Perth Commercial Real Estate: 3 Key Factors in Choosing a Location
Location, location, location
: the classic phrase that significantly influences the success of every Perth business, no matter the form, the size, or the industry. Aside from location, these key decision points warrant your every consideration when choosing which commercial real estate
The more competition there is in a particular location, the more price-sensitive customers tend to become. With so many alternatives offered to consumers, you’ll have to adjust your pricing closer to the local average to gain a good share of the market (without necessarily curtailing your profits). You must also consider how established your competitors are so you can modify your offerings or marketing strategy accordingly.
Meanwhile, there are times when you can benefit from your competitor’s success through so-called customer overflow. For instance, if you operate a private dental clinic and your main competitor belongs to a conglomerate, which is typically quota-based, you can position your practice as one that offers focused service and relationship-based care.
Important to both your supply chain and customer base, convenience revolves around a simple formula. The easier and faster it is for your vendors to deliver raw materials or stocks for sale and for your distributors to get your products to end consumers, the less you have to spend on logistics. Moreover, reduced handling time also helps maintain product quality.
As for traffic count, your location must offer quick and cheap access to customers. There has to be ample parking space available and complementary stores around. Not surprisingly, parks, malls, and institutional loops are ideal areas to set up shop. That being said, you must also consider your brand’s image. For instance, if you sell luxury items, you might want to secure a place amongst high-end retailers, jewellers, and fine dining restaurants.
The most successful business owners can reasonably forecast a particular area’s real estate condition in relation to population growth and movement. By analysing a location’s past, current, and future population trends, it is easier to predict which districts are likely to experience economic expansion.
Commercial real estate prices increase with a stronger economy as well, which means you may also earn better returns should you decide to sell your property in the near future. If you’re looking for a property in Perth, it pays to consult with firms like Brett Halvorson & Associates and leverage on their deep knowledge of the local commercial real estate
10 Things to Consider When Choosing a Location for Your Business, Entrepreneur.com
Commercial Real Estate: The Importance of Population Trends, SelfGrowth.com