Foreign Retailers

One option for companies to market products abroad has been to create "pop-up shops" that allow them to sell their products in areas of heavy foot traffic, such as in busy streets or outside popular venues. Read this chapter to see how this setup can work from a financial standpoint.

Chapter Overview

Pop-up retailing is a form of temporal business operation that is embraced by many, from global luxury brands and multinational big box retailers to internet pure-players to micro main street mom-and-pop shops. While some pop-up shops are part of big budget campaigns for brands, others are leveraged as gateways to new business ventures. Regardless of the business size, financial planning, as part of a comprehensive business plan, is one of the most important steps for successful business operations. This chapter will cover topics related to budget and finance for pop-up retail operations.

Learning Objectives

Upon completion of the chapter, readers will be able to:

  • Identify the costs and expenses involved in the set-up, operation and take-down of a pop-up shop.
  • Choose financing options that are best suited for a pop-up retail operation.
  • Discuss how a pop-up shop can be a low cost/ low risk venture for retailers.
  • Develop strategies for using a pop-up as a targeted big budget campaign for brands.
  • Identify the costs and expenses involved in the set-up, operation and take-down of a pop-up shop.
  • Choose financing options that are best suited for a pop-up retail operation.
  • Discuss how a pop-up shop can be a low cost/ low risk venture for retailers.
  • Develop strategies for using a pop-up as a targeted big budget campaign for brands.

Setting the Context

The following video helps to offer some context to basic budget planning and considerations for running a series of pop-up shops.

In this scenario, a sportswear manufacturer and wholesaler is planning to run its own retail operations in shopping malls. Before launching permanent operations, they are interested in testing the water by running a series of pop-ups in collaboration with some sports event organizers, as well as running a standalone pop-up in a shopping mall that happens to have a short-term lease available.



Source: Ryerson University, https://pressbooks.library.ryerson.ca/popup/chapter/chapter-12-budget-and-finance/
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