In your industry analysis, you need to provide an overview of the convenience store business.
While this may seem unnecessary, it serves multiple purposes.
First, researching the convenience store industry educates you. It helps you understand the market in which you are operating.
Secondly, market research can improve your strategy particularly if your research identifies market trends. For example, if there was a trend towards 24-hour convenience stores, it would be helpful to ensure your plan calls for plenty of staff.
The third reason for market research is to prove to readers that you are an expert in your industry. By conducting the research and presenting it in your plan, you achieve just that.
The following questions should be answered in the industry analysis section of your convenience store business plan:
- How big is the convenience store business (in dollars)?
- Is the market declining or increasing?
- Who are the key competitors in the market?
- Who are the key suppliers in the market?
- What trends are affecting the industry?
- What is the industry’s growth forecast over the next 5 – 10 years?
- What is the relevant market size? That is, how big is the potential market for your convenience store. You can extrapolate such a figure by assessing the size of the market in the entire country and then applying that figure to your local population.