Alternative Ways to Sustain a Brick and Mortar Business
Updated June 26, 2020
Restaurants, bars, coffee shops, and other brick and mortar retailers are neighborhood staples in the communities they serve. Many of the mom-and-pop, boutique-type businesses rely on their regulars to keep them afloat. In difficult times like the current Covid-19 pandemic, community support may be the lynchpin to a small business’s survival. Omnichannel marketing, aka taking your business’s physical presence and monetizing it in the digital world, is a way to increase sales and customer engagement when your regulars aren’t on premise (e.g. quarantined).
Here are some ways beyond traditional brick and mortar sales that retailers can stay in business during a downturn.
Creative Marketing Efforts to Engage with Your Best Customers
The Pareto Principal holds that 20% of your customers account for 80% of your business. Don’t underestimate the power of (and the value of your connection with) your superfans.
Customers Pay Now for Something Later
Selling gift cards can help bolster revenue, but can also be a dangerous financial perk if businesses don’t properly budget for the redemption of said gift cards in the future. Gift cards are also…boring. Selling gift cards, coupons or vouchers should involve marketing like any other service your business offers, and today’s customers are all about the experience. Find ways to make what you sell unique. Rather than sell vouchers for 10 hamburgers, sell a coupon booklet that has off-menu experiences like getting to cut the line, have a burger with your favorite staff member, or a drink named after a customer for a month. Showing your business’s personality is what makes your customers come back (in addition to your excellent products/services). When selling off-menu items and experiences you may find that you increase your profit margins and have the ability to test demand for new products and services.
Customers Pay Now for Something Soon
During a crisis like Covid-19, brick and mortar businesses aren’t exempt from paying their monthly rent and other fixed costs. Support staff are suddenly without an income. Gift card sales are helpful, but probably won’t cover the wages and tips that workers depend on to get by. In the restaurant industry in particular, business owners and staff are local celebrities, so why not use your celeb status to engage with your fans and earn money? Sell personalized shout outs to your fans like Cameo. Run unique raffles for experiences with staff inspired by Omaze. A raffle doesn’t necessarily need be a product or service, it could be access to an experience. A retail boutique owner could raffle an in-home styling consultation. Create fun micro-tasks like teaching someone how to make a cocktail or recipe in exchange for a fee. For support staff trying to get by independently, we’ve covered some ways to earn side hustle money here.
Sell Merch
Selling merchandise like t-shirts, hats, and other accessories is a great way for customers to rep the brands they love and simultaneously promote your business. Get It Made specializes in lean merchandising and print on demand, which are methods that businesses can use to sell merch without investing in inventory up front. Unlike buying promotional products or getting things screenprinted, print on demand has no order minimums and you can sell now, pay later as you only get things made when orders come in. If your business wants to sell merch online, print on demand is an automated method that makes production, packing and shipping an easy-to-manage process. Merchandising can also complement your creative marketing efforts. For example, you can auction/sell limited edition mugs that allow customers a discount or free coffee when they bring it in. Limited edition shirts can similarly carry a discount/credit value or simply be exclusive fashion statements that customers will wear around town with pride. Lean merchandising allows you to print a large variety of custom merchandise without any minimum order quantity.
Get Funding
Struggling businesses can turn to crowdfunding sites like GoFundMe to get the resources they need to power through a difficult time. Looking into local, state and federal grants and programs available to businesses and their support staff is also something to research. During Covid-19, many Chicago hospitality businesses are running fundraisers. Teaming up with fellow businesses in the community to promote the available fundraisers (like this list in Chicago) will help spread the word.