Hunter Valley News

Retail revision: What goes into opening a retail store?

Retail revision: What goes into opening a retail store?
Retail revision: What goes into opening a retail store?

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Whilst we find ourselves firmly in the era of digital, with more people bringing online shopping into their daily lives than ever before, opening a retail store is still the inevitable goal or dream of many business owners.

Retail stores just have a certain legitimacy and authenticity to them that has never left, and with a certain amount of the population still distrustful of online platforms, there is a market in retail that can't be reached through other means.

With all that said, the actual step by step of what is required to open an online store is often a little more elusive than the wish to do it. So, today, we're going to take a look at a few steps required to turn your retail reverie into a reality!

Needing a niche

Whilst we're referring to the idea of opening a retail store as its own thing, the truth of the matter is that there are many different varieties of retail stores, each with its own needs and way of going about forming it.

From fashion to giftware, kitchenware, collectables, video games, and more, there are simply too many different styles of retail stores to count.

When deciding on the type of store you are going to open, there are a few avenues to go down.

Personal interest

Do you have a particular interest in or history with a certain niche? Are you really into fashion? Are you a collector of comics or movie memorabilia? Quite often, the best retail stores are going to be run by those with an active interest in the theme of the store they're running.

Plus, if you appreciate a particular type of item, it will hopefully make your day-to-day work more rewarding.

A gap in the market

Are you in a smaller suburban area and noticing that there are simply a few types of stores that aren't conveniently reachable by people around you?

If profit is your main goal, or you simply want to provide a worthwhile addition to your neighbourhood, then this can be an excellent way to go about choosing your retail store type.

Availability of products/an existing online presence

Have you been selling items online? Well, if so, chances are you've already developed some form of a supply chain that has allowed you to financially consider the idea of opening a store.

If so, it makes sense to build on your existing niche where possible to provide the most benefits with the least amount of setup. This is especially true for those that have a somewhat recognisable brand that can be leveraged in the success of your storefront.

On the note of your supplies:

Securing your stock

Whether you have an eCommerce store you've been populating or you're starting out fresh, the chances are that you'll need to organise a provider of products in order to stay afloat. Luckily, there is a fantastic array of giftware wholesalers in Australia, as well as fashion brands and other wholesale providers that will be able to service your store for reasonably low prices.

Just remember when choosing a provider that their cost-per-item needs to make sense for how much you can sell and at what cost you can sell them. You don't want to buy 1000 of the highest luxe designer products at the beginning, only to find that you have sold 50 of them by the time they go out of season or out of fashion.

Assessing your area

If you've decided to take the leap and set up a store outside your immediate vicinity, you're going to have to find the right area for your particular retail niche to thrive. This tends to be a toss-up between high foot traffic, high competition, and convenience.

In other words, the ideal location will be one that has a lot of potential buyers around with not too many other businesses doing what you do. After all, the more comparable retail stores there are, the more you'll have to make yours stand out, and the less of a percentage you're likely to get of the customer base.

Leasing a location

Once you've chosen an area or suburb to reside in, you then have to choose an actual store. In most cases, you'll be looking for a storefront to rent, at least at first, which means that your options will be limited to what is available to rent in the area.

Luckily, any given shopping centre tends to have at least a space or two available and depending on the specific requirements of your store, you can get a little creative with the location.

Remember that each store is going to have different needs in terms of space, storage, and utilities. So, where possible, try to choose locations that are going to give you most of what you need immediately as opposed to storefronts that will have to be reconfigured significantly.

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The way we think about retail is changing, but that doesn't mean the old ways are being left in the past. There are limitless ways to go about starting a business, and if you're ready to take on the retail experience, there are fewer roadblocks to doing so than ever before.

Just make sure you have a plan, you are passionate about what you're doing, and you're ready to take on whatever may come your way.