Treats without tricks

Quick trick or treat promotion for your grown up customers:

1. Buy one of those kitchy little plastic Jack-o-Lantern candy buckets
2. Buy a bunch of shiny little star stickers in three different colors (gold, silver, red?)
3. Put gold stickers on the the back of one or two...silver stickers on a few more...red stickers on a whole bunch of ‘em (or all the rest, if you prefer)
4. Let adult customers select one candy bar without peeking inside the bucket

Gold sticker = $100 gift certificate, good through 12/24/08
Silver sticker = 20% off any non-personalized purchase before 12/24/08
Red sticker = 10% off any non-personalized purchase before 12/24/08

Have a second bucket with non-stickered treats for kids, just in case. Use different candy so no one accidentally hands a four year old the $100 gift certificate.

Note the expiration date for each is 12/24/08. We’re working on holiday sales here-—once we hit January, it will be time for fresh offers and ideas.

I’m going to be off the grid for the weekend, headed home to Nebraska for my father’s 70th birthday. Catch you on the other side!

1P at half price

Attention all Mac users: If you haven’t tried it yet, here’s your chance (and a question: What the heck are you waiting for???). The world’s best password manager, 1Password, is being offered at half price through MacZot, today only. It’s no secret I’m a big fan; of all the utility programs in my world-—and there are many-—this is the one I absolutely, positively can’t live without.

To read my earlier post about the virtues of 1Password, click here. To grab this baby at terrific savings, click here.

Heads up, though...this deal expires at midnight tonight, so you’d better grab fast. After that, you’re on your own with the first graders and stale candy corn.

The upside to price fixing

Back in August, the Supreme Court handed down a decision that, while not favored by discounters and online retailers, protects independent stationers in ways they’ve dreamed of for years. With the blessings of the high court, manufacturers are able to not only set MSRP, but are also allowed to set a minimum threshold for prices on their products and enforce them.

Translated? There’s finally a way to stop discounters and home studios from eating your invitations business alive (assuming your vendors step up and do the right thing).

This summer’s Supreme Court ruling, based on a lawsuit between a discount store and a purse manufacturer, reverses a 1911 precedent that made price guarantees illegal. According to the modern court, such assurances aren’t automatically breaks in anti-trust law, but ways to protect manufacturers (and, by extension, full service retailers) from predatory pricing schemes that devalue their products and business. To see the full Wall Street Journal article explaining the decision, click here.

How does this protect you, as a full service stationer? Simple. It pulls the plug from vendors’ protests that they can’t force home studios and discounters to charge full price. With the exception of Crane’s (who wisely prints “Property of Crane and Co.” on the cover of every album), endless vendors have chanted that anti-trust logic while continuing to enjoy income from discounters, to the fiscal dismay of their full price, brick and mortar retailers.

With the new ruling, however, vendors are allowed to set firm minimum prices, then close the accounts of discounters who continue to price below them. Period.

Imagine the reaction of home studios who rely on discounts to lure customers to their basements and kitchens, or internet invitation discounters, who have been riding the coattails of traditional retail stores for years, essentially using them as free showrooms to make their own online sales.

Paper-related discounters aren’t the only ones crying foul; operators like Brian Okin, owner of an online home improvement store, claim minimum price policies are responsible for him losing sales and substantial revenue. In Mr. Okin’s words, “It just makes it so difficult to compete.”

Huh. Kind of like when online discounters undercut full price storefronts...?

Now...whaddaya say we get those books out of Suzie Smith’s basement studio once and for all?

Start with your head....

In a few weeks, I’ll be traveling to Sanibel for this year’s Gift and Home Trade Association national conference where I’ll be speaking about the current state of independent retail. Admittedly, it’s a tough year for many members—predominantly vendors, reps, marts, and media-—to justify the expense of attending, which begs the question “Will it really make a difference if I skip?”

Yes, it will.

Following is an email I wrote, later forwarded to the GHTA membership, explaining why it’s important they keep pushing ahead. To any reps, vendors, manufacturers who think curling up in a ball and waiting this thing out is a good strategy, well...buck up and get in gear. It’s time to be proactive about turning this industry around.

Times are tough for everyone in the gift industry, especially at the grass roots level. Now, more than ever, retailers need vendors, reps, sales agencies, and manufacturers to be plugged into resources that will help shore up our industry, from the top of the supply chain down to the stores and boutiques that rely on them.

And that's what the GHTA Sanibel conference is all about -- opportunities to connect as an industry, learn from one another, and forge new paths that lead us out of economic uncertainty and into productive partnership.

True, the world can't be reinvented in a three day conference, but groundwork can be laid for a year's worth of progress. Networking brings peers together who have never met before. Companies are exposed to fresh ideas and out-of-the-box thinking they can implement on home turf. And creative brainstorming opens channels to new ways of thinking, of doing, and of succeeding.

All of us on the retail side know the expense and time away may be a tough sell in such frustrating financial times. But the return on investment for those who attend with open minds, enthusiasm, and determination to learn will find that investment a sound one.

Please join us as we write the next chapter of this industry's history. Together, we can prosper.

Cinda Baxter


It’s not too late to sign up; click here to get the ball rolling.

Push me, pull you

The past ten days, I’ve spent a fair amount of time scoping out retailers large and small in the Twin Cities metro area, looking for patterns. From Mall of America to Main Street, there were plenty to see...one in particular was quite telling.

Last weekend, I noticed a lot of corporate stores stocking significantly less Christmas inventory than usual. It was equally clear that they saw the writing on the wall too late to cut back extensive Halloween offerings...but not too late to do so for for the December holidays. Given how many of those brands also sell through independent retailers, I set out to see what kind of shelf space they were getting at the grass roots level.

Sadly, what I found was both shocking and expected, based on observations at a number of markets the past six months.

See, one of my biggest concerns this summer was the hard sell many reps and vendors were pitching to buyers at each of the five markets I attended. From May through August, countless retailers were quietly pulling me aside to ask “Am I the only store having a rotten year?” as reps insisted orders were up and inventory was a necessity. Buyers were being hammered with “Other retailers are ordering big”...“Everyone else is moving lots of product”...“The worst of the economic slow down is behind us,” making them doubt themselves at the worst possible time.

At one point in Atlanta, I actually pleaded with a showroom vendor to stop telling retailers All is fabulous! since we were both aware of how many stores were already struggling.

Little did buyers know that while lines were hitting them hard for big orders, those same companies were simultaneously reducing their own 4Q commitments. Although locally Department 56 provides the most disparity between what their corporate store stocks versus what independents are saddled with, they are by no means the sole example. Time and time again, I found independent retailers hip deep in product that was next to non-existent in the same vendors’ corporate stores.

Herein lies the catch. To survive a lousy economy, an enormous amount of trust is required between buyer and supplier. It’s kind of like two people on opposite ends of a teeter totter. Working together, they take turns bobbing up and down in balance, but the moment one steps off to pursue their own agenda without mentioning it to the other, their counterpart lands on the ground pretty hard.

When you see a vendor say one thing, then do the opposite, the teeter totter analogy suddenly becomes quite real.

No one knows a store’s needs or limitations better than its owner. Vendors and reps who respected their independent retailers this summer (rather than opt for the hard sell) will be the ones buyers return to come January. They’ve successfully balanced their short term needs against a store’s long term goal. No one gets dropped in the dirt; the teeter totter continues to function.

Those who pushed large orders on teetering buyers this summer, however, will have to face them again in January, fresh off what will arguably be the most challenging holiday season in history. God help ‘em if their insistence on oversized orders didn’t pan out as lucrative holiday numbers...a roomful of retailers with still-stinging, slam-to-the-ground backsides might be a bit less than jovial to contend with.

And a lot less likely to order from the line ever again.

Yes, this year stinks for a lot of retailers. And yes, that means it stinks for a lot of vendors and reps too. But folks, we‘ve got to “honest up” and look out for each other on the retail teeter totter...or we’re all gonna end up in the dirt. Fast.

This week’s deals

Here’s what hit my inbox this week; note that most are still playing that “blink and you’ll miss it” game, with offers expiring on Monday 10/27/08:

Epson Clearance Center
Epson.com > Clearance Center
Save an additional 15% on items already marked 40% off. Granted, most of what you’ll see are refurbished items, but might be a good time to replace an all-in-one or grab a good scanner at a rock bottom prices. Check out the R2400 if you’re thinking about stepping up your in-house print operation. Use coupon code 8XTCASE. Offer expires Monday, 10/27/08.

Impact Images
clearbags.com
For those of you using Impact Images’ 4x6 or 5x7 crystal clear cellophane sleeves or photo boxes (think: acetate boxes for imprintables or photo cards), they’re offering 5% off both the list and bulk prices. Use coupon code 577896. Offer ends 11/15/08.

Total Training
totaltraining.com
These are the go-to folks for training on any Adobe product, and in the spirit of helping folks out during tight times, they have three offers running:

CS3 training: Now that CS4 has shipped (yippee! yippee!), all CS3 training packages are on sale-—pick up DVD titles for $99 or less -or- multi-program bundles at 25% off. No coupon code is necessary, no expiration date listed.

All training, including CS4: Save $20 off your entire DVD purchase (coupon code: save20weekend). If you’re looking for CS3, be sure to compare this against the above offer to see which fits your specific order best. Offer ends at midnight, Monday, 10/27/08.

Online training: Go green with a one-year subscription to the Total Training library. Titles are constantly updated, which makes this a great option for stores bringing in the Creative Suite for the first time or those who have several enployees who need training. Currently, no CS4 titles appear, but one has to believe they’ll be added soon. To get 30% off your first year, enter coupon code “save30online” during checkout. Offer ends at midnight on Monday, 10/27/08.

Lucky Onion
luckyonion.com
303.877.9585
Their new holiday album is out, and available for $139 ($60 off). Their book is unique, covering more than just the winter holidays. In addition to providing personalized options, stores may also order boxed or bulk for off-the-shelf sales. Album quantity is limited, so don’t sit on this for long. Contact Lucky Onion for a link to the online preview. Offer ends on Thanksgiving or when albums run out.

And since you’ve been working so hard this week, here’s a bonus tip:

Wholesale Crafts
wholesalecrafts.com
If you haven’t found this site yet, take a look. Whether you have an upscale boutique or an Americana store, there’s a treasure trove of handmade gifts and jewelry here to be plucked from. Since this site is for legitimate retailers only, you’ll need to complete an online registration that includes either photos of your storefront or documentation proving you’re the real deal (truth be told, it’s harder to get into this site than it is to get into some of the trade shows). Once you’re in, though, it’s worth it-—especially if you’re looking for high end jewelry that won’t show up in the store next door.

Happy deal pouncing!

Sweet treats

Congrats to Write Selection for making the Dallas version of Daily Candy. That’s quite a feat, but Write Selection is quite a store. Susan Foxworth and Betsy Swango understand quality product and extraordinary service better than anyone around; as someone who’s known them for many years, it’s an honor and a pleasure to see such good things come to such good people.

Well done, ladies. You’ve earned it.

Big box, little inventory

I accompanied Mom to the Mall of America over the weekend (aka: The Big Retail Shrine), on her annual Christmas shopping visit to Minneapolis. While she looked for stocking stuffers and gifts, my eyes focused on inventory patterns and staffing...which were more educational than expected.

Because her visit is an annual event occurring the same week each October, I have a pretty reliable yardstick to measure one holiday season against the next. This one held some surprises that made it clear at least a few of the big boys saw a soft fourth quarter coming, and have adjusted accordingly...much to the dismay of hopeful shoppers.

Many stores--and by "many" I mean "a whole heckofalot"--are carrying far less inventory than usual, holiday and otherwise. For instance, the huge Department 56 store just outside of Nordstrom is normally jammed full of gift items by the third week in October, the front portion of the store so crowded with decorated trees, enormous baskets of trimmings, loads of little gifty items, and other non-Village products that it's almost impossible to turn around without bumping into a nearby display.

This year? Big, wide open spaces. Two of the Villages have been moved to share a small display in that area (Christmas in the City and Dickens, for those of you who know the line), which doesn't eat up a lot of room. Hardly any of the gifty pick-up stuff is there, and next to nothing is shown for decorated trees. Looking at that section of the store, I'd venture a guess they're stocking about 20-25% less than what's normally offered. The employee I spoke to said all their holiday is in, so...looks like this is it.

Mom also noticed the enormous amount of Halloween being shown by comparrison--which seemed disproportionately high, measured against past years. Nearly all of it was marked 50% off.

Another store that stuck out like a sore thumb was Crabtree and Evelyn. By the third week in October, this location is typically filled to the gills with holiday items and extra year 'round inventory. Like Department 56, it's show floor usually requires a shopper to be mindful of nearby displays while navigating the many options available for purchase. This year? The new India Hicks product has been given a big, airy display table, with loads of empty space all around. None of the familiar gift items are on the counter...the many show floor product displays are missing, along with the robes and matching accoutrements...and the entire children's line has disappeared, according to an employee we spoke to. At least 1/3 of the normal inventory level has dropped from sight.

These weren't two exceptions to the rule; they were examples of the rule, and that rule appeared in store after store after store, regardless of target market.

This seems to prove two things: Halloween isn't moving, to no one's surprise, given the economy. By the time "the powers that be" recognized a problem, it was too late to back down factory orders on ghouls and goblins, so pushing it out the door at half price is the only alternative.

Christmas production, on the other hand, could still be cut back, given the later delivery dates. Judging by their displays and space allotment, Department 56 doesn't seem to be banking on much beyond returning Snow Village customers.

This bodes well for independent retailers, folks. If the big boxes provide less merchandise and less selection, odds improve that customers will seek options in their neighborhood stores and boutiques. If you haven’t set up your holiday displays yet, do. True, I’m not a fan of Christmas before Halloween, but given the holes I saw this weekend, my guess is 2008’s the year to break that tradition.

It's shipping! It's shipping!

Several media sites are reporting that Adobe's CS4 began shipping today, in spite of last week's speculation they'd hold off 'til month's end.

Means I'm back to bouncing up and down at the door every time a delivery truck rumbles along the street....

If you haven't ordered yours yet, the $200 pre-order discount is still good for upgrades. Still not sure how "pre" fits when the item is currently being sold, but hey, who's gonna look that gift horse in the mouth?

Yippeeeeeeeeeeeeeeeeeee!

All eyes on you....

I was recently asked to comment on the top three qualities of a good leader. The audience in that case was a group of leadership experts, which tends to make one pause before responding. Still...was pretty easy:

1. Integrity, both personal and professional.

2. The ability to inspire others to do their best and the grace to recognize their achievements.

3. Clear vision, both of the future and the past; rewriting history robs us of our ability to learn from it.

Do you possess those qualities?

If you have employees who have been with you for years, odds are that you do. Rarely (especially in retail) do people stay put for bonehead employers.

It’s important to be the kind of leader that staff members want to work for-—right now, they’re you first line of defense against dropping sales or poor customer experience.

It’s also important to be the kind of store owner customers want to shop with-—in a world that seems to be swinging left hooks, they crave stability and confidence in their personal universe.

You owe it to them. You owe it to you. Allow your leader within to shine.

How to Bomb in Six Easy Steps

You’re scared, I know. Much of life in Retail Land changed this year...but not everything. What you knew on Memorial Weekend continues to be true today. Just gotta get your groove back and start thinking with the head, not the nerve endings.

If, however, you’re determined to be eaten alive by current economic conditions, here are six easy steps to assure you’ll crash and burn by December 31st:

1. Make split second decisions
Fear breeds snap decisions. Snap decisions breed nightmare situations. That ought to kill you off by New Year’s. Or...take a moment to rewind. It may feel like the economy is running you over at 90 mph, but it’s not—a day still has 24 hours, a week still has seven days. And you still have the ability to make wise choices and savvy moves, just like you did before all this monkey business began. Put thought into your actions; this isn’t the time for business-related bungee jumping.

2. Put all your faith in the daily register tape
Want to freak yourself out? Hang on every number the register spits out. Or, as a more positive alternative (requiring less Pepcid AC), see it as a small piece of the big picture. Don’t let a lousy Thursday derail your plan for the remainder of the month. Examine which categories are moving, which are stalling, and what tweaks you can make to reshuffle the deck. Clearance out old product at fire sale prices. Bring in new product at the same time so people don’t think you’re closing. Offer as many free services as possible, adding value to each purchase.

3. Spend more money than you need to
You‘re ordering $254 worth of product, but if you bump it to $300, you’ll get free freight. Good idea? Sure, if you want it to be your last. If you’d like to see Valentine’s Day, however, consider this: Why pay $46 for more product when the freight would have only cost $24? If that $46 is burning a hole in your pocket, find another fresh new line to bring in that complements the first. Don’t cave into last minute specials or go deep on single vendors unless the numbers truly add up. Order what you need; let someone count the backstock in their year end inventory.

4. Bet the farm on someone else’s opinion
One of the best shortcuts to early retirement? Decision by committee, with a committee that has no financial risk in the outcome. The alternative? Remember there’s not a soul on earth who loves your store more than you, or understands it better. Sure, it helps to ask others for advice (within reason...fellow retailers, reps, vendors, consultants, yes...your Aunt Mildred who only shops QVC, no), but in the end, only you know what fits. Listen to their opinions and ideas. Consider their recommendations. Draw an old fashioned Pro/Con chart if you must. Then trust your gut—not the mailman’s.

5. Under-appreciate your customers
Just let ‘em drift; you’ll be gone in a couple of months anyway, right? Or...you could try remembering that customers need to feel the love, especially now. Connect to them without tieing a sales pitch into the message. Offer fresh baked cookies. Send handwritten thank you notes. Play happy music in the background. Welcome them with a confident smile (even if you have to fake it), an open ear, and a zero-pressure environment when they stop in. If they’re just browsing, provide them a place that’s comfortable and sane; it increases the odds they’ll return. Stores that provide great customer service and peaceful respite from the world will win the race.

6. Doubt yourself
If you’re planning to crash and burn by January, odds are, this one’s a cakewalk. HEY-—aren’t you the same fearless being who jumped into retail to begin with? Where’s that damn the torpedoes mentality you once had? The creative mind that came up with new ideas at the drop of a hat? You might be scared, you might be antsy, but you’re still the person your employees and customers look up to. Strut your stuff, act the part. Confidence in one inspires confidence in others; right now, you’re the person to deliver it.

Buck up, kiddo. It’s time.

Can we please stop with the P word???

Panic. Panic.

Panic-panic-panic.

Enough already.

I know we’re in uncharted territory, but if I hear “the P word” one more time on the national news regarding retail and the upcoming holiday season, I’m going to lose it. Yes, consumers know things are tight, and yes, retailers are also abundantly aware of the fact. But c’mon....panic? That’s people sobbing in the streets and screaming through hallways. Haven’t seen that-—at least not around here.

Last week, WalMart launched a $10 toy sale, spurring price wars with their competitors. Somehow, the national media has tied that to the fact these same big boxes are putting out the first of their holiday offerings, claiming the juxtaposition of the two is proof positive retailers are in a panic, pushing holiday extra early.

Well, color me silly, but since when is it unusual to see big box behemoths put out Christmas wares before Halloween? Truth be told, if they’re just now unpacking the first boxes, they’re running behind their typical jump-the-gun schedule. Skelator and Santa side by side in aisle 12? Hardly a news flash. And hardly a sign of panic.

C’mon guys. Things are tough enough. Can we please stop with the P word?

End of rant. Thanks for playing.

CS4 release pushed back

Crud. According to Toolfarm (one of Adobe’s Platinum Resellers), the new Creative Suite won’t ship until October 29th-—two weeks later than the original October 16th date publicized earlier.

Means I can take a break from bobbing up and down at the door every time I hear a delivery truck rumble down the street. Still...this is like Santa sending an email to say Christmas will be delayed until mid-January.

::: sniffle :::

Torch song

Retailers are stressed. Vendors are stressed. Reps are stressed.

And consumers are stressed. Think holiday seasons past were doozies to get through? Just imagine what a couple of months of purse string tightening will do to Patty Persnickety’s mood.

Used to be something you wrestled with in the store or on the phone. The cranky shopper would face off with you, providing an opportunity to turn things around and reclaim the relationship. Today, however, you might hear the grousing third person...or thirtieth person, depending on how web-savvy the cranky shopper is.

So what do you do if you suddenly becomes the target of flame throwing on a blog or consumer review site?

1. Read between the lines
Get to the post as fast as you can, then try to identify who the upset customer is. Most times, you’ll be able to figure it out fairly easily. Contact them directly, by phone to talk about the situation. Getting a human voice in the mix is critical to put out ongoing flames.

2. Post a comment with your (real) name signed to it
Be patient. Be calm. Validate their feelings (not the same as validating their complaint) by saying “I understand why this is frustrating to you,” or something along those lines. Then calmly deal with the issue. Apologize? Offer to discuss on the phone if they’d please call (assuming you don’t know their identity)? Explain why things went the way they did? Whatever is most appropriate, step up and do it.

3. If you have a blog of your own, include that address in your response
This gives you an opportunity to move the conversation onto familiar turf--yours. Create a blog post noting the complaint, then follow it with your response. Again, be calm and kind. End on an up note. You want to get ahead of this thing, not continue to chase it through someone else’s yard. With luck, the original poster will follow you there. (Note: If there are flames flying, might be wise to set your preferences to moderate posts before they appear.)

4. Google for spiders
Quite often, a blog post can show up in more than one place. Copy the first sentence of the angry post, then run it through Google, with quotation marks on either end. If it’s repeated somewhere else, this should find it. Be sure to repeat your signed response on any other blog that repeats the post. You want to put out all the fires, not just the first one.

5. Check the Terms of Use associated with the site
If the complaint is particularly viscious (ie, uses offensive language, is a personal attack, etc.), read the site’s Terms of Use to see if it crosses the line. If it does, contact the site owner immediately to bring their attention to the post. Could take a few weeks to get them to pull the thing, but the effort’s worth it for content that falls outside the lines.

6. Stay on top of the buzz
Google has a sweet little service called Google Alerts. Enter the name of your store, or your name, then sit back and wait. Whenever those names show up online, you get an email linking to the piece. Admittedly, this doesn’t troll all blogs-—but it does get some of them. And some is better than none.

Regardless of whether or not you find yourself in this kind of sticky spot, I strongly suggest enacting #6. It’s always good to know when your name shows up in print.

Photo credit: RozzleDozzle

Coupon clipping

A lot of special offers and dealer benefits land in my email box. Rather than horde, I’ll periodically post them here for your use.*

The grand plan was to save them up for a simple end-of-the-week list. Imagine my surprise this morning when, upon reading the fine print, I found that four of them-—four-—were only valid for 48 hours. A gnat’s lifespan is longer than that. Sheesh.

The “Don’t blink or you’ll miss it” approach is a sign of nervous vendors who don’t want to give anything away. Well, get over it. We’re all going to have give something away if we want to make it to January. Retailers aren’t going to jump at impulse purchases while counting the change under their desk to make payroll. You’ve got to give them time to process the idea, then fit it into their budget.

That said, only two offers extended beyond the 48-hour window:

Marsupial Press
Tel: 425.251.8558
Fax: 425.251.8998
marsupialpapers.com/holiday.htm
Offer: Through Oct. 31st, buy any holiday product or custom holiday invite and receive 15% off the total. Must fax in a copy of the email (contact me and I’ll forward it to you). As long as you’re at it, give ‘em a poke about the typo (“i before e,” except in a promo?).

The online Epson Store
Last “stock up on supplies” special of the year-—10% off ink and paper. Use code 8ZTCASE to get the deal. True, it’s not big, but every penny counts, especially if you’re a stationer heavy into in-house printing. Their ink carts have a pretty long life span, unlike HP carts. To go straight to the ink carts page, click here. Offer ends 10/15/08.

If there are other vendors out there who’d like me to spread the word, drop me a line with the offer included. I’ll do my best to help you out.

*Obviously, many of these are limited to current dealers. If you don’t carry the lines, take a look anyway. Might be a good time to add fresh product to your lineup.

Just how safe ARE you?

Given this morning’s plummet on Wall Street-—the entire week’s plummet, for that matter-—retailers are wondering just how well their back sides are covered. Sole proprietor...LLC...Sub-S...ee-eye-ee-eye-oh.... What was a simple tax question a few years ago is now a matter of legal protection, should the worst come to pass.

Nina Kauffman, a New York attorney specializing in small business matters, recognizes the urgency behind owners having a firm handle on their legal position. To explain the various options and implications, she’s presenting a free teleseminar next week:

“Are You Exposing Yourself? How Choosing the Right Business Form Provides Protections and Peace of Mind”
Date: Thursday, Oct. 16, 2008
Time: 8:00 E / 7:00 C / 6:00 M / 5:00 P
Topics include (but are not be limited to):

• The different kinds of business entities that will protect your assets
• How to weigh and balance the options to choose what’s right for you
• The drawbacks to handling business formation online
• How to find advisors who can guide you to your goals

I’ve spent time with Nina and can assure you she’s (a) real, and (b) grounded, and (c) invested in your success. Personally, I can’t imagine a better time to get a grip on your legal situation and the implications of not being properly organized...and can’t imagine a better person to help you do that.

Space is limited, so don’t delay. Follow the link and get registered. Now.

See you on the teleseminar.....

You aren’t alone out there

Sometimes, it’s the headlines alone. Sometimes, it’s the juxtaposition of two in a publication.

This time, it’s all of the above.

In Gifts & Dec’s weekly email newsletter, the following two stories appeared, back to back:

EBay Lays Off 1,000
Big Retailers Laying Off in Time for Christmas

At first glance, this doesn’t feel like good news. BUT...in my opinion, it is.

Think about it-—if big boxes are short staffed, that means customer frustration as they search high and low for someone to help them (already a major problem in several stores, especially Macy’s here in Minneapolis, where I’m convinced they train salespeople to hide in back). The more frustration, the better. Given how short consumers’ fuses are bound to be this holiday season (stress, stress, stress), any retailer who provides a sincere smile, great service, and a willingness to help will be a heaven-sent blessing.

And who does that better than small, independent retailers?

I know you’re stressed too. And I know you’re tiring of my constant “be positive” chanting. But folks, trust me-—this holiday season is going to be all about Mashed Potato Marketing and the psychology behind it.

Fortunately, being positive doesn’t require an invoice. Thank God.

Wal-Mart 2.0

We’ve known for a long time the customer perception of big box versus neighborhood business is pronounced. Big Box = Evil. Small Business = Neighbors. Doesn’t mean they always shop that way, but the mental picture is certainly in tact.

Until now.

Wal-Mart has been talking about creating a smaller, local-feel environment in their big boxes for a couple of years now. Well, that talk has translated into reality with this week’s opening of the first four Marketside locations-—Wal-Mart’s new “smaller format” grocery stores, placed nowhere near a Wal-Mart. Marketsides don’t wear the parent company’s moniker...have a much more whimsical logo than the original giant...but still don the teeth of a large, big box operation (aren’t you proud of me for not using the word “fangs?”).

They aren’t alone. Loew’s began kicking a similar concept around during their annual meeting last month. If consumers nibble at this, you can bet there will be more, and they won’t be planted on major highway intersections; they’ll land smack dab in your very neighborhood.

For now, this appears to be aimed predominantly at hardware and grocery-—retail categories not previously impacted the way the gift and stationery industries have been (think: Paper Source, Swoozies, Blue Tulip, etc.).

Will it stick? Or is this something that will burn itself out? Time will tell, although a failing economy only makes it harder for the locally owned stores to hold their own if one of these Mini-Me boxes pops up nearby.

Good luck, fellow retailers...and welcome to the party.

Cranes...office furnishings?

A friend emailed an article about Crane & Co. that appeared in this month’s issue of Inc. Magazine. Pretty interesting read. Makes that rumor about Taylor Corp wanting to buy Crane’s social paper division seem a whole lot more credible, which scares the willies out of most retailers (to put it mildly...and politely). To download the 2-page pdf, click here.

You can also read the article online, although it’s a bit hard on the eyes due to some bizarre formatting snafu on the Inc. site.

Thanks to Gregg at VendorTech for sending this over.

Editor’s note: Just got a call from Cliff Allen, Director of Sales at Crane & Co.

According to him, the rumor about Crane’s and Taylor Corp are “...not true. Crane’s could have sold this division a couple of times to fund [upcoming technology] for the currency division. Instead, [they] opted to work with capital investment groups,” keeping the company in tact. “The Crane family has a firm commitment to this industry,” added Allen. Bodes well for you stationery retailers out there.

Thanks for the follow-up, Cliff. Much appreciated. -— CB

No...not you.

For those whose hearts came to a full stop during the VP debates Thursday night-—

Palin: “But when you talk about Barack's plan to tax increase affecting only those making $250,000 a year or more, you're forgetting millions of small businesses that are going to fit into that category. So they're going to be the ones paying higher taxes thus resulting in fewer jobs being created and less productivity.”

Reality check time.

According to the non-partisan group, FactChecker.org:

“...it's simply untrue that "millions" of small business owners will pay higher federal income taxes under Obama's proposal. According to an analysis by the independent Urban-Brookings Tax Policy Center, several hundred thousand small business owners, at most, would have incomes high enough to be affected by the higher rates on income, capital gains and dividends that Obama proposes.”

”Several hundred thousand” is, according to most experts, somewhere in the neighborhood of 1.4% of all small business owners in the U.S.

Jump start your heart. You’re still on safe ground.

Get in their heads

A friend of mine doing some reconnaissance work (aka: trolling the big boxes to see what they’re up to) commented about how poorly small retailers seem to be doing when it comes to making the customer feel appreciated. On her visits to discount chains, she’s welcomed with open arms. On visits to independent retailers, however, she gets next to no welcome, and very little warmth. In her words, “They’ve gotten lazy.”

My take? It’s more than lazy employees. More than having the right employees. It’s about fear...theirs.

In a big box or chain, there are several degrees of separation between the CEO and the part timer on Elm Street. Those employees don’t see the bottles of Advil and Pepcid AC lining an owner’s desk. They don’t see concern in the eyes of the person who actually owns the place. They don’t see a personal degree of risk as only one of 127 employees on the 20-hours-per-week schedule.

In an independent retail store, however, there’s typically no degree of separation between the staff and the person whose life teeters on the success-—or failure-—of the business. Employees know there aren’t multi-million dollar accounts spreading cross country to offset one location’s losses. They know the odds they’ll be the one “let go” are pretty high if there are only four others on the schedule. And they know that getting another 20-hour-per-week job in retail is gonna be kind of tough right now.

They’re as scared as you look.

So how do you fix this?

1. Explain to them that yes, this is a nerve wracking time, but that you have a plan. Walk them through the plan assuming they’re smart enough to understand it.

2. Explain how much pain your business can endure. In their eyes, you may be 98% of the way through the “buffer zone,” nearing life support when the reality might be that you’re only 10% of the way into the pool.

3. Explain the reason you’re ordering in smaller batches and not loading up on show specials (assuming you’re following my advice here and here) is because it strengthens the store’s cash flow. Your ability to be proactive is what protects the store from financial risk.

4. Explain the reasoning behind any other overt change in the way you operate the business right now. What employees interpret as crash-n-burn damage control might actually be a brainstorm you came up with six months ago.

You need to get that deer in the headlights expression off their faces so they’re more likely to look customers in the eye, smile, and welcome them to your store with sincerity. They need to engage with the customer, not cower from them, and make everyone feel welcome.

They need to behave as though they can breathe rather than be constantly holding their breath.

You comfort them. They comfort your customers. That’s what we retail types call a win/win.

Did I call it, or did I call it?

In browsing through some of the old RetailSpeaks newsletters, I ran across my column in the January issue. Somehow, it seems more timely than ever...especially when you hit the part about Washington Mutual:

Let’s face it-—what shakes the economy shakes our stores. Many of us felt aftershocks from the mortgage crisis jiggle our registers; next up appears to be a wave of shakes from the very thing we love to see-—our customers’ credit cards.

Notoriously the last to admit risk, banking officials have been not-so-quietly whispering warnings of potential disaster in 2008. According to Newsweek, Citigroup has earmarked $2.24 billion to cover credit card defaults this year; Capital One, Bank of America, and Washington Mutual are each bracing for a 20% uptick in losses; and AmEx-—long seen as the home of financial sound credit card holders-—is boosting its default coverage reserves by a whopping 44%.

...I’d be the last to suggest anyone should be buying as if we were still in the cash-rich days of the late ‘90s (oh, to be there again!). But I do firmly believe the fastest way to store failure is to circle the wagons, hide the checkbook, and stop looking for new product....

Concepts like “open to buy” and “turns” have never been more critically important to independent retailers than they are today. It’s not enough to remember how last spring’s sales went; that was last spring.

In the end, and regardless of how the quarter played out, independents need to remember that looking behind never bodes well for what’s ahead. We have the ability to spin on a dime, allowing us far more flexibility than the big boxes, and can can tailor our product mix to the customers we know will keep shopping.

...Remember that this roller coaster ride we call “retail” has wonderful peaks as well as sometimes scary valleys.

Read that bold faced type part again. And again. Now’s the time to get smart, folks. Now’s the time to plan your budget, then stick to it. Now’s the time to switch from big, whale-sized orders intended to carry the entire quarter to a series of smaller re-orders that can be placed as cash flow supports them. Now’s the time to pay that credit card down as fast as you can. Now’s the time to reassure your employees that things are under control so they don’t scare off your clientele with deer-caught-in-the-headlights expressions on their faces.

And now’s the time to smile at your customers, no matter how hard it might be...after all, they can’t see your knees shaking when you stand behind the counter. You have to remember, the image they receive is the word of mouth they’ll take away.

Hang in there. You can do this. Believe it.

$50 off on airline tickets

Got an email from PayPal offering $50 rebates on Northwest Airline tickets purchased with a PayPal account. Not sure if they’re doing the same with other airlines, but might be worth checking out.

According to the email:

Use PayPal to pay when you book your holiday travel with Northwest Airlines and get $50 cash back on each eligible ticket purchase over $250. Plus, you'll be automatically entered for a chance to win a $10,000 shopping spree.

You can get cash back on up to five eligible tickets, so the more you fly, the more you save.

Hurry, offer ends October 13, 2008

The best part? Read on:

Limit: $50 rebate is valid on the first five eligible tickets purchased on nwa.com using PayPal as the payment method.

That’s right. Up to five tickets. Travel must occur between November 15, 2008 and January 31, 2009. That means Thanksgiving...Christmas...New Year’s Eve...and most of the winter gift shows.

Bingo.

You have to be a WorldPerks member; if you aren’t just enroll first, book second. As one would expect, there are a few fine print rules, but none seem unreasonable.

To see the full list, drop me an email and I’ll forward them.

Advice, please?

I can tell the stress level has jumped in Retail Land. My inbox is seeing more SOS emails than ever before from store owners who find themselves in tense predicaments with tight time frames--many of which have to do with controlling the message about how their store is doing. It’s not unusual to see an email begin with “Help! I have an emergency!”

Been there. Done that. And completely understand.

On-site consulting isn’t the only thing I offer; you can also opt for phone consults. Need me for a couple of days? No problem. Need me for a couple of hours? Still no problem.

I’m here to work for you....remember? Drop me a line; I’ll help with the heavy lifting.

Personal sanity in a retail life

Yup. I watched Oprah again.

In all fairness, a friend called to instruct me (catch that? this wasn’t a request) to watch today’s episode about slowing down. Apparently my frequent travels have a couple of folks concerned I’ll misplace my trail of bread crumbs and get lost in the woods.

But I digress.

Admittedly, I “watched” the show while working on the computer (these are billable hours, after all), but managed to focus on what was arguably the most important two minutes of the whole thing. Norman Fisher, Zen master and author of “Sailing Home,” offered terrific advice for the overwhelmed and overworked:

“How are we doing with our state of mind? How are we doing with our happiness? How are we doing with our attitude? We don’t think about this. We think about all the things we’ve got to be doing and all the ways we’ve got to be perfect, but every day we’ve got to wake up and say ‘How’s my state of mind today? Am I losing ground? If I am, I’d better address that first because the rest of the stuff I do won’t be worth anything if I’m harried and hassled and in a bad mood.’

“And it has to do with telling yourself ‘I have got to take care of myself. I’ve got to make that a high priority.’”

Yes, that’s hard to do...especially if you’re trying to run a retail store while Wall Street telling you Main Street’s about to melt down. So what do you do to retain your grip on reality?

According to Fisher, you take 20 minutes...30 minutes...first thing in the morning. Get up before the kids, the spouse, or your normal alarm clock time. (Yes, losing the thirty minutes of sleep is a bummer, but not as big a bummer as dragging yourself through the day wanting to bite the heads off your customers, then spit them out on your employees.) According to Fisher, you should use the time

“...to breathe, to return to yourself, to digest yesterday’s emotions, to kind of take stock of yourself, and set yourself up for the day. Believe me, that amount of time [at the start of your day] saves you time during the course of your day.”

I buy it, partly because I’m pretty good about doing something similar to this. Took eight or nine years in the store to recognize boundaries weren’t going to prevent me from achieving goals, but were going to get me to them.

Try the twenty minutes thing, first thing in the morning, before you turn on the Today Show or say hello to your spouse. Slither out of bed, go to a quiet spot in the house where you can be completely alone, then breathe in. Breathe out. Take stock. And know you just invested in the best asset you have-—yourself.

Remember Forgotten

I’m on a roll...or at least have some good karma rolling my direction. Already, I have another terrific vendor to write nice things about (gotta love that).

Forgotten Shanghai is a line of Asian-inspired home accessories, gifts, bags, and other sophisticated items, many constructed from exquisite imported silk. A year ago, I might have strolled past them without pause, but since my trip to China this spring, all things Asian tend to catch my eye.

Thank goodness this one did. Forgotten Shanghai is terrific. Terrific worksmanship. Terrific colors and fabrics. Terrifically fasionable pieces that elevate a home, office, or one’s personal style.

During a visit to their booth at NYIGF in August, a couple of us got into a conversation about smoothies being sold upstairs at the Javitz. On a dash to grab one, I snagged a few extras to take to their booth, as thanks for the warm welcome they’d extended me.

Imagine my surprise when now, a few weeks later, a lovely handwritten thank you note appears in my mailbox, along with a couple of lovely silk treasures in the package. The first thought that crossed my mind was “They didn’t have to do this,” immediately followed by “but I’ll remember them forever because of it.”

And this, dear readers, is the lesson we all should learn. I was already impressed by the line. Everyone in their booth was beyond gracious. The product is stunning, the quality is dead on. I didn’t need to be sold; they already had me.

Still, they took things a step beyond the expected, and sent a handwritten thank you note. This seemingly small gesture assured that Forgotten Shanghai will absolutely never be forgotten in my mind. They nailed it.

To Shannon and Margaret: You rock.

And yes, I love the treasures...will be showing them off at dinner on Friday night. Thank you.

Classic Move

There are vendors who read the tea leaves and discuss them. And there are vendors who read the tea leaves, then do something about them. I’m happy to report at least one vendor who falls squarely in the second category.

Classic Impressions is an embossed stationery line many of us recognize as “those nice guys who left that other big, frustrating company” (you know who you are). Steve and his crew decided to strike out on their own years ago, determined to create a business built on positive retailer relationships, quick turn around times, and great product. Suffice it to say they succeeded, on all counts.

Times are tough, and they know it. In spite of producing a line that doesn’t have huge margins, and in spite of rising fuel costs, they just lowered their shipping charges.

Yes, you read that right. Lowered. As in less money. And that’s in addition to their normal “no drop ship fees” policy.

If you’re a Classic Impressions account who hasn’t received the updated shipping chart, call them. If you’re not a Classic Impressions account, check them out. These are the good guys, folks. You’re missing the boat if you don’t carry them-—especially during a holiday season that’s bound to be as price conscious as this one.