Business idea: shoe store. Shoe store business plan: tips from A to Z

Here we will look at an article about how to open a shoe store, what is needed to open it, how to start selling shoes - children's, women's, men's, and consider a ready-made example of a business plan. But before you begin to study the information presented here, you need to understand some very important points in the shoe trade, namely:

The hottest times for shoe sales are spring and autumn.
The most popular product is children's shoes.
The least popular is men's.

If you decide to sell (in addition or mainly) only children's and teenage shoes in the store, then the busiest time for you will be the pre-school period, i.e. before the start of September 1st.

Why is it necessary to sell children's shoes?

Parents will deny themselves the pleasure, but they will buy it for their child.
We buy shoes for ourselves for 1-2 years, and for the child as his feet grow. Children enter the winter season with size 36, and end it with size 38, so sometimes during the winter it happens that they take 2 pairs, and plus, don’t forget about shoes for slides - felt boots.
What you bought in a shoe store in the spring is no longer enough in the fall, which means shopping again.
Children's shoes, unlike adult ones, are not sent for repairs, but simply bought new ones.
Count how many pairs of shoes your child has and how many you have (street: boots - spring, boots - winter, boots, low shoes or shoes, sandals, sandals, sneakers, slates; for home and kindergarten/school: slippers, change of shoes, shoes for holiday, sneakers/sneakers, Czech shoes). And this is the minimum set.
Children's, unlike adult's, never goes out of fashion, i.e. she doesn't have trends for every season. That's why you don't need to have sales.

Example of a business plan

So, let’s look at a ready-made example of a shoe store business plan for those who don’t know how to open their own store.

Overview section

The goal of this project is to open a shoe store intended for a wide range of consumers.

The form of doing business is an individual entrepreneur. This is due to the fact that consumers of the goods are private individuals, the tax rate is also reduced and accounting is simplified. When conducting market monitoring, we took into account a large number of shoe stores in this category and assess the degree of success of the project as average, but making the right choice niche degree can be assessed as high.

Description of the enterprise

The store specializes in selling men's and women's shoes from foreign and domestic manufacturers of different price categories. The shoe store's operating hours are from 10.00 to 20.00, seven days a week.

Description of services

The business plan provides for the implementation of trade and purchasing activities, the opening of a store selling shoes that provides the following services:

Sale of men's shoes;
Sale of women's shoes;
Sale of children's shoes;
Sale of accessories;
You can also additionally sell socks and stockings.

Market analysis

In this section, you should give a detailed description of the shoe business in your region, select a profitable location for a shoe store, taking into account the lowest level of competition, describe the mistakes of competitors in order to eliminate them in your business.

Production plan

A business plan for a shoe store should contain the following information: location, choice of premises, type of store, i.e. Now we will consider the question of what is needed for it. Options:

Shoe store in mall;
Shoe pavilion at the market;
The store is in a separate building.

The choice of option depends on many factors, including your financial capabilities, personal wishes, the specifics of the shoe market in your region, target audience. Each of the presented options has its pros and cons; first of all, you should focus on the financial capabilities of your target audience. To ensure good display of goods, it is necessary to use a premises for a shoe store with an area of at least 50 m2. In addition, utility rooms for staff and a warehouse are needed. Necessary equipment: cash register, mirrors, chairs, sales racks, counters.

As recent trends show, buyers prefer to buy more expensive and high-quality shoes and shop in comfortable conditions.

Also when choosing an assortment for shoe store you need to focus on the preferences of the residents of your city and climate.

When looking for a shoe supplier, you can limit yourself to one supplier, a franchise, or open a multi-brand store (which will expand your options).

Store personnel should be selected very carefully. For a small shoe store, four sales assistants and a manager are usually enough. People with good appearance should be hired as salespeople. It is also advisable to spend time training them, because a good salesman is the key to your successful sales. Salespeople must be able to operate cash registers and know the basics of product display. If the budget is not large enough, then you can work as a manager for the first time. Another important factor successful business is advertising and marketing, this should be paid attention to Special attention. About a month before the opening of a shoe store, you need to place advertisements in local newspapers and magazines, in crowded places, order several banners, if possible, you can order advertising on regional TV. Ad text should be informative and attractive. The day when a shoe store is opened should not go unnoticed; you need to organize a bright reception of guests, distribute discount cards, and you can also hold drawings for coupons and discounts. Stores that constantly support customer interest with various discounts and promotions have a steady flow of both old and new customers. It is important to pay attention to the quality of the product and fashion trends. Seasonal sales and constant updating of the assortment will ensure high productivity of the store.

Financial plan

This section of the business plan for the shoe trade will provide the financial component of the project.

Purchase of shoes – 2,000,000 rubles. in year;
Rent of premises – 1,500,000 rubles. in year;
Advertising – 100,000;
Store staff salary is 960,000.

Total: 4,560,000 required starting capital.

4,000,000 rub. in year.

The payback can be completely different, because... markup on shoes usually ranges from 100% to 300%. It can also be less - about 50%. It all depends on seasonality, the pricing policy of your competitors, fashion, etc. factors. Also, the payback period fluctuates due to various factors, including an increase in purchase prices and an increase in rent. However, this type of business is considered very profitable, and this despite the emergence of large chain shoe stores. For a shoe selling business to be successful, you must have information about suppliers, shoe brands and know the latest fashion trends. Don't forget that any wholesale purchases can now be made online.

A shoe store is a very profitable business, because people buy shoes all year round, be it fur-lined boots for the winter or light sandals for the summer. However, a beginner in this business may face obstacles that he is not even aware of. So how to open a shoe store and succeed in this business?

Studying the market

When you firmly decide to yourself that you want to open a shoe store, the second step for you will be to determine the format of your store: its size, target audience, trade format, type (sports, winter, men's, women's), class (elite, for the middle class or low) and so on. Regardless of which format you choose, you must evaluate the conditions for conducting shoe business in your city, and this is exactly why market research is carried out.

First, study in detail all the shoe stores in your city, namely their location, product range, price category and number of customers.
Highlight your strongest competitors.
From the information obtained, determine the most profitable areas in your city and note where your competitors are located nearby.
It is especially recommended to conduct a short survey of residents of profitable areas: where they prefer to buy shoes, how often and approximately at what price.
Select the market segment in which you are going to operate: whether your store will be for low-income (constant sales), medium or high-income (premium store) customers. Evaluate the information you have collected for the selected segment.

Now that you have an idea of the demand and competition in the footwear market, you can roughly estimate whether your business will generate income in such conditions. If your answer is “yes,” then you should determine the strategy and direction of business development. And to do this, you need to ask yourself how your shoe store will differ from other stores, that is, how you can attract customers.

Choosing a place

When choosing a location for your store, base it on the results of your market research. The best option is to rent premises in a shopping center. The advantages of such a rental: a constant flow of visitors and reduced costs for repairs and security. Disadvantages: high fees and difficulty in obtaining the lease itself, since usually shopping centers choose well-known brands as tenants, and negotiate a lease in the shopping center as early as possible, even at the stage of construction of the center.

If it is not possible to rent premises in a shopping center, then it is important to ensure that the premises you choose comply with all necessary sanitary standards and fire safety rules.

Also, you should not make the sales area small (less than 50 sq. m.), otherwise this will create inconvenience for customers when trying on shoes. The room should also have a small space for storage, where boxes of shoes will be hidden.

We resolve legal issues

To open any business, you first need to register with the tax service as a subject of taxation, whether it be yours or. If you do not plan to work with legal entities and open a chain of stores in the future, then registering an individual entrepreneur will be quite sufficient.

If you want to open a small enterprise (up to 100 employees), then you are subject to (STS) - 6% of income, or 15% of income minus expenses. Some experts, however, recommend (UTII). For retail trade, UTII is calculated depending on the area of the sales floor and the number of days of business activity in a month as a taxpayer. Both taxation systems are accepted on a voluntary basis, and you have the right to choose the most convenient one for your company or combine both.

From the documents, you will also need expert opinions from the SES and fire supervision to be able to conduct trade in a certain premises.

In addition, to trade some types of shoes, additional documents are required. Thus, certification is required for rubber and leather shoes (children's and special ones). For some other types, such as rubber (not counting children's), sports rubber, shoes with artificial leather uppers, and so on, declarations of conformity are required.

We purchase equipment

The most important equipment in your store will be the cash register, which should be sealed and registered with the tax service. In addition to the cash register, you will need the following:

racks and podiums for shoes;
mirrors;
poufs, rugs, spoons for trying on;
display cases for other products (creams, brushes, accessories, etc.);
counter for cash register;
signboard.

We purchase products

Your product range will mainly depend on the results of your market research. As a rule, children's shoes are in greatest demand, followed by women's shoes. People buy men's shoes less often. In addition, your store may sell products such as bags, suitcases, shoe polishes and brushes, hosiery, and so on.

You can purchase products directly from shoe manufacturers. To do this, you should establish business relationships with them. You can also buy shoes on the wholesale market and sell them in your store at retail prices, but this scheme will be less profitable.

We are recruiting employees

A medium-sized self-service shop with trading floor area of about 50 sq. m. the following personnel will be required:

Accounting can be maintained by both the administrator and the business owner himself; or you can use the services of a third party.

We calculate costs and payback

Before opening a shoe store, you should calculate the initial costs and return on investment. Below are approximate calculations for a small store.

So, let's assume that you rent a separate premises with a sales area of 50 square meters. m., located not in a shopping center, but in a place with a constant flow of clients. The price segment is medium, the tax system is UTII.

The average revenue of a small shoe store can be about 1.5 million rubles. To calculate the cost, let's take the average market markup for shoes of 90%. Hence the cost will be 1,052,000 rubles.

Based on the calculation that capital costs will be 4,200,000 rubles, and net profit will be 235,000 rubles, the store will fully pay for itself in about 18 months.

As you may have noticed, the numbers have been averaged and rounded to give you a rough idea of the costs and profitability of a shoe store. Thus, using this information, you can create a shoe store business plan that will help you in the step-by-step implementation of your idea.

* The calculations use average data for Russia

1. PROJECT SUMMARY

The goal of this business plan is to open a shoe store for the retail sale of shoes and related products in a city with a population of more than 1 million people. The store's products are based on men's and women's shoes, mainly from domestic manufacturers. The store serves the mid- and lower-price segments.

The target audience of the shoe store is retail buyers, 75% of which are the female population of the city aged 18 to 50 years.

Shoes and clothing are one of the most popular products. Every month the average consumer spends 6.5 thousand rubles on shoes and clothes. The peculiarity of the Russian climate forces us to change shoes depending on the season, so the business of selling shoes will never lose its relevance. The main advantages of opening a shoe store are the demand for goods and a high level of profit, which is ensured by a trade margin of 100-300%.

To implement the project, retail space is rented in a residential area of the city on a busy street. The total area is 55 sq. m. m., rent – 40,000 rubles/month. Advantages of the location: savings on renting retail space, distance from competitors, proximity to bus stops and location in the street retail zone.

The volume of starting investments is 1,460,000 rubles. Investment costs are aimed at the purchase of equipment, the initial purchase of goods, the organization of retail space, advertising promotion of the company and the formation of a working capital fund until the project reaches payback. The bulk of the required investment falls on the purchase of goods - 55%. Own funds will be used to implement the project.

Financial calculations take into account all income and expenses of a shoe store; the planning horizon is 3 years. After this period, business expansion is expected. According to calculations, the initial investment will pay off after 11 months of operation. Reaching the planned sales volume is planned for the 6th month of operation. The net profit will be 210,000 rubles/month. The return on sales in the first year of operation will be 18%.

The financial plan takes into account the optimistic sales forecast that can be expected due to the favorable location of the store and high traffic of potential customers.

2. DESCRIPTION OF THE FOOTWEAR INDUSTRY

Clothing and footwear are among the most in-demand products, second only to food. The peculiarity of the clothing and footwear market is that it is constantly undergoing changes. This is due to the development of the fashion industry, which introduces new trends, thereby creating high demand for goods from this category.

Every year the number of clothing and footwear stores increases, sales are growing, which makes this business segment quite attractive. Even during a crisis, Russians are not always ready to save on this type of goods. Only 30% of respondents admitted that they had reduced spending on clothes and shoes. On average, Russians spend 6.5 thousand rubles a month on clothes and shoes. The average consumer buys one pair every 1-1.5 months and owns at least 4 types of shoes. Peculiarities climatic conditions in Russia they are forced to change shoes depending on the season - i.e. four (at least two) times a year. Thus, the shoe selling business will never lose its relevance.

Figure 1 shows the dynamics of the clothing, footwear and accessories market. The decline in market volumes in 2015 gave way to a slight increase in 2016. The positive trend is expected to continue.

Figure 1. Volume and dynamics of the clothing, footwear and accessories market, trillion. rub. (source: Fashion Consulting Group)

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However, the crisis affected the Russian footwear market. In 2015-2016, the cumulative decline in market volume was 9.6%. In 2016, the volume of Russian shoe retail dropped to the level of 1260.8 billion rubles. in value terms and 270.3 million pairs – in physical terms. During this period, the average level of shoe consumption was comparable to the level of physical wear and tear, namely 2.5 pairs per year per person - which is the minimum indicator for the footwear market. Before the crisis, this figure was 2.8 couples per year. For comparison, in the EU there are 5 pairs per person per year, and in the US there are an average of 7 pairs per person. According to experts, in Russia this figure should be at least five, which is due to the harsh climate and changeable weather. Based on this, in currently shoe consumption rate is two times lower than recommended.

The middle price segment turned out to be the most sensitive to the crisis. Due to the rise in exchange rates, products became more expensive by 30-35%, which reduced sales. At the same time, the flow of customers in large shoe chains decreased by 20-30%.

In 2017, the market perked up and felt more confident. According to Fashion Consulting Group forecasts, in 2017 the volume of footwear retail in Russia may increase by 5-10% in rubles due to the accumulated effect of deferred demand.

Thus, the main trends in shoe retail in Russia are:

A shift in demand to a cheaper segment, which is due to an increase in the cost of shoes and a decrease in the income of Russians;

Reorientation of shoe stores to more universal models shoes;

Consolidation of the market, strengthening the positions of large shoe chains and exit of small players from the market;

Strengthening the market for Russian-made products, which is strengthening in the context of the price advantage obtained as a result of the devaluation of the ruble and a shift in demand towards inexpensive, universal shoes;

Active process of import substitution. There is a reduction in footwear imports: if in the pre-crisis period the share of imports in the domestic footwear market was 80%, today it is less than 70%. It is expected that in the next two years the ratio of Russian and imported shoes on the market will be 35% and 65%, respectively;

Today, a portrait of a shoe store customer contains following characteristics: rationalism, reduction in the frequency of purchases, adherence to the established idea of the quality of purchased purchases.

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During a period of declining market share of players, there is an opportunity to gain a foothold in an industry that is gradually recovering. Thus, opening a shoe store can be promising business, especially if the main trends in shoe retail are taken into account. A crisis is a good opportunity to start a business when competition is lower.

Retailing footwear is a relevant and versatile business. Table 1 of the business plan shows the key advantages and disadvantages of a shoe store that should be taken into account when planning a shoe trading business.

Table 1. Advantages and disadvantages of opening a shoe store

All these conditions should be taken into account when planning a shoe retail business. Also, before starting a shoe retail business, you should study the niche in detail. When planning, it is necessary to take into account the specifics of running a shoe business:

The greatest demand is for seasonal women's shoes, the share of sales of which is about 60-70% of the total store turnover; about 20% of products sold are shoes for children, and the rest are men's and non-seasonal shoes. Sales of related products (accessories, shoe care products, etc.) do not exceed 5% of sales;

Every season it is necessary to update the shoe collection, take into account changing fashion trends and have a full range of sizes available;

Shoe sales have a pronounced seasonality. Peak sales occur in spring and autumn. This should be taken into account when planning sales and forming the store’s product range;

It is advisable to open stores of highly specialized shoes (sports, designer, etc.) only in cities with a population of more than 1 million people. The exception is children's shoe stores, which have high profitability, regardless of the city's population.

Thus, a shoe store is a profitable type of business, but in order for it to function and generate a stable income, it is necessary to draw up a business plan correctly. It should reflect next questions: how to open a shoe store from scratch, features of the shoe business, how much it costs to open a shoe store, how to choose the assortment of a shoe store, what risks need to be taken into account when doing business and how much you can earn from selling shoes.

3. DESCRIPTION OF SHOES STORE PRODUCTS

IN this business plan It is planned to open a shoe store for the purpose of retail sale of shoes and related products. The store's products are based on men's and women's shoes, mainly from domestic manufacturers. The store serves the mid- and lower-price segments. This choice is due to a shift in consumer demand towards more budget-friendly shoes. At the same time, consumers place high demands on products in terms of price and quality of footwear. In order to meet demand, the store’s assortment is mainly formed from domestic products, the cost of which is lower than imported ones.

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Product range is a key parameter when planning to open a shoe store. Before forming an assortment, you should conduct a thorough analysis of the market, suppliers and assortment of competing stores. This will allow us to determine consumer demand and select products in such a way as to create a unique offer on the market. A competent approach to choosing an assortment will allow you to avoid excess inventory, reduce the likelihood of illiquid stock, increase turnover, create competitive advantages and attract potential buyers.

The assortment must be formed based on the needs and preferences of the client, and also take into account fashion trends and the climate of the region. Also, the store's assortment is determined taking into account the size of the store. The main condition in this case is that the display cases are completely filled, but there is no clutter of goods. Half-empty stands can scare away customers, and cluttered display cases can be very difficult to navigate. Don’t forget about related products (shoe care products, socks, belts, house shoes, etc.) - they can increase sales by 5-7%.

The economic crisis affected not only the level of sales of shoe stores, but also their assortment. Today, shoe stores are striving to optimize their assortment to adapt to new conditions and satisfy customer needs. What should a shoe store's assortment be like during a crisis? Analysts note several factors that could improve shoe sales during a crisis:

Environmental friendliness. Fashion for everything natural and healthy image The footwear segment has not been spared either. Many buyers take care of their body and place high demands on shoes. This category is represented by models with innovative technologies (for example, waterproof coating), sports and orthopedic shoes;

Shoes taking into account anatomical features. Every year, the number of people who have some non-standard anatomical characteristics is growing, which complicate the process of choosing comfortable shoes. For such buyers, the main criterion when buying shoes is their comfort, so the assortment should include shoes of non-standard sizes, shoes with anatomical insoles, etc.;

Fashion footwear. Shoes belong to the category of goods that are highly influenced by fashion. Therefore, when forming an assortment, trends should be taken into account. It is necessary to diversify the assortment with bright, fashionable models that can attract the attention of demanding customers. However, the basis of the assortment should be classic models. If part of the assortment is not sold, it will be much easier to sell classic shoes in the future than products that have gone out of fashion.

Thus, the correct assortment policy will allow you to attract buyers and maintain your position in business even during an economic crisis. The most important thing in shoe retailing is to be flexible enough to quickly adapt to changing market trends.

It is planned that the assortment of this store will be represented by a wide range of shoes made of different materials (leatherette, genuine leather, textiles, rubber). In this case, the emphasis will be on classic, multifunctional shoes. The purchase of goods will require an average of 700 thousand to 1 million rubles.

The format of customer service in the store is individual.

Thus, the project provides for the opening of a shoe store with the following competitive advantages:

Variability of the assortment. It is planned that the product range will be represented not only by classic, but also fashionable models, which will satisfy the demand of different categories of buyers;

Availability of eco-friendly and anatomical shoes in the range;

Price policy. A large share of the assortment will be made up of budget products, presented in various versions;

Excellent service, polite and competent consultants;

Customer loyalty system. This store will provide a discount system and regularly hold various promotions;

The assortment is predominantly represented by products from domestic manufacturers, which guarantee high quality at affordable prices.

4. SALES AND MARKETING OF A SHOES STORE

The target audience of the shoe store is retail buyers, 75% of which are the female population of the city aged 18 to 50 years. Consumer profile: average income, prefers high-quality, comfortable, functional shoes.

An advertising strategy is formed in accordance with a specific target audience. Shoe store advertising can be divided into two types - passive and active. Passive advertising includes signs, banners, pillars, etc. Active advertising involves distributing leaflets, distributing business cards, advertising on radio and television, as well as on the Internet.

Since competition in the segment is quite high, it is necessary to carefully consider the advertising strategy. The following tools can be used for market promotion:

1) A designed storefront that will attract attention potential clients. Marketing research results indicate that 70% of customers enter a store because they are attracted by a beautifully designed display window. The cost of window dressing is on average 25,000 rubles. The display window should display the most interesting models that can attract attention and attract new customers to the store.

2) Competent design of the sales area. According to statistics, women are the main audience of shoe stores, and their choice is influenced by the aesthetic design of the store. Today, every store should have a pleasant interior that will arouse the interest of customers. It is also necessary to pay attention to the location of the product - each position must be visible and have easy access so that the buyer can carefully examine the product. There are several techniques to consider in shoe merchandising:

Products that may be of most interest to customers are best located to the right of the entrance. As practice shows, the vast majority of buyers (90%) entering a store first look at the display windows on the right. Therefore, it is better to place the most popular models with right side. It should also be taken into account that it is better to place women's shoes on the right, and men's shoes on the left;

The racks should not be very high so that it is convenient for the buyer to choose the product of interest;

Shoes should be placed in groups according to certain characteristics. Shoe merchandising involves structuring the placement of shoes on racks by style, functionality, color, price, brands, size, season, size, accessory (men's, women's, children's). Separately, regardless of the chosen shoe classification, it is customary to highlight a new collection;

The layout of shoes, regardless of the chosen principle, should be changed at least once every two weeks;

Shoes should be well lit, but there should be no direct impact of lighting devices on the shoes, as this entails the effect of heating the shoes, which can lead to damage to the goods.

3) You can start promoting your store even before it opens. This will arouse the interest of potential buyers in advance. Such advertising can be the distribution of leaflets with a discount coupon, advertising on the radio, or on the Internet.

5) Event marketing. It is advisable to time the discount promotion to coincide with the opening day of the store or offer the first visitors a loyalty card. You can spread information about the opening in the media or hand out flyers inviting you to the store.

The approximate plan for promoting a shoe store is presented in Table 2. According to calculations, it is planned to spend 60,000 rubles on promoting the store. The bulk of promotional activities are planned for the first months of the opening of the shoe store.

Event	Description	Costs, rub.
	This involves creating advertising material (flyers/booklets) and distributing it in places where the target audience gathers. Costs include the costs of creating and printing flyers, as well as salaries for promoters. The promotional material contains a 10% discount coupon for your first purchase.
	To attract the attention of potential customers, you need to place a bright sign. Costs include sign creation and installation.

Window decoration	Costs include expenses for the work of the designer and materials for decorating the display case
Merchandising design of the sales area	You can pay for one-time merchandiser services, but in this project it is assumed to hire a specialist who will constantly perform the functions of a merchandiser in the store

An active marketing strategy allows you to speed up the process of payback on the funds invested in opening a store.

It is quite difficult to calculate the income of a shoe store, because... it is necessary to take into account many factors (season, markup on goods, etc.). The markup on goods can range from 100% to 300%. In this project, the income of a shoe store is calculated based on the cost of purchased goods (taking into account the average markup of 200%) and the monthly sales rate of 35% of the assortment. Then the store’s monthly income will be: 800,000*3*0.35= 840,000 (rubles). It is planned to reach the planned sales volume within 5-6 months of work.

It will take an average of 3 to 6 months to promote the store and reach the desired sales volumes - during this time, customers have time to learn and get used to the new outlet. When planning sales volumes, you should take into account some seasonality of sales - the peak of sales occurs in the spring and autumn months, and the decline in sales occurs in the winter and summer.

5. PRODUCTION PLAN FOR A SHOES STORE

The project implementation includes the following stages:

1) Business registration. To conduct retail trade in footwear, no special permits are required. To open a shoe store, you will need to collect a package of documents, which includes: a list of products approved by Rospotrebnadzor, a sanitary and epidemiological conclusion from Rospotrebnadzor, a fire inspection permit, regulations to the store. Contracts for the removal of solid waste, disinfestation and deratization of the premises will also be required.

To conduct commercial activities, an LLC is registered with a simplified taxation system (“income minus expenses” at a rate of 15%). Type of activity according to OKVED-2:

47.72. Retail sale of footwear and leather goods in specialized stores.

When planning to open a shoe store, the question of when to start the business often arises. The main recommendation in this case is not to plan the opening for January, when the demand for shoes is minimal. You should consider opening a shoe store during the fall-spring season change.

2) Selecting a location. As for any establishment dealing retail trade, the shoe store location parameter plays important role. A favorable location determines 70% of the success of a retail outlet.

The store location assessment takes into account such components as area characteristics, ease of parking, intensity of pedestrian flow, visibility and notability, and proximity to similar businesses.

The most suitable location for a shoe store is considered to be located close to supermarkets, grocery stores, large pharmacies and transport stops.

For a shoe store, either a shopping and entertainment center or a location on a busy street in a residential area or the central part of the city may be suitable. The advantages of locating a store in a shopping center: high traffic, concentration of the target audience. Advantages of locating a store in a residential area: savings on renting retail space, less concentration of competitors.

The store should be located in a crowded place, with a good flow of customers, should be visible from different angles, and attract the attention of passers-by.

To ensure good display of goods, it is necessary to use a premises for a shoe store with an area of at least 40 sq.m. In addition, utility rooms for personnel and a warehouse should be provided. Thus, the total area of the premises for a shoe store must be at least 55 sq.m.

When choosing a retail space, you need to pay attention to the layout - the sales area should be square or rectangular in shape, without unnecessary bends - this will make it more convenient to place display cases and make the most efficient use of the available space.

It is also desirable that the premises do not require major repairs or redevelopment, which will reduce costs and speed up the process of preparing the store for opening.

This business plan provides for renting premises in a residential area on a busy street. The location is advantageous because it covers a wide range of consumers, who are primarily residents of the residential area. Distance from competitors, lower rent, proximity to bus stops and location in a street retail area are the advantages of the selected retail outlet. Rent of retail space with a total area of 55 sq.m. on average it costs about 40,000 rubles per month. It is planned that 40 sq.m. will be allocated for the sales area, 9 sq.m. – for a warehouse, and 6 sq.m. – for technical premises.

3) Equipment of the retail space. The retail space should be well lit and have a pleasant interior that would highlight the product. An amount of 50,000 rubles is allocated for the renovation and decoration of the premises.

The main element in the design of a shoe store is retail equipment - shelving, display cases, a cash counter, a cash register, as well as poufs and mirrors. When determining the amount of required commercial equipment, it is necessary to rely on the volume of goods. It is not recommended to place them too close to each other so that a potential buyer can easily see each sample. The most popular models should be located in the most prominent places in the display case. Table 3 shows the main costs for equipment, which amount to 245,000 rubles.

Table 3. Equipment costs

Name	price, rub.	Quantity, pcs.	total cost, rub.
Shelving
Wall display


Shelves and racks for accessories
Cash counter
Cash machine
Mobile payment terminal bank cards
Security and fire alarm
Warehouse rack

4) Search for suppliers and purchase of goods. Suppliers should be sought in person, visiting wholesale centers in the city, or via the Internet. The first method is convenient because during a personal conversation it is easier to agree on partnership terms; the second is that you can save on transportation costs, reach a wide range of potential partners, find more favorable conditions and enter into contracts with suppliers not represented on the local market. It is recommended to use a mixed method of working with suppliers: buy some of the goods immediately, and take some for sale.

It is necessary to establish cooperation with suppliers initial stage store opening. Shoe factories are expected to be suppliers. At the same time, it is necessary to work with several suppliers to avoid delivery disruptions and failure to meet deadlines.

Having decided on suppliers, you need to purchase goods for the store. It is planned that the formation of the initial assortment will require about 800,000 rubles. Based on the specifics of demand and the conditions of suppliers, it will be necessary to purchase additional goods. The main thing in this matter is to correctly calculate the required volume of goods in order to diversify the assortment, but to avoid oversaturation of product shelves.

5) Personnel selection. The main personnel in the store are sales assistants. The success of trading largely depends on them.

Portrait of a sales consultant: a middle-aged woman, smiling and polite, knowledgeable about fashion trends in shoes and knowledgeable about the characteristics of the assortment, able to convey information to the buyer in an understandable manner. Practice shows that it is this type of seller that inspires the greatest confidence among the average buyer. The key criteria when selecting personnel are communication skills, responsibility, politeness, and the ability to work with people. Before starting work, sellers must undergo training, familiarizing themselves with the range of products, their characteristics and sales technology. The sales consultant must know the range of products and fabric textures, as well as the basics of organizing the trading process. A cashier position should also be provided. A shoe store will require four sales assistants and two cashiers. A shift work schedule is provided, with one sales assistant and one cashier working in each shift.

It is also planned to hire a merchandiser for the position of senior manager, who will serve as a specialist in purchasing goods. Support staff (cleaners and accountants) are planned to be outsourced.

6. ORGANIZATIONAL PLAN FOR A SHOES STORE

The preparatory stage lasts about two months, during which it is necessary to go through registration procedures, establish partnerships with suppliers, and search suitable premises, recruitment of personnel, purchase of equipment and goods, as well as design of retail space.

In this project, the entrepreneur performs the main functions of a manager - goes through all registration procedures, recruits personnel, negotiates with landlords and suppliers, and coordinates the first purchase of goods.

To carry out the trading process, a sales assistant and a cashier work in the store. Since the store is open daily, a 2/2 shift schedule should be established.

The shoe store's opening hours are from 10:00 to 21:00. Based on these conditions, the staffing table is formed.

Thus, the full staff consists of 10 people, and the total wage fund is 250,900 rubles.

Table 4. Staffing table and wage fund

	Job title	Salary, rub.	Number, persons
Administrative
	Supervisor
Trade
	Senior Sales Merchandiser
	Sales consultant (shift schedule)
	Cashier (shift schedule)
Auxiliary
	Cleaning lady (outsourcing)
	Accountant (outsourcing)

	Social Security contributions:
	Total with deductions:

7. FINANCIAL PLAN FOR A SHOES STORE

The financial plan takes into account all income and expenses of the shoe store; the planning horizon is 3 years. At the end of this period, it is planned to expand the business and open a second sales point.

To start a project, it is necessary to calculate the amount of initial investment. To do this, you need to determine the costs of purchasing equipment, the initial purchase of goods, advertising promotion and the formation of working capital, which will cover the losses of the initial periods. The initial investment for opening a shoe store is RUB 1,460,000. The bulk of the required investment is in inventory – their share is 55%; 17% falls on working capital, 17% on the purchase of equipment, and the remaining 11% on advertising, business registration and arrangement of retail space. The project is financed by equity. The main items of initial investments are reflected in Table 5.

Table 5. Investment costs

		Name	Amount, rub.
Real estate
	Rent for 1 month
	Room renovation
Equipment
		Set of commercial equipment
Intangible assets

		Business registration, obtaining permits
Working capital
		Purchase of goods
		Working capital

Variable costs consist of the costs of purchasing goods and transporting them. To simplify financial calculations, the amount of variable costs is calculated based on a fixed trade margin of 200%.

Fixed expenses of a shoe store consist of rent, utilities, fund wages, advertising expenses and depreciation charges. The amount of depreciation charges is determined linear method, based on the useful life of fixed assets of 5 years. Fixed costs also include tax deductions, which are not presented in this table, since their amount is not fixed, but depends on the volume of revenue.

Table 6. Fixed costs

Thus, fixed monthly expenses were determined in the amount of 356,200 rubles.

8. EVALUATING THE EFFECTIVENESS OF A SHOES STORE

The payback period for a shoe store with an initial investment of 1,460,000 rubles is 11 months. Net monthly profit when reaching planned sales volumes will be about 210,000 rubles. Reaching the planned sales volume is planned for the 6th month of operation. The annual net profit for the first year of operation will be about 1,520,000 rubles.

The return on sales in the first year of operation will be 18%. The return on investment ratio is 12.4%, and the internal rate of return exceeds the discount rate and is equal to 9.8%. The net present value is positive and amounts to 1,101,000 rubles, which indicates the investment attractiveness of the project.

The financial plan for a shoe store takes into account the optimistic sales forecast that can be expected due to the store's favorable location and high traffic of potential customers.

Integral indicators of project effectiveness and financial plan are presented in Appendix 1.

9. POSSIBLE RISKS OF A SHOES STORE

To assess the risk component of a shoe store, it is necessary to analyze external and internal factors. The specifics of the footwear trading business determine the following operating risks:

Increasing purchase prices for goods, unscrupulous suppliers. In the first case, there is a risk of increased costs and, as a result, the selling price, which may negatively affect demand. In the second case, the risk is associated with interruptions in the trade process due to a shortage of goods. It is possible to reduce the likelihood of these threats by choosing suppliers wisely and including in the contract all the necessary conditions that provide for financial liability of the supplier in case of their violation;

Products going out of fashion, their irrelevance. Shoes are a specific product that quickly becomes obsolete. This risk entails a decrease in purchasing value, freezing of positions and, as a result, a decrease in the overall profitability of the business. To minimize this risk, it is necessary to carefully formulate the assortment, monitor various sources of information, and also hold regular sales to sell the remaining goods;

Seasonal decline in sales. It is possible to mitigate the risk with an effective advertising policy and carrying out various promotions to additionally attract the audience, discounts, and special offers;

Refusal to provide rental of retail premises or increase in rental costs. Loss of space threatens losses: firstly, these are the costs of moving equipment; secondly, the move will take a certain time, during which the store will not function and, therefore, will not make a profit; thirdly, the loss of a place familiar to customers and additional advertising costs to promote a new place. All these consequences can lead to significant losses. To reduce this risk, you need to enter into a long-term lease and choose your landlord carefully. In the future, it is worth considering the possibility of purchasing your own retail space;

Insufficient level of demand. This risk is one of the most likely and can arise both due to low solvency of demand and high distribution costs. It is possible to reduce the risk with careful planning of the store’s activities and financial results, competent formation of the assortment and selection of retail premises, holding various promotions and discounts, stimulating repeat purchases, flexible pricing;

Competitors' reaction. Since the footwear market is quite saturated and highly competitive (particularly from large retailers), the behavior of competitors can have a strong influence. To minimize it, it is necessary to create your own client base, constantly monitor the market, have a customer loyalty program, create competitive advantages and create unique selling propositions;

Children's goods are a very profitable trade segment. Many entrepreneurs, especially women, choose this niche due to the constant demand for the product. In this article we will talk about how to open a business selling children's shoes and what methods to promote it in your city.

Business format

Why children's shoes? The answer is simple, children are constantly growing, and shoes are bought for them at least 3-4 times a year, and the next season they are too small again and parents go for another pair of boots or sneakers for the baby. The demand is very high, but the competition is not small, so only with the right approach can you get good results in the sale of children's shoes.

Here are a number of basic work formats:

— trade in the clothing market. Typically, such outlets sell cheap shoes, but there is always a demand for this product. For an entrepreneur, this type of trade is the least expensive, since you can spend a minimum on rent and advertising.

— renting a store in a shopping center. Also a good option, especially if the shopping center has been operating for several years and has regular customers. In this case, you will also save on advertising.

- a separate store. It’s more difficult here, because to attract clients you will need to actively work with advertising, and this always means extra money. But if the product is unique or the store has a narrow focus, for example, only sports shoes for children, then yes, this format of trade is quite suitable.

— sale of used children's shoes (thrift store). Also a wide niche, especially in times of crisis. The main thing is to work with goods that are not very worn out and offer discounts to your customers.

— trading on the Internet. Having your own website or promoting groups on social networks can allow you to earn good money with minimal start-up capital, especially for beginning entrepreneurs. You will be able to test the niche and get regular customers. Over time, you can launch an offline store.

As you can see, there are many formats, you just need to choose the one that suits you.

Search for premises and purchase of equipment for trade

Before you open a children's shoe store from scratch, you will need to take care of the most important thing, namely the selection good place for trade. We have already written above that with such goods it is best to rent retail space either in already promoted shopping centers or in clothing markets where there is a constant flow of customers.

The size of the premises for selling children's shoes should be from 25 sq.m. This area is most optimal for demonstrating the main range of products.

The first thing you will need from retail equipment are racks with shelves on which the goods will actually be placed. They come in both wooden and glass versions.

Also, you need boxes to store the entire line of sizes and a special stand for selling sports shoes.

Also consider what you will need to organize. workplace for the seller.

Assortment and suppliers

The business of opening a children's shoe store requires a very careful analysis of the market and the compilation of a high-quality assortment of goods. People love choices and your goal is to give them that choice. When analyzing competitors, you first need to pay attention to the following main factors:

product quality
price segment
availability in stock
Are there any discount and promotion programs?
weak points in the assortment.

Your goal is to improve the assortment and provide the buyer with the most profitable and high-quality options in a different price range.

winter shoes
demi-season shoes
sneakers
shoes
rubber boots
baby booties
Crocs
slippers
Czechs
Summer shoes
flip-flops and more.

Additional assortment in the business of selling children's shoes may include shoe care products and accessories, socks and more. It's up to you to decide whether you should install the entire range at once or start working with a narrow segment of categories. Much will depend on starting capital, and sometimes this option is the most promising.

To find suppliers, you need to go to clothing wholesale markets and look for those suppliers with whom you will cooperate. So, for example, there you can evaluate the quality of the product and negotiate favorable purchasing conditions.

There is also the option of searching for sales representatives of large manufacturers of children's shoes in your region and starting to cooperate with them.

Advertising

Like any business, a children's shoe store requires investment in promotion to attract customers and form a base of regular customers. Here is a list of basic marketing techniques that you can apply and determine for yourself whether it is profitable for you to use them or not. Over time, you will create the ideal “mix” of advertising that will give maximum effect with the money invested.

advertising in local media;
distribution of discount flyers
banners around the city demonstrating the discount program
Internet advertising. This includes search engine promotion and contextual advertising.
promotion of specialized groups in in social networks. After all, children's clothing is one of the goods that is profitable to trade on the Internet.

At first, you will need to include quite serious investments in an advertising campaign in the business plan of your children's clothing store. Over time, word of mouth will work for you and young parents will recommend your store to each other, provided that the product is constantly updated and its quality is maintained.

How much money do you need to start?

It’s not enough to say that I want to open a children’s shoe store, I need to calculate everything correctly and take into account the entire sector of costs for organizing this business. Depending on the level of investment, store location and assortment, starting investments can vary significantly. But we give you a list of the main expenses.

Room rental – $200 – $250
Taxes - $150
Salesperson salary - $200
Initial purchase of goods – $12,000 – $18,000
Purchase of equipment – $1000 – $1500
Advertising – $450 (+ online advertising)
Transportation costs - $60.

How much can you earn?

Everything will depend on the assortment, choice of trading location, customer service and other factors. In our business ideas section, we indicate only the average markup on the product, which in the case of children's shoes will be 45% - 90%.

From these figures, you can estimate what sales volume can ensure your store's profitability.

In previous articles, we talked about various topics related to opening a children's shoe store. It remains to answer the question - a Is it profitable to sell children's shoes??

Almost any type of activity can be called profitable if you correctly draw up a business plan and strictly follow it. But it’s better for small businesses to answer the question “is it profitable to sell children’s shoes?” before mastering business planning.

If you look from ordinary people's point of view– prices for children’s shoes are gradually catching up with prices for adult shoes, and in some places even exceed them, so the answer to the question about benefits lies on the surface – “of course, it’s profitable to do this!”

WITH expert points of view– trading in children's goods is a highly profitable business, and if done correctly, the payback period is 9-12 months. Children's shoes, like other products for children, are constantly in demand - after all, feet are constantly growing, and it happens that in one season you have to purchase several pairs of shoes. Also, the clear benefit is supported by the fact that children’s shoes cannot be bought for future use - after all, you can never accurately predict how the size of your feet will change.

Children grow quickly, so they need to be constantly wearing shoes.

However, very often we see stores open and close before they even have been open for a year. This happens for various reasons: the place of sale is chosen incorrectly, the assortment does not meet customer expectations, etc. Therefore, you should first think through everything and then start a business. To do this, I recommend reading the following articles: , .

What difficulties may arise?

sharp fluctuations in the dollar/euro exchange rate -> this will inevitably affect purchase prices;
filling the warehouse with slow-moving sizes -> significant reduction in working capital;
unpredictable weather conditions - snow in September, etc. -> refusal to purchase models of the current season;
the emergence of large chain stores in the neighborhood;
delay in shipments by suppliers;
detection of defects after the return period regulated by the supplier.

The difficulties described above may lead to the closure of the store

What actions can you take?

during periods of currency instability, more carefully control the process of replenishing the warehouse - this way you can reduce the risks of purchasing goods at too high a cost;
carry out promotions and incentives for the sale of leftovers;
promptly respond to weather changes, track season changes;
improve the professionalism of sellers and create comfortable conditions for buyers;
choose a reliable supplier;
check the entire batch of shoes after arrival for visible manufacturing defects.

Based on the above, I work with a website company - this supplier has no delays in shipments, convenient working conditions with defects, fast delivery, everything is always done on time. There are a large number of models, the choice is huge.

The website company is a reliable supplier

Is it profitable to sell children's shoes when opening a franchise store - pros/cons

When conducting a market analysis, studying competitors and potential buyers, you will probably encounter the question of which store to open - a multi-brand or a mono-brand, under the franchise of one of the manufacturers?

Pros and cons of a store opened under the franchise of one shoe brand

At the business planning stage, it is necessary to consider all options and take into account the pros/cons of the chosen one. In the case of franchising, you already have experience and history, all that remains is to adapt them to your business and draw conclusions. If the only disadvantage is a brand restriction, there are franchises retail outlets, representing several shoe manufacturers at once.

A point in a shopping center or a convenience store?

Many people are well aware of the differences in these two options, let’s look at the details:

— high rental costs in a shopping center

Yes, this is one of the most powerful stop factors for beginning entrepreneurs, because in a shopping center it is quite difficult to estimate the sales volume and calculate the return on high rent. The location of the shopping center itself and your point of sale in it, as well as the presence of competitors, are very important here. However, recently, the cost of renting premises on the first line with good traffic in a residential area is almost comparable to the cost of renting in a shopping center. The only question that remains is the market capacity – how many potential clients of a residential area are included in that same traffic.

The shopping center has high rental costs

— incoming flow of the shopping center and customers of the convenience store

The term “traffic” is becoming increasingly popular; they are trying to use it to estimate the volume of traffic within retail outlets. If we consider this term within the framework of a shopping center, it will be radically different on weekdays and weekends, while the rental rate is the same throughout the entire time. Whether it will pay off with an influx of customers only on weekends or not remains to be calculated. At the same time, we understand that the increase in clients on weekends in shopping centers is directly proportional to their decrease in residential areas of the city. Convenience stores have to be open until 8-9 pm on weekdays in order to be available to customers who come home from the center after work.

Attendance in shopping centers on weekends is higher than on weekdays

— influence of weather conditions

In one of the articles, we already talked about the spontaneous nature of purchasing children's shoes - for example, rubber boots in rainy times, or felt boots during a sharp cold snap (in this article:). However, these same factors also influence reverse side– in bad weather, customers tend to take refuge in a shopping center and spend time productively, and the number of customers at a retail point of sale “near home” is sharply reduced.

Due to the large number of tenants in the shopping center, opportunities for marketing and advertising campaigns are regulated by the administration of the shopping center and do not always work to their full potential. On the contrary, a store in a residential area has many options that you can experiment with almost every day. And also use non-standard areas for advertising (banners on residential buildings, banners on roads, drawings on asphalt, etc.)

My name is Rodionova Daria. I am one of the authors of the blog site

After graduating from college, I came to work in the most in-demand field of recent decades - sales. I gradually increased my professional level and grew by career ladder. Gradually, I created a department of professional salespeople, which I managed for several years.

Today I own a retail store of children's goods - clothes, shoes, toys, transport - and two online stores. Ten years of experience in sales gave me strength when starting my business, but there were also many difficulties that I did not even suspect.