The Secret Sauce of Retail Success: Location, Location, Location

Posted on: September 12th, 2014 by Rob Baumhover

 

HME Retailers,

We’ve all heard the phrase “Location, Location, Location”.  It applies to real estate. It applies to business. And it applies more than ever to retail. A great retail store location is a key driver of customer foot traffic. The more foot traffic a retail location has, the more sales they are likely to have.

Yet location remains a major roadblock to the success of many HME businesses.

VGM Retail outlines three key questions to ask when analyzing your current store location, opening a new branch location, re-locating your current operation, or choosing a location to start your first HME retail business.

1. What are the demographics of the area?

As HME Providers, our target customers are primarily seniors and baby boomers.  The best location for your storefront is therefore an area with a high density senior population. Your store should be convenient and easily accessible by car, foot or public transportation from their homes.

Other demographics to consider when choosing a location are: male vs. female, marital status, annual household income, and population size and growth rate of the community and surrounding communities.

Check your local library, Chamber of Commerce, or US Census reports online for demographic information about your local community.

2. What other types of businesses are in the area?

Many business owners believe they should be located as far away from their competitors as possible. This is often not the best choice. While it’s not best practice to be situated right next door to your competitor, also remember that they chose their store location for a reason. It is likely that your competitors have already researched traffic counts and demographics and know their particular location brings good clientele for your market segment.

The key with positioning your store location near a competitor is to be confident in the knowledge that your products, and most importantly your customer service, can outsell theirs. This way, when a customer doesn’t find what they need in your competitor’s store, or their customer service is not ideal, they will come to you (and never look back!).

3. Is your storefront easy for your customers to see and access?

When it comes to location, convenience is key. If customers have trouble finding your store, they likely won’t take the time to search for it and will go elsewhere. Things to keep in mind in terms of accessibility and visibility include:

•A friendly, welcoming and professional store front. Consider landscaping, a fresh coat of paint, and bright, eye catching window displays.
•Clear and readable exterior signage (Bold, large, easy-to-read fonts are vital for those who are visually impaired).
•Plenty of parking in an easy-to-navigate parking lot.
•Ensuring your location is easily accessible by car, foot and public transportation.
•Wheelchair accessibility.
•Store locations on highly traveled roads with other retail stores in the vicinity are ideal.

 

For more retail tips on location, marketing, products or anything HME, contact VGM Retail at 855.285.3300 or [email protected].