Downtown Retailers Must Take Responsibility for Their Own Success

What sets successful downtown retailers apart from their struggling counterparts? According to Philip Jones, a retail consultant from Canada, it is their tendency to accept responsibility for their own futures, adjust intelligently and creatively to changing circumstances, and develop imaginative and innovative ideas. It is these retailers who are most successful in developing effective, cooperative approaches to rejuvenating the retail component of their downtowns, and are the most adept at retaining current customers and attracting new ones.

Jones notes that the proliferation of big box retailers in Canada over the past few years has forced many downtown retailers out of business and others are barely hanging on. Large chain stores, like WalMart, have provided a wake-up call to smaller downtown store owners. These big boxes "challenge retail communities and retail merchants to raise their standards and refocus their efforts to satisfy the retail customer," he says.

Basic Rules

• Maintain a clear and consistent vision

Individual retail stores should identify the niche market they're going after, look for something different from what the big box stores offer and think about how they want to position themselves for the future.

• Focus on the consumer

Retailers should look at downtown through the eyes of their customers. They should also offer good, personalized service and a distinct product assortment; they may also offer educational classes in a specific area.

• Become a better competitor

Keep an eye on other downtowns that are doing well, and on the big box retailers and malls that are successfully bringing in customers. Retailers can also work collectively on events like street fairs, retail sales and promotion of downtown's uniqueness. Remember, the downtown's uniqueness is the advantage downtown retailers have over malls and big box stores.

• Control costs

Don't waste money on poorly made print advertisements that will be ineffective. It is wiser to spend money on things that are going to generate revenue, such as having quality merchandise, good window displays, and employing the best staff.

• Maintain high standards

Store owners should strive to maintain a quality operation. This can be done through façade improvements, proper maintenance of streets, and selling floors that are kept freshly painted, clean and attractive.

• Think innovatively

Retailers should make a cooperative effort to improve downtown. Bring people together to review the problems facing downtown and to discuss the opportunities available. Don't dismiss any suggestion; be open to all possibilities.

• Invest in training

Although retailers should provide proper training for their employees, one of the biggest obstacles facing downtown retailers is having poorly-trained managers and store owners. Downtown associations can help by providing the training necessary to ensure that these individuals know how to run their business.

• Resolve staff performance problems

Remember that unpleasant employees can antagonize customers. If a visitor comes to town and is treated badly in one business, he won't remember the name of the business, but he will remember the name of the town. It's the reputation of the town that suffers.

• Invest in technology

Most stores need some type of computerized management system. It's not enough to tell a customer "an item is out of stock".

• Invest in facilities

The fixtures, window displays, etc., need not be expensive, but they should reflect a quality image.

Big box retailers, with their lower price points and large selection, aren't always to blame when smaller downtown stores flounder. "These stores don't kill downtown retailers. The retailers fail because of their own ineffective actions or their own inaction," says Jones.

Don't let inaction or ineffective actions take place in your downtown!

For more information:

CaRDI

Center for Community Economic Development
University of Wisconsin - Extension

New York State Main Street Alliance

National Main Street Center

Heritage Ohio & Downtown Ohio