Is New Zealand a hub for pop-up small businesses?

Cashmanager | 8 years ago

There is a lot of work involved in taking an initial seed of an idea and growing it into something bigger. Naturally, a main issue is typically down to business finances and overheads. For small entity owners in particular, while their concept may be sound, and they could even be generating consumer interest, having the funds to open a brick and mortar location is tough.

Even if the entity is leveraging small business accounting software such as CashManager from Accomplish in an effort to stay on top of the facts and figures, cash flow issues are all too common for small business owners.

More than a temporary solution

Consequently, many will look to temporary solutions to issues, and open stores that effectively 'pop up' for a few months at a time. While this may sound like a relatively short-term approach, can some enterprise owners actually build their endeavour around this model?

Well, here in New Zealand, it appears that several are trying. Stuff.co.nz contributor Tao Lin cited the example of Tiger Burger, an Auckland-based food company. After finding the overheads of securing a permanent premises to be too high, Tiger Burger has made a point of moving its operation around several different location.

"To minimise risk and market test products, [pop-up stores] are a better way rather than committing to something and realising it doesn't work," explained one of the company's founders Matt Shephard, as quoted by stuff.co.nz.

Testing the water

As Mr Shephard explained, another key advantage alongside the reduced overarching costs is that pop-up businesses can essentially experiment with ideas much more freely. Consequently, small enterprise owners that are perhaps entering a new space in the market or want to release a product that's removed from their traditional offerings could see how the idea does via a pop-up store.

If the endeavour proves to be a success, the small business has the perfect platform to move on from in the future. If it ultimately fails, the enterprise won't have wasted a huge amount of money on set-up costs, and can quickly move onto its next ambitious project.

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