A retailer’s point-of-sale system holds a wealth of information that can inform business decisions and drive marketing. An article in the latest issue of Floral Management shows how a few retailers use their point-of-sales systems to save money, attract clients and market their business.
More likely than not, you have a point-of-sales (POS) system. But are you unleashing its potential? If you’re simply using it to record orders, you’re missing out on sophisticated data that can steer your marketing, enhance customer service, and improve profitability. In the July/August issue of Floral Management, senior content strategist Amanda Jedlinsky shares some POS information that can drive smart business decisions.
“What I see too often is that a flower shop uses its point-of-sale system as an expensive electronic order pad as opposed to an integrated, dynamic marketing tool,” says Tim Huckabee, president of FloralStrategies, which provides sales and service training to retail florists and wholesalers.
Service Upgrade
Dan McManus, president and CEO of TeamFloral, a consulting company, concurs. He encourages florists to build detailed customer profiles within their POS system. Before taking an order, employees should ask the customer, “Have you shopped with us before?” then ask for a phone number to pull up their record. “It’s so important to know who you are talking to,” he explains.
McManus encourages salespeople to take notes throughout the call, striving to get one new piece of information each time. Eventually, “you will have a whole drawerful of things that you can mention,” such as children and grandchildren’s names, careers, civic involvement, etc. “Don’t underestimate how much more the relationship develops when you do that,” McManus says. “It’s so powerful. It will make them feel special.”
In Bonita Springs, Florida, Susie Sayger, of Heaven Scent Flowers, uses her POS to generate reports for funerals, showing which customer sent what for a particular service. She then provides this information, complete with addresses, to grieving families so it’s easier for them to send thank you notes. “That’s one of the things that sets us apart at funeral homes, as well as with the families,” she says.
Forecasting Tool
Wondering how much product to buy and how many workers to staff and for how many hours for a given week? That’s all in your POS. “It truly is shop management,” says Huckabee of POS analytics. “Too many florists run their business on a hunch, a feeling — but the data is there.”
Comparing sales for the same week or month this year to last year is a must, experts agree. This gives you a reasonable target for product and staffing needs. McManus recommends looking at sales for two weeks or a month ahead of time to determine your staffing level. Labor costs should be 20 percent of expected sales, he says. Owners can also control costs by picking smart operating hours based on POS reports that show sales by day of the week and by the hour.
For more tips on how to maximize the data in your POS system, including how to use it to track productivity, read “A Data Gold Mine” in the most recent issue of Floral Management.
Katie Vincent is a senior contributing editor for the Society of American Florists.
