What! You Ask- now in these economic times- people are cutting back, they are not buying….
First- when talking about upgrading, it doesn’t mean to put in every high end frame line. It means carrying sunglasses, exclusive product, designer lines, putting in accessories and or carrying a frame line that is just a little bit more expensive than what you are currently carrying.
Advantages of upgrading an office:
• Appeals to a more discriminating patient
• Patients buy on style & service, not price
• Discourages price/coupon shoppers
• Appeals to private-pay patients
• Less competition in that market
• Strong word of mouth referrals
• Strong focus on product rather than price
• More resistant to industry changes
• Increases average transaction sales leading to higher profitability
12 Tips – How to upgrade product mix:
- Establish average transaction price- if you don’t know- you can get an estimate by dividing your total dollar frame sales by number of people sold.
- Analyze your price points on the board- to see where the holes are. (see earlier post)
- Determine how much you want to increase average transaction price
- Set a goal of what you want to achieve- Do you want to go from average of $150 to $175.00
- Evaluate vendors to determine who 1.) has the product to achieve your goals 2.) Will help train staff to achieve goals.
- Place a good representation of upgraded product on board
- Merchandise product effectively
- Market product, through recalls, direct mail, email, trunk shows
- Train staff to sell through product
- Reward Staff on higher transactions
- Reorder product as it sells.
- Track sales