Do you think pushcart rental rates at most major shopping malls are too high?

Jasmine

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

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yanhomebiz

to me is too high,becoz i dun have much capital...

TradersCabin

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

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KarryMi Jewellery

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.

xiaocai7

Rental of 10k and makes profit, wanna check whats he selling?

xiaocai7

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.

yokekuin

I totally agree with you!!!

sugarnspice

I agrees too! The rental for a pushcart at a shopping mall is quite high for some of us who do not have a high capital.

Idealistic!

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.

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muchiemonkey

Yup, rental rates are certainly high! it is hard to even break even !