Successful businesses always Fulfill Customer Needs. Sometime its all about finding the right location and providing the right services. Each style of business has specific needs unique to its own industry. If you’re reading this, you probably know the why and how of your business, and now its time to answer the where. Regardless of the style of business its all about location, location, location.
Are you in Services, Retail, Wholesale or Manufacturing
- Retail – The sale of goods to the public in relatively small quantities for use or consumption rather than for resale. – Oxford Dictionary.
- Manufacturing – The act or process of producing something or something made from raw materials by hand or machinery – Merriam-Webster Dictionary.
- Services – Services are the non-physical, intangible parts of our economy, as opposed to goods, which we can touch or handle. – Market Business News
- Wholesale – the selling of goods in large quantities to be retailed by others. – Oxford Dictionary
Regarding the retail industry, the website Shopify has some good information. “There are an estimated 3.7 million retail establishments in the U.S., from stores to restaurants to salons to gas stations, pest control providers, and auto mechanics. Those businesses employ close to 42 million people, making retail the nation’s largest private sector employer. The retail supply chain generally consists of four players: manufacturers who produce the goods, wholesalers or distributors who buy from manufacturers and resell to retailers, and retailers who buy from wholesalers and then sell to consumers.”
There are four major categories of retailers:
- Hardlines – things that tend to last a long time, such as appliances, cars, and furniture
- Soft goods or consumables – things like clothing, shoes, and toiletries
- Food – things like meat, cheese, produce, and baked goods
- Art – things like fine art, as well as books and musical instruments.
The above was Taken from: Shopify’s Business Encyclopedia
All this information basically tells us that there’s a lot of competition out there. However, as an entrepreneur myself, I believe your business location and ability to fulfill customer needs can make or break you, especially in the retail or manufacturing industry. So, make sure to choose the place that best fits your target market, logistical needs and for a price you can afford to maintain.
Your product/service should suit your location and meet your customer’s needs.
Small Business Third Step: 7 questions before you sign the lease.
- How does your location and space meet your customers’ needs? Don’t pick a place that’s only convenient for you. Your business is about meeting the needs of your customer. If you do, they will meet your need for making money!
- Does the location, building design, history or neighboring businesses help with advertising? Sometimes a right location, may be all the advertisement you need. Although marketing your business is a different animal all together. A good location with easy access, ample parking and a nice atmosphere can bring customers to you instead of your competitors. But only if you have a good product.
- Can we set our own rules or does the location make us subject to neighborhood issues, zoning, tax and insurance regulations? Once we sign a lease and start, these issues can be impossible to overcome. So, do due diligence before signing on the dotted line.
- Have you checked the demographics to make sure people even want your product? Things like checking traffic patterns, lifestyle data, local neighborhood statistics, income levels etc. can help determine if this is the right location, or you need to look elsewhere.
Will the location meet your logistical needs and help you maintain product integrity. Being too close to roadways (dust/debris/pollution), too far from delivery routes, and poor ventilation/visibility is never a good thing. Things like mold, too much sunlight, and heavy traffic noise, can wreak havoc on product and customer attainment. Also make sure your location is near the things you need to run your business and still fulfill customer needs. Especially in manufacturing where things like bringing in the materials/workers, running your production processes, and moving produced goods out efficiently and effectively are how you make money. Lower overhead and headaches equal more profit and happier people.- Do you need professional help? Sometimes it’s best to hire professionals. And sometimes its better to do it yourself. Run a cost analysis and NEVER ASSUME how much it will take to get the place ready. Spend a few weeks or months getting bids, checking comps, talking to government officials, checking regulations, doing price comparisons and costs analysis before you start plunking down money. And talk to an attorney practicing law in your field of operations, before even thinking about signing a lease.
- Does the location suit itself for expansion? Manufacturing needs a lot of space. Its easier to expand horizontally or vertically than moving to a bigger facility. Checking zoning codes, doing Environmental Site Assessments, or finding a property that has neighboring property you can purchase can save a lot of money when your ready to expand in the future. Finding the right location in the beginning, makes it easier to develop later in your business cycle .
Building Service Businesses by Fulfilling Customer Needs!
Merriam-Webster’s defines service as – A type of business that provides services to customers rather than producing a product. Of Course if you don’t fulfill customer needs, your services are for naught. Commutes are the biggest time wasters for both you and customers!
7 questions to ask yourself about your potential service location.
- Do we outsource, or need a shop to store the inventory? For example: If the work needs only limited material/supplies you can rely on Currier, mail or retail store pickup along the way. If we need a lot of supplies, we most likely need a building or vehicle to store them. For example having a truck full of supplies, stops us from running to a supplier every time we need something.
- Is our service likely to expand the area we cover? If so, try finding a place centrally located. It can help save you time and traveling expense. Remember small business owners do everything. So, don’t let a bad location inhibit you from doing all the other parts of your business. Like being so tired after far-away service calls that you can’t do your invoices or paperwork.
- Is your location safe, secure and convenient? Try to locate your service operations in a place where you don’t have to worry if the neighbor is breaking in, or is a fire trap, or so far away from suppliers that you must go out of your way every time you need something.
- Does the location meet zoning and facility requirements? Check your local business licensing department for zoning or restriction regs. Don’t forget little things like access to water (for making your lunch), bathrooms, HVAC and power needs.
- What is the locations history and future planning issues? Always go to your location in early morning and at night to see how the location is at different times. Talk to neighbors about the property history, future projected growth, environmental issues or other potential problems that concern you. It’s amazing what you can find out from asking neighboring properties the right questions).
- Do I need a place or can I work out of my home? Working at home seems great, but has its own drawbacks. If you have small children, finding an outside office (or out-structure) will make getting work done easier. Also working from home means you never leave work. It’s always there. Many people start in their home and them move out as the business gets more successful. Either way you have to find what works for you, and go for it.
- Will I need to hire employees? Starting a payroll costs more than just wages. It also means an increase in space including offices, restrooms, kitchens, parking etc. So keep these in mind if you want to fulfill customer needs.