Stores loose money on Boxing Day sales?

[BlueWorldAquatic]

Originally Posted by MarkoD

Boxing day isn't for making money. It's for building brand awareness and brand loyalty. So that the customers that you satisfied on boxing day will come back many times over the following year

if i had a store of any kind, i'd sell everything at cost on boxing day. take as many customers as possible from the competition.

I'd hate to say that, but I totally disagree.

The prime example is Big Al's Salt special. They use it as a loss leader, but many of the customers that showed up for it did not buy anything else. I was there in the morning and I saw a lot of people that would not shop there normally any other time of the year.

We can lower prices when our suppliers give us special deals (drystock), during holiday times, as they want to reduce their stock. Livestock prices almost never fluctuate during the year.

As for a store that increases prices just before these sales to show the special markdowns, buyer beware.


As for markups, they are needed to keep all stores in business. There are too many expenses to even name, everone gets a piece of the pie before we even see the products. A good guestimate of operating costs a store needs to make is at least $500 a day (Profit) to break even per day.

I remember this time last year, a canreefer said they can bring in pepermint shrimp and sell the from his house for $2 each, I told him I'd buy 500 alone for my store. That sale never happened, I wonder why?

LFS's are completely different than any other retail outlets, other companies can close for a week and do nothing and their inventory remains the same, try that with a LFS and you walk into a room as if someone just stolen from you. Apples and oranges people

Just my opinion..

Ken - BWA

[MarkoD]

Originally Posted by Mrfish55

Having worked in retail for too many years I can honestly say you get more P.Od customers from Boxing day than you do happy ones, long lines, limited stock, cranky customers fighting to save a few bucks, like I mentioned before, the sale is just a good opportunity to unload excess Christmas stock and make room for new product. Personally I hate boxing day shopping, I will pay the extra few bucks and avoid the crowds or shop online.

I loved boxing day from a salespersons point of view. I'd sell someone a door crashed tv and give them my card. 60% of the time they come back at a later date to buy add ons.

[MarkoD]

Originally Posted by BlueWorldAquatic

I'd hate to say that, but I totally disagree.

The prime example is Big Al's Salt special. They use it as a loss leader, but many of the customers that showed up for it did not buy anything else. I was there in the morning and I saw a lot of people that would not shop there normally any other time of the year.

We can lower prices when our suppliers give us special deals (drystock), during holiday times, as they want to reduce their stock. Livestock prices almost never fluctuate during the year.

As for a store that increases prices just before these sales to show the special markdowns, buyer beware.


As for markups, they are needed to keep all stores in business. There are too many expenses to even name, everone gets a piece of the pie before we even see the products. A good guestimate of operating costs a store needs to make is at least $500 a day (Profit) to break even per day.

I remember this time last year, a canreefer said they can bring in pepermint shrimp and sell the from his house for $2 each, I told him I'd buy 500 alone for my store. That sale never happened, I wonder why?

LFS's are completely different than any other retail outlets, other companies can close for a week and do nothing and their inventory remains the same, try that with a LFS and you walk into a room as if someone just stolen from you. Apples and oranges people

Just my opinion..

Ken - BWA

exactly a year ago on boxing day. i went to big al's and bought a bucket of salt and started my first saltwater tank. i've spent thousands of dollars since then.

if not for the discounted bucket of salt, i may have never even switched to saltwater. im sure theres plenty of people that you dont know. i meet people with saltwater tanks on a weekly basis that dont know that any other saltwater store other than big als even exists in edmonton.

[BlueWorldAquatic]

Originally Posted by MarkoD

exactly a year ago on boxing day. i went to big al's and bought a bucket of salt and started my first saltwater tank. i've spent thousands of dollars since then.

if not for the discounted bucket of salt, i may have never even switched to saltwater. im sure theres plenty of people that you dont know. i meet people with saltwater tanks on a weekly basis that dont know that any other saltwater store other than big als even exists in edmonton.

That special doesn't retain customer loyalty though, they would have been bettter off selling it through the back for people that just wanted salt. Would have reduced the bottleneck at the register.

[paddyob]

Originally Posted by BlueWorldAquatic

LFS's are completely different than any other retail outlets, other companies can close for a week and do nothing and their inventory remains the same, try that with a LFS and you walk into a room as if someone just stolen from you. Apples and oranges people

Just my opinion..

Ken - BWA

Huh?

[MarkoD]

Originally Posted by BlueWorldAquatic

That special doesn't retain customer loyalty.

it gets people in the store.

i bet there are just as many people with tanks that arent on canreef than there are on canreef.

before i joined canreef i never knew about any other saltwater fish store other than big als

*edit* i agree, putting a doorcrasher at the front is retarded, the point of a door crasher is to make the customer to as far into the store as possible. not in and out without having a chance of seeing other things

[BlueWorldAquatic]

Originally Posted by paddyob

Huh?

meaning that LFS inventory need to be tended to and can die.

Electronics can be left in the warehouse

I can guarentee that there are probally like 70% that arent on canreef, we see the stunned looks when we ask them if they know about CanReef

[paddyob]

Geez. Ken and Marko.

Maybe take this PM. Almost getting a little much.

Ken as a retailer, best not to make yourself look too confrontational. Blogs can be easy to misinterpret. And this one is going that way fast.

[paddyob]

Originally Posted by BlueWorldAquatic

meaning that LFS inventory need to be tended to and can die.

Electronics can be left in the warehouse

I can guarentee that there are probally like 70% that arent on canreef, we see the stunned looks when we ask them if they know about CanReef

Oh yes. The obvious. Ha ha.

[MarkoD]

Originally Posted by BlueWorldAquatic

meaning that LFS inventory need to be tended to and can die.

Electronics can be left in the warehouse

electronics die too..... they die because a newer one is born. you cant just leave a tv on a shelf for 6 months and expect to sell it at any kind of decent price.

lets say you have an achilles tang. as long as you feed it, and keep its water nice and clean, it cant live for years before you sell it. it wont lose value because a 3D achilles tang came out