Grocery stores play a vital role in customers’ day-to-day lives, so opening a grocery store can be a very successful venture for you.
Opening a Grocery Store
The Convenience Factor
Customers, especially those in urban areas, tend to choose their grocery store based on what is closest to home. If you’re looking to open a grocery store in a city environment, make sure it’s one with heavy foot traffic. Additionally, having ample parking for your customers plays an enormous role. Grocery stores thrive on the factor of convenience, so avoid any hurdles that would make your store hard to access.
It’s proven that customers are willing to pay a higher price for convenience. Just look at stores like 7-11 or gas stations, which charge 2-3 times the price of a traditional grocery store. Customers are willing to pay more not to travel out of their way for products. Finding an area that has a lot of higher-priced convenience stores, such as 7-11, CVS, or Walgreens may be a good indicator that the area could use a grocery store with lower prices and/or a bigger selection.
Another option is to take over a space where a prior grocery store has gone out of business. Be wary; you’ll need to investigate why the former store didn’t fare well in the market so you can avoid the same pitfalls. There are some definite perks to taking over an existing store – a major one being that shelving, freezers, and other grocery store infrastructures may be available for you to purchase at a discounted price than market value.
Find Your Market Niche
While the majority of customers choose their grocery store based on the convenience of the location, there are other ways to differentiate yourself from other stores in the market. Is there a big box supermarket nearby? Consider positioning yourself as an organic co-op and sourcing locally produced goods and produce. Or, if your chosen area has a large ethnic population, selling foods that they consume regularly may drive in more traffic.
Equipment
Grocery stores, more so than any other type of store are particularly reliant on shelving and fixtures as a way to sell their products. As mentioned before, buying used coolers and freezers can be an economical way to save yourself time and money. Coolers and freezers are some of the more expensive overhead, but necessary for stocking your inventory. Depending on the size of your store and how often you replenish your merchandise, you may also need freezer space for your back stock.
Another staple fixture of your store will be gondola shelving. Gondolas are usually a staple of grocery stores because you can arrange them to create aisles. Use customized Gondolas with fencing and accessories to help keep all your merchandise o neatly organized. Gondola end caps attach to the ends of your gondola displays. These areas are very prominent, making them a great place to display special promotions or clearance merchandise. Channel strips and label holders are an easy and inexpensive way to label your merchandise and display your prices.
Additional Fixtures and Supplies
Wooden barrel and basket displays add a touch of character to your grocery store and are a great way to store and display fresh produce. Specialty Store Services offers an extensive selection of wooden displays you can use to feature items in your store.
Fresh foods and produce are the most important for grocery retailers to promote, as these items have a shorter shelf life than dried or frozen goods. For this reason, we recommend merchandising your produce section in a way that is appealing to the customer’s eye. It’s a common best practice for grocery retailers to place produce sections in the front of the store, so as to catch the customer’s attention first. Brightly colored fresh produce pops against the natural color of the wood, making your items look fresh and appetizing.
We’re Here to Help
Opening a new store is an exciting time for an entrepreneur and yet you will be faced with many new challenges as you move ahead towards your goal. Specialty Store Services can help. With over 30 years in the retail industry, we have the knowledge and experience to help make your dreams a reality. Don’t be shy, please give us a call at 888-441-4440 or send us an E-Mail, we’d love to hear from you.