Showing posts with label Starbucks. Show all posts
Showing posts with label Starbucks. Show all posts

Monday, 23 November 2015

A purely retail task on The Apprentice, a Welsh village taking a stand and a message to the multinationals

At last there's been a purely retail task on the current series of The Apprentice. It will strike a chord with my readers that are independent retailers themselves.


The task was to operate as a discount retailer by selling and reinvesting the proceeds in the items that have actually sold well. Which is independent retail in a nutshell.



There's the obvious and repeated issue with The Apprentice of many pieces of expenditure being totally ignored when it comes to calculations of profit and loss at the end of the task. I looked at it in a previous blog here - http://mytimeinretail.blogspot.com/2015/10/see-lessons-to-be-learnt-from-this.html

This week the ignored items included-
  • Rent
  • Staffing costs
  • Tax
  • Licence on the stall

I know it's the land of television and normal rules don't apply, but it's just not a level playing field.

Which brings me to my second story this week. It's about a village in Wales that is trying to level the playing field when it comes to competing with Starbucks and Amazon.

The tax structures of local business and multinational business are so different that it allows the biggest companies to move their money across divisions and borders to minimise their tax burden.

I personally think it's time for the government of the day (whichever party they may be) to stand up. The message needs to be-

If you want to do business in this country then you'll have to accept lower profits.

The message is stark but necessary. Reduced profits for these companies mean several things-
  • Higher wages for the lower paid in society
  • Smaller tax credit burden on the government and tax payers
  • Large multinational corporations paying their fair share in tax

I'm sure that everyone would agree that these are positive things that we can all get behind.


Thursday, 8 October 2015

See how tapping into café culture can reap rewards

There's no doubt that there's a café culture in the UK today. I'm at a large shopping centre today before 10am when the shops open and every café is almost full of people drinking and chatting before embarking on the days shopping. Costa, Starbucks and Nero are the main three chain coffee shops and there are a staggering 3 Starbucks, 2 Caffé Nero and 6 Costa Coffee (yes, six as the vidiprinter used to confirm on the football scores.) Andcthats before you start to add up the Greggs.

And, as usual, this gets me thinking about retail and how all of these things knit together. For instance, there's two stand-alone Costa and the others are situated within other shops-


  • Debenhams
  • Namco
  • Odeon
  • WH Smith

And this is where I think that the angle is - using a coffee shop offering to get customers into your store. Of course the big retail players can look at strategic partnerships with the likes of Costa to make this happen but what about independent retailers. Most of my readers are independent retailers and I think that for some businesses, a coffee shop offering could really help their business. By having a quality, well-respected destination for the coffee drinkers you can have a ready-made custom for your store. I visited Lincoln recently and the coffee shop that really caught my eye was upstairs in an art and craft shop. In a quiet early morning when any large numbers of customer traffic was up at the castle and cathedral, this set and craft shop had 20 people browsing and a further 20 in the café - all of whom had walked through the arts and crafts to get there and would walk back through the arts and crafts to leave. In addition, there were art classes advertised on the tables and the café itself was decorated subtlety with arty type things. It was a great way of getting people through the door and spending.

This isn't the solution to all retail woes, but for some retailers with the space and the vision to create this, there's definitely something in this.

Not everything can be bought on the High Street-