15 Ways to Improve Sell Through in the Retail Business

A low sell-through rate is a nightmare for fashion brands and retailers. Above 50% sell-through rate is considered good. Surprisingly, this is the second-lowest sell-through rate in the fashion industry after cosmetics at a 35% sell-through rate. The apparel industry has a great potential to increase this and bring down the cost to almost half of what it is being sold today. 15 ways to improve sell through in the retail business are strategic solutions business owners and managers can opt for.

 

1. Unique and Feasible Designs

Designs are keys for the fashion industry. Old design products are boring and the main reason for customers get distracted. Offering smart and unique designs that are feasible to wear by regular customers is one of the best ways to achieve high sales.  

 

2. Smaller Order Qty

Big order quantity often leads to dead stock. If you look at the past data then you may find that smaller order quantity orders are better performers with higher sell-through. Many premium brands sell smaller order quantities to achieve high sell-through and this is the secret of success in the retail business. 

 

3. Decide Based on Past Performance

Past performances play important role in forecasting and planning sales. Today, we have tools like Data Analytics, Machine Learning, and Artificial Intelligence. It is the key to plan sales based on the previous year’s sales data. There is no point in ordering 100% if the actual sale was just 60% or lesser. Data analytics can make predictions based on past performance, present scenario, and depending on future prediction for any important event or market scenario.

 

4. Affordable Pricing

Price has a great influence on consumer’s buying decisions. In today’s scenario, people can easily compare product features and prices at different retail shops or online platforms. There is no point in keeping the price at 200% or higher markups whereas less than 20% can only be sold at MRP.

 

5. Follow Trends

People are always looking for eye-catching designs and famous fashion trends. Including trendy products and unique designs depending on your target customer can generate better sales than usual.

 

6. Advertise More

Let people know about your brand or the unique features your products can provide. Make noise on social media platforms, post ads in newspapers and magazines, display banners to attract customers, invite them to visit. More numbers of people knowing your brand would generate more sales.

 

7. Campaign on Google

It’s very easy to reach people through Google. When people search for a specific product and it is listed on the Google search engine’s top list then people like to purchase from there. So, if you target a big customer group it’s a great idea to invest in CPC for Google campaigning.

 

8. Target the Right Time to Launch

Launching at the right time can decide customers’ turnaround. In the off-season, people usually do not like to make purchases. Moreover, off-seasons are discounting season so other retailers can take advantage of it.

 

9. Create a Sense of Urgency

This is one of the most workable sales techniques to make people feel high demand and scarcity of supplies. You create a sense of urgency in the customers’ minds. This strategy is helpful in pushing sales.

 

10. Cross-Selling

Cross-selling is the process of selling paired products or a set of products. This generates more revenue and extra sales. How it works is, the customer wanted to purchase one product but matching pair has motivated him to purchase the second one as a set.

 

11. Add Design Elements for Move on Styles

For move-on styles or season’s leftover styles, there should be a plan to sell by upgrading designs. Of course, this would be a rework but it’s always better than discarding stocks or selling them at a lesser than 50% discount.    

 

12. Promote on Social Media

Social media is an open platform to connect with enormous people. You can increase followers and members. Contents on social media platforms can help to make a brand or product popular. People spread the news to their family, friends, and colleagues with “word of mouth”.

 

13. Create or Sponsor an Event

Let people in your contacts and neighbors know about your company and products. In a normal situation, unlike COVID 19 Pandemic, Organize an event to make people participate in it. Connecting to people on your business network is a great way to expand or achieve higher sales.

 

14. Provide Option to Buy from Mobile

Mobile is man’s best friend today. Almost everything is possible to happen today through mobile. Not having an option to purchase using mobile can have a bad impact on sales as well as it does not create a good impression of the company.

 

15. Connect with Your Customers

Get in touch with your customers; write emails appreciating for his/her visit to your store or for his/her feedback, send greetings on important dates, sends promotional gifts and there are many other ways to connect with customers. This way customers can have trust in the service, you get to hear honest feedback and criticism for shortcomings and you can avoid customers shifting to elsewhere.

 

Hopefully, 15 points to overcome low sell-through rate in this article can bring a positive outcome to your retail business. Please mention your feedback in the comment section.

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