You might think that you need a place to perform a business, or you might think you need to be mobile. But in reality, it depends on what kind of business you want to perform. During the years we’ve received a lot of individuals which states “Should I buy, should I lease, or should I be mobile”? When in fact the kind of business they are trying to run it’s neither. Sometimes just trying to focus on your business plan on what your selling is key, whether it’s a product or service you provide, whether its something tangible or not.
Our Octomaven Team brought some scenarios to assist on which plan of action you need to take to provide your business a home…
- Service Industries – Either you are providing a product or performing a service for a client, it really depends on how to deliver such a thing. Let us say you want to start a cleaning service, and you want to purchase a storefront, do you have the capital? Do you need the client to see you, or can you go see the client yourself? Usually, with service industries, it’s nice to have a Brick & Mortar only if you have significant products to upsell, but if you just provide a simple service 75% of the time you will either be virtual/mobile in most cases providing the service to your clients as promised or seeking new clients. In addition, you will save a lot of overhead if you can go to the client instead of them coming to you.
- Products/Sales – This becomes a big debate when consulting with clients, only because people usually have a grand vision of seeing their product(s) on a shelf. Well, that is nice and all, but you are limiting your product to possibly stay on the shelf. You can harm your potential sales if you are only focusing on the locale instead of the product. I had a client who opened a boutique a couple of years back and called our company to assist in creating more traffic to her store. She did her homework and found a good area for traffic, but she wasn’t hitting the correct demographic for her product to move fast. Our consultant mentioned to the owner about the online marketing approach, and possibly don’t need to keep the store to cut cost. This online approach can also move her product faster, but when giving her the details she froze and mentioned that her product is “deserving to be on a shelf in a distinguished store, not on a computer screen”. As you can see the owner’s vision was not moving the product, but how she liked seeing her product staged.
In today’s technology, you can literally turn your business into a mobile/online monster, with the right apps and resources you can possibly make millions, but if you don’t have the time and energy to learn these apps and tools you can face a dramatic loss, possibly losing your business. Having a Brick & Mortar can cost you, but if you did your homework, and can move product off the shelf, then it can be a lucrative investment.