Know-How Exchange : Strategy

Oh, we also have a monthly e-newsletter that now has just under 300 subscribers and I get a 35% open rate, and I publish a 'Movie Of The Month' column in our small local newspaper (goes out to 2,500 homes).

Hi there Susan, thanks for your suggestions.

Wheeling and dealing with the retailers is something I've just started to work on although not by using my add on products - that's a good idea and worth thinking about, ta.

The reviews are a great idea thanks. This is something I can easily bring into my next newsletter. I have control of parts of my website so I can even publish their reviews on there. Thanks :-)

Wayde, excellent points thank you.

I would love it if I can get some affordable suggestions. However, if I feel something could really work, even if it does cost more than I have available, I'd do it.

Some of the things I've done have cost very little and have got a lot of attention such as a colouring competition (cost me $20 to print the pictures and a couple of promo posters and I gave $100 worth of free rentals to the winners). Halloween cost a total of $500 but got us page 2 in the paper 1/3pg photo and decent caption.

It is this 'awareness' I want to keep building on, but I need to make people come and spend too. I know that the more they see of us, the more they will think oi us first. Maybe I just need a little more impact with my attention seeking.

I do pay quite a lot for the website database facility and I'm not getting many people using the site yet so that is something that isn't getting good ROI - but maybe I just haven't pushed it enough...

The business has gradually risen. I have many more members than I estimated in my Bplan, but in the past month, business has noticeably slowed. I know that part of that is because the weather is nicer (sunny not rainy like I need!), but I also know for a fact that a few customers have stopped in at the competitor's store on their way to the city because they're charging less. I guess some people will always seek the better bargain.

I love your idea of polling the customers. I do have quite a lot of them that respond to my e-mail newsletters and I could prepare a short survey and see what they need. Thanks.

Regarding the pizza idea, it's great, but no pizza companies deliver out this far and they won't budge on that decision either (grrr!). However, I'll keep that in mind because this area is growing so quickly I'm sure they'll change their minds at some stage!

I'm really pleased that you see I'm making an effort. I do have some good ideas, and they haven't run dry yet. I guess I just feel like I need some fresh thoughts because it's a little difficult pitching to yourself on the drive home all the time!

Thank you both so much.

One thing you can do that will keep customers loyal and generate some positive word-of-mouth buzz is "knock-your-socks-off" service and individualized attention.

When a customer walks in the door, do you and your staff greet them by name? Do you ask them how they liked the last movie they rented (by name)? Would they recommend it to others? Why/why not?

The more you can treat your customers like genuine friends, the more they'll appreciate everything else you do. And that will give you a level of immunity from price competition that you could never get by cutting your price.

This doesn't have to be the only thing you do, but without it the other activities are not likely to be sufficient, and with it everything will work better.

Hi there and thank you for the new posts.

Well, being on here and talking with you all has given me some great new ideas. Oooh I love pressure and hard work!

Firstly, I am preparing a 'Local Loyalty Discount' scheme to try and get other businesses in my area to get on board with. I just need to nut out how I'm going to do it. Something along the lines of spend $?? and get $? off your next purchase in any participating store...?

I'm getting one of my staff to research retirement villages and disabled associations/caregiving businesses and will offer weekly DVD deliverys to these people as they often wouldn't travel out of home/hospital.

On a smaller scale I will contact theatre companies and drama/english departments at local schools. I have a great range of Arthouse and Musical films which should appeal to these people. I will find out what titles are in the school's curriculum for next year and make sure I have enough in stock.

I have recently (last week) changed my pricing to include some great multi-renter deals which I offer every day. I had some big signs printed yesterday and have hung them up in my front window and in store - so hopefully those will help.

In the time I've been typing this, I've signed up three new members, so that's great!

As for the customer service, yes, we pride ourselves on great customer service. Because we're small we do know many of our regular members so we are very personal.

We market ourselves as the store with the 'BEST' selection in town, not the biggest. Because we have a small store (so the playground is out, but that would be great!). We have Bollywood and Arthouse so push those genres quite a bit. I do a lot of research before I buy titles to make sure that they will appeal to my market and they have great reviews.

Thanks so much everyone, you are really helpful!

Layla,

Like you, I love a challenge and I also love a "project." I was reading what you have accomplished with the feedback you have received and I have to commend you on your creativity to take the "generic" advice here and turning it into something that works in your particular situation. Great work! For instance, I liked your spin on adding delivery! I also like the discounting for multiple rentals at once.

One thing that I've noticed a Blockbuster Video that piques my interest is they have certain new selections are "guaranteed" to be in stock or you get it free. I always walk by to see if there's a copy available whether I really want that movie or not. Or conversely, I would feel comfort at going to Blockbuster first if I am looking for a particular video knowing it's guaranteed to to be there. Might be an idea.

More importantly, since you are a ways out from everything - how do the locals feel about being out away from things? Are they maybe resentful that "everything" is in the "big city" near by? Is there a little "us versus them" psychology there? Do they feel, perhaps, that they are a community apart and feel a kinship to the people and businesses out there with them? If so, you can play on that. As Dr. Goodman mentions, give them personalized service - make them feel "at home." The way to do that is by "visiting" them personally. Go door to door and introduce yourself, have coffee with them, be a neighbor. Do things that make you NOT a video retail store and make you a neighbor. Make sure your employees get to know people on a first name basis. Get birthdays and watch for baby births and weddings. Don't send a sterile coupon postcard - send a personalized note. Send out the list of new "buy" videos to the neighborhood to see what they want and then publish the results and that you followed the recommendations. You're not a corporation, chain, or city dweller - you're a neighbor.

I know these are wide-eyed ramblings...but hopefully, we can brainstorm and come up with ideas that fit.

Wayde

Hi there Wayde

Thanks a lot for those suggestions.

The guaranteed titles are a very good idea, and the Blockbuster in town here does that. My problem is, my store is just too small to purchase too many copies of one title. I am currently looking into moving to a larger space (if I can find a pizza business to share the lease) so this is something I could offer if that comes about.

You've hit the nail on the head with your 'community apart' theory. The people out here certainly do feel as though they are their own little town and 'don't need' what the city has to offer - although they travel to town daily for work etc.

I love the idea of asking them what movies they want me to buy! That's really great.

One way I am trying to make them feel as though I'm their neighbour, is by organising a Blues Festival in the Village. We have a wonderful cafe with a courtyard which is open to the street, and I'm working with the cafe owner to set this summer festival up. I haven't got long, it's already coming into summer here.

The other thing I'm doing is designing a visitor information website which has helpful information not only for tourists, but for locals - with a business directory and businesses special deals advertised. I'm hoping that with my involvement in that and the festival, people will know I'm all for the growth of the community as a whole, not just my business which in turn will make them want to shop with me anyway! haha

So thanks again, it's so great to have suggestions given to me and to bounce my own thoughts off others.

:-)

'morning, Layla. Happy Monday.

I have a question for you: Are you a "local" or did you just move into the community? If you are a local - this is something you can exploit. You are "one of them" - for real. If you are not, all the organizing and improving for the community you are thinking about and doing could result in suspicion and resentment. If you are a local, then the organizing of events and improvements might be overlooked. I can't remember ever noticing who organizing events in town (I live in a 30,000 person small town community with deep local roots - in which I'm not native). And as for "sponsorships" - generally, I think of this as an "advertising opportunity" and don't think of it as "a community service." But, look. I'm just one person and last I looked at the globe, I'm about 12,000 miles from New Zealand. That doesn't make my opinion worth much. I'm sure you're doing this, but make sure you ask some of the community members (ones that aren't related to you or are your friends). First question might be concerning how many of them rent videos. Then, ask them if they know of your store. Third, if they know about it and rent videos, what percentage of their videos do they rent from you. If it's less than 100% - why? Then, what's important to them and how you be their video rental place of choice - e.g. serve 100% of their video needs. This line of questioning would net you a couple things. First, it would identify the problem better - do people not rent videos at all, do they not know your store, do they not rent from you and why, and what you could do to be their store of choice. Once you have this data, you are in a better choice to focus your resources on fixing the problem in a consolidated effort. You will also have a benchmark to measure the effect of your efforts against.

Wayde