If you’re preparing to start an exciting retail business, there are many reasons why setting up a pop-up shop beforehand is a worthwhile endeavour.
This ever-growing trend has taken the UK by storm with both large and small companies using mobile settings to target new customers, raise brand awareness and conduct essential market research.
An increase in the availability of temporary spaces in shopping centres and along high streets nationwide has helped promote pop-up retail as a viable business option.
But this method of exposure is particularly beneficial for budding entrepreneurs making those all important decisions ahead of startup launches.
Whether this will be a one-off event or ongoing venture, your pop-up business needs to be covered with adequate shop insurance.
Here are some of the advantages of pop-up shops for your business.
Traditional market testing such as focus groups can be limiting and sometimes grossly inaccurate.
The only way to truly know how your products will be received it to get right out there in front of potential customers and see their reactions under natural conditions.
A pop-up shop provides the ideal window of opportunity for this. You can see first-hand whether or not people are interested in your products and if this interest is actually translating into sales.
Pricing issues could be highlighted as well.
Especially if you’re not too familiar with the area, picking the location for your shop is a difficult choice to make. There’s such a dramatic difference between the lease prices of city centre locations and outlying districts, but the overriding drive should be to reach your target audience.
Arranging a few pop-up shops at peak times in various locations will make this decision a lot easier. The busiest area isn’t necessarily going to provide the most lucrative position for your business. It all depends on your niche.
Luxury retailers might be suited to an upmarket suburb or upscale shopping centre, while cafes and restaurants would probably want to be situated close to business districts or commercial centres where there’s a constant flow of potential customers.
The beauty of having a pop-up business is that there’s no need to commit if things don’t quite go to plan. You won’t owe lease payments for another year or have to deal with any other ongoing commitments.
This flexibility is very liberating when you’re not quite sure where you want to take your business next.
Essentially, you’re getting priceless live product testing and an opportunity to actually make money all wrapped into one.
It’s human nature to ignore familiar sights, but pop-up shops are all shiny and new – ensuring you’re bound to get more attention. They tend to stand out and spark people’s curiosity.
Having a makeshift arrangement also leaves room to get creative with fun design options and props to draw customers in.
Providing a unique experience that causes a real buzz means people are more likely to be interested in what’s being offered.
Pop-up shops can be timed around special events or certain times of the year – providing a ready-made theme that’s relevant and right on trend.
If you’re planning to launch a fashion boutique, having a selection of your best evening dresses on show ahead of the Christmas party season is certain to grab attention.
Chocolatiers would have an edge promoting their products around Easter, while the high summer is the best time to sell an ice cream brand.
If you’re preparing to launch a small retail business or pop-up shop venture, get in touch with The Insurance Octopus to arrange a bespoke shop insurance plan tailored to your individual needs.