Oh Crap Situation 9: The Neighbors
Business is booming - your store really sets the standards for hobby shops. In fact, you are only several months’ income away from actually purchasing your building (as opposed to renting). Things are going spectacularly - that is, until new neighbors moved in. I am not talking about just any neighbors - I am talking about a hobby shop mega-store. This building absolutely dwarfs yours. It is three weeks away from its GRAND opening and you need to do something to save your business - what do you do?
Tags: business_owner, mega_store, neighborsRelated Stories
POSTED IN: "Oh Crap" Moments
4 opinions for Oh Crap Situation 9: The Neighbors
Gayla McCord
Jan 24, 2008 at 8:51 am
Umm explore a change in career paths?
Apply for management positions?
Pray?
Jim Gordon
Jan 24, 2008 at 1:56 pm
Yeah this one doesn’t really have a way out…
Liz Fuller
Feb 10, 2008 at 4:10 pm
Hi Jim
I don’t know that I agree that there is no way out of this situation.
Not every one loves mega-stores even though they do have better inventory. These days people are hungry for connection and experience. Couldn’t the smaller shop capitalize on their intimate size to increase customer loyalty?
The big store can always undersell them so they shouldn’t plan to compete by cutting costs.
Instead they should try to compete by adding more value - perhaps they could build value by offering classes in the store, or personal shopping services for hard to find hobby items, or children’s parties, women’s nights out, etc.
I know I would rather frequent a small store that is selling with their heart than a big impersonal one where no one cares about me or the business.
Jim Gordon
Feb 11, 2008 at 5:28 am
That’s very true. Mega stores don’t have that personable trait that you will find in those smaller shops. I do think a lot of it has to do with the location of the store, too… will trust matter with your customers in some locations that might not splash in others?
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