As an online retailer, how do you know how your product is going to sell in the 'offline' market?
With 60% of new businesses now started at home, this is a question being asked more and more frequently. PopUp Britain reckons it has an answer.
The private sector funded scheme offers start-ups a chance to put their products to the test on the high street. The campaign’s first shop, a former estate agent premises in Richmond, Surrey, which had been standing empty for a year, played host to more than 60 start-ups in its first five months.
The not-for-profit campaign intends to make use of the growing number of empty shops on the high street in order to encourage small start-ups to grow by providing an affordable opportunity to test the waters with a 'real' shop.
The scheme’s latest project is based on the iconic King’s Road. The shop is a former electronics showroom which has been empty for three months. It has the capacity to house twelve start-ups at a time, and each will pay £240 for a two week stint to cover costs.
The latest shop, which opens on 9th May, is designed give fledgling businesses from around the country a low cost opportunity to test their products in an area that has famously played a key role in supporting independent British brands for decades.
As retail start-ups begin to realise that in order to build a solid brand they need to be in bricks and mortar, interacting with their customers face-to-face, PopUp Britain could provide just the opportunity they need. It neatly helps them keep all the advantages of online retailers like Amazon, whilst having a low cost route to the high street.
If you think you fit the bill, it’s free to apply: www.popupbritain.com/apply
1. Focus on who your ideal customer is - those who are loyal and high spending - and make sure that everything you do is with your customer in mind.
2. Focus on cost cutting. Remember the old saying: "Look after the pennies and the pounds will look after themselves." There are services to make this easier for you that don't cost a thing - check out Make It Cheaper for instance, which could enable you to make savings on your utilities.
3. Focus on your product, pricing and promotions - think about that ideal customer; make sure everything you present to them is aligned to their needs and wants and is clearly priced. Run engaging promotions that increase sales, don't drain margin and don't devalue the brand.
4. Make sure you are online. You don't need to be trading online (but it helps) but you do need to be findable. Spend some time to ensure you can be found for what you offer in your area. Make sure you add your business to Google places and as many free directories as you can. When people search for [category] in [Town] you want to be on page one! Add your business to www.independentshops.co.uk/.
5. Make sure you get social - retailers are using tools such as Facebook, Twitter, Pinterest, YouTube and blogs to stay in contact with customers. If you're not yet familiar with using social media then chose just one and learn how to use it. You'll soon find your feet, but if you do need a bit of help getting started, there is a free downloadable 'how-to' guide available at www.independentretail.co.uk/resources
Clare replies: “Many people start retailing almost as a sideline and discover that it's consuming more and more of their time. Of course, if you're running a business alongside a full-time job you'll be getting income from both. Making the leap to being a full-time business owner - moving from employment to entrepreneurship - is never easy and only you will know when the time is right. Assess what income you need and how you'll achieve it and make sure you have the financial buffer to cover the transition. It's often valuable to join a local networking group to meet other local business people. You'll meet people who are in the position you'll be in when you make that leap and you may get a great deal of advice and support from the network as well.”
Clare replies: “One of my greatest frustrations is the amount of money that seems to be thrown at start-ups and schemes to support start-ups but how little there is to help established businesses to keep going. I work with a privately funded organisation, Enterprise Rockers, and their mission is to support micro businesses (ie those with fewer than ten employees) to keep going once the honeymoon phase of start-up has passed. There is almost no support for established businesses from the government, and their stance on business rates for retailers in particular (of any size) is crippling. Banks are getting better; the anecdotal feedback I've had is variable - it seems that the success rate with banks has more to do with the business owner's relationship with their local business banking manager than it has to do with any specific bank or banking policy.”
Clare replies: “I think the UK has huge entrepreneurial spirit and achieves an enormous amount. It's sad that much of the media focus is on super-star entrepreneurs like the BBC Dragons and not on the real-life entrepreneurs. The Federation of Small Businesses (FSB) has a campaign called Real-Life Entrepreneurs, and I've agreed to champion that for them. This is all about recognising the micro businesses that work hard to support themselves and perhaps a couple of employees, who earn a reasonable living and enjoy a reasonable life.
“These real-life entrepreneurs won't make millions overnight; they won't be bought out by mega brands and they don't need investors to accelerate their growth. They're like the vast majority of entrepreneurs: people enjoying what they do and making a decent living. It's important to celebrate these people and recognise their achievements - the thousands of plumbers, decorators, designers and web developers who work freelance are probably more valuable to the UK economy than one of the celebrity entrepreneurs! It's important that we acknowledge that when talking about the mix of UK small businesses.”
Clare is well known by most independent retailers as a 'voice of the industry'. With years of experience creating awareness for our high street shops, retailers and traders she is one of the most trusted experts in the UK. To read more advice for her visit www.retailchampion.co.uk
This article first appeared on the Towergate Insurance website and was written by Jonathan Falgate.
Britain's high streets could be pulled back from the brink of extinction by a new wave of entrepreneurs. Hope for our high street is provided by new research published by Sage, which suggests that one in five people planning on starting a business would open a retail shop on the high street. That number rockets to 47% for those planning on launching a service-based business.
The YouGov Entrepreneurial Britain study was conducted as part of Sage's Discover Your Business Potential campaign and surveyed 3,329 respondents. It aimed to shed light on how many people are planning on setting up a business in the UK, where these businesses will be and in what sectors. Its findings suggest that:
High street shop closures have impacted town and cities across the UK, with an average of 14 shops closing a day at worst. The north east of England is the area hardest hit, with 15 per cent of retailers closing. However, Sage's research suggests that things are looking up for the region. The North East has the highest number of people planning to start a business, with retail again being the most popular choice (22%).
The research suggests there is light at the end of the tunnel. Everyone has business potential and it’s encouraging to see so many people set to launch a new venture in the next couple of years. Whether it's the Mary Portas effect or not, without doubt, there is hope for the UK high street.