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Challenges of Small Retail Organisations.

Small Retail as a format is very challenging and is filled of competition. Small Retailers do not have the luxury that is enjoyed by many large format retail players, and they need to strive very hard to stay afloat.

Small Retailers have to ensure that they are closing as many sales a possible in the shortest possible time, by liquidating their stock and earn their profits as quickly as possible,

Many small retailers come and go in the market as they do not have a strategy or differentiator for themselves and end up opening a shop which is not unique and has no key USP.

They get misguided by their peers or get influenced by some friends or relatives and open an outlet in a category that is probably doing well for someone else.

Small retail businesses mostly ignore the fact that they also need to invest in their brand and do some kind of marketing to attract foot falls into their store, and once they attract the traffic, they need to ensure that are able to meet the expectations of the customers and retain them.

Some small retailers are really smart, and they know their customers in and out, without the aid of any modern CRM tool and have won the hearts and loyalty of their customers for a very long time.

Some Of The Challenges That Are Faced By The Small Retail Businesses:


  • High cost of real estate.
  • Limited line of credit.
  • Limited stock on shelves.
  • Competition from other small retailers, who cut down on price.
  • Operating at thin margins.
  • Lack of awareness of Local Marketing techniques.
  • Lack of knowledge in using Social Media to attract traffic.
  • Big Brands with deep pockets.
  • Being averse to any spends on Marketing

How Can Small Retail Businesses Survive And Be Successful?


Small Retailers can be successful if they follow a few basic steps and engaging with a Retail Business Management Consultant in their city / town and planning their venture before they actually launch the store.

A good retail business management consultant can help an aspiring retailer in the following areas:

  • Simple Market study dipstick.
  • Identifying what is missing in that market.
  • Creating a Brand for the retailer.
  • Defining their USP and how they win customers.
  • Design, Layout of the store, branding, Attire and signages.
  • Identifying Local marketing opportunities.
  • Leveraging Digital & Social Media to promote their business.
  • Basics of bookkeeping, accounting, admin and documentation.
  • Creating a phase wise growth & diversification plan, once the business is established.
  • Training of owner and sales team

Are you a Small Business Retailer, facing challenges in your market? Send us a message with your challenges, and we will be happy to connect with you and give you a solution to scale your business.