With Christmas a distant memory and Easter still more than a month away, many small businesses will be experiencing a slight lull, especially those operating in consumer facing industries. However, there are several ways in which SMEs can capitalise upon Valentine’s Day this year thanks to the largely buoyant economy the UK is currently enjoying.
Consumer spending has risen rapidly this year, with luxuries at the top of the list for those who have reined in their budgets during the recession. Yet this does not necessarily mean that all small retailers and restauranteurs can be complacent, as competition remains high especially in larger towns and city centres.
In order to stand out from the crowd this Valentine’s Day, it is a good idea to identify a niche in the market which will capture the attention of consumers. A small restaurant business, for example, could go against the grain by offering a special Valentine’s Day promotion at a time when larger rivals tend to up their prices.
One good way to do this is by offering a discounted meal for customers either dining alone or with a group of friends – consumers not ensconced in a relationship can feel alienated by the “love hearts and confetti” theme adopted around the 14th of February and, as it falls on a Saturday this year, restaurants risk losing out on profitable weekend custom if they do not offer an incentive to draw in the crowds.
Alternatively, business owners could wholeheartedly embrace the concept by providing a free red rose or box of chocolates with every advance booking; this may prove particularly popular with boyfriends and husbands who have forgotten to make a trip to the florist!
Small retailers can also capitalise upon the opportunities afforded by Valentine’s Day by offering a promotion on this year’s hottest gifts. Along with the traditional chocolates and flowers, perfumes and shoes are expected to be top sellers this year, so purchasing a book of raffle tickets and giving one away free for a chance to win with every in-store purchase can drive footfall whilst not discounting the higher-end items that boost profit margins.
Finally, florists can truly benefit from Valentine’s Day if a little outside the box thinking is applied, despite the high level of competition from supermarkets. The number of florists on Britain’s high streets has dropped dramatically in recent years, so utilising every opportunity to attract trade is essential.
One of the best ways to attract custom is to offer not only great prices but a great consumer experience so examining whether delivery options are financially feasible is a good place to start, especially if this is not a service which is generally offered. Adding a personalised touch such as a handwritten card or a small bag of chocolate hearts free of charge can also help in gaining repeat custom as well as spreading news of the business through word of mouth.
As with any holiday, there are plenty of ways in which a business can stand out on Valentine’s Day – the trick is to identify a gap in the market which will have customers queuing out the door.
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