There was a short but interesting item regarding Joanns.com in Internet Retailer.

It said that online sales only account for 2% of the store's product sales. I would have expected that to be higher. The company says that Web sales are not expected to match the margin on in-store sales.

I remember the days when Idea Forest (the creator of the JoAnn's site) and a handful of other online craft mega retail sites were going to put every independent retailer out of business. During the dot.com boom there was an awful lot of trash talking about how e-commerce would take over craft retail. You know, I don't see alot of those folks at shows any more.

The good news is that for the most part, the best online retailers co-exist with independent stores. I don't hear that same bluster about causing the demise of brick and mortar stores. Online retailers need traditional stores.

Certainly online retail poses competition to brick and mortar store. But it is one of many competitors. The key is to put that competition in perspective. People shop online for convenience. My belief is that crafters enjoy shopping in stores for inspiration and turn to online retailers to buy products they can't find in local stores.  They may also go online to get discounts. But when you factor in shipping costs, the discounts are diminished.

Short of staying open 24/7, it's near impossible for  brick and mortar stores to compete with an online retailer in terms of convenience. You'll never be able to carry every sku of every line out there.

The answer is don't try to compete on something that is impossible. (That's the advice speakers always say about competing with Wal-Mart on price.) Compete on something you can do that e-retailers can't:

• You can demonstrate a tool and show many ways to use it.
• You can upsell other items that work well with a product. Websites don't "think" in the same way.
• You can conduct classes and clubs that engage consumers and provide entertainment.
• You can be the one to give a customer a hug when she tells you she is making a memorial scrapbook for a friend or family member.

There are all kinds of things a brick and mortar retailer can do because you get valuable "face time" with the consumer. So the next time you get into a worry cycle about how to compete with (fill in the competitor's name here) focus instead on things you CAN do. It will put you on the track of solutions and that is a much more productive use of your time!-- Beth