By Natalie Burg
Whether it's Halloween or Christmas or Valentine's Day, small businesses are always racing from one holiday rush to the next. And when rushes happen, so do backups and mishaps — both of which can result in higher costs during times when retailers should be making the most of increasing profits.
Fortunately, there are some simple tactics to avoid the chaos. Here are a few ways small retailers use advance planning and shipping smarts to survive holiday rushes and avoid costly mistakes.
Make a Merchandise Plan
In the hustle and bustle of the retail world, it can be difficult to carve out planning time. In the case of preparing your store for a holiday rush, however, it's worth the effort. Ted Hurlbut, a retail consultant and principal of Hurlbut & Associates, explained why to Inc.com.
"Even retailers whose focus the rest of the year is on offering their customers a complete shopping experience must recognize that at this time of the year, the business must become item driven," he said.
That means narrowing your assortment of merchandise to your best sellers. The payoff is that at the end of the holiday season, your leftover merchandise is all things you know you can sell, Hurlbut said.
"Stocking merchandise assortments that meet customer expectations will ensure that sales and profits are maximized — and markdowns are minimized," reported Elizabeth Wasserman in the article.
Encourage Early Birds
Tom Langa of UPS Small Business shared a seemingly simple piece of holiday rush advice with Small Business Trends:
"Ship as early as possible," he said.
Naturally, it makes sense to get as many of your deliveries out the door as soon as possible to maximize your time closest to the holiday itself. However, that doesn't help much if you're then spending your time dealing with returns or damaged packages during your busiest week. Instead, Langa said it's worth it to spend extra time ensuring those early packages arrive on time and in one piece.
"First, don’t use old boxes or gift boxes for shipping," he said. "More than likely, they’re not going to provide adequate protection to your product. Also, only use approved packing materials like foam packing peanuts, bubble cushioning, and packing tape."
Langa also advised including a label on the inside of the package. If the outside label is damaged, this can help get the package to the right destination all the same. Finally, he said it helps to use a service such as UPS
Stock Up on Staff
Few retailers know the ins and outs of the holiday rush better than florists on Valentine's Day. Entrepreneur.com reported how Melissa Wirth of Minott's Flowers in Portland, Maine thinks beyond just ordering extra flowers for the big day — she orders extra people. Spending the extra money on the resources ultimately means she can fulfill more orders with less mistakes and come out of the holidays with more happy customers — and with her business and her sanity intact.
"Owners need to hire additional help for what can amount to an onslaught of phone calls, web orders and flower prep," reported Diana Ransom for Entrepreneur.com. "To be ready for Valentine's Day, Wirth grows her staff from five to 20 and brings in 15 extra drivers."
While it may seem overwhelming to start thinking about each holiday months before the day itself, it turns out to be less overwhelming in the end to do so. With a smart merchandise plan, early packages safely out the door and ample staff, the holiday rush can be less stressful and more profitable, which makes for a lot more holiday cheer for retailers.
