MERCHANDISING


5 TIPS


Bell Short examines the best ways to ensure product demonstrations translate into sales


I


n-store demo- nstrations are an excellent way to inform potential buyers and overcome


mental obstacles towards making purchases. However, there are several factors that can sway the buying decision either way. Therefore, one of the most effective ways to manage sales is to… Understand the process


from


the buyer’s perspective, a concept known in behavioural economics as bounded rationality. Simply, humans can understand and handle only so much much information at any given time. It’s a vital theory to bear in mind with in-store product demonstrations.


Limit the Number of Available Choices There’s a wise adage that states “Less is more.” It couldn’t be more true in retail. Too many choices can


easily overwhelm customers. Psychologists call it decision fatigue. Instead of five products focus on one or two in your demonstrations. Ideally, they will include a “default” selection with the basics and another one that has advanced features. For example, set up a demonstration with a barebones whizzer with two speeds along with a deluxe model that has more options with a larger container and more presets for crushing ice.


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Fulfil a Customer’s Needs Often, potential buyers enter a store with a particular purpose in mind— whether or not they are aware of what it is. Your task as a retailer is to identify their need and offer a solution. An excellent way to make this work for you is to bring an expert into your demonstration. The people of the UK like a barbecue just like anyone else. However, a lack of knowledge is often the top barrier to enjoyment. Use that fact to your advantage. – Rather than a display of grill tools, bring in a local chef to show how to use them properly, preferably with lots of helpful hints included in the demo.


It’s essential to think of the overall package with


the product and


instructions for use which translates into happy customers. It’s a fantastic time to help would-be DIYers with their projects.


Give Them a Nudge


Using the grill tools example above, you can increase the impact of your in-store demonstrations with a well- known theory, the Nudge. As the chef explains the use of the product, make sure complementary items are displayed nearby. Think of sauces to offer something different for the dinner table or an instant-read thermometer to prevent overcooked food. These are two other reasons that people cite for an unsuccessful barbecue.


Tap into the Power of Your Staff The Constellation Brands Project


Genome survey provides some compelling insights into consumer behaviour regarding wine buying that can help with your in-store demos. The report categorised wine consumers into six groups, based on their buying and shopping experience. It’s worth noting one particular category, the Overwhelmed. These are the consumers that finding choosing a wine intimidating.


It opens up an


opportunity for increased sales, whether you’re selling an everyday bottle or something to nosh on with it. The key is to… Allow your employees doing the


demos to try it for themselves. Someone talking about a wine with a reluctant buyer has more power to persuade than a sign describing the aromas and flavours. It all builds trust. An employee doesn’t stand to gain much, unlike a sales rep pushing a product. Consumers know this fact well. It also taps into the human instinct for reciprocity. You provide me with a sample, and I will buy your product as thanks.


Reward Buyers for Sampling Showing how to use a product is a powerful motivator, especially if it takes down any barriers to try something new. The demo brings several other important forces to the table.


First, it allows the potential buyer to engage with the product if they can touch it or taste it, in the case of


food or drink. Second,


it’s a chance to give


them something for free, such as a coupon, something with the product’s logo, or a recipe using the demoed product. Third,


there are several


behavioural factors that can affect buying behaviour. There is the instinct towards reciprocity. The in-store demonstration also is a way to capture anchoring. Your product gets that all- important first impression and therefore, the reference that people will have with that particular item. To reinforce the message, put displays around the store, preferably with an image of the individual who did the demo to craft your brand. Bonus Tip: Don’t Neglect the Importance of the Layout for the Demonstration


Colour psychology and the principles of design are subtle ways you can use to round out your branding and create the right mood for your product. For example, green hues denote


calm and trust, essential messages for any item, during and after the demo. Symmetry speaks of balance. Think about these influences when you set up the accompanying display near the demo area. Humans rely on rules of thumbs heuristics


or to make quick


decisions. Using these basic instincts in your in-store demonstrations is an effective way to drive sales that benefits both you and your customers.


APRIL 2020 DIY WEEK 17


FOR EFFECTIVE IN-STORE DEMONSTRATIONS


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