Planning a new branch opening can take many months, but the hard work doesn’t stop once you’ve cut the ribbon and opened the doors – in fact it’s just beginning. Here are some top tips on how to make sure a new branch succeeds in those crucial early months.
A crucial decision that can impact the success of a new branch even before the lights turn on is whether you’re planning a hard or soft launch. A soft launch gives you time to road test and perfect the branch, its team and the systems you have in place with targeted, ‘friendly’ customers before the footfall becomes too great, giving you time to iron out those unexpected issues.
By contrast, a hard launch means that everyone knows the branch is open, and everything needs to work smoothly from opening day. We have seen both approaches work well, but only when a good branch opening plan has been put in place that sets out everything that needs to be done in order to set the branch up for success.
Get support from your suppliers and customers
A merchant’s supplier partners play a crucial role in the success of any new branch opening. Their presence on opening day and in the weeks following opening with special offers, incentives and promotions, together with their support in communicating the new branch and its location to their customers through their social media and marketing channels, will support your own communication plan for the opening and greatly enhance the likelihood that the branch will succeed.
It’s also important not to underestimate the value that your existing customers can bring to your business. New customers who may not have purchased from you before will place real value on existing customers who act as your ‘advocates’, whether that’s through conversations in the yard or car park, or recommendations from fellow tradespeople on job sites and online.
Also make sure your team is friendly and welcoming, acknowledging customers (whether existing or new) when they enter the yard or trade counter, and always placing a high premium on customer service. Remember that people buy from people.
Offer support through those first crucial weeks
In the weeks following the branch opening, however good your team is they’ll need extra support to get things off the ground, so spend time both in the branch and out with your external sales reps meeting new customers to help and review the initial progress.
This is key to providing continuity and a link to your existing branch network and making any new team members feel as if they are being supported. By being there, mentoring, support and training can be provided in branch where required by the team, and you can ensure the new branch is keeping consistent with your existing values and the service levels your company is known for.
Track your progress
Always remember that ‘what gets measured gets done’. Tracking the progress made by the branch after it has opened will help ensure that the sales and margin targets needed to deliver the required ROI will be achieved. Equally, it will allow you to learn from your experience, so that your next Branch opening plan develops and improves even further.
Although not exhaustive, these key areas will help you as you open your next new branch and develop your merchant business to better serve your valued customers.
Moorgate Management is a specialist building products distribution consultancy who understands the builders’ merchant sector and the people working within it. We use our experience gained from decades working for, and with, both merchant and supplier businesses within the sector to provide our clients with the right strategic and operational solutions to help you achieve your objectives.
If you would like to talk to us, informally and in confidence, to understand how we can help you and develop your business, please contact info@moorgatemanagement.com or call Chris Maityard on 07767 291379.