RV PRO

January '18

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124 • RV PRO • January 2018 rv-pro.com B U S I N E S S you might also be required to place the display in a spec- ified area of your facility; and, to use the display for a specified duration. Hopefully, your parts manager asked these questions while in negotiations with the supplier representative at the trade show. • Fee. There is a direct cost to the POP display. What is this cost? When is payment due? Is the cost (or a por- tion thereof ) reimbursed if you sell a specified amount of the related product(s) within a stated period? Regardless of the type of cost, get the agreed/stated policies in writing and read the fine print because there are no free rides. Occasionally, supplier representatives experience memory loss after the trade shows and they recall the POP display cost conversation differently than what you recall. Having determined the cost of the POP display, I suggest that you calculate the possible profit that could be generated from use of the display. Some factors to consider in calculating possible profit are: • What training is required for your associates so they can present the features and benefits of the product(s) high- lighted in the POP display? … And, what is the cost of this training? • How much of the product must be sold to recoup the cost of the display before any actual gross profit is derived from the sale of additional product? • What is the cost of the area in which the POP display will be placed? (cost per square foot) Objectives for Using the Display Another factor in your decision to procure a POP display is your objectives for doing so. This is especially important if the display is free, because there is a tendency to take some- thing that has no cost. Think of those free brochures and sales trinkets that are offered at trade shows. How many of them are actually reviewed and/or used after returning from the show? So, what are some of the possible objectives to be achieved from the use of a point- of-purchase display? • Silent salesperson. Often, the primary benefit of a POP display is that it acts as a silent salesperson by assisting your customers to determine the features and benefits of the product(s) on display without having to speak with one of your parts associates. This reduces the selling expenses related to this product because the display replaces your associate. • Attract Customer. If designed properly and effectively placed in your showroom, a POP can attract your cus- tomers to view the product(s) contained therein. This attraction impacts two types of customers: those who are looking for a specific product or solution to a need; and, those who were not aware of the product. By placing the POP display in an area of your show- room that can be easily seen by your parts associates, they can determine when to approach customers who are viewing the displayed products so they can begin the sales process. Or, if your parts associates are very creative, they might have installed a switch that the cus- tomer can activate to request assistance in deciding on their purchase. • Related sales. Frequently, a point-of-purchase display can initiate interest in related items that have been placed adjacent to the display. Or, your parts associ- ates might have developed "suggestion lists" that could be placed on or near the POP display and which offer other items for consideration by the customer. It is important to point out that the key word in the name of these POP displays is "purchase". They should be designed and placed to encourage and to facilitate purchases. Part of the facilitation might include mention of installation factors such as price and time required; and, that your trained technicians can perform this installation. Let's assume that the POP display is properly designed to attract attention and to initiate the purchase thought process. Facilitation of that purchase is also impacted by the placement of the point-of-purchase display. Placement of the Display There are some questions to which you should have answers to determine the most appropriate placement for the point-of- purchase display. Some of these are: • Where? Will electrical power be required? How much room is needed for the display? What is the most effec- tive location for this display? When considering where to place a POP display, considerations can include: placement where the display will attract customer attention; placement where parts associates can view the display and follow up with customers, if they have questions; and placement near an electrical outlet, if needed.

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