Retailers Cut Back Where It Hurts Most

Spent some time last night talking with a rep that has custom shower doors in one of the big box home stores. My first comment to him was "business must be awful"! While he agreed that it was not living up to LY he did say his company had made many concessions to help the retailer and themselves drive sales.
He talked about how they lowered cost; visited stores routinely to provide training to new associates; faster turn around time on orders. Everything short of subsidizing payroll in the store.
The good news is he routinely finds customers shopping his shower doors and wanting to spend money. But - today he seldom finds associates available to help them. Custom shower doors don't sell themselves. "We could both be doing better if there was someone to help the customer".
The retailer in this case makes a margin of 35% while, according to the rep, they are left with about 10 points on an average sale. "We just don't have any more money to give them" he said.
Retailers need to keep their end of the bargain and provide the customer - and their vendors - the payroll support necessary to make sales happen. Not every category in a store sells itself. Today's technology should allow for associates to be quickly sent to high customer service areas.
There is a way - if there is a will - to balance both ends.