Foot traffic vs. Car traffic??

by Knowledgepa 23 replies
I am looking into a place for my business that is not located by other businesses. There is one or two other unrelated businesses in the area. It is a very reasonable price and not very big. Perfect for what I do. There are many cars that drive by this location daily. There would not be a lot of people walking in this area. Do you think that advertising and signs would be able to generate the traffic I need? Do you think it would be better to pay a lot more money for a location that is near other businesses?
#offline marketing #car #foot #traffic
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  • Profile picture of the author Aaron Doud
    I was a retail manager for years. I am sure if you can share more with us including what the store will be selling and even maps that we can give you a better idea.

    But with what little info you gave here I doubt anyone can give you a valid and thought out answer.
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    • Profile picture of the author Knowledgepa
      Ok. I am in the fragrance industry. I am building a small following of customers who like our products. I believe that we could market and word of mouth could be enough to help us be profitable. I understand location is VERY important. Just not sure if it is the determining factor for success.
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  • Profile picture of the author TeamBringIt
    Originally Posted by Knowledgepa View Post

    I am looking into a place for my business that is not located by other businesses. There is one or two other unrelated businesses in the area. It is a very reasonable price and not very big. Perfect for what I do. There are many cars that drive by this location daily. There would not be a lot of people walking in this area. Do you think that advertising and signs would be able to generate the traffic I need? Do you think it would be better to pay a lot more money for a location that is near other businesses?
    If people, are not walking around your business and other businesses, then you better make sure that you get noticed. Businesses that are located in a heavily (foot walking) traffic have a great advantage. The people are walking around and if your business fits their needs, then they walk in. Location, location, location.

    If you do not have foot traffic, then you will need to invest into advertising and signs that makes people notice you. Back in the days, I use to drive by a car mechanic shop and I never noticed their shop, but I noticed a huge 20 foot gorilla balloon that was floating above the shop. This business did not have the best location but that gorilla made them very visible.

    If you are thinking of, getting another location, figure out how much foot traffic that location gets and a possible demographics of the people who walk by. If not, you need to resort to spending money on marketing and advertising.

    There are many ways to market, it depends on what your business is all about.

    Give more information and you get better inputs
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  • Profile picture of the author Knowledgepa
    I am thinking that if I choose the location with less traffic and gain a customer following on a 6 month lease, then I could possibly move to a location with more foot traffic at that time. The rent is very low at the mentioned location and would not break me if it didn't do well. Low risk.
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    • Profile picture of the author TeamBringIt
      Originally Posted by Knowledgepa View Post

      I am thinking that if I choose the location with less traffic and gain a customer following on a 6 month lease, then I could possibly move to a location with more foot traffic at that time. The rent is very low at the mentioned location and would not break me if it didn't do well. Low risk.

      If you choose, a location with less traffic, you are still going to need to market that business and build it up. Now, If you do get customers, coming to that location, what makes you think that they will instantly follow you to another location?

      The rent might be low, but your income could suffer. If you can live, on such a risk, then go for it. You need to think about your game plan right now. Either go after a better location with better traffic or go for the one with less traffic and more marketing that will be required. Both locations require marketing, but the one with less foot traffic require more money,effort and time.

      Basing your method, on a 6 month plan is not what I would do. BTW, what type of business, do you have?
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      • Profile picture of the author Knowledgepa
        what makes you think that they will instantly follow you to another location?

        I am in the fragrance industry. The quality of our products surpasses anyone in the local area. People who like certain scents would stick with those and may drive to get them. This is from my experience so far. Being in this industry makes marketing easier. People just want to know "where did you get that scent?"

        Being new to this, I would feel safer with a 6 month lease plan, that would be included in my Business plan.
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        • Profile picture of the author TeamBringIt
          Originally Posted by Knowledgepa View Post

          what makes you think that they will instantly follow you to another location?

          I am in the fragrance industry. The quality of our products surpasses anyone in the local area. People who like certain scents would stick with those and may drive to get them. This is from my experience so far. Being in this industry makes marketing easier. People just want to know "where did you get that scent?"

          Being new to this, I would feel safer with a 6 month lease plan, that would be included in my Business plan.
          Have you thought about, how you will be marketing your business? I use to get samples, of colognes from businesses such as yours and they were small samples. After the samples were finished, i'd go back to the store and a get full size for a discount.

          If your prices are better, then you could try something like this. This is one form of marketing, of course people have to get those samples.

          I am interested in what, your marketing plan/tactics are gonna be
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          • Profile picture of the author Knowledgepa
            I am starting off by attending as many vendor events as possible and distributing scented business cards and samples. I will be using a Facebook campaign to introduce people to the website and physical location. Also considering a referral program to gain more customers and give more incentives to existing and future customers. Flyers, business cards, and car magnets. Hosting Fragrance parties monthly. Giving workshops on creating custom scents, essential oils and aromatherapy. All that I can!
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            • Profile picture of the author TeamBringIt
              Originally Posted by Knowledgepa View Post

              I am starting off by attending as many vendor events as possible and distributing scented business cards and samples. I will be using a Facebook campaign to introduce people to the website and physical location. Also considering a referral program to gain more customers and give more incentives to existing and future customers. Flyers, business cards, and car magnets. Hosting Fragrance parties monthly. Giving workshops on creating custom scents, essential oils and aromatherapy. All that I can!
              Do you create your own products or are a re-seller?
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              • Profile picture of the author Knowledgepa
                Create some products and reseller for others. We create scented Bath and Body. Resell fragrances.
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                • Profile picture of the author TeamBringIt
                  Originally Posted by Knowledgepa View Post

                  Create some products and reseller for others. We create scented Bath and Body. Resell fragrances.
                  I don't know, if you are already doing this, but make sure you have an Ecommerce website. Your clients, can buy from you no matter what location you are at
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      • Profile picture of the author Knowledgepa
        You guys could not have been more correct! I would like to say that I tried to do things my way...and things are not working out too well. I am going to close this location and revamp my business plan and try it again at a later date. I thank everyone who has warned me and given me constructive advice. I guess it is better to learn now then later and make the corrections. It is amazing how focusing all of your time and energy to try to make something work can put you farther behind rather than work the way you vision it! Word of advice to any new members on this forum just starting out...LISTEN TO THEM! Thanks everyone and I will not look at it as a failure, just a lesson learned for a more prosperous beginning.
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  • Profile picture of the author Aaron Doud
    If you believe that the level of referral traffic would be high that would make you a destination store. As long as you are a destination store and it is not out of people's way to get there you should be fine.

    But be aware that a better location with more traffic such as a mall could justify the extra expense of that location.

    My advice is that as long as the following are true that this is a fine location for now.
    • The location is not "out of the way" for your customers.
    • The location has good ingress and egress (means it is easy to get into and out of for car traffic)
    • The majority of your business is and will in the foreseeable be referral and repeat business.
    • You product is a destination product (aka people will drive to you in order to buy it from you)
    • There is not a better more expensive location that you believe would draw enough extra traffic to justify the cost.
    And I specific "now". In the future you may need to move. So if you have the cash flow now to start in a better location you may want to consider it.


    Based on what you said so far I think this is a good low risk test location.
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  • Profile picture of the author Aaron Doud
    I posted here and spoke in PMs about the specific location.

    Any advice is hard since I have not been in that specific industry but based on what i said here and what I PMed the more I think about it the more I would say I would only recommend this location as a test location. But that test may fail when a test in a better location might succeed.

    I think you are giving up too much potential business from foot traffic in a mall. This location could work but you are limiting yourself and may fail due to the location.

    So only do this location if you are 100% sure you can generate enough traffic from repeat and referral business. Otherwise risk a bit more and get the location you would move to in 6 months to a year.

    Yes it is more risk but it is likely the smarter risk.
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  • Profile picture of the author misterme
    Originally Posted by Knowledgepa View Post

    I am looking into a place for my business that is not located by other businesses.
    There are many cars that drive by this location daily.
    Do you think that advertising and signs
    How do people buy fragrances?

    Do you know if they take notes of signs the see while driving? Pull off the road and leap out of their cars because they want to buy that fragrance now?
    Or is it more an impulse item that if they happened to be walking by... then you need high foot traffic...

    How do people buy fragrances?
    I don't think it's from either seeing signs or seeing a store.

    It is a very reasonable price
    That doesn't make sense. What you're really saying is that the rent seems affordable to you. Because "reasonable" is according to your return on investment, which you don't know yet. If it cost you $10,000 a month but you made $50,000, maybe that's "reasonable." If it cost you $500 a month but you make $600, or lose money, that's not "reasonable."

    It's about location, not about how low the rent is.
    The rent is low because it's not a good location.

    Don't waste your money on a store. In addition to the lease there's commercial electric bills you'll have to pay, commercial sanitation, you'll have to clean the windows, clean the interior, buy store fixtures, insurance... waste of money at your stage.

    Originally Posted by Knowledgepa View Post


    I am in the fragrance industry. The quality of our products surpasses anyone in the local area.
    In a perfect world, quality would be enough for your products to sell. But then, in a perfect world, everyone would only buy Chanel and Tresomme.

    It's the marketing and sales which sells the stuff.

    People who like certain scents would stick with those and may drive to get them.
    May?

    People who like certain fragrances MAY also just decide it's not worth the drive, time and gas money and order something else good enough online or from their local area. I have an empty bottle of Bernini Men I haven't bothered getting another for several years even though it's on my wish list.

    Originally Posted by Knowledgepa View Post

    I am starting off by attending as many vendor events as possible and distributing scented business cards and samples. I will be using a Facebook campaign to introduce people to the website and physical location. Also considering a referral program to gain more customers and give more incentives to existing and future customers. Flyers, business cards, and car magnets. Hosting Fragrance parties monthly. Giving workshops on creating custom scents, essential oils and aromatherapy. All that I can!
    This is the right track. especially the home parties. Host events. Work it out with nightclubs to give samples. Do "women's night out" shows. Go into boutique shops and see if they'll put some of your product on their counter on consignment. Hire attractive people to spritz women at events and give out coupons.

    Build sales, not rent receipts.
    Signature
    "Best book on answering objections I have seen... it's for photographers but it has brilliant techniques you can use in any business." - Claude Whitacre. When They Say That, You Say This (Amazon Kindle)
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    • Profile picture of the author Knowledgepa
      Thanks for the straight forward advice. I do realize that I am new to this and many others have crossed this bridge before me. I like to think "outside of the box" and believe that this may help me in different marketing strategies to gain more customers. That seems to be the greatest load of the business at this point. I am also willing to take a risk at a much smaller level to gain the experiences needed to grow and use these skills in the future instead of losing my a** on my first venture. I also have a gut feeling that this will be an ideal location. Anyone else have "gut feelings"? Have they been correct?
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      • Profile picture of the author misterme
        Originally Posted by Knowledgepa View Post

        I am also willing to take a risk at a much smaller level to gain the experiences needed to grow and use these skills in the future instead of losing my a** on my first venture. I also have a gut feeling that this will be an ideal location. Anyone else have "gut feelings"? Have they been correct?
        Feelings are not facts.

        Feelings can change - instantly.

        Feelings follow thoughts. Whatever you're thinking, that's how you'll feel. And thoughts can change.

        Business instinct isn't based on feelings. It's honed over time and based on experience.

        Even then an instinctive decision is an educated guess.

        But you said you don't even have the experience.

        So what are you doing basing decisions on feelings?

        Take what's working and build on that.
        Signature
        "Best book on answering objections I have seen... it's for photographers but it has brilliant techniques you can use in any business." - Claude Whitacre. When They Say That, You Say This (Amazon Kindle)
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        • Profile picture of the author Knowledgepa
          Decisions in business and decisions in life still use the same thought process. I DO have experience in living and making sound decisions. I have "honed" my thinking abilities enough to not act on obsessive thinking. "Gut feelings" is just my term to describe consciousness that is being directed in my mind, body and spirit. Without going to deep into that realm, I don't act alone?! So this is very vital from my stand point on following the right course. There are many successful people in life that follow "Gut feelings". Being over analytical would probably cause more issues for me! I have a vast skill set of troubleshooting, management and problem solving skills that have helped me succeed for many years. "Educated guess", "Calculated Risk" or just plain ole "Go for what you know" is fine with me.
          Also, my thoughts create my feelings.
          Just as many before me, I am ready, confident and willing to do what is necessary but more importantly, I keep my acceptance higher than my expectations.
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        • Profile picture of the author Knowledgepa
          Originally Posted by misterme View Post

          Feelings are not facts.

          Feelings can change - instantly.

          Feelings follow thoughts. Whatever you're thinking, that's how you'll feel. And thoughts can change.

          Business instinct isn't based on feelings. It's honed over time and based on experience.

          Even then an instinctive decision is an educated guess.

          But you said you don't even have the experience.

          So what are you doing basing decisions on feelings?

          Take what's working and build on that.
          Misterme...Just want to say that you were right about everything that you were warning me about. I thought that it was negative feedback. I realize now that I know NOTHING about what I am doing. I am closing down the location that I chose 2 months later and will work from home and online until I get enough customers. I will then open a small location with better traffic. Thanks for the advice and please help if you see my posts!
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  • Profile picture of the author misterme
    Originally Posted by Knowledgepa View Post

    Decisions in business and decisions in life still use the same thought process.

    I DO have experience in living and making sound decisions.
    Have you ever in your life made a poor decision which you thought was right at the time you made that decision?

    There are many successful people in life that follow "Gut feelings"...
    You know there's more to their success than merely a feeling. What they call a "gut feeling" is actually "refined intuition."

    Even then, unless when it's a totally random fluke, but even in those cases, other factors lined up which made it a success.

    Good luck.
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    "Best book on answering objections I have seen... it's for photographers but it has brilliant techniques you can use in any business." - Claude Whitacre. When They Say That, You Say This (Amazon Kindle)
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    • Profile picture of the author Knowledgepa
      Well I did it! I got the location. If anything, I am sure I will gain experience . Wish me luck!
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  • Profile picture of the author misterme
    Yes, I saw your new thread asking how to bring in customers now that you have a store. Something tells me this should've been part of the plan before getting a store, so I'll wish you good luck again.
    Signature
    "Best book on answering objections I have seen... it's for photographers but it has brilliant techniques you can use in any business." - Claude Whitacre. When They Say That, You Say This (Amazon Kindle)
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    • Profile picture of the author Knowledgepa
      It never hurts to get new ideas right? Especially from others who have traveled this path before me. That's the whole idea of this forum from my understanding. Like knowing that not everyone has your best interest
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