Why Your Brick-and-Mortar Budget is Skewed

2. Carve out a niche. If you're a local retailer, there's no way you can compete with the quantity and pricing of big brands like Amazon.com or Wal-Mart, but you can always find something unique to offer customers. Focus on the values or services that make you a better option.

For example, your SKUs may be more limited, but you can use that to your advantage. lululemon athletica shows how creating scarcity can generate brand value and foster customer anticipation for future releases.