Antique Mall location

[TMAM]

Hello!
My wife and I are planning on opening an antique mall and have faced quite a few challenges. We recently toured a building that looks promising but has one thing that is kind of bugging us - there's a thrift store next to the location.
When I say 'next to', I really mean 'in the same building'. The building used to be a grocery store but was divided down the middle. The thrift store is is completely separate from the other side but the two sides share a common front awning. There is no 'pass thru' between the two sides.  Like a duplex - two different residents that share a common wall.
We are concerned that customers will think that our mall is part of the thrift store and vice versa. The real estate agent thinks they will complement one another as customers of each are interested in used merchandise. I don't agree exactly.
Is this something we should even concern ourselves with? If you rent space(s) in an antique mall, would this arrangement concern you?
Opinions both from the professional viewpoint as well as a customers viewpoint would be greatly appreciated. Thanks in advance.

[VoodooDolly]

I understand your concerns, but ultimately I think that having a thrift store next door to you can only increase your traffic -- traffic but not necessarily sales.  I'm speaking from both points of view, that of a shopper and that of someone just dipping into the business end of things.  Here is what I know: when I hit a thrift store, I'm looking for bargains.  I'm not going there to drop a lot of money.  I would imagine, though, that like any antique mall, yours will have some vendors with some lower-priced items that will be within a thrift budget (the $5-15 range).  What is the rest of the area like (business-wise)?  There are other more experienced sellers on here who will chime in, but that's my brief two cents on it. 

[cogar]

Like the old proverb goes, .... ya gotta get them in your store before you can sell them anything. The Thrift Store patrons will tell their friends that your shop is there.

Just put up a sign, ..... "If you break it, you bought it" ..... in case adults bring kids in with them.

[TMAM]

Thanks for the replies. The building is in a nice suburban neighborhood. The location is in a strip mall with fast food, a Kmart and various other small businesses. All seem to be doing OK. The grocer that used to be in this building moved down the road to a larger space.
VoodooDolly: I agree that a busy thrift store would help our traffic but since an antique mall is mostly a 'destination business' would that thrift store traffic result in sales?
Cogar, you brought up an interesting point I hadn't thought of: children. My wife and I have been to dozens of antique malls and seldom do we see kids in them. However, they are there many times in thrift stores (destroying the toy section). Obviously, if mommy takes them with her to the thrift store and she decides to go next door to my mall, they will be coming in too.

[mart]

I personally can`t see a more perfect location !!  Unless you are going to restrict your mall to high end antiques which would be a killer for the mall !!  As a former shop owner I can see that the foot traffic would be increased by this mix !! Thrift stores are one of the places  most everyone goes to looking for those antiques !! Now if an antique mall was next door I would sure walk in there as well,,but I would not walk across the street or drive to a different location just to look around to see if anything was interesting !! As far as the kids,, as long as it is posted at the front door large enough for all to read ( I personally would get each renter to sign it ) I see no problem !!  Your sales are dependent on those lower to middle priced items,, that is where at least 50% of the sales are coming from !!  Without those you will struggle to stay on top of the water !! You need to think about the economy and what people are actually buying !! Most do not have a lot of expendable income right now !! They might spend $20. but will not be as quick to spend $100. or more !!

[VoodooDolly]

VoodooDolly: I agree that a busy thrift store would help our traffic but since an antique mall is mostly a 'destination business' would that thrift store traffic result in sales?

I think that it will indirectly increase your sales.  Like I initially posted, it will increase traffic for sure.  Out of that increased traffic, I think you're going to see a steady, small trickle of small purchases.  I also think that, like someone else pointed out, the thrift patrons will tell people about your antique mall -- you're going to be seen and talked about, free advertising.  Word of mouth is what gets me places more often than not.  I can drive by a place a hundred times without going in, but if a friend or neighbor has been there and tells me it's worth the trip, I generally check it out.  More people = more sales.

[cogar]

Your sales are dependent on those lower to middle priced items,, that is where at least 50% of the sales are coming from !!  Without those you will struggle to stay on top of the water !!

Mart is absolutely correct on the above.

Those frugal to poor K-Mart and Thrift Store mothers .... like their collectibles too.

I useta sit-up at a weekend flea market .... but I would check-out all the garage sales  before opening up ..... and bought those $1 to $5 bargains and would double to quadruple my money at the flea market.

Cause when people get close to a flea market, they remember "something" that they either need or want .... but don't wanna pay retail price for.

You will hafta learn ..... "What sells, ... and What doesn't" in your locale.

If it's an under 30-35 crowd, arts n' crafts are good sellers.

[TMAM]

Wow. I hadn't expected this kind of positive reaction. I was leaning against this location and wanted to continue looking elsewhere but my mind is/was open, so I thought I'd post online and get some feedback. These answers have certainly swayed my feelings regarding this location. Everything mentioned makes sense and even the idea of kids (and items possibly getting damaged) doesn't seem so bad.
Thank you all for the comments and if anyone has anything to add, please do. I will be monitoring this thread.

Thanks again!

[cogar]

TMAM. there is another “trick”, for lack of a better word, that some dealers employ and is called a “cost code” or whatever.

It is a combination of 10 letters, numbers and/or symbols that you determine for yourself that represents the numbers 0 thru 9 ….. and then when you purchase an item you put a “tag” on it with the price you want to sell it for ….. and what you actually paid for it via your “cost code”.

Anyway, 40+-% of your patrons will pay you the listed price and 60+-% of your patrons will either “make an offer” or ask ”how much will you take for it”. Thus, via your “cost code” you can quickly determine how much you can reduce the price without losing money.   
 
Some dealers also put a “date of purchase” on their more expensive items. The reason for that is, you don’t want an expensive item sitting around your store for 6 or 10 years …. because that will cost you money. After so long, …. sell it, … for whatever you can get out of it and put that money in a new item(s) that can be sold for a profit.

Cheers

[Rauville]

In the 35 years that I had my shop I only wish there had been a "Thrift Shop" next door...that took donations.
What a great avenue to relieve yourself of all the extra stuff / junk that you come back from an auction with. Instead of packing a storage building with boxes, just take everything next door and hand it off.

[mart]

Excellent thought Rauville !! Our Goodwill store only had one drop off location in our little town and it was three miles from my shop !! T'was a pain !!

[KC]

One of my favorite antique malls and thrift stores are right next to each other in a strip center.  Believe it or not, I have seen quite a few things that were sold in the thrift store over eventually over in a stall at the thrift store for sale!  It is a win, win!  The resale shop sells really cheap and quite often gets in very nice items that they don't try and get market prices for.  If I was a dealer there I would regularly scavenge the store for items to sell as well!

[TMAM]

Does anyone feel that having a thrift store next door (and I must say, this is a nicer thrift store, not a dump, but their prices are very low (mostly clothing)) might turn away some sellers because they think that the competition will kill sales? As you probably are aware, an antique mall's income is mostly from rental space to dealers.
Thanks again for the feedback!

[mart]

Not at all !!  The buying public is not stupid !!  Most people go to antique malls because their prices are lower than antique shops !! What would be the problem ?? To tell the truth you would be surprised at people with upscale incomes that shop at thrift stores !! Its very chic you know !!

[KC]

Do you frequent that thrift store?  Does it have good reasonable items that YOU would buy?  Are there quite a few items that you could often buy and TURN for more $$  Those are some questions that YOU need to settle in your mind. 

A thrift store is a "destination" business and can only be a plus plus to get more people into your location.  Depending on where you live, more than 1/2 the people that go to the thrift store can afford to buy in the antique mall...they are just looking for good deals, upcycling items, seeking out items that they can turn around in sales, etc.