(Editor’s note: This is the first installment of a series focusing on the many ways Shaw helps retailers not only sell more, but improve their profit margins as well.)
Shaw is investing heavily in partnership building, field marketing resources and product innovation/co-development—all while protecting profit margins for flooring dealers. It’s all about driving sales growth, traffic and profits for its retailer partners.
Following are some of the ways Shaw is doing just that:
Strong brand portfolio
Central to any sustainable marketing program is one backed by a strong brand portfolio. To that end, Shaw aims to support its retailer partners by promoting recognized brands that consumers and end users crave—Anderson Tuftex, COREtec, Shaw Floors and Philadelphia among them—while at the same time providing differentiation.
“We’re training our sales force and retailers on product differentiation, focusing on how Shaw’s brands are complementary, not competitive,” said Carolyn Haicl, senior vice president, marketing and brands. “We’re focused on making the portfolio clear and complementary to help retailers guide customers to the right product—and often to a better one.”
Benefit for retailers: Portfolio gives dealers a one-stop-shop opportunity for consumers.
Smart selling strategies
Having a broad product portfolio is just one piece of the puzzle—albeit a big one. To be consistently successful in selling and maintaining respectable margins requires a shift in mindset. To that end, Shaw encourages RSAs and store owners to embrace a “benefits-first” selling strategy.
“It’s very important that we, as an industry, start the conversation with the benefits a product offers for their lifestyle and not lead with price point or features,” Haicl explained. “Consumers want flooring they can be proud of, no matter their budget.”
Benefit for retailers: Strategy puts the focus on the right product vs. price.
Focus on co-development
Shaw follows the path of co-development vs. simply pushing programs across the channel. A case in point is its outreach efforts to Shaw Flooring Network (SFN) members in advance of product/program development. Shaw utilizes the feedback loop for its customers as an opportunity for the company to course correct and then adapt accordingly.
“The Shaw Flooring Network is at the core of everything we’re doing,” said Benjamin Liebert, president, residential, Shaw. “Our intentions are all about our customer. It’s all about co-developing programs with the customers—not pushing it on them.”
The key here, according to Liebert, is taking a “decentralized command” approach, led by four regional general managers. “I don’t want the decisions to come from the control tower; I want those control towers to be decentralized and close to the market,” he said. “These four general managers are able to get immediate feedback from our customers, and they are empowered to take care of the customer while executing our strategy.”
Benefit for retailers: Dealers have greater input on the products sold in their local markets, empowering them to concentrate on best sellers.
Dedicated field marketing resources
In keeping with its customer-first mindset, Shaw is heavily investing in its retail partners with respect to marketing.
“We have not had dedicated resources in the field in the past to help take our national initiatives, marry them up with the customers initiatives and co-market,” Haicl explained. “We’ve invested in putting people in each of the markets who are working more closely with our customers, getting to know their objectives, understanding our brands and really marrying those together. The more people we can get into their stores, the better it will be for them and us.”
Benefit for retailers: Dealers reap the benefits of initiatives that draw consumers in their stores.
