Multihyphenate retail strategies are essential for growth.

Multihyphenate strategies are key for growth and longevity.

Retailers are taking a multihyphenate approach in order to keep up with industry trends and continue to grow their customer base. Multihyphenate businesses diversify their revenue streams by adding non-core offerings, subscriptions, or other services to their store.

Retailers' primary driving factors for offering additional revenue streams:

31%

Keeping up with industry trends is the number one reason for offering new revenue streams

25%

Diversifying revenue streams

22%

Diversifying their customer base

Last year I started doing permanent jewelry in my brick and mortar. The style of permanent jewelry fits really well with the style of jewelry I've been making for the last 16 years. A lot of times, when the brick and mortar wasn't busy with street traffic, I would work on wholesale orders. But then once I started doing the permanent jewelry, it has not slowed down since January. I've let go of my wholesale business because permanent jewelry has made the retail part so busy for us.

– Marrah Florita, owner of To Nashville with Love (US)

DID YOU KNOW?

Retailers who have been in business for five years or more rely more heavily on revenue streams outside of their core offerings: 37% of retailers who have been in business for five years or more rely on 26-50% of their revenue to come from revenue streams outside of their core offerings, whereas 22% of retailers who have been in business for less than five years rely on 26-50% of their revenue to come from revenue streams outside of their core offerings.

Diversifying revenue streams

Here's where retailers are planning on offering more opportunities to customers in the next 12 months:

56%

Selling or renting their space for parties and other events

61%

In-store dining options like a coffee bar, wine bar, or cafe

60%

Paid advertising space on digital channels or physical spaces

KEY TAKEAWAY

In addition to diversifying your revenue streams, you can reach a wider audience with a multihyphenate approach. Square for Retail makes going between two or more offerings and services quick and easy.

DID YOU KNOW?

Eighty percent of consumers are somewhat interested in trying a new type of offering at a business known for something else, while 40% are very interested. Gen Z is the most interested in trying a new type of offering compared to older generations, with a full 93% being somewhat interested and 57% being extremely interested.