There is a lot of talk these days about small micro-markets. There is a difference between “small spaces” and “maximizing small spaces efficiently." Making the most of a small space can be a big challenge. It is possible to create a destination that will attract your customers to a refreshment space, creating an opportunity for greater customer participation, higher sales and increased customer satisfaction.
There is a difference between a small space and a small micro-market location. Small spaces (potentially great locations with a limited footprint) can be a design challenge, but can often be well worth the effort.
Tackling spoilage
Knowing your customer in a smaller space is more critical than ever. Survey your audience and know your customer before you open your market. Placing what you want in the market vs. what the customer wants is a sure way to fail fast. “When we operated a micro-market route prior to Fixturelite, we knew our customers’ buying habits well enough to know when a specific individual was on vacation,” said Steve Orlando of Fixturelite.
Use your technology to watch buying habits and regularly share this information with your contact at the location. In doing so, you can create a dialogue that will provide insight into what your customers would like to find in their market. If you don’t already know how to use promotions to drive sales, reach out to your technology representative and get their recommendations regarding promotion strategy.
Secure a Monthly Minimum Revenue Guarantee
In a small market situation, Orlando is a big believer in monthly minimum revenue guarantees. “As an operator, do everything you can to secure a minimum monthly guarantee with a contract term that will satisfy your financial requirements and justify your investment in the space,” said Orlando. “Keep in mind that the location is likely under pressure (from HR, the CEO, or an employee wellness committee) to get a market installed. Remind the client that you are making a big investment in equipment and manpower to deliver this small market and that you need some revenue guarantee to make the installation possible. The biggest mistake you can make is to not ask.”
Orlando notes that in both the small market (with questionable revenue) and the small space (with excellent revenue potential and a small footprint), having the right tools will help insure a favorable outcome for an operator. “A strong presentation spearheaded by the Fixturelite Design Tool will validate your commitment to the project and your investment, resulting in a positive outcome.”
Orlando said he is seeing more operators recognize the importance of investing in their micro-markets. “There is a perception out there that spending as little as possible when going into a small space is the answer to making small spaces work. At a minimum, consider the opposite,” he said. “If you design a space that looks nice and inviting, with quality materials that will last longer without showing signs of wear and tear, your customers are more likely to frequent the market or collaborate in the space.
People shop in places and spaces that look and feel appealing. Invest in your micro-markets and enjoy higher revenue and better ROI.”
Fixturelite, a leading supplier of micro market retail displays, seating and design features, is happy to provide support and advice for operators. “We have plenty of experience to share,” said Fixturelite co-founder Steve Orlando. “We want our clients to be successful.”
“A strong presentation spearheaded by the Fixturelite Design Tool will validate your commitment to the project and your investment.”
The designs and layouts shown here were created using the Fixturelite design tool.
