Back-to-school season definitely gave retailers a welcomed sales boost in August, and companies are now looking forward to a positive fall season as well.
In particular, stores that created impressive promotional deals were able to exceed sales expectations for the quarter. Costco was able to surpass its projected earnings by offering a number of deals to its customers, and PVH Corp., which has ownership of Tommy Hilfiger and Calvin Klein, released a statement confirming that sales increased in August and the brands are doing well in terms of consumer opinion.
Forbes also reports that department stores are having the most success boosting sales when they are careful about what brands they choose to promote, because brands that establish a loyal customer base raise the overall name value of the department store.
Forbes cites Professor Barbara Kahn in identifying the four stages in an average purchasing process: “Stage one – the living stage – is awareness of a need. Stage two – the planning stage – is the creation of interest about considering brands. Stage three – the shopping stage – is the desire for the right branded product. Stage four – experiencing stage – is the purchased and repurchase stage that really leads to pride of possession and ability to popularize the brand.”
It is crucial that retailers pay attention to this psychological process and to what products are stocked and sold, constantly taking the pulse of the customers and delivering products that are in demand. Companies should never stagnate in the brands they sell.
To keep track of sales and inventory and forecast revenue it is vital that your company have a reliable point of sale system like Visual Retail Plus that can integrate several platforms and multiple terminals. If you need to make an update, it is recommended that you do so before the start of the holiday shopping season so you can have accurate records for next year’s projections and strategies.