6 Effective Strategies to Grow Your Retail Business

So, your retail business is doing great, making money, and things are steady. Now you're probably wondering, "What’s next? How can I grow even more?"

Well, you’re in the right spot. This post will go over different ways you can level up your retail game. If you're thinking about investing in growth, one (or most likely a few) of these strategies might just be perfect for you.

Here are six retail business growth strategies to scale up:

• Open new locations or retail stores
• Sell on more platforms
• Add more products
• Try pop-up shops
• Team up with other businesses
• Start a customer loyalty program

Let's get started!

Open up new retail business locations

Expanding your retail business by setting up shop in new locations is one of the most common retail growth strategies. You boost your brand presence, get into new markets, and tap into a whole new pool of potential customers. Who doesn’t want more foot traffic, right?

Now, successful retail expansion isn’t just about slapping your logo on other physical stores. It’s about finding that sweet spot between local flavor and brand consistency. Think of it like this—each new retail store needs to vibe with its neighborhood (you don’t want to be the weird, out-of-place store on the block), but it still has to scream your brand’s identity.

Your local strategy should cater to the target market in each area—because let’s face it, customer preferences can change from one block to the next. This might mean tweaking your product line, adjusting your pricing strategies, or even rethinking your marketing campaigns. But while you’re busy catering to these new customers, don’t forget the standardized components that make your retail business successful. Things like your retail analytics, inventory management, and supply chain processes need to be spot-on across all locations. Consistency in these areas means excellent customer service and satisfied customers, no matter which of your stores they walk into.

And let’s not forget about the logistics of running multiple stores. You’ll need a cloud-based POS system with solid inventory management, efficient supply chain processes, and staff training to make sure everything runs smoothly. And don’t even get me started on marketing strategies—leveraging social media and digital marketing to boost your brand in these new markets is a must. Plus, you should keep a close eye on market trends and conduct market research to stay ahead of evolving consumer behaviors.

Sell on more platforms

Alright, so your physical store is going strong, but why stop there? If you’re serious about stepping up your retail business, selling on more platforms is where it’s at. Think of it as getting your products out there and into more shopping carts.

In 2023, global retail e-commerce sales hit an eye-popping $5.8 trillion. And it’s not slowing down. Projections say this figure will grow by 39% over the next few years, and we’re looking at over $8 trillion by 2027. That’s a lot of zeros and a huge opportunity for you.

Online shopping is booming, and so are e-commerce platforms and social media channels like Instagram and TikTok. People are buying everywhere—from their phones during a Netflix binge to their laptops while working from home. Why not meet them where they are?

The more places you sell, the more eyeballs on your products, and the more chances to snag new customers. Plus, it’s a great way to diversify your customer base and market reach. 

But here’s the catch (there’s always a catch): you’ve got to keep things consistent. Your brand identity, pricing strategies,  and exceptional customer service—all need to be on point across every platform. Whether someone’s shopping in your brick-and-mortar store or clicking “add to cart” online, they should get the same awesome experience.

Grow your product and service offerings

Adding new products or services to your lineup is another great way to boost your business. Start by asking yourself: What else can I offer that complements what I’m already selling? Maybe your customers have been dropping hints. Are they asking for things you don’t carry yet? If there’s a market demand, why not fill it?

Doing a little homework on market trends doesn’t hurt either. This can help you spot opportunities before your competitors do and keep your business ahead of the curve. POS software is great here, as it can give you insights into what’s selling well and what your customers are looking for. With the right tools, you can track sales patterns, analyze customer data, and make smart decisions about what new products or services to add.

You have to understand what they want before you start adding new stuff (no one wants to offer a solution to a problem that doesn’t exist.) Make sure your new offerings match up with their preferences and needs. You can do this by looking at your customer data and spotting trends.

You might also want to think about adding services to go with your products. Is there a way you can help your customers get more out of what they buy from you? Maybe it’s offering installation, customization, or even some kind of maintenance plan. Anything that makes life easier for your customers is a win in their book—and yours.

Try pop-up shops

Pop-up shops are temporary retail spaces that can really make a splash for your business. Not convinced? Well, maybe Capital One Shopping's research can help. They found that pop-up shops generate up to $80 billion in annual revenue, and by 2025, that number is expected to hit over $95 billion (yeah, you read that right—billion with a “B.”)

Why are they so popular? For starters, they’re a low-cost way to test new markets, launch products, or simply create buzz around your brand. The same research found that 80% of retailers who’ve tried a pop-up shop say it was a success. And get this—58% of them are already planning their next one. When something works, you stick with it, right?

Another reason pop-ups are so appealing is they don’t break the bank. Nearly half of all pop-up shops—44% to be exact—cost less than $5,000 to set up. That’s pocket change compared to opening a full-blown retail store.

Pop-up shops are also a great way to engage with your customers in a fresh, exciting way. They’re perfect for creating a sense of urgency (limited time only!) and can really boost brand awareness. Plus, they let you tap into new markets and see what works before committing to a permanent location.

Team up with other businesses

This growth strategy is all about hitching a ride on someone else’s success. Partnering up with another company can be a smart move, especially if you’re eyeing a new market or thinking about adding new products or services.

The business you team up with will likely have the resources and know-how to crush it in the market you’re aiming for. So instead of reinventing the wheel, you get to ride their coattails.

For instance, let’s say you’re running a women’s fashion line and want to get into menswear. Instead of starting from scratch, you could team up with or even buy a men’s fashion brand. Or, if you want to offer new services, find a company that already does that, has a market share, and makes it your partner in crime.

Take IKEA, for example. When they wanted to offer furniture assembly services in the US, they didn't start from scratch. Nope, they bought TaskRabbit, a company already in the business of connecting people with service providers. So, instead of dealing with all the little details and dramas of setting up their own assembly service, IKEA just rolled out TaskRabbit’s existing setup.

Of course, not every business can just snap up other companies. But the idea is clear: find a third party that can help you hit your expansion goals. Set up a win-win deal that makes both of you look good and brings more value to your customers (because teaming up is way more fun than going solo!)

Implement a loyalty program

A killer customer loyalty program is just what you need to have your customers coming back for more.  

A loyalty program is all about making your regulars feel like VIPs. Offer them perks like discounts, exclusive deals, and points for every purchase. It’s like saying, “Thanks for shopping with us—here’s a little something extra!” 

Here’s a pro tip: successful customer loyalty programs often reward customers based on how much they spend. So, as your shoppers rack up points or hit new reward tiers, they’ll be tempted to splurge a little more to get those sweet higher-level perks. 

You can also encourage your current fans to spread the word with referral programs. Offer them rewards or discounts for bringing in friends and family. Because good friends don’t let friends miss out on good deals!

TIP: At Epos Now, we’ve got you covered with hundreds of POS apps at your fingertips, including loyalty program integrations. Whether you’re looking to set up points systems, exclusive rewards, or referral bonuses, we’ve got the tools to help you create a program that works for your business.

Final thoughts

If you want to increase your sales and bring in more customers there’s a ton of ways to do it. You can explore new sales channels, add more products, or set up a great loyalty program. The options are endless, and the trick is to stay active and keep up with what’s new.

If you need the right tech to help you grow, Epos Now has your back. We’ve got tools to make your life easier, from tracking sales to managing inventory, payment processing, and running loyalty programs. Our retail POS system will help you keep everything running smoothly and make smart decisions.

NOTE: We can also help you grow your hospitality business with a cloud-based hospitality POS system that offers online ordering, delivery, and inventory management capabilities. 

Get in touch with an Epos Now expert today and let’s chat about how we can help you reach your goals and grow your business.