For 15 years, John Pfalzer has managed Habitat for Humanity Buffalo’s two thrift stores, Buffalo ReStore. Last year, he reached out to the UB School of Management’s Projects Clinic to help investigate a troubling trend of steadily declining sales.

Through a series of initiatives, a team of three School of Management students analyzed in-store discount structures, the local housing market, loyalty programs and student awareness to identify opportunities for growth.

Using ReStore data, the team discovered a key area where sales were thriving: furniture. It was the top revenue category, outperforming all other areas of the store. As a direct result, ReStore reallocated floor space to expand the furniture area, improving sales per square foot.

Pfalzer says the fresh perspective from the students made a world of difference in reassessing operations.

“ReStore is very busy and I was a little reluctant to add anything else to my weekly plate, but I quickly realized the Projects Clinic was worth it,” he says. “The students took full ownership of the project and delivered professional-quality work.”

In addition, they developed a tiered membership program to drive repeat customer revenue and introduced a new discount program for UB students.

The team also identified challenges arising from the housing market. As economic forces make housing and home improvement more expensive, those forces also are hurting Habitat for Humanity and its home-building mission.

“If no one’s buying new stuff, then no one will be donating their old stuff to us,” says Daniel May, communications, marketing and engagement manager at Buffalo ReStore.

By Kevin Manne