Thinking of setting up an Antique booth in an Antique Mall as maybe a little side hustle? Don’t and I’ll tell you why. There are so many systemic weaknesses in the business model it’s almost hard to know where to start. The first systemic weakness is that the Antique Store as a going concern, has become something you do, as your waiting to go to lunch. It’s become like a tourist attraction, where people walk through with no intention of buying anything. And if on the off chance, they happen to see something they like, they quickly pull out a phone and research it on Ebay, where they can quickly get an education and the good, better and best price. Nowadays most Antique Stores list a large part of their inventory on Ebay, and it’s not surprising to hear that 50-75% of their business comes from their on-line postings.
The second systemic weakness, is the way the Antique business has trained their customers, not to pay the marked price. You can casually walk a store and hear over and over the same weak enticement, “if you see something you like, let me know I’m sure we can work something out”. They create the impression that they are desperate to sell almost at any price. After years of this type of behavior, customers look upon Antique Stores and Malls, as not much better than a flea market or garage sale. It’s like it’s “Let’s Make a Deal” and the dealers are Monte Hall.
The third systemic weakness is the rise of the Antique Malls, with their mistaken belief, that there is strength in numbers. The only people making any money are the Mall owners. This is such a sucker deal that it has to be discussed in it’s entirely. First off they charge anywhere from 1.50 to 3.00 per square foot of space. So a 10’x10′ booth can run anywhere from 150.00 a month to 300.00 a month depending on where the booth is located in the Mall. Booths near the front or on the corners can even demand more.
In addition to the rent, most Malls take a 10% cut of anything they ring up at their registers. Side deals or off site transactions are strictly forbidden. The Mall is only interested in sales and has no incentive in maintaining the gross margin of a booth owner. Since the Mall makes 10% on anything you sell, in a lot of cases they even volunteer to call the owners, to see if they will accept a lower price on behalf of the customer. The Mall owners often develop an adversarial relationship with the booth owners, if they refuse to answer their calls or constantly refuse to drop their prices, even for the most ludicrous offers. On top of the rent and the 10% override many Malls require the booth owners to work one or two days a week, for free.These 8 hr shifts constitute free labor for the Mall, and they love free labor.
Malls advertising budgets are often small and ineffectual or non-existent. They relief in large part on the booth owners use of their own social media platforms, to advertise the Mall for them. After all how do you advertise your booth without telling them where it’s at and as such advertising the Mall. The Mall owners love this free advertising and will actually criticize you if your social media presence is weak.
It’s these three systemic weaknesses, that have made setting up an Antique Booth a losing proposition. You better off building a website and creating an on-line store, but when you factor in the cost of shipping and handling this puts additional strain on profit margins that are already very low. You basically (depending on your cost) making pennies on the dollar. That’s why the Affiliate Marketing business model makes so much sense. Choose from millions of products to promote without the hassle of maintaining inventories or shipping. In addition to that depending on the products you promote there are many opportunities for residual payments, and who doesn’t like the idea of being paid over and over for making one sale.
If, you have never considered Affiliate Marketing I encourage you to take a look at the Wealthy Affiliates Platform. It’s free, but whatever you do don’t try setting up an Antique Booth, the industry has killed itself.
As always, thanks for visiting. Dave