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How Can Dealers Cope With The "Crazy" Increase Of Store Rents?

2011/4/2 9:07:00 45

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Dealer Rent

From the second half of 2010 to the present, price rise is the most talked about topic among consumers.

"One family can eat three generations, buy gold, stocks and funds instead of buying shops."

Shops investment further hot.

As an important part of commercial real estate, shops are favored by many investors.

In the face of "Crazy" rent, how should dealers deal with it?

Professional formula calculates store value

As a clothing dealer, how should we cope with the increase in store rent? This reporter visited to help.

Distributor

Guo Min, the sponsor of brand management institution, "looking for stores, finding people and finding brands for service purposes".

He pointed out that when rents rise, some key indicators should be paid special attention to when distributors look for stores.

First, the high and low rent of shops is directly related to the level of customers and customers. The location of customers and passengers must be consistent with the target customers of the brand.

Second, dealers should understand that price is not a problem, not to abandon market research because of price.

At the beginning of our shop search, we need to conduct a business survey of the competitors in half a kilometre and using the forms we developed. We will get accurate data from the area, location, passenger flow to sales volume and goods.

How should we calculate it?

First of all, we should pay attention to several basic concepts: the first is passenger flow: unit time passes.

shop

The number of customers at the door; the second is the rate of entering the shop: the number of customers entering the shop and the proportion of customers passing through the doorway; the third is the paction rate: the proportion of the number of customers in the store to the number of customers in the store; the fourth is the customer price: the amount of goods that an average customer buys at a time.

When negotiating with a shop, the dealer must first have more than 7 days to check the passenger flow rate and the rate of entering the shop, then calculate the number of people entering the shop according to the formula (passenger flow x enter rate = the number of people entering the shop).

The number of people entering the shop is x turnover (estimated average) = the number of people who deal. The turnover rate means that the staff are looking at the customer's handbag, and finally calculating the consumption amount of each customer. Using this information, we can calculate the average value of a customer's paction.

If there are no such indicators and figures as the number of customers, the rate of entering shops and the turnover rate, it will be a game of gambling.

But if you have professional skills, the rent will be rented again by calculating formula.

Brand alliances increase bargaining chips

As a brand, we should know clearly what our core competitiveness is.

shop

They are not good at managing customers' funds or shops.

Guo Min believes that the combination of brands can create a high growth rate of the market.

"Thousands of shops help" combined several

Clothing brand

To find shops, there is not only a competitive relationship between colleagues, but a joint business to create a commercial street.

Only by negotiating together and increasing bargaining chips can the initiative be pferred to the favorable side.

Facing the unfavorable situation of "Crazy" shops, we must calm down and find the procedures and methods to solve the problems, so that we can achieve the desired results.