Adventures with Corndog: Corndog's Fish Store

Corndog

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Just going to say, don't forget about all the little expenses as well. Credit card processing fees, payroll taxes, B&O, repairs and maintenance, etc. I'm sure you were just doing a basic breakdown and have all of that covered, but it is easy to forget all the nickle-and-dime stuff that adds up for a business.
For sure. Between B&O taxes of 9.5% and square. 2.75% I just round it in my head thinking that 13% of all the money that goes to the register isn't mine. Obviously cash doesnt take the fee, but I'd rather think of it as 13% than go oops, I have to pay B&O taxes?!

Today's Total was $388. More craigslist people.

As for the CL people, I think it's different for a store maybe. Cause they come in and just start seeing prices and can decide what's fair. Where you have to give them a bid, then they start haggling.
 

Unidin

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Depending on sales, you should consider going with another merchant processor. 2.75% isn't bad, but you can do better as your volume increases.
 

Corndog

Lord Nagafen Raider
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Depending on sales, you should consider going with another merchant processor. 2.75% isn't bad, but you can do better as your volume increases.
This is true, but most of them don't provide a free point of sale system that looks sleek like an Ipad system. Most want to "rent" the pos each month etc. But you're right, if there is a time where my sales justify it I could definitely switch. Not a day goes by that I don't get a call from a payment processor promising the world.
 

BrutulTM

Good, bad, I'm the guy with the gun.
<Silver Donator>
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Nice. People don't hide Easter eggs with fish in them do they? What is typically the big day of the week? I would think Saturday?
 

Shonuff

Mr. Poopybutthole
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Today: 852 in sales.
Since you are moving ahead of projections, what else can you do advertising wise to move the needle? I know it's nuts, but whenever I'm ahead, I always reinvest in the business for future growth.

You are doing great, considering most businesses open and don't see a customer for weeks. But you can always improve. You've got to sock away as much as you can for the slow times.

You are just starting out, if you have three months' expenses put to the side (and not from debt), that wouldn't be enough.
 

opiate82

Bronze Squire
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You are doing great, considering most businesses open and don't see a customer for weeks. But you can always improve.
Really? Because in the restaraunt industry the rule of thumb I have always heard is that when you are a new opening, for around the first 6 months you can expect to run around 25% higher than what you can expect your "normal" sales level to be. Because of the newness factor and all...

Not exactly apples-to-apples comparison, but I know when we built a new building we saw a "newness" bump. It was pretty hilarious actually, changed nothing in the recipes, was using pretty much the exact same equipment that was just moved over from old store, but people kept coming in and telling us how much better our pizza was now. Perception > Reality.
 

Shonuff

Mr. Poopybutthole
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Really? Because in the restaraunt industry the rule of thumb I have always heard is that when you are a new opening, for around the first 6 months you can expect to run around 25% higher than what you can expect your "normal" sales level to be. Because of the newness factor and all...

Not exactly apples-to-apples comparison, but I know when we built a new building we saw a "newness" bump. It was pretty hilarious actually, changed nothing in the recipes, was using pretty much the exact same equipment that was just moved over from old store, but people kept coming in and telling us how much better our pizza was now. Perception > Reality.
You might be a little different as a franchisee. You have a brand name that is recognized. It's hard for most small owners, until they build up repeat clientele and positive word of mouth. You are twenty three months ahead of pace for most.

It's like in the business I own, I've had employees leave to go start their own business twice in the last five years. In both cases, they absolutely flopped. It's tough when no one knows you.

What's the stat? It takes most businesses two years to turn a profit, on average. If you are turning a profit the first month, than all I can say is wow.
 

Corndog

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Did $457 in sales today.

As far as further promotion. I'm handing out gift bags at the big club auction coming up in April. Usually 300 people show up, 200 of which are not club members. The reusable totes I got donated by Hikari, Also there will be food samples in it. I'll have a business card in each one that is redeemable in store for a free package of frozen bloodworms(fish food). Also thinking about putting some candy and sprinkle some random gift certificates in the bags, that'll get promoted infront of the group.
 

Aychamo BanBan

<Banned>
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Really? Because in the restaraunt industry the rule of thumb I have always heard is that when you are a new opening, for around the first 6 months you can expect to run around 25% higher than what you can expect your "normal" sales level to be. Because of the newness factor and all...

Not exactly apples-to-apples comparison, but I know when we built a new building we saw a "newness" bump. It was pretty hilarious actually, changed nothing in the recipes, was using pretty much the exact same equipment that was just moved over from old store, but people kept coming in and telling us how much better our pizza was now. Perception > Reality.
I live in a smaller/dumpier city, so a "big deal" here is some new restaurant. It doesn't matter what it is, it will be extremely crowded for at least six months, because everyone here feels compelled to eat there so they can brag about how great the terrible food is. You know, everyone thinks they're a foodie. (I don't!) Even crappy chains like "build your own burrito" places are extremely packed, and then dead empty after six months when everyone realizes it's just plain jane, mediocre food. Honestly I wont even try going for the first six months just because I know it will be retardedly busy.

So I'd say, at least where I live, the restaurant industry is completely different than a new fish / pet store. I know of several smaller pet stores in my area that I either know about and have never bothered to visit, or have visited once. One of them is decent but it's located in a small shopping center on a very busy road, and it's honestly just a nightmare getting around that 1 corner of town, so I always end up at a Petco that is located close to my work and has a huge parking lot that is easy to access.

However: it does seem fish stores are different. When I was into planted & saltwater tanks, the good fish store was in the next city, about 5-10 miles away, whereas the big box store was a minute down the road. I only went to the big box store once, and it only had shitty/snail infested plants, and had the crappiest saltwater setups. I happily drove the 5-10 miles to local saltwater fish store who had beautiful tanks, knew his shit, etc. And there was no one around carrying plants, so it was a pain in the ass buying them online and having plants shipped (this was, jeez, maybe a decade ago now it seems, wow, I'm sure shit's better online at least.) And there was no place locally to buy the good light setups, CO2 tanks, pH meters, etc. I would have loved to be able to buy a kit locally. You know, the best setups that everyone ends up doing on their tanks, have that as a kit to purchase.

... Now that I'm typing that, I never really realized that's why I avoid or visit certain shops. I guess location does matter. Also, after reading this thread about a real person starting a small business, it makes me want to support them more instead of the big box store. But it all comes down to convenience too. I worked 12-13 hour shifts for 26 days in March (today I'm off!) I did stop at that big box store to get my dogs some food, but I completely avoided, for an entire month, that busy part of town where it's a pain in the ass to drive because of traffic, etc.

Corndog: here's some joking advice. If you get married, don't let your wife start selling those stupid candles and harassing your customers to buy them. My favorite local fish store's wife did that and it got really annoying because I was there to buy fish, not a stupid candle.

/random thoughts
 

Shonuff

Mr. Poopybutthole
5,538
791
Did $457 in sales today.

As far as further promotion. I'm handing out gift bags at the big club auction coming up in April. Usually 300 people show up, 200 of which are not club members. The reusable totes I got donated by Hikari, Also there will be food samples in it. I'll have a business card in each one that is redeemable in store for a free package of frozen bloodworms(fish food). Also thinking about putting some candy and sprinkle some random gift certificates in the bags, that'll get promoted infront of the group.
Remember to work on the business and not get "store blind." That's why a lot of businesses never grow past a certain point.

You seem to be having a lot of success on CL (which I think tends to cater to a lower demographic than what you are looking for). So, if you are looking for something new to do, why not do something close to what's working? That usually works.

If CL is bringing you this much sales, why not expand your online presence? Do you have a website? Is it professionally done? From there, you can advertise your site, and potentially grow sales exponentially from what CL is bringing. I'd have everything set up so that if anyone mentioned any of the specialty fish within 30 miles online, your website pops up.

I think Splorge said it best a few pages back. What is your plan to increase your hourly pay? It's great that you didn't start and not have customers. Really great! But what is next? I'd suggest that if CL can bring you $400 a day, other online venues might bring you double (or triple) that.
 

Aychamo BanBan

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Question: You sell plants for planted tanks. Where do you get your plants from? Do you propagate them or purchase from a 3rd party? Will you sell those online?
 

Corndog

Lord Nagafen Raider
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... Now that I'm typing that, I never really realized that's why I avoid or visit certain shops. I guess location does matter. Also, after reading this thread about a real person starting a small business, it makes me want to support them more instead of the big box store. But it all comes down to convenience too. I worked 12-13 hour shifts for 26 days in March (today I'm off!) I did stop at that big box store to get my dogs some food, but I completely avoided, for an entire month, that busy part of town where it's a pain in the ass to drive because of traffic, etc.
Yeah location is huge. Has much more of an impact than I expected. I have a huge parking lot, that is never too full to use. It's amazing how many times in just being open about a week, that people have mentioned how nice it is to just find parking.
 

Corndog

Lord Nagafen Raider
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Remember to work on the business and not get "store blind." That's why a lot of businesses never grow past a certain point.

You seem to be having a lot of success on CL (which I think tends to cater to a lower demographic than what you are looking for). So, if you are looking for something new to do, why not do something close to what's working? That usually works.

If CL is bringing you this much sales, why not expand your online presence? Do you have a website? Is it professionally done? From there, you can advertise your site, and potentially grow sales exponentially from what CL is bringing. I'd have everything set up so that if anyone mentioned any of the specialty fish within 30 miles online, your website pops up.

I think Splorge said it best a few pages back. What is your plan to increase your hourly pay? It's great that you didn't start and not have customers. Really great! But what is next? I'd suggest that if CL can bring you $400 a day, other online venues might bring you double (or triple) that.
I think you're right and that it can be very easy to get store blind. I'm very focused on getting things in to sell etc right now. But I think this thread and talking it out can help with that. As for targeting new customers, I do need to devise a plan. Once they are in my store, they're mine forever.

Couple customer stories this week. A guy who had never been to my store obviously, and my biggest competitior that is 20 mins south of me. He drove 1 hour to get to us both. He went to the other store first and spent nothing. The other store is the "top dog" in the state. My store he spent $108 and would be back etc.

Another couple of customers are a couple of gay guys. Well to do, own resturants in seattle, put on production shows etc. They drive by the top dog store to shop at my store. Not only have they been in, but they've been in 3 times in the 8 days I've been open. Each time they each set their spending limit to $100. So far I've made $550 alone from those two guys. This is exactly the type of customer I want to draw in. Customers with a lot of money who just want excellence.

They love my store cause I can explain everything to them and will make recommendations etc. Will talk them out of a bad sale etc. I even ended up explaining it to them as my store is like a fine dining experience. Instead of a mcdonalds. It's not about turn and burn, it's about a nice experience with skilled people that'll cost you more.

Right now, one of the things I'm worried about is wait time. There are definitely times during the day, when people can have to wait 20-30 mins to get helped. I'm trying to avoid hiring someone so early incase this is just the new fish store buzz, and not sustainable traffic.

Another problem. Is my store is only about 1/3 done. I've only got 42 tanks setup and I'm turning these kinds of numbers. I've got probably another 100 to setup still. I just setup 2 more shelving units for dry goods on Thursday. I don't even have air pumps in stock yet etc. So there are more sales to be made, that are being left on the table at the moment.

Theres this other small problem... I don't have a single sign up. Not over my business, not at the road etc lol. My builder came down with the flu, he's better now and signs are a priority obviously. I'd just buy a banner, but it would totally cheapen my look.

Some other things on the horizon. I learned that the "top dog" store is moving. Which is a home run for me. It'll give me at least 2 months to steal market share from them.

I'm being flown out to California to work the pet expo for Hikari. This gives me perks of meeting vendors etc. Also Hikari gives me a lot of free stuff for doing it. LIke they got me 200 cloth totes to give away. Tons of samples. Anything I need, they just make it happen. This stems from having dinner with the president of Hikari last time they were in town.

Also pond season is almost here. I need to get setup for that soon and market to an entirely different clientele. Basically home owners.

My thoughts are kinda all over the place in this post. But something that seems to be working well for me advertising wise are my business cards that I hand out to petco and petsmart employees. The card has on the back of it, redeem for a free package of frozen food. And a place for initials. The employee puts their initials there. Every one that gets brought to me gets the customer a package of food and the employee from the other store $5 store credit. So I've been stopping in my local stores and meeting the fish staff. So far 1 card has been redeemed in store . Only started this about 4 days ago. Before that, people were coming in saying someone at a petco/petsmart told them about me.
 

Corndog

Lord Nagafen Raider
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Question: You sell plants for planted tanks. Where do you get your plants from? Do you propagate them or purchase from a 3rd party? Will you sell those online?
I have access to many plant breeders as I call them. I have lots of plants that are very hard to find. I also can buy plants from different fish wholesalers, but have heard good things about aquariumplants.com so I setup a wholesale account there and placed an order for this week.

As for selling online yes. My website is not setup to be a "cart" system, but instead redirects to aquabid which is the ebay for fish and plants. There are no fees to use it which is great.

Last week I sold $270 worth online. Which could easily be 500-1000 as most of my inventory is not even close to being up on aquabid yet.
 

Corndog

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Here's a pic of the storefront currently.
DSC_0204_zps5cbb7751.jpg


DSC_0204_zps5cbb7751.jpg
 

Shonuff

Mr. Poopybutthole
5,538
791
Another couple of customers are a couple of gay guys. Well to do, own resturants in seattle, put on production shows etc. They drive by the top dog store to shop at my store. Not only have they been in, but they've been in 3 times in the 8 days I've been open. Each time they each set their spending limit to $100. So far I've made $550 alone from those two guys. This is exactly the type of customer I want to draw in. Customers with a lot of money who just want excellence.

They love my store cause I can explain everything to them and will make recommendations etc. Will talk them out of a bad sale etc. I even ended up explaining it to them as my store is like a fine dining experience.
It's funny, I've been all over the place the last few days also. I've had tons of people over the years thank me for sharing my perspective on running a business (either in a forum or a PM), but at the end of the day, this helps me more than anyone. It is so easy to get store blind. I've known people that have been in business for 50 years and store blind the whole time.

It sounds like you need at least some part time help, so that you can finish the tanks and wait on customers. I'd try to have part time help for the busier times. There is no second chance to make a first impression, and I'd be pissed if I had to wait 30 minutes.
 

opiate82

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I'm being flown out to California to work the pet expo for Hikari.
How long are you going to be gone and is the fish shop going to be closed during this time?

I realize employees creates a whole new level of busy-work in training, monitoring and dealing with payroll/taxes, but I am with Lyrical, if you have customers waiting to be helped, have work on the shop that still needs your attention and have out-of-town business to attend to, might be time to think about hiring.