That expression is very true for establishing a business in real life and it also applies to Second Life®. There are some differences in what to consider in choosing a location. I’ve done a lot of tracking (I’m a statistics geek) over my time here and following is my opinion and considerations in choosing a locale for your business.
There are a lot of spaces for rent at or near clubs in Second Life®. The idea behind this is that clubs will generate traffic and that traffic will benefit the stores located there. I’m not convinced this is so. People go to clubs for a number of reason, least of which is to shop. While shops may get some spin off from the club, I don’t feel it’s significant. I’ve had shops close to clubs and on my sim, I have a club located near most of the stores on the island. In my experience, I’ve found that approximately 1 in 30 people attending a club will venture out to view the surrounding shops. Of the people that do, approximately 1 in 10 will purchase something. Following suit, that means 1 in 300 people attending a club event will purchase something from one of the shops in the area. Not great statistics. That doesn’t take in to account anyone that remembers the area and comes back at another time. You decide, but I don’t think club traffic transforms into shop traffic.
Setting up a shop in a well established mall can be beneficial, but there are a number of things to consider. First, be wary of traffic numbers. Check those numbers periodically over a period of time to make sure they stay constant. As well, there are a variety of reasons for high traffic numbers. I won’t consider bots here although they are an issue. Traffic numbers may be high due to events in the area, an established well known shop in the area or any number of reasons. If there is a high profile shop, can u rent a shop in close proximity? Is your shop close to the landing area? Can you promote your shop within the mall (ie tp board)? Is there an easily seen directory to tp directly to your shop? Don’t jump into renting right away and perform your due diligence. Don’t be afraid to ask questions of the mall owner and other renters in the mall.
You can of course purchase your own piece of mainland and try to establish yourself there. That’s the route I went. The cost is relatively low depending on how much land you need. You can pretty much do what you like in terms of setup and design and really have no one to answer to but yourself. The problem with this is getting word out and as I’ve said before, you need to do a lot of advertising and promotion to accomplish it. Renting a parcel on a private sim will work pretty much the same way.
I feel that trying to piggy back off some else’s success (traffic) is not the route to take. It doesn’t always benefit you and if you do rent in a high traffic area, the cost can be quite high. Unless you’re willing to sink a lot of money into your business, it’ll prove fruitless. If you do want to spend money, do it other ways to advertise and promote your shop.
Consider the following when looking for a place for your business:
Can I afford the rent and will my sales generate enough to cover the rent?
Does the landlord do any promotion that will benefit my shop?
Is the traffic consistent day to day and week to week?
Is my shop visible to customers upon landing and is it easily accessible?
Other things to consider are:
Is there competing businesses in the area?
Are there successful businesses in the area?
Are there a lot of empty shops in the area?
How long has this mall/location been around?
While there are many factors in making your business a success, starting with a suitable and cost effective location is crucial. Don’t be swayed and take everything into consideration before you make a decision. Establishing yourself takes time and won’t happen overnight. It doesn’t in real life either, so be patient. We all make mistakes and be prepared to make a few yourself. Choose wisely and good luck.
As always, if you have any questions, I’d be happy to try to answer them.
Jenny
There are a lot of spaces for rent at or near clubs in Second Life®. The idea behind this is that clubs will generate traffic and that traffic will benefit the stores located there. I’m not convinced this is so. People go to clubs for a number of reason, least of which is to shop. While shops may get some spin off from the club, I don’t feel it’s significant. I’ve had shops close to clubs and on my sim, I have a club located near most of the stores on the island. In my experience, I’ve found that approximately 1 in 30 people attending a club will venture out to view the surrounding shops. Of the people that do, approximately 1 in 10 will purchase something. Following suit, that means 1 in 300 people attending a club event will purchase something from one of the shops in the area. Not great statistics. That doesn’t take in to account anyone that remembers the area and comes back at another time. You decide, but I don’t think club traffic transforms into shop traffic.
Setting up a shop in a well established mall can be beneficial, but there are a number of things to consider. First, be wary of traffic numbers. Check those numbers periodically over a period of time to make sure they stay constant. As well, there are a variety of reasons for high traffic numbers. I won’t consider bots here although they are an issue. Traffic numbers may be high due to events in the area, an established well known shop in the area or any number of reasons. If there is a high profile shop, can u rent a shop in close proximity? Is your shop close to the landing area? Can you promote your shop within the mall (ie tp board)? Is there an easily seen directory to tp directly to your shop? Don’t jump into renting right away and perform your due diligence. Don’t be afraid to ask questions of the mall owner and other renters in the mall.
You can of course purchase your own piece of mainland and try to establish yourself there. That’s the route I went. The cost is relatively low depending on how much land you need. You can pretty much do what you like in terms of setup and design and really have no one to answer to but yourself. The problem with this is getting word out and as I’ve said before, you need to do a lot of advertising and promotion to accomplish it. Renting a parcel on a private sim will work pretty much the same way.
I feel that trying to piggy back off some else’s success (traffic) is not the route to take. It doesn’t always benefit you and if you do rent in a high traffic area, the cost can be quite high. Unless you’re willing to sink a lot of money into your business, it’ll prove fruitless. If you do want to spend money, do it other ways to advertise and promote your shop.
Consider the following when looking for a place for your business:
Can I afford the rent and will my sales generate enough to cover the rent?
Does the landlord do any promotion that will benefit my shop?
Is the traffic consistent day to day and week to week?
Is my shop visible to customers upon landing and is it easily accessible?
Other things to consider are:
Is there competing businesses in the area?
Are there successful businesses in the area?
Are there a lot of empty shops in the area?
How long has this mall/location been around?
While there are many factors in making your business a success, starting with a suitable and cost effective location is crucial. Don’t be swayed and take everything into consideration before you make a decision. Establishing yourself takes time and won’t happen overnight. It doesn’t in real life either, so be patient. We all make mistakes and be prepared to make a few yourself. Choose wisely and good luck.
As always, if you have any questions, I’d be happy to try to answer them.
Jenny
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