Small retailers capitalized on strengths for holiday season

NEW YORK – Independent retailers who have had a successful holiday season said they took advantage of the fact that there are strengths in not being huge.

Store owners report they were able to change pricing and other strategies quickly. Many offered customers more personal service and a warmer atmosphere. And they said they used social media tools designed for smaller companies, including inexpensive ads on Facebook.

Bekka Palmer, who sells baskets, tote bags and jewelry in New York, said she sold at pop-up markets where shoppers gave her feedback that let her know she's on the right track.

Jon Abt said his appliance and furniture store held its own this holiday season, up against competition like Amazon, Walmart, Best Buy and more, by capitalizing on advantages it has over the big guys.

Abt offers free technical support for the life of a product and some free delivery. The store, in the Chicago suburb of Glenview, Ill., is designed to be entertaining — it offers chocolate chip cookies, a Santa every weekend during the holidays and an aquarium in the store year-round that give customers and their families an experience that goes beyond shopping for a TV.

"You've got to have a good price but you've also got to present some compelling reasons for why someone should buy from you," said Abt, who noted that sales were up about 15 percent from the 2016 holiday season.

Independent retailers who have had a successful holiday season recognize that there are strengths in not being huge.

How successful the season was for the retail industry as a whole won't be known until estimates from market researchers like ShopperTrak and a tally from the Commerce Department arrive in January. And after-Christmas business, when consumers are redeeming gift cards and looking for clearance sale bargains, can make the difference. But individual retailers including small and independent merchants already have a sense of how they have done, and what worked for them.

Palmer's baskets, tote bags and jewelry sold better than she expected because she made sure she received publicity. Palmer, owner of the online retailer Closed Mondays, met an editor of Domino, a magazine and website that publishes a holiday gift guide, and that bit of networking led to several of her creations being featured on Domino. She also approached New York magazine and a website called Design Milk and received mentions.

People browsing the online gift guides and then deciding to buy gave Palmer nearly a quarter of her sales from mid-November until mid-December, when she processed her last orders before Christmas.

"I was so much busier than I was last year," said Palmer, who lives and runs her business in Brooklyn, N.Y.

Palmer timed her outreach to gift guides better this year. In 2016, she contacted websites too late to be included. This year, she got in touch with them sooner.

"Many of our customers this year were specifically looking for things made in the USA," she says.

Joe Taylor's 18 hardware stores in the Hampton Roads and Richmond, Va., areas have had a good season, although they also have competition from Home Depot and Lowe's.

Much of its appeal comes from the fact that it's not one of the big-box stores said Taylor, the company's CEO.

"Being the locally owned and known family business, located down the street from home, certainly helps drive business to our stores during the holiday season," said Taylor, who estimates sales were up about 15 percent from a year earlier.

A location in the middle of a community helps a retailer build relationships that keep customers returning, Taylor says. The stores contribute to local organizations like churches and schools. They also have a rewards program, which gives customers a 5 percent rebate for every $250 they spend.

"That creates loyalty. Our customers are thinking, 'They're taking care of us, so let's shop with them,' " Taylor said.