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Working “On” Part 3 – Hiring a Manager

I’ve only been flown in for an interview once in my life. I went to the Catskills in New York to interview for a position running an experiential education and wilderness trip program. I was a perfect candidate for the job. Not only did I have the experience running a similar program in Michigan, this program also had a strong bike program and owned a fleet of several dozen bikes they had to maintain. I had spent my teenage years assembling and fixing bikes at Toy House. It was a perfect match!

I figured I had the inside track on this job. They flew me in so they must have thought quite highly of me. I had the perfect skill set. I also knew the other two candidates. Both were currently working in the program where I was interviewing. Both had previously worked for me. Neither had the experience in a managerial role I had.

Although I thought I interviewed well, I didn’t get the job.

Only later did I find out the guy doing the hiring had always and only promoted from within. He flew me in only because his boss demanded he interview someone outside the company. I didn’t have a chance. I never had a chance.

Hiring from within makes sense on the surface. You’re hiring a known quantity. You’re hiring someone who already knows your culture (and likely fits in). You’re hiring someone who already knows your procedures. You’re hiring someone who is already loyal to you. The risks seem low.

Laurence J. Peters published a management theory in 1969 about the promotion and hiring from within now called the Peter Principle. According to Wikipedia, the concept is “that the selection of a candidate for a position is based on the candidate’s performance in their current role, rather than on abilities relevant to the intended role. Thus, employees only stop being promoted once they can no longer perform effectively, and ‘managers rise to the level of their incompetence.’ “

The risks may seem low, but the downside to the Peter Principle is that you end up with incompetent people at every level of the organization because you elevate people until they are no longer competent. Does that sound like a good plan?

You need to hire your manager the same way you hire anyone at your company. Make a list of all the traits and skills necessary for a person to be successful on the job. Then figure out what you can teach your new manager and what that person needs to bring to the table.

When you make a list for a sales associate you get different traits than your list for a store manager. A perfect salesperson is great at selling. A perfect manager is great at teaching and motivating. Yes, one person can be good at both. But if you are promoting your best salesperson to manager just because they are your best salesperson, you might have made two positions on your team worse off.

Your manager is most important hire you will make. Your manager is the person who gives you the most time to work on your business instead of in it.

Here are concrete steps you can use to find a great manager.

  • Make a list of the skills needed to be a great manager. That list better include the ability to teach, the ability to motivate, and empathy. You probably need to throw trustworthy onto that list, too, and the ability to learn.
  • Make a list of questions you can use to identify those skills in your candidates. Here are some on ability to teach and trustworthiness. Tell me about a time where you had to teach someone else a new skill. How well did it go? What would you do differently if you could go back in time? Tell me about a time when you weren’t able to keep your word. How did you rectify that situation later?
  • Talk to your current staff, especially the high performers who are great in their current role, but not necessarily skilled for the next role. Many people feel the need to want to move up the ranks. Your best salespeople might feel resentment if you pass them over. Talk to them about the importance of their current role and why you need them in that position. If it about money, give them a raise. If they are truly your best salespeople, they are worth it. If it is about power, give them responsibilities that fit with their skill set. They feel better, you feel better, and you haven’t promoted anyone to the level of incompetence.
  • Move “industry knowledge” lower down your list. Sure it helps if someone is as enthusiastic about your niche in the market as you are. But it isn’t nearly as important as the ability to learn, the ability to teach, and the ability to motivate other people. Given the choice between hiring someone who can step in and lead the team while they learn the products or someone who knows the products but is still learning how to lead, you know the smarter choice.

Your goal is to get the most competent people into every position possible. The manager role is the most important of all those positions.

-Phil Wrzesinski
www.PhilsForum.com

PS I have seen the Peter Principle in almost every place I have worked. I have even been guilty of it a few times myself. It never seems to end well. The easiest way to prevent it from happening in your business is to look at each role as being a separate position requiring separate skills, not a benefit or reward for time served or a promotion for those who do best in their current role.

PPS My son wrote a college entrance essay on “Leadership”. He identified empathy as being the most important character trait of a great leader. I couldn’t argue with his premise at all. Hopefully he still has that essay saved somewhere so that I can use it in a future post.

Get the State of Michigan to Pay

Hey Michigan peeps!

What if I told you that the State of Michigan would pay for you and your store manager to enroll in a Jackson Retail Success Academy™ style program in your area? Rather than you driving all the way here to take the class on your dime, I would do it in your neck of the woods for you and your friends, and the State would pay most* of the bill.

The Skilled Trades Training Fund in Michigan exists for that purpose.

Here’s the thing …

You need to get your local Michigan Works! office to submit the grant for it to happen (have them contact me for details.)

Send this to your DDA Director, Chamber Director, and Economic Development Director, too. Tell them you believe a Retail Management Training Program (especially the JRSA™ program) will help save jobs and boost the local economy.

Tell them all to contact your Michigan Works! office and help you push this through.

The State of Michigan wants you and your team to have the right training to be successful. They are willing to pay for it. You should let them.

-Phil Wrzesinski
www.PhilsForum.com

PS *I say most of the bill because I don’t know all the details of the program. In the cursory explanation I received there is still a small amount you might have to pay depending on the circumstances of the class and what gets approved for the grant. For instance, you may have to pay employee wages while they take the class. But if you get your local economic development people on board, those costs might be even further minimized.

PPS Don’t put this on the back-burner. They are taking submissions right now for 2018. Call your Michigan Works! office this week!

Retail is More Like Football

I am a Detroit Lions fan. There, I said it. That’s the first step to healing, right? I got to watch my Lions play yesterday. Owning a toy store was probably the best thing for this Detroit Lions fan. I never got too invested in their season because I knew I’d be too busy on Sundays in November and December to pay attention to the team. The let down each year wasn’t as bad because of that.

Related imageLast year’s record-setting eight come-from-behind-in-the-fourth-quarter victories was quite exciting, followed by another season-ending debacle all too familiar to die-hard Lions fans. Lots of people want to blame the coach. Others want to blame the now highest paid player in the league, quarterback Matthew Stafford. Some want to blame the organization as a whole. I’m in the latter category.

Although teamwork is important in all of the major team sports, it is at its highest in football. A great goalie in hockey or a mega-star in basketball can change the tide in those respective sports. Baseball is a team sport built almost exclusively around individual actions and talent. But football is truly about eleven guys doing their prescribed job in sync with each other. And even that isn’t enough.

Success in football only happens when the entire organization is in sync and performing at peak. Success happens when the front office brings in the right kind of talent and personality to fit the values of the coaching staff. Success happens when the scouts figure out the best schemes to combat the opponent’s tendencies that also fit with the talent available. Success happens when the coaches are able to teach the players the right schemes and the players are able to execute those schemes.

Individual talent is important, but not the only thing. The Lions had Barry Sanders, arguably the best running back in the history of the game, and still managed to miss the playoffs almost every year.

Retail is far closer to football than the other sports. To be successful you have to have a game plan that not only fits the talent on your team, but also takes into account the talent and tendencies of your competitors. To be successful you need more than just a mega-star, you need a team working together. You might have the best salesperson on the planet, but all her hard work can be undone by an unskilled cashier or dirty restroom. She might not even get to use her skills if your website fails to deliver or the person answering your phones hasn’t been trained.

You can limp through retail with a bunch of mediocre 8-8 seasons, and even earn a living doing it. For some, that is enough. For those of you reading this blog, that isn’t enough. You want to taste the champagne.

So let me ask you …

  • Are you putting in the same kind of effort a football team puts into the scouting of new talent?
  • Are you studying your competition to help you create game plans for how you will beat them?
  • Are you hiring coaches (managers) who can teach your game plan to your team?
  • Are you evaluating your game plan on a regular basis?
  • Are you evaluating your talent and their ability to execute your game plan on a regular basis?

All football teams do this. The ones that do it best win divisions, win playoff games, win Super Bowls. Your competitors are doing this. When people talk about working “on” your business instead of “in” your business, those bullet points are the place for you to start.

Huddle up. Your season is upon you.

-Phil Wrzesinski
www.PhilsForum.com

PS In the coming weeks I will give you concrete actions you can do for all five of those bullet points. In the meantime, start figuring out what you need to do to give you more time on than in. You’re going to need it (and it will definitely pay off).

We All Get a Little Rusty

Last Saturday at The Poison Frog Brewery I got to accompany Steve Tucker with my harmonica . It was the first time in a while I got to really blow some blues as we did an entire set together. I have jammed with Steve a few times before. He’s an amazing musical talent and knows how to make those who play with him sound better. All the drunks at the bar agreed I sounded pretty good.

The truth is, I knew better. I wasn’t at my best. It took me the whole first song just to find a groove, and I was totally winded at several points, which is hard to do considering you play harmonica by breathing in and out.

I was a little rusty.

That’s me on the left checking off the bucket list.

I’ve been playing harp for over 34 years. I play in my car driving down the road (one hand always on the wheel). I play when I’m playing guitar at The Poison Frog. I have played with the bands at several trade show parties. I even played on stage at The House of Blues in Chicago (bucket list!!)

But I hadn’t played in over a week when Steve asked if I had any harps on me (which, of course, I did, as most harmonica players always do).

I was a little rusty. If you only heard the opening of the first song, you wouldn’t have been impressed. If you stayed for the entire set, it got much better.

Here’s the lesson in all of this. I was prepared to play harp. I brought three different harps in different keys to the brew pub where a guy I have played with before was performing. Yet, because I hadn’t been practicing, the start was a little rough.

If you want to be at your peak, you have to practice. If you want to be the best sales person to every customer, you have to be practicing. You can’t just toss out the first customer as a “warm-up”. You have to be ready to perform at peak every morning when you turn the key on the front door.

How do you get to Carnegie Hall? Practice. How do you get to the top of the business game? Practice. How do you make sure every single customer gets your best? Practice. We all get a little rusty. We all need to practice.

Next time Steve Tucker plays, not only will I have the harps in my pocket, I’ll be blowing the blues in the car on my way to the bar (one hand always on the wheel).

-Phil Wrzesinski
www.PhilsForum.com

PS Luck is when preparation meets opportunity. There is the long-term preparation (training programs) and there is the short-term preparation (shaking off the rust before the first customer walks through the door).

If you need caffeine to start your day, have a plan and maybe even a back-up plan. Lack of coffee is a poor excuse for bad customer service.

If you need to free your mind a little before you greet the customer, then start your day a little earlier so that you have time for meditation or spiritual rejuvenation.

If you need to meet with your staff for five minutes before you open shop, then schedule them to start 20 minutes before you open so that they all make it on time and you don’t have to rush.

A Fresh Set of Eyes Sees What You’re Missing

Get in a circle of store owners and say the words “Mystery Shopper” and watch the eyes begin to roll. We all hate them or, if that’s too strong a word, think quite low of them.

The problem? Mystery shoppers tend to only take a snapshot of a single moment in your store with no regards to what is going on around them. They evaluate your entire operation based on one interaction, one done-under-false-pretenses-just-to-see-how-you-react interaction at the most inopportune time with the least talented member of your team.

Not fair.

The biggest problem with the Mystery Shopper concept is that most business owners are quick to dismiss the findings as being only a snapshot in time and not a true reflection of your business.

Then again, a new customer walking through your doors will only get a snapshot of a single moment in your store with no regards to what is going on around them. The only difference is that this customer won’t offer you any feedback to help you improve.

You need a fresh set of eyes. You need someone else to help you see the flaws that have blended into the landscape. You need someone to:

  • Look at the appearance of the store from the front. Is it clean? Is it inviting?
  • Walk through the door and give you an honest first impression. Does it smell funny? Is it inviting?
  • Look at the little details like signage and order and cleanliness and lighting and decor. Does the store look or feel worn and dated? Does the store feel dark and dirty or bright and happy? Do the signs even apply anymore? Does the merchandising draw you in?
  • Get a first impression of the staff. Are they welcoming or huddled for safety and comfort?

A fresh set of eyes can identify the subtle turn-offs you stopped seeing years ago. A fresh set of eyes can show you what you look like at your worst, which is far more important than what you look like at your best.

Before listing my house I had a few fresh sets of eyes look it over. We found a door that needed painting. We found a roof area that needed cleaning. We found some rooms that needed re-decorating. We found an outlet cover that was broken. We found paint peeling on the outdoor furniture. We found a mess of cobwebs in the light at the end of the driveway. We found bushes and tree branches and vines that needed trimming. We found a tree that needed to be cut down. We found thirty two cans of paint that needed to be removed.

Individually those are all minor in the grand scheme of life. Collectively, however, they create a perception different from the one I want the people looking at my house to feel. It took more than one fresh set of eyes to find it all.

Get a few friends, preferably ones who do not regularly shop in your store (I know you have them—we all have them). Give them a list of things you want them to notice (the above list is a good start). Then invite them all over to your house for pizza and beer and sharing. You’ll be amazed at what they see, and if you’re honest enough to listen to them without getting defensive, you’ll make sure the “worst” experience anyone has in your store is better than the best at your competitors.

-Phil Wrzesinski
www.PhilsForum.com

PS Don’t think you aren’t blind to seeing things right under your nose. We all are. When I closed Toy House, we found almost $10,000 worth of “missing” merchandise that had been written out of stock over the years. Most of it was in places we looked almost every day. We found signs that should have been taken down years ago. Get some fresh eyes in your store now before the holiday rush starts creeping up on you. That’s worth a few pizzas and beer, right?

What if You Don’t Train Them and They Stay?

There is an old story of two managers discussing staff training. The first manager objects to training saying, “What if we train them and they leave?” The second manager replies, “What if we don’t train them and they stay?”

My friends, knowing I write this blog, send me examples of experiences they have all the time. This one that happened last night …

My friend walked into a restaurant. The hostess eyed her from the moment she walked through the door all the way to the hostess stand. The hostess didn’t say a word. Not. A. Word. My friend had to initiate the conversation. Talk about awkward.

Image result for old-fashioned telephoneOne of the first skills all of my new employees learned was how to use the phone. We learned how to answer it, exactly what to say (yes, the greeting was scripted), and how to respond to questions. We even talked about the importance of smiling while on the phone because people can actually hear a smile. (Try it with your friends. Grin broadly while talking on the phone until the person on the other end of the line asks whats so funny.)

I taught the phone skills first for a number of reasons.

  • It made them feel helpful right off the bat.
  • It set the tone for the attitude I expected from them in front of customers.
  • It helped me gauge their communication skills.

Answering the phone was easy because there were pretty much only four questions that got asked …

  • Can I speak to (a person or the manager)?
  • Can I speak to (a department)?
  • Do you have (a product)?
  • How late are you open?

For the first three questions, no matter who answered the phone, you would typically put them on hold. The last one even the newbies on the staff could answer.

The cool thing was watching them practice their phone answering skills. The outwardly friendly staff members had no problem smiling and speaking joyfully. The rest, I knew I would have to work with them on their communication skills a little more.

This might not seem like a big deal, but it is. Communication skills are important. You can no longer take for granted that people know what to say and how to say it. You have to teach it and practice it. By starting early with a communication skill, I set the tone for how important proper communication would be and what I expected.

If you aren’t teaching proper communication skills you just might end up with a hostess who doesn’t know that it is her job to say, “Hello!”

-Phil Wrzesinski
www.PhilsForum.com

PS The script for answering the phone was simple. “Thank you for calling the Toy House. How may I help you?” I’ll break that statement down completely in a following post.

A Place for Everything

This week marks my last week on the water as the sailing instructor for YMCA Storer Camps. Next Monday I have to do my least favorite job—putting stuff away. I hate it. I hate cleaning up. I hate filing papers. I hate organizing and sorting. Oh, don’t get me wrong. I love it when things are well-sorted, organized, labeled and put away properly. I love it even more when somebody else does it.

Image result for ymca storer campsDon’t judge me. You have something in your business you hate to do. Maybe it is managing your social media. Maybe it is running your special events. Maybe it is your bookkeeping. Sometimes you can hire others to do it. Sometimes you have to bite the bullet and do it yourself.

I’m biting the bullet for four reasons:

  • It needs to be done.
  • It’s my job to do.
  • I know exactly how I want it done.
  • I want to make life easier for those who come after me.

I’m spelling this out to give you some ideas how to muscle through those things you don’t like to do. Yes, it takes some justifying. Yes, it takes some convincing of the mind that it will be worthwhile. Yes, I have scheduled when I’m going to do it. Yes, I have already gathered supplies I need to do it right. Monday will go smoothly and quickly and I’ll feel a whole lot better when it is done.

When you find yourself in this situation understand that you are not alone. We all have that one thing (or two) we hate to do. Whenever possible hire someone amazing who loves to do what you don’t want to do. If you have to bite the bullet and do it yourself, remind yourself why you want it done right and then schedule time to do it.

-Phil Wrzesinski
www.PhilsForum.com

PS Scheduling is the key. It is too easy to put off the things we hate to do if they aren’t on the schedule. They’ll never be a high enough priority to make it to the top of your to-do list on their own.

PPS “I want to make life easier for those who come after me.” That reason fits in with my core value of Helping Others. If you can find a reason to do what you don’t want to do that aligns with one of your core values, you’ll find the job a whole lot easier to do.

When the Boss Plays Favorites

I spent the summer of 1992 working for the Los Angeles Unified School District teaching team building and leadership skills to inner-city kids. It was one of the most meaningful and wonderful jobs I’ve ever held.

Part of it was the difference we were able to make in the lives of these kids. Part of it was the camaraderie of our team.

Dana, our fearless boss, had a style I have tried to emulate ever since. He treated everyone on the team equally. He gave everyone an equal chance to do the jobs. He gave everyone a fair shake at learning the roles we had to play. He never played favorites with any of us.

Image result for playing favoritesBelieve me when I tell you it is hard not to play favorites. As a leader, you tend to rely on one or two team members you know you can trust. You give them the better shifts. You give them the better duties. You forgive them quicker.

The problem with playing favorites, even if done unintentionally, is that it destroys morale on the team. Your staff sees it when it happens. Those that aren’t the favorites will either resent it or resign themselves to not feeling any need to improve.

Here are some ways Dana kept from playing favorites.

He made us all feel special. Dana went out of his way every day to praise everyone on the team both privately and publicly. He made sure you knew what you were doing well. He made sure everyone knew what you were doing spectacularly. That constant praise, especially in front of the group, of everyone meant that he valued us all equally.

He gave us all equal treatment in job assignments. Everyone got to lead. Everyone got the “shit detail.” Everyone got support roles. While it might be easiest to give all the solos to the best singer, Dana’s job was to turn us all into the best. He made sure we all got the chance to shine.

He was honest and honorable in his words. There was nothing he ever said to any of us that could not be repeated. He told us straight up when we screwed up (and made sure we learned from our mistakes). He only spoke in positive terms of growth and learning. He never gossiped.

If you’re playing mind games with your team; if you’re keeping secrets within and from your team; if you’re gossiping about team members to other team members, you’re creating a culture of favoritism. Take it from Dana. If you want a crack team from top to bottom, you need to keep favoritism off the table.

-Phil Wrzesinski
www.PhilsForum.com

PS If you only feel like you can do one thing, do the first one listed above. Make every single individual on your team feel special and important and noticed. Praise them constantly both publicly and privately. You will change the culture almost instantly.

PPS I am a big believer in the ideal of “best players play”. Retail isn’t little league where everyone gets a medal for participation. But it also isn’t the Major Leagues where you better be ready when you get there. Your job as manager is to teach people up and get them all to play like all-stars. When Dana gave us activities to lead, he first made sure we had the skills to lead.

Busting a Scheduling Myth

There is a scheduling myth I have heard for many years, and although on the surface it seems to make sense, I don’t think it is in the best long-term interest of your store. The myth is that you should schedule your best sales people for your peak hours and your worst sales people for your off hours. Let me tell you where the flaw is in this thinking.

In November 1991 I moved to San Diego, CA. I immediately got two jobs there.  One was teaching Outdoor Education for the Orange County School District at Camp Edwards near Big Bear Lake. The other was selling sporting goods for Cal Stores – a ten-store chain of sporting goods and apparel stores in San Diego County (since bought out by Big 5 Sporting Goods).

Image result for big 5 sporting goodsI spent Monday morning through Friday morning in the mountains above San Bernardino teaching kids about geology and ecology. I spent Saturday and Sunday selling tennis rackets and weight sets.

At Cal Stores we were paid on commission. Each week they would post the top selling people across the chain in sales per hour. I was usually #2 for the entire chain, right behind the guy who sold all the ski packages. I wasn’t #2 because of my selling skills, but because I had the two best shifts—Saturday and Sunday. I didn’t have any mundane Mondays to drag my average down.

In the above myth, I would always get the peak times and best shifts because my numbers were top notch. And I would hold onto those shifts because those shifts would keep my numbers higher than the Tuesday and Wednesday slackers. It would self-perpetuate. I would stay on top and feel no need to improve. Plus it would drag down the morale of everyone not getting the prime times.

Do you see the flaw now?

Smart managers understand the importance of having top levels of sales and service at peak times, but they also look for ways to raise the level of all the staff so that everyone can perform at peak and off-peak. They look for ways to pair top sales people with learners to help both become better (the former by teaching, the latter by being with the former). They split up the hours, knowing that sometimes you need the busy hours for the learners to hone their skills, and sometimes you need the slower hours to know if your top sales people are truly good or just lucky.

Smart managers realize that raising the bar for everyone helps the business far more in the long run than just maximizing the peak hours. They realize that a properly trained staff maximizes sales at all hours (and there are some big sales you can do during the perceived off-hours.)

Smart managers realize when everyone performs at a high level they have more flexibility for scheduling around vacations and special requests for time off. They have more staff available for special events. They have more trust that the staff will perform no matter the situation.

If you have a few top performing sales people and a few that need some work, don’t just throw all the prime rib at the top people and leave the scraps for everyone else. Give them all a taste of the good stuff and teach them all how to rock your customers’ worlds every day of the week.

That’s what the smart managers do.

-Phil Wrzesinski
www.PhilsForum.com

PS I wasn’t a great salesperson back then. I was just lucky with my shifts. Fortunately I was (and still am) a competitive guy who is always looking for ways to improve. Not every salesperson thinks that way. Smart managers find ways to help everyone improve and raise the overall bar for the store.

PPS No, not everyone will perform at the same level. Your goal, however, is to help each person on your team get to the next level no matter where he or she is right now.

The Scary Truth of Averages

“Have you ever noticed that everyone wants to be normal but no one wants to be average?” -Roy H. Williams

Did you hear the one about the statistician that drowned in a river with an average depth of three feet?

Image result for averagesIn business, everyone wants to know the averages, the average cost of rent, the average sales per square foot, the average level of inventory, etc. Averages are interesting. They can be a nice benchmark, but they can also be misleading, and sometimes downright dangerous.

Take, for example, average inventory at cost (a number you should all be tracking). If you were an average toy store doing around $500,000 a year in sales, your average inventory at cost would be around $100,000. But if you are that same toy store, your Thanksgiving to Christmas sales will likely be around $200,000, or pretty much all of your inventory if you only had the average on hand. As nice as it would be to sell to the walls, so-to-speak, you know you can’t sell it all. You also know you need some inventory in January for birthdays and post-Christmas.

Just trying to keep your store at the average will kill your holiday sales. You’ll need a lot higher inventory to start the busy season and much lower inventory the rest of the year. Rarely will you ever have the “average” amount of inventory on hand.

Another problem with that average is that $100,000 worth of toys looks a whole lot different in a 2,200 square foot store than it does in a 1,100 square foot store.

The bigger the store, the more creative you may need to be with your merchandise to keep the store looking stocked and full. The smaller the store, the more creative you may need to be with your merchandise to fit it all in. Sometimes your store space dictates your inventory levels more than just sales or industry averages.

Averages are a nice starting point, but it is worth exploring all the reasons you might deviate from the average, and be okay with those reasons.

For instance, my payroll at Toy House was a significantly higher percentage of our expenses than the average toy store. But I could afford that because my rent was significantly lower. Our sales per square foot was extremely low compared to the average, but that was because we had wide aisles to allow for shopping carts, four cash registers lines, a large gift-wrapping area, and a stage with seating/playing area—in other words, a lot of square footage not used for showing merchandise. Our average ticket, thanks to shopping carts and toy demos however, was significantly higher. Each deviation from the norm was on purpose and with a purpose.

I do many talks about the financials of independent retailers. Whenever possible I try to use an average store for that industry. But I remind everyone in attendance that these numbers are average and they should be striving to be spectacular. If all your numbers are average, you haven’t found the place to stand out and make a name for yourself.

In retail, there isn’t a prize for being normal.

-Phil Wrzesinski
www.PhilsForum.com

PS The upside to averages is that they give you a quick check of the health of your business. If you have a number way off from the averages and you don’t know why, that might be a good place to focus your time and energies on changing. The downside is that you don’t ever want to be an average store. You are destined for greater than that.

PPS Rent per square foot and sales per square foot go hand in hand. You need to be selling at least 10x more per square foot than what you pay in rent (if your profit margin is around 50%). That’s a far better benchmark than average rent or average sales per square foot for your industry. Those averages tell you nothing.