In business when you’re looking to establish yourself and your venture there’s one rule that you must remember; location, location location. So how can you ensure that you pick the location that will see your business thrive?
In the field of hospitality location is a key issue. This is because hospitality is an industry centered on the idea of ensuring its customers have a good time; that they enjoy themselves. If the location doesn’t facilitate this then it doesn’t matter how good the service you provide, the location will damage the experience in the eyes of the customer.
Basically if you set up a first class hotel in a rundown neighbourhood, you are not going to attract the type of client you need to turn said hotel into a successful business venture. So how can you ensure you pick the right location?
Firstly have your client in mind; does the location you have chosen reflect their lifestyle, their values etc. Will they feel comfortable coming to said location? It works both ways. High class clients will feel uncomfortable in a run-down area and lower class clients may not frequent your business if they feel it is not targeted at them.
You also have to consider demographics; is the business able to work in a place with a certain demographic. For example there’s no point setting up a high class restaurant in a student area, they wouldn’t be able to afford it.
Then you have to consider crime rates. If an area has a high crime rate, it doesn’t matter what type of business you are setting up, you could be a victim of theft, vandalism etc. This would damage your brand and cost to repair. If an area has a high crime rate then it should be avoided at all costs.
Another element to consider in location is noise pollution. Hospitality is an industry that depends on providing a unique experience. If the location of your business is prone to noise pollution (a common area for ambulances for example) it is going to impede on that customer experience.
Location, location location is a rule of thumb that anyone setting up a new business must live by. The location of your business could make all the difference in its failure or success.