There is no point in having innovative ideas with great potential to start a business if we don't place our store in the ideal place to guarantee its success. Many entrepreneurs make the mistake of not paying attention to one of the most important decisions when starting a business: what will be the location of my establishment?
As such, they give priority to other issues relating to finance or strategic management such as rental fees or your business's differential value. There is no point in getting cheap rent and offering innovative, high-quality products if you are in a slightly crowded place where your target audience is not there.
In this article we give you some key aspects to consider when choosing the best location for your location:
1. Level of competition
One of the first aspects to consider when choosing the best location for our business is the competition in that area. It is always better to be placed in an area where your business proposal is unique and exclusive and the target audience has no other choice to choose from. However, being surrounded by competitive businesses is not always bad and it is that in some cases we have to use what they say "if you can't be with the enemy, join him". Sometimes, we must consider opportunities to take advantage of customers who enter other competing businesses. Above all, this is a great opportunity for those considered "Business for Consumers" (B2C) where most of the time consumers of this type of business go to commercial areas to avoid having to travel too much. You should also pay attention to related aspects such as parking lots. Make sure your parking space has adopted modern car park solutions.
2. Public influx in the area
The more public traffic going through our area, the more likely we are to enter our company. So, we have to place ourselves in a crowded area where there are a lot of people. It doesn't matter if it's in the middle of the street or is part of a shopping center, what matters is that it is a place where your potential customers walk with high frequency.
3. Business visibility
Related to the previous aspect, we found business visibility. The easier and faster our store is seen, the more possibilities we have for consumers to enter our establishment. Usually, businesses located in the corner tend to have good visibility because they are usually first seen when walking through the area. In addition, places located in crowded public areas are not considered, so you should get visibility through other marketing aspects such as shop windows, labels, and the color of the place of business.
4. Demographic data of potential consumers
In addition to placing our location in an area that is visible to a large number of people, we are interested in the latter who are in the target audience of our business. Therefore, when setting up a business, it is very important to know the public demographic data in the area to find out their gender, age, level of purchase, and profession. Important information to assess whether our product or service will function in that location.