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Rick Segel shares his experience, insights and ideas about new approachs to retail marketing & the state of customer service in today’s global retail community.

Wants vs. Needs

October 7th, 2008 by Rick

I received an interesting comments about one of my articles that was reprinted in the Rochester NH, Main Street Program Newsletter. One of my most basic beliefs is that Specialty Stores should be special. Duh! What a concept. The specialty store should also sell special merchandise. (I bet that was another revelation.) I also believe that basic merchandise is the category of merchandise that discount stores and online retailers have targeted as their market. That is why over the years so many successful retailers have been forced (by their customers) to trade up and become more of a specialist within certain markets.

Ask any retailer that has been opened more that 25 years and they will agree with that statement. Having said that, I had come to the belief that “basics” have almost become a bad word for retailers, because of the pricing pressures and an independent’s inability to inventory the stock required for many of the “basic categories” of merchandise.

I then interpreted what I said into a simple battle cry, “Sell the wants, not the needs.” Just because we need something doesn’t mean we are going to jump through hoops to buy it from the specialty retailer, especially when the selections are bigger and cheaper in the big boxes and with many online merchants. So when someone wrote that I was wrong and we should only be selling what people need, I questioned  if I was trying to do the wrong things to my customers.

So I compiled a list of things we don’t need at all and these businesses would be much better served if in fact they didn’t focus on wants and shifted over to a needs based retailing.

The first business that should definitely eliminate the want aspect is Las Vegas and all of those casinos. NO ONE NEEDS TO GAMBLE, that is just a big want. Not to mention those cocktail waitresses that are half undressed pushing cocktails. Put long sleeves and pants on them. We don’t need that kind of stimulation (ESPECIALLY at my age.) Convert those gambling halls into places of worship because we need to live a more religious life.

Now tell me honestly does anyone need a new painting for their living room or a nick nack in their kitchen. Who needs pizza? No one! What you need is a good home cooked, well balanced meal. For that matter, shut down MacDonald’s too. NO ONE NEEDS to eat that crap.

While we are getting rid of the wants, lets shut down all of the bars as well. No one needs the evils of alcohol. What about dry cleaner? Who needs them. Don’t be so lazy and do your own.

Yes, I could go on and on and I AM NOT really serious about my comments. I am just trying to make a point. I am also not upset with the person who wrote the comments of disagreement. Actually I appreciated those comments because it  makes me think.

So what are the lessons we can learn from this? Simple, Sell the Wants. I don’t think there is one gift store owner that wouldn’t love another Beanie Baby phenomenon. Margins are much higher in the “Want” categories. These are the areas where we can make money.

There is another lesson to we can all learn from this. Some disagreements and controversy are very good.  They keep us thinking and remaining responsive to the people we employ and the customers that fuel our business. Now here comes the big ending with the clever play on words:

Remember, especially in times like these, that we “need” the “wants” to move our business where we want it to be.

Have a great week!

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