What Authors Can Learn from the Demise of Sears…

Last year, I was shocked to find out that Sears Canada, a company that has been in business for over 60 years, was filing for creditor protection in June. They closed a total of 59 stores with the Sears brand name, resulting in 2900 employee layoffs. Then, the domino effect happened. In October, Sears decided to close all their stores permanently in Canada, and went into the liquidation process until January 2018, laying off the remaining 11,240 employees. Their pensions, like the company they had worked so hard for over the years, dissolved before their eyes. I’m still shaking my head. Growing up, Sears was an institution, a shopping mecca, and a place you could find quality products at a fair price. So, where did Sears go wrong?
Author friend and colleague, Anne Montgomery has a theory about that, and you can read her blog post HERE. But I suspect there’s more to it than sloppy service or guilt-ridden customers. This goes much deeper. Sears Canada began its operations as Simpson-Sears Limited in 1952 as a catalogue and mid-market suburban retailer. This was their target market. The store introduced ‘We Service What We Sell’ as their slogan, backed up by a highly-trained nationwide corps of service technicians. Smart move. They brought in their own brand names (Kenmore, Craftsman), got into malls, expanded their products, and at the end we’re even planning to sell groceries (think Walmart). Sears parted ways from Simpson (purchased by the Hudson Bay Company in 1978) continued to rebrand, changing their logo a number of times, and trying new store formats before deciding to throw in the towel. In the end, there just wasn’t enough cash flow to meet the company’s financial obligations over the next year. Case closed. Doors shut.
So, what do AUTHORS need to learn from the demise of this department store dinosaur?
Sears didn’t evolve. They stopped filling a need. Their target market changed and they didn’t grow with them. Sears didn’t look at the big picture. Blame the Millennials if you wish, but their shopping habits are not the same as their parent’s. Brick and mortar stores and malls were a meeting place when I was younger. Now, not so much. Monster on-line businesses like Amazon are taking over, and authors have a place to easily publish their reading wares with a push of a few buttons. Walmart is surviving by offering low prices and great service. They fill a need, and market it well. My guess is that Sears simply ran its course. Smart businesses compete by innovating with more products and service.
Authors should be smart too. Build a brand that fills a need for your target market. Choose a price point, experiment with ways of reaching more readers, and always keep adding more products (books) to your author store (website). Keep your overhead low, and always continue to invest in your business. Offer quality service (great editing and an eye-catching book cover) and most importantly write an awesome story that will keep your customers (readers) visiting your website and buying your books for years to come.      
There are so many lesson authors can learn from a company when they go belly-up. The trick is to make sure you stay afloat long enough to watch your ships come in. That is my hope for all you writers out there. Cheers and thank you for reading my blog!