It wasn’t that long ago that business experts were proclaiming the death of the brick and mortar store. The rise of ecommerce has taken many industries by surprise, and many are still struggling to make the transition to online trading. However, the fact is that physical outlets remain popular among consumers, and businesses that started life as ecommerce brands are instead making the move to brick and mortar. That’s because they allow you to communicate a brand more effectively and take greater control over the consumer experience. If your ecommerce venture is a success, then moving into the high street can be a valuable next-level move, but it comes with some inherent risks.
- Go Slowly
Don’t try to open a variety of stores across the country at the same time. Start your move to a physical outlet slowly and ensure that you get everything right. Running a brick and mortar store is very different from running an online-only outlet. There will be different processes in place, and you will need to build the right teams, stock the right inventory, and find the perfect premises. Don’t make your expansion too rapid, or you will become overwhelmed.
- Manage Profit
If you want to have sustainable growth then you need to make a consistent profit. This is not the same as having revenue. It can be simple to boost revenue generation, but if you are having fluctuating success then you will start to lose cash flow, and that is an indication that things are not going as well as they could be. Focus on consistent profit margins so that the expenditures of a physical store are not a monthly risk.
- Remembering Cash
You need to have processes in place to manage real money. You may be used to taking PayPal payments and credit card payments online, but the processes for taking and banking real currency is very different. As well as the need for security, you will also need to ensure timely money processing so that suppliers and staff are not left waiting for payments. Make sure that your cash management is secure and seamless.
- People Management
As well as ensuring that you hire the right people for your store, you also need to make certain that your existing team is aware of the details of the transition to a real-world outlet. Misaligning company goals will lead to roadblocks and inefficiency. A successful business is reliant on in-house alignment of company goals, so ensure that you make use of a change management survey to manage expectations more smoothly and align team members.
- Bring Your Culture
Your ecommerce store will have an already established branding and tone of voice. Bring that branding to your brick and mortar. This is the reason why online businesses are making the transition. The success of their branding has resulted in a real market impact. You need to ensure that your physical outlet is consistent with the successes of your ecommerce presence.
Moving to a physical store is not a requirement in the digital age, but there’s a reason why so many big brands are making that transition. Do your research before you commit, and then ensure that marketing, sales, and management are all working towards the same goals. That way, the move to the real world will be far more likely to succeed.
