Keys to a successful warehouse
Posted: Sun Dec 22, 2024 8:53 am
After consulting dozens of warehouses, we have realized that there are certain keys to a successful warehouse. Consider the following characteristics of a successful warehouse:
Location . The main factor for success is that it is located in a high-density location. It is not so much the purchasing power of the neighborhood that is important, but rather that there are many people per square meter. A warehouse that is surrounded by buildings does much better.
Image and hygiene. Many stores are an extension of the home. But that does not justify australia business email list being untidy in the business! Take care of your personal image and that of the premises. Maintain a pleasant aroma in the premises, a pleasant temperature, free of flies. Also, use a hat, gloves, tongs, etc.
Lighting. A common problem in stores is their lighting. And often the owners think that they are illuminated because there are one or two light bulbs on. But if you think about it, when you go to a supermarket, there is much more light than a couple of light bulbs! The criterion should be that if I see the store from the outside, I should see the store as a bright place, and not a dark place. The electricity bill may go up a little, but it is worth it: many customers do not like to enter dark stores.
Display. The products are neatly arranged and well displayed. They are arranged in defined areas. For example, a clearly defined grocery section, a hygiene section, a fruit and vegetable section, etc. With regard to drinks, it is recommended that they be arranged in a cooler, with personal consumption products on top, the most popular ones in the middle, and the larger ones on the bottom.
Working capital. The best warehouses look for suppliers who will give them the greatest number of days of credit possible. They understand the arrival times of the products, and what the daily sales are per product, so they avoid running out of merchandise.
Category leader. It is better to have a few brands than to have a huge variety. Some stores pride themselves on having “everything.” But the truth is that if a customer wants to have a wide variety, so they can always choose from many options, then they will go to the supermarket where there is plenty of space. But the store is a smaller place, and you have to make the most of each space. For this, it is advisable to have two brands: the market leader (the most important, the reference), and a basic/economical version. Customers do not always go for the cheap options! Many prefer to buy the recognized brand, because they feel confident in its quality.
Packs. It is good to make packs with complementary products (noodles and sauce, pisco and drinks, cereals and milk, etc.). You should communicate these packs! If you have offers, make sure your customers know about them.
"Hook" products. There are products that do not always make a lot of money, but which have the objective of attracting customers. Ice cream, drinks, vegetables, bread, are the classic examples. They should be visible at the entrance.
Community bond. Stores are an important player in their neighborhoods. And maintaining a good relationship with the community can make the difference between people visiting you or the store down the street. You can promote neighborhood association activities by allowing them to post notices. Some have a board with notices for the community. Participate in community activities. Avoid bad blood, and stay out of trouble with your neighbors. Learn your customers' names, and make sure that each one has a pleasant experience coming into your store. Ask them how their day is going, smile, make jokes, care about them. Brighten their day! In the end, many neighbors choose to shop at one store over another based on how they like the person who works there.
Pricing. Successful retailers play with pricing, and understand the concept of elasticity.
Self-service areas. Stores where customers pick up the products themselves are better suited to this. Stores where customers ask someone to serve them are less efficient because they require constant assistance and the purchasing process is slower.
Accountant. On many occasions I have seen stores that save a lot with the help of an accountant. It is important to understand that the quality of the service you receive goes hand in hand with what you pay. And by saving on the accountant, I have often seen that businesses end up paying more taxes than they should because they did not receive good advice. Get a good accountant who not only files your taxes, but also advises you!
Location . The main factor for success is that it is located in a high-density location. It is not so much the purchasing power of the neighborhood that is important, but rather that there are many people per square meter. A warehouse that is surrounded by buildings does much better.
Image and hygiene. Many stores are an extension of the home. But that does not justify australia business email list being untidy in the business! Take care of your personal image and that of the premises. Maintain a pleasant aroma in the premises, a pleasant temperature, free of flies. Also, use a hat, gloves, tongs, etc.
Lighting. A common problem in stores is their lighting. And often the owners think that they are illuminated because there are one or two light bulbs on. But if you think about it, when you go to a supermarket, there is much more light than a couple of light bulbs! The criterion should be that if I see the store from the outside, I should see the store as a bright place, and not a dark place. The electricity bill may go up a little, but it is worth it: many customers do not like to enter dark stores.
Display. The products are neatly arranged and well displayed. They are arranged in defined areas. For example, a clearly defined grocery section, a hygiene section, a fruit and vegetable section, etc. With regard to drinks, it is recommended that they be arranged in a cooler, with personal consumption products on top, the most popular ones in the middle, and the larger ones on the bottom.
Working capital. The best warehouses look for suppliers who will give them the greatest number of days of credit possible. They understand the arrival times of the products, and what the daily sales are per product, so they avoid running out of merchandise.
Category leader. It is better to have a few brands than to have a huge variety. Some stores pride themselves on having “everything.” But the truth is that if a customer wants to have a wide variety, so they can always choose from many options, then they will go to the supermarket where there is plenty of space. But the store is a smaller place, and you have to make the most of each space. For this, it is advisable to have two brands: the market leader (the most important, the reference), and a basic/economical version. Customers do not always go for the cheap options! Many prefer to buy the recognized brand, because they feel confident in its quality.
Packs. It is good to make packs with complementary products (noodles and sauce, pisco and drinks, cereals and milk, etc.). You should communicate these packs! If you have offers, make sure your customers know about them.
"Hook" products. There are products that do not always make a lot of money, but which have the objective of attracting customers. Ice cream, drinks, vegetables, bread, are the classic examples. They should be visible at the entrance.
Community bond. Stores are an important player in their neighborhoods. And maintaining a good relationship with the community can make the difference between people visiting you or the store down the street. You can promote neighborhood association activities by allowing them to post notices. Some have a board with notices for the community. Participate in community activities. Avoid bad blood, and stay out of trouble with your neighbors. Learn your customers' names, and make sure that each one has a pleasant experience coming into your store. Ask them how their day is going, smile, make jokes, care about them. Brighten their day! In the end, many neighbors choose to shop at one store over another based on how they like the person who works there.
Pricing. Successful retailers play with pricing, and understand the concept of elasticity.
Self-service areas. Stores where customers pick up the products themselves are better suited to this. Stores where customers ask someone to serve them are less efficient because they require constant assistance and the purchasing process is slower.
Accountant. On many occasions I have seen stores that save a lot with the help of an accountant. It is important to understand that the quality of the service you receive goes hand in hand with what you pay. And by saving on the accountant, I have often seen that businesses end up paying more taxes than they should because they did not receive good advice. Get a good accountant who not only files your taxes, but also advises you!