169. 5 Easy Ways to Improve Your Profit Margins (and Why You Should!)
With host retail coach Wendy Batten
Hard truth to start off the podcast today: More sales will not necessarily make you more profit! I am a firm believer and you all hopefully know by now that I do not believe in chasing sales. Today on the podcast we are going to talk through 5 ways you can improve your profit margins and why you should. Let’s work together on building a business that works for us, not the other way around. Here we go!
1. Price your goods properly. We have a whole Buying & Pricing Masterclass in the Retailer’s Inner Circle, but the short explanation is not to just use MSRP, copy your neighbors, etc.
“Being ‘nicely’ priced is going to put us out of business.” -Wendy Batten
2. Buy your merchandise properly. This is when you make your money! Think strategically about your margins when you are purchasing from vendors, at trade shows, etc.Find sell offs and walk away from low margin items.
3. Strategically place your products with the highest margins in the most visible, high traffic areas of your shop.
4. Demo your products. Let your customers touch, feel, see how they work. Trust me - this works! You can demo with ANY products in your shop.
5. Bundle your higher margin products with other products. Offer different price points for your bundles, offer themed bundles, etc.
Taking small steps to feel more confident in your financials is key to feeling good and in control of your beautiful business. By analyzing your profit margins, you are on your way.
If you found this episode helpful, please share it with at least one of your business besties!
If you are looking for more, remember that my Retailer’s Inner Circle is always open. The perfect time for you to join us is NOW - ahead of Q4 and right before we start talking holiday sales! You’ll get access to tons of masterclasses (including my Buying and Pricing Masterclass referenced in this episode!) You’ll also have full access to Retail Made Simple, my signature course and an exclusive Facebook group full of like-minded retailers from all over the world. Jump in today!
Related podcasts we think you’ll like:
Episode 109 - Money Mindset, Abundance, and Bad Ideas with Guest Expert Emily King
Episode 104 - Tight on Cash Flow? Let’s Turn Your Old Inventory Into Cash for You
Episode 89 - Money Talk & Mindset with Profits First Coach April Stroink
About your host, Wendy Batten
In case we haven’t met yet, I’m Wendy, a small business coach and founder of the Retailer’s Inner Circle, where I help other independent shop owners learn how to gain the right business skillsets to see more profits, paychecks, and joy as they navigate running their retail business.
Through online classes, business coaching programs, speaking, and a top-ranked podcast, I’ve helped hundreds of retailers around the globe reclaim their dream and see the success they want from their beautiful shops. My signature private coaching community, The Retailer’s Inner Circle, has helped retailers around the world build their retail business skill sets and confidence.
I am proud to have been featured in several major publications, including my own business column in What Women Create magazine. I have been privileged to be a guest on top-ranked podcasts and sought-after as a guest speaker and teacher for several brands, associations, and communities that are passionate about the success of independent retailers.
When I’m not coaching, you will find me either DIYing and renovating my very imperfect old crooked cottage by the sea in the UNESCO World Heritage town of Lunenburg, NS, or blogging about our travel and RVing adventures and the weird fun things we get up to in our coastal village. I’d love to invite you to check out one of my free resources for real retailers at https://wendybatten.com/free-resources/
For more support from Wendy
Retailer’s Inner Circle - Join Wendy inside the best retailer’s community
Wendy’s FREE Resources for shop owners
Hang out and connect with Wendy on IG
All of Wendy’s programs and services for shop owners can be found HERE.
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