❑Often are property owners and generates retail ... changes that impact retail
sales. Tip 5. ... Retail. Promotions. GUERRILLA MARKETING. ❑ Social
networking.
BUILDING A STRONGER BUSINESS RETENTION PROGRAM
BENEFITS OF A STRONGER BUSINESS BASE Locate in small unique rental spaces. Often are property owners and generates retail sales and property taxes for City Enhances residents’ (current and prospective) lifestyles with more shopping and dining choices Provide jobs and opportunities for residents Attracts residents and business investment to
area Multiplier effect of local $
BUSINESS RETENTION
BUSINESS RETENTION PROGRAM
A CRISIS IS A TERRIBLE THING TO WASTE Rohm Emanuel
Difficult times for small business
BUSINESS RETENTION The consumer has changed. Consumer loyalty is harder to maintain Customer wants unique experience Needs and wants have changed Consumer has less credit Consumer has more choices
BUSINESS RETENTION Financing has changed.
Collateral not business plan Terms and conditions have tightened Fewer lenders making inventory loans Fewer lenders making real estate loans Fewer Lenders
BUSINESS ACQUISITION
BUSINESS RETENTION
Harder to buy or sell business Sales of businesses down 11% last year Value of business declined 5% 50% of businesses do not transfer to 2nd generation 60% of owners are baby boomers who will be retiring
BUSINESS RETENTION
Positive trends
Tip 6.
Identify issues that concern your businesses
Small businesses are adapting to changing market Many own buildings or pay below market rents Stronger labor pool Frugality fatigue Trade area is expanding due to technology Rising gas prices keeping customer in town
Positive trends
Tip 5.
Understand changing customer base
Define Trade Area Clarify Shopping behavior Develop Customer Profile Identify trends, opportunities and changes that impact retail sales.
Survey businesses
Review business newsletters Develop business data base
Track real estate/rental costs Talk to lenders/investors/SBA
Consumer confidence and spending is improving and retail sales are increasing Corporate spending is slowing rising Unemployment is leveling off Stock market is less volatile Credit crunch is easing
Identify issues that concern your businesses
– Personal interview – Survey monkey – Zoomerang
Conduct audits – Lack of inventory – Turnover in sales help – Cut back in ads – Owner-tenant issues – Personal problems
BUSINESS RETENTION
BUSINESS RETENTION Develop list of “at risk” businesses Monitor health of business district
BUSINESS RETENTION
Business Retention objectives
Work with Chamber and EDC to avoid overlap or “turf” issues
– Retiring – Financial insolvency – Wrong location or poor space utilization – Insufficient sales – Functional vacancies
Help existing businesses become more profitable. Help businesses grow and expand. Help key retailers become truly destination retailers Strengthen existing business clusters or niche markets Help business owners plan for future.
REDUCE BUSINESS EXPENSES —Improve business operations and efficiency —Financial education and counseling —Financial incentives/programs —Energy efficiency programs —Tax credits and abatements —Rent or utilities
BUSINESS RETENTION BUSINESS ENVIRONMENT —Safety —Cleanliness —Parking —Signage —Walkability —Overall appearance
BUSINESS RETENTION Seasonal General Retail sales
Targeted Guerrilla
RETAIL SALES
RETAIL SALES Retail sales
Seasonal
Group
RETAIL SALES
RETAIL SALES GUERRILLA MARKETING
Targeted
Retail Promotions
Social networking In-store events Grand openings Cross merchandising
RETAIL SALES
BUSINESS RETENTION
Revise Shop Local Campaigns Retail Promotions
Special Events
Definition of local Benefits of participating
Develop small targeted promotions
Home and hearth Wellness Local producers-stores Small indulgences
– Holidays
Increase sales (long-term)
– Assets
Image – General PR
Encourage more cross promotion
– Heritage
– Businesses
Use Facebook to pool resources Co-produce an in-store demonstration, celebrity appearance, free service or lecture
– District
IMAGE AND SPECIAL EVENTS
SPECIAL EVENTS
Differentiate yourself from competition
IMAGE AND SPECIAL EVENTS
IMAGE CAMPAIGNS
Signature Event should be memorable
Print
Use smaller events to attract specific customer groups
Website
IMAGE CAMPAIGNS
IMAGE CAMPAIGNS BUILDING FACADES AND INTERIORS
Buildings
IMAGE CAMPAIGNS Façade Improvements
IMAGE CAMPAIGNS
IMAGE CAMPAIGNS
IMAGE CAMPAIGNS
FAÇADE IMPROVEMENTS
WINDOW DISPLAYS
Façade Improvements
IMAGE CAMPAIGNS
IMAGE CAMPAIGNS
WINDOW DISPLAYS
WINDOW DISPLAYS
Empty storefront
Storefront graphics
IMAGE CAMPAIGNS
IMPROVED MERCHANDISING
Highlight pending projects
Web site /E-commerce Add new inventory lines Change store hours Change window or in-store displays
BUSINESS RETENTION Marketing Destination uses
Business Destinations
REDUCE BUSINESS EXPENSES
BUSINESS RETENTION
Main Street Focus
REDUCE BUSINESS EXPENSES —Improve business operations and efficiency —Financial education and counseling —Financial incentives/programs —Energy efficiency programs —Tax credits and abatements —Rent reductions or allowances
Workshops, Training, Seminars On-site specialists and Consultants Business operation
Mentors Partnerships with other organizations
REDUCE BUSINESS EXPENSES
BUSINESS RETENTION
SBDC
Customer service Improve Business operation
Knowledge of changing business regulations/taxes
Educational newsletters
Business operation
Resource Guide
E-commerce SWAT mentor team
Staff Cash management plan
One-one counseling
Succession plan-exit strategy
BUSINESS RETENTION Experiment with different types of communication – – – –
Automated text messaging Webinars Email blasts Twitter, Facebook
Encourage Businesses to use Ecommerce – – –
Downtown web store Develop virtual sales space Connect with larger community
BUSINESS RETENTION
Exit Strategy
Can business be sold? Is owner ready to sell? Valuation Buyers Financing
BUSINESS RETENTION
Bizbuysell.com Resources
Bizquest.com Business Broker Business Consultant
FINANCIAL RESOURCES Friends and family Specialty lenders SBA Community banks and Coops Regional banks USDA
Financial Assistance
Friends and family Specialty lenders 401 K Conversion Franchise Lease equipment SBA programs: Lending up in last quarter
BUSINESS RETENTION
SBA Small Loan Advantage and Community Advantage programs 75% up to $150,000
BUSINESS RETENTION Buildings
Rent and Utilities
Landlord-tenant ombudsman Landlord advisory committee Energy audits and rehab loans Co-tenanting Co-op space
Property owner
BUSINESS RETENTION
BUSINESS RETENTION PROGRAM Develop local sources of funding to support small business entrepreneurs and innovative concepts Partner with Govt. Agencies, foundations and Lenders to increase knowledge about programs
City Revolving Loan City façade grants BID, TIF Historic Tax Credits LLC
Streetscape Business Environment
Maintenance Parking Safety
STREETSCAPE
Streetscape
Streetscape
BUSINESS RETENTION 1. Add a few targeted events to promotion calendar 2. Improve communication 3. Signature special event 4. Annual workshop/seminar 5. New business guide 6. One-one counseling 7. Silent partners
