1. This is NOT your Grandpa’s old pawn shop! We must have an outstanding customer experience! Make it lively with upbeat music, smiling faces, etc. Also, give away bottled water and/or popcorn. Think about your shop from a “millenial’s” perspective and make sure the experience is one that will bring them back because it is fun to be in your shop(s).
2. Compensate on loan and buy productivity, not just sales. The entire business starts by making good qualifying/lending/buying decisions at the loan counter, so why not pay a small amount per loan?
3. You need to be a Spanish-speaking pawn shop. The % of Spanish-speaking customers you have would probably surprise you – it shouldn’t, just check your demographics. 6% (or 56.6 million) of the United States is Spanish-speaking; that’s nearly 1 out of every 5 customers that comes into your store. Everyone feels comfortable in their native langua
4. Cut back on traditional advertising. Focus more on your Google Reviews, Facebook Marketplace, Craigslist, eBay store, etc. It takes a fresh look at your business and advertising to be successful in today’s pawn shop business.
5. Turns, turns, turns! With consumer electronics facing deflationary pressures, pricing is the key to being competitive and turning that inventory in to cash to loan back out. Don’t keep anything around and make it a trophy, especially consumer electronics such as laptops, TV’s, and iPads.