How to choose a range for the store
Opening a new store, the entrepreneur will inevitably faced with the problem of selection range. With limited shopping space is necessary to give preference to those products that provide the best return. Assortment requires major investigations both initially and during use.
You will need:
- marketing research; - ABC-analysis system.
Instruction how to choose the range for the store
Conduct market research. Select your nearest competitors operating in the same format, and analyze their range. Identify the most common and the frequency of the brand and product groups. Think about whether the potential to satisfy the range of your target audience. In the absence of explicit competitors spend consumer survey, to identify their needs and wishes.
Use principles of category management. Break all the planned range into several groups, and work with each of them separately. For example, if you have a butcher shop, make a "raw meat" category, "canned", "smoked products and sausages." Then think over the composition of each section based on the results of market research conducted previously. Thus, in category "raw meat" may include frozen foods, chilled sliced, chilled semi-finished products with additives and offal. However, if you - a small shop in a residential area, this category is best reduced to semi-finished and frozen meats, as all the rest are unlikely to be in demand.
Purchase goods according to studies and their own forecasts. At the first stage to make purchases in small quantities. Try to form a product portfolio so that it was present products of different price categories.
Use the principle of ABC analysis, which will allow you to identify the top-selling and most profitable products. For example, in Group A will get 20% of the goods that will provide you with 80% of income. It is believed that successful businesses need only to monitor the group. However, do not forget about the slower moving categories B and C, which provide a wealth of range.