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 Great American Scrapbook Conventions
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 Monday, April 14, 2008
When New Isn't New
Posted by Beth

Manufacturers are reporting a trend I find alarming. A serious reductions of reorders on paper lines. Retailers are purchasing a great collection, blowing it out in a short period of time and then...not reordering a proven seller.

Why? Because we have trained our customers to want only what's new, new, new.  I believe this is causing the early demise of some great collections. Retailers are opting to risk sales in order to have something new rather than chosing the proven seller and running the risk of being seen as having "old" product.

Scrapbookers want to come into stores every week and see something new. That we can't control.

What we can control is what we give them that is new. New does not have to be product. It can be a new technique, a new use for a scrapbooking staple, a new way to use a great selling paper line.

1. Reorder a great seller- but when it comes in- display a new sample. The new sample will make the line look new.

2. For basics such as cardstock and writing tools, frequently refresh your samples. Rotate your stock so that one particular pen line is highlighted each week.

3. If you've got a great tool like the Crop-a-Dile show how it can be used in a new way.

We have a local resale store (they don't even call them thrift shops anymore) called New to You. Good name. The merchandise is going to be new to the customer,even though it isn't brand new.

Before you say goodbye to a collection that still has life in it- all in the spirit of  having what's new- please look at that product with a fresh eye.

We have all sold products to customers that we've had around for a while. How many times have you been asked "When did you get this in?" and the product has been there three months?--Beth



4/14/2008 5:06:32 PM (Eastern Daylight Time, UTC-04:00)  #  
 Friday, April 11, 2008
Whatcha doin' for your Tribe?
Posted by Beth

Happy Friday. Welcome sun and week's end!

Going back to something I wrote about previously- tax day deals. Starbucks and Dunkin Donuts are both offering freebies to loyal customers on tax day. You can bet I'm sneaking out for TWO coffees that day. One from Starbucks and one from Dunkin Donuts (which comes with a free donut).

When interviewed about their promotion, the Dunkin Donuts spokesperson said "We are trying to do something for our tribe." What a neat way to think of your customers.

To me the word "tribe" suggests commonality as well as community. It says this customer group has a love for coffee, donuts (and value). It also suggests a higher level of caring about your customer.

Thinking about your customer base as your tribe may open up new promotional avenues for you. What do you really know about your customer? You know she makes scrapbook pages or cards. But do you know what ELSE she does? Knowing that you have a large group of customers who enjoy gardening, watching college football or reading romance novels can give you direction for special events.

For example, here the Philadelphia Flower Show is a big big deal. A local photographer sponsored a bus trip to the show for loyal customers who would then... yep, take LOTS of pictures. Along the way, an expert photographer shared tips on shooting flowers.

If your customers are avid readers, consider starting a book club in your store. In fact you could start a book club with books that have scrapbooking or photography mentioned in them!

Football fans might enjoy a post-season crop to get all those tailgate party photos into an album.

Starbucks and Dunkin Donuts are offering discounts on tax day to reward loyal customers. Yes, non-regulars will also clamor to take advantage of the deal. But by offering these promotions they are creating a tribe of people that feel like they are valued. You can do the same.--Beth



4/11/2008 8:39:05 AM (Eastern Daylight Time, UTC-04:00)  #  
 Tuesday, April 08, 2008
Create Employee Ambassadors
Posted by Beth

Ford will be introducing a new ad campaign that taps current and retired employees to make the pitch for their cars and encourage consumers to "Drive One." These folks will be ambassadors for the brand and Ford is taking a risk that the everyday pitchmen and pitchwomen will strike a cord with the potential ford consumer.

The idea of using your employees as an ambassador for your brand is a good one, provided they truly believe in it. For the most part, scrapbook retailers have good and trust-based relationships with their employees so it stands to reason that retailers can encourage their employees to be ambassadors for the store brand. When your employees feel like a valued part of your business operation, they will be more motivated to help you grow your business.

Here are some ideas on how to get started:

Get all of your employees business cards.
For about $20 a box for black and white cards, it's the cheapest marketing tool going. Remember when you got your first business cards and wanted to give them to everyone? Employees can give them out to customers they assisted in the store and better yet out in public. Even if they give them to other moms with their hours written on it to come in for extra help- that is another potential customer you've reached. If you can't do customized cards- try a general card and ask them to write in their names. (I vote for springing for the cards for each person.)

Engage your employees in determining your donation/cause related marketing efforts.
They can help choose the charities and participate in planning  and promoting the events. You may even want to give each employee $25 in value that they can give away to the charity of their choice (provided you approve).

Encourage your employees to teach and give speeches to local groups.
You probably get more requests than you can handle. Train your most enthusiastic and articulate employees to promote scrapbooking to groups. Incentivize that employee by giving her discount coupons to distribute at the events. Every time a coupon is returned, the employee is rewarded in some way. That will motivate the employee to not only inspire folks to come to the store but also to look for more event opportunities.

Employees are a direct reflection of your business. No matter how beautiful and well-stocked your store (or any kind of business is for that matter), if your employees do not advocate for you and represent you in a positive way your business will not grow.

I encourage you to think of more ways you can make your employees "partners" in your business.--Beth



4/8/2008 8:47:08 AM (Eastern Daylight Time, UTC-04:00)  #  
 Friday, April 04, 2008
Will Self Service End Customer Service?
Posted by Beth

I'm seeing that pundits are predicting that self-service is the wave of the future. Ok, they don't say "wave of the future" but they think self-service is hot, hot, hot.

I'm not sure where these folks have been lately but self-service is very much here in the world of restaurants and retail. You can buy an iPod from a vending machine in Las Vegas' McCarran airport and ProActiv skincare products from a machine at the Oxford Valley Mall.

Self service has impacted business for the better most part and it looks like the majority of consumers agree. For more background, check out this article on SelfServiceWorld.com.


I totally agree that self-service is good for industries that need more distribution outlets or have trouble attracting employees due to a low wage structure. It's also good for customers who believe there aren't enough hours in the day. It means I get out of the Acme food store faster when I only need a gallon of milk. I don't have to worry about long lines at the ticket counter when I can purchase NJ Transit tickets from a machine. I can make sure I have the right amount of cream in my coffee at the airport food concession.

Self service works for products and services we understand. It works great if you have a credit or debit card. Not so great if you don't know how to use the product, don't speak the language or don't have basic reading skills.

Scrapbooking does not fall into the self-service category. In fact, crafting across the board will not be replaced fully by self-service. The self-service endorsers sound a bit like the folks who 10 years ago crowed that all craft sales would move online. Mega craft retail sites have not replaced brick and mortar stores. Why? Craft stores don't just sell stuff. They sell what you do with the stuff.

Packaging doesn't begin to tell the full story of how a tool, paper or stamp can be used. That is the service scrapbook retail staff bring to our business. Independent stores draw and keep customers because of all the things they do, not the stuff they sell.

Sure, storyboards can give you an idea on how to use a product. But at the end of the day, when a consumer is presented with a wall of adhesives, she wants a live person to help her find the right one.

We have lots of stuff that can be self-service in our stores-accessing most products and using the die cutting machine. But customer service can never go away in the craft retail store. We may not be able to enter "service" with a bar code scanner but is sure is a vital component of what we sell.--Beth






4/4/2008 12:59:21 PM (Eastern Daylight Time, UTC-04:00)  #  
 Monday, March 31, 2008
Advice for Getting Emails Read
Posted by Beth

Check out this excellent article from David Baker, vice president of Media solutions at Avenue a/Razorfish.  It highlights some how-tos for making email communications more compelling so that people A) open them and B) respond.What a great way to start a morning- with some food for thought!

Advertising is a key marketing function that needs to be reviewed frequently. If you haven't updated your print and online ad materials lately, you may want to make a point of taking a look.

Email seems so easy, flexible and "free" that we can get caught in the trap of not focusing on it enougth to ensure our message is heard and acted upon. The idea that print has more longevity really makes us stop and pause to proofread newspaper and magazine ads to determine if the message is spot on.

Some things to consider as you review your ad materials.

1. Is it time to hire a professional graphic designer to create your ads? I guarantee it is not as expensive as you think and the quality will elevate the presentation immensely.

2. Is your house ad looking a little tired? Even if you are only promoting your store and the basic items you sell, it's a good idea to refresh your ad materials. Not change them entirely... just refresh it just as you update your key store displays.

3. Are the fonts you are using updated? Type fonts also follow trends. Your ad could have a whole new look  just by updating the font.

4. When you send store emails do they have a compelling subject line. Or does it always say.... a message from Beth's Scrapbooks? If the body of the email holds news about a sale or new product, that should be teased in the headline.

5. Are you measuring the response rates to your emails? You should. That will help you identify what topics customers are most likely to respond to.

Email is a tremendously effective marketing tool. But just as you research and measure other advertising tools, you should approach your email campaign with objectives in mind. ---Beth



3/31/2008 9:13:07 AM (Eastern Daylight Time, UTC-04:00)  #  
 Tuesday, March 25, 2008
How are you at Haggling?
Posted by Beth

Very very interesting article in The New York Times about how big box stores may be open to some haggling over prices of high ticket merchandise.

In the old days of retail you would go to a big box store to get the best price. The haggling was left for independent stores... the old "if I take this refrigerator, stove and washer & dryer can you do better on the price?" sort of thing.It was one of our little competitive secrets.

So now big box stores are going to give their employees latitude to negotiate price with customers. I'll be interested to see how stores will empower $8/hour employees to negotiate $100s of dollars of potential profit for the store. If you're a retailer who plans to do this, I hope you have a great relationship with your employees and very strict procedure to follow. Otherwise, a lot of dollars are going to go out the door.

Maybe that is ok if you are going to do volume sales as these large stores do. But is this a slippery slope?

The article was very good about pointing out how savvy customers are getting- how informed they are about prices and products. The uber-hagglers are doing research online then haggling prices at one retailer, then leveraging that price with another. Three retailers later, the consumer gets the rock-bottom price.

Ouch. Now the chain retailers will get a sense of what independents have endured for years. The old- I'll take you up on the training and information and then buy the product at a discount elsewhere- thing.

Many large retailers have been giving their employees the option to negotiate price for years, it just wasn't widely known. Ever buy a bed? That's where I learned that I don't have the energy or TIME for haggling. Three hours later I got the bed for half the ticketed price (as a favor to me of course- the ONE time the sales associate could do that this month). However, my whole Saturday was shot.

Consumers are already wary about what products really cost. There is a sense that big box stores mark stuff up tremendously in order to draw customers in with a 40% markdown.

Consumers have a pre-conceived idea of what things are worth. Right or wrong, they bring that with them when they shop your store. A successful salesperson will make the sale if they prove the value of that item beyond those preconceptions. Why is this product worth $20? Your answer: It will save you time, make the crafting process easier, it's fun to use, it's the hottest thing with designers, etc etc. It's not really about the quality of the item but the intangibles- the stuff you can't really put a price on.

A customer can pay a few dollars less at another store but at almost $4 a gallon for gas is it worth a second trip? Here's where you have the in. Rather than haggle on price, what added value can you offer that doesn't cost you a lot? This could be a training session, a discounted crop ticket, a few extra sheets of paper, a free refill, etc.

For me haggling is a hassle I prefer not to endure. For the high ticket items?Yes I will do the homework on televisions, appliances and furniture but for a $40 craft item. Just tell me what it can do for me and ring me up!--Beth



3/25/2008 8:58:15 AM (Eastern Daylight Time, UTC-04:00)  #  
 Monday, March 24, 2008
Are Jo-Ann's Web Sales a Threat?
Posted by Beth

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



3/24/2008 1:21:05 PM (Eastern Daylight Time, UTC-04:00)  #  
 Thursday, March 20, 2008
Michael's Cutting Back on Classes
Posted by Beth

Michael's is cutting back on classes in its 900+ stores. The surviving classes will be the Wilton (cake and candy decorating) classes.  This is one of those bad news good news stories depending on what side of the distribution channel you are on.

The thing that separates crafts from other hobbies is that we don't have a good education structure set up outside our stores. Children learn sports and can take music lessons in school. They can participate in theatre and choir and auto or wood shop in school. But crafts, outside the minimal introduction to paint, crayons and sculpture in art classes are mostly taught by family members and occasionally a scout group leader.


Simply put, we (meaning members of the industry) have to teach people to craft.

That is why store-sponsored education is so vital to the health and future growth of our industry.

Now, in a chain store's case, managing in-store education is a nightmare, their business depends on things that can be scaled. Unfortunately, you can't scale great people to teach classes. Each store location will have different  ternds and product category strengths. Wilton will continue at Michaels because they have one of the best systems for getting well-trained teachers in store. It probably doesn't require a lot of coordination on the store's part.

So the good news. Independent retailers- here's where you can compete with Chains- through education.

Classes and Clubs... the most successful stores all have them.

Build your classes correctly and you will generate revenue from the class and the product sales. You'll probably need to bring in some outside teachers, invest in some promotion and some class space if you don't have a place in your store.

But just as you invest in advertising, fixuring and product- this is an investment in future profit. Classes and clubs generate store traffic and bring in new customers. They teach customers how to use tools and products. They bond customers to your store.

It's tough to compete against that  weekly 40% off coupon but there are so many products YOU can sell that chains never will. Those are the products you can build classes and clubs around. There's no need to train consumers how to use a tool that they will leave your class and buy elsewhere at a deep discount. But if they do buy it elsewhere you can still generate revenue from teaching the customer how to use a product they bought at a Chain store.

We hope to be presenting a clubs and classes seminar at CHA Summer. In the meantime, classes and clubs are a priority in our magazine content. We welcome your comments and contributions to this topic.

Wishing you a happy first day of spring and for those of you who celebrate it- a joyous Easter. See you Monday-- Beth


3/20/2008 9:33:03 AM (Eastern Daylight Time, UTC-04:00)  #  
 Tuesday, March 18, 2008
Doesn't Anyone Send Easter Cards?
Posted by Beth

I was a frustrated photo consumer yesterday.

I endeavored to take the cute picture of my son (riding the Easter hayride to the easter egg field with Mr. E. Bunny)to create a photo card for all the long distance friends and relatives.

I went to four photo outlets. Apparently I am the only person who wants to send Easter/Spring greetings in the form of photo cards.

Now I could go on one of those online photo services. I have used them occasionally but I like brick and mortar stores. Plus, I don't want to pay extra to overnight the cards. So plan b, purchased cards that will be dolled up with embellishments and glitter glue with a 4 X 6 print inside. The recipients won't care either way but I wanted those photo cards enough to go to 4 stores. (Not enough to plan ahead though!)I can't be the only person who has a good intentions and finds herself running around at the last minute. FEdex was invented for people like me!

Kudos to the teenager with the mohawk and eye makeup (at the local pharmacy) for trying to come up with a solution. He is a natural born retailer. A Bronx cheer to the two buttoned down, white jacketed  adults at the photo stores who looked at me over their reading glasses and snorted when I suggested that other people might want to send Springtime greetings.

Just goes to show you can't judge a great retail clerk by the cover.

The trend in sending cards and other greetings is to create every day holidays. Isn't it a nice surprise to get a card in the mail when you don't normally expect one?

Consider creating some samples  or kits of Spring greeting cards showing kids in Easter finery, Purim costumes or just happy smiling faces and inspire your customers to make every day a card sending holiday! You get the sale and someone else gets a smile.--Beth



3/18/2008 3:15:06 PM (Eastern Daylight Time, UTC-04:00)  #  
 Monday, March 17, 2008
Is Scrapbooking Recession- Proof?
Posted by Beth

There is this conventional wisdom that when the economy turns down, crafting activity ticks up. That stands to reason- less time to spend on leisure activities means more time at home and more opportunity to do activities with your children.

Whether increased crafting activity translates into increased sales will depend on how proactive a retailer is about getting customers into the store. Most crafters I know have big stashes of supplies bought with good intentions or just because "I love this and I'll use it somehow." So true blue crafters won't necessarily be running into your store when pennies get pinched.

Who may be coming in your door is the mom looking for creative activities for her children as an alternative to too much TV and video games. It may be the party planner who wants a cost effective alternative to expensive custom invitations and table top decor. It often will be a person who wants to turn that box of photos into some kind of organized memory book.

If you don't already have programs in place to reach out to the casual crafter here's why I think it is worth it....

1. Opportunity to sell tools. The casual crafter needs to outfit her craft closet.
2. Non-traditional crafters have less price sensitivity- they have no pre-conconceived ideas about what crafting costs.
3. Casual crafters can be encouraged to bring in friends- all the better to increase sales.

Just like most consumer magazines, scrapbook stores cater to the advanced beginner/intermediate customer. Those folks are the mainstay of your business and merit a lot of focus and attention. But as you are servicing those folks, be sure you are doing the developmental work needed to ensure financial health.

Let me give you a real world analogy. A friend was refinancing his mortgage. The advisor urged my friend to open a line of credit when he refinanced the mortgage- even if he didn't need it. Why? Because if he did need suddenly need a line of credit due to an accident or loss of job he probably wouldn't be eligible for one.

Developing new customers while times are good is a way retailers can build their own "line of credit." If you bring in new customers all along, when times get choppy you have a broader customer base. So if people move, give up scrapbooking or for some other reason stop patronizing your store, you do not have a business-altering drop in customers.

 I think scrapbooking and crafts in general do not have to be as adversely impacted in tough economic times. If you always make an effort to bring in new customers, you'll never need that line of credit.

Here's t'hoping the wind is at your back on St. Patrick's Day and always. And may there be a pot of gold at the end of your rainbow. Slainte!-- Beth



3/17/2008 3:43:35 PM (Eastern Daylight Time, UTC-04:00)  #  
 Friday, March 14, 2008
St Patty's day AND Easter in one Week!
Posted by Beth

Oof.

I was at a local mall last night performing the seasonal ritual of purchasing my son's Easter outfit. I'm not sure if it is creeping prices or malaise about an early holiday (we could have freezing rain on Easter) but an empty mall told a chilling story.

It was empty. And I mean 80% of the people there were in the food court. Now it could be that most people were waiting until next week to see if the prices come down or after the March 15th pay day. But even so, there should have been a line for the Easter bunny or the stores selling candy.

Looks like retailers will have to go the extra mile to make sure they squeeze out some extra Easter sales. Find some last minute promo ideas on our Website.

Don't forget that Easter is part of the Spring celebration which lasts far beyond a single Sunday and crosses ethnic and religious boundaries. Consider creating some Spring- themed cards and layouts in addition to the holiday ones.

As for my house, we'll be exploring new ways to embellish easter eggs after the great purple dye debacle of 2007. Egg dye and squirmy pre-schoolers are a recipe for disaster. I  am thinking stickers are sounding good right about now.

In fact, I think I'll go on a clear sticker hunt this weekend and see what I can come up with to decorate eggs and also just jars that I will be using as gifts for my family. And glitter glue that is my son's favorite. We're also doing an egg tree for my son's room. He like idea of a Christmas tree so much, that thing will never go in the attic!

Inspire last minute Annies like me with some quick and easy ideas for decorating or gifting for Spring. Give your staff a challenge. Hand them a basket, a bottle, a flower pot or any kind of container and see what kind of project or gift package they come up with!

Have a good one-- Beth



3/14/2008 8:42:02 AM (Eastern Daylight Time, UTC-04:00)  #  
 Wednesday, March 12, 2008
Are YOU blogging?
Posted by Beth

Feedback from retailers at the CHA Show tells me there is a lot of interest in learning how to use online media to market a business. I agree, so we will continue with our articles on that topic.

To that end, I am wiggling the typing figures and "writing" an article on blogging for our June/July issue. (Yes yes the real deadline passed ages ago but I can't resist squeezing this in)  I've done some web searches on scrapbooking blogs and clearly the tone of the blogs is as unique as the person drafting them.

Being a fairly private person I feel it's brave to share all your "stuff" out in a public forum. I am much more guarded although there are plenty of times I am dying to tell my audience about the exceedingly cute thing my 5 year old did that day. Maybe I need two blogs- a personal and work one. The idea brings up some very interesting issues when it comes the separation of business and private lives.

I don't mean to tease but we have some good content on that coming up!

In the meantime... if you are a scrapbook professional who posts a blog, would you please contribute to my article by telling me:

Why do you blog?
What does it do for your business?
Were there any surprises that arose from the blogging process? Weird feedback? Unexpected results?

I'd really love to hear from you because it will provide industry perspective to the article. Please email me directly at Beth.Mauro@fwpubs.com.

Looking forward to hearing from you!--Beth



3/12/2008 9:20:08 AM (Eastern Daylight Time, UTC-04:00)  #