The store-within-a-store concept is becoming more and more popular with retailers. You’ll see them popping up everywhere as retailers begin to partner with other retailers to add yet another way to increase their bottom line profits AND stimulate traffic as well.
Often, these stores appear in response to current trends. For example, department stores may capitalize on the fitness trend and include a store-within-a-store sponsored by a popular running gear retailer, like Nike or Reebok. Or perhaps your supermarket, intent on focusing on the natural foods trend, will set up a store-within-a-store offered by an artisan cheese specialist or a company that produces organic items.
Are you a retailer looking to set up such a store within your establishment? Or are you looking for a place to set up a store-within-a-store to offer your products in other locations?
That’s smart marketing, the experts declare. John Zhang, a professor of business marketing in the Wharton School of the University of Pennsylvania in the United States, notes that there are various advantages to the store-within-a-store concept, most notably revenue streams from rent and increased traffic.
“What the retailers are hoping to accomplish with another brand name under their roof is for customers to linger a little longer and buy something they didn’t intend to buy – impulse buying,” says Zhang, who is also the director of the Penn-Wharton China Center, which has studied the store-within-a-store format. “Retail real estate is expensive, and it’s important that every square inch generates some money,” he reiterates.
Customers note that the store-within-a-store concept is ideal for convenience. Busy mums and harried professionals like to shop in as few locations as possible while gathering as many products as they can…all in one spot. The more there is under one roof, the better it is for those customers.
Sometimes retailers are concerned about the concept because they fear they will lose control of their branding, but many recognize that the store-within-a-store will often assist in attracting a different clientele than that which might normally shop at their establishment.
For example, if a department store that normally attracts middle-aged to older customers installs a store-within-a-store that sells cosmetics that are a favorite with younger customers, those younger customers have a reason to enter that store and, hence, might linger a bit longer, explore, and find that there are other things within that store that they may wish to purchase.
So, where do you start? If you are a retailer who hopes to install your products inside another retailer, contact your shop fitter about designing a store-within-a-store concept for you to market. It may need to be altered according to space limitations, but with a design in hand, you can approach potential retailers who may be interested in your products.
A good designer can provide you with all the info you’ll need to present as well as detailed drawings you can share. Many options are available as far as size, materials, signage, lighting, etc., so don’t discount the idea due to budget. A good designer can work with you to meet your budget needs.