7 simple retail business tips you need to try
Running a successful retail business requires many skills. In addition to fostering your leadership abilities, you should have a passion for the retail industry.
There are many components that go into owning a retail business; such as writing a strong retail business plan, choosing the right location, consistently marketing products, among other things. Check out these seven retail business tips that will help you improve your business’s operations:
1. Create a retail business plan – In order to keep your business organized and financially responsible, write a clear retail business plan. This could include what your business will sell, how it will function, a budget to follow and any financial goals that you have. Once you have a business plan, the work won’t stop there! As your business evolves, update this document to reflect the revised goals you have for your company.
2. Pick the right location – Your retail store’s location will play a huge part in how many customers visit your business. Choose a location that is visible from main roads, near a shopping center or area that is frequented by a lot of people. If your store is in an inconvenient location, you may have a difficult time bringing in enough sales to stay afloat. Also, you should ensure that your business’s signage is clear and captivating; this could catch a potential customers’ eye, and convince them to visit your store.
3. Stock up on inventory – In order to run a retail business, you should know how to choose the right merchandise for your store. When selecting inventory, visit different wholesale marts to determine which merchandise you want to carry, and is the most cost-effective. Going forward, consistently re-stock your inventory, and keep track of which items sell and which ones aren’t flying off the shelves. Stay up-to-date with industry trends, so that you can continue adding new merchandise that will fit your clienteles’ needs.
4. Hire reliable employees – As a retail business owner, you should be ambitious, motivated and resourceful. Make sure that you are hiring staff members that also possess these characteristics! If you lead by example and set clear goals for your employees, it is likely that they will be hard working, determined assets to your team. In addition, be open to hearing their retail business ideas; having different perspectives will take your business from good to great!
5. Focus on customer service – Working in the retail industry requires exceptional customer service skills. Exude a positive attitude, be an efficient problem solver and always put the customers’ needs first. Also, be sure to train your associates on customer service procedures.
Don’t forget, each customer interaction matters. According to Lee Resource Inc., 91 percent of unsatisfied customers won’t willingly make purchases for your business in the future. This means without excellent customer service, your small business could risk losing valuable patrons.
6. Be vigilant about marketing – Advertising your retail business will inform your customers about upcoming sales, new products and other necessary information. In order to market your business to both new and returning customers, mix up your marketing efforts. Promote your business through a wide range of channels; email, flyers, social media posts, online advertising and print ads. Pay attention to which methods are generating the most leads, and continue to brainstorm retail business ideas that will help you with your marketing campaigns.
7. Utilize a planogram – Want to organize your shelves? Consider using a planogram template. This method will allow you to sort items by size, popularity, brand or other classifications. By following a planogram template, you can ensure your displays are both aesthetically pleasing and arranged in a way that is tailored to your customers’ needs.
Running a retail business is an exciting venture, but it also requires hard work. By writing a business plan, hiring diligent employees, picking an ideal location, making customer service a priority and stocking the right inventory, your business will be a hit! We hope that these retail business tips allow you to advance the quality of your business. If you have retail business tips of your own, share them in the comment section below.
Editor’s Note: This post was updated for accuracy and comprehensiveness in April 2017.