Retail surgery: How can our team fight the threat of a nearby competitor?

Firstly, consider whether it is actually a bad thing because, occasionally, it might be surprisingly positive.

For instance, if you are the only bike shop in an area, it is unlikely that a new competitor will stock exactly the same product throughout the store, and it will also help bring more of your target customers to the area.

Unfortunately, though, in the majority of cases competitors will be a threat to your business.

The first thing to do is let head office know what is happening because they will have dealt with this on many occasions before and will look at how they can help you with loyalty events, special promotions and in some cases might even refit the store.

Jason Kemp, managing director of store operations consultancy Envision Retail, says: “The last thing head office will want is a competitor’s red hot new store opening down the road, making your shop look drab and dreary.”

He adds that it is also important to ensure that you talk to your customers. It’s easy to become lackadaisical about the way you do things so look at anything that needs sharpening up.

Lastly, says Kemp: “Get in and see what’s going on.”

Be as nosy as you can before it officially opens and as soon as it does, go there.

“Once you’ve got a good feel of the store, you will know exactly which aspects of your store you might need to work on,” says Kemp.