Do You Hear Crickets?

In my last blog I discussed the importance of not forgetting the fundamentals of store appearance and basic store marketing. While you can get buried in data and day-to-day store challenges, we must keep the basic fundamental processes in place.

One of the fundamentals is being certain you are aware of competitive fuel pricing. Our favorite store manager, Darlene, makes it a practice at her store to check competitive fuel prices the first thing each morning and then again before she heads home. She wants to be sure she is not losing business due to fuel prices. She records the competitor prices in her CMI software by 7am each morning. She doesn't have to wait to complete the rest of her paperwork. This specific information is transmitted immediately.

The fuel prices from her store (and other stores within the chain) have been sent to her company's home office and, 5 minutes later, are analyzed. This process is done again in the early afternoon. Darlene especially checks prices on Friday afternoon as one of her competitors will always drop prices a couple of pennies to get an edge on the weekend traffic.

Again, this may sound basic, but drive down any street and you will see a c-store operator who has fallen asleep at the wheel and let his competition win his customers. Don't let this be you.

If you want to hear the sound of customer chatter and cash register ka-chings being rung up in your store, remember the fundamentals that made you successful. Ignore the fundamentals and you will hear the silence of an empty store broken only by the chirping of crickets.

Are You Damaging Your Own Business?

Recent studies predict that c-store operators can expect to continue with moderate sales growth in 2009 with inside sales increasing anywhere from 3% to 5%. Sounds like a decent organic growth, right? However, given higher product and inventory carrying costs, this sales growth will equate to no real bottom line growth and, in fact, actually chew into your cash flow.

The good news: The average consumer (even in hard economic times) is not likely to give up fuel purchases, cigarettes, and beverages. Studies show consumers are more likely to give up high priced vacations or expensive meals before they give up cable TV or the lower ticket items found in the c-store.

However, do not be lulled into a false sense of security. You still have competitors down the street who are working hard to drive your customers into their stores.

When you head to your stores today, stop and take a long look at the way a customer might view the shopping experience at your properties. Apply the "Big Three" priciple to help protect the millions of dollars investment you made in your store and equipment:

• Is the store front as well lit and clean as the day you opened?
• Are the bathrooms clean?
• Is your store clerk greeting new customers in a friendly manner and repeat customers by their name?

If you fail at any of these three areas all the product placement, displays, special pricing, and yes, even a superior back office pricebook and inventory management system like CMI's PriceBook Manager won't save you. There is a distinct correlation between the "Big Three" and items purchased per transaction.

2009 promises to be a year of tremendous opportunity in our industry for those not willing to settle or get caught up the the negative news de jour. We have products to sell in this economy which consumers are most likely to buy. Don't damage your business in '09...dominate it!