The retail industry is competitive but also it is an excellent business model. One that it is easier than ever to get involved in. You can set up an e-commerce store in no time. But getting your store to rank on page one of Google so that people know that you are out there and have what they need is not easy. There are tens of thousands of stores trying to do the same. Therefore, it takes a lot of time to gain traction.
With a physical store, the moment you open, people will find you, get curious, and come in to take a look around. So, you will make your first sale within hours of opening. But, to do this, you have to set yourself up for success.
Understand your market and customers
Before you do anything else make sure that there is enough demand for what you are offering in the area you are planning to open your store. It will only take you a day or so to do all of the research you need. Most of the time you will be able to find core data online.
A simple, “demand for (insert what you are selling) in (insert country)”search, will bring back a surprising amount of good-quality information. Statista has a lot of market data you can look at. In addition, use the methods outlined in this article.
In addition, spend a bit of time in stores that sell the same products you are planning to stock. Speak to friends, family, colleagues, and anyone who will chat to you about how they shop for what you will be selling.
Take a look at those products on Amazon, see how many reviews there are, and read a selection of them. Once you are sure the demand is there, start your search for a location to sell from.
Locate your store in the right place
Using the research, you have done so far, sit down and think about the type of customers you will be selling to. This is the first step to putting together a buyer profile that will help you to determine where you will set up your store. These templates will help you to get this task done.
Once you understand the demographics of your typical customers, aim to set up your store where they typically live or shop. Then, go to those areas, have a coffee, do some shopping, and get a feel for the place. Do this at different times of the day and week. Note what the other shops are like and how busy they are. When you are sure you are in the right area, find premises that are big enough for you but still well within your budget.
Make it look good inside and out
This is obvious, but we mention it because when money gets tight (which it will) many store owners cut the finish to the bone. When they go too far, they end up trying to launch a new store that looks unattractive, tacky even. This usually works out badly. It is certainly not good for their brand. Often, the store is not fit for its purpose.
It is far better to be careful when working out your shopfitting, equipment, and initial stocking budget. Rather than guessing how much things will cost, get proper estimates.
If the cost is too high, cut things as you need to. Doing so in a controlled way, rather than when you are up to your eyes in fitting out, stocking, and launching your store, will ensure the decisions you make will be the right ones. For example, not installing eye-catching digital displays to save a few hundred dollars would be a false economy. It means you will have to open a store without the digital display screens you need to draw your customer’s attention to the products you are promoting. Or an aspect of your service that makes you stand out from the competition.
Launch with a bang, not a whimper
If you do not advertise your launch, people will find your store. But you will almost certainly have an extremely slow start. It is amazing how unobservant people are. If they are in a rush, which most of us are, the chances of someone noticing your store are greatly reduced.
When you do something special and advertise your launch even people who would not normally visit your type of shop will do so. They will browse, and surprisingly are highly likely to buy something. Possibly as a gift, which is great. But, more importantly, they will almost certainly talk about your store. Often, to people who will become bigger customers.
The above is a basic guide to opening a successful retail store. It is impossible to cover the subject in full detail. So, make sure you do some more research. Most retail trade associations have free guides that run to several hundred pages that you can download. Read a few of these.