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How to Start a Kiosk Business in Dubai?

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Kiosk Business
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The costs of establishing a permanent retail location can be steep, you may spend up to AED 200,000 or more, with leases constantly increasing in costs at prime locations. Kiosks can be an easier way to get a foot in the door with a lot less risk.

In Dubai, most kiosks operate within shopping malls or properties held by one of the major developers such as Emaar or Nakheel. There are a few free zone options such as DIFC and Dragon Mart. However, they tend to target a niche audience. Most of the licenses are local licenses through the Dubai Department of Economic Development (DED).

Research

As with all businesses, you should start by conducting due diligence. Scout your location and build a profile of the clients that visit the site. Find out what type of footfall is common in your proposed kiosk area. Things such as the income profile of clients and competition should play a huge factor in what you can charge for your products. You may also discover that your site is subject to seasonal fluctuations.

You should also establish contact with the management of the shopping mall or property early on. Some require you to get a license through the DED while others grant you a special permit to operate under their license. They may also have specific rules relating to what type of kiosks they are willing to accept to avoid having too many vendors selling the same type of products.

If you require a DED license, you will need to have an Emirati national as a partner. A business consultancy firm can help you acquire a local national as a partner as well as facilitate legal documentation to protect your business interests. Depending on the type of products that you sell, you may need further permits from government agencies to start your kiosk business.

Your Kiosk Business

Depending on the location, you may be able to either lease a physical kiosk from the property management firm or purchase one and bring it to your site. If you are looking to buy your own, there are plenty of local suppliers, be sure to factor in transportation and storage costs (if applicable).

You should have a clear idea of what you want to sell, so find the best supplier and order your product to build up inventory. Souvenirs are sure to be a hit with the steady stream of tourists walking through many commercial areas in Dubai. Regional items that are difficult to get elsewhere are also a hit. Sometimes catering to the nostalgia of products from home for expat residents can lead to a profitable business.

Be sure to set up displays that may attract passers-by. Take out demo items and have them ready for customers to peruse. Offer free samples, if appropriate, to entice patrons to try your product. Find other ways to advertise, such as handing out coupons or partnering with other mall kiosk or store owners to promote each other’s business.

Things to Avoid in Kiosk Business

One of the biggest mistakes you can make as a kiosk operator is to compete against big retailers before you’re ready. Sometimes, it just seems right to go against the big guys head-on, but it usually isn’t a good idea. Instead of letting yourself be crushed by the business giants, why not focus on your edge as a small retailer? You have the upper hand when it comes to personalising customer interactions and delivering high-value experiences.

Inexperienced kiosk operators often start their business with cramped-up store displays. They sell items of a different variety, colour, style, design, product type, use – in the misguided hope to cater to every potential client. They populate their inventory like it’s a full-fledged retail store. Sometimes less is more, focus on key products that are popular with your clients.

Let Us Help You

With so many places to choose from, wouldn’t it be great if you could turn to a one-stop shop that can provide you with unbiased advice based on your needs? If you are ready to start, we are ready to help. Speak to one of our friendly consultants today!

Gilbert Sakr

Do you need help in business setup or looking to start a business in Dubai? Here you will find all the information and business ideas you need for starting your own company in Dubai.

Comments (2)

  • Khashayar

    February 2, 2020 - 3:41 pm

    Dear Sir/madam

    I have a successful business in retail business of gold accessories.
    Im really interested in Kiosk business In UAE.
    Please let me know the details and information.

    Sincerely
    Khashayar Javahersaz

    Reply
  • Akram

    March 23, 2020 - 8:28 pm

    Hi . I’m chef from Algeria I make waffle crepe pancake juice smothies milkshake . Panna cotta crème brûlée . Caramel cream I want to open kiosk in Dubai and start very beautiful business I’m the best in algeria I learn from Belgium

    Reply

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