If you're like many of today's small-business owners, you've probably noticed that consumers don't necessarily come into a store to make a purchase. You may see them checking out certain products and items, then bringing out their mobile phone.
What they're likely doing is researching the price and brand to see if your deal is the best one they can find. This is a practice called showrooming - browsing online stores while physically inside a brick-and-mortar location.
This can be a problem for your business, as it could easily drive potential sales literally right out your door. It's important to get out in front of this problem before it impacts your revenue. There are several ways to do this.
When consumers do their online research, they're looking for a variety of factors, including quality, customer service reviews and, of course, price. If you have the lowest prices around, or at least affordable prices for notably high-quality products, you have little to fear as far as showroomers go.
"Good quality often comes at a price."
However, in the construction and home improvement industries, quality often comes at a price. And unfortunately, many consumers aren't aware of this. This means that if you are offering high-quality work, your price tag may give some customers pause. They might even find your competitors to have lower prices.
To combat this, offer your customers financing options. You don't need to lower your prices to unsustainable levels to make your products and services affordable. A financing program is the perfect compromise between offering low costs and keeping your work at the best quality. With a financing program, your customers can pay for their project in increments over time, which is a lot easier on their bank account. Reach out to your financing company of choice so you can offer your customer some of the most affordable pricing available.
Online advertising can be pricey at times, but it's often money well spent. When someone brings out their mobile phone to begin doing some cost-comparison research, they are looking for discounts and special offers in addition to your competitors' costs. Control what they see through location-based pay-per-click mobile ads. You can set a specific radius around your store where your mobile ads will be most viewed.
Be sure to advertise your low prices, financing options and any deals you have going on at the moment in these ads. According to Small Business Trends, even a small discount is enough to convince shoppers they're in the right place.
You can set location-based ads for more than one place, which means you can strategically choose when potential customers see your ads. Showrooming is bound to happen in any store, not just your own. This means that your competitors could be experiencing the phenomenon as well. However, in this instance, it might just be to your benefit.
Make the most of the trend by not only making sure customers see your ads while in your own store, but also while they're near your competitors' businesses, too, GetElastic, an e-commerce blog, explained.
Contractors are well aware that education is essential to get your customers up to speed on what their project entails, both in terms of time and money spent and what needs to be done before their home renovation is complete. The sooner the educational process begins, the better. Total Retail pointed out that clarifying the reasoning behind your price point will help dissuade showroomers from leaving your store and heading to your competitors' stores.