Are you about starting a convenience store? If YES, here is a complete sample convenience store business plan template & feasibility study you can use for FREE. There are some folks who may not have the financial muscle to buy things in bulk. This is exactly one of the reasons why retail stores are in existence. This is one business that people have continued to delve into it.
It is also true that the needs of the people are being met on a daily basis. Also, it is no doubt that there is a good return on investment in this trade. Here is a business plan template that you may want to use to tweak yours;
A Sample Convenience Store Business Plan Template
Table of Content
One of the easy to enter and thriving business line that an entrepreneur how is looking towards starting a business of his or her own is to go into retailing business. The retail business is indeed a wide business of which convenience store business falls under. Simply put, a convenience store is usually a small store that stocks a wide range of everyday items that are used in households.
It is common to find commodities such as groceries, soft drinks, snack foods, candy, toiletries, tobacco products, and even call cards, newspapers and magazines et al. Some convenience stores even go as far as securing license to retail alcoholic drinks such as liquors, spirits, beers and wines et al while some secure license to operate a mobile money center or a money transfer center.
Starting a convenience store business is just like starting any other retailing business- it will require start – up capital(money), planning (feasibility studies, market survey, budgeting), and of course time. Convenience stores have become an essential part of our everyday lives.
No doubt, the items that are sold in convenience stores are in demand all over the world, making them a good and profitable business to start. If you are considering starting this type of business, then you must hunt for the right location; with the right location, items in stock, and good pricing structure, you can start making profit as soon as possible after opening your convenience store.
Basically, a convenience store does not necessarily need to be part of a gas (petrol) station chain of business. As a matter of fact, it is common to find convenience stores located alongside a busy road, in a busy community, in an urban area, or near a railway or railroad station or other transport hub. In some countries like the united states, United Kingdom and France et al, convenience stores are known to be opened 24 hours a day and 7 days a week.
The convenience store industry is indeed a very large industry and pretty much thriving in all the parts of the world. Statistics has it that in the United States of America alone, there are about 40,849 legally registered convenience stores responsible for employing about 140,238 employees and the industry rakes in a whooping sum of $28bn annually.
It is important to state that, the top convenience store chains in the U.S. account for just less than 30.0 percent of sales, and no single operator has control over the pricing trend , advertising trend, distribution model or customer loyalty et al in the Industry.
Over the years, convenience stores have experienced tremendous growth in all cities in the United States of America. In response to the ever growing demand for convenience and timesaving options, convenience store owners have opened additional stores thereby creating chains of stores across different cities. They are always ready to expanded into new markets and of course adapt to the changing trend in consumer tastes and increase sales.
Over and above, the convenience store industry is a profitable industry and it is open for any aspiring entrepreneur to come in and establish his or her business; you can chose to start on a small scale in a street corner like the average mom and pop business or you can chose to start on a large scale with several outlets (chains of stores) in key cities.
Bee & Jay Convenience Store™ is a neighborhood convenience store that will be located in a centralized area between a residential neighborhood and a busy business district in downtown Los Angeles, California. We conducted our feasibility studies and market survey and we came to the conclusion that Los Angeles is the right location for us to launch our convenience store.
We are in the convenience store business to make profits at the same to give our customers value for their money and time whenever they patronize us. We want to give people who patronize our convenience store the opportunity to choose from a wide range of both locally and imported quality items from different manufacturing brands at highly affordable prices
We are aware that there are several small convenience stores and chains of convenience stores all around Los Angeles, which is why we spent time and resources to conduct our feasibility studies and market survey so as to enable us locate the business in an area that will support the growth of the business and also for us to be able offer much more than our competitors will be offering.
We ensured that our facility is easy to locate and our outlet is well secured and equipped with the various payment of options available in the U.S. Beyond retailing quality and affordable items in our convenience store, will ensure that our customer care is second to none in the whole of Los Angeles – California.
We know that our customers are the reason why we are in business which is why we will go the extra mile to get them satisfied and get what they are looking for whenever they visit our convenience store and also to become our loyal customers and ambassadors in and around our neighborhood.
Bee & Jay Convenience Store™ will ensure that all our customers are given first class treatment whenever they visit our store. We have a CRM software that will enable us manage a one on one relationship with our customers no matter how large the numbers of our customer base may grow to.
We will ensure that we get our customers involved in the selection of brands that will be on our racks and also when making some business decisions that will directly or indirectly affect them.
Bee & Jay Convenience Store™ is owned by Mrs. Bella Brown – Jacobson and family. She has successfully managed several retailing business both in Los Angeles and New York prior to opening her own convenience store. She will run the business alongside her immediate family members.
Bee & Jay Convenience Store™ is going to operate a standard and registered neighborhood convenience store that will retail a wide range of items from both locally manufacturers and international manufacturers just like any other registered and standard convenience store in the United States and in any part of the world.
Aside from retailing items, we will secure license to carry out money transfer and mobile money services. We are in the convenience store business to make profits and give our customers value for their money. These are some of the products that we will retail in our convenience store;
- Soft drinks
- Call cards
- Newspapers and magazines
- Tobacco products
- Food service
- Packaged beverages
- Candy and snacks
- Non – alcoholic beverages
- Other Related Items and services (Mobile money outlets and money transfer services)
Our Mission and Vision Statement
- Our vision is to establish a one stop convenience store in Los Angeles – California and in other cities in the United States of America.
- Our mission is to establish a convenience store business that will make available a wide range of household needs (items) from top brands at affordable prices to the residence of Los Angeles – California and other cities in the United States of America where we intend opening our outlets and selling our franchise.
Our Business Structure
Bee & Jay Convenience Store™ do not intend to start a convenience business like the usual mom and pop business around the street corner; our intention of starting a convenience store business is to build a standard convenience store that will be a one – stop shop for household needs which is why we will ensure that we put the right structure in place that will support the kind of growth that we have in mind while setting up the business.
We will ensure that we only hire people who are qualified, honest, customer centric and are ready to work to help us build a prosperous business that will benefit all the stake holders (the owners, workforce, and customers).
As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of five years or more especially when we start selling our franchise or running chains of convenience stores.
In view of that, we have decided to hire qualified and competent hands to occupy the following positions;
- Chief Executive Officer (Owner)
- Store Manager
- Merchandize Manager
- Sales and Marketing Manager
- Information Technologist
- Accountants / Cashiers
Job Roles and Responsibilities
Chief Executive Officer – CEO (Owner):
- Increases management’s effectiveness by recruiting, selecting, orienting, training, coaching, counseling, and disciplining managers; communicating values, strategies, and objectives; assigning accountabilities; planning, monitoring, and appraising job results; developing incentives; developing a climate for offering information and opinions; providing educational opportunities.
- Creating, communicating, and implementing the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for fixing prices and signing business deals
- Responsible for providing direction for the business
- Creates, communicates, and implements the organization’s vision, mission, and overall direction – i.e. leading the development and implementation of the overall organization’s strategy.
- Responsible for signing checks and documents on behalf of the company
- Evaluates the success of the organization
- Responsible for managing the daily activities in the store
- Ensure that the store facility is in tip top shape and conducive enough to welcome customers
- Maintains office supplies by checking stocks; placing and expediting orders; evaluating new products.
- Ensures operation of equipment by completing preventive maintenance requirements; calling for repairs.
- Updates job knowledge by participating in educational opportunities; reading professional publications; maintaining personal networks; participating in professional organizations.
- Enhances department and organization reputation by accepting ownership for accomplishing new and different requests; exploring opportunities to add value to job accomplishments.
- Defines job positions for recruitment and managing interviewing process
- Carries out staff induction for new team members
- Responsible for training, evaluation and assessment of employees
- Interfaces with third – party providers (vendors)
- Control the sales floor inventory
- Ensures that goods and products are properly arranged
- Supervises the entire sales staff and workforce
- Any other duty as assigned by the CEO
- Manage vendor relations, market visits, and the ongoing education and development of the organizations’ buying teams
- Help to ensure consistent quality of liquors, wines and beers on our rack
- Responsible for the purchase of wines, beers and liquors for the organizations
- Responsible for planning sales, monitoring inventory, selecting the merchandise, and writing and pricing orders to vendors
- Ensures that the organization operates within stipulated budget.
Sales and Marketing Manager
- Manage external research and coordinate all the internal sources of information to retain the organizations’ best customers and attract new ones
- Model demographic information and analyze the volumes of transactional data generated by customer purchases
- Identify, prioritize, and reach out to new partners, and business opportunities et al
- Responsible for supervising implementation, advocate for the customer’s needs, and communicate with clients
- Develops, executes and evaluates new plans for expanding increase sales
- Documents all customer contact and information
- Represents the company in strategic meetings
- Helps to increase sales and growth for the company
- Manage the organization website
- Handles ecommerce aspect of the business
- Responsible for installing and maintenance of computer software and hardware for the organization
- Manage logistics and supply chain software, Web servers, e-commerce software and POS (point of sale) systems
- Manages the organization’s CCTV
- Handles any other technological and IT related duties.
Accountant / Cashier
- Responsible for preparing financial reports, budgets, and financial statements for the organization
- Provides managements with financial analyses, development budgets, and accounting reports; analyzes financial feasibility for the most complex proposed projects; conducts market research to forecast trends and business conditions.
- Responsible for financial forecasting and risks analysis.
- Performs cash management, general ledger accounting, and financial reporting
- Responsible for developing and managing financial systems and policies
- Responsible for administering payrolls
- Ensuring compliance with taxation legislation
- Handles all financial transactions for the organization
- Serves as internal auditor for the organization
Client Service Executive
- Ensures that all contacts with customer (e-mail, walk-In center, SMS or phone) provides the client with a personalized customer service experience of the highest level
- Through interaction with customers on the phone, uses every opportunity to build client’s interest in the company’s products and services
- Manages administrative duties assigned by the store manager in an effective and timely manner
- Consistently stays abreast of any new information on Bee & Jay Convenience Store™ products, promotional campaigns etc. to ensure accurate and helpful information is supplied to our customers when they make enquiries
- Responsible for cleaning the store facility at all times
- Ensure that toiletries and supplies don’t run out of stock
- Cleans both the interior and exterior of the store facility
- Any other duty as assigned by the restaurant manager.
Our intention of starting just one outlet of our convenience store in Los Angeles – California is to test run the business for a period of 2 to 4 years to know if we will invest more money, expand the business and then open other chains of convenience stores all over California and perhaps also sell franchise through the United States of America and Canada.
We are quite aware that there are several convenience stores all over Los Angeles and even in the same location where we intend locating ours, which is why we are following the due process of establishing a business.
We know that if a proper SWOT analysis is conducted for our business, we will be able to position our business to maximize our strength, leverage on the opportunities that will be available to us, mitigate our risks and be welled equipped to confront our threats.
Bee & Jay Convenience Store™ employed the services of an expert HR and Business Analyst with bias in retailing to help us conduct a thorough SWOT analysis and to help us create a Business model that will help us achieve our business goals and objectives. This is the summary of the SWOT analysis that was conducted for Bee & Jay Convenience Store™;
Our location, the business model we will be operating on (one stop physical store and online store), varieties of payment options, wide range of household needs from local and international manufacturing brand and our excellent customer service culture will definitely count as a strong strength for Bee & Jay Convenience Store™.
A major weakness that may count against us is the fact that we are a new convenience store in Los Angeles and we don’t have the financial capacity to engage in the kind of publicity that we intend giving the business.
The fact that we are going to be operating our convenience store in one of the busiest district in Los Angeles – California provides us with unlimited opportunities to sell our items to a large number of people.
We have been able to conduct thorough feasibility studies and market survey and we know what our potential customers / residence within the location where our convenience store will be located will be looking for when they visit our convenience store. We are well positioned to take on the opportunities that will come our way.
We are quite aware that just like any other business, one of the major threats that we are likely going to face is economic downturn. It is a fact that economic downturn affects purchasing power. Another threat that may likely confront us is the arrival of a new convenience store in same location where ours is located or even the arrival of a petrol / gas station and shopping malls et al.
- Market Trends
Unlike in the days of old when it was trendy to find convenience stores attached to a petrol / gas station, in recent time a convenience store does not necessarily need to be part of a gas (petrol) station chain of business.
As a matter of fact, it is common to find convenience stores located alongside a busy road, in a busy community, in an urban area, or near a railway or railroad station or other transport hub. In some countries like the united states, United Kingdom and France et al, convenience stores are known to be opened 24 hours a day and 7 days a week.
If you keep tabs on the convenience store business and retailing business generally, you would generally have noticed that It is now a common phenomenon for retail outlets to leverage on technology to effectively predict consumer demand patterns and to strategically position their store to meet their needs; in essence, the use of technology help retailers to maximize supply chain efficiencies.
No doubt data collected from customers goes a long way to help retail stores serve them better. Another common trend in the retailing industry is the pricing system.
Aside from having varieties and quality of the items in a convenience store, one of the easiest ways for players in this line of business to sell the items on their racks as fast as they can and keep re – stocking is to ensure that the prices of their items are a bit lower than what is obtainable in elsewhere. For example, it is common to see items with prices in this format; $3.99, $99 and $199 et al as against $4.00, $100 and $200.
Our Target Market
When it comes to selling items that are found in convenience stores, there is indeed a wide range of available customers. In essence, our target market can’t be restricted to just a group of people, but all those who resides in the locations where we intend opening our convenience store.
One thing is certain, we will ensure that we only retail quality and affordable items (household needs) in our convenience store. In view of that, we have positioned our convenience store to service the residence of Los Angeles – California and every other location where our convenience stores will be located all over the United States of America and Canada.
We have conducted our market research and we have ideas of what our target market would be expecting from us. We are in business to items (retail household needs) to the following groups of people;
- Bachelors and Spinsters
- Corporate Executives
- Business People
- About to wed couples
- Expectant Mothers
- Sports Men and Women
Our competitive advantage
Bee & Jay Convenience Store™ is launching a standard and registered convenience store that will indeed become the preferred choice of residence of Los Angeles – California and in every other locations where our chains of convenience stores will be opened.
Our convenience store is located in a corner piece property on a busy road directly opposite one of the largest residential estates in Los Angeles and few meters away from a busy business district. We have enough parking space that can accommodate well over 25 cars per time.
One thing is certain, we will ensure that we have a wide range of quality and affordable items (household needs) available in our store at all times. It will be difficult for customers to visit our store and not see the items that they are looking for.
One of our business goals is to make Bee & Jay Convenience Store™ a one stop alcohol shop. Our excellent highly experienced and qualified management, customer service culture, online store, various payment options and highly secured facility with enough packing space will also serve as a competitive advantage for us.
SALES AND MARKETING STRATEGY
- Sources of Income
Bee & Jay Convenience Store™ is established with the aim of maximizing profits in the convenience store and retailing industry and we are going to go all the way to ensure that we do all it takes to sell a wide range of products to a wide range of customers.
Bee & Jay Convenience Store™ will generate income by retailing the following items (household needs);
- Soft drinks
- Call cards
- Newspapers and magazines
- Tobacco products
- Food service
- Packaged beverages
- Candy and snacks
- Non – alcoholic beverages
- Other Related Items and services (mobile money shop and money transfer services et al)
It is important to state that our sales forecast is based on the data gathered during our feasibility study, market survey and also some of the assumptions readily available on the field. One thing is common with convenience store business, the larger a convenience store (including varieties of quality items at affordable prices), the larger the numbers of customers that will patronize them.
Although we may not be as large as the biggest convenience stores or retailers in the United States, but we will ensure that within our capacity we make available a wide range of items (household needs) et al from different brands both local and foreign manufacturers in our store.
Below are the sales projections that we were able to come up with for the first three years of operations;
- First Year-: $75,000
- Second Year-: $250,000
- Third Year-: $700,000
N.B: This projection is done based on what is obtainable in the industry and with the assumption that there won’t be any major economic meltdown and the arrival of a competitor in same location as ours within the period stated above. Please note that the above projection might be lower and at the same time it might be higher.
- Marketing Strategy and Sales Strategy
Before choosing a location for Bee & Jay Convenience Store™, we conduct a thorough market survey and feasibility studies in order for us to be able to be able to penetrate the available market and become the preferred choice for residence of Los Angeles – California and in every other cities where our chains of convenience stores will be opened.
We have detailed information and data that we were able to utilize to structure our business to attract the numbers of customers we want to attract per time.
We hired experts who have good understanding of the convenience store / retailing industry to help us develop marketing strategies that will help us achieve our business goal of winning a larger percentage of the available market in Los Angeles – California.
In other to continue to be in business and grow, we must continue to sell the products that are available in our store which is why we will go all out to empower or sales and marketing team to deliver. In summary, Bee & Jay Convenience Store™ will adopt the following sales and marketing approach to win customers over;
- Introduce our convenience store by sending introductory letters to residence, business owners and organizations in and around Los Angeles – California
- Open our convenience store with an open house party for people in the community
- Advertise our business in community based newspapers, local TV and radio stations
- List our business on yellow pages ads (local directories)
- Leverage on the internet to promote our business
- Engage in direct marketing
- Encourage word of mouth marketing (referrals) from satisfied and loyal customers
Publicity and Advertising Strategy
Despite the fact that our convenience store is well located, we will still go ahead to intensify publicity for the business. We are going to explore all available means to promote our convenience store.
Bee & Jay Convenience Store™ has a long term plan of opening chains of convenience stores in various locations all around the United States of America and Canada which is why we will deliberately build our brand to be well accepted in Los Angeles – California before venturing out.
As a matter of fact, our publicity and advertising strategy is not solely for winning customers over but to effectively communicate our brand to the public. Here are the platforms we intend leveraging on to promote and advertise Bee & Jay Convenience Store™;
- Place adverts on both print (community based newspapers and magazines) and electronic media platforms
- Sponsor relevant community programs
- Leverage on the internet and social media platforms like; Instagram, Facebook , twitter, et al to promote our brand
- Install our Bill Boards on strategic locations all around Los Angeles – California
- Engage in road show from time to time in and around the location of convenience store
- Distribute our fliers and handbills in target areas in the community where our convenience store is located
- Position our Flexi Banners at strategic positions in the location where our convenience store is located.
Our Pricing Strategy
Pricing is one of the key factors that gives leverage to convenience stores and retailing business generally, it is normal for consumers to go to places (convenience stores) where they can get items / household goods at cheaper price which is why big player in the convenience store / retail industry like attract loads of consumers.
We know we don’t have the capacity to compete with other bigger retailers and malls, but we will ensure that the prices of all the items that are available in our liquor store are competitive with what is obtainable amongst liquor retail stores within our level and in our location.
- Payment Options
At Bee & Jay Convenience Store™, our payment policy is all inclusive because we are quite aware that different people prefer different payment options as it suits them. Here are the payment options that will be available in every of our outlets;
- Payment by cash
- Payment via Point of Sale (POS) Machine
- Payment via online bank transfer (online payment portal)
- Payment via Mobile money
In view of the above, we have chosen banking platforms that will help us achieve our payment plans without any itches.
Startup Expenditure (Budget)
When it comes to starting a convenience store business the major areas that you look towards spending the bulk of your cash is in of course renting or leasing a standard store facility. Aside from that, you are not expected to spend much except for paying of your employees and the stocking of your store.
This is the key areas where we will spend our start – up capital;
- The Total Fee for Registering the Business in California – $750.
- Legal expenses for obtaining licenses and permits as well as the accounting services (software, P.O.S machines and other software) – $1,300.
- Marketing promotion expenses for the grand opening of Pappy J & Sons Liquor Store in the amount of $3,500 and as well as flyer printing (2,000 flyers at $0.04 per copy) for the total amount of – $3,580.
- Cost for hiring Consultant – $2,500.
- Insurance (general liability, workers’ compensation and property casualty) coverage at a total premium – $2,400.
- Cost for payment of rent for 12 month at $1.76 per square feet in the total amount of $105,600.
- Cost for Shop remodeling (construction of racks and shelves) – $20,000.
- Other start-up expenses including stationery ($500) and phone and utility deposits – ($2,500).
- Operational cost for the first 3 months (salaries of employees, payments of bills et al) – $60,000
- The cost for Start-up inventory (stocking with a wide range of both locally and imported quality items from different manufacturing brands) – $70,000
- Storage hardware (bins, rack, shelves, food case) – $3,720
- The cost for counter area equipment (counter top, sink, ice machine, etc.) – $9,500
- Cost for store equipment (cash register, security, ventilation, signage) – $13,750
- Cost of purchase and installation of CCTVs – $5,000
- The cost for the purchase of furniture and gadgets (Computers, Printers, Telephone, TVs, Sound System, tables and chairs et al) – $4,000.
- The cost of Launching a Website – $600
- The cost for our opening party – $7,000
- Miscellaneous – $10,000
We would need an estimate of $250,000 to successfully set up our convenience store in Los Angeles – California. Please note that this amount includes the salaries of all the staff for the first month of operation.
Generating Funding / Startup Capital for Bee & Jay Convenience Store™
Bee & Jay Convenience Store™, is a family business that is solely owned and financed by Mrs. Bella Brown – Jacobson and family. They do not intend to welcome any external business partner which is why he has decided to restrict the sourcing of the start – up capital to 3 major sources.
These are the areas we intend generating our start – up capital;
- Generate part of the start – up capital from personal savings
- Source for soft loans from family members and friends
- Apply for loan from my Bank
N.B: We have been able to generate about $100,000 (Personal savings $75,000 and soft loan from family members $25,000) and we are at the final stages of obtaining a loan facility of $150,000 from our bank. All the papers and document have been signed and submitted, the loan has been approved and any moment from now our account will be credited with the amount.
Sustainability and Expansion Strategy
The future of a business lies in the numbers of loyal customers that they have the capacity and competence of the employees, their investment strategy and the business structure. If any of these factors is missing from a business (company), then it won’t be too long before the business close shop.
Bee & Jay Convenience Store™ will ensure that all the factors listed above are reinforced on a regular basis and also we will engage in continuous capacity building of our workforce. As a matter of fact, profit-sharing arrangement will be made available to all our management staff and it will be based on their performance for a period of three years or more.
We will make sure that the right foundation, structures and processes are put in place to ensure that staff welfare is well taken of. Our company’s corporate culture is designed to drive our business to greater heights and training and re – training of our workforce is at the top burner. We have the plans of
Check List / Milestone
- Business Name Availability Check: Completed
- Business Registration: Completed
- Opening of Corporate Bank Accounts: Completed
- Securing Point of Sales (POS) Machines: Completed
- Opening Mobile Money Accounts: Completed
- Opening Online Payment Platforms: Completed
- Application and Obtaining Tax Payer’s ID: In Progress
- Application for business license and permit: Completed
- Purchase of Insurance for the Business: Completed
- Leasing of facility and remodeling the shop: In Progress
- Conducting Feasibility Studies: Completed
- Generating capital from family members: Completed
- Applications for Loan from the bank: In Progress
- Writing of Business Plan: Completed
- Drafting of Employee’s Handbook: Completed
- Drafting of Contract Documents and other relevant Legal Documents: In Progress
- Design of The Company’s Logo: Completed
- Graphic Designs and Printing of Packaging Marketing / Promotional Materials: In Progress
- Recruitment of employees: In Progress
- Purchase of the Needed furniture, racks, shelves, computers, electronic appliances, office appliances and CCTV: In progress
- Creating Official Website for the Company: In Progress
- Creating Awareness for the business both online and around the community: In Progress
- Health and Safety and Fire Safety Arrangement (License): Secured
- Opening party / launching party planning: In Progress
- Compilation of our list of products that will be available in our convenience store: Completed
- Establishing business relationship with vendors – wholesale suppliers of various brands of products that we intend retailing: In Progress
Frequently Asked Questions
How Do You Promote A Convenience Store?
- Place adverts on both print (newspapers and magazines) and electronic media platforms
- Sponsor relevant community – based events
- Leverage on the internet and social media platforms like; Instagram, Facebook, Twitter, YouTube, Google + et al
- Install your billboards in strategic locations all around your city or state
- Distribute your fliers and handbills in target areas
- List your convenience store business in local directories / yellow pages
- Advertise your convenience store in your official website and employ strategies that will help you pull traffic to the site
- Position your Flexi Banners at strategic positions in the location where your convenience store is located.
- Ensure that all your staff members wear your branded shirts and all your vehicles are branded with your company logo.
How Do You Start A Convenience Store Business?
- Conduct your market survey and feasibility studies
- Learn everything you need to learn about owning and operating a convenience store
- Choose a name and register the business (DBA is preferable)
- Draft a detailed Business Plan
- Secure the needed licenses and permits
- Apply for an EIN (Employer Identification Number)/Federal Tax ID Number.
- Open a corporate bank account
- Rent and furnish your shop
- Stock your store with goods
- Hire employees
- Market and promote your business
What Equipment Is Needed To Operate A Convenience Store?
- Point of Sale (POS) machine
- Fridge and Deep freezer
- Receipt issuing machines
- Shopping Baskets or Carts
- Soda Fountain
What Makes A Convenience Store Successful?
- The store must be well stocked with goods from different manufacturing brands at all times
- The store must be strategically positioned in an area that attracts both human and vehicular traffic
- The employees must display top-notch customer service skills
- The management style of the store must be top-notch
What Are The Ongoing Expenses For A Convenience Store?
The ongoing expenses for a convenience store are few and manageable. They include employees’ wages, lease and utility payments, telephone and internet subscription and inventory expenses.
How Much Do Convenience Store Owners Make?
It is difficult to categorically state the amount a convenience store owner makes because there are loads of factors that can influence it – business structure, location, and other factors. But according to Indeed.com, the average store owner earns about $66,000 per year.
What Are The Costs Involved In Opening A Convenience Store?
- The cost of registering the business
- Legal expenses for obtaining licenses and permits
- The cost of purchasing insurance
- The cost of renting, equipping and furnishing the store
- The cost of installing signpost and promoting the business
- The cost for start-up inventory (stocking with a wide range of good)
- The cost of launching a website
- The cost required to take care of miscellaneous et al
What Type Of License And Permits Do You Require To Operate A Convenience Store?
City or county business license. Occupancy permit. Alcohol and tobacco license. Health and safety permits.
Is A Convenience Store A Good Business?
Sure. The truth is that, despite the rising popularity of internet shopping combined with home delivery of grocery and convenience items, starting and operating a convenience store is still a good business venture.
What Happens During A Typical Day At A Convenience Store?
- The store is opened, cleaned and arranged
- Previously sold goods are restocked
- The goods are properly cleaned and arranged or displayed
- The convenience store is then opened for business
- When customers walk-in they are attended to and the product they are looking for are sold to them.
- The store is closed for the day, accounts are balanced and the workers go home hoping to resume the next day.
What Are The Best Selling Items In Convenience Stores?
- Tobacco Products.
- Beer and Wine.
- Lottery Tickets.
- Non-Alcoholic Beverages.
- Gas and Automotive Supplies.
- Packaged Snacks and Candy.
- Over-the-Counter Medication.
- Sweets and Snacks
- Eggs and Dairy Products.
- Over-the-Counter Medications.
- Dry and Canned Goods.
- Meats and Produce.
What Are The Costs Involved In Opening A Convenience Store?
It can cost up to $50,000 to open your convenience store. Such an amount represents the cost of leasing an appropriate space, decorating the interior, installing the point-of-sale system and any other technology you may require.
How Much Does A Convenience Store Make In A Day?
The profit in the sale of non-fuel products in average store (after expenses) is about 2.1%, or around $75.83 per day (about $3,261/month).
How Much Does It Cost To Start A Convenience Store?
It can cost up to $50,000 to open your convenience store.
How Can You Make Your Convenience Store Profitable?
- Source for quality and cheaper wholesale goods
- Strategically cut down on operational cost
- Deploy effective marketing and sale strategies
- Offer Unique Discounts and Promotions.
- Offer a Loyalty Program.
- Optimize Store Layout.
- Sell a Variety of Popular Products
- Expand your customer base.
What Is The Growth Potential of A Convenience Store?
The growth potential of a convenience store is positive. Available data shows that convenience stores account for over a third of all outlets in the U.S. The trend of growth in the convenience store industry has continued rising steadily for many years.
Do Convenience Stores Sell Batteries?
Sure, convenience stores sell different types of batteries especially for flashlights and transistor radio et al.
Is Owning A Convenience Store Profitable?
Sure, owning a convenience store is profitable and as a matter of fact, convenience store owner earns about $66,000 per year.
What Is The Average Profit Margin For A Convenience Store?
Gross profit margins in U.S. convenience stores is between 15 percent (the lowest margin) and over 50%.
Should I Buy A Franchise Convenience Store?
It depends on your motive and goal of wanting to start a convenience store, but generally, buying a franchise will give you leverage.
How Do You Value A Convenience Store?
There are four different types of valuation methods that can be used to value gas and convenience stores, they include:
- Asset-based valuation.
- Income approach to value (capitalization of earnings)
- Income approach to value (discounted cash flow)
- Market approach to value.
Who Is The Target Market of Convenience Stores?
With a big focus on convenience and value, c-stores’ food and beverage options are very appealing to customers with lower incomes. In fact, customers who make less than $25,000/year make more food purchases at c-stores than customers in higher salary brackets.
Are Convenience Stores More Expensive?
The convenience store can get away with charging higher prices because they are offering greater “convenience.” Convenience has a value that many people are willing to pay extra for.
How Do You Manage A Convenience Store?
- Keep Bathrooms Spotless.
- Illuminate the Forecourt.
- Manage Your Inventory and Offer More Products.
- Keep it Organized.
- Increase Interior Visibility for Your Cashiers.
- Hire and Reward Attentive Staff
- Try Testing New Products.
- Clean the Soda Fountain and Food Areas
How Much Do Convenience Stores Make in UK?
The income depends on the size of the business and other factors. A mathematical average would probably be a return of around £25,000.
How Much Does It Cost To Start A Convenience Store in UK?
You’ll need to invest up to £50,000 and pay a £92 weekly membership fee.
Do Convenience Stores Sell Gift Cards?
Yes, almost every convenience store sells gift cards.
Do Convenience Stores Make Money?
According to a 2018 industry report, 153,237 convenience stores are operating in the U.S. These stores generated $616.3 billion in sales for an average of nearly $4 million per store. Profit margins, however, are typically thin in the food industry, and convenience stores are no exception.
How Much Money Can You Make Owning A Grocery Store?
Grocery store owners make anywhere from $60,000 up to around $300,000 or more.
Are Small Grocery Stores Profitable?
Grocery stores operate on a slim profit margin per item. Generally, profit margins are between 1 percent and 3 percent, depending on the item. It’s not unusual for a grocery store to make just a few cents per item. In 2017, the average net profit margin of grocery stores was 2.2 percent.
Do Convenience Stores Sell Toothbrushes?
Yes, convenience stores sell toothbrushes.
What Grocery Stores Make The Most Money?
In 2017, Kroger was by far the most profitable supermarket chain store in the United States, with a revenue of approximately 115 billion U.S. dollars. Albertsons, which was the second most profitable chain store that year, earned roughly 60 billion U.S. dollars in revenue.
What Are Some Insider Tips For Jump Starting A Convenience Store?
- Choose a good location and shop facility to launch the business
- Make sure your shop is well stocked with different brands and types of goods
- Throw a party before officially opening the store
- Be deliberate with your marketing sales approach
- Encourage the use of work of mouth to promote your convenience store
- Leverage on all available online and offline platforms to promote your convenience store
What Are Some Skills And Experiences That Will Help You Build A Successful Convenience Store?
- Customer services skills
- Interpersonal skill
- Accounting and bookkeeping skills
- Business management skills
- Bargaining skill
- Business management skills
- Basic computer skills
How Much Money Does A Grocery Store Make A Day?
In 2018, median weekly sales per supermarket were $455,777. Per day, that is $65,111.
Can You In Fact Make A Million Dollars Owning And Running A Convenience Store?
Yes, you can. But trust me, you must be ready to invest in the business and of course deploy top-notch business skills to achieve your aim.
Is Supermarket A Profitable Business?
The supermarket business is very lucrative in the United States because that is where households go to get their daily needs. In fact, it is estimated that shoppers made about 1.5 trips to grocery stores on the average every week in 2017.
How Much Does A 711 Owner Make?
Franchise Owner salaries at 7-Eleven can range from $13,068 – $190,207.
What Is The Most Profitable Item In A Grocery Store?
- Fresh butcher meats.
- Prepared coffee.
- Bakery items.
- Holiday or gift items.
- Bottled water
What Is A Basic Grocery List?
- Bakery and Bread.
- Meat and Seafood.
- Pasta and Rice.
- Oils, Sauces, Salad Dressings, and Condiments.
- Cereals and Breakfast Foods.
- Soups and Canned Goods.
- Frozen Foods.
- Dairy, Cheese, and Eggs.
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