Beating competition supermarket business

I must congratulate you for having survived the three years. Starting a business is no easy task, let alone keeping it afloat for three years. Opening of two more supermarkets is an indication that there is demand for supermarket services in your area.

Dr Smart,
Last year was my third year in supermarket business. When I started, I was like alone where I operate, but two more outlets have since opened. What advice do you give me to beat competition?
Simon Oyet, Kampala

Dear Simon,

I must congratulate you for having survived the three years. Starting a business is no easy task, let alone keeping it afloat for three years. Opening of two more supermarkets is an indication that there is demand for supermarket services in your area.

This should make you smile. What you must do is to organize or reorganize yourself to harvest cash. And what does it take to organize? Number one; treat your competition as your business school. Yes. From the competitor ahead of you, study how they do it, and do it as they do or better still, whichever your current resources permit. From the competitor behind you, find out why they are struggling and avoid whatever they don’t do right.

You could also enroll for a non-formal entrepreneurship course offered by Enterprise Uganda, Uganda Investment Authority Entrepreneurship Training Program, or Uganda Women Entrepreneurs Association. Number two; be different. Redesign your supermarket so that it’s more convenient to shop in, shelve arrangement is professionally done and your attendants are friendly, courteous, and knowledgeable. If they are not trained, hire a coach to train them.

It will be money well spent. Have a point of difference POD. Create one aspect of your supermarket that distinguishes it from others – something more attractive and that delights your customers that your competitors don’t do or have. It could be friendly service, convenient shopping, etc. Number three; Connect with your customers. Ask your customers what they like and don’t like about your supermarket. Ask them what they like and is missing. Ask what they think could be done better; labeling, packing, payment method, or shelve arrangement. Customers are your employers. Do what they like to please them and avoid what they don’t.

Happy customers help grow your zeros in the bank. Do whatever it takes to care of your customers’ needs, preferences and concerns. Number four; keep your suppliers close. Build a relationship with your suppliers so that you attract suppliers’ credit. It’s said big money is not made with money but with trust. Cultivate trust with your suppliers. Number five; be a learning person/ business. Keep renewing your knowledge base all the time. Read industry books. Read newspaper business pages like this one. Read business magazines. When you’re more informed, and knowledgeable – these are today’s most effective tools for winning.

Smartmoney@monitor.co.ug