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How to set up a retail pop-up shop
Sep 30, 2024 | 5 minute read
Retail pop-up shops provide a flexible testing ground and novel experience for customers.
Pop-up shops have been a growing trend in retail over the past few years. Essentially, these shops are retail spaces that are open for a short period.
Retail pop-up spaces offer businesses a low-risk opportunity to test new products or recipes, and in some cases, new markets, audience and sectors. Plus, they can help you build buzz around your business and create an exciting, unique shopping experience for customers, whether your business is online-only or a brick-and-mortar store.
Here鈥檚 how to set up a retail pop-up shop: follow this checklist to get started
1. You'll need a retail space for your pop-up shop
The first step is finding the right location. The beauty of a small business pop-up shop is that there are so many possibilities regarding the layout, look and feel of your operation.
Some companies opt to rent out small storefronts for a limited time (usually in months versus days). Business owners might choose to do a pop-in, which involves partnering with another business for one day and hosting a retail event in their store. Examples of retail pop-up spaces include festivals, mall kiosks or mobile pop-ups, think trailers or even renovated shipping containers.
Pop-ups are an opportunity to break away from the traditional brick-and-mortar store and try a different approach. The excitement and entertainment of a retail pop-up space can draw in curious consumers and allows you to introduce your goods to a new audience.
When hunting for a location for your pop-up, consider the amount of foot traffic in the area as well as the surrounding businesses. Is foot traffic going to be greater than it is at your shop? Do the services or products around you complement your retail pop-up space?
2. Licenses and maintenance
Just like any other business, you鈥檒l need to have proper documentation to operate legally in your pop-up space. The requirements may vary by business and location, so be sure to check your local laws before starting operations. Retail pop-up shop paperwork may include:
- A lease or rental agreement
- Licenses or permits
- Insurance
You鈥檒l also have to account for equipment, maintenance costs and, in some cases, utilities like electricity, internet or phone bills. If you need options to help you fund your small business pop-up shop, connect with a banker to understand funding options.
3. Staff for your pop-up location
Once you have a space secured and an operation plan in place, you may need employees to operate your pop-up shop. When it comes to hiring employees, you should consider the following questions:
- How many employees would you need to run the shop?
- How many hours would you want each employee to work? (This will help you determine your budget before setting up.)
- Would you hire new employees or recruit them from an existing store?
- What kind of training would be required for your employees to work at the retail pop-up shop?
4. A mobile point of sale (POS) solution
Now that everything is set up, how will you accept payments at your shop? Since small business pop-up shops aren鈥檛 always located in traditional storefronts, a mobile POS solution can be a viable option because it allows you to accept payments quickly, easily and securely. Plus, having your point of sale on a device that uses cellular data means you won鈥檛 have to worry about being near a Wi-Fi connection while making a transaction.
Most mobile POS solutions allow you to manage inventory right from an app and accept all major credit cards and digital payments. Plus, the compact design and paperless technology mean convenience for you and your customers. If it鈥檚 your first time operating a business in person, a mobile POS offers a flexible and easy-to-learn method for payment processing.
5. Marketing and signage
Finally, you鈥檒l need a marketing plan to get the word out about your new temporary shop and invite people to participate.
Let your existing customers know you鈥檒l be doing a small business pop-up shop by sending an email newsletter or leveraging paid social media to tap into a new audience. Even in the digital age, going back to the basics can be effective: invest in signage that will attract attention, directing foot traffic and new customers to your retail pop-up shop.
When you鈥檙e looking to test new products or a brand-new business concept, understanding how to set up a retail pop-up shop is important for conducting a trial run in a low-risk environment. Empower yourself and your retail business by utilizing this innovative approach to connect with new customers, just follow the suggestions above and enjoy building buzz around your business.
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