A successful retail store part 1

During the last time I have been asked many times what the “secret “is for the establishment of a successful new retail idea. In my experience , and I have successfully developed and started a new retail idea during the 1990’s there is no one secret , just a combination of factors that determines if an idea is mature and innovative enough to be developed to a real retail concept.

A good idea alone does not seem to be enough , though.

There are a number of factors that do count as important namely:

1. Innovation and by that I mean a new way or new method to offer an existing product.There are very few new products that are developed and that lend themselves to form the basis to a new retail concept.It is therefore more the how factor that determines the innovation than the what factor.



2. A vision .To decide on how to do it now is only a start .What is important in any new concept or idea is the entrepreneurial vision. That does not mean; goals or targets! A vision is a view into the future, such as the entrepreneur can envisage it for his idea, retail concept and staff as well as customers. This vision needs to be clear and “tangible” and must be so visual that everyone can identify with the vision. Again it should evolve around HOW and WHY rathet than that it focus is directed at WHAT and WHO!



3. The final aspect that seems to be very relevant is for whom. Unless the entrepreneur can clearly identify who will be his target customers , who would love to come and buy in his new concept and who he feels he competes with the idea is not more than a “flight of his own fancy”.The most frequent reason for failure in retail , even with great innovation and passion , is that the entrepreneur forget for whom he actually designed his concept.

We must never lose sight of the fact that there is no customer that wakes up in the morning with a feeling that his or her needs are inherently unfulfilled. They will only experience curiosity and a desire to explore any new idea if it is truly innovative and at the same time addresses latent and /or dormant desires that are not adequately fulfilled by existing retailers!

As an example I noticed recently e new concept store by Ferrari , Italy in London . Nothing really new under the sun but the way they did it counts here …A great example is also “Lush”, the soap story…



My experience has shown me that these 3 elements : Innovation ,Vision and For whom are the factors that need to be clear and tangible if a retail idea, that you might foster will have a chance .

Lets talk next time on step two of developing a retail store/concept….