I recently read a great quote attributed to a one time door-to-door sales person and lately more recognizable as founder of the billion-dollar company that bears her name, Mary Kay Cosmetics.  Mary Kay Ash said, “Don’t limit yourself. Many people limit themselves to what they think they can do. You can go as far as your mind lets you. What you believe you can achieve.”

The take for me, and I needed it, is while there is no denying that the price of fuel is out of control, margins are all but nonexistent in many areas, credit card costs are unconscionable and the economy is currently in the Dumpster, the simple truth, for all intents and purposes, is that the situation is out of our control. You can cry about it, complain about the inherent unfairness of it all, or you can decide to make the most of it.

People continue to need fuel, they have to eat and have many other needs. Personally, I’ve just got to do a better job to get a bigger piece of a smaller pie–and I’m going to. And guess what? As I do a better job, the share I get for my companies will include a portion of someone else’s share that stopped to cry!

With this in mind, it’s now spring, the season where “hope springs eternal,” the season where golfers embellish handicaps, fisherman tell tall tales and campers and travelers plan trips. This is the time of year where the weather warms up, fountain and frozen drinks are free flowing and filled with more ice and less syrup. It’s that special season that has us planting flowers and seeds and is truly the prelude to a long, hot summer promising huge hydration and salty snack potential. It’s also the season that renews the spirit and refreshes hope in all of us.

So we are left to work on those things we do have control over, the two most important being attitude and image! This is a time that we must truly see the glass as being half full as opposed to half empty. And did I tell you about the guy who got three-quarters of the way across the English Channel and turned around and swam back because he was afraid he couldn’t make it all the way across?

The very powerful one-line message delivered by a young worker in the Seattle Fish Market motivational tape explains it best: “We get to choose our attitude every day.” That’s a powerful message we should all pause to ponder everday.

Show Off the Goods

Moving onto image, by the time this message is delivered, Easter will be but a memory, but the Memorial Day kickoff to a long, hot summer will be staring us square in the eye. Use this selling season to improve the image our customers see when they drive by and visit our stores. Don’t waste time. Be the best you can be!

To review, begin with the appearance of your stores. Look at your units as if it was the first time you’ve ever seen it  and ask yourself, “What is there about this store that would make me or anyone else decide to shop here?”  Then set about making it a real simple decision for customers to make your store a destination. Things you can do to improve the image include:

* Beautify the site. Add fresh pine straw and flowers. Trim the shrubbery and grass.

* Stay clean. Sweep and power wash the building and walkways. Scrub the pumps and other outside equipment.

* Reduce clutter. Excess window and door signs or decals should be removed as well as any free booklets that may be offered.

* Effective use of reader boards to promote car wash or foodservice specials.

* Sharp employees. Clerks should be wearing a company uniform and name badge. Train them to smile, greet customers, suggestive sell and thank all customers.

* Make a a good first impression. Waxed and buffed floors, spotless and well-equipped restrooms leave a long, indelible impression on consumers.

* Provide multiple services. From a fresh deli offering and fully-stocked shelves to ATMs and new products, give customers a reason to continue coming back to your stores.

* Offer a “can-do” attitude. When your employees stand out from your competitors, customers will embrace their spirit and reward you with more store visits.

* Believe, plan, lead and execute, but also have fun. The goal is build a winning business model that leads the company into the future, not just a quick a sale.

“…and he started to sing as he tackled that thing, it couldn’t be done but he did it (From Edgar Guests great poem: Someone said it couldn’t be done!)

_______________________________________

Jim Callahan, Consultant

Convenience Store Solutions

1 Quail Run Dr.

Newnan, Ga.  30265

Phone: (678) 485-4773

E-mail: jfcallahan502@msn.com

Staying Alive: Planning to Thrive!

Staying Alive is both the title of an old disco tune, as well as a description of the challenge that today’s c-store operators face. C-store growth in numbers as well as quality continues unabated. I certainly don’t have all the answers about staying relevant, but I have some very interesting facts that indicate it is being done on a consistent basis in one of the very toughest markets.

NACS tells us that the c-store count in the U.S. has reached more than 146,000, 90,000 of which are one store operators. Almost 10%, 14,179 of them,  are located in Texas! Yes, Texas is a big state, but that’s also a state where big-box operators hold as large a market share as anywhere in the Country, estimated to be as much as 20-25% in the Dallas area, indeed the same state where fuel margins are often thin or worse. To me, a very strong indication that c-store success can be accomplished most anywhere.

Perhaps a David Letterman Top 10 “Survive & Thrive” list is in order:

1. Clean stores: Today’s market demands that you raise the cleanliness standard to new levels. Every single area MUST ACE THE MOM TEST every day! Obviously, you must excel with your rest room areas and the outside appearance of your store still must hold the promise of what lies within.

2. Friendly service: Why would any customer paying close to $3 for a gallon of fuel, continue to patronize a less than super friendly store? The sure answer is they won’t. Greet your Customers as they walk through the door. Treat them as if your future depends on them because it does! For goodness sakes thank them as if you mean it and ask each and every customer to come back.

3. Well-planned and well-positioned merchandising: Provide customers what they want when they need it. Think seasonality, eye-catching signage and wallet-opening displays with just enough specials to bring them back.

4. Emphasis on marketing: The days of waiting for customers to come to you are over. You’ve got to develop ways of bringing, not getting them into your store. For example, message boards should be changed frequently, add a budget for advertising, cross promote with complimentary strategically located businesses, use sampling and coupons in and outside the store, establish effective and creative use of suggestive selling techniques such as choosing an item of the day or week. Plus, recognize and reward each employees’ success. Fan the flame!

5. Execute properly: Design a plan, then make it happen. See it through with no excuses–excuses are merely a way of justifying failure. Review the plan with your team often and learn from your mistakes. Remember, it does you no good to accomplish one through four on this list, without proper execution.

6. Controlled: This really is No. 1. You don’t want to increase sales until your inventory, cash, employee/vendor and expense controls are in place and working well. “Creep, Crawl, Walk, Trot, Run” are all essential steps! It’s more fun for most of us to play offense than to spend too much time on defense, but the New York Giants proved once again, that DEFENSE WINS.

7. Vibrant: It’s not enough to be squeaky clean and friendly. Some stores give off a great feeling and you can’t quite put your finger on it, but you just feel the excitement when you arrive. Strive to be people pleasers.Vibrancy is more difficult to define and not quite as tangible as most items on the list, it separates the wheat from the chaff.

8. Stay relevant: You have got to work on keeping up and staying ahead of the times. Upgrade deli, coffee, fountain and frozen offerings, consider new uniforms, fresh donuts or pastry or an expanded line of novelty, knives, die cast, collector cards, Zippo’s etc. By all means, be noteworthy.

9. Get involved: Customers like to associate with winners. Be involved as an active part of the community. Pick a charity and stay behind it. Sponsor a Little League team or at least offer free fountain or slush beverages for youth teams. For goodness sakes, be your own press agent. It ain’t braggin’ if you can do it! The media is always looking for news.

10. Be competitive: Market fuel as competitively as possible and understand that not doing so will cost you sales on high grossing in-store items. In case you haven’t noticed, the major brands that we hid behind for so long are no longer able to provide that precious buffer. Only 10% of our customers think brand is the key factor in choosing where to buy fuel! A recent NACS survey said, “To save one-cent per gallon, 32% of consumers would make a left turn across a busy intersection. Another 29% would drive 10 minutes to save 3 cents a gallon.” Need I say more?

It’s disco time. No one is too old to learn those dance steps, “stay offa’ my blue suede shoes” It’s as easy as the “Texas two step,” 1 – 2 – 3. Shhh. Listen to the music ♬ planning to thrive! ♬

Jim Callahan, Partner
Convenience Store Solutions
Jfcallahan502@msn.com

The sweet science of obtaining a better deal than was offered!

To compete with the big chains more effectively, you’ve got to be able to buy better, which is obviously much more difficult for a smaller chain, even more so for the single store operator. But in reality it’s much easier than you might think

Let’s begin…

First, the importance of great vendor relations cannot be overstated. Over the years I’ve witnessed more than a few blood baths between vendor and customer–S T U P I D! While it might make you feel momentarily better or bigger to “go off” on a particular vendor, there is no percentage in it. We need our vendors just as much as they need us! So first, we must work on “Vendor Relations Excellence:”

* Develop a good rapport with your vendors. They can make or break you.
* Remember, they like you are trying to make a living in a tough world.
* Most all vendors will appreciate and respond to fair treatment and kindness. Offer to take delivery of a new item that’s important to them.
* Work to build a relationship of cooperation and trust.
* Take an interest in their family, (from afar) and their likes and dislikes. I once had a Nestle rep tell me, “Jim you are the only customer I’ve ever had that always has a cup of hot tea for me!” Simply something I observed at lunch one day–didn’t have to go to college to figure that one out! Search for commonalities!
* If the Boss accompanies them, keep the focus on your rep and say as many complimentary things as possible. The rep will appreciate it!
* Be willing to help them achieve their quotas.
* Get them in and out quickly. They have more calls to make!
* Allow every new item great placement and a fair price.
* Let them know you’re willing to allow special signage and great placement when visiting dignitaries are in the area. This is important to vendors.
* Give them reasons to like you. One of my great compliments was hearing a vendor recount telling his boss he was going to call on Jim Callahan the next day and his boss said: “Better break out the band aids!”

These are some of the important keys for a small businessman to be able to start to “earning better deals.” Now were ready to ask the questions.

Make sure you ask with absolute assurance, holding eye contact the following:

* What are your DEALS?
* Inquire about FREE GOODS, especially the first time and on new products.
* Ask about REBATE PROGRAMS. Find out if and how you can qualify.
* Don’t forget SHELF OR PLACEMENT MONEY!
* Ask about EXTENDED TERMS.
* What about DISCOUNTS?
* Is there advertising money for flyers, signs, reader board placement?
* Dicker a little. For example, “Can I get a little less than that or combine it with another product, and still get the deal?”
* Quid pro quo. You scratch my back and I’ll scratch yours. I’ll give you first position for the right deal, etc.
* Always end with, “What other programs do you offer? Is that really the best you can do?” or “I’ll take the deal if you can give me just…”

Ask for more than you think is possible. The results will absolutely amaze you! My personal philosophy in planning what to ask for is, I ask for an amount that is personally embarrassing to me. I get it more often than you’d believe, but we are often guilty of thinking small!

Have fun with it, practice and enjoy it. Vendors like a challenge, as long as it has an upside!

Jim Callahan, Partner
Convenience Store Solutions
1 Quail Run Drive
Newnan, Ga 30265
Jfcallahan502@msn.com

A Must Read for all your cashiers!

First, it is an established fact that getting ahead in the convenience store industry is much, much easier than in most any other industry. While we absolutely believe in the value of a good education–indeed many company’s help fund continuing education for their employees, our industry does not require a college degree.

Many managers and general managers worked their way up the ladder without a high school diploma, and most go back and get a GED & more.

I’ve been thinking of this subject matter for more than a year now, but it took a quote from William Feather, to get me started: “Success seems to be largely a matter of hanging on after others have let go!” While I have never said it nearly that well, I’ve been preaching the premise for years. Now, let’s get into the “secrets of getting ahead.” They are so overwhelmingly simple that you might have trouble believing them, but, let me ask, “What have you got to lose by keeping an open mind?”

You will absolutely stand out from the crowd if you merely:

* Resist the urge to call in sick. This is a biggie and will immediately separate you from 75% of your co-workers. Yeah, I know you genuinely don’t feel well some days and, tell the truth, a couple of hours later, most times at least, you are feeling just fine. I personally don’t want to take time off when I’m sick. Why? When busy I tend to forget how bad I might feel. You know I’m right. Discipline allows you to shine!

* Show up when you’re scheduled. And not one or 30 minutes later. Admit it, you know it bugs the heck out of you when your shift replacement delays your carefully made plans.

* Show up with a good attitude and ready to work. Customers make choices every day about where they will stop to buy gas, beer and cigarettes. They make these decisions as much on the basis of the person behind the counter as they do on price!

* Look and act the part. How really difficult is it to be bright, clean and looking sharp? When I say “act,”that’s what I mean. The store and front counter is your stage. The customers are your audience and their smiles and compliments are your applause! You have an awesome opportunity to affect the way hundreds of people feel about the start or finish of their day every day!

* Do your share and a little bit more – every day!

* Understand that one “Aw, heck” from your Boss, wipes out the last few “Attaboys.” This understanding is critical to your growth. Most of us tend to maximize the “attaboys” and minimize the “Aw Heck’s.” That’s reverse thinking.

* Team players develop into team leaders. Simply put, be loyal to your paycheck, go the extra mile by doing things like volunteering to do the tough jobs. It makes the day go faster and you’ll like yourself better. Be a positive force and help lead others along the right path. Don’t turn a blind eye on a dishonest vendor or a cheating co-worker. Keep your integrity and honesty intact!

* Fight the urge to “walk” when things are not going well. The c-store annals are full of stories of individuals who “stuck it out” through tough times and ended up in top management or even as owners of the business. Understand that your fellow workers feel the same as you. Every time one of them gives into discouragement and leaves, you automatically rise in managements eyes. Read that again and burn it into your mind, there is no Utopia. Stay the course. You’ll be glad you did!

* For goodness sakes give a notice if you find a better position. Giving a notice makes great sense for you. Giving notice once again separates you from the masses and, more importantly, in most cases it allows you to be rehired should another opportunity at the company arises. Having plans to return always keep your options open!

While I’ve said quite a bit, I have not said anything that resembles “difficult.” We all have to work somewhere and convenience stores present an ever increasing and constantly improving opportunity for meaningful employment and advancement. In a difficult world, indeed, convenience stores are a veritable emergency room for workers and travelers!

Jim Callahan, Partner
Convenience Store Solutions
1 Quail Run Drive
Newnan, Ga. 30265
Jfcallahan502@msn.com

So simple – so profitable – so what’s stopping you!

Unless you run an above average operation, you might just experience a sudden urge to stop reading, part way thru this article. I’m going to put the results toward the top to help, suppress that urge!More…
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In my usual rush, I found myself in a long, but swiftly moving line at a fast-food restaurant recently. Having nothing better to do, I did a little observing and confirmed what I really already knew, but had just never taken the time to place in proper perspective.More…
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Running Convenience Stores is a long and exciting journey, albeit fraught with Pot Holes, Winding Roads and Stormy Weather. If you’ll stay the course, you will still find that a small pot of gold awaits you!More…

So tell me, what other long, rugged and expensive Trip would you make without using a “Road Map”?
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Over the years, I’ve found that when I’ve matched the right product with the right occasion, I’ve been able to create increased sales with a much higher gross profit %. Not nearly as difficult as it sounds! Here’s an example: we place wool hats and brown jersey gloves on the counter, directly in front of each cash register, each and every time the weather turns cold. I started doing this 15 years ago in frigid upstate N.Y. and find that it is every bit as effective in sunny Georgia. Our stores each sell many hundreds of these items – year after year at 65/70% gross. The key is to have them at the register when and only when it is cold! Ice scrapers, gas line antifreeze and other chemicals are also good items.

Recognizing that most of us fail to get our customers to “walk the store”, to see the wide array of products that we have to offer, consider instead, bringing the store to them. How, you might ask – Use a portion of the counter by the cashier or a front end cap for timely items: Slim Fast drinks and Slim Fast Bars at the first of the year for the many who make a resolution to lose weight. January and early February are key months for customers who spent too much during the Holidays and are looking for bargains – perhaps a 3/99c Candy shipper, or a Meal Deal and Fountain drink special – all it takes is a large empty cup with a visible price. February and March of course bring with them the Cold & Flu Season.

What’s wrong with having Cough Drops, Vitamin C, Tissues, and Nyquil right under your customers “runny nose”? Match the Product with the Occasion! Do it all year long and watch your profits rise.

To be even more effective with the tactic, involve your Employees. I’ve had Cashiers wear the wool hats at the register during Cold weather to help drive the point home. Let your employees know how important these extra sales are – some Companies fund both raises and bonuses out of Suggestive Selling Profits! Many others run suggestive selling contests, rewarding those who reach certain benchmarks. Consider a suggestive selling item of the day or the week. Once a Cashier becomes comfortable with suggestive selling, you will see extra pride and satisfaction – done right, it can be infectious for the entire store!

Even small chains now have the ability to create inexpensive signs to bolster sales of the chosen product. Place them in key spots around the store. If you’re in an area that allows Reader/Message Boards, share your sales theme with the motorists who drive by your store. Do the same with electronic gas pumps. The key to effective signage is to be “Short & Sweet” and to change it often.

Good Luck!
Jim Callahan, Partner
Convenience Store Solutions
Jfcallahan502@msn.com

So wrote the poet Bob Dylan!

You may very well have a nice, clean, well merchandised Convenience Store and still not be doing the amount of business required. Just in case you missed the memo, the days of depending on Customers automatically coming to your nice store are over! Like Hansel and Gretel, the most successful business operators are finding a way to “leave a trail of Gingerbread”, leading directly back to your store(s). Read the rest of this entry »

It’s a well know Sports adage that you can’t be a stand out winner without being strong on defense. The very same holds true for the Convenience Store Business. Viewing Security Tapes from your stores Video System is one excellent way of practicing “Strong Defense” (for those that don’t have Security Cameras, this very same information has meaning for you too). Read the rest of this entry »