Retailers - Showrooms vs. the Internet
Discussion
Are there many trades out there that suffer as badly as the fireplace industry with internet-only companies? The typical phrase used is something along the lines of "I want to stay with local businesses, but I've found it cheaper on the internet, do you have any movement on the price?" The normal retort is "They can't match our service so we aren't prepared to match their price", but we still have to offer discounts on so many quotes.
The worst thing is, one of the biggest distributers in the country are currently stabbing their retailers in the back by selling directly to the public through their own internet sites, it's the most demoralising situation to be in. Some of the stuff they sell is cheaper to the public than we can buy it for!
The worst thing is, one of the biggest distributers in the country are currently stabbing their retailers in the back by selling directly to the public through their own internet sites, it's the most demoralising situation to be in. Some of the stuff they sell is cheaper to the public than we can buy it for!
Unfortunatly this is a problem that is facing the whole of retail. I would argue that the only effective way to differentiate is pushing the installation service & garantee. Try to show customers that a fireplace has potential dangers and top class installation is a must.
Otherwise, have you considered sourcing fireplaces from elsewhere? Eg. Overseas?
Perhaps try targeting a very narrow market segment, the very wealthy individual who is happy by pay a considerable amount more knowing that they will get an expert consultation, tailored product and 1st class service regarding installation and after-sales?
Otherwise, have you considered sourcing fireplaces from elsewhere? Eg. Overseas?
Perhaps try targeting a very narrow market segment, the very wealthy individual who is happy by pay a considerable amount more knowing that they will get an expert consultation, tailored product and 1st class service regarding installation and after-sales?
SE24 said:
Unfortunatly this is a problem that is facing the whole of retail. I would argue that the only effective way to differentiate is pushing the installation service & garantee. Try to show customers that a fireplace has potential dangers and top class installation is a must.
Otherwise, have you considered sourcing fireplaces from elsewhere? Eg. Overseas?
Perhaps try targeting a very narrow market segment, the very wealthy individual who is happy by pay a considerable amount more knowing that they will get an expert consultation, tailored product and 1st class service regarding installation and after-sales?
A lot of the stuff we supply are made in China, pretty much anything cast iron. However there are still many popular products that are made in England, which aren't available on the internet. More manufacturers are starting to make their products more exclusive and ensure that they are only available through retailers who have showrooms with their products on display.Otherwise, have you considered sourcing fireplaces from elsewhere? Eg. Overseas?
Perhaps try targeting a very narrow market segment, the very wealthy individual who is happy by pay a considerable amount more knowing that they will get an expert consultation, tailored product and 1st class service regarding installation and after-sales?
Elskeggso said:
rich1231 said:
Why can an internet retailer not match your service?
Most internet suppliers do not have showrooms, cannot carry out site visits, provide installation or high levels of after sale service.rich1231 said:
Elskeggso said:
rich1231 said:
Why can an internet retailer not match your service?
Most internet suppliers do not have showrooms, cannot carry out site visits, provide installation or high levels of after sale service.
rich1231 said:
Website is a showroom
No it isn't. Would you buy a car that you've not seen in the flesh? 
rich1231 said:
Get a local corgi gas person to do the visit and install
Has he fitted fireplaces before? I doubt it, he'll just connect the gas fire. Is he going to correspond with the fireplace company about details for the fitting? No. If only every fireplace job was as easy as you say.
rich1231 said:
after sales service via phone/email/helpdesk
A lot of after sale enquiries require someone to go back to site. Who would do that?anonymous said:
[redacted]
Shop around. There is a shop quite near us which is on average twice as expensive as us for exactly the same product. If you are in the London area, there will be someone relatively near to you who do Gallery fireplaces http://www.galleryfireplaces.co.uk/index.php There will be something in their range that would suit his house.rich1231 said:
Website is a showroom.
a website is not a showroom:it is the equivilent of:
a freephone number
advertising
whether or not you buy something online is dependent on your trust/gullibility in forking over dosh for something you cannot touch/see whether it be the people or the product/service.
Elskeggso said:
rich1231 said:
Website is a showroom
No it isn't. Would you buy a car that you've not seen in the flesh? Funnily enough the large growth area in car sales is leasing where a car is literally delivered to your doorstep - totally sight unseen.
I am a bit puzzled by your attitude towards some of the postings here, as it sounds like you cam on here for advice, but when you get what is a very valid viewpoint that many of your customers (or non-customers as the case may be...) think you come over all defensive.
You need to stop and forget the way that it always has been done, and think out of the box. Or, you can put your fingers in your ears and complain you have no business when it is all too late.
The fact is that 10 years ago 95% of people would not have been able to shop around and would not want to ring up the whole Yellow Pages to get a fireplace quote. You could keep a healthy margin.
However, now 80% or more of people are savvy enough to know that the Internet can get them a cheaper deal. Indeed, from their iPhone or similar, a savvy customer searching for a model number could probably find the same item cheaper in 60 seconds without even leaving your shop.
So, if you want my advice you can either:
1) Do nothing and be happy with the 20% of the market (and falling) who resist using the internet.
2) 'Join em' and sell em cheap and stack em high.
3) Heavily focus on selling your service as something which cannot be done online.
I would do an even more clever thing:
4) Make your own website with a totally different company name and sell them cheap. You will be taking business off the Internet guys. However, you also run your showroom as normal at the higher prices as in 3). The best of both worlds but with not only more profit from the internet sales, but because of the higher volume of stock you could even get a cheaper rate on stock for the showroom.
JustinP1 said:
Elskeggso said:
rich1231 said:
Website is a showroom
No it isn't. Would you buy a car that you've not seen in the flesh? rich1231 said:
1) Do nothing and be happy with the 20% of the market (and falling) who resist using the internet.
2) 'Join em' and sell em cheap and stack em high.
3) Heavily focus on selling your service as something which cannot be done online.
I would do an even more clever thing:
4) Make your own website with a totally different company name and sell them cheap. You will be taking business off the Internet guys. However, you also run your showroom as normal at the higher prices as in 3). The best of both worlds but with not only more profit from the internet sales, but because of the higher volume of stock you could even get a cheaper rate on stock for the showroom.
They are the same options I have been weighing up. The trouble is, the possibility of moving to a new premesis in the near-ish future makes 2) and 4) not worth considering at the moment, but saying that it could be exactly the right time to try something like that.2) 'Join em' and sell em cheap and stack em high.
3) Heavily focus on selling your service as something which cannot be done online.
I would do an even more clever thing:
4) Make your own website with a totally different company name and sell them cheap. You will be taking business off the Internet guys. However, you also run your showroom as normal at the higher prices as in 3). The best of both worlds but with not only more profit from the internet sales, but because of the higher volume of stock you could even get a cheaper rate on stock for the showroom.
Elskeggso said:
rich1231 said:
Elskeggso said:
rich1231 said:
Why can an internet retailer not match your service?
Most internet suppliers do not have showrooms, cannot carry out site visits, provide installation or high levels of after sale service.rich1231 said:
Website is a showroom
No it isn't. Would you buy a car that you've not seen in the flesh? rich1231 said:
Get a local corgi gas person to do the visit and install
Has he fitted fireplaces before? I doubt it, he'll just connect the gas fire. Is he going to correspond with the fireplace company about details for the fitting? No. If only every fireplace job was as easy as you say.
rich1231 said:
after sales service via phone/email/helpdesk
A lot of after sale enquiries require someone to go back to site. Who would do that?You cant see why you are failing can you?
If you dont think a website is a showroom then you are a fool.
Re yourother points. I bought a F place without seeing it in the flesh and had a local firm install it. It all worked. There isnt some black art to installing a fireplace. Its just an object, though you obviously think its some magical device only a special few can sell and explain to customers.
rich1231 said:
Elskeggso said:
rich1231 said:
Elskeggso said:
rich1231 said:
Why can an internet retailer not match your service?
Most internet suppliers do not have showrooms, cannot carry out site visits, provide installation or high levels of after sale service.rich1231 said:
Website is a showroom
No it isn't. Would you buy a car that you've not seen in the flesh? rich1231 said:
Get a local corgi gas person to do the visit and install
Has he fitted fireplaces before? I doubt it, he'll just connect the gas fire. Is he going to correspond with the fireplace company about details for the fitting? No. If only every fireplace job was as easy as you say.
rich1231 said:
after sales service via phone/email/helpdesk
A lot of after sale enquiries require someone to go back to site. Who would do that?You cant see why you are failing can you?
If you dont think a website is a showroom then you are a fool.
Re yourother points. I bought a F place without seeing it in the flesh and had a local firm install it. It all worked. There isnt some black art to installing a fireplace. Its just an object, though you obviously think its some magical device only a special few can sell and explain to customers.
Elskeggso said:
rich1231 said:
Elskeggso said:
rich1231 said:
Elskeggso said:
rich1231 said:
Why can an internet retailer not match your service?
Most internet suppliers do not have showrooms, cannot carry out site visits, provide installation or high levels of after sale service.rich1231 said:
Website is a showroom
No it isn't. Would you buy a car that you've not seen in the flesh? rich1231 said:
Get a local corgi gas person to do the visit and install
Has he fitted fireplaces before? I doubt it, he'll just connect the gas fire. Is he going to correspond with the fireplace company about details for the fitting? No. If only every fireplace job was as easy as you say.
rich1231 said:
after sales service via phone/email/helpdesk
A lot of after sale enquiries require someone to go back to site. Who would do that?You cant see why you are failing can you?
If you dont think a website is a showroom then you are a fool.
Re yourother points. I bought a F place without seeing it in the flesh and had a local firm install it. It all worked. There isnt some black art to installing a fireplace. Its just an object, though you obviously think its some magical device only a special few can sell and explain to customers.
You have to see the sale, the install and after care as 3 seperate businesses.
Until you see things like that you will be stuck with the must do everything mindset and limit your market.
rich1231 said:
You have to see the sale, the install and after care as 3 seperate businesses.
Although as a customer I would like to deal with one business, not three. All things being euqal I'd also like to deal with a bloke with a proper phone number within reach, not an automated 0845 number in Godknowswhere that gives me a choice of five menus. It's a quality of life thing.Elskeggso said:
I know for a fact that people that have come to see us, and then bought it off the internet have ended up saying, and I quote, "I wish I had just used you for the whole job". End of arguement.
The only argument that ends is whether the way that the way you are currently marketing your business works or not.That just simply shows that you are not getting the sales from the people who can't fit their own as they go to the net and you are also not getting the sales from the people who can fit their own as well.
You need to do BOTH.
People are not able to justify hundreds of pounds extra for benefits they cannot see.
Therefore you split them. As has been said, sell the fireplace and offer the best deal on that - THEN also offer them the best deal to fit it too as a separate thing.
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