There
are lots of reasons why retailing at QVM is really tough at present but many we
have heard over the past week are probably not relevant.
We
all want to understand why business is so unpredictable. Understanding leads to
corrective action, but if we don’t get the right understanding it can simply
lead to frustration and sometimes even anger.
A
common complaint in recent weeks concerns stall transfers, changes to permitted
use, and the introduction of new Traders. These new arrangements will often change
the competitive mix in the market and competition is a powerful dynamic. But
each of those three ingredients (stall transfers, permitted use, new Traders)
have compelling reasons for our full support. Without them, our ability to
tackle this retail revolution is compromised.
Clearly
we need new Traders. We have plenty of empty stalls to fill and new Traders add
interesting new elements to our offer. We don’t want duplication but some
crossover or competition with existing Traders can be difficult to avoid.
Changes
to permitted use can change the competitive dynamic but we all need the
flexibility to tweak our offer and address changes to consumer buying patterns.
Part of our role as retailers is experimentation.
For
similar reasons, stall transfers can be an important tool for Traders looking
to adjust their offer, trial new trading arrangements, and ultimately get a better response from customers.
Management
have a big responsibility here. They need to give Traders flexibility,
encourage new Traders to the market, and minimise clashes. Many Traders recognise
this is a tough job.
Poor
business is caused by lots of reasons but at present the over-riding reason is
low consumer demand. Low consumer demand is identified as the primary cause of retail decline across the globe. A competitor moving stalls, or adding products, or a new
Trader with “similar” lines, is not the cause of our dilemma. On the contrary,
retail is a fluid industry requiring freedom to change, adjust, and introduce
new features. Our survival probably depends on it.
By
Greg Smith