Choosing the incorrect retail shop location might cause disastrous consequences for your business. Here are 5 critical things retailers must consider when they find and choose location for their retail stores.
Type of your products and stores
This is the first thing you should think about while trying to find and choose location. The site of your retail business should match the sort of goods you want to offer and the type of store you want to open.
You could choose to create a typical specialized store or open a convenience store. A pop-up store is also an interesting option. Alternatively, sell from a mall kiosk. You have a variety of choices, such as malls, fairs or festivals, event places, and so on. These are excellent methods for bringing your brand to the notice of potential customers.
ConnectPOS has supported many merchants in this field. This cloud-based platform offers an omnichannel approach that is suitable for various types of stores.
Demographics research
To find and choose location, you must begin the location selection process six months prior to the opening of your shop.
If your business offers new and trendy clothing, it should be placed in an area where individuals of a younger age live or have easy access to them. A smart alternative would be a neighborhood in a decent position in the city, close to institutions or offices.
It is necessary to consider the customer’s income. Stores like Nordstrom are only found in affluent neighborhoods. This is due to the fact that if you are selling high-end goods, your business should be located in an area where the locals can afford them.
Another thing is if you run a business that sells high-end items to a niche market, you need to decide whether to open it in a high-end location or one that is more cost-effective. Rental per square foot will be significantly greater if your shop is in a prime location. However, locating it in a less expensive area where no customers would show up is a complete waste of money.
Workforce attributes
Are the types of employees you’re seeking residing in the same region as your retail store? Is it going to be simple for them to go to the store? Is there a sufficient number of restaurants and hospitals nearby to make things convenient for your employees?
These are some of the issues you should consider when it comes to your staff.
Competition around the place
It’s a wise strategy to locate your store near other companies that can ultimately assist in driving traffic to your own. Any company or product category that is closely similar to yours should be able to assist you.
Greg Kahn, founder and CEO of Kahn Research Group in Huntersville, North Carolina, makes an excellent argument. He claims that your rivals did extensive demographic analysis before building their business in that location. They’ve also spent a lot of money on advertising to get people to come there, and you can take advantage of their investment.
The contract after you find and choose location
Before you sign a lease, it’s a good idea to engage a skilled lawyer to help you negotiate the terms. Consider the following questions:
- Is this the best spot for your business?
- Is the structure in decent condition?
- Is there a sufficient supply of utilities nearby?
- Is your store’s location in the building appropriate?
- Is there sufficient space for all of your retail, office storage, and workroom needs?
Conclusion
To find and choose location for your retail store, you probably need to pay more attention to the 5 things that we mention above. Call us immediately to have a clear and detailed strategy on this issue.
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