Tout Limitless Supplies When Limited Variety

A challenge for the small-footprint retail store is persuading shoppers they’ll be able to find within the store the best items for their specifications. Of necessity, a constrained space usually means a more limited variety within each item category than is found in a larger store. A set of studies at HEC-Paris and Oklahoma State University did show how limited variety results in negative supplier evaluations. The researchers attribute this to shopper’s concerns about losing personal control in obtaining a desirable outcome.
     The researchers also find that a retailer can reduce the concerns by highlighting the abundance of those items which are carried in the store. Messages proved effective in the studies were of the format “An abundant supply of each to satisfy all your needs” and “large quantities in stock.” The messages went beyond claiming a moderate supply level. They emphasized an extremely plentiful supply. Perceptions of abundance nourished a sense of personal control which compensated in large part for the loss due to perceptions of limited variety. Shoppers realized they could purchase as many boxes as they desired of each chosen item.
     However, honoring the promise to the shopper of virtually limitless supplies of every item in the store carries its own challenges. A retail outlet might be smaller rather than larger because the owner has limited financial resources. Maintaining abundant inventory consumes money.
     An approach to this dilemma is to position your store as a gnategory killer. The huge retail store can be a category killer. People know that they’ve a high chance of finding whatever brand and model they’re seeking if they come there. The small retail store can be a gnategory killer by focusing on a highly specific niche like sunglasses, batteries, or soda pop.
     A related approach, one described by the researchers, is to tell your shoppers that what you’re offering them has been customized to their characteristics. The shoppers can then enjoy a chief benefit of a small variety to select from—quicker decisions. In one of the studies, participants were told that a pizza shop curated the pizza alternatives to the tastes of the local population, so carried only options catering to the preferences of people in their community. For these participants, reported likelihood of buying a pizza from that shop was the same whether or not the shopper had been told there was an abundant supply of the pizza ingredients.

Successfully influence the most prosperous & most loyal consumer age group. For the specific strategies & tactics you need, click here.

Click for more…

Give Shoppers Variety for Control 

Control Out-of-Stock Irritation 

Expand Horizons in Small Retail Spaces 

Make a Splash with Comprehensive Selection