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What Retailers Can Learn From Stella & Dot: Employee Passion Is Key
By Alicia Fiorletta, Associate Editor
Employee turnover is an ongoing challenge for retailers. During 2012, merchants reported a median employee turnover rate of 67% for part-time workers, according to research from the Hay Group, a global consulting firm. Overall, this was a 33% increase over 2011.
However, innovative retailers are implementing new strategies to not only retain employees, but also keep them engaged and passionate about the brands they’re supposed to be representing. One great example of this is Stella & Dot.
While Stella & Dot doesn’t necessarily follow a traditional retail business model, there is a lot that others in the industry can learn from the brand, especially when it comes to employee training and engagement.
In a Hilton conference room located approximately 10 minutes from the Retail TouchPoints offices, I had the opportunity to sit in on a Stella & Dot training session for company “stylists,” or field sales representatives. Part of a full-day soiree, the session honed in on selling best practices, and ways team members can incorporate new products into trunk show presentations and parties.
Danielle Redner, VP of Training for Stella & Dot, commanded attention from the room, which was comprised of women across age segments. During her presentation, Redner shared her favorite products, and offered tips on how to merchandise and sell them. Additionally, she divulged details on new sales incentives and giveaways for stylists. Onlookers “ooh-ed,” “aah-ed” and even cheered as she walked through the details and held up pieces from the brand’s collections, which now includes handbags.
At the end of Redner’s presentation, I waited patiently at the side of the conference room, passing the time by browsing through a few jewelry samples. Stylists were bombarding her, asking for pictures, and talking with her like she was an old friend. When she was able to finally break away from the crowd, I wanted to get to the core of my questions: What can retailers learn from Stella & Dot?
Redner focused on three key areas: Empowerment, education and communication.
Most Stella & Dot reps don’t have any sales experience, Redner explained. So, to build passion around the brand and its products, Stella & Dot spotlights stylist success stories.
“For Stella & Dot stylists, it’s about so much more than jewelry; it’s about empowerment,” Redner said. “When stylists come to their first event or local meet-up, the jewelry is what brings them in, but the culture and inspiration [of these success stories] take over.”
Throughout the year, team members have instant access to resources via the Stella & Dot University, which features on-demand videos on sales strategies and fashion trends. Additionally, the company sends monthly packages featuring PDFs, sales tools and product information, as well as images stylists can use to promote inventory and offers through social media.
Once stylists are equipped with the tools and resources to sell effectively, Stella & Dot offers a variety of incentives, which encourages them to book events and connect with prospective clients. For example, if new team members book two shows in their first 30 days, they receive $300 in free merchandise.
“Our goal is to provide the perfect cocktail of inspiration, excitement and skill,” Redner stated. “We reward our sales teams fast and appreciate them for what they do.”
Keeping stylist success top-of-mind, Stella & Dot also holds a variety of in-person events and training sessions, including an annual conference that connects thousands of stylists nationwide. During the get-together, aptly called “Hoopla,” attendees can learn about the fall collections, and get the chance to participate in detailed training and educational sessions. These events allow stylists to network, Redner explained, and turn working relationships into true friendships. “One of the key reasons our stylists continue to sell Stella & Dot — besides being successful — are the relationships they build.”
Retailers can take cues from Stella & Dot by empowering, educating and communicating with employees. By offering the perfect mix of education, friendship and rewards, Stella & Dot is building a robust team of stylists that are passionate and loyal to the brand.
So with that, I ask you, loyal readers, how are you engaging your employees, and keeping them passionate about your brand?