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Do you think pushcart rental rates at most major shopping malls are too high?
Hi
Appreciate participation so everyone can get a good picture of whether rental rates in major shopping malls are in line with the value they provide. Regards Jasmine |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
to me is too high,becoz i dun have much capital...
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
My theory on this it depends on the traffic and what you're offering to the consumers. In terms of traffic, it's basically the same theory for off-line and online, you need people to visit your store/website and than convert them into buyers.
A simple comparison will be between vivo city and the shopping space beside Doby Gaut MRT station. Vivo got a fairly good traffic and the shopping space traffic was way terrible. You can sell the same products in both places but at the end of the day, the shop that receive better traffic will of cause have better sales. I've got a friend who rents a space in Vivo for 10k/month and he's still making good profit. The products have to appeal to the mass public as well because if it's something the people do not want or need, having a good traffic is useless as well. You Teck |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
I feel that seasoned push cart operator might find the rental of 100+ per day reasonable esp when they have gather some regular customer who will patronise their stall. Whereas new setup like myself will feel that the rental will add up the cost too much and when we have to sell higher, we find its more difficult to sell. Tried to share with a friend who is selling fashion watches, but push cart mgt don't allow mixture of product.
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
Well i think personally pushcart its about starting a business with lesser overheads than a shop.
I think those shopping centre management leech us on the high rentals. In fact, we are pulling more crowd to patronise them. The mgt should know we don't earn much and need to pay so high rental. We are only occuping a small unused place. :( |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
:juggle: it's really dependent on the crowd and time of the year, some places could be reali seasonal.. but i do agree that the operation costs of pushcarts are rising beyond what normal pushcarts operators (small players like ourselves) can handle. the idea of pushcart is to minimise costs but many malls these days even suburb malls like hougang charges $100 - $120 per day, as good as operating a shop lor.. :confused:
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
It is really high for small or new start up like us.
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
I totally agree that the rental is too high for us to manage. If you compare by rental per square foot, the rental of a pushcart is tremendously higher than a shop though the lease period of pushcart is shorter than shops.
Though our product plays an important role here and if our product is so appealing to our customers or even if you are the only person selling this in the market, other factors like economy, overheads, rental do contribute a bit share too. We will only know if our products can sell only if we TRY unless you survey before you launch your products but beware of leakage. No venture, no gain! The most absurd thing I find is the pushcart rental in sub-urban malls are comparably same to those in town areas. Why is this so? And some malls even imposed surcharge to those non-peak months (eg: April, May) etc when it is not festive seasons or school holidays when there is no increase in human traffic. The Management could not give me a satisfactory reply so I decided to drop those because I know I will sustain a loss if I continue on. But what can we do about it? We do not have the capacity to ask the Mall's Management to lower their rental. We are paying for the location, crowd and the buying power of the consumers there. If you can't cover your cost and rental and the buying power is low, please change your location. If your products is not viable in this market and not sustainable, either change/modify your product or end it if no choice. Starting a business is not easy. It is a challenging journey which takes capital, patience, good planning and guts! Sorry for the lengthy reply but just sharing my past experiences with you. |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
Yup, rental rates are certainly high! it is hard to even break even !
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
:rolleyes: I agree too!! Due to the big differences between at shopping malls and flea markets... Shopping mall cost $3000 - 3800 for a month and it is not include of the additional $500 for peak season. Whereas Flea Markets, bazzar, event spaces only cost $10 - 50 per day. Of cos, it don't have air contitioned place but as far people like us with low capitals we will go for it..
Espeacially, Pushcarts in Shopping malls must depends on crowds, and some customers does not like being to squeeze or anything esp. youngters. |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
i think is definitely very high ..
just check out some prices at the mall and i almost got a shock i think is better to stick to online for the time being |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
hmmm ... for me i feel that pushcart rental is not realli that high ... but the costly thing about pushcart is all the licensing and deposits... for people who does not have that much capital, pushcarts are NO NO !
fairs/pasar malam: for a no. 1 location, like beside the bus stop or traffic light, six 3x3 feet table will go up to $100 a day ! with no air con, u set up your own tables, put up your own tents when the tentage isn't big enough to keep u and u goods away from the sun and rain, paying extra if you need electricity, outdoor toilet bla bla... Relatively pushcart rental is not THAT high afterall ... And esp for ppl who doesn't know if their items suit ppl shopping in that area... its a bit risky to put in long tem committment to a pushcart... so i think its really up to individuals, comfort, sales, cost bla bla ... :) |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
its too high for small time sellers like us.. imagine the losses we would make just by paying the rental alone.. i wonder how the major shop owners survive?
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
Well, i feel that push cart at certain location is quite expensive. But before we start on operating push cart we must consider where to take our goods. If you choose to sell those common stuff that could get easily you will end up with lots of competitors selling your stuff.
We should get our goods abroad(example bangkok, hong kong etc...) It is much cheaper and we are consider '' second hand'' but in singapore if we were to take goods we are consider third, fourth hand etc... Which mean that those googs we take from them is consider very expensive as those previous hand had earn from the profit. And this goods add up with the push cart rental will seem unaffordable. Since we cant cut down the rental but we can down the cost of the goods if we were to get our stuff abroad.:p |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
yes me too feel it super duper high :(
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
If pushcart rental rate is too high? Why is there still so many pushcarts ard shopping mall? They cant be doing it for a loss cause right? So maybe there's some ways to go ard like sharing the rental? Maybe the boss have capital but feel that push-cart is cheaper than opening a shop? In any case, push cart is still a business so, you realli need to have the start-up capital or you'll need to think of other alternative.
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
If you are Selling FMCG and stuff which can attract frequent sales, such as food. you can cover rent.
If you are offering services, such as myself which is fortune telling. It may be a bit difficult. |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
I guess it depends on the traffic, but it also depends if your items can sell. You can be in an area with high traffic but if you items do not cater to their needs then you wounldn't be able to cover the cost of your pushcart.
Like for me I don't think my items will sell at heavy traffic areas. But I have tried setting up a Pushcart at Forum the Shopping Center the traffic is average and I sell more then 60 items in a span of 3 days. |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
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If you are selling those 3 for $5 earrings(common products) is not a big issue on location but traffic. Anyway, we have to understand our trade of biz.. :clap: |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
As I never actually try pushcart before I can't comment much...
But from pushcart rental fee at some shopping mall, it is no different to rental of actual retail shop. So from first impression, renal rate is too high. Though heard from some ppl who did it there, they still make money... |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
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E.g. Like outside far east plaza push cart, which cost more $220-280 (w/o gst) per day has been around for quite some time. It is really ex for a push cart but if the location is suitable for your products and can generate super profit, I think is worth to do it.. |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
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Or maybe my mindset is outdated ..... |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
I guess, this is business.. its all about risk. no pain no gain. cost more prob better location which means better sales - prob? provided gods are up to standard of course.
Just my views. also I need 5 post. so pls pardon.. |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
put simply, if there are ppl willing to take it, then its not too high.. :D
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
I agree too. If you were to calculate on per square feet basis, we are really paying higher rental rates then shops. Lets say a pushcart generally occupies 30 sq feet. By paying a rent of $3000/month, we are paying $100 per sq feet/mth. Rent of shops are generally around $12 to at most $35 per sq feet/mth.
So the only advantage of pushcart will really be the mobility. Long term wise its really not worth it especially with all the effort and time taken to keep and re-display the items everyday and to move the stocks around. The ability to test the market with a pushcart is also quite limited as consumer's impression of a shop and a cart is always different. They associate products sold in pushcarts as inferior or low quality or low-end, in contrast to their opinions of shops, despite us selling the same things. My conclusion is that trying to make a business with a pushcart is not feasible and not profitable, given the time and effort invested. |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
Yes, it's way too high.
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
Yes, i suppose rental everywhere is rather high.. I do realize that our products play an imporant part, but even then, we need crowds with buying power..
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
Definitely too high :tantrum:
Even rental in Harajuku is cheaper than Bugis Junction. On top of that, there is gross turn over % that you have to pay on most malls. |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
Hard to make nett profit.
After minus off rental,your own salary,cost of goods and other hidden misc costs... figures are not very encouraging. Sometimes i dont understand what we are really doing... :) |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
For me I would love to try on push carts but the moment I see the rent I almost fainted.. It is super expensive and for people like me who want to know the taste of being a boss and how is it like having push carts then opening a stall..
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
uhm.. do thoses fairs things? depends really on what you mean by a boss. if you think standing there and selling things are more impt, then, you need to rent. Or you can buy from overseas and either consign or sell to thoses standing there selling stuff. :laff:
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
Rental fees are ultimately subjected to the landlords so there's very little we can do about it. I do agree that it's ridiculous to rent carts at rates ranging from $3000 and above even when the traffic at certain places are high. Remember, high traffic doesn't equate to good business. And yes, another factor is the nature of the trade.
Let's take me as an example. I sell aromatherapy products and the likelyhood of my customers will be people who are expatriats and white-collar workers. If I put my business in an non-airconditioned environment or certain heartland malls like Tiong Bahru Plaza when the rents are about $3k and/or above, it may not work as well as my current location where there are lots of offices around and costing me just $2.5k a month (lock-in till April). I do feel landlords can actually do more for tenants (especially pushcarts) in reducing rent in this trying time. Although given the location where I am situated, it's still very hard for me to break-even. |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
Hi all, I do agree with you that push carts rentals are really HIGH. Especially for startups, how can we afford 10k rental a month?!
Here's something to share to all : You might want to check out pushcarts at Leisure Park Kallang at an affordable and reasonable rental rate. Of course its not as busy as Paragon or Suntec but at least its a "store front" for you to launch your products. With proper marketing and strategy (sit & wait is not a strategy), i think customers will look for you wherever you are. (Just like famous wanton noodles or chicken rice) Welcome any comments :) |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
;)
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
Hi Brothers and sisters of Pushcart forums,
Oh yes, i forgot to mention that the best part of it is that they do not have minimum "lock in" periods like most shopping malls. Can try it for a month and thereafter extend as you wish. Some simple marketing to share- 1. Setup a good website to list your products, choose a proper web name, try not to use ebay or other associated names so that it makes it easy to remember. Be informative in the website - products, services, follow up services etc. The difficult thing is the web content actually. With carefully chosen words, it can make or break your products simply because you are not there facing and talking to the customers. Your body language, tone of voice is more important than the words that come out of your mouth. THEREFORE, it is of utmost importance to use the right words. Tip: List BENEFITS, NOT FEATURES. i.e. aromatherapy products: (benefits)- sleep better, feel better, more energetic, gets rid of odours in room smell better. Dont tell customers about what chemicals are there inside (like yakult's L.aciddophilus in the product). they dun really care. they want to know how it can help them or solve a problem. 2. The website is a virtual shop front actually. You need to man it just like a real store or pushcart. you need to maintain it, answer enquiries asap and update whenever required. You can use this website address as your pushcart name to draw customers. How? they can now go online to pre order your products or simply to find out more about your products before coming down to your pushcart to make that purchase. (If you managed to search for what you want online, you'll go even if its changi's industrial park right?). 3. In this present time, business is no longer solely relying on walk-in customers. Its really about targetting at specific groups and reaching out to them. Of course, it doesnt mean that high traffic pushcarts are not good. What im saying is that with high traffic + good marketing strategies = BIG PROFITS. BUT if we have to work on a tight budget on pushcart rentals, we defintely have to make the best of it. *Will add to this list again* Welcome any comments or marketing strategies to share! |
Re: Do you think pushcart rental rates at most major shopping malls are too high?
wow.. nighthawk thanks for the insightful post. :) just wondering. what do u sell and what kind of retail experience do u have and where.
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Re: Do you think pushcart rental rates at most major shopping malls are too high?
I agree that many people thinks that products at pushcart are at inferior quality or lower cost, hence expect the price to be cheap. But I notice pushcart scene has evolved recently and many stocks unique products that are not found in the retail stores and customers are willing to pay a higher premium for such things.
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