STORE CLOSING SALES FOR CHAIN AND MULTIPLE STORE OPERATIONS

When chain and multiple store operations need an infusion of cash the most efficient way to do that is to liquidate unprofitable or marginally profitable stores. These stores take more time, effort and commitment than good stores and affect the efficiency of the entire operation.

Closing a store or stores is not an easy thing to do. Where do you start? How do you organize and manage the sale? How to advertise to get the best response yet keep advertising expenses to a minimum? How do you discount to create that necessary customer buying-frenzy and still maintain the best margins possible? How do you deal with customer and employee emotions? At Wingate we have closed thousands of stores and know the solutions to these problems. Our Consultants understand customer buying characteristics and sale tactics to maximize margins.

“The last of my four stores is now in the final days of the sale. I was only considering the liquidation of one of my stores. After beginning the first sale, I decided to liquidate three other stores. I am very pleased with the results of all four sales and would highly recommend Wingate Sales Solutions.”

Wingate Client

A Wingate managed “Store Closing Sale” will convert inventory, fixtures and equipment to cash providing a quick infusion of cash!

Management can be so concerned about image that its decisions unnecessarily cost the company revenues and end up hurting its image.  Management may (1) Sell the inventory to a liquidator, usually well below cost, who conducts a Liquidation Sale using the companies good name and reaps all the profits.  (2) Conduct an in-house Store Closing Sale and because of inexperience unnecessarily lose profits and often take huge losses.  (3) Close the store and pull the merchandise out overnight! Nothing positive comes out of these maneuvers.

There are two reasons to sell to a liquidator—its quick and it’s easy.  There are two BIG reasons not to sell to a Liquidator.  First, the company takes a loss and the liquidator makes all the profit.  Second, the company gets a bad name from questionable sale techniques the liquidator uses and inferior merchandise the liquidator adds and dumps on the consumer under your company’s name.

When customers find the store closed without warning they are inconvenienced, irritated and even incensed.  It’s unlikely they will go out of their way to shop a sister store.  In fact, they may bad mouth the store because it was closed without warning.  No “good will” is salvaged here. 

Reasons not to close a store and move the merchandise to a warehouse for redistribution or directly to another store or stores:

1. Customers are inconvenienced and irritated. They often bad mouth the stores and seldom go out of their way to shop one in the future.
   
   
2. Cost of a crew to pack up, move, unpack, warehouse and redistribution.
   
   
3. The cost of disposing of odds and ends, discontinued lines, dated and out of season merchandise.
   
   
4. If moved directly to another store or stores the creation of heavily overstocked departments, lines, sizes, etc.
   
   
5. Ties up valuable floor space and makes these stores less profitable.
   
   
6. What to do with fixtures? If you have no need for them how do you dispose of them quickly and get a reasonable price for of them?

When all expenses of moving a store’s merchandise to another store or warehouse are added up it probably equals 60% to 70% of the inventory cost. The only thing worse is to hold an auction.

An alternative is to conduct your own Liquidation Sale. And who’s going to work the sale, manage disgruntled employees and handle customer relations. Too often the sale is left in the hands of store employees whose jobs are done when the sale is done. What is the incentive to protect the company’s image, not to mention the company’s return on liquidated merchandise and fixtures?

There is a better way---the Wingate way. We’ll generate more net proceeds than any other method of closing a store. We’ll sell the merchandise fixtures and equipment. We’ll do it the right way so there is only positive reaction from customers and more CASH in your bank!

Reasons to use Wingate for your Store Closing Sale:

1. We’ll convert the store’s inventory and fixtures (If you want to sell them) to cash. More cash than you think possible.
   
   
2. Your store will close with style - No unethical sales practices - No misleading advertising.
   
   
3. We’ll provide a sale plan to sell out inventory, fixtures and equipment lock, stock and barrel.
   
   
4. We’ll provide an expert Consultant experienced in store liquidation. He’ll work in the store, execute the sale plan and motivate your employees.
   
   
5. You retain complete control of the store, employees and receipts.
   
   
6. You proof and approve all advertising and discounts.
   
   
7. Your customers will appreciate the opportunity to buy your merchandise at sale prices and will remember your store with affection.
   
   
8. Your store will close with dignity and the good will of its customers.

Don’t sell down the inventory or move the good merchandise to other stores and expect the sale to be profitable.  For best results build up the best sellers and if good off-price merchandise can be found add it to the inventory.    

A Store Closing Sale, when planned and executed properly, can be one of the most powerful and productive sales known.  And it can be profitable!

“We far exceeded our goals and the return on investment your Sales Representative projected. Contracting with your company was a recipe for success.”

Wingate Client

Obviously, not all Store Closing Sales are profitable but most good stores with full and current inventories are.  Stores with depleted and sold down inventories are seldom profitable.  So, if you want to close a store profitably, keep the inventory in good condition and hire Wingate.

If you’re thinking of closing a store, or stores, find out how we can help you.  We welcome your questions.  We’ll send our brochure and reference letters and if invited our Representative will meet with you and explain the advantages of a Wingate Store Closing Sale.  No cost or obligation. 

Wingate Sales Solutions
Phone: 1-888-480-7253 — 316-262-5565; Fax: 316-262-3250
P.O. Box 48294 — Wichita, KS 67201-8294

Contact Us for more information!