Customers of varying lifestyles and age groups could be successful
The aim of this investigation is to see whether a competitively priced Sports Shop in Kingswood aimed at a wide range of customers of varying lifestyles and age groups could be successful. To increase the chance of success the right image will need to be established, along with the right products and proper promotion. This business will be set up as a sole trader to keep start up costs to a minimum. A location has been selected in Kingswood High Street near many already successful businesses such as WH Smiths Woolworth’s and New Look. The property is approximately 100 square meters in size and will cost 4,000 pa to rent.
There is quite a large population in Kingswood, roughly 100,000, so there are enough potential customers to make business feasible. Bus routes and car parks provide easy access to people living in and around the area. There is very little or no competition in this area so it may have the chance to become successful although there may be a reason for the lack of competition. So various methods of primary and secondary market research will need to be carried out in order to evaluate whether or not there is a real business opportunity.
The main aims of the research will be to see if there is likely to be sufficient custom. It will also be used to see the age and lifestyles of those likely to use the service. This research will include methods such as questionnaires, exhibitions and conferences to see what competitors are offering and how they promote their products etc. Secondary research could be done in libraries or on the Internet etc to investigate future trends or other products or services.
The pricing will be similar if not the same as other sports shops, as there is no local competition to beat on price. A small marketing campaign may be used to promote the business to the local people. This could include advertising in local papers or radio etc. The lack of competition in the local area and large numbers of potential customers may provide a good business opportunity. But the main competition comes from large, well-established sports shop in Broadmead and the Mall at Cribbs Causeway. Broadmead, the centre of Bristol it approximately 6 miles from Kingswood and is home to many large shops selling sporting goods.
Also read about success factors of Woolworths
These are, JJB, JD Sports, Gilesport, FirstSport, Sport and Soccer, Hargreaves, and Foot Locker. 8 miles from Kingswood is the Mall at Cribbs Causeway. There are also a number of sport shops here. These include JJB, Gilesport, and JD Sport. Although they are only a short distance away it can take a long time to get to either Broadmead or the Mall due to the busy roads and amount of traffic. There are also a number of small retail parks with many of the same shops, such as Brislington, St Phillips and Filton. But with the introduction of a new one way system and a cost for the car parks around Kingswood people may be prepared to travel further or for longer to get free parking and a wider variety of shops.
There are already around 150,000 people living in or around Kingswood. This creates large numbers of potential customers. Easy access, lots of bus routes and lots of parking could tempt people to shop locally or even come from further away.