Do you love home improvement projects? Or have you always dreamt of opening a franchise that can thrive no matter what the economic climate? A hardware franchise might be the best option for you.
Hardware franchises, such as Ace Hardware, are strong franchises for many reasons.
- They don’t rely on fads to attract buyers;
- They offer a flexible mix of products so your customers decide what type of inventory you stock and sell;
- They’re proven business models so you’re at an advantage from the minute you sign up.
If you’re ready to dive into the hardware industry, here are a few things to consider on how to make your first hardware franchise a success.
Tap Into Your Manufacturers
One of the perks to starting a franchise are all of the resources available to you. This doesn’t just come from the franchise itself. The manufacturers of the hardware you’re selling also provide a wealth of resources, such as design, prototyping, 3D models, and more.
Don’t shy away from these resources. Tap into them as ways to help move products off your shelves. This is a great way to generate cash flow faster.
Talk to Other Franchise Owners
This is a similar concept to tapping into the resources of your manufacturers. Other franchise owners in your geographic area will have a strong idea of what works based on experience.
Talk to them to learn more about what they’ve had success with and where they’ve run into challenges. Although your franchisor will know what works nationwide (or even internationally), they might not have a good idea of what’s working in your specific location. Pool your intelligence with other local franchise owners so you can have a stronger impact in your area.
Start Small
Believe it or not, it’s not only possible to open your doors before you have your entire store set up, it’s encouraged.
Every day you wait to open your new hardware franchise, you’re leaving money on the table. If you have the bulk of your inventory out and your store set up to accept purchases, it’s time to open.
Another perk to opening early is you’ll get a better idea of what your customers want. You can see what people come in asking for, what people buy, and which items are highest in-demand. This helps you when you are ready to bring in more inventory to your store. You can stock up on what’s going to sell, helping you turn a profit faster and increasing your chances at success.
Advertise Before You Open
Are you keeping your debut under wraps until you get closer to your grand opening? You might want to speak up earlier.
In the hardware business, you will likely have two sets of customers. The first are homeowners who will use you to tackle home projects. The second are contractors. These are the people who will spend more money with you to stock up for all of their projects. The sooner you can get their business (or at least get their commitment to use your business) the better. Having these contracts and connections will be a tremendous asset in scaling your hardware franchise quickly.
Start Strong for Success
Once you’ve decided on a hardware franchise, it’s time to get to work. The sooner you get to work, the sooner you can build relationships with the franchisor, other franchisees in your area, and your customer base. Start off with a small inventory and plan to grow as you get to know what your customers demand.
Susan Payton is the President of Egg Marketing & Communications, a marketing firm specializing in content writing and social media management. She’s written three business books, including How to Get More Customers With Press Releases, and frequently blogs about small business and marketing on sites including Forbes, AllBusiness, The Marketing Eggspert Blog, and Tweak Your Biz. Follow her on Twitter @eggmarketing.