Store Format – Growth For 2015: The Driving Forces Behind The Projected Growth Of Small Retailers
With the economy stabilizing, things are only looking brighter for small retailers across the country.
While it may be too early to predict the success of small retailers in 2015, there are several signs pointing to growth in this business sector. Growing optimism among small business owners is likely one of the driving factors behind projected growth.
According to a recent survey conducted by Xero, almost 90% of business owners expect to see increased sales in 2015. Many of these business owners are even expecting to see a 100% increase in sales, if not more.
Factors contributing to this renewed confidence include the .7% drop in the unemployment rate since January and the slow but steady progress of the economy. If business owners are feeling this way, then consumers are as well, which will lead to increased spending.
Many small business owners saw growth in 2014, and that trend is only set to continue in 2015.
Another trend that may lead to growth of the smaller retailer in 2015 is an increase in online retail. Even small business owners owning only one or two locations are beginning to sell products online. Some retailers are even choosing to decrease the size of their sales floor or set up a digital space within stores. This allows them to cut down on the costs of managing a physical location, which means every sale leads to increased profit.
Luckily, the idea of a smaller retail store does NOT mean cutting down your workforce; it means being more strategic with a smaller physical space and intuitively coming up with new ways to layout your store.
- Less Rent
- Lower Leases
- Decreased Utility Costs
- Means more money saved which allows you to retain your most productive staff.
With newer retail display fixtures, a better understanding of what moves inventory, and a renewed focus on the interior display of products, businesses are able to boost sales, sell product faster, and use less space.
Although the recession once forced small businesses to adapt first and make the most dramatic changes, their creative problem-solving ability is now the driving force behind this new retail format.
Are stores getting smaller to save money or are businesses just getting smarter about how they sell their products?
In recent years, there has also been a renewed interest in supporting small businesses. Even though the Internet allows people to buy products from sellers around the world, spending money at a local store has its advantages. Consumers see value in dealing with familiar faces, enjoy taking advantage of traditionally lower prices, and are happy to see businesses thriving in their communities.
As small retailers continue to make their comeback, we are eager to see the transformation of the small retail space and are ready to provide the right display fixtures for your updated store layout.
For more information on continuing to display the same products in a smaller format store, contact Midwest Retail Services. Call 800-576-7577, use our convenient site link, or email us at info@mw-rs.com. Our goal is to provide display solutions for small format retailers.
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