4 factors that reveal resale’s future is rosy
December 12, 2014
Resale’s future is rosy
The industry of retail and therefore consignment and resale, is changing. Shoppers are becoming more educated; the demographics of consumers are shifting and the use of social media is always changing and growing. What should you be watching and preparing for as this new year approaches? There are 4 main factors that will help determine where shoppers spend their hard-earned money. Take heart, resale’s future is rosy.
Changing demographics
One of the factors that will lead to your success is the changing demographics of today’s consumer. According to PricewaterhouseCoopers (PWC), as the Baby Boomers age, the next generation (Gen Y) is hoping to “emulate the lifestyle that their Baby Boomer parents have.” This means they want to continue that wonderful lifestyle they’re used to. PWC stresses, “Gen Y is a more diverse group in how they shop, where they shop and how they spend their money.” This makes this group a harder marketing target. The best way to reach them is by building relationships. The good news for consignment and resale is Gen Y “consumers will increase their focus on purchasing products from socially responsible and ‘greenfriendly’ manufacturers and retailers.”
Stronger online presence
Another one of the factors is how you appear online. In an article titled, “Retail in 2015: The Age of Uncertainty”, Retail Customer Experience stressed, “Most shoppers (86%) said that a retailer having an online presence is ‘important,’ ‘very important’ or ‘critical.'” With Millennials and many of those from Generation X, how you present yourself online totally represents you. It can be the determining factor for shoppers to even consider entering your store. Whether it’s a website, your Facebook page or an e-commerce site, make sure they clearly convey who you are (branding) and what merchandise you carry.
Make shopping an event
Increasingly, the upcoming generation of shoppers is looking for an experience, not just merchandise. It’s no longer about the transaction. It’s about the interaction. Bookshops are selling coffee and coffee shops are selling music. More than ever, shops have to become interactive and engaging. Providing classes, a lounge area, community events and contests are all ways to engage your shoppers.
Increased loyalty programs
Since 2013, loyalty programs have been on the rise. The smarter the store is about their shoppers, the better the loyalty program. Knowing when they buy, what they buy and how much they spend helps a store tailor their rewards program and keeps customers coming back for more.
