What research would you do to open a second store. When the second market area that you are thinking of setting up in could be so different or you purchased the first store as a going concern and now you want to branch out.
What research would you do and how would you go about it?
What numbers would you be looking at?
Market trends in the area?
Marketing suggestion to open that second store?
How would you go about it?
Should you look at if it is going to be Carryout, Delivery or both.
Is location important?
Do you go with the same products as in your first area or do find what the competition are doing and do the same or do you breakout and do something that is different to be that point of difference.
Do chicken wings sell, bread sticks or pasta or something else. What is the most cost effective item that comes after pizza in the market, out of a pizzeria.
What shouldn’t we waste time with promoting.
I am after some truthful passionate answers on this one.
Everything you looked at in an original store, plus your ability to manage the two locations as general owner/supervisor. Do you have the financial stability and cash flow to keep both afloat in the lean times? Enough to Market each and both?
I personally would make a written business plan for the second location and start it out as a separate entity, then find out how it fits into the written business plan you have for the original business concept. If it doesn’t then I need to modify some plan somewhere to make it fit together. Maybe I need an altogether separate third plan for a concept to oversee the operations of both.
Steve are you talking about opening one in Australia or just ideas in general.
We have a completely different marketplace here compared to the uS and while some things are the same, re: competition, population, demographics etc would require similar research menu make up, pricing etc would be completely different.
For mine if I was to open another store I would look at the following.
A shop just outside of our current area where brand recognition would be known. ie an area where we may have delivered to before reducing our delivery areas. We would have a customer base to commence with.
Using the same brand name
Staffing availability, especially drivers
Population growth potential
Socio economic demographics
A minimum sales of $8K a week
A blitz letterbox drop advertising, with opening specials for pick up only (get them used to pick up from the start to overcome the shortage of delivery drivers) and banner waving roadside outside the store
An easy to control add on items, ie. not too labour requirement, but also items/ pricing suited to the demographics
If you are thinking of opening up in my area … NONE OF THE ABOVE
General store opening wisdom can be found in the Think Tank FAQ located at http://www.pmq.com/tt/viewtopic.php?t=3374 TONS of input and ideas for startup research and opening planning.
