Thinking of opening a shop

[egri]

I also don’t think a new brick and mortar store would be a good idea. Is it an option to buy the stock from the guy who used to have a store and sell it online? Might be a way to scratch that itch without the high fixed costs (rent, utilities, security system, etc) that having a physical store entails. And you’d already have connections to potential customers on the BST here.

[Fballguy]

There's a reason all the brick and mortar stores went away and that reason has only gotten more pronounced. If you want to open a store, I'd do it on ebay.

[abothebear]

Good to know about the difficulty in getting product from Topps. That is how the store I mentioned makes most of its money (combined with eBay sales from stuff he gets from opening boxes himself or from purchases from customers). That would a how I figured I’d make the rent, but if I couldn’t get cases from Topps I don’t suppose that would work.

I understand the vintage stuff wouldn’t make any money, or was just curious of better ways of making it at least a part of the life blood of a store.

The shop I keep mentioning had a great weekly consignment board system that kept people coming in twice a week at least, and kept the shop full of new and interesting affordable inventory. If there is an itch that needs scratching, I suppose that is it. I loved that consignment board and how it makes the store alive.

[drcy]

I can't see how a brick and mortar card shop is viable.

[swarmee]

Yes, one of the biggest complaints I have read from shop owners is that it's almost impossible to get new hobby cases from distributors. You can't just order the cases that will be big sellers; you have to buy lousy products just to have a chance at the normal stuff that sells. And even if you request 2 cases of a product, Topps or the distributor might cut your allocation down to 2 boxes and you have no recourse. With how box prices have been climbing sky high over MSRP, demand for cases is up, especially with all the people who have started Group Breaking online. They're willing to pay your distributor 30%-50% more for the same unopened case, because they can spread the costs over hundreds of buyers who are clamoring to pay 3x retail for the same box you're trying to buy and resell at a small margin.

You can do it, but not likely as a shop that caters to vintage collectors. You may want to branch out into Magic, Pokemon, Funko Pop toys, etc. You'll need table space for those guys to play their games or trade, since it's almost impossible to keep enough stock of the right cards to sell directly to them.

How much money are you willing to have wrapped up in inventory? How would you get a business loan? Ask yourself a lot of questions. You might want to start out having a sports card booth in an antique mall in your area to judge the level of interest. One of the big pros to doing that (or having a card shop) is that you have the best chance of someone telling you about their 90s basketball insert collection, or vintage collection they've been lugging with them through all their moves. The old adage says "you make money when you buy."

[Directly]

Three factors- Location, Overhead, Advertising.

First--Try attending some shows or setting up some shows, You might even try a flea market booth, pay maybe 100.00 month. Advantage you have other venders selling all kinds of other items which attracts all kinds of shoppers --instant traffic! I owed a shop and the building in a busy location for twenty years but wasn't needed for any income. Yes we did great before eBay, especially during the beanie baby graze! Was direct with Topps, Upper Deck, Fleer and Wizards of the Coast. I've heard product is difficult to get in any volume to make any money so you would have to diversity, one advantage of a location sellers bringing in items to sell--
A 52 Topps mantle, 52 Topps and 48 leaf Robinson, several Cobbs, Jordan RC came through in our door plus too many items to list --but again was before the internet--

Having a shop for income or fun are two questions you need to ask yourself.--you can always try a shop, get a retail tax licenses, sign a year lease if required at the most, mark out any extra clauses in the contract that requires paying any thing extra, Property taxes, Equipment repairs, etc.-so be diligent with your homework and the decision is yours alone--good luck!

[rats60]

The only way I would open a store is if I could buy an existing store with direct accounts for Topps, Panini and Upper Deck. The distributors really aren't distributors, they are dealers who are looking to maximize their profits and that leaves very little for a store with high overhead.

When I opened stores in 1984 and 1991, it was easy to get those direct accounts. Today it is not and a big reason why I no longer have a store.

[markf31]

I think this is an idea that many on this board may have entertained at least fleetingly in one way or another over their time in the hobby, I know I have.

A little research and leg work on starting your own business can inform you relating to start up cost, taxes, overhead costs as there are a ton of good books out there and of course a simple Google search on starting up your own business.

As for the card shop itself....can a brick and mortar card shop succeed, sure it can and there are a couple in the Pittsburgh area around me that are still surviving. I do believe one key point as you and a couple other posts also mentioned is that you probably need a hook beyond just selling cards to get foot traffic in the door.

These hooks could include:
Your consignment board
One shop near me (prior to codvid) had at least monthly in person autograph signings by current and retired local Pittsburgh athletes
Offering live in-person box breaks at the store
Sell the books of local sport authors and have book signings and open q/a sessions with the author

Good luck in your research and your endeavor.

[Leon]

Nice analysis....

Originally Posted by swarmee

Yes, one of the biggest complaints I have read from shop owners is that it's almost impossible to get new hobby cases from distributors. You can't just order the cases that will be big sellers; you have to buy lousy products just to have a chance at the normal stuff that sells. And even if you request 2 cases of a product, Topps or the distributor might cut your allocation down to 2 boxes and you have no recourse. With how box prices have been climbing sky high over MSRP, demand for cases is up, especially with all the people who have started Group Breaking online. They're willing to pay your distributor 30%-50% more for the same unopened case, because they can spread the costs over hundreds of buyers who are clamoring to pay 3x retail for the same box you're trying to buy and resell at a small margin.

You can do it, but not likely as a shop that caters to vintage collectors. You may want to branch out into Magic, Pokemon, Funko Pop toys, etc. You'll need table space for those guys to play their games or trade, since it's almost impossible to keep enough stock of the right cards to sell directly to them.

How much money are you willing to have wrapped up in inventory? How would you get a business loan? Ask yourself a lot of questions. You might want to start out having a sports card booth in an antique mall in your area to judge the level of interest. One of the big pros to doing that (or having a card shop) is that you have the best chance of someone telling you about their 90s basketball insert collection, or vintage collection they've been lugging with them through all their moves. The old adage says "you make money when you buy."

[Casey2296]

Originally Posted by abothebear

The shop I keep mentioning had a great weekly consignment board system that kept people coming in twice a week at least, and kept the shop full of new and interesting affordable inventory. If there is an itch that needs scratching, I suppose that is it. I loved that consignment board and how it makes the store alive.

Very astute of you to have identified your motivation on why you want to open a shop before diving in. Action & Camaraderie. Those two things along with the lure of self-employment are why a lot of people open businesses, some succeed, a lot fail. For me, there is no greater feeling than taking an idea and building it into a profitable business but, it's always a grind, filled with self doubt, long hours, and expensive lessons. Ask your guy who has all the inventory why his business failed. Are you willing to turn the key in the door every morning knowing you have to make $500 that day and if you don't you have to make $1000 tomorrow? It will be 100% your responsibility to ensure there is more income than outgo. The government, the power company, your distributors, your employees, etc, don't care if you're successful, they just want their money every month. And you better have it or the doors won't be open very long. You'll be amazed how fast your burn rate is. Are you willing to mortgage your house for start up costs and possibly lose it all? How will it affect your family if you do lose it?

Action & Camaraderie. Maybe think about it a different way. Can you take the start up costs, say 150-200k and use that money or a portion of it to fulfill that need within the hobby/business you're passionate about without opening a brick and mortar? Weekly meet-ups, online community, network building, etc. take some time and think creatively outside the box on how to fulfill that need without risking the farm. It doesn't cost much to come up with a lot of ideas and stress test them. If that's not enough you can always spend/risk more money to open a brick and mortar.

Either way I wish you the best of luck and great success!

[abothebear]

These are helpful comments, y'all. Thank you.

[vintagetoppsguy]

Originally Posted by abothebear

These are helpful comments, y'all. Thank you.

No, they're not helpful. You're getting bad information from people that have no business sense whatsoever. I don't understand why people feel the need to comment in a thread just to give an opinion of something they know nothing about. I'm not trying to sound rude, but how many of these people have actually ever even owned a business...any business? I have.

I know a guy that had a shop in a small town south of Houston (Manvel, Texas) that has a population of 10,179 people. His last year in business there he did $20K in sales. Frustrated, he moved his shop to another town just west of Houston (Katy, TX) that has a population of 20,202 (so right at double where he previously was) and now he does in the mid 6 figure range in sales. He's doing amazing! The name of the shop is 3rd Coast Cards.

The biggest factor to consider is location. He opened his store right across the street from the local high school and he feeds off that traffic (nearly 3000 students)...again, to the tune of the mid 6 figure range.

Don't listen to these people. It can be done...and done quite successfully.

If you want the guys name and number, PM me and I'll provide it to you and you can pick his brain for ideas. I can also give you names of other guys and shops in my area that have had brick in mortar stores for 25+ years - Howard Lau of Houston Sports Connection, Eddie Martinez of the Old Ballpark, etc. and aren't just surviving, they're thriving. If you're really serious about opening a store ask people that have had success doing it. And don't listen to people that once had a store, but no longer do. Let's be honest, unless they retired from the business, they failed. Right? Do you want opinions and ideas from people that failed? If I were going to start a business - any business - I wouldn't ask a public message board. I would find people that have had success doing it and I would mimic them.