Learning retailing tips from the LA Clippers!

Blake Griffin shooting a free throw

In the morning, I read that the Clippers are playing the Timberwolves.  I haven't been to see them, so I get some tickets and my son Austin and I go.  Fortunately we had great seats!

Incredible game, lots of lob city for both Jordan and Griffin.  By halftime, I want to walk around.  So we go into the LA store where they sell all the team jerseys at the Staples Center.

I like the Clippers.  I have liked the Clippers for many years.  So during the bad years, you would go into the store and they would have very little Clipper gear and a ton of Laker wear, even at Clipper games!

In fact it was so bad last year that I wanted to buy a Clipper t-shirt and they didn't sell one except in 2XL!  Not exactly my size.

So now we have CP3, Blake Griffin, and a great cast of fantastic players.  And the store is filled with many of their jerseys and t-shirts.  But to get Chris Paul they had to give up some other players, namely Eric Gordon and Chris Kamen.

My son Austin with old Jerseys

I loved those guys.  In fact Chris is from Grand Rapids, MI my home town!  Eric went to Indiana University, my alma mater.

But they don't play for the Clippers anymore.  They aren't stars like Kobe or LeBron.  So when I saw the new worthless jerseys I thought, I wouldn't want that problem as a retailer.  Suddenly you have a bunch of jerseys no one wants.

What would you do?

Yes, that is what I would do as well.  I would mark the jerseys down, put them on a sale or clearance rack.

Not the clippers, they are still full priced items, $90!

Inventory is like raw chicken.  If you leave it out too long, it will go bad.  Fast.

As a retailer, you need to take items like this and discount it.  We recommend that the first cut is the deepest.  Remember, you have already tried to sell the item at full price for a long time.  So the consumer is only going to react if the discount is steep.  Blow it out.  Hope to get your money out of it, not a profit.

In retailing, we are always introducing new items.  Consumers expect it.  Some of those new items are going to be popular.  Some are going to be dogs.  Dogs just take up space and money.

And as a retailer, you ALWAYS have dogs.  So you are always blowing out items.

Put that bad money against good inventory!  

Clippers, I hope you read this.  I certainly would not buy those jerseys at full price.  But hey, I am consumer.  Get the price low enough, even cheap John Maly might be tempted!!!