A retail area manager is in charge of overseeing the operations of a retail store in a specific location. Each area manager is given a territory to oversee, and it is the manager’s responsibility to ensure that the stores in that territory meet or exceed annual revenue targets. The area manager’s only direct reports are usually the store managers, while the area manager reports to an executive or regional director.
Most retailers set annual revenue goals for the company as a whole, which are then divided among the various regions in which they operate. Each store or retail location’s goals must be divided further the retail area manager. The area manager is in charge of the retailer’s operational budget in addition to setting revenue goals. The area manager must allocate funds appropriately so that high-volume stores have enough cash to buy inventory and hire enough employees. Before making any budgetary decisions, sales projections and performance reports from previous years are usually reviewed.
A retail area manager will typically hold sales meetings with store managers on a weekly or monthly basis. During these calls, each manager must report on recent sales activity. During these meetings, the area manager may ask successful store managers to share their best practices and sales techniques with other supervisors. During these meetings, details of procedural or operational changes, as well as information about upcoming promotions and product launches, are shared. The retail area manager, in turn, usually attends regular meetings with the district sales executive or director, where company-wide announcements are discussed in detail.
A retail area manager is responsible for ensuring that all stores follow operational procedures in addition to sales. The store manager must decide how cash should be stored and transported to the bank. Managers must also develop procedures for opening and closing stores, as well as policies for dealing with issues like shoplifting and customer complaints. Area managers may also have the authority to approve the construction of new stores and the closure of underperforming ones in some cases. When a store closes, the area manager may choose to transfer employees from that location to another.
A retail area manager typically holds a bachelor’s degree in business administration or management. Furthermore, most retailers demand that managers have prior retail experience, including time as a supervisor or store manager. Successful area managers can often advance to executive positions, though some companies require candidates for these positions to have advanced degrees in business, marketing, or a related field.