Many times, you will hear attractions only talk about per capita spending, but one other measurement that attraction retailers should use is sales per square foot. Sales per square foot forces managers to figure out how to make more money per square foot of their shops rather than based on how many people come through the gate that may never step foot into the gift shop.
Focus on the fixtures
If an attraction gift shop needs to generate more money and your store’s square footage will not change, you should invest in new fixtures to the shop.
Consider adding more wall space in your store by adding gondolas. Also, you can increase the height of your existing capped gondolas by adding crates and countertop fixtures.
Never add fixturing that does not utilize height, as this is a drain on your sales. For example, a display case should almost reach the floor, and every shelf should be used for products. Any large base of a fixture or case that cannot be merchandised is costing you money.
"There has to be a balance and strategic placement of goods to ensure your store’s square-foot success rate."
Floor displays should never take up more than 10% of your sales floor. Displays entice people to buy, but if they are taking up too much floor space, they are also costing you money. If your displays are rather large, consider elevating them and placing merchandise under them.
Registers can also be a hindrance to your sales per square foot. Do you really need a 15-foot register stand with four registers for $4,000 in sales per day? Probably not. Consider using an additional portable register unit on high traffic days and keeping your sales floor for merchandise.
Mix up the merchandise
What is your product mix producing within its given square footage? Know where items are on your fixtures, and see how much they are producing where they sit within the location.
If items are not selling within three weeks of core season, you need to move them or clearance them out. Holding onto nonmoving items will cost you money. Always protect your store’s precious square footage for sales!
For many attractions, jewelry or rack/tower programs can be big winners for improving a store’s sales per square foot. Consider rack programs to offset items that take up more space on the sales floor.
However, never create a location with just rack/tower programs. That setup could deter shoppers and make the store less visually interesting. There has to be a balance and strategic placement of goods to ensure your store’s square-foot success rate.
Now go out and measure your success, one foot at a time!
Tommy Brown has been in retail management for over 30 years. He has worked for Dillard’s, Sears, and Six Flags Inc. and is currently with the Saint Louis Zoo. He is a past ZAG vice president and can be reached at tbrown@stlzoo.org.
