Business Plan for a Supermarket in Nigeria – Setting up a Provision Store in Nigeria
In this article, we are going to look at the steps and factors to consider when setting up a supermarket in Nigeria. But before we get into the nitty-gritty of our discussion today, let us take a quick look at the meaning of the term “supermarket”. A supermarket is a large shop that offers a wide variety of food and household products that are organized into aisles.
To get your supermarket business plan in Nigeria, place order, pay N10, 000 to:
BANK NAME: GUARANTY TRUST BANK (GTB)
ACCOUNT NAME: CHIBUZOR TOCHI ONYEMENAM
ACCOUNT NUMBER: 0044056891
After payment, send your full name, email address and business plan tittle (i.e. supermarket business plan pdf & doc) to 07033378184. Your business plan will be sent to your email within 15 minutes after payment.
A supermarket is usually bigger in size when compared with a provision store. However, its major feature is that it offers “self-service”. By “self-service”, we mean that customers are allowed to walk through the aisles, pick out items they want to purchase and make payment to the cashier.
As there are many appealing items on display, customers are cajoled into buying more items than they initially planned to. Self-service encourages impulsive buying, hereby bringing in a lot of money to the owner of the supermarket. It is one major advantage of starting a supermarket in Nigeria.
Now back to our subject.
If you aim to start your own supermarket business in Nigeria, this article will explain in details the basic requirements, what it will cost you, a projected profit margin and other factors you will need to consider when starting and running your supermarket successfully. Let’s go there.
Write Your Business Plan
Before you can start anything called a business, you must draw up a business plan to effectively start and manage all facets of the business. A business plan will act as a guide, taking you from where you are to where you want to be within an anticipated time frame. So, take some time to do a proper feasibility study to help you locate the best place to situate your supermarket, the goods that are in high demand in that area, and of other factors that will help you plan and achieve your business goals. On the strength of your feasibility study draft a good supermarket business plan. If you do not have the skills to write a business plan you can buy a generic supermarket business plan in Nigeria here.
Register Your Business
You should register your Supermarket business with the Corporate Affairs Commission in Nigeria. And also get every required license and permission before you open your doors to the public. If you need a lawyer who will help you with the business registration process, call us at 07033378184.
Location… Location… Location…
Where you situate your supermarket is key to the success or failure of the business. Factors to consider when choosing the location for your supermarket are as follows:
Population – Find a location where you are sure to have a large number of people patronizing you. Find an area where middle to high income earners live, work and shop.
Accessibility and Visibility – In order to be visible and accessible to your targeted market, you will have to pick an area with the following factors:
- Where many people walk or drive past.
- Where public transportation is available.
- Where there is adequate parking lot for people and delivery trucks.
Zoning Policies – Make sure you will not be breaking any zoning policies by opening a supermarket in your desired area. To explain further, a certain area may be perfect for your business but if it is not the zoning policy of that area does not accept a supermarket, you will be asking for trouble if you go ahead and site your supermarket there.
Competition – The presence of other businesses in your prospective location can either help or harm your retail shop. If there are other retail shops around your desired location, this may mean you should look out for a different location.
Location Costs – Rent is just as important as being in the right neighborhood. It is important to know how much rent you can afford in relation to your start-up capital and your potential business income. Your startup capital will affect the areas you consider and the spaces you look at. For example, you can rent, buy stock and start your supermarket with a capital base of 5 Million Naira in Ebonyi State. But in Abuja, 5 Million Naira will just be the needed cash to pay rent.
Warehouse
Get a storage space in the same building or close to your supermarket. This is where you will stash your products pending when the ones in the shop are sold out. As a business owner, you are not to wait till all your goods are depleted before you restock. As it may take a while before goods are delivered by your service providers, you shouldn’t have empty stalls in your supermarket as customers may start going somewhere else to get their needs met.
Source for Commodities Suppliers
You will need to find wholesale distributors and manufacturers of different commodities. It will be a good thing to buy directly from them because:
- Buying in bulk from them will keep your expenses low and profit high.
- By stocking your shelves with different brands, you will be providing enough options for your customers.
- You can buy on credit and pay later.
Find products that are in high demand. Don’t go for perishable goods unless you have stable electricity supply and durable refrigerators to store the goods. Check out some of the items sold in a supermarket. This will help you know the product suppliers and manufacturers to contact.
List of Items Sold in a Supermarket
Organic Food – Fresh fruits and raw vegetables
Cosmetics – Hair cream, body lotions, make-up kits, powder, etc.
Hair Products – Hair extensions, hair relaxing creams, shaving lotions, etc.
Jewelries – Wrist chains, watches, earrings, necklaces, pendants, etc.
Clothes – Suits, jackets, shirts, underwear, sweaters , skirts, pajamas, etc.
Pharmaceutical Products – Condoms, hand gloves, Hydrogen peroxide, etc.
Kitchen Wares- Plates, cutleries, kitchen pots, pans, stoves, dish washers, gas burners, toasters, etc.
Toys: Kids toys especially cartoon characters
Canned Foods – Tomatoes, sardines, canned sauce, etc.
Diary & Poultry Products – Milk, meat, eggs, cheese, etc.
Drinks -Dry gin, wines, fruit juice, soft drinks.
Footwear (Male and Female) -Loafers, boots, sandals, slippers, etc.
Packaged Products – bread, assorted biscuits, etc.
Toiletries -Soaps, Toilet rolls, Face towels, Hand napkins, and Shampoos.
Household Products – flower vases, shoe bags, portable wardrobes, etc.
Sports Equipment – Skipping rope, board games, running shoes, dumbbells, static bicycles, etc.
Electronics – Phones, television sets, laptops, DVD players, etc.
Seasonal Products – Gifts for celebrations, Christmas, anniversaries, birthdays, etc.
Food Stuffs: Rice, beans, tin tomatoes, etc.
Pet Supplies – Pet food, Liquid soaps for bathing them and Pet toys.
Arranging Your Products
Place products in shelves in such a way that customers can easily navigate and find what they want. You should create categories for your products, and then arrange the products where they belong. Remember that related products should be close to each other. For example toothpaste should not be far from toothbrush.
Electricity
When there is a power outage, you should have a generator set that will supply power the lights, refrigerators and other electrical equipment in your supermarket. Lighting cannot be over emphasized in a supermarket. Therefore, fix as many light bulbs as is possible in the shop.
Install Automated Machine for Your Cashiers
Installing an automated machine for all your cashiers will go a long way to stop stealing and misappropriation of funds in your shop. This also creates an easy way to issue receipts to customers and help you account for all your sales.
Train Your Employees
Hire trustworthy employees. If you can get employees who can speak the local dialect of the community your shop is situated in is a plus. You will need to adequately train them in customer care and interpersonal skills.
Final Word
Start now! Don’t wait another day!
Hurry and buy your supermarket business plan now. To place your order, pay N10,000 to:
BANK NAME: GUARANTY TRUST BANK (GTB)
ACCOUNT NAME: CHIBUZOR TOCHI ONYEMENAM
ACCOUNT NUMBER: 0044056891
OR
BANK NAME: FIRST BANK PLC
ACCOUNT NAME: CHIBUZOR TOCHI ONYEMENAM
ACCOUNT NUMBER: 3066880122
After payment, send your full name, email address and title (i.e. supermarket business plan in Nigeria) to 07033378184. Your business plan will be sent to you 15 minutes after payment.
If you have any question or suggestion, use our comment area. Thank you.
Supermarket Business Plan in Nigeria – Starting a Supermarket © www.businessplan.com.ng
Viv says
Thanks for this informed. Pls can you give me a rough estimate of the total cost for starting supermarket business in Abuja.
Aaudoyin Samuel says
Thanks for this information. It is a plus on my side. Can you please give me a rough estimate in starting a supermarket
ali charity says
thanks for this info. please, can you give me an estimate in starting supermarket business in Lagos? thanks
Favour kingsley says
I need a rough estimate of starting a supermarket in abuja
Mrs williams says
Thank u for this information, pls what is the estemate in starting a supermaket in PH
okechukwu says
thanks for this information,, can u give me a rough estimate, what it ll cost to start supermarket business at owerri
Amos says
Thanks for the info can you give a raw estimate to start up a supermarket in Warri?
Olamide says
Can you give me supermarket business plan
Sonia says
How much does it cost to start up a super market in onitsha