One of the simplest shops that an aspiring entrepreneur can start sells computers and computer accessories. It is one of the easier shops to manage out there. It can also get a decent amount of profit in its later years.
The computer retail market size is estimated to be around $59 billion, with a compound annual growth (CAGR) rate of 4% for the years 2016-2021. Any respectable expert out there will tell you that these statistics are quite average and that there is decent room for anyone who wants to join the industry. The greatest part about this industry is that there aren’t big retailers you should worry about as they don’t get a significant share in the market.
This means you can make a decent income from your computer retail store with little worry against competitors. However, this is still affected by other external factors such as location and access to supplies. With this in mind, starting your own computer retail business is still a challenging venture. Here are some ways to run it successfully this year.
Learn How Retailing Works
As a computer retail business, you’re still going to be following the fundamentals of retailing. The general sales of retail shops in the US reach about six trillion dollars in 2019 alone. This is a staggering number and shows that you have a big opportunity to earn so much more like a retail business. So what are the fundamentals of retailing?
Retailing is For the People
Ultimately, retailing is a business meant for the people because most of the time, you will be interacting and selling to the base consumers in the market. The base consumers in the market vary in personality and interests. For example, they can range from employees who are looking for a work laptop to gamers who are looking for a gaming PC with a tower frame. As a retailer, you want to address all the needs of consumers, but this certainly depends on what kind of industry you are in.
Thankfully, you can easily address consumers’ needs in the general computer industry, given that you have all kinds of computers and laptops in your shop. But you can’t have every brand in your shop, as there are too many brands in the industry for you to invest in. Only choose a couple of brands in your shop and feature them the best way you can.
Retail is a Source of Entertainment
You read that right. Retail is a source of entertainment for most consumers. They love to look around and check new things in the market. But this doesn’t mean that they are out to buy these things. Most of the time, they just have a look. How you get to convince these people to buy or come back is up to you.
There are many ways to do this, such as offering discounts, negotiating with your customers, or even appealing to their need for entertainment. Set up computers and laptops that consumers can use so that they can enjoy themselves in your shop while also getting a feel for your products. This is the best way to convince them to come back and buy products that they might have enjoyed.
Running a computer retail business means being a retailer. Instead of thinking about what would work in the computer industry, you should think of what would work in the retail business. Aside from the fundamentals of retailing, there are some things you can do to add to your source of revenue. One of these things is to offer restoration and repair for old or broken computers and laptops.
Computer and Laptop Repair
The electronic and computer repair industry has its own market in the US. It’s estimated to be at $18 billion, with a negative CAGR of 2%. This might discourage you from starting this service in your shop, but remember that this is only a supplemental service on top of your main revenue source, which is selling computers and laptops. Plus, it doesn’t take much to run a computer and laptop repair service. If you can’t do it yourself, you can hire a singular employee to do it for you. These can be interns who are looking for a bit of experience in the industry.
There are many consumers out there who are looking to get their computers or laptops repaired. Having a supplemental computer and laptop repair service on top of your computer retailing business means that you can get extra income when sales are slow.
These are some simple ways to ensure that you can run your computer retail business to success. Remember that you’ll have first to understand how retailing works before starting this business. Right after, you can diversify your business by adding other services such as computer repair. This will ensure that you have other revenue streams when sales are low.