Does Size Count

Well of course size does count – but it depends on what you do with it that counts even more! Large or small – it all depends on how you use it!

I was recently approached by an experienced dealer who has just bought a new site. The challenge he has is that he has about 50 square meters free space – to use as he sees fit.

The brand franchisor told him that it was unusable as it was too small. Now this is an experienced retailer – and his gut tells him this is nonsense. And I agree with him…

Ok so imagine he leaves the space empty. How does that help him draw petrol customers onto the site? The challenge today is supporting our total customer experience – not just filling the car. If you don’t have an offering, you cannot compete in the market place. I don’t care what your location is – and in this instance it is a great location. Highly visible, easy access in and out – and on a very busy intersection right opposite the railway station.

Location is not going to build volumes alone. Our market is becoming too sophisticated for that today. So why does the Franchisor say he can’t use it – is it too small? It is small for the franchisor offering, but that does not matter – we need to use the space in a more clever and sophisticated manner while still providing the basics for our customers. So how do you do that?

Well out go the walk- in fridges – or rear loading fridges- there is no space. Store room space will have to be in the roof and walls will have to be used very carefully – we do not have floor meters but we can create linear meters if we are clever.

After all we are looking for meters to sell profitable goods from. I firmly believe that if you do not have space you become ruthless about the lines you carry. And that is good news – no dead stock and stock rotation only improves! 

So what are the stock items you need to carry when space is limited? An ATM, air time, good bread products, good coffee, take out snacks – and then the invariable drinks to go with it all. Nothing more…. With no franchise fees it will be profitable but it has to be tasteful too…so be careful as to how you present your offering.

Fresh is the key word – and special – each coffee is a work of art, each bread is specially made for you – and so on.

With limited space you do not want customers hanging around – it will impact on your forecourt sales- so in and out for the best quick service in town!

In this particular example the site is located near the beach front – so those soft serve ice- creams are a must too…  winter and summer..

The answer – size does not count….but my bank balance does!

Take care out there

Jocelyn Daly

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