The Six Layers of Business

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Do you ever feel like a squirrel? Like you have 10,000 things to get done all at once—and you don’t know where to start? If so, today’s Five Minute Friday is for you! Listen in as I break down the six layers of retail and explain how to assess where you are in each so that you can tackle the most important roles in your business first.

The Six Layers of Business

1. The Foundation Layer: Operations and Branding

Imagine you’re building a skyscraper. Without a solid foundation, the structure will wobble and eventually crumble. The same goes for your retail business. This foundation layer is where everything begins. It’s about having a clear understanding of who your customer is through surveys and personas, establishing a strong brand, and transitioning from a DIY entrepreneur to a CEO. This layer also involves creating Standard Operating Procedures (SOPs) and addressing the “bus rule”—ensuring that if you were suddenly out of the picture, your business could still run smoothly.

2. Products and Profitability: The Numbers Game

Next up is the layer that many prefer to avoid: the numbers. But here’s the truth—you can’t afford to bury your head in the sand when it comes to inventory management, pricing strategies, and profitability. This layer is your “pasta,” the substance of your lasagna. It includes managing your point-of-sale systems, understanding your markdown strategy, and implementing a profit-first approach. Mastering this layer is critical for the long-term success of your business.

3. Building Your Team: Scaling with Support

You might start as a solo entrepreneur, but scaling your business will eventually require a team. This doesn’t mean you have to hire a large staff; even external partners like bankers, attorneys, or accountants can be part of your team. The goal here is to grow, optimize, and maximize the support network around you. This layer is crucial for expanding your business beyond what you can handle alone.

4. Sales Strategy: The Art of Selling

Sales don’t just happen by accident. This layer is all about developing a clear and effective sales strategy, whether it’s online, in-store, or through live selling events. Training your sales associates, understanding merchandising, and refining your sales funnel are all part of this process. It’s about asking the right questions and providing the best customer experience to drive conversions and build loyalty.

5. Content Strategy and Planning: Beyond Social Media

Many retailers think of content as simply posting on social media, but there’s much more to it. This layer is about planning and understanding the metrics behind your content. How many people need to see your posts? What’s your average order value? What’s your conversion rate? Without a strategic plan backed by data, you’re just throwing content out there and hoping it sticks. This layer ensures your marketing efforts are intentional and effective.

6. Marketing and Traffic: The Crunchy Cheese Layer

Finally, we reach the “crunchy cheese” layer—the one everyone loves but often jumps to prematurely. This layer includes your marketing efforts: social media, email marketing, text marketing, public relations, and paid ads. But here’s the catch: if you haven’t solidified the previous layers, you’re not ready to enjoy the crunchy cheese. Without a strong foundation, a clear understanding of your numbers, a capable team, and a strategic content plan, your marketing efforts will likely fall flat.

Putting It All Together

Next time you look at your to-do list and feel overwhelmed, take a step back and evaluate which layer each task falls into. Are you focusing too much on the crunchy cheese and neglecting the foundation? Be honest with yourself about where your strengths and weaknesses lie, and prioritize accordingly.

At The Hub, everything we do is based on these six layers, whether it’s through our membership programs or our Retail Bootcamp. If you’re ready to dive deeper, consider joining our Retail Bootcamp. We open enrollment twice a year, in January and June, offering 14 weeks of live group coaching that will guide you through each layer step by step.

Remember, you can’t enjoy the crunchy cheese without doing the work below first. So go ahead, build your lasagna—layer by layer—and enjoy the delicious results.

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