The retail industry has always been subject to changing trends and designs. As advances in communications and global connectivity continue to grow, retailers have had to embrace a changing dynamic that includes shifting consumer preferences based on the latest trends, global economic uncertainty and vast online options. All retailers must balance factors such as brand image, price, quality, location, marketing savvy, expense tracking and nimble inventory management to maintain typically thin profit margins.
Successful store owners employ lean retailing practices, in which they replenish and refresh inventory continually across many selling seasons. But this business model requires careful product tracking and “just-in-time” inventory systems so you can keep hot selling merchandise in stock to meet the needs of an increasingly demanding and savvy customer base.
A brick and mortar store has a relatively high overhead and cost structure. Combined with the unpredictable effects that economic fluctuations have on consumer spending, it can be a challenge to keep expenses as low as possible in an effort to manage razor thin profit margins.
Product brand consciousness extends to the brand image of your store. Your success depends on repeat business from loyal customers and a big part of building that kind of clientele is a professional marketing and advertising program that includes strategic product promotion efforts.
Your substantial investment in retail store equipment and product inventory, along with the physical structure of your store and the health and welfare of your employees requires comprehensive insurance protection.