CCS In the News

Retail Success Still Relies on Sales Training

By Anne Marie Mueller
Published in TWICE
January 9, 2002

WebVan.com has delivered the last of its fresh produce at affordable prices. Pets.com has hung up its leashes and will no longer help feed Fido. EToys.com ran out of batteries, and Excite.com, purchased back in its heyday for $6.7 billion, is now negotiating a sell-out price tag that might pull in $10 million - pending the approval of bankruptcy court.

While the Silicon Valley's platinum veneer may be a bit more tarnished in this age of post-dotcom hysteria, studies substantiate that despite today's uncertain economic climate, consumer spending has actually turned toward the technology market. Combine this new cost- conscious era with the nation's recent tragic events, and it makes sense that consumers are more interested than ever in purchasing products that help improve both global and personal communications, while also enhancing information access.

Given this trend, the challenge becomes: how do manufacturers and retailers best position their products to sell in the increasingly competitive tech market? In this new economy of less hype and tighter purse strings, smoke-and-mirrors are out. The key to profitability for both manufacturers and retailers relies heavily on a well-trained sales staff eager and able to not only address the changing needs of the consumer, but to deliver the exceptional, informative service and expertise that helps develop long-term brand and store loyalty between consumers, product manufacturers, and retailers.

A universal truth in achieving success at retail is in meeting consumers' needs, which means answering their questions and accurately guiding them in their purchasing decisions. In today's marketplace, where technology is constantly changing, it's imperative to build a strong foundation of sales associates equipped with product knowledge and sales expertise.

Studies indicate that the retail sales person is the #1 in-store influencer of all consumer electronics and technology purchases. Because of the influence Retail Sales People (RSPs) wield during consumer purchasing decisions, the success of the sale is directly impacted by the consistency and quality of the messages that manufacturers provide to the sales professionals who then deliver it in-store. Quite simply, retailer sales professionals sell what they know.

"Consumers need to be more comfortable buying consumer electronics, especially higher priced products," says Gary Shapiro, President of the Consumer Electronics' Association (CEA), which unites more than 650 companies within the U.S. consumer technology industry. "A trained sales force not only helps consumers understand which of our products to buy, it makes them feel comfortable buying and recommending our products to others."

Building a successful sales force is the key to building a successful business. But what is the most cost-effective way to train retailers nationwide on the wide spectrum of consumer electronics and high-tech products currently on the market?

Studies by Creative Channel Services (CCS), an industry leader in the development of retail training programs that reach tens of thousands of retail sales professionals, have shown that the backbone of any successful training program is in providing the highest quality product education available, and offering the training in integrated formats that effectively and cohesively reach the largest number of RSPs. The ultimate goal of any cost-effective retail training program - whether online, face-to-face, or in-store - is to improve customer service ratings, increase sales, and ultimately deliver a win-win-win-win scenario in which retailers, manufacturers, RSPs, and consumers come out ahead.

For their part, successful retailers understand the value of a well-trained sales staff, particularly in capturing a competitive advantage in an ever-crowded retail environment.

"The training of the CompUSA Team Member is all about Customer Service. [We must understand] that while the customer has many choices as to where to purchase their technology needs, it's up to us to offer them a reason to shop at CompUSA," says Randy Smith, Vice President of Human Resources for CompUSA. "We have found that (CCS') CyberScholar.com's web-based training format allows our 19,000 Team Members to… ultimately provide better service."

"Effective training is not a cost, but an investment that more than pays for itself," says George Somerville, Manager of Training and Development for Micro Center. "Training is effective if it increases sales, sale margins, employee income, and customer retention, while simultaneously reducing product returns and employee turnover."