Every business starts with a comprehensive set of goals that need to be achieved after a certain period. One major part of a business’s objectives will always be to obtain the highest profit while minimizing waste. This is true for almost any business of any size and nature.
Businesses often find creative ways to accomplish their objectives. They make various adjustments to certain parts of their business to achieve this particular goal. One of the aspects that businesses often pay close attention to is their distribution system.
Numerous companies have several distribution methods to get their products to their consumers. Many businesses open physical stores in key areas, and some even use the internet to offer their products to their clients. Today, with the help of technology, businesses now have a wide array of options for distributing their products.
Businesses still opt for physical retail selling despite the vast selection of distribution methods. Businesses would find an excellent location to open a shop and distribute their products from this location. Malls and shopping centers are often the prime location for many of these shops. Some cities also have shopping districts that attract many entrepreneurs and shoppers alike.
The Mall Kiosk: Tried and Tested
Businesses often diversify their in-person selling through kiosks. These are small booths placed in certain areas of a mall or shopping center wherein a business can conduct its distribution. Many businesses employ this type of distribution method.
Some enterprises are even known to operate exclusively from kiosks. Because of their popularity and prevalence, it is only fair to wonder how beneficial this method is. With that, let’s break down several implications of having this type of distribution channel.
Are Mall Kiosks a Good Idea for Your Business?
One striking difference between a mall kiosk and a full store is the cost. A kiosk may be cheaper to operate than a full physical store. This can be ideal for young companies that want to save money on rent costs.
Even though these kiosks are significantly smaller than a regular store, businesses still spend money on their design. Some businesses choose to have a minimal design on their kiosk. On the other hand, others create whole sheds for their small store. Some even decide to use barnwood shiplap panels along the walls of the tiny shed they have built.
Operational and design costs can still be a hefty sum. But since they are smaller, the total expenses will not be as large compared to running a full store. This is a perfect gateway distribution method for new businesses that may still be financially unstable.
The biggest advantage that a kiosk can have is its mobility. These kiosks are standalone structures that can be virtually placed anywhere. If the mall permits it, businesses can choose where they can place these kiosks.
This allows them to place their kiosk in the best area where people can see them. Businesses can have a better chance of convincing people to buy their products if the foot traffic is higher. This can be an opportunity for business to raise their revenue.
Casting a Wider Net
Since they can be placed anywhere, businesses that use kiosks essentially cast a wider net for distribution. More people can buy specific products when they have more distribution channels. This is why these kiosks need to be strategically placed to fetch the most profit.
Also, having these kiosks casts a broader net for exposure. People may not buy a product from these businesses. But they will gain an idea about the business just by being exposed to it. Sometimes, exposure to a brand can be the key to starting or finishing a buyer’s journey.
Should Your Business Use Kiosks?
Kiosks may yield several good things for a business. But deciding to use kiosks should still be strategic. Their usage should still be in line with a business’s objectives and capabilities.
For instance, established brands do not feel the need to set up kiosks because people willingly come to them. Smaller businesses, however, need all the exposure they can get. Also, small businesses may not have enough spending ability to afford a full store. So a kiosk might be the best strategy for the moment.
Some businesses may also have issues with security. Kiosks are not the most secure place to store items. Businesses that want to keep their merchandise safe may find this method unappealing.
All these variables need to be taken into account when deciding to use kiosks. Still, kiosks can be a great tool to help businesses achieve theirs. But they can only benefit from these kiosks if they plan well for them.