From a Franchising Prospective – Too Easy!February 14, 2012
Our guest columnist Essential Beauty Master Franchisee -WA, Angus Forrest ,gives us his opinion on the tough times facing retailers.
The retail industry has seen some difficult times in recent times. Regional shopping centres have been seeking to maximise returns and continue to increase tenants’ rent by as much as 30% at the end of their 5 year leases. This has sent many operators to the wall but there always is someone else there to take their place! Demand for retail space in the big centres remains strong it seems.
We have a labour government for the moment and that has meant a new award in the beauty industry (my industry) and higher wages all round regardless of staff performance. So how does your honest business person still turn a profit? Well some things you can’t change (like wages, rent, taxes…) and some you can. These are the things you need to concentrate on.
You need systems in place so you don’t run around 24/7 repeating the same tasks your staff could be doing for you. You need to lead, motivate and evaluate your staff. They should be familiar with the job description and you need to have given them your detailed expectations, beyond that they need training and your enthusiasm. But at the end of the day if they can’t do the job effectively (like making you money!) then be quick to fire. You can be sure the market place will “fire” you in terms of having no profits if you don’t move these people on.
You’ll also need a marketing plan. Sure your shop might tick along ok without one, but then again will you get the reward you deserve without marketing? How is the customer meant to know what you do and how great you are? It’s work, but it needs doing.
So the message is simple – get absolutely everything right and you’ll go a long way . Lol!!!This entry was posted in Uncategorized. Bookmark the permalink. ← Staff Benefits vs the Fringe Benefits Tax Tag Finance/BDA Corporate Golf Day 2012 →