HOW TO SET UP A MATTRESS RETAIL BUSINESS IN NIGERIA
Everyone will eventually need to purchase a mattress, whether you’re going away for college, or going for NYSC, or perhaps for a new born baby, or a new couple, or even people replacing old and worn mattress. The need to get one will arise – sooner or later.
Starting a mattress retail business in Nigeria is a unique retail opportunity that has the potential to be quite profitable.
So, if you’re looking to start your own business selling mattresses, I’ve prepared a guide for you to read through and then post questions on hazy areas.
Review the competition
Prior to opening a mattress shop, it is worthwhile to see how strong the competition is. Before you even set out to open your doors for business, you need to make sure that you fully understand the competitive landscape and how your new business will fit in. It’s a bad idea to just rush in without determining how the competition will affect your business’s profitability.
Create a winning business plan
While this is usually overlooked by most businesses, the fact is; there really is no wisdom in starting up a business venture that you’ve not effectively planned for. And how better to plan a business than preparing a winning business plan?
Your business plan will act as a guide for your startup, and even as you continue to grow, you will need to keep updating your business plan to meet up with new objectives, goals( short – term and long – term), financial projections and so on.
Preparing a good business plan is not too hard to accomplish. Just read articles on ‘how to write a business plan’. Alternatively, you can contract professionals to prepare one for you, along with a detailed feasibility studies for your business; call 08105636015 or send a direct mail to email@example.com
Identifying mattress suppliers/distributors
As a retailer, you will be buying your goods mostly from mattress distributors as you may not be able to buy directly from the manufacturers. You therefore need to determine where you can get your supplies from at a wholesale price. There are two ways to go about this;
- Sign up for a license to sell products under the name of a big mattress distributor, Or
- Start from scratch on your own
While the first option may sound better, especially if you have no experience whatsoever in mattress business; it is more rewarding to start up on your own.
Starting on your own means that you will not be shackled by the regulations of another company regarding everything from how you set up your store to how you interact with customers. You also won’t have to share your profits with them.
List of mattress distributors in Nigeria
Do a quick research on the following companies to determine your choice of suppliers
Vitafoam Nigeria PLC
This company manufactures and distributes vitafoam products in Nigeria. They are located at 162, Oba Akran Avenue, Ikeja, Lagos
Vono products PLC
They are the manufacturers and distributors of Vono foam products in Nigeria. Located at 326/328 Agege Motor Road, Mushin, Lagos
This is the Nigerian production centre for distribution, and sales of mouka foam products. You can find them at Plot M, Awosika Avenue, Ikeja Industrial Estate, Ikeja, Lagos.
Apaco Foam & Chemical Industry
Apaco Foam & Chemical Industry is a manufacturer of flexible foams, mattresses of different sizes, pillows, cushions, etc. They are located at 3 Muobike Crescent Along Owa-Ekei Road, Boji-Boji, Owa Agbor, Delta State.
Alternatively, you can get your supplies by placing wholesale orders from online sellers like alibaba, Amazon, eBay
Settling for a niche?
Do you want to run a mattress store for a particular brand, for example; to sell mattresses for new couples, or for babies, or for boarding kids; all these options will direct on how to go about picking your own niche. Some businesses however do not tend towards any niche, but instead take the general route selling everything from babies’ cots, to family size mattresses, to those for college students. Going the general route would be best if your business location doesn’t already have big mattress stores, if it does, you may have to consider settling for a niche so you can easily market your store as the best place to fill specific needs.
Get a showroom for your business
Secure a place to store your mattresses that is clean, free of dust and pets, and away from sunlight and dampness. Your store should be ideally located near furniture shops, home decor and accessories shops or high traffic shopping malls.
Next, you want to pay attention to how you display your goods. Arrange your mattresses elegantly and make them conspicuous. For this purpose, you should locate your mattress business by a major roadside and not inside a street if you can help it.
Hire extra hands
Even as a new start up; you will still require the help of someone in your shop to carry out small tasks like lifting and arranging the mattress, and also to attend to your customers. If possible; hire a cashier too.
Promote your business
You need to put in a lot of promotional efforts into the advancement of your business so as to help boost sales volume.
Employ channels such as; print media and online platforms to put your business out there. Promote your mattress retail business by posting on classified-ads websites, handing out fliers and coupons to complementary businesses such as decor stores and furniture stores, and launching a promotional blog or website.
Is mattress retail business profitable?
The profit of selling mattress is high. The costs involved in manufacturing the mattresses are low but most retailers manage to sell it for more which results in a high profit margin. For example, an average mattress costs around N25,000 to make and can be sold around N60,000, while an expensive one costs around N70,000 to make and can be sold for around N190,000.
So you see, if you sell up to 50 mattresses a month, you will make enough to cover your expenses ( rent, salaries, overhead bills, etc) and have more than enough turnover at the end of the day.
If you need more information or would like to book a consulting session with us, you can call us on 08105636015 or 08076359735. Alternatively, you can send a mail to firstname.lastname@example.org
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Serial Entrepreneur - International Business Planning Consultant - Speaker - Trainer - Author - Blogger - Network Marketing professional.
- 2018 SME Business Trainer and Coaching Advisor at GIZ for SME Loop.
- 2018 YALI RLC Online Cohort 9
- 2017 Fellow, Inspire Africa Train-the-Trainer Entrepreneurship programme sponsored by US Consulate Lagos and the Dickey Center, U.S.A.
- 2016 Fellow, Tony Elumelu Foundation Entrepreneurship Programme
- 2015 Top 50 Innovative Entrepreneurs, BET5 by Diamond Bank and EDC, PAU.
He is an alumnus of Enterprise Development Centre (EDC) of the Lagos Business School (LBS), Pan-Atlantic University (PAU). Through his training, mentoring, speaking and coaching programmes, he has empowered many young people over the years to start and grow their own business, build wealth, create multiple streams of income and achieve financial independence.
- He is a Certified Trainer in Design Thinking by the U.S Consulate, Lagos and the inspire Africa Entrepreneurship Institute.