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Top 10 Skills Every Retail Store Manager Must Have

If you’re thinking about a career change, or you’re gearing up for a promotion, you might be wondering if a store manager role is the right fit for you.

But what makes a good retail store manager? And how do you know if it’s the right role for you? Being a store manager involves so much more than simply overseeing the day-to-day running of the store; it requires a diverse skill set to navigate challenges, lead a team and, of course, drive sales.

From handling customer complaints to boosting employee morale, retail managers are the backbone of any successful store.

What skills are essential for a retail store manager?

1. Leadership

Though it might seem like a given, the first skill you’ll need is leadership. Having great leadership skills is an absolute must for retail managers because they directly impact the success of both the team and the overall store performance.

Hiring managers will be looking for strong leaders who can inspire and motivate staff, and create and maintain a work environment that’s both positive and productive. This is essential for retail stores, where team dynamics can directly impact the customer experience.

Wondering what makes for great leadership skills? You’ll need to be able to set clear expectations, provide constructive feedback and encourage employees to improve their performance. You’ll need to feel comfortable leading your team and keeping them engaged and motivated to work towards store goals, such as hitting certain sales targets or improving the customer experience.

If you’re not comfortable giving feedback and support to a team, retail management might not be for you, but that’s not to say you can’t develop your skills and get more comfortable in time.

As a store manager, you’ll also need to be able to make quick decisions in high-pressure situations. Some common situations that spring to mind include resolving complaints or dealing with unexpected staffing issues. You’ll also need to be comfortable taking ownership of challenges, which is what leadership is all about.

2. Communication Skills

Another must-have skill for store managers (and any retail employee) is communication. Whether it’s helping a customer choose a new outfit for a special occasion, or boosting your team up ahead of a busy Saturday in December, great communication skills are at the heart of retail management.

You’ll need to be able to speak clearly and effectively to both your staff and your customers, dealing with situations from quick catch-ups, to complaints and HR issues.

Being able to give clear instructions and feedback will benefit you, your team and your store in the long run, so make sure you’re able to communicate in an approachable way.

3. Customer-Focused

If you already work in retail, you’ll know that you spend a lot of time with other people. Like, a lot.

It’s for this reason that store managers need to be customer-focused – not only in the sense of being comfortable serving customers but also in being able to properly deal with complaints and other more complex issues. You should also be able to identify areas for improvement in customer experience and be able to train staff to be just as customer-oriented as you are. After all, you and the team are the local face of your brand.

4. Problem-Solving Skills

From complex refunds to inventory issues and staffing shortages, store managers need to be exceptional problem solvers with the ability to think fast under pressure.

5. Time Management

Managing scheduling, overseeing operations, attending meetings and sorting out employees’ latest holiday requests… It’s safe to say that store management comes with a wide range of responsibilities – so you’ll need to be able to juggle and prioritise tasks dependent on business needs.

If you’re considering a possible move to management, think about your current time management skills.

Are you able to complete tasks on time? Can you prioritise your workload, without help from your manager? What about prioritising tasks during busy periods? If so, you’ve got a valuable and transferable skill that applies to a wide range of industries – go you!

6. Team Building and Development

Teamwork makes the dream work. This is why team building and development are both important skills for retail store managers. Having a cohesive, well-trained team will ensure that your store operations run smoothly, as well as make it a more welcoming place for customers and new employees.

By encouraging collaboration and positive relationships, store managers create a working environment in which employees feel valued and motivated. Which typically means you’ll get more effort from your team. All in all, it’s a win-win situation.

Providing ongoing training and spotting development potential in employees will also help to boost store productivity and your team’s performance. By investing time in your employees, you will reduce staff turnover as they feel supported and cared for.

7. Sales and Marketing Knowledge

Though being a people person is an essential part of managing a team, you’ll also need the necessary skills to run your store.

The ultimate goal of retail stores is to make sales – meaning that all store managers must have an understanding of different sales techniques and strategies to increase store revenue. You should have innovative ideas about upselling products, running promotions and improving store displays to entice customers.

8. Financial Acumen

The same goes for financial acumen. Ensuring that your store is running profitably and efficiently is a major part of being a store manager, and this involves managing budgets, controlling expenses and analysing sales data to make informed decisions.

You’ll also need to be able to understand your profit margins, inventory costs and payroll to ensure that your store stays within budget, whilst still maximising revenue. Being able to interpret financial reports is also a bonus – as you’ll be able to spot areas for improvement, and implement cost-saving strategies where needed.

9. Inventory Management

Proper inventory management is a vital skill for store managers because it ensures that the store is always fully stocked with the right products at the right time. You’ll need to avoid overstock and stockouts, as well as optimise sales by meeting customer demand, whilst still avoiding excess inventory.

And, the bit that no one wants to talk about, is stock shrinkage. It happens – but with proper inventory management, you can better monitor the reasons behind stock shrinkage, such as theft or damage.
10. Adaptability

A great store manager will adapt to changing circumstances, whether that be staffing issues or a shift in customer demand.

How can I improve my skills as a retail store manager?

If you want to improve your management skills ahead of progressing to (or applying for) your first store manager role, we’d recommend trying to boost your skills in your current position. Consider investing in personal development, such as training courses or leadership certification – even better find out if you can do this as part of your current role.

Ready to take your next career step? Whether it’s a store manager role in London or a retail job up North, we’re here to help. Talk to us.


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