In today’s very competitive era retail environment, it’s more and more important for retailers to find new ways to generate revenue and avoid falling into a spiral of declining sales and profitability. Retail store owners are challenged to stay ahead of the curve in terms of generating additional revenue streams, particularly given Amazon’s growing dominance in online retail. However, most independent retailers find this difficult because they’ve limited resources, lack capital, and may not have the time or expertise essential to explore other business opportunities such as partnerships or non-traditional locations. Lucky for you, independent retailers can use many proven strategies to generate revenue streams outside of their flagship store.
Hold events
If you are planning to open a store or are currently operating one, you should consider hosting events to increase foot traffic and revenue. There are many types of events you can do, but the most common are product launch events. This is when you release a new product or collection to the public. You can even host a sample sale where you sell your product at a discount. You could host a fashion show to showcase new clothing trends or have a live Q&A session with a fashion expert or influencer. You can even host a make-up event where shoppers can get their makeup done. The options are endless, so it is vital to determine what customers in your area want to follow.
Partner with local businesses for pop-up shops
Retailers in major metro areas are more and more partnering with local stores to host pop-up shops designed to promote their brands and generate additional revenue. Pop-up stores are storefronts that retailers use to showcase their products in real-world settings. Pop-up shops are an amazing way to expand your brand, generate foot traffic and generate additional revenue. One of the best ways to partner with other local businesses is through online forums. If you haven’t got a forum account, we highly recommend creating one. Forums like Reddit, Shopify, and Facebook are great places to meet people in your industry and your local area. Once you have connected with interested business partners, you can use your retail space to host a pop-up shop.
Run promotions
Contests are an amazing way to engage your customers, expand your social media presence, and generate additional sales. You can use several types of contests to increase foot traffic, including;
- Photo contest
Photo contests are an amazing way to engage customers and motivate brand loyalty.
- Social Media Contest
Social media contests are an amazing way to increase your social media presence.
- Sweepstakes
Raffles are an amazing way to increase foot traffic and increase sales.
- Trade show
Other promotion strategy is a trade exhibition, which are popular events where retailers can network with other businesses and promote their brands. Your local chamber of commerce can provide information about upcoming trade shows in your area.
Generate revenue with a digital display
Retailers are quickly realizing that digital displays are an effective way for them to highlight their products, engage with customers, and generate revenue through advertising. As technology advances, retailers will likely continue to adopt digital displays and augmented reality technologies to engage customers and incorporate product marketing. However, retailers may not realize that they can earn additional revenue by selling digital advertising on their screens. This is where digital advertising comes into play. You can generate revenue by hosting digital advertisements on your digital screens in between viewing music videossports games, movie trailers and more.
Diversify your product
One way to generate additional revenue streams is to diversify your product line to include related items. This can be helpful if your business sells high-turnover products. Diversifying your products can generate additional revenue for your business and reduce the risk of your inventory running out quickly. Diversifying your product can be easy and doesn’t require significant investment. For example, if you operate a toy store and the toys in your store are quickly selling out, consider diversifying your product offering to include items such as books, puzzles, and games.
