business builders

Retail DNA

by Brad Childs

As a rule, locations that dispense eyeglasses share a lot of the same chromosome composition as other retail businesses. They share a similar Retail DNA, whose components are: product, location, marketing, and customer service.

It is the magnitude and combination of these retail components that determine the structure of chromosomes…and the genome of the business.

This retail genetic code is made up of those four simple components. They intertwine to affect one another as well as rely upon one another to produce a tangible business.

NATURAL SELECTION

Charles Darwin's theory of natural selection can be applied to retail as well as evolution. In broad strokes, Darwin said that it was the heritable traits forced by the environment to become more successive that were ultimately passed on. We know of what we are made, therefore, the next step is to determine why we are made that way.

For some researchers, this quest represents a thirst for altruistic knowledge. For others it may be a rather frightening Orwellian purpose. Researchers around the world ask this question. In fact, both the National Institutes of Health and pharmaceutical corporations are inundated by research teams all over the world applying for grants to produce complete and unflappable maps of the human genome.

Researchers aren't the only ones in quest of answers. When it comes to business, owners ask themselves the same things regarding, not their genetic, but their Retail DNA.

They know what they are selling, but why does one business succeed while another dies?

How does a successful business separate itself from the competition?

What defines an operation?

Retail businesses that cannot answer those questions and define themselves will eventually under-produce and fail.

MAC ATTACK

McDonald's is a good example of a company that knows who it is. McDonald's chromosome composition works for a number of reasons. They understand their Retail DNA. Their product, albeit sometimes bad for you, is considered absolutely delicious by many Americans. Their locations, hmm, when was the last time you passed prime real estate and didn't see those Golden Arches?

As for customer service, this varies from location to location. And, marketing…trust me you're lovin' it…America is at an all-time high for obesity, at least since the World Health Organization started keeping track.

Simply put, some businesses try to be everything to everyone, but without manipulation of your Retail DNA, you will not succeed.

MAKING IT WORK

How do you achieve the force and effect of Retail DNA?

• LOCATION: In retail, the three most important characteristics are location, location, location. Here's the rub: By investing in an affordable location, you will save on fixed overhead; but you will spend more getting clients through the door. Conversely, a heavy traffic location will cost more and may dull your budget for other DNA components.

• MARKETING: Define who you are: price or image oriented? As our industry calls it, low end or high end, or maybe someplace in the middle.

Then answer this: When is the last time you went out and simply shook hands and introduced yourself? We call that grassroots marketing. And, if you're a bigger budget marketer, a firm branding strategy is critical.

• PRODUCTS: Sell products that convey what you want to represent. In the same breath, can you sell two pairs of glasses for $99 as well as Limited Edition Cartier frames? Private label anyone?

• CUSTOMER SERVICE: Most companies believe in exceptional customer service, but is this achieved? Training and managing your staff is the foundation. Make sure they understand everything from the business philosophy to phone etiquette, conflict resolution techniques, etc.

• CONSCIOUSNESS: Remember what it is like to be a customer, and listen to their concerns. They want to know they are not only heard but that they are understood.

BLUEPRINTS

Retail DNA is a set of blueprints necessary to not only define and establish your place, but ultimately, to ensure your survival.

Your store's Retail DNA is nothing new. Unlike static DNA passed down from the genetic cocktail provided by your parents, you can influence the development and manipulate the design and outcome of your business by simply understanding your Retail DNA.

Management of the four components—marketing, location, products, and customer service—is your retail blueprint for success. Don't be afraid of change! EB

Brad Childs is an optician, as well as vice president and COO of Eyetique, with six high-end locations in the Pittsburgh area.