He who makes choices is a merchant

The noise in the sun protection sector over the past six months: plummeting sales across the board. Especially the changeable and mostly bad weather that plagued our country is cited as the main reason. Yet there are manufacturers and dealers who seem to be swimming against the current. My own finding is that these are mainly companies that operate in the high-middle and high-end segments. 

My conclusion is this: consumers who have to make do with their vacation money and therefore have to make a choice between staying home and investing in awnings or bringing in the money at a travel agency choose nice weather elsewhere. Consumers who have more money to spend often choose both vacation and more home comforts.

Where once the pie was divided into the points low segment, middle segment and high segment, there we now see the middle segment crumbling. Some are moving to the low segment and some are moving to the high segment. This means that our sector is following the financial movement in society exactly: the difference in spending capacity has been widening for years. I don't have to explain that for you as a specialist retailer this means that choices have to be made. Operating in the low segment means having to turn more volume. In practice, this means that with margins already under pressure, more people have to work harder. Difficult, in times of staff shortages. Where do you get the extra manpower to populate the showroom, where do you get the extra fitters to get all those blinds mounted? 

Living situation

However, those who opt for the high end can achieve the necessary turnover with fewer customers, fewer sales personnel and fewer mechanics. But: the sales and assembly personnel present must take a step up in terms of knowledge and customer approach. Higher-end consumers tend to be more discerning and expect more service. This starts already with the advice in the showroom: as an expert, you are expected to understand the customer's living situation. That you see what aesthetic factors are involved in the location. Your advice is no longer just about technology, but about the seamless integration of a product into the facade image of the home. Whatever you install, it should not just be functional, it should add value to the total living experience. For example, we find within our company that our LED solutions have become a permanent part of the rich outdoor living experience, because the overall picture has to be right.

Those who make choices are merchants. 

In summary, be clear in your offerings and avoid noise. A showroom where an entry-level screen hangs next to a high-end screen will cause confusion. It is difficult to explain to both the budget buyer and the high-end consumer that you stand behind the quality of both screens, while there is thousands of dollars in price difference. Dare to choose and focus on that.  

The Pen - Stephen Raithel – international sales manager at Totallux