Opening Running Store

All,

I’m very seriously thinking about quitting my job to open a running store. I’ve put together a business plan that makes me think I can make a decent living, and I’ve always dreamed of going out on my own.

I’m going to be new to retailing in general and the “sports” market in particular, so if anyone has any advice, feedback, comments, or suggestions they want to share, I could use the help! Especially welcome are comments on things you like and things you don’t like about your current running store. Things you’d want to see done differently? Things you like that you’d suggest?

Thanks in advance for any and all advice!

Lee

  1. Hire runners who are passionate about the sport, not kids who are just looking to punch a clock.

  2. Organize and lead group runs from the store (1 evening/wk will do to start). Provide water, restrooms, changerooms, and a safe place for runners to leave their gear. Most stores I’ve run out of give their “club” members a 10-15% discount, and some stores even offer free GU.

  3. Carry as many brands, sizes and models as space & overhead will allow. Every store carries Nike and Adidas. Most carry Saucony, Asics, and New Balance. Many fewer carry Mizuno, Brooks, Etonic, and the other “fringe” brands. The same is true when looking for a EEEE, or a racing flat. (Walk into a running store and ask to see a NB 920! (Yes, I’m aware that this is a tri shoe - not a racing flat)) Stock a good amount of clothing and other “necessities” such as water bottle holders, flashing lights and vests, socks, bags, HRM’s, books, food, etc.

  4. Try to be liberal about your return policy - especially with regard to fit issues, it’s really nice when you know you can “test run” a pair of shoes for a week rather than just a lap around the block. This obviously carries the risk of abuse, and you will have to determine the scope of what is “reasonable”.

  5. Establish good relationships with your manufacturer reps and warehouses/ordering centers. The store I used to run out of has such a good relationship with New Balance that they will take back a pair of shoes that’s been TRASHED if the customer complains about fit. The store does not absorb this cost, and no questions are ever asked. The store extends this policy to all shoes they carry, but I know from being friends with the owner that he personally absorbs the cost of returned Nikes. (See #4)

  6. Have manufacturers catalogues available for your customers to peruse. A lot of the folks I used to run with regularly take the catalog home and come back with a good sized order. This almost always includes many items that the store would not regularly stock (clothing, apres training shoes, bags, etc).

  7. Give back to the community. The store I used to run out of (again) had a program where they sponsored highschool athletes as “Community Ambassadors”. They did this in conjunction with New Balance, and provided shoes, clothing, gear, a job in some cases, and (I think) a university scholarship to kids from several highschools. Other ideas include sponsoring a local race (or holding one of your own if you’re up to the challenge), hosting clinics for beginning runners, etc.

  8. Have a website professionally built. Make sure you include all the obvious things (store hours, staff bios, training tips, route maps, etc) as well as links to whatever else you feel is helpful. A pace calculator is a nice little toy that everyone loves too. (And super easy to implement)

There’s probably a lot more, but this ought to get you going.

Good luck with your dream, and make sure you post your grand opening!

My favorite running stores are the "hole in the wall’’ type places. They have tons of photos, posters, magazine covers, etc on the wall. They have bulletin boards with race results, entry forms, clinics, etc. Sometimes they’ll have a TV going with some running event in the VCR. I usually spend about 30 minutes just hanging out, before I even start shopping.

Also, when I was in college I got a nice discount, even though my college was 90 miles away. They give discounts to high schools too. Now that I have a “real” job, I don’t mind paying retail.

Best of luck,
Zeke

We have a great local running store, The Runner’s Corner in Orem, Utah. It sponsors a running club, The Sojourners, which is a huge club. The store does group runs, races, etc. Gives discounts to Sojourner members. Hires BYU cross-country and track runners, both men and women. (The BYU cross crountry program is one of the best in the nation, so the sales force is knowledgeable, enthusiastic, and experienced.) The store does most of the things suggested by the previous post. I especially like that the store puts shoes on your feet and says “Go outside, run on the sidewalk, and try out the shoes.” They also have a liberal return policy. The key to their success is that they are repeat customer oriented and cater to the serious runner.

The store, BTW, does not stock Nike shoes. Evidently, Nike requires that a certain percent of all the sales come from their brand, and The Runners’ Corner just won’t cow down to Nike’s demands. Nobody misses Nike. We buy Asics, Saucony, Mizuno, etc. The store also stalks everything else you can think of relating to running.

We also have a great new triathlon store, SBR (Swim Bike Run) Sports, here in Orem. It’s fairly new, but it sponsors open water swim clinics, local triathlons, swimming lessons, etc. It carries a wide range of tri bikes, wet suits, tri jerseys and shorts, etc. Most importantly, every time I go in there, I know that I’m going to get great advise.

But if you quit your job and open the store, be prepared to work like a dog. Give your store time to turn a profit. You might not be able to give yourself a paycheck for several months!

Best wishes.

  1. Margin is your friend.

  2. Learn to say no.

  3. Merchandising matters.

  4. The customer is NOT always right.

  5. You can’t be everything to everybody.

  6. Make damn well sure you actually have a market.

  7. Make double damn well sure you can get accounts with the brands you need- Before you sign that lease!

  8. Be a numbers freak.

  9. 50% of advertising doesn’t work. The other 50% is overpriced. Word of mouth is free.

  10. Do what you do well.

(would you like socks with that?)

Study RoadRunner Sports online business model. They do a lot of things right, IMO. Everyone’s advice seems really good to me, but if I were in your shoes, I would copy some of their methods. (eg. liberal return policy, quick checkout, awesome website, super fast shipping which they have vertically integrated to a large degree, super responsive via email, and so on.)

Just my 2 cents. Good luck! (I have a similar dream.)

:wink:

"(would you like socks with that?) "

Don’t leave this out. Everyone knows the price of shoes and you have to be competitive. Not the least expensive, but if you are $50 more than the internet, people will try on your shoes and order from the internet. Your great service may be worth an extra $20 but you make up the other $30 on shorts, socks and other impulse buys. Maybe even a HR monitor or two if you can carry a couple in inventory.

Thanks to all for the great advice. Many of the ideas/suggestions here were already floating around in the back of my mind, but seeing them “in print” has encouraged me to put them down in print. I’m adding a section to my business plan called “Principles” which will spell out some of the core ideas of what makes a good running store – or any specialty store for that matter.

“Be Passionate. Offer great service and a good selection. Accomodate the customer as much as possible. Create a community that people want to be a part of. Hire great people who care as much as you do. Have great relationships with suppliers. Don’t be afraid to charge for value. Be a numbers fanatic.”

I spent some time today looking at available storefronts. It’s quite a thing to look at a beat-up space with walls in all the wrong places and form a picture in your head of a neat, well-lit store with gear all over the walls and on racks and people wandering around looking at all their options. It’s a long road between here and there, though!

Lee

Much of my job is advising small business people every day (different industry). I don’t want to seem harsh but you have to ask yourself a lot of tough questions before you make the commitment. You have a great idea and a lot of great advice but you have to make sure you are cut out to be an entrepreneur. You may open a running store because you love to run; only to find out you don’t have time to run anymore. Is there a need for a running store in your community or is it your need to open a running store that drives your decision?

Research, Research, Research!!! Go to the small business section of your library and or bookstore. Read books like,** The E-Myth Revisited: Why Most Small Businesses Don’t Work and What to Do About It** by Michael E. Gerber.

Other things to do after you make the decision.

Learn the numbers and look at them all the time. The end of the month is too late to find your mistake.

Understand cash flow.

Make friends with your local business banker.

Join your local business associations.

Shop the competition every chance you get.

Find a good accountant with experience in this type of business. This is not the position you hire your sister in law for.

Work your ass off any remember to have fun.

Good luck

Dave

Being an entreprenuer myself the above post’s gave some great advice. The only beef I have about smaller retailers in general, is times they open. Its nice to be able to shop at other than business hours.

As a fellow small business owner, my advise would be to go work at a running store for 6 months. I can think of about 100 positive things about this experience, but here are some of the more important ones.

  1. See if you actually like it or not. (Better to find this out before you invest your life savings and sign a 5 year lease.)

  2. Learn how the business works. (Working with someone who know how to do it is a lot easier than fumbling around trying to do it yourself.)

  3. Learn what not to do. (Better to piss off someone elses customers.)

  4. Develop some contacts in the business. (It’s not what you know…It’s who you know.)

  5. Etc., Etc., Etc.!!!

Hope this helps.

Jeff

I own a bike shop.

This morning I got here at 5:37 A.M. I will not leave until after 11:00 P.M. tonight. I have an appointment with our web adminsitrator back here tomorrow at 7:00 A.M. Sunday we are doing tech support for a local race we pay to be at. I have to get up at 4:30 A.M. Sunday morning for that, then do more web updates that evening until about 9:00 P.M. Yesterday I slept in: I came in at 6:30 but didn’t leave the store until 1:30 A.M. last night. I’m still way behind in my work. Right now there is a customer standing over my shouldergetting pissed that I am not at their beck and call. Good, they just walked away. I just had to sit down for a second and I saw your post. Take my word for it, if you weren’t a SEAL, Ranger, Marine Corp Recon, USAF Pararescue or otherwise a weirdo and don’t love sleep deprevation, a shit diet and only hearing about your many failures- keep your day job. I did the math once. I think I make $2.33 per hour. I’m not kidding.

Tom,

In one of your own posts not too long ago you talked about how opening the store was the best thing you had ever done. You may make 2.33 and hour but it is all yours and you know you wouldn’t trade it for anything.

It was. Second to joining the Army.

Ok, so I know this post is quite old, but 9 years later is it any better? Do you have more of a ‘team’ or is it just you doing and doing…?? I see your name on many triathlon ‘things’ and have a similar idea to the person who you originally responded to, (open a running store) except a more triathlon involved. I know it is a ton of work/time, but has your return been worth it? Personally and financially.

Quite curious…

Ok, so I know this post is quite old, but 9 years later is it any better? Do you have more of a ‘team’ or is it just you doing and doing…?? I see your name on many triathlon ‘things’ and have a similar idea to the person who you originally responded to, (open a running store) except a more triathlon involved. I know it is a ton of work/time, but has your return been worth it? Personally and financially.

Quite curious…

I’d suggest brushing up on research skills at least. The OP hasn’t logged in for 18 months, doubtful they will see this post. Might be better to see if their website is still in business first, and Demerly has lost his store and also moved on from his next position at Trisports.

John

I think the OP is doing GREAT - Great shop, well known and VERY well respected in the market -
.

By reading the replies, having a good attitude will help and your customers will appreciate it.

I agree with just about all the advice here. The one thing I disagree with is the liberal return policy. Of course consumers want that. And it works for big box stores (zappos, running warehouse). But this doesn’t work on the small business front.

In order to provide that you need to be willing to frequently take a loss from shoes. While you plan for seasoned runners to be you clientele, the reality is that every Dick and Jane are your clients. And they don’t know crap a out running. So they buy a shoe and bring it back several weeks later because their feet or knees hurt (probably unrelated to the shoes). What’s your plan now? If you accept the return, then you have a used shoe with no market value. From the shops I talk to, this is 25-30% of clients. And it will cause a headache for you and your staff

Unless you have a major infusion of cash, most stores are low inventory. Don’t tie up too much money in a giant inventory that takes time to move. Start slow, know your brands and grow from there.

I would recommend taking a road trip to at least a dozen running stores. Contact the manager and see if you can take them to lunch to ask them about beat practices. You really might be shocked what works.

Yowza. I haven’t been on slowtwitch in a long time. We’ve been an advertiser/supporter of Slowtwitch for years, but the forums are just too addictive and I had to quit cold turkey. A friend forwarded this to me.

To answer the question that resurrected this thread from 9 years ago (YOWZA!): Yes, JackRabbit is doing great. We have four stores in Manhattan and Brooklyn, employ over 100 people, sponsor dozens of races and community events, and continue to get rave reviews from every constituency that I care about.

Having said that, I’ll also say that I was incredibly lucky to be in the right place at the right time. We had a very unique competitive situation that allowed us to grow, and a focus on sports (running first and triathlon a close second) that have experienced explosive growth over the past 9 years. I was also very lucky to find and keep a great management team (including one who was a slowtwitch regular!) for the stores and for our backoffice operations.

Would I recommend it to someone else? Hell, no. But the kind of person who would actually listen to that advice isn’t going to succeed starting a business anyway.

Lee Silverman
JackRabbit Sports
New York City