How I Boosted Revenue by 38% in a ‘Dying Industry’
Embracing the Challenge: The Bold Decision to Buy a Bookshop
“Wow, are you crazy?” This was the common reaction I received when I purchased a struggling bookshop in my small local town in early 2024. The skepticism didn’t stop there. Friends and family chimed in with comments like:
- “Bricks-and-mortar shops are dead.”
- “No one reads physical books anymore.”
- “Why leave a six-figure online business for retail?”
Despite the naysaying, I dove in headfirst, making what turned out to be the best worst decision I’ve ever made. Fast forward a year, and our revenue has skyrocketed by 38%. Not only that, but we’ve become a community favorite, earning recognition from our local MP. All this from a so-called ‘dying industry.’
The Power of Branding: Step 1
With a background in marketing and branding, I understood the need for a bold brand refresh. It wasn’t just cosmetic; I redefined our brand values and personality. We adopted a bright, friendly aesthetic and a ‘heart-on-sleeve’ approach to marketing.
This refresh extended beyond our signage and bags, enriching our customer interaction, and even our receipts. This branding makeover allowed us to be noticed by locals who had lived in Umina for years and never even knew we existed!
Taking the Digital Plunge: Step 2
Harnessing my digital marketing expertise, I took control of our online presence. I reinstated all our directory listings, secured features in local media, and launched a sleek e-commerce website. A series of lead magnets, such as discounts and curated book lists, brought customers into our email funnel, allowing us to engage through a monthly newsletter.
Our local SEO efforts, complemented by targeted Google Ads, attracted new customers from all around the Central Coast of NSW. The impact was palpable!
Creating a Welcoming Space: Step 3
I made it a priority to cultivate an inclusive environment. We welcomed dogs, ensured wheelchair accessibility, and promoted a safe space for LGBTQI+ individuals. Our events calendar buzzed with activities, from book clubs and cheese nights to kids’ weekends and VIP literary dinners.
This commitment to community engagement fostered an atmosphere of goodwill, sparking word-of-mouth excitement. Our playful social media content even went viral, drawing customers from as far as Sydney and Newcastle!
Reputation Makeover: Step 4
Initially labeled as poorly stocked and not child-friendly, our store’s reputation needed a digital upgrade. I took the initiative to respond to every review, transforming our feedback narrative. Generating positive reviews became instrumental in aligning expectations—Google’s AI summaries regard these reviews as vital components.
I established a loyalty program, rewarding regular customers with 5% back on purchases, significantly boosting our repeat sales.
Maximizing Customer Experience: Step 5
As I enhanced the customer experience, my next focus was on raising the average sale value. Initially hovering at $25, it now averages around $44 thanks to:
- Expanded Stock: Offering a wider range of choices and introducing shopping baskets to encourage purchases.
- Diverse Price Points: Catering to everyone, from $1 kids’ treats to $150 literary handbags.
- Low-Cost ‘Til Teasers’: Fun, affordable items that tempt customers to load their carts.
Investing for the Future: Step 6
After recovering my initial investment in just six months, I accelerated spending to further elevate the store. A concerted effort was made to enhance our book selection, particularly for children, alongside upgrading décor and customer-space features. The transformation contributed to a magical ambiance, making our store a destination unto itself.
Happy people spend more, and we were all about creating joy.
Smart Financial Management: Step 7
While book margins are predetermined by publishers, I streamlined profits on other stock by partnering with reliable local suppliers. By maintaining a vigilant eye on budgets and daily spending, I prevented overspending while ensuring quality improvements.
Mindful Promotions: Step 8
Although I’m generally against constant sales, we incorporate unique offerings. Our outdoor discount table rotates periodically, and we are poised to kick off our inaugural EOFY sale. My focus is on engaging events and delightful treats over discount culture.
Building a Strong Team: Step 9
I was lucky to retain an exceptional former employee, Michaela, and quickly made her manager. Adding Brooke and Tammy infused our tiny team with energy and creativity. Together, we cover diverse book genres while prioritizing customer service—something we’re consistently lauded for.
The Journey Ahead
It has been a tumultuous yet rewarding journey. While our revenue has improved significantly, I anticipate breaking even only this first financial year. However, the groundwork is laid, and the future looks bright.
In a landscape dominated by corporate giants, our strengths lie in creativity, customer service, and community spirit.
Wish me luck!
