299. Retail Mystery March: Is Your Inventory Priced for Profit?

With host retail coach Wendy Batten https://wendybatten.com/podcast-intro/ Episode Overview Why would a shop that has been open for over a decade, has loyal customers, strong brands, and steady traffic have stalled growth or even a decline in business? In this second installment of the Retail Mystery series, I share the fictional case of a home decor shop owner who feels stuck after 13 years in business. Profits are still coming in, but not at the level they once did. The owner points to the economy, weather, rising wages, and shifting customer habits. All valid concerns. But when the deeper investigation begins, a different pattern starts to emerge. This episode invites experienced shop owners to pause and look beyond external factors. If business feels harder than it used to, I'm offering practical clarity on where to look and what may need to shift inside the store itself. Our Key Topics What happens when you stick with "comfortable" and "easy" when it comes to inventory planning Why you need to keep up with modern customer needs based on your goals: social selling, social media, e-commerce, etc. What happens when you blindly stick to the keystone method of pricing your goods (100% mark-up, 50% profit margin) Why you need to be properly priced Key Takeaways around Inventory and Pricing 1. Evaluate whether each brand is earning its keep on the shelf and per square foot. Doing this will help you determine which brands are making you money and where you may be able to better utilize the space by bringing in something your customers will love. 2. Keep inventory fresh, especially for loyal local customers who have already purchased. Are you attending market to find out what the newest trends are? 3. Update merchandising so customers continue to notice and engage with what is new. Build new displays to keep things fresh. Revamped displays, even with the same merchandise, will help regular customers see things differently. 4. Price properly. The keystone method for pricing isn't cutting it anymore. If your customers won't pay what you need to charge to make the product worth carrying in your shop, it's not a viable product. "Being nicely priced will put you out of business." - Wendy Batten Take a moment this week to look at your shop with fresh eyes and consider what areas may be ready for a thoughtful shift. Resources Mentioned and Related Episodes: Episode 104: Tight on Cash Flow? Let's Turn Your Old Inventory Into Cash for You Episode 168: Merchandising to Sell: Intuitive Merchandising Join my Love List! Follow along and chat with me on Instagram! About your host, Wendy Batten In case we haven't met…I'm Wendy Batten. I've been a small business owner, coach, and mentor for over 25 years. I help thoughtful, established entrepreneurs step into their role as CEO and build businesses that are profitable, meaningful, and supportive of the lives they want to live. My work blends real-world strategy with a life-first philosophy, shaped by lived experience, not theory. I've been there! Through honest conversations and practical insight, I invite you into bigger thinking about leadership, possibility, and how to build both business and life on purpose. For more support from Wendy Hang out and connect with Wendy on IG All of Wendy's current programs and services for shop owners can be found HERE. Never miss an episode! Subscribe to the Creative Shop Talk Podcast and get the tools, inspiration, and strategies you need to thrive as an independent retailer.Click here to subscribe to iTunes! Loved the episode? Leave a quick review on iTunes- your reviews help other retailers find my podcast, and they're also fun for me to go in and read. Just click here to review, select "Ratings and Reviews" and "Write a Review" and let me know what your favorite part of the podcast is. So grateful for you! Thank you!