Well here we are. The economy is spiraling downward. No-one seems to know when we will hit bottom. Customers aren’t spending money. Things are looking bleak indeed. That doesn’t necessarily need to be the case for your business. When opening a dollar store you had a marketing plan. Now is the time to dust off that plan, and move into overdrive. Now is the time to do everything possible to cut costs while increasing traffic and sales for your store.

Start by identifying your slowest selling merchandise. There are two things to do with that merchandise. The first is to identify why you thought it would sell, yet your customers decided not to buy. This is a very important lesson, as in today’s marketplace you simply cannot afford to make the same mistake again. The second thing to do with that merchandise is to turn it into cash. There are many creative ways to accomplish that feat. The bottom line is carrying old, outdate merchandise is not one of the options for those who seek success when opening a dollar store of their own.

The easiest method for liquidating slow selling merchandise is to place it on sale in your store. There are many options available. However three of the best are to first just reduce the price. Be sure to place appropriate close-out signage and then watch the sales occur. The second method is to make the close-out merchandise even more visible to your shoppers. Lower the price and move it to the front of the store. Even better if your lease will allow, is to place the merchandise into rolling display racks and place those bins just outside the front of your store during the hours of operation. A third easy option is to place 2 or 3 different slow selling items together in a brown paper bag and seal the bag. Sell the entire bag for $1.00 as a special in your store. You will need to set some rules such as open bags cannot be sold, but this strategy will create interest and excitement for your shoppers – and you will be able to liquidate slow selling merchandise.

If you are still overstocked with the merchandise, it’s time to examine other options. Establishing a circle of existing business owners is important when you are first opening a dollar store. By getting to know these other owners well, you can work together. Speak with other store owners. Possibly they would be willing to purchase a larger quantity of your merchandise at a discounted price. In that one transaction you may be able to totally liquidate the merchandise without losing money.

If selling outright isn’t possible examine the options for trading part of your slow selling merchandise for slow selling or better yet overstock merchandise from these other store owners. Be sure you know product values and demand in your store before finalizing a trade. However, in some cases you can end up with a product that sells well for you in exchange for a product that simply would not sell.

Closing out merchandise may mean you don’t make a profit. Even worse, you may actually lose money on those liquidation items. However, remember that investing your money in rapidly selling merchandise with a profit margin built in is a much better use of your capital. When you are opening a dollar store never lose sight of the sales that are occurring. Don’t allow poor selling merchandise to sit. Develop creative methods to liquidate and turn those products into cash. Then invest that cash in items that sell at a profit.

To your dollar store business success!

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