Opening your own store: shoe business plan from scratch
Before drawing up a business plan for selling shoes, you need to decide which manufacturer's products and in which price segment to deal with. It is better to start trading with inexpensive universal models reaching a large target audience. Over time, you can diversify the lineup in accordance with modern trends. Given the growth in online shoe sales, creating your own website will be a big advantage.
Step-by-step instructions for opening a shoe store
How much does it cost to open a shoe store?
The relevance of this business idea is that shoes are one of the essentials. According to the studies, in Russia, the monthly cost of one family (of 3 people) for shoes is on average 3000 rubles.
The change of seasons forces consumers to regularly change winter boots for spring sneakers and summer shoes. As for children, their leg grows very quickly, forcing parents to make acquisitions every season.
Market description and analysis
The footwear market can be characterized as follows:
- The peak of sales is observed in the autumn-spring months.
- Since 2021, the footwear market has tended to increase sales. This is due to an improvement in the welfare of the population and a decrease in the cost of goods.
- Sales increased by 17% in 2021. This is partly due to the coverage of needs during the 2021-2021 crisis.
- According to research, every adult buys at least 2 pairs of shoes annually. On average, purchases are made every month and a half.
- Due to the change in the dollar exchange rate, the cost of some imported products increased by 30%. This resulted in a 25% reduction in consumers of expensive shoe boutiques.
- Since 2021, Russia has seen an increase in demand for domestic footwear with an increase in sales by 10%. It is predicted that within 2 years, the percentage of Russian and imported footwear will look like this: 35 versus 65%. At the same time, there is a reorientation to universal types of products.
- 70% of purchases are made by women aged 18-50.
- During the crisis, small footwear businessmen left with the capture of a niche by large chains.
- According to BusinessStat forecasts, from 2021 to 2022, sales will increase annually by 1.8-3%. By 2022, the number of pairs sold will be 679.8 million
The largest footwear manufacturers are the following:
- Technoavia ;
- Ralph Ringer;
- Yaroslavl RTI Plant.
Of course, it's just impossible to start it, you need to go through many stages, calculate, study and analyze everything before starting the movement.
Market and Competitor Analysis
One should not be lazy, but find all shoe stores, study the assortment and prices, thereby understanding what kind of shoes the consumer still needs, what is missing in these stores, and if there are too many of them in the studied area.
Thus, you can choose a place that will be potentially profitable for trading. Pay special attention to the mistakes and shortcomings of competitors in order to eliminate them in your work in the future.
It is important to talk about the location. Even if there are no worthy competitors in a particular area, try to understand whether a shoe store is needed here at all. In this case, we are talking about the population of the area, about the presence of other retail outlets. Convenient when the shoe store is close to other retail outlets.
The consumer has a system “I will come at the same time and here”, and therefore the likelihood of increased sales increases. A store located on the outskirts, even the best and most profitable, is unlikely to be popular only because of its inconvenient location.
Registered type of activity allows trading any footwear. So, the assortment can be:
- Female ;
- Male ;
In turn, adult footwear, even for men, even for women, can be purchased for any season.
Next in popularity is women's shoes. And the reason for this is the well-known love of shopping, women can buy on average one or two pairs of shoes a year.
But the situation with men's shoes is much worse, since men do not take shoes seriously, and as experience shows, they come to buy them only when an old pair is torn. Although, of course, everything is individual.
Before deciding on a trade format, it is better to carefully analyze the market and shops that are nearby.
Shoes are an important element of clothing in the life of any person. There will always be demand for it, the main thing is to find a good place, correctly present your product and listen to the wishes of buyers. If you do not make serious mistakes and carefully work on the store, the business will soon start bringing in very good profits.
Registration and documentation for starting a business
In most cases, the following documentation is required:
- passport ;
- document on tax accounting;
- TIN certificate;
- on state registration.
In some cases, you may need other papers:
- documents that confirm ownership;
- list of assortment, which is coordinated with sanitary inspections;
- document confirming the conformity of the premises and equipment sanitary standards;
- confirmation of the object's fire safety;
- contracts for garbage collection and disinfection works.
Business registration per year
Documentation for IP registration:
- application for registration of individual entrepreneur;
- receipt of payment of state duty;
- passport of a citizen of the Russian Federation and its copy.
If you personally submit a package of documents for registration, you do not need to notarize copies.
To make your store legal, you need to go through the registration process. This is done in local government through the registration of IP activities. The procedure looks like this:
- Go to the tax office and submit documents to the window for state registration of legal entities and individual entrepreneurs.
- Fill out an application and receive a receipt from the tax inspector.
- After the period specified in the received document, you must visit the tax office again, and take your passport and receipt with you.
- If the registration was successful, get the USRIP record sheet and a notification of registration with the tax authority.
Long gone are the days when shoes were just a basic necessity in every person's wardrobe. Today, buying a new pair is also an attempt to cheer yourself up and relieve stress. Fortunately for manufacturers and distributors, the demand for these products will never disappear. Therefore, it would be quite reasonable to study the shoe store business plan for those who decided to fill this niche.
Features of the direction
- seasonality - sales usually peak in the spring and fall, when most consumers are looking to renew their wardrobe. The correct selection of the assortment will allow you to avoid a significant difference in profits during these periods;
- the target audience - according to statistics, seasonal women's shoes are in the greatest demand (70%), followed by children's (20%) and only then - men's and out-of-season;
- narrow-profile stores such as Dance or Sports Shoes have a chance of being successful only in large cities. The exception is children's stores, which will easily do well in any locality. After all, as you know, parents tend to save on themselves, not on their children;
- in a crisis and an unhealthy economy, it is better to give preference to the middle price category of goods.
In this case, at the very beginning it is necessary to clearly understand what the concept of the future enterprise will be. After all, selling Italian boots in a tent in the market is a rather rash decision.
The first thing to include in a shoe store business plan is business registration. To open, you will have to prepare the following documents:
- USRIP record sheet. If you plan to open a network, then it is better to choose an LLC;
- a certificate of registration with the tax service;
- an agreement for the lease of premises or one that can certify the ownership of the occupied area; <
- list of goods approved by Rospotrebnadzor;
- permission from the fire authority;
- SES conclusion;
- contract for the removal of solid household waste.
In addition, when drawing up a business plan for a shoe store, the owner should remember that certain types of products will also need separate certificates. Their purpose is to confirm the quality and safety of the products presented.
Lack of certificates leads to penalties.
Shoes, like clothing, are in constant demand. Even if there is an economic crisis in the country, people will in any case need something, they will buy walking and shoes in any case. Today we will talk about how to correctly draw up a business plan for a shoe store and discuss those points that, in our opinion, need to be carefully worked out.
What shoes to trade?
The cost of goods in the shoe business is very high and a novice entrepreneur, in order to fill his store with an assortment of products, will need to invest several tens of thousands of dollars.
At the first stage of launching a retail outlet, the best solution would be a narrow specialization of the store:
- children's shoe store. This is the most promising direction. Children's shoes are bought constantly, because during the season they become small and you need to look for something new. The constant demand and the principle of parents not to save money on the child makes this niche quite promising. The main thing here is to correctly build a pricing policy.
- women's shoes. The second most popular direction. Here we can single out a high-quality segment of footwear with high prices and the most common variant of fakes for branded items in our country, which are not expensive and girls can buy them for themselves almost every season something new. Each segment has a demand, but in the second case, less money is needed to start.
- men's shoes. It is very poorly sold, but still you can safely work here. Men choose quality because the appearance of the shoe and its material shape the image of a man. If you find good wholesale suppliers with quality goods and an inexpensive pricing policy, then you can safely enter this segment.
- sports shoes. The main buyers are young people and children. A promising direction, but in this segment there is a lot of competition among branded brands. Before launching, be sure to walk around the local markets and see the availability of sports shoe stalls and pricing. And also, the presence of branded boutiques in the vicinity, such as: Nike, Puma, Adidas, etc.
This will allow a broader coverage of the range of products and attract potential customers by choosing a product.
The second important point is the format in which the shoe store will operate:
- franchise launch. Not a very good option in this direction of business, but if you have found good conditions for a start, then why not.
- conclusion of an agreement with specific manufacturing plants. In fact, you are working as a sales representative in your region. Not a bad solution, it allows you to get good wholesale prices for products and thus compete with other retail outlets.
- purchase of goods from various manufacturers in the wholesale markets. The most common type of shoe trade. One of the advantages is the ability to flexibly and constantly manage the assortment, both its quality and price. Of the minuses - overpriced compared to the purchase at the manufacturer's plant.
The third factor is the availability of product certificates. There are several groups of footwear products that require mandatory certification, among them:
The following groups of goods are subject to declaration:
- rubber footwear, except for children;
- sports. If it is on a rubber or rubber-textile basis;
- children's boots;
- chrome, except for children's products and special footwear;
- synthetic leather products, except for army.
- yuft, except for children's products and special footwear;
- products with a textile upper (made of felt or felt), except for children's products and special footwear;
- goods with a leatherette upper , except for army and footwear.
Location and premises