Through increased awareness of our membership benefits among associates, current members, and prospects, we intend to grow our membership base and increase retention rates
3. Through increased awareness of our
membership benefits among associates,
current members, and prospects, we
intend to grow our membership base
and increase retention rates.
6. Tire & Battery Center
Because you are a member, did you know that our tire
and battery center offers free: flat tire repairs, battery
checks, air pressure checks, and tread depth checks.
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
8170 6663 6667 6319 6412 6313
Member
Associates
Average Member 31%
Average Associate 77%
7. Tire & Battery Center
Current Benefits
• Free flat repairs
• Free battery check
• Free air pressure check
• Free tread depth check
Conceptual Ideas
• Wheel alignment equipment
- Offer free alignment when
upgrading to plus or renewing
- Offer an (e value) $10 off prior
to a purchase of 4 new tires
Timeline
• October (fall season)
-Promote winterizing
8. If Sam’s Club offered Wheel Alignments as a
service to the tire/battery center, would you take
advantage of it?
0%
10%
20%
30%
40%
50%
60%
70%
80%
90%
100%
8170 6663 6667 6319 6412 6313
Member
Associates
Member Average 84%
Associate Average 83%
9. Impact of Wheel Alignments
Pros
• Competitor driven
(COSTCO)
Long- term profit by:
- Increase member
satisfaction
- Increase plus
memberships
Cons
- Starting cost (equipment
and certifications)
- Not enough space
- Labor wages
10. Tire & Battery Center
Alignment Financial Impact
• Equipment $38,000
• $452 amortization per month
for 7yrs.
• $30 align. cost * 80 expected
monthly align. = $2400
PROFIT
• $2400 – $452 = $1948 PROFIT
per month
• Associate state certification
cost $27
Risk Analysis
• Safety/Physical liability of
associates
• Increase liability insurance
• Significant financial risk due to
lack of sales
12. Jewelry
Would you take advantage of our Jewelry dept. if we
offered: ring cleaning and adjustments?
0%
10%
20%
30%
40%
50%
60%
70%
80%
8170 6663 6667 6319 6412 6313
Members
Associates
Member Average 53%
Associate Average 56%
13. Jewelry
Current Benefits
• 1 & 2 yr. warranty
• 100% refundable
• Plus Membership
additional yr.
Conceptual Ideas
• Ring
Cleaning/adjustment
• Host education classes
• Make cost comparison
sheets
• Demo fragrance
Timeline
• February & December
14. Jewelry
Financial Impact
• Total Cost of Hosting Educational
Classes – minimal
• Total Cost of Cost Comparison
Sheets – minimal
• Total Cost of 2 Fragrances
Demoed over a month- $48.00
• Expected Sales – 17 bottles @
• 10 bottles x $34.67 = $346.70
• 7 bottles x $36.27 = $253.89
• Total Expected Sales = $600.59
• Total Profit = $192.24
• Total Profit / Total Cost = ROI
• ROI = 300%
• Total Dollars = Total Profit – Total
Cost $144.24
• *Total Cost of Demo Cart =
$150.00 initial fee
• There will be a small loss on the
first use of the Fragrances
Demoed, however, the SECOND
time and beyond these numbers
are accurate.
RiskAnalysis
• Hosting class (low)
• Cost comparison sheet (low)
• Fragrance demo (moderate-high)
• Ring cleaning/adjust. (extremely
high)
15. Impact of Jewelry Benefits
Pros
Fragrance demo
• Increase sales
• Member satisfaction
Educational Class
• Informative
• Test pilot for other
departments
Cons
Fragrance demo
• Safety Issues
• No profit
Educational Class
• Ineffective
16. Cost Comparison Sheet
Jewelry Cost Comparisons - Example
Item Competitor Price Our Price Savings
.75 ct. t.w. 14K White Gold Diamond Studs $3,400.00 $ 1,104.00 $2,296.00
14K Gold Freshwater Pearl Earrings 6.0mm $85.00 $27.88 $57.12
.20 ct. t.w. Black & White Diamond Pendant $600.00 197.12 $402.88
Total Savings $2,756.00
17. Conclusion
We hope that because of our
dedication and research that these
ideas will be considered as a future
reference to bring in new members
and enhance the shopping experience
of our existing valuable members.
Editor's Notes
Good morning. I am thrilled to be able to spend a few minutes with you all this morning.
Wow, you have covered a lot of information over the last 2 days, I am sure it feels like information overload!
I know you have all been told how critical you and your position is to the current and future success with Sam’s Club.
Here is the deal, you cannot do it alone, you have to understand, this is shared responsibility with the other assistant mgrs and all the associates in the Club.
Now let’s not kid ourselves, everyone is busy and no one is waiting back at the club for you to return and give them more work.
That’s why I want to spend a few minutes talking about “leading through influence and influencing others without authority”
Remember, “if your life in any way connects with other people, you are an influencer”