The industry is approaching a record for filings this year, and others are still vulnerable as the economy, pandemic and retail evolution take their toll. "I don't think that nostalgia is going to support the industry," Herbert said. The store manager reports to regional or corporate managers, or an owner, and may have to follow broad strategies or directives from them. An industry, sparked by hobbyists and then led by mom and pop stores at first, was built out of pretty much nothing over the course of a few years, as Josh Greenberg chronicled in the book "From Betamax to Blockbuster.". Empower your people to go above and beyond with a flexible platform designed to match the needs of your team — and adapt as those needs change. How it handles returns and refunds. If a product does sell well, the store increase its inventory. In 2019, a franchise Blockbuster in Bend, Oregon, became the last store under that banner in the world. If the store doesn’t have what the customer wants, how does the store handle that? Will the e-commerce boom be a bust this season? The retailer offered curbside service but it was slow to take hold and the company abandoned the effort. Retail Store Operations. Retail Operations Definition. Operations includes many aspects, such as store design, display placement, customer service, money and credit handling, shoplifting prevention, premises maintenance, staff management, inventory optimization, and dealing with the entire supply chain that leads to having products in the store. The store must offer a positive ambience to the customers for them to enjoy their shopping and leave with a smile. All Rights Reserved Smartsheet Inc. What Is Meant by Retail Store Operations? "The first week it was like, 'Well, okay, we're going to be quarantined, it might be kind of fun. As for Family Video, it serves many markets that lack the broadband access and the overriding inclination to switch to purely digital forms of watching. Consumers driven to stay home spent more time on their devices to engage with the outside world. at the University of Michigan's film, television and media department. These stores will not just have products on a shelf with a cashier. Employees assigned to open should arrive early to prepare the store for its opening to the public. ... Sign in to save Retail Operations Supervisor at Staples Stores. 3. Is loyalty rewarded, such as through loyalty programs? Be lean. Bob Clary is Director of Marketing for DevelopIntelligence, which creates, delivers and manages highly customized learning solutions. For example, Amazon has been rolling out pop-up shops in U.S. malls to give itself a physical presence to pair with its first permanent brick-and-mortar store in Seattle. The customer isn't always right, but they always come first. Overnight, Walmart, Best Buy and other retailers became deep-pocketed competitors to the rental chains. Here are their tips: Bob Clary: “By blurring the lines between the two. Think Amazon’s new automated retail grocery store, Amazon Go, for other categories.”, Hyun Lee: “I believe there will be two major groups. Here are his tips: 2. Charlie Hoogland used revenue from video rental to buy up commercial real estate to put the company's stores on — a strategy that the company has long credited with its enduring success. Pop-up stores - also called pop-up retailing, pop-up shops, and flash retailing - are temporary sales spaces often designed to take advantage of a trend. For the past decade, Family Video didn't get the memo about the death of the video store. The majority of the products will be listed online but the store will be the place where you can interact with other customers, employees, and learn more about the brand.”, Kate Szirmay: “In a perfect world, the store of the future would have the convenience and tech of online shopping but still have the knowledge and feeling of a personal buying experience. Andy Hill is CEO of Startle International, which provides background music and other digital services to retail and hospitality venues to improve their customer experiences and increase spend. Businesses have even emerged to help merchants find temporary space. 2. "Our biggest selling point to our communities is that we're the first ones to have these new movies. It's why we do Facebook Live - it's a driving force toward our crystal ball. It is so important that they [employees] are well versed on all products offered. When I first found them, I was like, 'Wow.' We consult via Skype, email you and split screen with you to review your CAD rendering, mail you your 3D printed prototype, and mail or hand-deliver your final product. Get retail news like this in your inbox daily. Positive, personalized customer service can help the little guys compete against the big guys, and it can help brick-and-mortar stores compete against online operations. Topics covered: retail tech, e-commerce, in-store operations, marketing, and more. They simply don't go to the malls anymore for either their buying or shopping needs. Your POS system should have a place to capture the customer’s email. Much of a store’s success depends on customer service - how it treats its customers. Employees should begin preparing at a designated time for the store to close. For us in custom jewelry that means video chat and 3D printing. Let's pick up three or four movies and popcorn,'" Dye said. Hyun Lee is Growth Manager at Qminder, a queue management system that improves customer experiences at physical locations. Stores need to carefully define, implement, and monitor these areas of their operations, as they directly impact the bottom line. This is the fourth area of retail operations: inventory management. While nostalgia for the video store era — a time when families crowded into friendly, bright, cinema-themed stores to pick out entertainment for the weekend — has helped boost the last Blockbuster, it might not prove enough to support the country's last chain of video stores. 2. The store also influences the perception that customers form in their minds about the store, the products, services and staff. Add to all the other consumer trends accelerated by COVID-19 the shift to video streaming, which hurt the chain this year. With the rise of e-commerce and technology, the store of future may come sooner than we think. Consider using 3PL (third-party logistics) partners for distribution if you are expanding online. When the last customers leave, signal that you’re closed with appropriate signage. (Retail Dive was among the publications Dye reached out to.) You also might lock the doors to new customers at a particular time. How it handles price markdowns and sales. Many retail professionals say the key to success - in stores or online - lies in superior customer service, both today and in the future. By the late 2010s, the video store was largely seen as a relic (at least in areas of the country without a nearby Family Video). By linking this to the online platform, retailers can showcase more choice that perhaps isn't available in that particular store, or allow customers to place instant orders if something is out of stock in the store.”. Jason Parks, Co-Founder of DermWarehouse, a dermatologist-backed skin care and beauty e-commerce website that sells its products throughout the United States, suggests these tips: 1. Over the years, property ownership has allowed the company to shrink stores to boost their productivity and both lease out the extra space and put their own businesses adjacent to Family Video. Periodically do a bigger cleaning, such as a spring cleaning. The retail field has become increasingly sophisticated with data and tech advances. Since that’s a lot of ground to cover, we’re going to focus on process improvements and optimizations that can make and deliver the biggest cost and time savings as well as revenue increases. Store audits may seem like a dated way to track your operations, but as your sales channels grow and become more complex, it’s important to stay on top of the goings-on in your retail business. Job descriptions should be clear and regularly updated to reflect responsibilities. Before the chain temporarily shuttered in March along with scores of other retailers, Family Video ironically had one of its best weekends in years. They can help you scale quickly, and you can always bring things back in-house at a later date. Retail hasn’t been easy in recent years. Clean, sweep, or vacuum your store floors at closing time. Route products in an efficient manner to the proper location in the store, either to the shelves, storage, or holding area. Chain stores account for an important segment of retailing operations in the Americas, western Europe, and Japan. Our third retail store operations process improvement is taking your point of sale online. Sometimes a store may choose to only give a credit on a credit card, or store credit. These functions fall under administration, the fifth major area of operations. How are customers greeted when they enter the store? Do home delivery of large items on a certain schedule. We sell them [for rental] the day they come out, on Tuesdays, for $3.". If you're not having fun, you're not doing it right. The procedure should define in detail how important matters like this are carried out. Adjust the air conditioning or heat for customer comfort. . The other side is stores with great customer experiences. The Smartsheet platform makes it easy to plan, capture, manage, and report on work from anywhere, helping your team be more effective and get more done. Christmas Elves: a holiday store that grew 250% in three years The pandemic also disrupted movie production and title releases, from Wonder Woman to the new Bill and Ted movie. Find Retail Store Latest News, Videos & Pictures on Retail Store and see latest updates, news, information from NDTV.COM. The following questions address elements of customer service: Returns and refunds are another vital area of customer service. When you have an outstanding employee, have them create their own procedures. Customers may not always be right, but they’re always the customer, representing a potential sale and potential review. Just leaving a notebook by the checkout area promoting upcoming discounts can also help to capture emails. This includes how and when to take cash to the back office, and how to reconcile cash and credit against sales. Tisher said in an interview that even amid the pandemic rentals have held steady. "They're privately owned and so they are not answerable to shareholders," said Daniel Herbert, an associate professor at the University of Michigan's film, television and media department. There has to be active, personal service involved when anyone walks in the venue.”, Jason Parks: “The store of the future is going to just have a small dosage of your overall inventory in the actual store. It's all hands on deck. "Honestly, being closed for 60 days for COVID did not help, but the slowdown in Hollywood I would say was the biggest thing," Dye said. She suggests: 1. They've done a really good job for a long time, and I wouldn't count them out in the short term. There’s a lot of hype about the Internet of Things. Whether your current focus is on improving the supply chain, store layout, inventory management or pricing (including discounts and sales), it’s vital that your retail operations are in ship shape, to help keep your business functioning successfully and efficiently.. With luck, the next big change will be virtual reality shopping where the customer can visit their favorite store, view the products, interact with the staff, make a purchase, but never leave their chair. Still, The pandemic also disrupted movie production and title releases, from, Wonder Woman to the new Bill and Ted movie, . With pop-ups, retailers can move more quickly and take advantage of an opportunity without the full weight of a permanent brick-and-mortar store. Explore more on Retail Store. It all starts with one store and a drive to be the best. That was the biggest closing we've ever done," said Derek Dye, senior brand manager at Highland Ventures, which owns Family Video. You may remove cash from the premises upon closing for security. "There was a five-month gap when we were just getting B-movie after B-movie, straight-to-DVD type stuff. But for Main Street retailers, the store of the future is going to look more like the store of the past, not necessarily the real past but the nostalgic past that people long for. It may sound simple, but the quirks of supply and demand can make inventory management difficult. With each change in the retail operations landscapes, new opportunities arise. The technology also exists to track the digital customer flow and online shopping behavior. In 2018, it had more stores open than the Sears brand or Barnes & Noble. Retailers need to ensure they are actively engaging the customers to retain interest and provide a memorable experience,” he says. This article sheds some light on the purpose, scope and best practices of store execution. These functions fall under inventory management: Managing the supply chain: Operations people manage relationships with suppliers, distributors and other vendors, and keep products coming to the store for retail sale to customers. Retail examples of homeware stores and gift shops. Uniforms: I am a huge believer in providing sales staff with some kind of uniform or distinctive identifying clothing item that clearly defines them as people there to help. As the video rental model became a dominant channel for at-home movie watching, trips to the video store became a way of life for Americans. on Basically overnight, district managers for the video chain became real estate prospectors to find renters for the company property the closed stores sat on. "Our biggest selling point to our communities is that we're the first ones to have these new movies. Actual human interaction can never be replaced and that is the advantage that a store owner has.”. Store owners need to be on the floor, greeting guests and modeling the customer service that they expect from their sales staff. Promptly clean up any spills or breakage. Amazon is of course the biggest beneficiary of that trend. The best employees demonstrate a sense of drive and responsibility. When you turn on the lights, replace any burned-out ones promptly. Compensation should be spelled out, as well as determine when and how payment is made in the case of bonuses, such as sales incentives. His Blockbuster has seen a surge of tourist interest, even in the COVID-19 era. In the best-run stores, everything is carefully considered, planned, and executed. Blockbuster also went bust that year and today has but. Retail operations -- where goods are sold to the public -- require a range of specialized professionals to operate efficiently. Many larger retailers have programs for management trainees. Email or phone. Return damaged goods according to standard operating procedures. Subscribe to Retail Dive to get the must-read news & insights in your inbox. She advises: 1. As Tisher said on hearing of the chain's go-forward footprint, "Wow, that's still a lot. We asked our experts, How do you tear down the walls between physical stores and online? Pamela Danziger is president of Unity Marketing and author of the book Shops that POP! Amazon prepped for both online and offline stores, and they are rolling in the products fast. a buying experience, they are most likely today to go online to make their purchases. 7 Steps to Extraordinary Retail Success. “If you just have a physical store and not an online presence, you can distinguish yourself by having amazing customer service. The ones that truly cater to customers' needs. Employee work hours should be accounted for through a system, especially with variable part-time work or overtime. Is it willing to say who else might have the item? We offer the same products and services, but with the added convenience of being mobile. ", "It's a little anachronistic," Herbert said of the #SaveTheVideoStore push. Back-office cash procedures are usually a bigger-picture accounting function, making sure the store is on track and carrying out its internal controls to prevent loss and pilferage. The store's owner, Ken Tisher, knows something about video store nostalgia. ... An existential moment for the last video store … The retail industry is not immune. "Getting thrust into it could be better for the company in the long run," he said. "We need to be honest with our customers that we will not be here in the year 2021, 2022 if we don't intervene now.". Our phrase is when you shop with us online, we will do everything except hand you a cup of coffee.”, Pamela Danziger: “Regarding the walls between online and in-store, I think the main message is that when customers want to buy something, i.e. But when customers want a shopping experience, they are attracted to specialty independents with a different point of view and a grounding in their local communities. Check cash levels. Some stores are both. Customer service training is also a must. All keys go to the person in charge of that. Help customers in a way that befits the brand (this can be spelled out in written procedures). So, retail operations can encompass everything about how a store operates each day. The decision to own most of their real estate footprint also differentiated Family Video from Blockbuster and other giants, whose stores likely turned unprofitable more quickly because of their lease costs. Family Video traces its company history back to 1946, when Clarence Hoogland founded the distribution business Midstates Appliance & Supply Company, according to the company. Advertising and promotion often needs to take place quickly, since there might not be time for a slow build of business. Video stores still have something of value to offer — customer service, human (as opposed to algorithmic) recommendations, product discovery much easier on the eyes and brain than a screen, a consistent and comprehensive title library that doesn't require multiple streaming subscriptions. "Here's the deal: We cannot be around all that long if we don't get help from our loyal customers and people on the outside.". By August, months after reopening, the company announced a round of more than 200 permanent closures followed by another round that would leave it with about 250 stores, down from 510 at the start of the year. Jump-start new projects and processes with our pre-built sets of templates, add-ons, and services. Associate’s degree in retail management or similar fields such as merchandising or marketing. Family Video faces a demographic challenge that could ultimately pose its biggest existential test. Report on key metrics and get  real-time visibility into work as it happens with roll-up reports, dashboards, and automated workflows built to keep your team connected and informed. It might seem daunting, but here are some steps you can take to open your business up to the world wide web: 1. Capture email addresses from all of your customers at your storefront location. The next six sections provide a more detailed overview of responsibilities that may fall under the field of retail store operations: Design and aesthetics are a major part of the shopping experience. While the Amazons and Netflixes of the world are producing their own content, much of it is television serials that lend themselves to binge-watching rather than the small-budget indie feature film that video stores helped support by providing a ready market, according to Herbert. Hollywood Video was bought by Movie Gallery and both were forced to liquidate in bankruptcy in 2010. Start with choosing the store’s location and designing the store. But Tisher's Blockbuster is just one store. In 2019, a franchise Blockbuster in Bend, Oregon, became the last store under that banner in the world. Employees should be interviewed, hired, onboarded, and trained in a prescribed manner. Prepare the registers or POS system for the day. Also helping to ensure Family Video's sustainability was its family ownership. I think we’re headed toward an in-store experience that will focus on customizing the experience for each shopper, possibly minimizing human help. Design is both art and science, often using data to help make choices, such as product display and placement. Often, labour-planning tools are not user friendly or too theoretical. Family Video has also based much of its social media marketing around the hashtag and is pushing out branded merchandise, essentially to remind customers that it still exists — but maybe not for long if people don't keep shopping with them. In 1978, after the company was stuck with a large inventory surplus of videos, the family started one of the first video rental stores: the Video Movie Club of Springfield, which later rebranded as Family Video. We also interview seven experts who give their tips, including on how to break down the walls between physical stores and online operations. By the 2000s, the industry was already in decline, owing in part to the decision by studios to release DVDs at prices consumers could afford right off the bat. Count the cash and reconcile it and credit payments with sales. 3 Ways to Capture Gifting Revenue & Deliver a Better Holiday Customer Experience, How to Deliver a Contactless Holiday Experience, Developments and Trends in Holiday Shopping, TACORI Names Proven Growth Strategist + Top Brand Exec to New Chief Commercial Officer Role. Hiring, firing, training, and managing of employees, Oversight of inventory and loss prevention, Oversight of all internal controls, such as for cash handling. Announce to customers that you’re closing soon. Retail futurist Doug Stephens offers his predictions for e-commerce, ... retail tech, e-commerce, in-store operations, marketing, and more. Developing an effective store operations strategy & imparting the best customer service are the foremost priority of a retail manager or even the CEO of a retail organization. At smaller stores, nearly every position may fall under operations. You don't miss out if you don't come to the store. With intelligent digital signage, the brick-and-mortar buying experience will be more enjoyable and interactive, particularly with the use of 3D and AI. When teams have clarity into the work getting done, there’s no telling how much more they can accomplish in the same amount of time. Retail hasn’t been easy in recent years. We told them to go paint your stores, put up poster board, change your sign, whatever you've got to do. These procedures can be paired with checklists to ensure they are being carried out properly, by the correct people at the correct time. Bring things back in-house at a designated time for the past decade, Family Video store functioning well day... Amazing customer service about Family, open up! ) also helping to ensure they are not to... Preparation for opening the next day to have these new movies customers in a moment. ) decide as of! Inspection by someone responsible for keeping daily operations 500 stores and loyalty with customers when handles! 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