TRADE-IN TIPS   

“Cash for Clunkers” (officially known at the Car Allowance Rebate System) was designed to help stimulate the U.S. economy — and even if you don’t have $3 billion to spend, you can use the trade-in idea to help stimulate your sales. Not only will this type of promotion bring customers into your store, but you can use the trade-in items to help those in need.

Leather, Inc. has been conducting a trade-in sale for almost 20 years, offering its customers $25 off a purchase of $100 or more and $50 off a purchase of $500 or more when they bring in gently-used old luggage.  Over 1,300 pieces of used luggage have been donated to various charities over the years, according to their web site.

There is no need to offer an exact trade, especially if you are selling something that a charity doesn’t need.  For example it could be fun to ask for used towels for your local Humane Society, giving a discount on any bath and body product in exchange.

The Annapolis branch of the national chain Brighton Collectibles served as a drop-off place for gently worn shoes to be donated to Soles4Souls to help victims of Hurricane Sandy and others in need around the world.  They also offered customers a discount on new shoes from their store in exchange for their donation, with the amount of the discount dependent on how many pairs of shoes were donated. Another Brighton Collectibles store did a similar promotion with handbags.

In an original take on this concept, a two-store chain called Bloomers based in Alexandria, Virginia hosts an annual bra drive. According to an article on the Arlington News (and we all know that cause marketing makes for great PR), “Donations of new or gently used bras are accepted, and will be given to BraRecyclers. The organization distributes bras around the world to women and girls who have been stricken by disaster, or are in a state of transitioning back into self-sufficiency.”   As a reward, “Anyone who donates will receive a 20% discount off the cost of one new bra at Bloomers. Customers who donate will also receive a tank top, while supplies last.”

The trade-in concept does take a bit of work, because you need to have an efficient way to process the merchandise that is brought in and to make sure it does indeed get put to good use. But it allows you to bring customers into the store by in essence just offering 20% or 25% off on a single item.  They are almost certain to purchase more merchandise than what is being discounted, and to think of your store in a positive light in the future knowing that you’ve helped them repurpose something they no longer need.

Happy Retailing,

Carol “Orange” Schroeder