Do you know that owning and running a footwear business in Nigeria is a very lucrative business. This is because more than 150 million Nigerians wear foot wears on a daily basis, this ranges from shoes, flip-flops, scandals or high-heel etc to various occasions and hang outs.
This may look like a business and a capital intensive difficult to venture into, in this article, I will try to explain how one can start this business, profit in it and how to penetrate the Nigerian market. I will encourage you readers, to read this article to the end and comment below if you have any questions or challenges.
Overview of Footwear’s in Nigeria.
As I earlier said, there are over a million of Nigerians that wear shoes and various foot wears on their day to day activities. This foot wears can range from various types, texture and materiel to price – all depending on the wearer’s choice.
Over the years, Nigeria has become self-dependent when it comes to “the manufacturing and production of footwear” during the 2000’s we imported most of this foot wears. But now, they can be produced in Nigeria and that’s where we are going to center our business idea on.
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Though importation of this foot wears can be a good choice, but when putting the cost of transportation (shipping and custom clearance) and economy issues (Foreign Exchange) into consideration it becomes a good option to source your shoes from Nigeria.
Now, let me dive right into tips on how this business works and how to go about it.
Choose Your Market Niche
In the footwear business one has to choose from making the foot wears by himself/herself or buying directly from the local manufactures and in this article, will be centred at buying directly from the local manufacturers, because to start producing this footwear’s you will need to first learn the skill and develop it, which will come with time and dedication.
Make the Market Research
Make the market research, a an entrepreneur you need to know how well the market will react to some certain fashion trends, what do the youth, the elderly, children wear most of the time. How much are this people willing to buy and what make and quality do individuals prefer. This are some of the questions one need to ask by going into the field and also this will aid you in making quality decisions on how to run your business.
So many people neglected this step in starting their business, as they just ask one or two people or some of there friends and that’s it. In order not to spend too much or spend too little, you need to make a market research by asking lot of people and a lot of question.
Source A Manufacturer.
This may be the hard part in this business but if followed with clear and planning, it can be quite easy, depending on where you leave and the region, those who live in the eastern part of the country can buy from the one of the most popular market in Nigeria, Onitsha in Anambra State, if you are in the Southern part of Nigeria, you can buy from Aba in Abia Sate, if you are in the Western
part of Nigeria then you can buy from any one the popular market in Lagos State, those in the South West can buy from any popular market in Kano State, the only issue are for those in the North East as they can buy any of the above listed market or simply source locally.
Plan the Plan
This is the planning stage, a good business is a business that is well planned, this involve using the data or information you have gotten from making market research to plan the model of your business.
This include what kinds or types of foot wears do you want to sell, for what gender do you intend to sell to, your price range. This will make you to focus your market strength and strategy of a particular customers and you won’t make the mistake of targeting the wrong customers.
Building Your Structures.
I am in support of starting your business small and growing it, so you can choose how your shop or store will look like, sometimes starting your business by the road side isn’t a bad idea and can also be great in attracting potential customers, this depends totally on you, your budget, and your business planning.
Raw Sketch of the Business Model.
This is just a rough sketch and estimation of how your footwear business should look like, lets assume you live somewhere in the southern part of Nigeria and the closest place to source the footwear to buy are in Aba, you go to Aba in a particular day and you buy these footwear (depending on your business plan do not buy only one particular brand) and you transport them back to your desired location and you plan how much you want to sell, the demand and supply in your area determine on how much you can sell them, there are some foot wears you can sell and make a profit of ₦500 and others you can make more than ₦2,500 .
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How well you market your business determine how well you will sell. Marketing can come in two forms: the off-line marketing strategy this involve taking your goods to offices or public places to make a sale and the online marketing strategy where one advertise his or her business online through various social media channels, you just have to choose and then start marketing.
To start this business, you will require a capital of approximately ₦160,000, a breakdown of the capital: ₦100,000 should be your purchasing power to buy your product,s while depending whether you would want to build a little store or rend a shop, we will budget ₦40,000 to that and ₦20,000 to miscellaneous.
This is a lucrative business that can fetch one hundreds, if not millions of naira if and only if one take this business idea serious.