The average local corner shop makes about $50,000 in revenue per year all things being equal. Some other report shows that on average, a well-managed and successful local corner shop business can generate an annual revenue ranging from $60,000 to $120,000 or even more.
A local corner shop, which can also be referred to as a convenience store or corner store, is a small retail business or mom-and-pop business that typically operates in a residential neighborhood or community.
What makes local corner shops stand out is their convenience and proximity to residents, but generally, local corner shops are stocked with a variety of everyday items such as groceries, snacks, beverages, toiletries, and household essentials.
In the United States, and of course, in most countries of the world, local corner shops can be seen in strategic locations. This goes to show that the demand for the items sold in local corner shops is on the increase hence the amount a local corner shop makes yearly can also be appreciable when compared to other smaller businesses that operate in the same vicinity.
Having said that, here are some of the factors that can influence the amount a local corner shop business can make yearly in the United States of America.
Factors That Influence The Income of a Local Corner Shop Business
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The Location of Operations
If a local corner shop is operating in a city or location where people love the convenience of shopping on a street corner, then it is most likely that the local corner shop will make more money when compared to a local corner shop that is operating in a conservative environment where people are hardly seen outdoors.
Local corner shops that operate in residential estates, parks, sports facilities, school environments, and busy downtown streets and business districts will naturally rake in more money in revenue annually.
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The Number of Hours of Operations
A local corner shop that operates from seven o’clock in the morning till 9 p.m. in the night will make more money when compared to a local corner shop that only operates in the daytime. In essence, the longer a local corner shop operates, the more revenue it will rake in annually.
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The Types of Coffee the Local Corner Shop is Retailing
The variety of everyday items such as groceries, snacks, beverages, toiletries, and household essentials the local corner shop is retailing is yet another factor that will influence the amount of money in revenue it can make yearly.
Alocal corner shop that always carries known brands of everyday items such as groceries, snacks, beverages, toiletries, and household essentials will always attract a large customer base.
Of course, you know that when there are loads of customers visiting your shop, the likelihood of you selling more items will be higher.
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The Marketing and Promotional Strategy of the Local Corner Shop
A local corner shop business that invests in a workable and proven marketing and promotional strategy will make more money than a local corner shop business that only relies on the number of sales they can make by walk-in customers.
For example, a local corner shop business that implements aggressive marketing and promotional strategies such as organizing or sponsoring special community events, offering discounts, implementing loyalty programs, and also organizing social media contests will make more money yearly than the average revenue a local corner shop makes within the same location or state.
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Climatic Conditions and Weather
Interestingly, both the climatic conditions and the weather of a city can either affect the revenue of a local corner shop positively or negatively. For example, if there are tornadoes or hurricanes or if the weather is extreme, local corner shops cannot operate and that will affect the amount they will make.
So also, if the weather is extremely cold, people hardly go out hence it will affect the amount of money the local corner shop will make for that year especially if the cold weather persists for a while. In like manner, if the weather is sunny and fair, the sales of everyday items will jump up. So, the longer the days we experience fair weather, the higher the sales a local corner shop is likely going to make.
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The Level of Competition
A local corner shop business that operates where the competition is rife will struggle to make more money when compared to a local corner shop business that operates in a location where there is no competition; a location where they are the only local corner shop in the location.
For example, a local corner shop business that monopolizes a school facility (boarding house, or campus), or residential estate will generate more money in revenue when compared to a local corner shop that has to contend with other local corner shops, shopping malls, supermarkets, convenience stores, and grocery stores within the same location.