For independent retailers, profit isn't optional. It's what keeps the doors
open. I understand cash is important. You need cash in a
till. But if you're not making actually any money off
your hard work, if you're not making money off the products that you're selling, then
you're going to just end up being in the same situation. Ever felt like you're
juggling flaming torches while blindfolded? That's pretty much the feeling
for most indie retailers trying to keep tabs on stock. They can't keep
an eye on everything. We didn't have to just choose what was on Mark Dub.
We had to make sure that we were making sure that everything that we put
on sale was out at the right discount so that we were still being profitable.
Suddenly everything's 20% off, whether it needs it or not. But does it have to
be that way? Here's where smart indie retailers can get an edge. I
said some clients wanted to just like, wouldn't it just be easy if you put
all this in? I was like, if it's selling in full price, why are you
going to give it away for 30% off, off, off.
Welcome to the resilient retail game plan. I'm Catherine Edley and in the
next few minutes, you're about to get powerful real world retail strategies
from insights shared both from my guests and myself, backed up by
my 25 years in the retail industry. Keep listening to learn how
to grow a thriving, profitable product business. Let's jump in
with this latest episode.
Let's be honest. The online business world is full of big promises and
inflated claims. Huge growth, fast results, very little
substance. One of the biggest shifts for me when I left corporate retail eight
years ago and started working for myself was was realizing this. If you
want integrity in what you sell, you can't rely on hype. You have to
build things that create real, tangible results.
Independent retailers don't need noise. They need outcomes they can
see, track and trust. That's exactly why Stockdoctor
exists. It's a done for you service built around real sales data, real
stock data and decisions you can measure over time. We already
know based on previous research that many Stockdoctor clients are generating
an extra £5,000 of profit for every £100,000 of
revenue within six months, even after the cost of the program.
That's incredibly exciting in terms of creating real results,
but I wanted to go deeper than that. So in this episode we're talking
about what those results actually look like in real businesses.
I'm joined today by Paola Majuli, our original stock
doctor. The first person to join the program, Paola brings
deep merchandising experience from senior roles at brands like
Anthropologie, and she works closely with a wide range of independent
retailers. She's been pulling together a year's worth of client
results. And what stood out wasn't just higher profitability and lower stock
levels. It was a shift in confidence, clarity, and energy
once retailers stopped feeling stuck. Paola's going to walk us through
the numbers, the patterns she's seeing, and why getting intentional about
stock and sales can change far more than just your spreadsheet.
This episode for me is so exciting because it proves what I've known
all along, that the principles and best practices that we've
learned over decades in big businesses really do make a
difference to indie retailers in a measurable, concrete way.
For me, it doesn't get more exciting than that. Let's dive in.
I'm really excited to jump into
the numbers. So, Paola, do you want to start off by just sharing
a little bit about the research that you've just done?
Yes. So I have now been doing stock doctor
for nearly 18 months. So after
first six months, we saw some growth. We saw plus 10
sales, minus 10 stock. Now that we've done it for,
with some clients I've got, I've been working for a full year, it has been
even better. We're now seeing results where
the Overall sales for 2025 were plus 17 sales,
minus 14 stock. But also we're really working
on businesses profitability and their profit margin,
their gross profit margin was up by 20%.
So it's just been so strong.
And seeing these business owners, like, seeing,
you know, they get this glimmer of light, you know, they started to get excited
about their business again when, before they came to us, they were just like coming
to us like, we're so stuck, don't know what to do. But, you know, it's
so refreshing to be able to do what we do best, which is like being
able to look at the data, analyze, and really just pick out those easy
wins for them, while also helping them manage.
Like, getting their stock down is so important, especially when these businesses are so
overloaded with stock.
One of my favorite sayings is turnover is vanity. Profit is
sanity. And for independent retailers, profit isn't optional.
It's what keeps the doors open. What still surprises me is how many
shop owners are pricing based on what they think they should charge or what
someone else once told them, rather than what actually works for their business.
In this next moment, Paola talks about the hesitation she sees when it comes to
raising prices. She asks some really direct questions. Are you happy with your
margin? Do you actually know what it is? Because at some point you have to
stop thinking about someone just trying to sell and start thinking
about your business. You're not here to sell everything until you're
exhausted. You're here to build something sustainable. This
isn't about discounting everything. It's about making deliberate decisions that
protect your margin and give the business room to grow. Let's listen
in. Nothing helps you be more resilient
than being more profitable. Right. Because that's how you can ride the wave.
Absolutely. On the roller coaster. Absolutely. And that's something that I've been. Actually
been speaking a lot with my clients. A lot. Because I think
sometimes there's this overwhelming feeling that when things
get slow, they're like, we just need sales and we need cash in.
We need cash in the till. And sometimes some of the measures that you have
used in the past doesn't necessarily lead to profitability, which is
sometimes, you know, like constant discounting or blanket
promotions to be able to, like, say to
these clients, it's like, I understand cash is important, you need cash in
a till. But if you're not making actually any money off
your hard work, if you're not making money off the products that you're selling, then
you're going to just end up being in the same situation. You're not actually getting
any further. One way you can manage profitability is obviously through the amount
of discounting and promoting you do. But one of the things I've been really challenging
my clients on is, like, when you bring stock in, are you
happy with the margins you're selling it at? Is it 30%? Is it
40%? Is it 50%? Is it higher? Like, what is your aim? And sometimes
they're like, oh, we've just got. You know, the RPs sure generate.
You know, those are recommended retail prices that you've been given to follow. And
in some respects you should because it's kind of aligning with the industry.
However, sometimes I say to them, you're not just a business or a
shop, you're like a brand. You're selling a lifestyle, you're selling something. So sometimes
you can tweak those prices because at the end of the day, you have to
survive. If you don't have enough profit going on, then you can't keep on going.
Yeah. So that's been quite. I think, you know, to see that light bulb moment
in my clients and going, oh, okay. And so actually they're kind of
like, yes, they want their sales hit their targets, but also like, what's my margin
looking like? Am I being more profitable? And. And it's. They're being more mindful
about the decisions that they're making from choosing product, but
also based on how much discounting they're doing in store at any point
in time. Yeah.
Ever felt like you're juggling flaming torches while blindfolded? That's
pretty much the feeling for most indie retailers trying to keep tabs on
stock, cash flow, staff and marketing week after week.
Between tight margins and rapidly changing customer demand, there's not much room
for error. Both myself and Paola have lived this life inside big
retail. But the real difference is how we bring it all to the independent
shop owner without the stress, the shame, or the finger wagging. If you've
ever opened your stock room and found a whole lot of unsold stock, you're
not alone. In big retail, that would trigger some pointed
questions and probably a firing or two. But at Stock doctor, it's
about practical solutions, helping owners clear the decks with confidence, not
guilt. In the next part, you'll hear how empathy and
expertise make the difference. It's a glimpse into just how complex retail is
and why solidarity plus rock solid data are game changers.
It's super, super fundamental. And I think it's just, it's wild.
When you think about some of, some of my clients, before they've even come to
us, I've said to them, like, you've done such a good job to where you've
got to, to this point in terms of, like, the product selection that you're
choosing. You've managed to open a shop on your own that's
so commendable. Like, I'm like, you've done so well. But at the same
time, it's like there were so many plates that they're spinning, so many
hats that they're wearing the whole time. They can't keep an eye on everything. So
the things that we've been taught, like, sort of drummed into us. And there were
things that were drummed into us. Like we didn't have to just choose what was
on markdown. We had to make sure that we were making sure that everything that
we put on sale was at the right discount so that we were still being
profitable. We had like a percentage of how much stock was
allowed to be left in the business after sale so that the
business wasn't carrying all this legacy old stock. And
so when you're working with these clients and you've seen that they've got like three
years worth of stock sitting in the back, it was like, oh my God, if
my boss was here, this would be a completely different story.
But obviously we're delivering it. We're delivering this service from a place of love
and confidence and explaining to them that you've done nothing wrong.
No one, this is, no one teaches you this. Like I didn't know this until
I walked through the doors of my big first corporate job. Like I didn't
realize I was just like, I'm here working in fashion. But when you
realize the importance that goes behind profitability, managing your stock,
making sure you've got the right weeks worth of stock in your business at any
point, yeah, you're buying enough of those bestsellers that you're not running out good. If
you run out of your best sellers, it would be like, it'd
be crucified for like a week about it. Let's
talk about progress. The kind that doesn't come with frantic midnight Google searches for how
to clear excess stock without damaging your brand. Stockdoctor's real gift
isn't just spreadsheets or monthly calls. It's empowering indie retailers to
become confident data led business owners. You're not just getting numbers thrown at
you. You're getting clarity, encouragement and a sounding board for your toughest
decisions. It's easy to get lost on the hamster wheel. Buy,
sell, repeat. But imagine having a trusted mentor to break down the trouble
spots, cheer your wins and never let you slip back into old habits.
That's the real vision here. Practical strategy delivered with warmth and
honesty. In this next section, listen for how Paola describes
those light bulb moments with long term clients. The confidence that
comes from actually understanding your margins, your sales and your next
steps. And I just think
that's what's so joyful, is that we know it works, we know it's important. And
then to actually get these results, I mean, I think that I'm just so proud
and happy about what stockdocs has been able to do for people. Because you figure
out, so after six months we're seeing plus 10% sales with 10% less
stock, which basically effectively means that the program pays for
itself. Exactly. Additional profit. And then I was
really keen for you to run them again after a year to see what happens
and then, you know, to have it even better. Right, which way around? Plus
17 sales, minus 14 stock or the other way around? Plus 17 sales. 17
sales. Minus 14. Minus 14. Plus 20. Gross
profit. Percent gross profit, which is incredible. And. And
I think just so transformational. And at a time when, you know, there are
a lot of, you know, there's lots of positivity in the high street. I see
some. Lots. As you say, lots of our clients are amazing and they're doing brilliantly.
But there's also, I think whenever there's extra challenges, and
there's always extra challenges, you need to be more resilient. You need to be more
on top of things. And I think for us to have created a service that
pays for itself, supports people, and also really just supports
them as shop owners, I think that's the other great thing as well, is that
you're doing the analysis for them, but you're also really helping them understand
about what it means to run a profitable business, which is,
you know, so fabulous to see as well. Yeah, it's like giving them, like,
the responsibility of just like. And also just like, making them realize that what
it takes to run a business is the creative side, it's
the retail side, it's the bricks and mortar side. It's like all of that, the
management of your staff. What I try to do is I try and get my
clients excited about the numbers. Like, look at what this is saying.
Look at what this is telling us. This is telling us that this is doing
really well. Let's explore that. What does that mean? Can we, like, expand
on this range? And then it gets them excited about the things that they do
want to do, which is some of them love to go out and look for
new brands and look for new products. So it's like. But given them the confidence
to do that with the numbers, rather than it just being like, yeah, maybe
just try it out. No, it's like, okay, this category is plus 20.
This is running off five options. But we're running out. Like, what do we do?
Do we buy more of that? Or do you want to explore maybe another brand
and another price, you know, another price bucket? What do you want to do? And
so it's not just us telling them what to do. We're giving them
insights and then putting it back onto them and go, like, right, where do you
want to take this? Like, where do you. What do you think this is telling
you about your business? And then getting. So that's what I think is important. Like,
we do the numbers, we do a data analysis, we present all this amazing,
juicy information to give them the confidence to. To take that, to make better
Decisions. But I also like seeing, you know, the clients that have
been with me the longest, like, actually go, okay, so that's telling us that we
should possibly should do. We should do this way. And there's me going, the
soundboard. I go, yeah, sure. Like, this is what this is telling us. So it's
exciting. It's like, it's great to know that they're using us to be able to
pull that information, pull that data together, but also see them up level as
business owners and seeing how they're actually growing within themselves
in making better decisions with the information that we're giving them. And I think that's
super exciting as well.
There's nothing quite like hearing the transformation in a real business. When
an independent retailer goes from stuck to thriving, the
ripple effects are huge, not just in sales, but in confidence
and ambition. Here's a story that really stuck with me. A client
moving from a smaller shop to a larger, busier space and
seeing a rapid growth, the kind that changes both your bottom line and
your sense of what's possible. Let's listen to how Stockdoctor makes
those leaps not just sustainable, but repeatable.
That's where I think we're really seeing the strong results and off the back
of what we do. And we've had one business go from a much smaller store
that was tracking a plus five, and now they've moved into a
bigger store with better footfall. So everything we'd done up to
that point was compounding. And then towards the end of the second
half, they were up +38. So it's like allowing
these clients not just only improve their business within the
four walls, shall we say, but it's also given them the opportunity to go, okay,
this works. So where do I actually want my business to be? What's the
space? How do I want to actually represent this? And so I feel like stock
doctor as well as giving you more sales and making your stock much more productive
and making more profit for your business to basically
survive and grow, I think it's also just giving clients
the confidence to actually create the business that they've always
wanted. Because they can. They've got the numbers, they've got the cash in
the bank, and they can actually up level. And I think that's pretty amazing,
too. Yeah, no, absolutely. And I think that it's funny enough
because I actually worked with a company that was fully stationary. They did sell more
than just pencils, but it was mostly stationary. And actually using the principles
that guide Stockdoctor, the merchandising principles. They had an
incredible result where one year their sales were actually level, but
their profit was up massively and, you know, like up
£25,000 or something like that. And I think, you know, for Most small
businesses, £25,000 additional profit is, is
transformational. It can make a huge, huge difference.
Huge difference, yeah, for sure.
We all know the Black Friday drill. Emails flood in, shops scramble and
suddenly everything's 20% off, whether it needs it or not. But does it have to
be that way? Here's where smart indie retailers can get an edge.
Listen in as Paola breaks down a more thoughtful approach targeting
discounts where they'll actually help with excess stock, not just
slashing margins because everyone else is doing it. This isn't about being
stingy, it's about protecting your bottom line while still staying competitive in
a noisy marketplace. You'll hear the kind of advice that
separates strategic independence from the discount parade.
Selective offers that drive traffic and meaningful results both in store
and online. It's exactly the kind of savvy mindset shift that can shift the
needle on cash flow and profit. Now let's hear some lessons learned
from this year's Black Friday promotions, including the numbers that show it really does
pay to resist blanket discounting.
I thought what was interesting about this is not only do we get some great
results, but also I'd love for you to just explain a little bit about the
approach that you took with clients getting ready for it. Absolutely. So let me
tell you, Black Friday week was sensational.
I'm going to say that with my chest because it was absolutely amazing.
So all my clients that did Black Friday or, you know,
that I've been working with through, through Black Friday, the Overall
result was +41 on the same week last year,
bricks and mortars, that was a plus 20 online. There
was a much bigger growth of plus 81. But that's because a lot of my
clients weren't really using their online space properly. So that
was something that we've also been correcting this year about how much product is on
there and things like that. So Black Friday.
So my approach was, the way I think about it is that when Black Friday
first started many years ago, it was like, obviously done by, you know, one or
two retailers and everyone caught on. And then it kind of got there was kind
of like, there's a bit of rhetoric around it, like, I'm not doing it this
year, like, I'm not going to do Black Friday, like, I'm not going to do
this. But at the same Time. The way I look at it is just from
the buying behavior, like, it doesn't matter what's
going on. We know that Black Friday week, people are ready to
shop. That is people's last pay packet before
Christmas. And everyone's ready to shop. So the traffic is
always there. My point of view with all my clients is that if
you're open to it, you should do it. You should do Black Friday. You should.
You should be seen doing it. But what I don't want you to do
is do some crazy blanket 20% off everything,
or like, have something running for three weeks, because that's what some people
are doing now. I'm like, you don't need to do that. There's two things that
we can do. By mentioning that you're in Black Friday, you are going to
instantly drive more traffic to your business because people are
subconsciously looking out for the bargains, right? So if you're doing Black Friday,
they're going to go to you. But what you want to do is that when
they get to you, you want to make sure that you have got the
right strategy in place for your business. So, for
example, where some of the clients that I've been working with this year
who have come to me and maybe a slightly overstocked in certain areas,
we would do something like a selected range that would go into
markdown. So we would be like, okay, selected lines
plus 30, say, for example, if it was something that really needed to be
shifted. But what we saw was that not only did
we manage to get rid of some of that stock that needs to be
discounted, the price that stayed full price also
lifted. But the lift was so much bigger than it would
be when we would normally do that discount, say at another time of year when
it wouldn't be marked down because the traffic was there.
So my view was. Is like, there's no harm.
And I think there's. Sometimes. I think we. I think you've talked about this before,
Katherine, that sometimes people just think that if you're in markdown, it's a reflection that
your business is bad. I'm like, no,
it's a really useful tool to use
if used properly and strategically. And taking
into account the discount that you're doing. I said some clients wanted
to just like, wouldn't it just be easy to put all this in? I was
like, if it's selling in full price, why are you going to give it away
for 30% off? Trust me. And I have to say, some of the clients
that I started with me towards the end of the year, you could see in
their eye, they're like, are you sure? And I'm like, trust me, this will
work. I said, I will. I honestly will be surprised because someone really loves
something. If someone really loves it, they'll buy it. They've got the money,
they will buy it. That was one of the things that we majorly focused on,
was like, use that time to get rid of product that was
underperforming, rather than just wait to get rid of it at Christmas. Yeah.
Because then you can do 30% off instead of more like 50. People expect almost
like 50% off in a sale. So get. You can move it. And also, I
think a really good point as well about when they hit your site on
Black Friday and they see these things are in the offer and these things are
not, they immediately go, right, well, these things that are not in the offer are
obviously never going to be in an offer. So if I want it, I better
buy it. Yeah, that's fantastic. So not only were the sales up, but also you
were protecting the margin. I mean, that is the job, isn't it? The part.
The job is to protect the margin. And it's like, there's feedback, you know,
where it's like. But it's so much easier if you put everything, everything in. I'm
like, sure, sure, it is easier. I'm not going to disagree with you. It is
a lot easier if you can just put a blanket thing on your system and
everything comes off. But I said, but what do you want? Do you want more
money in the bank and funnel the traffic towards the product that you
think isn't selling, and let's give it another shot and try and
get rid of a little bit more of that.
But the growth isn't just about moving premises. It's about how strategy and
solid decision making give business owners the confidence to keep evolving.
This next bit is all about just that. How getting your numbers
sorted unlocks not just the cash in the bank, but the mindset to expand,
to explore new categories, and to build a business that feels genuinely
exciting. So if you're wondering whether all those hours spent staring at
spreadsheets and mapping margins really pay off, here's some evidence that it does.
Sometimes we, as humans, we always choose a path for least resistance. But I
always say the best things, especially for businesses,
you sometimes have to do the things that make you feel a little bit uncomfortable.
But I know that after the results that we've had, they're like, oh, my God,
we should so do that again, I'm like, yeah, we should,
because it worked and you've got amazing sales and you've cleared out stock
that wasn't working and we've protected your margins. You've had a much
stronger sales margin during Black Friday than you did
last year when you just blanketed everything. There were people that were
like, I've never done it before. I don't know if I want to do it.
And I'm like, okay, and, you know, better talk about it. But I said, look,
you are in a bit of a heavy stock position. Don't wait until
Boxing Day to do something about it. This is an opportunity for, like, a few
days. It would be a dent. Not massive dentistry, but it could be a
dent. That means that when you come to do it again at Christmas, at least
you've started getting rid of it rather than leaving it all in one last minute.
So. And there were a couple of people that really didn't want to do it.
I didn't necessarily push it. I was like, I completely understand.
If you really feel against it, then I respect that. But I would always
give them my advice on why I think they should. And then I, you
know, and it's up to them at the end of the day as well, so.
And I think so valuable as well for them at a time when they're spread
so thin and so busy to have someone who can actually just say, right, this
is what you need to do. These are the things that I suggest that you
discount. Off you go. Rather than them going, oh, should I do this? Should I
do that? And I think, again, that's why, you know, with Stock doctor, we focused
it on being a person that talks to you once a month, that can sit
you down and just say, like, right, this is what you need to do and
this is what you get. You're going to go for. So thanks to your hard
work, thanks to everyone, all the clients who really put their time and effort into
it, which is amazing. And, yeah, I guess. What, what are you excited
about in 2026? What's your. What's your prediction? What's going to happen?
What are you excited about? I have to say, like, I think with some of
the clients that have been standing longer with me, I think where we've really managed
to get the stock in a really good place, I think for me, we've been
talking about, like, even improving the margins, even better,
getting them to maybe expand on certain areas of
their business, like, seeing things grow. That's super
exciting for me. Like, businesses that have also come
to me and maybe haven't made the most of like,
I don't know, the certain things I love to do like money mapping and things
like that. You know, when we're focusing on like when you've got bricks and mortar
stores, like you're making sure that the stock is also in the right location in
stores and things like that. And I think I'm just excited to
just kind of like help clients, especially those that have really
sort of got their stock in a good situation now they're helping
them with their buying and like in terms of making sure that they're buying the
right amount of stock of the right things. And I mean there's so
much, I mean there's not just one thing, there's so much because each client's different.
So it's really, really hard to sort of one specific thing. But I think like
helping some of those bigger clients with like their buying season
and things like that, that's always really helped. Making sure they've got a budget for
that and make sure they've got a budget for all the right
categories and then like working with clients
that, you know, even getting them to really analyze who their brands that they're
working with and make sure that they've got the better margins and all that sort
of stuff. And that's all, you know, that's all different types of analysis that we,
we can also pull off. So it's all very exciting.
Thank you so much for joining me this week. I've absolutely loved this
episode because nothing excites me more than seeing real tangible
shifts in real life retailers. If you've enjoyed this episode,
please do take a moment to leave us a review that would be absolutely
fantastic and it has helps us get the podcast out to more people. If you
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