How Much Does It Cost for a Pop-Up Shop?
Whether you’re a well-known franchise or a young entrepreneur bursting with ideas and creativity, pop-up shops could be a valuable asset for your business. Temporary store franchising has soared in popularity over the last decade, with some of the world’s biggest brands like Amazon and Facebook, opening their very own pop-up franchises.
As you plan your pop-up business, you’ll probably have questions like:
- How much to rent a pop-up shop?
- How much is the average pop-up store budget?
- Are there any pop-up shops near me that I can visit for inspiration?
In this article, we’ll discuss the concept of temporary stores, things you must consider before you open a pop-up shop, pop-up costs, and financing options for people looking to invest in a pop-up venture.
Pop-up Shop Concept
How much does it cost for a pop-up shop? We’ll answer this question shortly! First, let’s define the concept of temporary stores.
Pop-up retail, otherwise known as ‘flash retailing’ or ‘pop-up shops,’ is the trend of opening short-term sales or promotional spaces that last for days or weeks before closing down. These temporary stores are often part of PR campaigns to promote a new product, service, or event. However, they can also be constructed to boost brand awareness in a critical location.
Pop-up retail is beneficial to landlords, customers, and retailers alike. They can increase sales, offer more choices to consumers, boost brand awareness, provide revenue for landlords, and give retailers the flexibility to travel with their brand as they choose.
What to Do Before You Open
There are several vital steps to consider before you open your pop-up store.
You must have a clear objective of what you want your pop-up store to achieve. So, you should consider the primary purpose of your venture. Are you hoping to get new business? Test your products out? Increase brand awareness? Launch a new line of products? Answering these questions will help you to move forward.
You’ll need to set a clear budget and calculate your return on investment before you begin your pop-up project. We’ll discuss how much it costs to open a pop-up shop shortly.
Where will you base your pop-up shop? What city or neighborhood will provide the best location for your business to achieve its goals? Take footfall, branding, and customer behavior into consideration when finalizing this decision.
Will you need gas, water, electricity, or internet access? If so, you may want to choose a location somewhere close to the grid. The majority of rentals include utilities in their price, but it never hurts to double-check.
- Design and Marketing
You can’t expect your pop-up store to succeed without some intentional marketing strategies. How will your pop-up store look, and how will you let people know it’s there? Will you use social media? Will you incorporate online and offline marketing to reach a wider audience?
Once you’ve answered all of these questions, you’ll have a solid plan to follow as you prepare your pop-up venture.
How Much Does It Cost for a Pop-Up Shop?
The golden question: Exactly how much to open a pop-up shop?
Duration, size, and location are some of the factors that will determine the total cost of your pop-up store. There is no limit to how much you can spend; however, you can open a budget pop-up experience for as little as $1,500.
Retail analytics firm Popertee estimated the overall cost of a 30-day pop-up store at around $33,000. Inkbox, a temporary tattoo brand, found similar numbers. They opened a pop-up store back in 2016 and spent $18,000 over fourteen days.
Ensure that you collect several estimates from different landlords and providers before finalizing your decisions about your pop-up store.
Financing Your Pop-Up Shop
There are several ways that we can help you finance your pop-up venture, including:
SBA loans are guaranteed by the U.S. Small Business Administration (SBA) and offer small businesses and entrepreneurs financial assistance. This organization provides loans for SMEs who can’t access significant amounts of capital.
We’re proud partners of the SBA and would love to help you secure a loan for your first pop-up store.
Merchant Cash Advance
Here at L3 Funding, we make it quick and easy to apply for a business cash advance. We cut out lengthy processing times and complicated paperwork. Plus, we make it easy to apply for funding online.
Quick access to capital could change the outlook for your pop-up store. Contact us today to find out more.