This story applies to many Mom and Pop shops in Chile but I will focus on local hardware stores that exist throughout Chile.
As a 30-year veteran as a sales manager, I am always curious “why” people buy… the “why” is just as important as the “what”… The photo above is where I buy most of my hardware needs…as you can see I am not the only one.
About 4 or 5 miles down the road there is a big-box hardware store… and probably lower in price on many items. So why is this place so busy? I believe it because of expertise, convenience, inventory, and competitive pricing… in other words… VALUE! Many salesmen think that price is the driving factor for most purchases but the fact is that this is simply not true… it is value that customers are looking for.
There is a value equation going on in every customer's mind anytime that make a purchase. The equation looks something like this but is not limited to:
Convenience + quality of the product + service + expertise of the salesman + location + price + availability + warranty (etc, etc) = VALUE
The key to sales growth for a business is to understand their customer base, and this means understanding how this equation is laid out in the mind of their clientele. What is most important in the mind of their clients? Delivery? Quality? Expertise of the sales force? And once this is understood… they should ask themselves… are they delivering on these key factors without exception? If not, they are likely losing sales to the competition.
Photo by John Bankson with a Samsung Galaxy S6 Android phone.
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or at johnbankson.tumblr.com/ Life in the true deep south… South America!