Sarah Lees’ long-running homewares store went digital after COVID, but later moved to a hybrid model with both a physical and online store.
Sarah Lees, owner of homewares retailer and wholesaler, Home and Abroad, took the plunge and moved her operations online after more than two decades of running a bricks and mortar shop with three staff. She continued to work with craftspeople in India, Indonesia, Portugal, Italy and France to develop and distribute luxury homewares, but found the digital marketplace has its challenges. Lees gives her tips on how to navigate the digital marketplace.
Q: Why did you migrate online after more than 20 years in a store?
A: Following COVID, we reassessed the business model that had been in place for 25 years. I decided to rebuild our website with the view to sell online both for retail and wholesale customers. We had a loyal band of customers and thought the cost savings from operating online would unlock more revenue to source products because our overheads were reduced.
Although we had a website, it was antiquated and needed rebuilding, so we had to upskill to become more active on social media. We needed to reshoot images for our 1,000 products to ensure they were rich and enticing for the online marketplace.
Q: What were some of the opportunities in an online environment?
A: The opportunities appeared very promising selling to a customer base from all over Australia. We were able to sell around the clock and are not limited by shop trading hours. People often ask about flexibility and while it’s true you can choose your hours and location, as a small business owner I am rarely off the clock!

Q: What about the challenges?
A: There were many challenges faced when closing the physical shop and moving online. It meant we had to store our products in a warehouse and manage inventory differently to when we had a retail presence. Relying on a digital platform has its limitations and invariably we had IT issues – there is no plan B when your system goes down.
Managing social media is a huge investment in time and money. We found we had to be wary of businesses that promised marketing services that did not always deliver. The other issue is the hidden cost of packing goods to be shipped, the cost of shipping and the ongoing issues of goods arriving damaged.
Q: How is the online business tracking now?
A: Earlier this year, we decided to open a bricks and mortar store while retaining our online business. I am thrilled to have reopened a beautiful store showcasing all our wonderful products. It is a fulfilling experience interacting with my customers and creatively being able to display our products. We have found having a foot in both camps works really well for the company and we have definitely found the right balance given the strength of sales. The online business has given us access to new markets we would not have discovered had we not taken the plunge.

Q: What advice would you give aspiring digital entrepreneurs?
A: Be very cautious – it is a huge investment of time and money. Research your market because online customers behave differently to those in person. They tend to be more focused on what they want and don’t pick up extra products they happen to see compared to those in a physical store. All selling platforms have limitations and are costly. Finally, it’s important to develop a coherent social media strategy to target and convert new customers and have a very reliable team to support you.
The IPA will host the ICSB World Congress in Sydney from 7-11 July. More information here.