Lots of consignment, buy-outright, thrift shops opening up.
TGtbT.com, my web site, has sold more operations manuals this year than in any other year. NARTS Conference is going for a new record number of attendees, after setting a record last year. The shop I volunteer at is having its highest year in over four decades…and this, in a market area that is considered one of the hardest-hit by the economy (and the most appalling software switchover I have ever seen!)
More important than ever to stay on the top of the heap in your marketplace.
Now is not the time to get complacent. New shops can come along with new ideas, new services for shoppers and suppliers (like the “hidden” idea in The BIG Book of BUYING OUTRIGHT designed specifically for consignment shops who aren’t ready to BOR yet!) Are you dedicated to not only keeping your clientele, but adding new customers?
This is an ideal time of year to gather your thoughts, plans, goals and objectives together and prepare for the upcoming busy fall season.
Auntie Kate The Resale Expert 
[…] Are you #1? […]
[…] literature abounds in ideas to “keep” your business number one. Here’s what resalers had to say about that. And here’s even more ideas. But alas, I don’t see as much energy and imagination going […]
I am interested in opening a children’s clothing and accessories consignment shop and just ordered Kate’s book which I haven’t yet received. Although I expect to learn about this question in the book, I’d love to hear all your comments on “CAN THIS BE A PROFITABLE BUSINESS AND IF SO, HOW PROFITABLE???”
Hi Meri,
Thanks for your comment. We have, at my site TGtbT.com, an excellent discussion board called Sharing, where you can discuss this! Just visit http://www.tgtbt.com/ and click on Sharing.
PS BTW: Of course it can be profitable, monetarily and in so many other ways 😉
Kate – “….If one wanted to simply buy themselves a “job” they wouldn’t be motivated to become self-employed”. Yes, very true. But my point was that most going into the consignment business, and many other businesses as well, don’t realize the true profit potential, or lack of, until they have been in the biz for a while. In other words, many new owners go in to the biz without really knowing the numbers.
Before I would start a new business, especially a consignment store, I would do everything possible to learn the “real numbers” from existing stores in the area. Not always easy to do, but worth the effort before investing you’re life savings.
Most will find that the numbers = JOB when you consider the numbers of hours a typical store owner works (50-60+/hrs. wk.)
Oh so true…but I doubt anyone thinks that opening any business isn’t a job…and a HALF!…of work to do. And one is NOT “buying s job”…they are creating one (and hopefully more, if they succeed in their shop!)
Finding” real numbers” from future peers in the local market is not only highly unlikely (who would share that info, and with whom?) but any such figures thus attained could well be purposely misleading. While the statistics that are available, from my Manual at http://www.tgtbt.com/manual.htm or from our industry association, NARTS, are not specific to a particular geographical area, they have the virtue of being untainted by considerations of competition.
I am enjoying this dialog!
Thanks You for the advice. I worked for a resale shop for a couple of years and learned what NOT to do. I was thrilled to find this website. I also have a landscaping business but my husband will have to deal with that so I try something I have always wanted to do. Living expenses are in order for at least 2 years.
I am celebrating my 3rd Anniversary in business this month and I just recently renewed my lease for another 3 yrs at my current location. Since I know I’m on commit for another 3 yrs (at least), I decided it was time to increase the amount of “new” inventory in the store. I was already carrying lots of new jewelry, sunglasses, and handbags that were a big hit. Well I decided to add more new handbags, new summer sandals and flipflops, the complete line of Tyler candles, purse hangers, Written in Stone plaques, and greeting cards (all in the last month!). The investment was a little hefty and my charge card is crying out loud, but I am sooo glad I did it! My customers absolutely love the addition of all the new items and it compliments the appearance of the store by making it look more like an upscale boutique (and I’m selling the “new” items on a daily basis). Of course, I also had to increase my advertising to let people know about all the new merchandise that I am now carrying. My advice to others is, “don’t be afraid to try something new to make your shop stand out above the rest.”
Advice for Mary – have a minimum of one years living expenses in the bank. It will likely take you over 12 months to start making a small profit. What you have to realize, if you haven’t already, is that when you enter the consignment business you’re basically buying yourself a JOB. What I mean is, that after you tally up your annual “profit” and divide it by the number of hours you work at the store, you’ll probably discover that you’re not making much more than if you had a JOB. And, of course, many JOBS provide some health care assistance and other benefits (like a vacation). Mary, not trying to get you down. But if you enter this business with your eyes wide open and with realistic expectations you’ll do fine. One more suggestion…print out this response and look at it a year from now. I’d love to hear from you then. Good luck Mary! Oh ya, Kate’s advise about advertising is spot on. To be successful in ANY business you have to become a MARKETING EXPERT. There is no skill more important!
Thanks Perri, for your viewpoint. Interesting. If one wanted to simply buy themselves a “job” they wouldn’t be motivated to become self-employed. It’s a lot easier, for most people, to have an employer, and to do their job, letting others do all the supporting tasks (I’m thinking everything from scrubbing the toilet to managing an advertising campaign.)
And to give a new business time to grow, a new entrepreneur needs not only a cushion of living expenses as you point out, but start up expenses and at least 6 months’ business overhead as well. I just HATE to see someone pour everything she’s got, money, energy, hope, into a shop and have it fail only because she didn’t have the financial resources to make wise decisions along the way.
We started a Frequent Buyer loyalty card program. When the card is punched completely it means the customer has spent $50 at the shop and is then entitled to $10 off their next purchase. This entices our customers to keep coming back!
I am one of those that is opening up a new consignment store. I waiting on the lease with a grand opening date of Auguat 1st. Yikes
Boy, I’ll bet you’re busy Mary! Just don’t forget…advertise advertise advertise… don’t sit there waiting for people to discover you!
Sounds like great ideas, Ruth. And yum, apple scent will make me think of home, country, nostalgia, freshness…GREAT choice for a furniture shop…where everything, of course, is in apple-pie order!
We are adding a coffee refreshment area. We have added a new line of furniture and candles Updated our paint scheme and have been using a professional Air freshened The shop always smells like fresh apples.
We are contActing past customers and thanking them for their business. Oh and adding a coupon to the store on the post card. I am ordering your new furniture manual