Opening a Petshop | Cost and Profit of Opening a Petshop
We can say that the interest and love for animals has increased recently. If you want to open a petshop based on this interest, you should pay attention to which neighborhood you will open. In some neighborhoods, only birds and similar pet products are sold, while in some neighborhoods, cat and dog products are sold more. If you want to own a pet shop and be successful in this business, you should be careful about where to open a shop. Because shops selling cat and dog products earn more. If you say you want to open a pet shop, in this article we will talk about all issues such as the cost of opening a pet shop, monthly earnings and necessary documents.
First of all, let’s forget about the commercial aspect and talk about your love for animals. Don’t say that it is impossible to own a pet shop and not have love for animals. There are pet shops that collect kittens from the streets and adopt them for free at the cost of vaccination. Since such shops are inherited from fathers or inherited by inheritance, those who do not like this business can stand at the head. Of course, as the customer perceives this, they start to move away from such businesses.
Since cat and dog products are high in price, the turnover you will make for the business will also be high. A customer who spends an average of 10 $ to buy cat food will spend a maximum of 2 $ for canary or parakeet feed. Although the profit margin of both is 30%, the money you earn will also be different due to the high turnover. For this reason, in order to open a pet shop, you first need to give importance to your location.
Yes, just being interested in birds is not a disadvantage. There are also pet shops that open a bird shop and earn a good income. Since such shops are usually located in the center, they are frequented. Also, the business of pet shops depends on your communication skills. You will have many customers who will come to ask you questions. Good communication with them will increase your business. Now let’s start to explain all the details for those who want to open a pet shop.
To get different ideas other than opening a pet shop, you can review our article 110+ Profitable New Business Ideas for Entrepreneurs in 2022
Opening a Petshop
First of all, the amount of capital you will put forward to open a pet shop will determine what kind of shop you will open. The business location, the types of products you have, the size of the shop, etc. will vary with the amount of investment you will make.
Today, many people buy pet products over the internet. We can even say that they order by phone to pet shops that provide fast service to the house. There are pet shops that do this in neighborhoods. Depending on the type of product you sell, you can consider both online sales and home delivery model. Of course, if there is not an excessive circulation, it will be difficult for you to remove the courier cost. However, it may be more advantageous for you to open an Instagram page or sell products through shopping sites. Because there are many businesses that sell on such sites and exceed the shop turnover.
You have two options in front of you to open a pet shop. Either you will open a pet shop from scratch, or you will find a pet shop shop. Now let’s examine the stage of buying a petshop.
In this sector, there are shops that are adopted and not adopted by the customer. A customer came to the business. Unless he does not like that pet shop and is not satisfied, it will be very difficult for him to come to the shop for the second time. Considering that even grocery stores sell pet shop products today, the customer has many alternatives. For this reason, there is a high probability that the pet shop you will take over may not be adopted by the customer. In other words, it will be difficult to attract new customers to such shops and it will take a very long time. Because there is a negative experience for the customer.
However, not every revolutionary pet shop is the same. However, based on this, it is not possible to buy working pet shops for less than 5500 dollar. This does not seem logical at this stage. Because if you set up a pet shop from scratch, you will have a chance to fill more products. Moreover, according to the business potential of the pet shop you have opened, its value may be higher than the shop to be taken over.
In summary, it seems more logical to open a pet shop from scratch. Now let’s talk about this stage.
How to Open a Petshop
- As we mentioned in our first subtitle, first determine the capital you will put forward. Because it is the amount of capital that will determine every step you will take to open a pet shop. The higher this capital figure is, the higher your advantage in generating income will be. Customers tend to shop in large shops with a wide variety of products.
- You need to make a business plan. Create a business plan without touching anything. Put everything on paper, such as where you will source the pet shop products wholesale, how you will open a shop, interior and exterior design. At the same time, write down your marketing activities and your goals for the next 1 year. You will see the great advantage of this roadmap during the business.
- Now it’s time to find a shop. If you want to open a pet shop in Istanbul, districts. However, great competition will be waiting for you in neighborhoods. For this reason, you should find a shop where there is no competition, affordable rent and pet products are consumed.
- After renting a shop, the first thing you need to do is to get the tax certificate. You can agree with an accountant and get a tax certificate within 2 days. In this way, you can invoice yourself for all the products you have purchased and show the fixtures as expenses.
- Your business is ready for renovation and shelf placement. Have a shelf and showcase design made according to the type of pet shop you will open. In this regard, contact carpenters who produce business shelves.
- After finishing the interior and exterior design, supply the products you will sell wholesale. Arrange these products in the shop according to the ease of transportation. Make sure that the pet shop looks full but not cluttered at this stage.
- Now you are ready to open the shop. Since you are a pet shop, you don’t need to make a grand opening. Just a decoration with balloons and a brochure is enough to announce that you are open. In this way, the customer base will settle faster.
- Opening a pet shop will not be enough for you to do business at this stage. You should definitely create an Instagram and Facebook page and do regional targeted advertising. Increase the follower base and start selling online. Customer loyalty is high in this sector. People generally tend to shop from businesses they own.
Read more: Additional Business Opportunities for Those Who Say What Can I Do at Home
Cost of Opening a Petshop
The cost of opening an average pet shop will vary between 2000 and 6000 $ depending on the products you will have. You can raise the price upper limit in these figures. However, lowering the lower limit will affect your daily turnover. Especially the variety and high accessory prices of cat and dog products increase the cost of opening a business.
Such businesses do not have to be located in locations such as main streets. Therefore, it is possible to reduce your rental costs. However, in this case, you will bypass the late customers. It is your choice to control costs. However, making a variety will be a great advantage for you. Even in bird feed, there are customers who come especially for the brand.
How Much Petshop Earns
The daily turnover and the products sold determine how much a shop will earn. A pet shop with an average daily turnover of 60 $ will earn at least 600 $ per month. This will vary according to the products you sell, price policy and your operating costs. Instead of increasing your monthly earnings, you should aim to increase the number of customers instead of raising prices.
The profit margin starts from at least 30% in closed products such as cat, dog food, bird feed. Accessory-style products leave the highest profit. The profit margin of products such as cat and dog houses, bird cages, collars, artificial bones, etc. varies between 50% and 100%. Bringing such products to the forefront in the business and increasing the variety will increase your profit rate.
To purchase such products, search on the contact addresses of the companies. They will put you in contact with the distributor companies.
The documents requested for opening a pet shop may differ according to the district municipality you are in. You can obtain the necessary documents by going to the license affairs directorate of your district municipality.
Read More: Opening a Pizza Shop | What is Cost and What is Profit for Opening a Pizzeria ?
Suggestions for Those Who Want to Open a Petshop
- Do not neglect to sell online in this sector. It can be difficult to sell in big marketplaces. However, your job will be easier on Instagram.
- Take care to have a variety of products. Many consumers claim that their pet likes a certain brand. This may be true. For this reason, provide brands that are in demand and keep them in the pet shop.
- It is not recommended to take out a loan to open a pet shop. It takes time for things to settle in such sectors. Taking a loan can be difficult for you. Although you have a variety of products, good communication will ensure customer loyalty. You should be friendly and helpful.
- Visit many pet shops. You can take the decoration, showcase and design of successful pet shops as an example.
We have come to the end of our article titled ” Petshop opening, petshop opening cost and monthly earnings.