Which retail business should I open in 2023?

What kind of groceries should you sell?

You’re not likely to be able to compete with the biggest supermarkets in the UK, but you can be an alternative. Food is essential for life and at the moment it’s expensive. A retail grocery store is one of the top 10 most successful businesses to start. Now’s the time to think about what groceries you could sell in 2023 to create the most profitable business in your area or online.

With the cost-of-living rising people are likely to cut down on luxuries and stick to the basics. Consider opening a store that offers fresh, healthy produce at a great price. What other essential items do people need? Or do you offer a selection of luxury items that people can no longer afford to buy at the supermarkets? To have your store up and running by this time next year you should be planning now.

How to be unique?

To run a successful grocery business you need to have some unique ‘starting a business ideas’. You could offer free delivery, promote local produce, sell homemade ready meals… there are plenty of options. The secret is to understand what the local community wants. For example, if you live in an area with an older generation or lots of busy mums, get out there and talk to them to find out what products would make their lives easier.    

To find out what people want, you may carry out a market study as part of your business plan, by talking to locals or organising focus groups. Think about starting a crowdfunding site to help you get suggestions. Another way to carry out your research is to post on social media and find out directly what people need. It’s also a great way to promote future store openings – and generate interest for your new business.

What kind of store?

If you love fashion and are considering opening a retail clothes store it’s important to decide what kind of clothes to merchandise. For example, will you specialise in children’s clothing, women’s shoes or unisex sportswear? Or is there a niche market in baby clothes or bags? Understanding your target audience, what they want and how much they are prepared to pay is key.

Explore eco-fashion

Many fashion retailers are exploring the opportunity to trade good quality second-hand clothing. A new and different concept from the charity shop, this idea offers consumers the chance to return clothing they have purchased and worn back to the store so someone else can buy it. The modern world is all about sustainable living, and this is a growth sector.

Cash in on the remote working market

With the increase in working from home since the COVID-19 pandemic, many people wish to improve their surroundings. For this reason, the opportunities for a decor retail store are immense. Within this sector is the niche market of home office furniture and supplies – the perfect alternative to working at the kitchen table.

Offer extra services

For your retail store concept, use the ‘store within a store’ strategy. This is clearly one of many good business ideas when you think about how many extra items a standard UK supermarket sells, apart from food. You can also do your banking, take out a mobile contract, apply for a credit card and change your energy supplier when you go to buy your weekly groceries. Following this idea, could you diversify and offer something like interior design or decorating service as part of your retail store?

Indulge your passion for beautiful things

If you have a hobby and design something like jewellery or accessories, you could use your experience and passion to open a retail store. Understanding the products you offer will come across when talking to customers and creating marketing materials. To test before expanding you could start an e-commerce outlet selling jewellery. This is much cheaper than having to find and rent premises for a brick and mortar store, and pay the associated costs.

Making a profit from a jewellery store

Deciding whether you are going to sell fine jewellery or costume jewellery will define your share of the market. Both are profitable and offer plenty of seasonal sales opportunities such as Christmas, Mother’s Day and Valentine’s Day. Using your jewellery-making skills and selling your work will be more profitable than buying from a supplier. Plus, it will give a personal touch to each item, which is a valuable USP (unique selling point).  

Profit from the health revolution

Today’s lifestyle is all about healthy living. Whether consumers want to eat better or do more exercise, this is a trend that’s growing. Think of the many people who count their steps, go to the gym, run regularly, or don’t eat processed food. There’s always something in the news about maintaining our health for a longer life. This opens up an opportunity for retailers to sell health-improving products. 

What are the leading health products?

How many people do you see carrying a water bottle around with them these days? It’s not just people exercising, everyone seems to be holding one. They have almost become a fashion accessory as we feed our need to drink more water and reduce plastic packaging. 

Other popular health products include:

• sports drinks and foods
• protein and health supplements
• sports clothing

These are only a handful of health products that businesses are selling successfully. While they may be common products, there is room for more retailers as health and fitness become even more popular. These are particularly good items to upsell, when, for example, selling sports clothing or shoes.

A growth area with profit potential

We lead busy lives : this means our health and wellness is a priority. The wellness market is currently valued at $1.5 trillion (McKinsey) and is predicted to grow. This sector includes the yoga market, which is booming as people recognise the importance of relaxation combined with well-being. Another growing area is electric bikes, as more people seek to reduce their environmental consumption. Sports, health, fitness – these are all successful areas to consider when planning a retail store for 2023.

Have you considered selling beauty products?

One of the best online business ideas for a retail store is selling niche beauty products. There are so many mainstream beauty products out there, so entering a niche market like men’s skincare or natural products gives you a unique selling point. A smaller range of products is easier to market online and can be more profitable. Besides, you won’t have to store large boxes of stock : as long as you have a good website and promote on social media, you have potential sales outlets.

What is a concept store?

A concept store offers a full lifestyle experience. It sells a mix of products and services relating to a theme, for example, books could sit alongside clothing, or decor accessories next to fragrances. Most concept stores are bricks and mortar : they attract customers through their doors and allow them to touch and feel the goods, and participate in the brand journey. In addition, an e-commerce platform gives you another opportunity to market to a wider audience.

Choosing a theme

The theme for a concept store needs to be strong, with unique ideas. It’s not just about selecting a theme you think will work, the idea is to create a place customers visit for a total shopping experience. The decor should reflect the theme so the whole concept flows.

Ideas for a concept-themed store include:

• international or culture-specific (Far East, Europe, Best of British…)
• sustainable goods
• fashion in a café
• vintage clothing and homeware (think 1970s interiors) 

Whilst a physical concept store is easier to create, it can be more expensive to set up. It is possible to design an online concept store, however, the graphics and website need to be of the highest quality to ensure customer interaction. The use of digital technology can assist, with room scenes and products presented in virtual reality.

We’ve given you only a few of the best business ideas for setting up a successful retail company. You don´t need to sign up for a course on setting up your own retail company or be an expert in running a business. Our series of articles on how to create a successful retail store will help you with all the advice you need, whether you’re looking for small business ideas from home or looking for the best business to start on physical premises.