Thrift Stores A Simplistic Approach Presented by John Walters - PowerPoint PPT Presentation

Opening New Thrift Stores A Simplistic Approach Presented by John Walters Director of Stores Society of St. Vincent de Paul Archdiocesan Council of St. Louis

Table of f Contents • Contents of Presentation • SVdP St. Louis New Store Opening Manual • Criteria for Site Selection • Typical Store Layouts • Capital Investments • Fixture • Equipment • Signage • Store Staffing / Hiring Phases • Quality of Store Managers/Assistants; Experience • Stocking Process / Set-Up Process • Grand Opening Events • Summary

New Store Opening Manual • See Handout SVdP NEW STORE OPENING MANUAL

CRITERIA FOR SELECTING SIT ITES • Areas of Need • Proximity to Catholic Parishes: Partnership Building • High Customer Visibility • Competition Locations • Affordable & Negotiable Lease / Purchase Terms • Appealing Store Front

Specification Needs of f Building Minimum Specifications Selling Floor sq. ft. 20,000 to 23,000 sq. ft.; Warehouse sq. ft. 7,000 sq. ft. High customer visibility Office space/ safe/ 2-desks Close proximity to a competitor Painting approved colors Proximity to Catholic Parishes Public bathrooms/ Woman’s -3 stalls- 2sinks/ Men’s – 2 urinals-2stalls- 2 sinks Tile floor surfaces Dock for delivery trucks Approved lighting Fire protection / sprinkler system / security system Adequate heating / air conditioning Phone system / wall phone Store front glass / full front view Intercom / central music Associate Break Room-Refrigerator/ Drive Thru – donation drop off covered Microwave / Tables and Chairs/Couch Separate associate bathroom Mattress Storage container Fitting rooms – 3 to 5

Thrift Store Layouts: Considerations • Sufficient Square Feet For Product “Drivers” • Clothing: ACC, Shoes, Handbags • Housewares • Furniture, Lamps, Artwork • Mattresses, Headboards, Linens • Special Buys • Newness • Excitement • Spice It up • End Cap Presentation • Department Signage • Shouting the Mission: “Key Weapon”

Sales Floor Layout: Dept. . Square Footage • • Furniture (Sofas, Chairs, Desks, Clothing — 3,000 sq. ft. • Entertainment Centers) — 3,000 sq. ft. Clothing Wall – 72 sq. ft. • • Beds/Headboards/Bedroom Furniture Housewares — 2,300 sq. ft. — 400 sq. ft. Small appliances • Large Appliances — 300 sq. ft. Electronics • Kitchen Sets — 810 sq. ft. Luggage/Mirrors • Promotional Display Space — 600 sq. ft. Pots & Pans • Restrooms — 200 sq. ft. Housewares • Fitting Rooms — 110 sq. ft. Home Décor • Office — 60 sq. ft. Glassware • Exercise Equipment — 200 sq. ft. Plates & Bowls • • Walkways & other — 6,326 sq. ft. Lamps/Sports/Toys — 128 sq. ft. • Books — 200 sq. ft. • Artwork — 120 sq. ft. • Shoes — 700 sq. ft. • Purses — 416 sq. ft. • Cash Wrap & Boutique — 415 sq. ft. • Linen — 278 sq. ft. • Wall Displays — 288 sq. ft. REQUIRED MW TOTAL SQ FT — 20,000 SALES FLOOR

Capital In Investments • Fixtures • Sales Floor: $35.5 • Equipment • Warehouse: $13.5 • Pallet Jacks • Furniture Dollies • Signage • Outdoor Building: $16.0 • Total Store Capitol Investment: $149.5

Store Opening Capital and Expense Purchasing/Equipment/Setup/Stockroom/ $51,440.59 Housekeeping Capital - $45,448.57 / Expense / Set-up/Stockroom $5,992.02 Outside Signs/Fixtures – Capital $16,159.81 Fixture Sales Floor – Capital $35,465.20 Fixture Warehouse $13,082.70 Capital $12,482.70 / Expense - $600.00 Recycling – Capital – Baler(used) $10,000.00 Four-week expense to stock building $22,114.80 Build out cost – estimate: $30,000.00 Capital Total: $149,556.28 Expense Total: $ 28,706.82 Grand Total: $178,263.10

Store Staffing / Hiring Process • Typical Store Staff • Hiring Process

Staffing Requirements • Copy to come from Randall STORE MANAGER — FULL TIME 40 HOURS ASSISTANT MANAGER — FULL TIME 40 HOURS 1 x 3 RD KEY HOLDER — FULL TIME 35 HOURS 1 x 4 TH KEY HOLDER — PART TIME 29 HOURS 4 x CASHIERS — PART TIME 100 HOURS 5 x RECEIVER/STOCKER/CASHIERS — PART TIME 125 HOURS 5 x STOCKER/ RECEIVER — PART TIME 125 HOURS Total Hours: 494 HRS/WK Weekly Wage Total: $5,528.70 Fully Loaded Total: $6,617.00

Hiring Process • Sign Store Lease • Marketing Plans for New Markets • Employment Ads – Two to Four Weeks/ Hiring Fairs at Location • Hiring Staff Completed By – Four Weeks • New Store Associates Work in Stores – Two Weeks • New Store Stocking Process – Four Weeks • Opening New Store

Stocking Process: Set Up • Typically: 4-Week Process • Week 5: Grand Opening Events

Stocking Process: Pre Opening • Building Inspection • Fire Inspection • Occupancy Permit (completed 30 days before access to building) • Apply for tax exemption waver (for personal property tax)

Stocking Process: Week 1 • Paint store • Electrical work • Assemble cash wrap • Internet/P.O.S. system • Install office computer • Phones • Security system • Install janitorial fixtures and supplies • Build all sales floor & warehouse fixtures • Outside signs & decals

Stocking Process: Week 2 • Process clothing by gender / fill floor • Process & price housewares / fill floor • Process linen / fill floor • Process shoes & purses / fill floor • Process books / fill floor

Stocking Process: Week 3 • Stock sofas & chairs • Stock all wood furniture • Stock kitchen sets • Stock artwork • Stock lamps, sports & toys

Stocking Process: Week 4 • Put up all store price signs • Dress mannequins and bust forms • Clean glass (windows and fixtures) • Clean floors and bathrooms • Soft opening by Monday (half day) • Open Tuesday through Thursday with giveaways

Stocking Process: Week 5 • Grand opening Friday morning • Ribbon cutting with local dignitary • Saturday – customer appreciation with hot dogs/product specials • Ensure backup stock of clothes and furniture for next day

Grand Opening Events • Plan & Schedule Ribbon-Cutting Ceremony/ Store Blessing • Invite Local Parishes, Pastors, Dignitaries and Businesses • Publicize Time: Typically Mid-Week, 11 a.m. • Spiritual Advisor to Council Performs Store Blessing • Schedule Lunch After Ceremony: In Store, Invite All • In-Store Events / Specials • Customer Appreciation Day: Saturday. Free Hotdogs, Drinks • New Store is Born

Summary ry • Detailed, Planned, Structured Approach • Time Frame • 6-10 Months: Start/Open • Finding Location • Lease / Purchase Negotiation • Prepare Building & Construction • Building Set-Up • Soft Opening • Grand Opening • A New Mission For God