1. Smart Capital Allocation
Starting a children's clothing store requires substantial investment. Costs include renting the store space, designing the store, purchasing inventory, advertising, hiring staff, utilities, delivery expenses, risk costs, and inventory management. Below, Mytour outlines the main cost categories to budget for when opening your store:
- Inventory purchase: 20 million VND/month. You will need to source inventory from places like Ninh Hiep market, Dong Xuan market, factories, or even countries like Thailand, China, and South Korea. Choose popular, high-quality clothes that appeal to the majority of consumers today. Avoid buying low-quality items or overpriced goods by consulting with other shop owners for advice.
- Marketing and advertising: 15-20 million VND/month. Initially, when you have no customers, you must invest in advertising to reach potential buyers. For Facebook ads, promote new kids' clothing styles to increase interaction on your page. On Google, target keywords that mothers use when searching for children’s clothing. A budget of at least 15 million VND is required for effective ads. Over time, focus on building great content for your website and SEO. Consider loyalty programs and promotions to retain customers. Monthly content investment can be around 1.5 – 2 million VND.
- Store rental: 5-15 million VND/month. If your total startup capital is over 100 million VND, you can afford to open a physical store. Select a spacious, well-populated, and Feng Shui-friendly location. The rent can vary depending on factors like foot traffic and city location. In cities, rent tends to be higher, averaging 10 million VND/month. Typically, landlords will require a one-year lease with monthly or annual payments.
- Employee salaries: 3-5 million VND/month. You’ll need to pay staff, as well as utilities and other expenses. You can hire part-time or full-time employees, or even students to work shifts. Ensure that the store is always staffed.
- Shipping costs: This expense is often overlooked, but it can add up, especially in small towns where delivery services may not be readily available. If you offer free shipping promotions, you may need to cover these additional costs.


2. Store Layout and Employee Hiring
When decorating your children's clothing store, the goal is to balance cost-efficiency with maximum impact. If possible, I recommend handling the decoration yourself to save money and add a personal touch that will make the store more meaningful. While everyone has their own ideas about store design, the most important factor is making your shop stand out.
- The sign outside should be eye-catching and brightly lit to attract passersby.
- Inside the store, I suggest painting the walls in light colors and using plenty of lighting. White tones work best to highlight the vibrant colors of the clothes. Choosing a bold color might make it difficult to showcase your entire product range effectively.
- For shelving, it’s best to alternate between hanging racks and display shelves. This layout keeps things organized and prevents a cluttered appearance. Be sure to separate clothing categories—such as dresses, pants, skirts, and t-shirts—neatly. Ask friends and family for feedback on your design, and if possible, try to set it up yourself.
- Also, remember to print branded bags, invoices, business cards, and tags to help manage inventory and improve the overall professionalism of the store.
- For security, consider installing an online camera system to monitor the store, especially when you're not there. This can help you observe employee behavior and track inventory. While not foolproof, it’s certainly useful. If you have the budget, investing in a point-of-sale system and barcode scanners would be ideal. However, if not, there are still ways to manage without these tools.
It's crucial to hire the right employees—those who are quick, efficient, and passionate about their work. A reliable team is essential to running a successful store. Don’t try to do everything yourself, especially if you also have other commitments. Hiring staff is a necessity, but finding the right people can be challenging. I’ve encountered this problem myself. But let me tell you, without a strong team, your shop won’t function smoothly.


3. Grand Opening of the Store
First, choose a good date for the opening. While some people may not pay much attention to this, it’s important to leave a lasting impression on your customers on this day. Don't rush—create an elaborate plan for this event to ensure maximum participation. The more people get involved, the more your store will be noticed, and that initial attention is crucial for your store's early success.
In a highly competitive market, in addition to improving quality, business owners can use promotions as an effective way to attract customers. Promotions offer many benefits, such as stimulating consumer spending, boosting sales, clearing out old stock, and testing new products. The grand opening is the perfect time to introduce these promotional strategies.


4. Mastering Sales Knowledge
Running a business is not a game where you can just try and fail repeatedly. While failure is inevitable, it should come from thorough preparation and maximum effort, not from ignorance, impulsiveness, or laziness. Based on the experience of successful children’s clothing shop owners, here are some essential foundational knowledge you should have before starting your business:
- Product Knowledge: It’s not just about the quality of fabric, design, and style like adult clothing. When selling children’s clothes, you need to understand how to select items based on weight, height, and age. To gain this insight, in addition to researching online, you can directly ask your suppliers, as each product will have specific measurements.
- Sales Skills and Consulting: Selling children’s clothes involves advising parents, who are the primary buyers. Since they’re not the ones wearing the clothes, you’ll need to provide more detailed guidance. Additionally, because parents are often willing to spend generously for their children, your ability to present the right products persuasively is key. The best way to learn is through real-world practice and paying attention to customer interactions in your daily life. Even when you’re shopping yourself, observe how the sellers handle customer queries.
- Advertising Knowledge: While you don’t need to become an advertising expert before starting your business, it’s highly recommended to have a solid understanding of this field as it plays a significant role in your store’s success. You should explore both online and offline advertising channels as they will both be essential later on. There are plenty of resources available online, but it’s important to filter out the most relevant and practical information. Additionally, consider enrolling in online or offline advertising courses to build a solid foundation before diving into self-study.


5. Expanding Your Sales Channels
In addition to selling in your store, to attract more customers and generate extra income, you need to expand your sales channels. Online marketing offers various options, such as creating a fanpage on social media, starting discussion threads on forums, running Google Ads campaigns, or placing banners linking to other websites. If you're not familiar with these strategies, hire professionals who have the necessary expertise. Online marketing requires a professional process and consistency; it’s not something you can do sporadically.
Effective online marketing can greatly boost your sales, bringing a substantial number of customers to your store. Trust me! On digital platforms, it’s important for the manager to create engaging content and tag friends to ensure that products are widely promoted.


6. Providing Excellent Customer Service
No matter what you’re selling, customer service plays a crucial role in determining how many customers you’ll attract. When running a children’s clothing business, here are some tips you should keep in mind:
- First, regularly train your staff on the importance of a positive attitude, professionalism, and salesmanship. Be enthusiastic but not too soft, be tactful but not pushy. Aim to make your customers feel comfortable when visiting your shop, so they feel happy to spend money and even consider purchasing more.
- Second, keep your store well-organized and neatly arranged to make items easy to find, choose, and inspect.
- Third, regularly offer promotions or discounts for VIP customers. It’s not about discounting just to clear stock, but rather offering special deals to show customers you value them.
- Fourth, collect customer information when they make a purchase. Send thoughtful gifts or messages for special occasions related to mothers and children. Sometimes, you can build strong customer relationships without spending money—just be genuine and sincere. This will help you earn their loyalty for the long term.
- Fifth, always notify customers when new products arrive.


7. Choosing the Right Shipping Partner
Today, for businesses selling products and services, selecting the right shipping partner is a critical decision. Even with the same shipping company, service quality can vary depending on the location. For children’s clothing stores, selling online is common, and a reliable shipping partner becomes essential for fulfilling orders that are far away.
To choose the right shipping partner, first assess the scale of your business. Once you have a clear understanding of your store’s needs, you can make an informed choice. If you’re only serving a local area, you can opt for a delivery service within the city, which is more affordable and faster. There are several reputable shipping companies to consider, including Viettelpost, Vietnampost, Giaohangnhanh, Giaohangtietkiem, Ecotrans...


8. Research Your Competitors and Market
Before opening your store, it’s crucial to conduct market research and study your competitors. Take the time to explore how vibrant the children’s clothing market is and assess the competition around you.
- Identify how many competitors are in your area: Understand how many baby clothing stores are nearby, how many are thriving, how many are struggling, and how many stores are closing or selling their businesses—what are the reasons behind these changes? If there are many competitors, observe whether they attract a lot of customers. Are there large, well-established stores, or are they just small, local shops? What are the strengths and weaknesses of these stores? Is there an underserved niche in the market that you can tap into? If there are few competitors, investigate why that might be. Is it because the demand hasn't been recognized, or is the area simply not suitable for such businesses?
- Market research:
- Find out what parents are looking for in children's clothing. What age groups do parents spend the most on? What specific items do they prefer—Vietnamese exports, Cambodian, Chinese, Thai, or Korean products? For the items with the highest demand, ensure you stock plenty of those. For products with lower interest, limit your inventory. This will help you allocate your capital effectively.
- Understand how parents make purchasing decisions. Calculate what percentage of parents are willing to buy whatever they like regardless of price, how many are satisfied with higher-priced items, and how many only purchase mid-range or low-cost products.
Conduct this research thoroughly, dedicating enough time to gather valuable insights. This will guide your business strategy and help you decide what products to offer, their origins (Vietnam, China, Thailand, etc.), and price ranges (under 100,000 VND, over 100,000 VND, over 200,000 VND, or whatever seems reasonable).


9. Finding the Right Business Location
The significance of choosing the right business location and the necessity of setting appropriate criteria before searching for a site. Depending on your business model and the local market, these criteria will vary. However, when looking for a shop location, keep the following points in mind:
- Location is the most important factor. You need to clearly define which streets the ideal location will be on, such as the stretch from intersection X to intersection Y. Determine whether you need the location to be near or far from markets, schools, hospitals, or entertainment areas. The location affects foot traffic and rental costs, so choose wisely.
- Size comes second, even above rent. A small space, no matter how cheap, will not be worth it if you cannot display products or attract customers. You must determine the minimum required size for your shop. The width of the space will influence the size of your sign and directly affect customer visibility and trust. A wide, short shop is better than a narrow, long one, even if both are the same area. A little tip: ask the landlord if you can place a sign over the side entrance, as it will give you extra visibility without additional cost.
- Rent is the third factor. During your market research and business planning, you've estimated your revenue and operational costs, including rent. Now, expand your rental budget to a range, with upper and lower limits. A location slightly above your estimated budget may bring more customers, but don't settle for an overly cheap space. Stick to your rental budget and avoid overextending.
- Visibility is the fourth factor. A shop that's easy to spot from a distance will attract more attention. A hidden location or one surrounded by too many other stores will struggle to stand out. Conversely, a less trafficked area where your shop is more visible can also work well.
- Convenience is the fifth factor. Choose a location that makes it easy for customers to visit. Consider traffic flow, parking, and pedestrian access. Can customers safely park or stop by the curb? Is there enough parking for both customers and employees? Ensure easy access and consider the overall convenience for your clientele.
- Lease duration is the sixth factor. A longer lease is more beneficial, unless the landlord demands a higher deposit in exchange for a longer term. The lease should last at least twice the time it will take you to break even. If it will take you 18 months to recover your investment, aim for a lease of 3 years or more. Be cautious with landlords who intend to sell the property, as this could affect your lease.
- Condition of the property is the seventh factor. Are you renting an existing building or just land? Existing buildings are more expensive but save on construction costs. Renting land is cheaper but requires significant upfront investment. If you're new to retail, it's safer to rent a fully developed property. Ensure the property meets your needs and calculate any renovation costs before committing.
- The eighth factor is the orientation of the building. Avoid properties facing the west, as the afternoon sun can damage goods and make the shop unbearably hot. Additionally, consider feng shui when selecting your location—choosing the wrong direction can bring bad luck. Be clear about the orientation from the start.
- Access is the ninth factor. While not crucial to business success, the accessibility of the location matters. Ensure you can easily manage deliveries and that employees can move stock when the store is closed. If the landlord shares access, consider security measures like cameras or secure storage for overnight items.
- Finally, the attitude of the landlord. While this is listed last, it is often the most important factor. The landlord is a long-term partner, and a positive relationship can make all the difference. Ensure you understand their intentions and expectations before signing a lease. A good relationship can prevent many future complications.


10. Finding a reliable source of goods
Wholesale children's clothing is one of the first factors that determines the success of a children's fashion business. The quality of the merchandise is key to attracting even the most discerning customers in today's highly competitive market. Therefore, it’s essential to carefully consider where and how to source your children's clothing to meet the preferences of your customers and run your business effectively.
Sourcing wholesale children’s clothing from domestic markets: Most children’s clothing shops source their stock from domestic wholesale markets, where you can find a wide variety of clothing for all ages, from babies to adults, in all types, designs, and quality levels. Additionally, buying in bulk often provides better pricing. Some well-known wholesale markets include:
- In Ho Chi Minh City, you can visit An Dong Market, Tan Binh Market, Kim Bien Market, and others.
- In Hanoi, famous markets include Dong Xuan, Ninh Hiep, and Phung Khoang.
- In border regions, you’ll find markets like Moc Bai (Tay Ninh), Mong Cai (Quang Ninh), and Tan Thanh (Lang Son).
- Specialized factories producing children’s clothing: If you have a stronger financial base, you might consider partnering with specialized factories that manufacture children’s clothing.
- Sourcing wholesale children’s clothing from export shops: Small-scale businesses may find export shops a good source. These shops typically offer a wide range of products and do not require large minimum orders. These goods come from export, design, or Chinese products, but it’s not uncommon to encounter mismatches between the advertised and actual merchandise.
Finding wholesale children’s clothing from e-commerce websites: If you’re just starting a business and want to buy in small quantities while securing the best wholesale prices, online platforms are a good option. Joining online trade forums and e-commerce platforms can help you connect with other sellers and suppliers who share your goals, enabling you to negotiate better prices.
Designing and outsourcing the production of your own children’s clothing line: This option is ideal for those with a larger budget and a set customer base. If you can design your own children’s clothing line, you can hire a company to manufacture the designs for you.
Importing children’s clothing from abroad: High-income families often prefer high-end clothing for their children, both in terms of quality and design. Imported children’s clothing is an attractive option for this market. You can tap into this potential by offering wholesale children’s clothing from popular locations like Guangzhou and Thailand, which are key sources for many wholesalers.
Finding the right source for children’s clothing is one of the most important steps in running a business. Securing high-quality, reasonably priced merchandise will provide a competitive advantage over other businesses in the market.

