Starting A Department Store Business From Scratch

By Patricia Collins


If you have the interest to start a retail department shop, controlling revenue can be difficult because of the existing competition but with the best strategic plans, you are sure to make great profits later on. As a good start, check out some local department stores around Wiarton, Ontario and neighboring areas and try to determine what is lacking. Use the weaknesses of your competitor in achieving a great advantage at the time you enter the market.

But before that, think on certain factors that make your shop unique from others. With several established businesses that operate a Wiarton department store in the market, you should set yourself apart from them to stay competitive. The cost is probably not a competitive choice since there are lots of big box chains that are capable of buying larger items at lower costs.

Hence, if you cannot compete on price alone, compete on services or products. Think of specializing the store to focus on whether a consumer segment, luxury products, or product categories such as electronics and media. So whatever specialization you choose, be sure to conduct a research beforehand to determine whether there is a demand for another retail shop in the local area.

Typically, there are so many retail stores that closed their doors for good because of the recession. Although this situation is a bit scary for those who just started their venture, one favorable factor is that there are many available spaces for rent in local areas.

A short term lease is actually another way of starting up. However, most landlords may hesitate to offer such attractive pricing for those who prefer a short term rental. If the place has been unoccupied for a long time, you may use that information in making negotiations and make favorable terms for space in malls and outlet centers.

Entrepreneurs are also aware that writing a business plan is imperative. The only problem here is that you do not have ideas how to make one. The good thing is that no need to handle the business plan on your own. Nowadays, there are lots of solutions and resources available to help you with the writing process.

The location is another consideration to keep in mind. As you see, retail shops target local consumers. You may think you already know the town well, but it is worth doing more research in the local area. Excellent demographic information can be obtained from the census bureau, so it is better to start a site location research.

Do not ignore the competition in the area as much as possible. Before opening the store within the city, it is better to determine first your competitors. Moreover, if you are planning to launch the business, it is important to learn from people who are already in the market for a long time. But if one thinks they would give you important tips, then you are just being overly optimistic.

But on the other side, entrepreneurs who run a business outside the town may be willing to give you some tips and share their personal experiences with you since you are not a competitor for them. In fact, they are very happy to give you a start up suggestion and tips with you.




About the Author: