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Despite the past year’s comparatively low sales volume, independent retailers in North America are performing well, according to a Retail Benchmarks Report from retail management software provider, Vend. The report cites jewellery stores as one of the primary drivers of revenue for the continent, along with liquor and furniture stores.
In the past 12 months, North American independent retailers’ average monthly revenue exceeded that of their U.K. counterparts by 15 per cent and fell firmly within the global average, says Vend. Average transaction value was slightly higher, exceeding the average by four per cent. These factors help to balance out a lacklustre sales volume falling 11 per cent below average.
“It’s not an easy market for independent stores right now. However, it is encouraging to see healthy revenue and spending figures compared to other key markets,” said Butch Langlois, Vend’s country manager for North America. “This shows consumers are still clearly choosing to shop with independent stores—it’s simply value over volume, which is a testament to the unique products and experiences these retailers provide.”
Langlois added some of this success could also be attributed to effective customer loyalty programs and retailers’ solid understanding of their customer base.
“Some 56 per cent of North American retailers have loyalty enabled in their point-of-sale (POS) systems, and they have 23 per cent more customers stored in their databases than the global average—well above British and Australian stores,” he said. “Knowing who your customers are and being able to use the information you have to give them the best in-store experience possible can make a big difference to sales and repeat business.”
