Lord Sieff, former boss of Marks and Spencer (major British multinational retailer) once said that the 3 most important factors for success in retail business are: “Location, Location, Location!”. Actually if you choose the location wrong, it can have a serious and often fatal effect on your new business. Studies have shown that 85% of the retailer’s success depends on the location of the facility and that the remaining 15% depends on other business factors. Adequate location provides a large flow of potential consumers that will certainly have a positive effect on your business. When choosing the right location you should research thoroughly, evaluate every possibility and then make a choice. (Guest post)
This is important if you plan to build a retail business franchise that will cater to its customers in the best way possible. During the data gathering phase itself, and as your business starts to expand it is important to take care of your sales on the go. Therefore, besides having a great and experienced staff and organizational system that works, you should also have a mobile CRM like ONDiGO that will help you track everything about your retail business from start to finish with just a few swipes away.
We will give you a few short and useful tips on how to choose a perfect location for your retail business and arrange its space the right way.
You already know that it is very important to choose the right location for your new retail business. Your store should be located at a busy place, where people primarily walk, the promenade, near other retailing businesses, but bear in mind the competition. It wouldn’t be smart to open a small convenient store next to a big hypermarket that have been on that location for years. Also, your shop have to be easily accessible to your potential customers, so do not choose a lonely shop, away from other commercial activities. If your retail business is located near car parking, you have chosen an exceptional location.
Supply factors should also be taken in consideration when choosing the right location. Costs like labour costs, energy costs, taxes, transport costs and land costs can have the strongest impact on your business.
Functional interior is of a great importance for every retail facility. You must use the space wisely and properly assess the size, quantity and position of shelves needed for products displaying. All interior elements should be made of a material that is safe and easy to maintain.
You should have enough space, so that your customers feel comfortable and relaxed. Think about who is your target customer and what would he/she expect from your store interior. You can do so much with illumination. Lighting is important not only for the safety, but if you arrange the lights properly that will give your store charming look. If you are an eco-friendly person or you want to save the money on construction works and even on eco taxes, you should think about shipping containers for displaying and selling your products.
It is important that your store gives the impression of professionalism, neatness, and abundance. So do not choose huge facilities, that you cannot equip. It is always easier, cheaper and smarter to choose a smaller space for starters. When adapting your premises, make sure to comply with all legislation relating to this sector (toilets, hot water, storage space, etc.).
We hope that you find these tips helpful. When you start with your retail business, stay positive, work hard and (if you chose the right location) that will pay off.