You have a lot of stocks. Right? Yes, Lots of it, including some which have not sold for a few years now..?
Can anybody say that they don’t have the stocks?
Who can say that? Yes, make a guess.
Make another guess.
Who says that?
When does he say that?
Your favorite super salesperson, right ?
What will be their answer?
Sir stock nahi hain.
We have an average of 100 Kg of stock and we cannot convert one customer?
Imagine the situation.
A decent store will have much higher stock than this.
What does the lady want?
One Necklace or One Bangle of some 30 gm Vs a 100 kg ie 100*1000 = 1,00,000 grams of stocks with us.
What is the total experience of the whole showroom?
Some 500 Years.
If you have 50 people with 10 years of experience, that is 500 years of experience in the store.
The customer wants a daily wear bangle.
And yet, with all our 100 Kg of stock with 500 years of experience, you can’t sell one bangle to the lady.
Something wrong with us?
If you really think, finally she is asking for what?
And how much stock do you have?
If you convert 100 kg in grams, how much will it be?
She has so many choices.
And yet, we struggle.
In my experience, 66% is the conversion rate in our country.
100 people come to the store, 66 of them buy and go.
How much of your stock is over 6-month-old in Gold Jewellery?
33% of your gold stock is over 6-month-old (I am being conservative)
66% of customers only buy, that means 33% of customers are going back, 66% of stock is less than 6 months old, 33% of that stock is waste.
And, you got 33% of customers also going outside. Non Purchasers..
What am I supposed to do as an owner of the business?
If I can reduce the dead inventory to less than 33%, then chances are that 66% of conversions will go up.
That’s all is your job, and our job is to help you do..
Whoever is coming to your store, please increase the conversion rate to 66% to 75-80%.
In my experience,
Even 5% is improvement is definitely possible?
Or that is also difficult?
If you make improvement, I think money is sitting there.
That’s the point.
You should not be in love with jewellery.
This is one of the major challenge of family jewellers.
For me, if I have the jewellery, it has to sell.
Best of luck in growing your business now and in the future..
Let me know in the comment section, what are your thoughts on this.
If you have any question, please call us on 9036036524 or 9632081405.