Sales are usually high in the last quarter of every year. Retailers take advantage of such periods to make profit. As the quarter begins, retailers are positioning themselves for mega profits, just as the yuletide sales rush is at the corner, writes TONIA ‘DIYAN.
Fierce competition, requiring creative marketing and sales promotions to woo customers and entice them to make purchases, usually characterises the last quarter of the year.
Friendly customer service representatives, fast service and an appealing selection of merchandise, paired with special pricing structures help retailers achieve a profitable sales season anytime.
The last quarter of the year is usually the time for bumper sales in shops; with many outlets and malls giving all manners of bonanzas and freebies to woo buyers. Not wanting their stock to spill over into the new year, most outlets usually start clearance sales in September to signal the beginning of the last quarter of every year.
But realising the state of the economy, most retailers have decided to get prospective shoppers early by starting their pre-Christmas sales to get into shoppers’ wallets. By so doing, such traders are able to cut off their competitors by promoting wide selection, good pricing and a calm, relaxing shopping environment this last quarter.
A visit to several retail stores across Lagos was insightful, revealing that regardless of the economic recession, people are optimistic that by the end of this quarter in December, they would have achieved their aim of destocking, restocking and most importantly, making huge profit.
They have made shopping this season a fun-filled and pleasurable experience. Some of them even offer freebies to early shoppers. Jewellery shops give away not too expensive ornaments, some others have initiated a promo regime, giving out raffle ticket for a prize drawing. Findings also revealed that some others have slashed prices momentarily, offering buy one, get one free (BOGOF) deals and others selling combos for half the price.
The strategy has made some retailers optimistic that turnout of poptential customers in this last quarter would be encouraging to boost their sales. Although some traders said they recorded more window shoppers at this same time last year, nevertheless, their strategic awareness has gained enough ground to stimulate better sales this year.
A sales person at Poise Store, an upscale makeover and beauty store, who asked not to be named, told The Nation Shopping that most retailers have come up with one sales strategy or the other, hoping it will help them make huge sales when the Yuletide eventually comes in.
“Our promotional offers began few days ago like every other store. We do this yearly so that we can have bountiful sales. We are pushing out as many items as possible by slashing their prices into three, sometimes four, just to lure customers,” said another source in a high-end boutique.
With this, the source further explained, her boutique will be able to do away with old stock, old designs and then bring in new ones for the New Year.”
From observation, these shops have not stopped restocking. For instance, clothing stores such as Mango; Tommy Hilfiger; Nike; Ruff ‘n’ Tumble; Kids country, among others, as well as online stores, who only sell clothes, have brought in new key fashion trend in the fashion market, which attracts customers. With this, they are hoping they will make their revenue figure rise close to double of what is expected as most of them said they were optimistic they would boost their last quarter earnings outlook.
A sales person at ‘The Accessories 2 die 4’, a jewelry store’, Uduak Osere, said: “We can only be optimistic that sales will not be too different from the usual and we have come all out with various strategies to help us achieve that,” she said.
From investigations, only a handful, representing roughly 10 per cent of the Nigerian retail industry, report monthly sales when it is not festivity or specific sales period. That is why they all take the last quarter more seriously.
A shopping analyst, Mrs Debola Majekodunmi, said: ”Yes there are undecided shoppers and procrastinators, but we want to be pleased with the sales we will make this time just like we were last year. This period is long awaited for”
