How Small Retailers Compete With Big-Box Chain Stores
Phoenix, DollarDays International conducted a survey that found that unique items, personalized customer service and competitive pricing are what small retailers believe to be their best competition strategies against big-box chain stores such as Wal-Mart, Target, Kmart and Kohl’s.
In the survey, 99% of the small retailers were located near big-box stores. Of those, 72% opened after the chains did, while 26% were operating there before the chains appeared. Fifty-two percent of the small stores already opened said they used new strategies to compete with the incoming chains, including cutting prices, increasing inventory and increasing marketing and advertising. The survey found that 42% of the small retailers kept their market share and 35% said their business increased. Fewer than 1% reported a decrease in business.