Ok, I have talk to a lot of shops Lately and they are concern more about sales,and a medium margin.I know for us sales are important, but we need to keep that margin up.So what is your store expecting you for a margin.
Ideally, both. If you're on top of your margin expectations during high sales then it should work out. If you're willing to take a hit on your margin to create high sales then you should obviously expect to not hit your margin percentage. The key is to create high sale results without compromising your margin percentage.
Your products need to be priced right IMO. I find margin is often finding a better use for what you are discounting. Get creative and make gourmet things out of duds. That will help sales and Margins.
I realize as direct marketers of our own beef, we are in a different position. But, i have to sell the whole cow. 4 Years ago i was long on trim and round. Now, i actually buy a little from other growers. Elite Jerky and sausages as well as demos on how to cook different cuts allow you to keep margin and increase sales. Be different or become a shelf stocker for Walmart seems to be the choice sometimes
Margin is the bottom line, Sales to purchases- merchandise your product in a way that you maximize profits on cuts that will sell to compensate the loss you may take on mandatory items that do not typically sell, say for instance that yhou have assorted pork loins on sale for $1.29# hot price right, gonna create sales but not much profit, focus on selling more thin rib chops, center chops, thin center chops, thin assorted chops, these are items if merchandised properly with great signage will protect your margin, remember small signs on loss leaders (people know what they are coming in to buy from looking at the ad) entice them into an upcut with a large sign and talk up how much better the product actually is. I will always buy a pack of loin chops over assorted chops for an extra .40 cents per pound. But bottom line is if you can control your purchases to 35% of your sales you will make the company happy! Good luck.
