Thrift shop business – Have you ever heard of thrift shop? Currently, thrift shop is popular in society. It is not surprising that thrift shop business is now increasingly popular and can produce promising profits.
The more the era and sustainability lifestyle develop, many people are hunting for used goods or second hand. Interested? Check out the explanation below regarding how to start a thrift shop business, business capital, and how to find the right supplier.
How to Start a Thrift Shop Business
Have you known what a thrift shop business is? A thrift shop is a shop that sells used goods such as clothes, books, and household appliances. Although used, all items sold are guaranteed to be usable and of good quality.
Thrift shop can also be interpreted as a savings store that sells used goods from abroad or domestically. The items sold can be rare items, luxury brand items, to new items that have never been used.
Interested in trying? Check out some ways to start a thrift shop business below:
1. Determine the Target and Products to be Sold
The first way to start a thrift shop business is to determine the target and products to be sold. As mentioned above, the items sold can be clothes, rare items, books, watches, household appliances, electronic devices, and many more.
Generally, thrift shops sell all kinds of everyday items . Determine your target customers. Are they young people? Or office workers? Because this target customer will decide what items you will sell.
Generally, the thrift shop business that is spread is clothing. However, it does not rule out the possibility for other items.
2. Choose the Right Supplier
The second way to start a thrift shop business is to choose the right supplier . Usually there are suppliers who provide reseller packages for those of you who want to try this business.
They will prepare one sack or several large sacks containing the goods to be sold. Things to consider in opening this thrift shop business are, different suppliers have different prices, quantities of goods, and facilities.
3. Create Your Own Brand Name
One way to start a thrift shop business is to create your own brand name . Even though you get goods from suppliers , you can also create your own brand .
Make the concept and brand name as attractive as possible to attract customers. Things to consider in opening a thrift shop business are to pay attention to the quality, suitability, and cleanliness of the goods sold.
Don’t sell used goods that are not suitable for sale and use by the next user. Maintaining cleanliness of goods is one of the keys to the success of this thrift shop business .
4. Product Photos
Product photos are also one way to start a thrift shop business that you can do. Especially if you want to sell it online . Product photos are a must that should not be forgotten.
To save budget , you can take product photos at home. Things to consider in opening a thrift shop business are product photos with good quality. This means you have to pay attention to lighting, placement of items, and how to take pictures.
5. Determine the selling price
The thing to consider in opening a thrift shop business is determining the selling price that provides a return on investment within the desired time period. Therefore, you must know how to determine the selling price of the product in order to make a profit.
But keep in mind that, how to start a thrift shop business this one must be balanced with the quality of the goods sold.
6. Create Promotions and Marketing Strategies
Another way to start a thrift shop business is to create effective promotions and marketing strategies. After all the steps above have been done, you just have to decide where to sell the goods.
How to market thrift shop products effectively can be done online and offline. Is it through online realms such as ecommerce , websites, and/or social media? Or opening an offline store in a predetermined location?
Whatever the sales media, don’t forget to create an effective marketing strategy. Adjust the marketing strategy carried out with the target customers of each sales media, okay!
7. Create Interesting Content
Creating sales content does not have to be continuous promotion because the audience will definitely get bored with sales-oriented content. You can provide a different perspective by creating content during unboxing of sales items or the process of packaging goods.
Interactive content will make the audience interested in finding out and have the desire to buy. Make sure to be consistent with the creation of business content because it will certainly have a significant effect on the thrift shop business.
8. Provide convenience for buyers
When opening a thrift shop, make sure that the items that have been sorted are those that are worthy of being sold. Buyers will certainly prioritize this. If our sorted items provide convenience without the need for effort to choose worthy items, of course buyers will be satisfied and want to buy again.
9. Make a Splashy Opening
Many of the audience is not uninterested in the goods being sold, but the audience usually does not know about your business. By making a splashy opening such as marketing that utilizes discounts or special opening sales, it certainly makes the audience interested in it.
10. Develop Creativity
If you have an interest in modifying clothes, of course this is a great opportunity. You can take advantage of the ability to modify existing clothes, of course it can increase the value of an item and make the item can be valued higher.
11. Pack it cute
Packaging can now also be symbolized as a form of appreciation for buyers. By packing clothes that have been sold with cute packaging will make a special impression for buyers, so this is what you can do.
12, Send Goods Quickly
After the buyer has made a transaction, immediately pack and send the item quickly. This applies to online purchases, because buyers will be happy if the items they buy arrive quickly.
Thrift Shop Business Capital
Starting a thrift shop business in India requires a moderate initial investment, which depends on factors such as location, shop size, inventory source, and marketing. The major cost component is shop rent, which can range from ₹50,000 to ₹2,00,000, depending on the city and area. Setting up the shop with interior design, shelves, and display units may cost between ₹30,000 to ₹1,50,000. The initial inventory, including second-hand clothes, vintage items, and pre-owned accessories, can require ₹50,000 to ₹2,00,000, depending on the stock variety and quality.
Apart from these, business registration and licenses, including GST registration and trade licenses, may cost around ₹10,000 to ₹25,000. A thrift shop also needs branding and marketing, including social media promotions and local advertising, which may require ₹10,000 to ₹50,000. Basic utilities such as electricity, water, and maintenance will add up to ₹5,000 to ₹15,000 per month.
Additionally, staff salaries, if hiring employees, may range from ₹10,000 to ₹25,000 per month per staff member. Overall, the estimated capital required to start a thrift shop in India varies from ₹1.5 lakh to ₹5 lakh, depending on how small or large the business setup is. Entrepreneurs looking for a low-cost option can start online through Instagram or thrift websites, reducing the need for shop rent and setup costs.
How to Find the Right Supplier
One of the things to consider in opening a thrift shop business is finding a quality and trustworthy supplier . There are many ways to get the right supplier.
Here are some ways to find the right supplier for a thrift shop business :
1. Visit a Business Exhibition
The first way to find the right supplier for a thrift shop business is to visit ongoing business exhibitions. This can provide several benefits for you.
You can see and choose directly the quality of the goods to be resold. In addition, you know who the owner of this supplier is to minimize losses . In this way you can also invite cooperation so that a sense of trust will arise.
You may even get a lower price than the general selling price. Surely a golden opportunity to get a first-hand supplier , right?
2. Website or Online Store
The second way to find suppliers in a thrift shop business is through a website or online store. If you don’t have time to visit a business exhibition, you can search for it on the internet. Just enter the desired keyword, and you will get many choices.
In addition, you can also search for suppliers in online stores in various e-commerce options available. Because this is where the first-hand distributors gather that you can make suppliers .
3. Distributor Store
In addition to the two methods above, you can also go directly to the distributor’s store. The difference from coming to a business exhibition is that you can see directly the process of selecting goods to be resold. So you can also ensure the quality of the goods to be purchased.
There are several things that must be considered when opening a thrift shop business , namely:
- Clear supplier address and contact details .
- Get good feedback if you choose to search online .
- Availability of goods that are always ready.
- The quality and condition of the goods to be purchased.
- Speed in sending goods.
- Procedures for buying and selling from suppliers .
Disadvantages and Advantages of Opening a Thrift Shop Business
Even though it can generate a lot of profit, there are several advantages and disadvantages of opening a thrift shop that you need to consider:
Disadvantages of Opening a Thrift Shop Business
1. Get a Quality Supplier
The first thing that is lacking in opening a thrift shop business is getting a quality supplier . If you choose the wrong supplier , you might end up getting goods that are not worth reselling.
The thing you need to pay attention to in opening a thrift shop business is maintaining quality suppliers . If you have found the best, keep them. Establish cooperation and build communication as best as possible to maintain trust.
2. Consumes Energy and Time
The second disadvantage of opening a thrift shop is that it takes a lot of energy and time. Because you have to choose and sort out which items are still worth selling and which are not. This certainly takes a lot of energy and time.
3. Tight Competition
The more popular, the more entrepreneurs see this business opportunity. Tight competition is one of the drawbacks in opening a thrift shop business that you need to pay attention to.
Therefore, you need a way to market thrift shop products effectively in order to make a profit.
4. Inappropriate quality of goods
Another disadvantage of opening a thrift shop is the quality of the goods that are not appropriate. If you do not see and choose the quality of the goods yourself, then there is a possibility that the quality of the goods you receive from the supplier will not be as expected.
Some are dirty, stained, torn, non-functional, and have other damage that can reduce the selling price or even make it unsaleable altogether.
Advantages of Opening a Thrift Shop Business
1. Small Capital, Big Profit
As mentioned earlier, the capital for a thrift shop for clothing is not large. This is one of the advantages of opening a thrift shop that you need to consider.
In addition, the resulting profit is not small. If you use the way to market thrift shop products effectively, you can get a turnover of up to millions of rupiah per month.
2. Easy to Resell
Nowadays, sustainability lifestyle or environmentally friendly lifestyle is becoming a popular trend among the people. One of them is by using used goods that are still suitable.
Generally, thrift shop items can be easily resold. Of course, this is one of the advantages of opening a thrift shop business that you should consider.
3. Easy to determine the products to sell
As mentioned earlier, generally used goods sold are clothes, bags, electronics, household appliances, and other everyday items. This certainly makes it easier for you to determine which products to sell.
One of the advantages of opening a thrift shop business must be considered. However, try to focus on one item first. The goal is as an identity and characteristic of your business.
4. Easy to determine target customers
Another advantage of opening a thrift shop is that it is easy to determine the target customers. This is because the items sold are generally everyday necessities that are sought after by many people. Who doesn’t want to get good items at friendly pricess