It’s crucial that retailers stay abreast of developments in their local area, says Caroline Steed, who points out that new transport links, fluctuating property prices – and the very nature of those properties – can have a drastic effect on the nature of your customers …
We are living and working during a period of unprecedented change. How we work, rest and play is ever-evolving, and our exposure to new ways of living has never been so broad.
A competitive job market, and property prices that prevent many from being able to buy, is leading to more and more people living an increasingly transient way of life. Renting a home, as opposed to being a homeowner, makes relocating to find employment a far more realistic proposition as the search for work often widens to further afield.
“Changing demographics will deliver different customers with varying tastes and requirements through your door”
Not owning a property makes you nimble to capitalise upon employment opportunities across a broad geographical area, and in certain parts of the country the prospect of travelling quite some distance, perhaps an hour or more by car, is an everyday reality. With transport and car ownership/running costs on the rise, it’s often easier and cheaper to move closer to work or new-found employment, and renting makes that quick and easy to do.
Technology has made moving away from friends and family and relocating far less daunting than it may have been years ago – our phones and internet mean we are more in touch with one another than ever before – and with changes in society meaning that many people now live on their own, either through choice or relationship break-up, this transient approach is no longer tailored solely to the young, free and single, but applies across age, ethnic and professional groups.
It’s something that any local business dealing directly with local consumers should be aware of, as changing demographics will deliver different customers with varying tastes and requirements through your door. These may also have different levels of disposable income – a potential wave of fresh opportunity, if you are sensitive to society’s shifts.
If you set up shop a couple of years ago or more, the face and shape of the market you are now serving and tailoring your offering to may well have changed quite dramatically, as new people move in and others move away. However, such change is subtle and only observed if you are aware of the many influencing factors that affect local economies.
So, take a closer look around. Note the housing market: property prices; the rise or fall in number of rental properties and first-time buyer opportunities; the major employers; and if new companies and organisations are moving in, or out. An awareness of such changes will enable you to stay ahead of the curve in what you offer customers and ensure you continue to provide the upholstery and furniture that appeal to those living and working in your area.
Perhaps improved transport links may have evolved your local area into a commuter hub for those travelling into neighbouring towns or cities. If so, property prices may well have gone up, and you will have the opportunity to attract more ‘professionals’ into your store.
It is so vitally important to be aware of how your customer base and pool of potential new customers is evolving, due to influencing factors highlighted here, and others – factors that are out of your control, yet affect your business and the products and services you provide.
Try to keep in direct communication with your customers, utilise your marketing to the full, encouraging existing customers to engage with you, and perhaps recommend a friend to your store to receive a small gift in return, as a token of appreciation. Don’t be frightened to ask if there is anything new they’d like to see you do – engage with them and they will respond.
In these hugely competitive times it’s paramount that you nurture your existing customers, growing their support for what you offer, whilst maintaining a flexible approach to attracting an evolving customer base – one that’s rich with opportunity if you understand how your area may be changing in these transient times.
Be sure to take a closer look around.
Caroline Steed is the sales director of upholstery manufacturers Steed Upholstery and Peter Guild, both based in Long Eaton, Derbyshire.
