The first drains appeared in Russia in the 90s of the 20th century. Their appearance was caused by the economic situation in the country. Today, the stock business is one of the most profitable areas of trade in many areas. And with the clothing trade, the stock has become a single whole.
Term STOCK derived from English stock — "stock" or warehouse stocks. What is runoff? Many consumers confuse it with second-hand goods. Although these are completely different concepts.
What is clothing stock
As a rule, clothing manufacturers sew a little more for the season than their demand. This excess production is needed in case there is increased demand from consumers. Surpluses are needed to satisfy this demand. But this approach has the most important disadvantage - no matter how high the demand, there will always be surplus goods in warehouses. This is the root cause of runoff.
Particularly large and famous fashion manufacturers destroy these remnants so as not to discredit their business and brand. Large mass brands send stock to their discount centers. Less famous brands sell their surplus clothing in bulk, literally by weight. This is what the stock business is built on.
That is, clothing stock- these are new clothes, but, as a rule, outdated ones, from previous collections and seasons, which were not sold on time and are sold in order to free up their own warehouses.
What is the clothing stock like?
There is no general classification of stock clothing; it is usually divided according to quality and seasonality. But, recently, a number of wholesale stock sellers have developed approximately the same categories that are understandable to all wholesale buyers.
- Class A drain: clothing of the current season. Manufacturers sell out stocks without waiting for the new season. Clothes with low demand, an oversupply of certain sizes, unsuccessful designs, or similar reasons fall into this category. Wholesale offers are characterized by individual prices for each item and the ability to choose a model range. They are distinguished by the presence of factory packaging.
- Class B drain: comes from the above class. As a rule, these are leftovers from last season. They are distinguished by the absence of groups of sizes and colors. But, this is still high-quality branded clothing in original packaging. Sold at an average wholesale price without the ability to choose a model range.
- Class C drain: runoff that is generated by large retail chains after the end of the season. There is no single brand here. But there is a very large variety, simply huge. Since large sellers purchase very large quantities at very low prices. Runoff is inevitable. But the main disadvantage of such stock is the lack of factory packaging and unfamiliar brands. Sold at an average wholesale price without the ability to select specific items.
- Class D drain: continuation of class C. At the moment of wastewater generation, they are sorted by quality. More expensive, but high-quality goods are sold in group C. Less high-quality, but extremely cheap - class D. Disadvantages - a large number of defects and very unsuccessful models. Pros: extremely low price even for wholesale.
Each class has subspecies and other branches that are individual for a specific wholesale distributor of stock.
Why is a stock clothing business profitable? 3 key reasons
One of the differences between the stock is that it is not Chinese nameless consumer goods. If you choose high-class stocks, you will get leftovers from well-known and high-quality brands. Therefore, a stock business has three key features.
1. Minimum investment
To start such a business, minimal investments are required for the branded clothing trade industry.
2. High quality
There is no shame in selling stock clothes. High-end stocks are well packaged, have well-known brands and are of appropriate quality.
3. Fashion trends, constant demand and varying levels of trade
Clothes stocks are a continuation of seasonality. So, by selling class A stock clothes, you will always sell fashionable goods this season, from well-known brands, for which demand is always stable. And your customers may be of medium or high income, so you can even open a fashionable boutique.
Types of stock business
Like any trading business, a stock business can be wholesale and retail.
Despite the abundance of brands, there are not many large stock distributors; even in Russia they can be counted on the fingers of one hand. They deal in very large wholesale quantities.
Stock wholesale business consists of purchasing such lots, sorting and resale in small wholesale (lots). The main expense in such a business is the initial capital for the purchase of a large wholesale batch. Profit is obtained through turnover, the usual markup is 5-20%.
Stock retail business consists of organizing stock stores (discount stores). For this business, you need to purchase certain lots and put them up for retail sale. Depending on the stock class, your store can be a branded boutique in an elite shopping center or a convenience store in a residential area. The markup depends on you and your approach, the average markup is 50-300%.
Stock business is suitable for small towns (from 50 thousand) to large cities.
The stock clothing store is aimed at people whose financial income is below average. The peculiarity of STOCK stores is the frequent updating of products.
The principle of stock business is very simple. Stock store owners benefit from quick refunds and frequent product changes. They buy discounted lines at special stock bases abroad and sell them at a markup, which they gradually reduce. For the buyer, this looks very tempting: not only is the branded item initially discounted, there are also additional discounts on it.
Buying from stocks is like an auction, only prices are lowered rather than raised. If a person likes an item, the desire to buy it right away is triggered, because you are unlikely to wait until you can save 95%; someone else can buy the item. So usually stores don’t have to reduce the price by more than 50%.
The main point of a profitable stock business is frequent updating of the assortment. Four times a month is the minimum. The markup on stock goods is on average 150%, and sometimes higher. The markup percentage will depend on how quickly you want to sell the item.
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Products can be purchased from wholesale suppliers, retail stores, or from the manufacturers themselves. The main wholesalers are located in Moscow and St. Petersburg. The goods can be either purchased or taken for sale. It is advisable to work with well-known suppliers or independently select the product you need individually.
The first batch of goods should be no less than 300-400 units, the assortment should correspond to the season. The amount of the first purchase is approximately 70 - 100 thousand rubles. At the initial stage of the business, it is better to take a mixed assortment of clothing to find out the needs of your customers. Then you can also purchase shoes and accessories.
In large cities, this business idea is already appreciated. Recently, stock stores have begun to actively appear and operate successfully. However, this market segment still remains unfilled and relatively free in our country. The main category of buyers of stock clothing are students, large families, newlyweds, the “middle class”, elderly people, etc.
At the initial stage, it is better to work with a mixed assortment of goods. This will allow you to best understand the needs and requirements of customers. You can organize the sale of not only clothes, but also shoes and accessories. Products must be purchased in accordance with the season and constantly updated (at least four times a month).
As a rule, goods from previous collections, items with various types of defects, unsaleable sizes, etc. are sold in stocks.
Novice stock store owners often start with so-called “stock packages” - ready-made batches of goods from the Quelle, Otto, Appart catalogs. They are sold in the same way as second-hand goods - by weight.
Since it is not possible to find out exactly what is included in the package in advance, newcomers often “get caught” - the goods turn out to be stale, and sometimes with a defect.
Therefore, before purchasing goods from unfamiliar wholesalers, make inquiries. The same applies to numerous “confiscation” databases. Often these are low-quality goods that are sewn on the knee, and then passed off as confiscated lots.
The initial costs of opening a stock store will range from 150 to 200 thousand rubles. The average markup on stock goods is set at 150%. Monthly income from the business is from 50 thousand rubles.
Stock children's clothing store.
A specialized children's stock store has the following advantages:
On the other hand, opening a specialized children's clothing store is accompanied by some difficulties:
- Difficulties with choosing a rental location (more on this later)
- Lower turnover and profit compared to a regular stock store
- It is possible that inspection bodies will pay closer attention to clothing certificates
If you organize a separate corner or stand for a children's drain in a regular stock store, then, on the one hand, this can serve as a source of additional profit, on the other hand, if implemented incorrectly, it can significantly spoil the appearance of the store and thereby scare off certain categories of customers.
Instructions
First, decide what you want to buy in a stock store. There are a large number of sites on the Internet that offer stock and retail. If you want to buy clothes for further sale, you should pay attention to the stock clothing site www.stock-planet.ru Here you can buy clothes in batches and individually, which is important for small wholesalers and retailers. In addition, then you can exchange at least 50% of the purchased product for a new one, which is very profitable for the stock seller.
Go to www.stoksale.ru. There you will learn about the latest stock clothing arrivals from famous world brands. The range of clothes is very large. In addition to adult clothing, you can buy a variety of children's clothing, shoes, perfumes and more. You can look at photos of stock clothing and shoes and choose what suits you.
Visit a stock clothing site http://www.s-klad.ru. There you will be offered more than a thousand models, not only men's, but also a large list in bulk. In addition, this stock sells stock and confiscated products from reliable retail chains and factories. If desired, the company can obtain hygiene certificates for the goods. The prices will pleasantly surprise you, because the company works directly, without intermediaries. It is also important that the company will provide you with free delivery not only in Moscow, but also in other regions of Russia.
Browse the site http://radolina.info/, if you are interested in stock clothes straight from Europe. You will be offered high-quality equipment, children's stock, shoes and clothing from famous world brands. You can get full advice on any issue you are interested in by telephone.
Select site www.avitex.net, if you want to buy the stock item you need through an online store. You will be asked to look through the clothing catalog and choose what you like. Without leaving your home, you can choose and buy a specific model of your choice at an attractive price.
note
Please clarify all conditions for purchasing the product in advance.
Helpful advice
Choose a company with good reviews.
Despite the fact that the clothing market today is quite oversaturated, this area is very attractive for beginning businessmen. By getting into clothing sales, you will get an interesting and promising business.
You will need
- - start-up capital;
- - market research.
Instructions
Conduct detailed marketing research and draw up a plan based on it. You can do this yourself without turning to professionals. Walk along nearby streets and shopping malls, take note of those brands and groups of goods that are already presented. The purpose of your research is your own market niche and positioning. Try to choose a direction that is not in your chosen area.
Create a pleasant atmosphere in your store. Work with the lighting, turn on unobtrusive music, place a water cooler and a sofa for clients. Actively use the basic rules of merchandising. Try to combine matching items on shelves, brackets and mannequins. Next to small collections, place accessories that match your style.
Hire responsible, friendly salespeople. Arrange regular trainings and sales master classes for them. A clothing store salesperson must have good taste and be able to advise the client. The qualifications and professionalism of the sales staff can attract regular customers.
Video on the topic
note
Unfortunately, cases of theft in clothing stores are not uncommon. To prevent them, install a system of alarms that are attached to items and removed at the checkout.
Helpful advice
Introduce a system of personal discount cards, for which clients will fill out questionnaires. This way you will get an idea of your customers and will also be able to inform them about sales and new collections.
Competition in the market clothes huge. It would seem that all the niches have been occupied for a long time. However, new stores are opening every day. In order not to go broke in this difficult business, you need not only to offer the buyer competitive prices, but also to stand out from other stores.
You will need
- - a budget sufficient to organize your own business
- - clear business plan
- - branding and advertising specialist
Instructions
The next step will be the transition from plans to action: finding a suitable premises, renovating it and equipping it to meet the needs of the store. Also, correctly correlate the price category of branded clothing with the size of the store itself and its future location: clothes of expensive brands at appropriate prices will be difficult to sell in a tiny store located in a residential area. For you, location will play a decisive role; it is best to find a room in a central area, close to other stores in the same price category. It is important that the store is easily accessible by car; there should be parking nearby, because your potential clients are wealthy people who most likely have their own car.
Store renovation and design, a well-designed display window is your business card. In most cases, buyers decide whether or not to enter a certain store based on the display window. At the same time, search for a clothing supplier, and do not forget that the supplier must provide you with all the necessary documents and certificates of conformity. Of course, purchasing in bulk will be cheaper than purchasing in small quantities from different suppliers.
While work on opening a store is in full swing, you need to officially register your business. To do this, you need to choose the right type of activity: individual entrepreneur or LLC. The first option will be more profitable and simpler to begin with: - you can switch to a simplified taxation system;
- fewer requirements for financial statements;
- you will not be property for your activities. But when the business starts to gain momentum, you can switch to another type of activity. There are many organizations that will not only explain everything to you in detail, but for a fee will help you prepare all the necessary documents.
The final touch before opening a store will be the search for employees, preferably with solid work experience. You will need at least one cashier, one sales consultant, and most likely an accountant. It is best to set employee salaries as a minimum fixed + percentage of sales. This way, your employees will have a personal stake in the store's success. Buyers of expensive branded clothing are people with high demands, accustomed to good service and experienced staff.
Video on the topic
note
Be prepared for the fact that your business will not start making real profits any time soon. Most likely, you will also invest the first profits in the further development of the store.
Helpful advice
It is worth considering a system for rewarding regular customers. After all, it is not enough to lure a client with a one-day promotion; you need to keep him. Loyal customers will serve as your main source of profit, as well as word of mouth.
“Burning Clothes” provides a good opportunity to make money. A small store of stock items of different brands can become quite a profitable business. To open such a retail outlet, $4–10 thousand is enough. The project should pay off within a year.
Instructions
The stock store should be located in areas with good traffic or in a densely populated residential area. Opened in the campus area, the store can also become a . Such outlets usually offer clothing for young people, and the well-being of modern students is quite high. Do not open drains on main streets. There are a large number of branded companies selling their own leftovers. The area must be at least 50 square meters. A room with an area of 150 square meters would be optimal.
The equipment must ensure safety and free access to. Safety will be ensured by magnets attached to the product and control posts at the entrance. A small juice store can be fully equipped for $1 thousand. Do not forget that a stock store is, first of all, a cheap clothing store. Therefore, the equipment should indicate the minimum markup of the item.
In a store with an area of 50-150 square meters, as a rule, about 400 units of various stock items are presented. Such a stock of goods will cost $2-4 thousand. Women's and youth items usually account for 80 percent. The remaining 20 percent is divided between children's and men's clothing. The main product is seasonal clothing. Knitwear, jeans, and men's T-shirts are popular off-season. In addition to clothing, you can offer shoes, interior accessories, underwear, hats, etc.
One of the main conditions for success is competent pricing of stock clothing. Wholesale companies sell goods in batches. As a rule, items are offered selectively. But you must select at least one hundred units. The price for each unit is the same, although the product is unequal. You can pay 15 euros for both jeans and a summer top. By displaying the product in the store, you will redistribute the cost of the entire shipment. Some items will be sold at a markup of 800 percent, while others will be sold at cost or at a loss. The basic rule is that the sale of the entire batch must compensate for the costs and bring in income, which can be about 400 percent.
A small stock store can employ two or three people or more. For the first time, you can take on the duties of a cashier-salesperson, this will allow you to save a little on your salary. For hired employees, several payment options are possible. The salary can be fixed, salary plus bonuses or a percentage of sales. There is also usually a discount for purchasing goods in the store.
You can make a lot of money on inexpensive goods, as a business like a stock clothing store proves this. The initial investment for opening a stock store is not too large, since things are cheap and bought by weight. Decorating a retail space also does not require serious investments.
Instructions
As a rule, stock stores are divided into two types: huge (about 1000 square meters) or small (about 60 square meters), medium-sized ones are much less common. The store premises should be located in a place convenient for visitors. If the drainage is large, parking should be provided; a store with a small area should be located in areas with high traffic.
Decorate your stock clothing store in an extremely democratic style. Follow two basic rules - customer convenience and the internal cleanliness of the store; you can save on other things.
To open a clothing store you will need approximately from 400 thousand rubles to 3 million rubles, the initial costs depend on the area of the store. It will take approximately 200 thousand rubles to buy things for a store with an area of about 50 square meters.
The goods of stock stores are clothes that, for various reasons, are not in demand in brand stores. This could be last year's collection, or the remnants of a new one, or maybe even a model altogether. To sell such outdated clothes, the most common marketing method is most suitable - low prices. A stock clothing store, first of all, makes money on the number of sales, and not on the markup on the product. Although sometimes some stock owners manage to set a high markup of several hundred percent on some goods, this is very rare.
Update your stock store assortment as often as possible. Remember the two magic words for a stock clothing store - "new" and "discount". They attract buyers very strongly.
Even Hollywood stars sometimes shop at stocks. After all, in such stores you can find designer items from past collections at ridiculous prices. However, regular stock, designed for mass buyers, can bring in good income.
Instructions
Find a suitable premises. It may not be located in the most accessible place, but within the accessibility of public transport. First of all, you must ensure that the rental cost is minimal, since your main competitive advantage is low prices.
Pay minimal attention to the decor of the room. In a stock store, the emphasis should be on the products themselves. At the same time, an interesting atmosphere can be created, even if there is only plaster on the walls. Use mirrors, bright posters and think through lighting solutions.
Find several ways to build your store's assortment. First of all, choose large ones that sell stock. Such companies will be able to provide you with stable quantities of goods and offer the lowest possible prices. In addition, you can pick up remnants of last season's collections at local mono-brand stores.
Make the most of your store space. Since you are focusing on sales volume, the maximum amount of product should be present in the sales area. At the same time, hang things that match each other nearby. With a low price, the buyer will probably want to buy them together.
note
Be attentive to the quality and appearance of the product. As a rule, items that end up in stock have withstood a lot of fittings, so they may have certain defects.
The clothing trade attracts many budding entrepreneurs with its apparent simplicity. Indeed, this business is not the hardest. However, there are also many difficulties in it. First of all, there is a lot of competition, especially in large cities, as well as a strong dependence on fashion.
Instructions
If you are going to organize the sale of clothing, then experience as a salesperson or manager in a store will play into your hands. After all, you already know the work of the store from the inside and imagine the requests of customers. If you don’t have such experience, then analyze the work of several stores, at least from the buyer’s point of view, take note of convenient stores, interior features, etc.
There are quite a few niches in the clothing trade, but try to choose one rather than spread yourself thin. For a small store, the narrower the focus and fewer competitors, the better. When drawing up a store concept, think over the name; it should be memorable, stylish and consistent.
Once you decide on the direction of trade, find suppliers of goods and quality goods that meet the requirements of your concept. Suppliers can be found at fairs, exhibitions, and on the Internet. If you are interested in a specific product, find its manufacturers on the Internet and contact the supplier. Select several similar companies, study the terms of work with each, and then enter into contracts with 2-3 of them.
As for the retail space, it is better to rent a premises that will be located in a shopping center or separately on the so-called “shopping street”, where there are already shoes next door. Having chosen a room, decide on the interior. If finances allow, then it is better to contact a designer to make the store cozy and interesting.
Engage in personnel selection. If you are planning to open a large sales department, then there should be two salespeople in the hall working in shifts, which means the staff should consist of four people. An administrator will also be required, but at first his duties can be performed by one of the shift sellers. To motivate store employees to do good work, their salary should consist of a salary and a bonus, calculated based on the volume of revenue.
The easiest way to start your own clothing retail business is to open a franchise outlet. Using the experience of your already successful colleagues in your work, you can better learn all the nuances of this market and prepare to then open a business that is already “one hundred percent” independent.
You will need
- -an agreement with one of the retail companies selling clothing on cooperation in the form of franchising;
- - a room for equipment in it for a retail clothing sales point;
- - sales staff and accountant on staff.
Instructions
Choose the brand you want to use for your clothing store - there are a lot of potential franchisors in the fashion clothing industry, so you need to choose the most suitable option for yourself. It's not just a matter of taste preferences, but also the conditions under which manufacturing companies or clothing suppliers offer a franchise. The difference primarily lies in the price you will have to pay for the right to use one or another brand - some franchisors may ask for more than you can generally invest in opening a store, others are interested in “promotion” and set the minimum price.
Send an application to the company you are interested in with an offer to buy from it the right to use its trademark in its activities. Find out the terms of cooperation again in all details and conclude an agreement. Your further steps aimed at organizing a clothing sales point will be determined by the extent to which the franchisor company considers it necessary to regulate your activities.
Find the premises in which to locate your store, following the instructions of the franchisor or having previously agreed with him on the location of the future store. Most likely, the franchisor will provide a full set of retail equipment, as well as all the necessary elements for designing a point of sale for your use. If you rent space in a shopping center, then the number of organizational issues will generally be significantly reduced - it will only be enough to come to an agreement with the administration of this center, without having anything to do with the inspection authorities.
Find sales consultants who will serve customers at your outlet. In any case, the selection of personnel will remain on your conscience; the senior partner can only help you with their training (some chain stores have a system of specialized training). You will most likely act as the store administrator yourself (otherwise it will be difficult to obtain the necessary experience), but it is better to hire an accountant from among the professionals - it will be too risky to take on solving his problems yourself.
Sources:
- How to open a clothing store
- business selling clothes
For anyone who has decided to engage in retail trade in men's and women's clothing, there will definitely be a place in the market - this market is divided into many segments, many of which are practically “rubber”, that is, allowing more and more new players to create successful trading enterprises.
First, you need to decide how your store will operate. The two most common options are an independent multi-brand point of sale and a store opened on a franchise basis, that is, using the experience and reputation of an already established chain. The second is much simpler and is especially well suited for a novice entrepreneur; in this case, the franchisor company will do a lot for you, in return receiving a portion of the income and your agreement to adhere to its rules and standards in work.
From a strategic point of view, one of the most important steps before opening a store is choosing a location in which it will be located. Finding a suitable place with good traffic and renting a room that suits your goals is what you will need to do first. A currently popular solution to this problem is an agreement with the administration of one of the shopping or shopping and entertainment centers, which allows you to get rid of many of the problems that licensing organizations usually cause the owner of a separate store.
If you open according to the franchising system, your senior partner will most likely take over its design, since compliance with the corporate style is a mandatory requirement of almost all franchising companies. The same applies to commercial equipment, which will most likely be placed at your disposal. If you decide to open an independent multi-brand store, you will have to decide on design and design issues, so in this case you will not be able to do without a professional designer.
Finally, sales personnel serving store visitors are of great importance in the retail sale of clothing. There is no shortage of sales consultants with experience in the job market, however, finding the kind of salesperson you want will likely be very difficult. Therefore, if you really care about the reputation of your future store, do not just hire people who once sold clothes somewhere, but organize training for them and personally make sure that they are sufficiently qualified to work for you.
Sources:
- How to open a clothing store
The clothing market today is not only divided between large retailers, but also oversaturated with many small retail outlets. However, its potential is still great. Clear positioning, development of a regular clientele, excellent assortment: if a number of conditions are met, even a small store will generate good income.
Based on the work done, try to choose the least developed direction. Clear positioning will help you formulate your own development strategy and stand out from your competitors. Do not try to reach as many potential clients as possible: it is much better if a narrow but stable circle of buyers constantly comes to you.
Choose a room for work. The more successful the location, the less money you will spend on its promotion. This could be a small boutique in a shopping center, or a separate room on a busy street.
Develop a memorable store design. A bright style can be created with the help of thoughtful lighting solutions, the right color combinations and interesting accessories. Try to make the atmosphere in the store cozy. Ottomans, mirrors, drinks, fashion magazines, toys for customers’ children: there are many ways to make a customer’s stay in a store as comfortable as possible.
Instructions
To successfully open a children's second-hand store and not go broke, you need to learn a few recommendations and not be lazy, because any successful business requires complete dedication. First, you must decide on suppliers and the availability of good goods. With the development of Internet technologies, this will be very simple, but it will take some time.
Search the Internet for second-hand clothing suppliers and start comparing price lists. After a short analysis, call and clarify the information. Then go to the wholesale center to evaluate the quality of the product. Although many act differently. Considering the fact that you can end up with unscrupulous suppliers and get only 50% of the contents in good condition out of 100%, novice owners of mini-shops independently go to second-hand stores, where clothes are sold by weight. There they select high-quality goods in perfect condition, wash, iron them and after that independently evaluate them. There is also a win-win option to establish contacts with England, Germany and Scotland.
After that, place a bright sign, hand out leaflets and wait for the first grateful customers who will spread the news about the new children's second-hand store in a few hours, through everyone's favorite word of mouth.
Nowadays, everyone can open their own business. A discount store is the choice of many entrepreneurs. Such a center has many advantages. Discount is stale goods from previous collections or seasons that are sold at a reduced price. These are high-quality products that are sold due to their obsolescence, in contrast, for example, to a stock center, which mainly stocks goods with certain defects.
An example is the Adidas company. Its products are famous for their quality and convenience, but not everyone can afford to purchase them at the price of a regular store. At the same time, such a large chain must constantly maintain its image, which means that on the shelves there must be clothes that correspond to the latest fashion trends.
However, often a huge number of models from the previous collection remain at a time when a new one has already appeared. In this case, this product goes on sale at a discount center at a much lower price. This type of trading is profitable because the chain maintains its image while at the same time getting rid of excess product. Adidas discount centers are very popular among customers, because they offer high-quality clothing at an attractive price. If you decide to open such a store, you must follow the following scheme.
Cooperation with the company
First of all, you need to contact the copyright holders of this trademark and agree on cooperation.
All contacts can be found on the company's official website. If you have a large start-up capital, you can become an exclusive distributor of Adidas in Russia. If you are a novice entrepreneur, you can. This is very convenient, because... This company has already developed terms of cooperation with stores.
Its representatives will provide you with all the necessary documents and certificates required to sell the goods. However, in order to use their business method, you will have to give them a portion of the profits. The down payment will be 10% of the cost of the required investment in your business. You will also regularly pay 7% of all sales and 1.5% for advertising and marketing.
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Preparing for the opening
The next step should be to find a place to rent. Such a large chain as Adidas may present its requirements for a future store. As a rule, it should be located in a walk-through area of a large shopping center. It is imperative to study the agreement with landlords as carefully as possible for pitfalls.
At the same time, it is worth taking into account all the factors that influence store traffic, because your profit depends on it. Remember that already discounted goods will go on sale and making discounts to attract buyers will not work, otherwise the costs simply will not be recouped.
Next, the store should purchase all the necessary equipment. This is a cash register, a frame for detecting the removal of goods, barcode scanners, a printer for printing barcode labels, mannequins, racks, hangers, mirrors. The Adidas discount center should look expensive. It is also worth investing in high-quality store lighting.
Select service personnel. Young men and girls of pleasant appearance are perfect for the role of sales consultants. with competent speech and without bad habits. It must be remembered that the Adidas discount center is a high-class store, therefore the service must be appropriate.
Next, you need to draw up a business plan and calculate the main costs. This includes the purchase of goods at a discount center, customs duties, rent, advertising, taxes, and wages of store employees.
Until recently, many compatriots associated the concept of “drain” with domestic sewerage or, in extreme cases, with a river bed. The situation changed dramatically when stores with the same name began to appear en masse.
The name is based on the English word “Stock”, which in this case means “stock” or “warehouse”. Stocks began to be called stores selling surplus original branded clothing that were not sold for one reason or another during the season. For collectible European clothing, for example, the range of assortment changes is about 3 months. And just yesterday, the fashion collection gives way to the next new items and becomes stock. To prevent goods from sitting in warehouses, branded manufacturers organize their wholesale sales at very reasonable prices.
“And why not buy such a thing?” - mass buyers ask themselves. Crisis times have undermined the consumer's solvency, but have not discouraged him from wearing high-quality fashion items. And the label “stock” does not mean at all that this model is already outdated. Often, stock clothing brought from the West reaches us at the same time as fashion, which comes from the same place with some delay.
“And why not sell such a thing at a profit?” - think enterprising businessmen who understand the prospects of the situation. Everything comes together in a winning scenario: product quality, wide selection, reasonable price, consumer interest. This is how the prerequisites for a stock business are born, and stores of a similar profile are now appearing here like mushrooms after a heavy rain.
Features of the stock business
In such a business, where aesthetic taste is needed, women can show their entrepreneurial spirit. Despite a certain saturation of the market with stock stores, newcomers should not be afraid to join the ranks of successful entrepreneurs. Competition here is, for the most part, ephemeral. Firstly, the variety of brands and collections is so great that the likelihood of finding the same items in two different stores is negligible. Secondly, even if there are similar things, the size range of models is not always available in full. If you can’t find the size or model you need in one store, you can successfully shop in another.
But this does not mean that the buyer (and these are both wealthy people and not the richest, including pensioners) will come to you. You need to fight for it, and there are plenty of methods.
Stock store: hunting for a buyer
Let's start the fight for the consumer by choosing a location and creating the image of the store. A successful location would be a walk-through location in the central regions. The priority will be a small, cozy room (up to 40 m²) with a domesticated interior, creating a relaxed family atmosphere. Friendly employees who understand the product and can give good advice will add to the charm of the store. As experienced businessmen from the trade sector joke, buyers go “to the seller like bait.”
In order to please a rather fastidious consumer, you have to look for an interesting and unique assortment from wholesalers. A certain category still prefers glamorous things. But with such a product you need to be extremely prudent. Fashionable clothes that are not sold today will remain “dead” ballast on the shelves tomorrow. Therefore, many entrepreneurs try to accustom their clients to practical sportswear models and comfortable “casual” style items. Such clothes will always correspond to the times and will find their consumer.
Classification of waste
Wholesale distributors classify stock clothing into 4 classes. The highest category (A) includes the current assortment in original packaging, which has a full range of models and is valued at the highest price.
If the collection in the package is current, or at least the penultimate one, but the model range is limited, then the price for such clothes falls, and the stock is assigned category B.
The remaining classes of stock clothing (C and D) include collections from “yesterday,” most often coming without packaging and not having much choice in sizes and models. Even minor but correctable defects are allowed. The cost of such things is almost symbolic.
Nuances of pricing policy
The main trump card in the deck of competitive advantages will always be the pricing strategy. A skillful and customer-loyal policy, accompanied by prompt replacement of goods, correct classification and timely applied discounts, can become a guarantor of the reliability and profitability of your business.
Often the markup on stock items exceeds 100%. It is still much cheaper than analogues from boutiques, and many people willingly take the goods. But a stock store is a kind of “reverse auction.” If you take a chance and wait a little, you can buy the same item with a 20, 30 or even 50% discount. True, someone else may get ahead of you. Therefore, buyers do not stand on ceremony and take what they like. The owners benefit from the rapid turnover of funds and frequent updates of goods, and some manage to open several additional points of sale.
To open a stock store, $15 thousand should be enough, half of which will be spent on purchasing goods (up to 600 units) and about $1.5 thousand on equipment of the premises. Based on the high profitability (experts call the figure 70%), the costs are recouped in a negligibly short time (a year, or even six months). The main thing here is not to have your head in the clouds, but to work very hard and wisely use the opportunities provided.
Prepared by editors: "Business GiD"
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