Isn’t it Amazon’s fault?
Well, yes, Amazon is a leading factor in the demise of many retailers. But, believe it or not, it’s far from the only factor. And in many cases, it may not even be the primary factor.
So if you think you’re in trouble because of the unstoppable behemoth that Amazon is, you don’t necessarily need to fret. It’s easy to point to Amazon. But if you analyze your own company, you likely have solid opportunity to remain competitive for decades to come.
Here’s what to look for:
1. Tap New Markets
We won’t name names, but a massive athletic wear brand has poor domestic sales because they’re not serving the booming athleisure market. “Athleisure” refers to athletic wear suitable for both exercise and everyday wear.
Lululemon has focused in on this market quite well. And they’re reaping the rewards.
Do you have any similar opportunities?
2. Continue the Transition to Online Sales
Every chain certainly recognizes this trend, which will only continue to grow across the globe. However, many aren’t changing their business models to match.
Do you have a team or entire department solely dedicated to increasing online sales? Have you hired the sharpest consultants and firms to help you make the transition faster and with fewer costly mistakes?
You can visit the websites of many leading retailers…and find them making even basic mistakes that cost them droves of sales (like a slow or awkward website experience).
3. Appeal to Millennials and Generation Z
Globally and domestically, Millennials and Generation Z are the largest generations in terms of sheer numbers. Some brands designed to appeal to older generations don’t have many (or any) product lines targeted at these generations.
Who primarily buys your product? Do you have product lines focused on these younger, up-and-coming generations with serious spending power?
Other brands have full awareness of this issue, yet fail to adapt. But they’ve done so only to cause themselves more pain.
4. Create Original Products the Market Wants
Easier said than done, this is the surest way to retail success. For some retailers who’ve dominated markets for years, it’s hard to accept this fact.
Think of Crocs, for example. Remember when practically everyone had a pair of these casual shoes?
Though they’ve been hurting, they’re trying to inject fresh life into their brand with new lines of shoes. Hopefully, they’ve tested these with the market and confirmed their value.
How can you do the same?
Competing with Amazon directly is impossible. But you can survive and thrive here in 2018 and beyond with the right tactics.