Most 99 Cent Storees will fail; but most 99 Cent Store owners that create a business plan do not.
Which group do you want to be in?
Where can you find the right 99 Cent Store Business Plan?
- Complete 99 Cent Store Business Plan - click here
- If you require current U.S. information for your American 99 Cent Store - click here
- If you require current U.K. information for your British 99 Cent Store - click here
- If you want someone to write your 99 Cent Store Business Plan with you - click here
Increasing Your 99 Cent Store Businesses Revenues
There are only four ways to increase your 99 Cent Store Businesses revenue:
- Increase the number of customers that your 99 Cent Store has.
- Increase the average transaction size.
- Increase the frequency of transactions per customer.
- Increase your prices.
Here’s how to apply these strategies in your 99 Cent Store:
- Increasing the number of customers means you’re trying to bring more people through the doors of your 99 Cent Store or to your website. This strategy is relatively straightforward: more leads will equal more sales, which (assuming the average transaction size stays the same), will bring in more money.
- Increasing average transaction size means you’re trying to get each customer in to purchase more. This is typically done through a process called upselling. When a customer purchases a product, you offer them deals on other products or value-added-services. The more they purchase, the more they spend, and the more revenue you collect.
- Increasing the frequency of transactions per customer means encouraging people to purchase from you more often. If your average customer buys from you once a month, offer them deals and additional products and services once a week. The more frequently they interact, the more revenue your 99 Cent Store will bring in, assuming the average transaction size stays the same.
- Raising your prices means you will collect more revenue from every purchase a customer makes. Assuming your volume, average transaction size, and frequency stay the same, raising your prices will bring in more revenue for the same amount of effort.
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99 Cent Store - Gaining or Increasing Market Share
To increase its market share your 99 Cent Store must pick up buyers from the competition or open a new sector in the market. Managing this successfully requires a complete knowledge of both your own customers and that of rival 99 Cent Store Businesses.
Knowing answers to the following questions will assist you in developing a full picture of your market, and also singling out your immediate rivals, putting your organization in an excellent position to gain a higher market share:
- Who are your existing clientele? Are there other groups that could require your product or service that you have not focused on up to now? Can your products be used in ways that you had not previously thought about, meaning they are more attractive to a wider market?
- What are your competitors strengths? Does your organization have these as well? If not, why not - and should your organization have them?
- What are the reasons that people buy from other companies? What benefits do you provide that your rivals do not, which may bring their current customers to your business? How can you market to your rivals clientele to make sure they change and make a purchase from your 99 Cent Store instead?
- What is your businesses unique selling point?
- Apart from obvious rivals, are there any further companies with clients your products and services may appeal to?
- Is there anybody that has stopped buying from you? Have you found out why? If you have not done it yet, you should check with them.
- Are you looking to adjust your pricing, promotions, distribution and service levels? If you are, could those changes annoy current clientele? Will your employees remain motivated?
Most small businesses grow by taking opportunities to branch out, although there are problems due to the limited assets that you may have. You need to weigh up the risks, and the costs of deciding to expand, carefully against the advantages.
Diversifying your company could take numerous forms, that include:
- improved, related goods and services advertised to the current buyers of your 99 Cent Store,
- new markets for current goods and services and
- new products and services for new marketplaces.
Deciding how you branch out relies on you having:
- comprehensive market and customer analysis for any new products,
- a positive growth strategy - that includes trying a new product line or service for a test period with prototypes and exploratory marketing in advance of wholeheartedly committing to the program and
- sales, promotions and supply chain processes that can handle the new demands for your 99 Cent Store.
You will need to be clear about development costs and what your alternatives are if any delays arise. Wherever you can, try to limit any risk by winning sales or commitments up-front.
Whilst diversification can put forward a few risks, such as high-priced hold-ups and errors because you do not have enough know-how or expertise in the new sector that you are looking to target, it also inhibits the repercussion of fluctuations in your new marketplace. In straightforward terms, if you provide only one product or service and consumers stop purchasing it, then your 99 Cent Store is exposed. If you have a few items and the sales of one of these nose dives; at least there will be money coming into your company from the rest.
However, if you branch out too rapidly, then you could lose track or dilute the core product or service of your 99 Cent Store.
Generally, diversifying with associated goods or services and selling them to a familiar customer base is a lower risk than establishing a product for an absolutely new market for your 99 Cent Store.
You might also grow your company by working with other businesses. Whilst this will produce slower decision-making, give-and-take, and management and staff issues to work out, there will be definite advantages.
Profitable relationships can give your company:
- increased resources,
- sharing of the supervisory burden,
- an enlarged knowledge and talent base,
- a greater pool of possible buyers for your 99 Cent Store,
- a boost in market sectors,
- diversification with natural growth taking advantage of expanded resources and
- lower uncertainty for your 99 Cent Store.
A Great 99 Cent Store did not just happen - It was planned that way.