this year, making current pitches very late.

Such is the labour market situation right now that businesses are hiring without an interview.

Back in the day, you’d create a shortlist of candidates, bring them in for an interview followed, usually, by a trial shift for maybe two of them.

Retailers I have spoken with recently are hiring based on a quick phone call, starting the chosen candidates at the next available shift, and hoping they have got it right.

While this change to rapid and unchecked hiring does not sound ideal, it seems to be working. I know in my own case that is what has happened. Maybe I have been lucky. I am not 100% sure though. But maybe, the old approach was unnecessarily time-consuming.

It will be interesting to see how this plays out.

Sales data from the ABS indicate good results, and they offer a benchmark against which we can be compared in our retail businesses. This chart using ABS data and from the centre for Future Work is fascinating

Click here to get to the ABS website for more comprehensive data, including an analysis of the percentage of online versus in-store.

We advertised on seek Thursday for new casual retail team members and within 24 hours has received 40 applications with 12 of those being what I’d call excellent.

I’ve not seen those stats for over a year.

So, this experience feels to me like there may be an easing of the labour shortage.

Some factors may have helped, I made it clear the pay rate was above the award, that we would provide a travel allowance and that there was an opportunity to transition to full time.

On the 12 I mentioned above, all have current retail experience, which particularly interested me, and it makes me wonder if it’s the opportunity for above the aware that gets people looking. If so, it’s the free market at work. I do think we are at a moment in time where paying above the award is what we have to do if we want to attract above average people as the award is designed as a benchmark for average, some may even say below average since it’s the minimum one can pay in a designated role.

Now, I say the job market is not easing because people are behaving differently. Three times recently we have hired people at 10% above the award plus a travel reimbursement only to have them not turn up for their shift, and not return calls.

I have several businesses and what I describe above is only occurring in retail.