Info/Thoughts/Suggestions on HealthFood launch.

niceirishfella

Hi,

Got a good pal looking to open a health food store (bricks and morter) in a commuter town.
She knows her products and tells me there is only 1 other well established shop in the town.
There's a population of over 20,000 in the town.
She's looking for practical business set up advice - you got any advice I can relay to her as i'm not expert in retail.
So, advice please.

Thanks,

NIF.:)

DubTony

I've been in retail since I was a kid and I'm no expert either. :rolleyes:

My first thought here was "is this a good idea in this economy?" Usually the first things to go when people change buying habits are the non-essentials. I don't have a clue about health food; are they regarded as essentials these days? I do know that sales of "healthy" products are down in my store. The main ones that come to mind are Danone's Actimel and Aptivia. I've seen sales on these fall by 75% in the last six months and the van salesman from Breeo (the distributor) tells me that his sales are way down. Sales of smoothies are down as well. I admit I'm working in a bit of a vacuum here, and haven't discussed this with anyone but in general my sales are about what I'd expect for this time of year. It's just a thought.

Burial

I'd say to your friend not to open shop right now. Wait 1 and 1/2 or 2 years before opening one. Unless your friend is getting a really really good deal on the lease. It's true in recession and times were people save money rather than spend it, that people cut costs. And one of the first things they do, is look at the grocery bill.

Here are some of my friends stories:
Why buy organic produce when inorganic will save them hundreds a year? Why buy diet pills when jogging or eating less will have the same effect?

The only good thing I've heard, is vitamin tablets being bought more, as they are relativly inexpensive compared to purchasing fruit and veg. However that'll hardly keep your friends business alive.

It's of my own personal opinion that your friend should setup a website first and open up shop after a year to two years.

Burial

Boards deleted my post, but mainly what it said was, setting up a health foods shop now isn't a good idea. The customers aren't there. Tell him to start online and then move to brick and mortar stores in a year or so.

*EDIT*
huh.... That other post by me wasn't there when I checked...

queen of hearts

i'd say not now. I mean there's one in my town, it'd have frequent traffic but they have to go through promotion weekends to get people in. Half the stuff in a health food store is a luxury, i mean i take supplements for my hair and nails now on top of my vitamins, but to be honest if money got tight i wouldn't bother with the two. Random example... But yeah i don't think they are busy enough to be viable at the moment. even the one in liffey valley is nearly always empty.

Get someone to go in to the rival store and find out how it is doing and get as much information as you can before proceeding with this.