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This was a difficult situation as the lease had expired and we only had 3½ weeks to liquidate the inventory. Starting inventory ran almost $270,000. Due to the short length of time we had to start the sale with about a 10% deeper discount than normal. The first day of our Pre-Showing we had a line of customers four deep a block long waiting to get in. Sales that day ran over $96,000 so they bought another $42,000 in fast turning merchandise. Reported gross sales ran well over $435,000, plus another $18,000 in fixture and equipment sales. This was a long established store open to the public and in recent years had developed a strong on-line business. It had a 70,000 customer email list which we used extensively. Consequently, we did not use any newspaper, radio or TV advertising. NO media advertising expense!
We are facing highly unusual times. Stores in many states, cities and counties have been forced to close, and the consumer has been encouraged to stay at home and only shop for necessary items. It now appears that things are beginning to break open, the consumer is starting to get out and retailers are going to have to aggressively go after every dollar they can get to cover lost sales.
The retail industry has lost their good spring selling season. Retailers are stuck with two seasons of merchandise. Now they must reopen with a strong sale and heavy advertising to generate customer traffic and raise a huge amount of cash. Out of season and over stocks need to be converted to cash while in season merchandise needs to be sold to make as much profit as possible. AND IT NEEDS TO BE DONE AS SOON AS POSSIBLE!