Commercial real estate is a big-ticket item – no matter what business you’re in, the lease on your space is probably the first or second line item on your monthly budget. Prices per square foot seem to get higher every day, with major markets commanding extraordinary rents for even modest floorplans in low-traffic areas. If you already have foot traffic in your facility, rather than expanding your location at significant expense, the most effective way to increase profit from your existing business model is to get more value from the space you already have. Adding services can be a gamble, and raising your prices might drive away loyal customers, so choosing a safer option like giving your existing clientele more of what they want is an attractive alternative. Offering products that everybody has the potential to want minimizes risk, so the key to making this strategy work is picking items that are highly likely to sell year-round.
Appealing to basic human needs has always been a safe bet when it comes to moving product. Major retailers all seemed to figure this out around the same time, and seemingly overnight, whether you were shopping for electronics at Best Buy, lumber at Lowe’s, motor oil at AutoZone, or sporting goods at Dick’s, you now had the option to quench your thirst for soda, water, and more. Refrigerated cases and checkout counter merchandisers popped up everywhere, cashing in on every person’s inevitable thirst at the best possible time – just before payment, when impulse buys are more likely to happen, and just before the customer leaves the store, minimizing the risk of beverage spillage in aisles or on merchandise.
Not only did this change boost revenue for retailers and beverage companies alike, it took advantage of square footage that was generating less profit – often none at all. By incorporating refrigerated beverage cases and refrigerated merchandisers into small spaces with limited customer experience value, companies in all industries turned largely unused portions of their stores into profit centers ready to take advantage of our universal desire for an occasional cold drink. You have to pay for every inch of your company’s location, so rather than writing off space you can’t use for your primary business, installing a refrigerated case can make that space pay for itself and then some, improving your overall bottom line and the quality of the experience your customers have when they visit.
Adding refrigerated cases is a great way to turn your unused square footage into a source of reliable revenue, but the upfront cost of acquiring the equipment can be enough to deter many companies. Fortunately, financing your refrigeration equipment with a company like TimePayment lets you set up your refrigerated cases and refrigerated merchandisers right away, and allows you to pay for them over time in simple monthly installments. Since you can start using your new equipment immediately, you can pay for it with the added revenue your formerly underutilized space generates. Everybody gets thirsty, so no matter what your customers come to you for, they will all be as happy to leave with cold beverages in their hands as you will be when you watch your profits rising.
To learn more about leasing your refrigeration equipment, the financial products available to you, and how you can turn unused floor space into a valuable source of income, contact a representative of TimePayment today.