The following article is an excerpt of an article written by 12HIGH strategist, Nathan Bush. It is currently available on Inside Retail.
I don’t know about you, but I still haven’t attended any webinars or downloaded any whitepapers that will save a retail business.
Yet, it seems to be the go-to response for many retail partners, suppliers and vendors at this time. And sure, there are no doubt valuable lessons to be gleaned from most of them. It’s just not what most retailers want right now.
I spoke anonymously with a few senior retail leaders to understand how technology partners can help retailers. So, without further ado, let’s go all Mel Gibson and unlock what retailers really want…
Postpone or alter payments
To be attempted only if you have your own gas mask on first. Cashflow is the retail sleep killer and the solution to most problems right now.
If you are in a more fortunate position than your retail partners – say telecommunications or SAAS products – consider delaying payments for upcoming invoices until there is more certainty around the situation (i.e. when physical stores reopen).
In saying that, don’t give away everything for free. Communicate and retain the value because when we come out the other side, you don’t want price degradation.
“Vendors can best help through … payment terms and reduced rates. Whilst this sounds very one dimensional, it does help tremendously.”
We’ve seen Telstra announce that they will not enforce late fees or disconnections in April. We’ve also seen Google, Facebook, eBay and Shopify come to the party with generous grants. If you can ease the cashflow nightmare, it will be the best way to help right now. And it will pay dividends on the other side.
This one is especially for SAAS platforms where retailers are using components or tiered levels of your product…