A retail business is hard word. You have to open and shut the business at predefined times and always make sure that you have the right number of staff present so that the customer gets great service. How do you boost your profits?
I ran a retail business for five years over 15 years ago. Then I sold it and started supplying packaging to manufacturers. Now I run an internet based business. The following is how I boosted the business in my retail outlet.
One of the best ways to boost profits is by having the right technology and software in place. I find it staggering that many small business owners do not even know how much stock they have at any one time.
By linking your till to the right computer and software package you will know:
1) How much stock you have any one time
2) How much dead stock you need to get rid of
3) The exact margins you are making
By buying cameras and anti theft equipment you will greatly reduce the amount of pilfering that normally goes in the retail trade and remember to cover your storage area where goods are delivered. It is estimated that half of all stolen goods go out the back door! Now that technology is so cheap, it does not make sense not to have a decent system.
Have you considered expanding your sales area by reducing the size of your stock room? Once you have the right technology in place you will not need so much stock. Your high street premises are far too expensive to use for stock anyway. Renting a cheap lock up and keeping slow moving lines there will mean that you have now got a much larger sales area!
Moving location can also work wonders to the bottom line. We all have heard of location, location, location… but how many businesses do you know that once they have started never move?
Keep your eye out for your ideal location and if it comes up for sale / rent make sure you get it.
By making the right changes now it is possible to enhance the profitability of your retail outlet.