RETAILOBSERVER.COM NOVEMBER 2019
52
W
ith 2019 nearing year-end, it's not too early to start
planning your 2020 marketing plan.
Most industry veterans would agree that the home
furnishings sector — including furniture, mattresses and appliances —
is driven by events-based marketing and promotions.
And while some worry that this approach can create peaks
and valleys in a retailer's business, others argue that this concern
is predicated on a lack of understanding about the true definition
of this practice.
Proponents of event-based marketing point out that some
people misunderstand what it means, believing it refers to
specific dates. The "event," however, refers to the activity or
change in the customer or prospect and can be any action,
activity or change with a customer or prospect that could trigger
new buying decisions.
According to a report by Eventricity, it's not uncommon for
businesses to achieve 30 percent or higher customer response
rates when using event-based marketing. Promotions guru
Phillip M. Gutsell, president and owner of GutSELL & Associates,
says compelling promotions and events can drive a retailer's
business all year long.
"When I meet with a client, I first ask them about their proven
winners," Gutsell said. "It is a given that we will keep these, but
then we talk about events, sales and promotions we can do
beyond the major holiday sales.
"For example, January is a natural time for an annual selloff/
sellout promotion. It helps the retailer get rid of older stock and
also frees up warehouse space for new inventory," he explained.
But the week after Christmas can also be a prime yet often
overlooked selling period. In fact, added Gutsell, it has been so
successful for many retailers that it has become known as the
"13th month."
Another effective promotion is one that suggests urgency.
"My clients do a great job when they hold 12-hour sales," Gutsell
noted. "That sense of urgency typically drives traffic into the
store."
Regardless of the promotion, however, Gutsell stresses that
the retailer should never cut corners. "Sadly, I've seen retailers
fail with what should have been a great promotion because they
didn't want to spend the money to put big signs out front or
Mike Allen Furniture Trends
START PLANNING YOUR
2020 MARKETING AND PROMOTIONS NOW
