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How to open your own shoe business. Business idea: shoe store |
The shoe business will always exist - there is no doubt about that. A person cannot do without shoes and clothes, unless of course he is an "African resident". Each person is forced to renew their shoes at least 1-2 times a year. Those who pursue fashion traditions do so much more often. The demand for footwear, as for foodstuffs, remains unchanged from season to season. Even in a highly competitive environment, a shoe store can generate tangible income for its owner. Shoe store business plan - point by pointIf you want to create a competitive shoe store, you need to be ready to invest a lot of money in the business. We are talking about 1.0 - 1.5 million rubles only for the creation of the assortment and design of the outlet. The "golden years" of the 90s, when the business started with the sale of 20 pairs of shoes, are long gone. As in any business, there are certain risks here: an unfortunate location, a lack of buyers, an error in the selection of a store's assortment, high competition, opening out of season, and so on. All this really hits the pocket of a budding entrepreneur and discourages any desire to do business. You can reduce the risk of losing funds at the start of a project by purchasing a franchise. Fortunately, there are plenty of companies offering to work under their own brand today. Plus the franchise is obvious. An entrepreneur does not need to think over the design of a retail outlet, assortment, equipment, train personnel - everything is done for him by the franchise company. A businessman buys a business that is already ready and well-established in practice, which generates income for its owner. The downside of such cooperation is the lack of complete business freedom, which many entrepreneurs pursue. Any derogation from the rules of the franchisor may result in the loss of franchise rights. However, if you decide to master the difficult path of the "shoe business" with your own hands, you need to start with drawing up a clear plan of action - from the search for investments to the selection of suppliers of goods. Store locationHaving decided on the sources of financing for the project, it is necessary to choose the premises of the shoe store. And here, many beginners may have difficulty assessing the potential of a particular place. A successful outlet must have sufficient customer traffic. Assessing customer flow is an important step in business planning. In this regard, the most profitable places are considered to be large shopping centers or high-traffic street retail. The external environment of the store is also important, which includes the convenience of approach and transport access, the availability of parking spaces. It is difficult for novice businessmen to get into the promoted shopping centers of the city - the rental price in such places, as a rule, is “prohibitively” high. This luxury can only be afforded by chain stores and well-known brands. And even if you manage to get a "golden" place - the policy of real estate owners is such that at any moment the rental rate can be increased several times. New shopping centers are also a risky option - there is a possibility of low customer flow. For small shoe stores, renting the first floors of multi-storey buildings is a good option. There are plenty of such places in the sleeping areas of the city. And although the attendance here is not the same as in the city center, the rent is much lower. Ideally, the premises for a store should be purchased as a property, so as not to depend on the owner's appetite. In this case, the dwelling must be converted to non-dwelling, in accordance with the type of permitted use. It is good if there is a grocery store, pharmacy, clothing store or bus stop next to your store. There is a great chance to lure visitors to these establishments to your point of sale. The best advertisement, then, is an attractive showcase. It contains the most popular items of the product, for example, women's boots at discounted prices. Sales area and assortmentThe assortment of a shoe store directly depends on the area of the premises. Each quadrature has its own assortment matrix. When displaying, products are grouped by product groups: men's, women's shoes, children's shoes, bags and related products. Then, within each group, there is a division according to season, age and style. Showcases located at the entrance to the store should be filled with the most popular products. These include women's shoe models for the current season. The main goal in this case is to get the customer to stay in your store and buy the product he needs. Experts do not recommend clogging up most of the shelf space with assorted goods. Since the main buyers of a shoe store are women, the best places should be given to popular women's goods - boots, shoes, and so on. All other goods, including men's shoes, must be placed further from the entrance. It is also important to create a pleasant shopping atmosphere. The visitor should enjoy the very process of choosing a product. The presence of a large number of fitting places is a big plus of a shoe store. A comfortable environment is created by installing soft sofas, rugs in the fitting area and musical accompaniment. Price policyWhen opening a shoe store, you should decide on the price segment. Who will be your main customer, what is their income? The most popular stores in peripheral cities are economy-format stores, which are aimed at "middle" and "below average" income levels. The choice of footwear suppliers depends on which price group you will work in. It will not be superfluous to hold all kinds of promotions, contests with gift certificates and other loyalty programs. You can create club cards of discounts according to the accumulative system - 5%, 7% and 10%, depending on the number of purchases. This will increase the flow of regular customers and your profit accordingly. SuppliersNot unimportant, when opening a shoe store, is the choice of product suppliers. As you know, most of the footwear on our market - about 50% - comes from China. Chinese suppliers do not always offer quality products, but they win over with their low price. Among the well-known domestic factories one can distinguish the Chelyabinsk firm "Unichel", the Moscow factory "Parizhskaya Kommuna". The production of footwear is well developed in the Rostov region. If you order footwear from Russian manufacturers, then there should be no problems with delivery times. The same cannot be said about working with foreign companies, when delays can amount to weeks or even months. This can create certain problems when preparing for the shoe store's sales season. In this part, it is necessary to optimize work with transport companies and calculate the entire supply chain in advance. ConclusionThe shoe business can generate stable income and develop only through constant optimization of costs and purchase prices. You also need to learn how to increase sales - without it, no savings will help. Your store should focus on increasing sales along with increasing business efficiency. In this case, success will be in your hands. Step-by-step plan for opening a shoe storeIf a decision is made to open a shoe store, the first step is to study consumer demand and the competitive environment in this business and, based on this, determine the format of the future store. And then proceed to the next steps:
How much can you earn selling shoesThe revenue of a small shoe store operating in the middle price segment will amount to about one and a half million rubles (if the margin on the goods is on average 90%). Less current expenses and net profit will be approximately 250 thousand rubles. Business profitability in the range of 15-16%. What equipment to choose for the storeThe store should be convenient for the client, therefore, it will require certain equipment, taking into account the assortment. You will need:
If a store selling children's shoes is planned, the equipment, furniture and design of the space should be safe, bright and attractive. What OKVED to indicate when registering a businessTo organize a shoe store, you need code 47.721 - trade in shoes and leather goods in specialized stores, namely, item 47.72.1, which is responsible for the retail sale of shoes. Please note that this code is not suitable for the sale of special sports shoes (see code 47.64 - Retail sale of sports equipment and sports goods in specialized stores). What documents are needed to open a businessThe most convenient and less costly form of registering a shoe trade is individual entrepreneurship. To issue an individual entrepreneur, you will need: a passport and an application for state registration, a document confirming the payment of a fee, a scanned copy of a TIN certificate. What taxation system to choose for a shoe storeA business in the legal form of individual entrepreneurship is suitable for a simplified taxation system, that is, 6% of net profit or 15% of revenue. Do I need permissions to open a shoe storeTo organize a store, you will need: permits from the SES, territorial property management and fire supervision. If you open a store in a rented space, the landlord is responsible for fire safety. Shoe sales technologySales volumes directly depend on the assortment and location of the store. You must work for a target audience with a certain level of paying capacity. The advertising company will help to declare itself, but in the future it is obliged to inform future and regular customers about new arrivals of goods. All kinds of loyalty programs and bonus systems attract potential buyers. The quality of footwear, especially for children, is an important factor. Satisfied customers will come to you for a new pair and bring next customers to you. Organize a website for your store, which will contain all information about the product and manufacturer, prices, discounts, and more. Because the modern buyer starts searching for the right things from the Internet. In this material: A shoe store is a profitable and quickly recouped business. During the year, a person changes on average 4 pairs of shoes. And this moment concerns only a seasonal nature, and if we take into account shoes for training, work, rest, then we can safely say that people visit shoe departments every month. A shoe store business plan includes several main stages and a huge number of sub-points, the fulfillment of which is mandatory for every entrepreneur if he is serious about the business and plans to recoup the investment after 6-8 months. Description of the business and description of servicesThe shoe store offers several formats:
The goal of the project is to open a shoe store from scratch with minimal investment. Objectives - providing the population with a wide range of products at affordable prices, attracting and retaining new customers. Implementation - own funds, sponsor's money or a bank loan. RelevanceShoes are an essential item, the purchase of which cannot be postponed until later. The shoe business has always been and remains relevant, especially for the women's and children's line. If men for the most part change their shoes only if they are completely worn out, then ladies often buy a new pair of shoes or boots just because they are beautiful or fit a dress. Children grow up equally quickly and wear out sets of sandals, sneakers and boots, so they have to change shoes several times a year or a season. A shoe store is relevant both for a small settlement and for a large city. The differences are only in the format. For example, in an urban-type settlement, a boutique or branded shoe store is unlikely to be popular. Whereas a mixed type of retail outlet will pay for itself in a short time.
Advantages and disadvantagesBefore starting a shoe store, you need to study the positive and negative aspects of the business.
Preparatory stage of workYou need to start a shoe business by collecting analytical data on competitors and researching the population's demand for products. To obtain complete information, it is recommended to allocate a certain amount from the budget for the relevant activities. Demand researchConducting a public opinion poll is the simplest and most affordable way to determine what customers are missing. Algorithm of actions:
Possible questions:
There may be more or less questions, and they may also touch on other topics of interest to the entrepreneur. Based on the information received, the format of the future business, the assortment and the price category of potential buyers are determined. The respondents are even able to suggest the location of the future business. Analysis of the level of competitionYou can analyze your competitors simply by visiting their stores. It is necessary to determine:
Organizational planRegistering a shoe store, choosing a taxation systemNovice businessmen ask themselves questions: how to open a shoe store, what form of business to choose. At the initial stage, the IP status is perfect for organizing a retail outlet. This is due to the following:
LLC is relevant for large activities or a chain of stores, as well as for the purchase of large consignments of goods from abroad. Otherwise, the limited liability company does not provide any advantages. Registration of entrepreneurial activity is carried out in the tax office. You must have a passport, TIN and application with you. You also need to indicate OKVED codes and select a taxation system. The main OKVED code is 52.43.1 (retail trade in any footwear). If the store contains only shoes, then other codes are not required. However, if you intend to sell socks, stockings, underfoot shoes, belts, accessories, you will need to indicate the appropriate codes.
Taxation system - STS or PSN. The simplified version is good for a low percentage - 6% or 15%, and the patent system does not provide for the submission of declarations and other reports to the Federal Tax Service, which greatly simplifies the work of an entrepreneur. Everyone makes the choice independently.
After concluding a lease agreement, you must contact the fire inspectorate and Rospotrebnadzor with a package of documents to obtain a business permit. Choosing the location of the outletWhen deciding on the location of a shoe store, you have to choose from two options - a shopping center or the first floor of an apartment building. There are pros and cons to both. Advantages of renting space in the shopping and entertainment center:
The advantages of opening a point on the ground floor of an apartment building are the ability to create an individual style, independence, a wide range of options. The main thing is that the place should be with a large flow of people, located at the entrance to the roadway and viewed from different sides. Cons - the need for expensive repairs and a large-scale advertising campaign. Premises and requirements for itThe shoe store does not have any special requirements. It is only necessary to comply with the approved sanitary standards:
EquipmentRequired equipment list:
Staff recruitmentThe number of employees depends on the area and location of the outlet. For example, if a store is located in a mall, then the area varies within the range of 25–30 sq. M. m, and for this one seller is enough. If a point with an area of 50-60 sq. m in an apartment building, the minimum staff is 2 sellers and an administrator, the role of which can be performed by an entrepreneur. Requirements for employees:
You can find sellers on the Internet by submitting a free vacancy announcement. Finding suppliers of quality footwearTo implement an expanded assortment, it is recommended to work with several suppliers at the same time. You can find them through the same Internet, but it is worth concluding contracts only with trusted companies or directly with manufacturers. It makes sense to pay attention to local shoe manufacturers, if such are present in the region, and also to give preference to high-quality and inexpensive products. Unknown brands must be purchased in limited quantities. Advertising campaign
The more effective and large-scale the marketing is, the more people will learn about the opening of a new outlet. Subsequently, it is necessary to periodically hold promotions, arrange sweepstakes and make discounts on past collections. Shoe store financial planInvestment in the projectInvestments at the start (in rubles):
Result: 810,000 rubles. Running costsSpend in the first month (in rubles):
Result: 105,000 rubles. Sales revenueThe average number of buyers per day is 10 people, which also depends on the season, day of the week. The average bill is 1,500 rubles. Daily earnings are 15,000. Monthly earnings are 450,000 rubles.
Profit calculationNet income is a measure of profit minus mandatory expenses. 450,000-105,000 = 345,000 rubles. From this amount, you must subtract the periodic costs for the purchase of a new batch of goods. On average, it will take 200,000 rubles. The net profit will amount to 145,000 rubles. Profitability and payback periodProfitability is calculated using the formula - the ratio of net income to gross income, multiplied by 100%. R = 145,000 / 450,000 * 100 = 32%.
The payback of the shoe store on the basis of the given costs will be 6 months. In practice, the indicator may increase up to a year, since in the first months it will be necessary to spend intensively on advertising and purchase of goods, and the number of buyers will be low. With an increase in turnover and purchasing power, an entrepreneur may well reach a net income of 200-300 thousand rubles a month. When opening a shoe store, you always need to start small, namely with the analysis of the market, target audience and competitors. A business plan is an excellent helper in this, because without planned organizational issues and financial calculations, the outlet will go into negative territory already in the first month of work. Order a business plan
Many entrepreneurs who associate their activities with selling shoes argue that there is no better business. People always buy these things, much more often than clothes. Shoes wear out faster and the next purchase is often more of a necessity than the usual replenishment of the wardrobe. And if real women of fashion become regular customers, then a stable income for the entrepreneur is guaranteed. Women never think they have enough of these wardrobe items. Today we'll talk about how to open a profitable shoe store. Step-by-step plan for opening a shoe storeChoosing a reliable supplier is key in running any trade-related business.... The terms of cooperation should ensure:
This stage of business organization requires special attention when working with Chinese suppliers. Cheap women's, men's and children's shoes from China are in great demand among buyers today. It is focused mainly on middle-income buyers and is available to the majority of the population. Choosing a placeYou can open a store with goods from China almost anywhere with good traffic, where retail space is provided:
Each of these options implies a certain amount of funds that must be paid for the rent. Experts do not recommend investing in the first option, even if the sale promises to be high. Clothing markets, as trading platforms, are gradually becoming obsolete. The second two ways to open a store are worthy of more attention, but also a different amount of cash. However, the civilized organization of a retail outlet for the sale of shoes from China will quickly bear fruit. The population has already learned to value the comfort and convenience in shops. We select an assortmentTo open a store, you need to choose the right assortment. Experienced entrepreneurs are advised to adhere to these rules:
The average customer who comes to a store may initially set a goal to buy one good leather product, but in practice, often buys two or three pairs of leatherette shoes from China for the same money. This fact in no way means that the product is chosen of low quality. On the contrary, if the material of the product is a substitute for genuine leather, then the buyers make increased demands on the quality of the seams, soles and accessories. The entrepreneur's task is to open a store that satisfies the tastes and desires of the consumer, and this can be done only if there are reliable and honest suppliers. How much can you make selling shoes at retailBefore starting an activity, you need to make some calculations that can be called economic. It is best, of course, to draw up a business plan, but if an entrepreneur does not have such an opportunity, then it is imperative to calculate the break-even point for your store. We will provide a simple calculation to help you navigate the prices of goods from China and the markups that are guaranteed by the sale of such goods. So, in a box there are usually from 6 to 8 pairs of shoes of one model of the entire size range. Let's assume that there are 6 pairs in a conventional package, worth 400 rubles. If you put a margin of 100%, then with the sale of the third pair of products, the entrepreneur will already return the cost of the entire box. The subsequent sale will generate net income. One pair, which remained unclaimed, can be sold for a share, while reducing the margin to 50%. In total, the income from one box is 2200 rubles. Do not forget that from this amount you will need to pay rent and taxes. After deducting these costs, you will get a net profit. It is usually used to purchase a new batch of goods. The key to the success of a store that sells goods from China is the constant renewal of the assortment. With the money earned, it is better to buy several new models. It should be noted that even with a 100% mark-up, footwear is still available to most buyers. You can start a business with a very small amount, just in this case, it will take more time to get a stable profit, which you can no longer invest in a product, but use it for your own needs. There will always be a need for clothes and shoes, and this can be said with great confidence. Despite the crisis in the country, difficult economic times, shoe stores do not cease to exist. Therefore, we cannot ignore such a profitable business idea as opening a shoe store from scratch. In today's article we will share with you the secrets of the success of the modern shoe business. Each of us buys shoes and clothes all the time. Even a family with a small budget, on average, spends about 30% of their monthly earnings on clothes. People buy new shoes for a variety of reasons. Firstly, it is seasonality, in summer you will not walk in boots, and in winter in shoes. Secondly, it is fashion, many people follow it very carefully and constantly update their wardrobe. In addition, you will have to buy a new pair of shoes if the old one has already been worn out, and in the case of children's shoes, it has become small. Thus, we can draw the obvious conclusions that even the most economical people still have to buy a new pair of shoes or boots from time to time. Therefore, opening a shoe store can be considered a great business idea. How to start a shoe store from scratch?Surely every novice entrepreneur is wondering where to get money and how much does it cost to open a shoe store? Everyone understands perfectly well that starting your own business from scratch is quite difficult, so there are not so many trying to start their own business. In the case of a shoe store, a considerable start-up capital is required in order to purchase goods, rent an outlet and pay for the work of employees. But do not despair, because there are no unrealistic tasks, there is only wrong thinking. Where can I get the money?
Business registrationIn order to start your business, you need to register your business. To do this, you will need to collect and execute the entire package of documents. Documents and permits for opening a shoe store:
Certificates for the goods soldIt should be noted that each specialized shoe store must have certificates confirming the quality and safety of the products sold. In accordance with legislative norms, the following types of footwear are subject to mandatory certification: rubber and leather, both children's and special. Shoes are subject to declaration of conformity:
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Shoe Store FormatBefore you plunge headlong into business, you must definitely decide on the format of your outlet, so to speak, choose a direction. Naturally, you can trade children's, women's and men's shoes at the same time, but in this case you will have to sacrifice something, and, as a rule, this is the quality of the goods. Children's shoe storeStarting a store for specialized children's shoes from scratch is a great business idea that deserves a detailed analysis. To make it clearer for you, I will give you several reasons that will convince you of the benefits of this direction. Why is it profitable to sell children's shoes?
Thus, we can conclude that even people with average incomes regularly spend a certain amount of money on the purchase of children's shoes. It's no secret that adults often sacrifice themselves, but the baby will buy, things are necessary. Therefore, the conclusion is obvious, the sale of children's shoes is a profitable business. Women's shoe storeWomen's shoes are very popular at any time of the year. Unlike men, ladies will not stop at one pair of shoes or boots and, if possible, will definitely replenish their wardrobe with a new model. Therefore, opening a women's shoe store is no less profitable than selling children's shoes. Men's shoe storeIf you decide to open a men's shoe store, you should know that the demand for it is much less than for children's or women's. But this does not mean that this area is unprofitable, its only drawback is a longer return on business. Having decided on the format of the outlet, you can start choosing its location. Where to open a shoe store?Attracting customers is the main task of any entrepreneur. What do you need to do to get buyers? That's right, to interest them in profitable promotions, to attract attention with a bright sign and a good location of the outlet. It is best to open a shoe store in crowded places with high traffic. For example, it is profitable to open a retail outlet in a central or business district by renting an area in the premises of a large shopping or entertainment center. Square. If possible, it is advisable to rent an area of at least 40 sq. m., in order to accommodate a large assortment of goods. If there is no money to rent a place in the center, then you can open a shoe store at the local market or in a residential area of the city, usually in such places the traffic is quite large. When choosing a location, consider the ability of buyers to pay. Agree, it's stupid to open a luxury shoe store in a residential area. EquipmentThe store must be properly equipped so that customers have access to the goods, they can comfortably move around the store and try on the shoes they like. Necessary equipment:
Hired personnelChoose the right number of employees to serve your customers depending on the size of the store. In the case of opening a small retail outlet, it is enough to hire one or two sales consultants to work in shifts. If you are opening a large store, then you should additionally hire a manager, a cleaner and a security guard if necessary. Your profit and traffic to the outlet directly depends on the work of sales consultants. Therefore, be responsible for the selection of personnel. A sales assistant must be pleasant-looking, have an excellent understanding of the range of goods, be attentive and friendly towards his customers. It's no secret that footwear in our country is a product in high demand. Due to the climatic features of our country, every season we are forced to purchase new shoes, boots, sneakers, sandals. In this regard, many do not miss the opportunity to earn money by opening their shoe boutiques. It should be admitted that with a competent organization of a business selling sneakers or ankle boots, you can really generate a good income. Where to beginWhat is needed for this? First, a well-thought-out and paper-based business plan for a shoe store. And, of course, start-up capital, without which entrepreneurship is impossible in principle. However, before taking a closer look at the shoe store business plan, it is necessary to mention some important features of this type of entrepreneurial activity. Business nuancesYou must consider the fact that it is seasonal. Regardless of whether a batch of the winter collection has been sold or not, when summer comes, you need to buy shoes that are appropriate for this time of year. The buyer should be able not only to purchase new models of shoes, but also to choose them based on their feet size. And if you only have one or two sizes of shoes in stock, then the customer can simply turn to the exit and make a purchase from your competitors. When developing a shoe store business plan, you must clearly define what consumer “audience” it will target. If these are people with a low income level, then it hardly makes sense for you to scrupulously follow the latest collections of "shoe" fashion. They can become elementary illiquid. In contrast, wealthy clients should not be offered budget models. Also consider what age group of consumers your shoes will target. Perhaps you will focus on shoes for adults, it is possible that on children. In general, the choice is yours! The above financial document should contain a detailed cost estimate, namely how much money you need to get started. You must rent premises, purchase goods, equipment for a shoe store (computers, cash registers, furniture), pay taxes and wages, and so on. For these purposes, you will have to spend quite seriously. In the above document, you must reflect the amount of your potential income, calculate how long it will take you to return your investment. Many are primarily interested in the question of how much the initial cost of a shoe store will cost. It depends on a number of factors: the area of your outlet, its design and location, as well as the specifics of commercial equipment and product range. Your shoe store business plan should provide a comprehensive answer to the question of the size of your initial investment. DocumentationFor your business to be legal, you need to obtain the appropriate documents from government agencies. In other words, you must register your footwear business with the tax office. In addition, your activities must be coordinated with supervisory structures, such as the sanitary and epidemiological station, fire inspection. In addition, you must have in your hands all the necessary certificates that would confirm that the shoes sold are of high quality. Do not forget to also get a passport for outdoor advertising and conclude a waste disposal contract. EquipmentIt should be noted that the equipment for a shoe store can be very diverse: it all depends on the thickness of the wallet and the width of the flight of creative imagination. The main thing to keep in mind is that the buyer should have easy access to the counters that display the entire range of the shoe lineup. Be sure to provide shelving for a shoe store. It is much more pleasant to look at sneakers or boots on special shelves than when they just lie on boxes of several tiers. Think carefully about the design of the room: decorate the shop windows as brightly as possible, take care of the right lighting and the right air temperature in your boutique. The customer should feel as comfortable as possible entering your store. The design of your premises should "scream" that your business in the field of entrepreneurship, as they say, "is going uphill." When visiting your outlet, the client should be charged with exclusively positive emotions. If you manage to achieve this, then you should know: the volume of your turnover will increase significantly. Don't know how to properly arrange the interior of the store? Use the services of professionals. LocationIt is advisable that your shoe boutique is located in a residential area of a city with a high population density. The store should be located close to the market and large supermarkets. Choose an area where parking for vehicles is located near your point of sale. Consider also the fact that it would be convenient to get to your boutique by trolleybus or tram. Also think about what to name your shoe store. It should be a euphonious, exclusive and easy to remember word or even a phrase. Keep in mind, however, that when trying to be original, you might choose a name that is already in use by your competitors. This, of course, cannot be allowed. Inquire about the names of the shoe stores located in the same area as your boutique. How to choose suppliersWhen it comes to how to open a shoe store, one of the key points is choosing a shoe supplier. As a rule, there are no problems with wholesale purchases. Alternatively, you can try cooperation with several Russian enterprises and companies that manufacture footwear in neighboring countries, for example, in Belarus. In runet, you can find all the necessary contact information, both about small and large manufacturers of boots and sneakers. |
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