Walk down almost any high street in Britain today and you'll notice that independent retailers are increasingly the last shops standing, where chains have retreated and units sit empty.
Being the last shop standing brings both opportunity and challenge. Fewer competitors nearby means a captive audience, yet growing costs squeeze margins and consumer spending. Relying solely on your traditional product range or business model isn't enough anymore. Diversification has moved from being a nice-to-have to an essential survival strategy.
I'm not talking about abandoning what you do well or losing your identity. I'm talking about smart diversification that builds on your strengths whilst opening up new revenue streams and appealing to different customer groups.
Product diversification works best when it feels natural to your existing offer. It's about finding complementary ranges, whilst using your existing expertise and supplier relationships.
But diversification isn't just about what you sell – it's about what you offer. Services represent one of the most powerful ways to differentiate yourself from online competitors and create reasons for customers to visit repeatedly.
Click and collect has become table stakes, but have you thought about delivery services for elderly or less mobile customers? Personal shopping appointments? Gift wrapping and gifting services? These aren't complicated to implement, but they create touchpoints and revenue opportunities that pure product sales don't offer.
Some retailers are getting creative with their physical space. If you have quiet periods or underused areas, could you host workshops, demonstrations, or community events?
The challenge, I know, is capacity. You're already working flat out managing costs, dealing with suppliers, serving customers. How do you find time to diversify? My answer is to start small and test. Pick one new product line or service. Trial it for three months. Measure the results. If it works, expand it. If it doesn't, you've learned something without overcommitting resources.
Talk to your customers. They'll tell you what they need. A conversation at the till about "I wish I could get X locally" is market research gold. Those insights cost nothing and often reveal opportunities you hadn't considered.
Look at what's disappeared from your high street. Are there products or services that used to be available locally but aren't anymore? That's often where the biggest opportunities lie. You're not just diversifying - you're filling genuine gaps in your community's needs.
Being the last shop standing gives you permission to be more than just what you've always been.
Start this month. Identify one opportunity. Test it. Learn from it. Your future depends on it.
Andrew Goodacre Photo: Handout