I think I just scared the living daylights out of a few long term craft industry members.

Now that I have your attention, I thought I'd wade in on a topic that everyone seems to be dancing around- the proverbial elephant in the room: Is scrapbooking going away?

Naaaahhhh.

But like every category it has hit a plateau and this is the time when the folks who weren't really making it, fall off. It's when companies that haven't been watching their expenditures are getting some tough love from the accountants and the beancounters have cut up those credit cards. Instead of making minimums with individual vendors retailers are turning to trusted distributors. And then there's this really inconvenient "we're not in a recession yet but the average man on the street thinks we are." thing. The mindset that someone should not be spending money right now on "superfluous" stuff is a challenge.

Consolidation will continue, I expect more by year's end or right before CHA Winter. The latest being Around the Block becoming part of the UltraPro group which also includes 7 Gypsies and Chatterbox.

As we regroup on the plateau, I predict some fundamental changes in how business is done. And for the most part, these changes will strengthen the bottom lines for vendors and retailers alike.

1. Fewer new product introductions- let's face it the velocity of new product that we taught our customers to expect did not work in our favor. Fewer, more well considered collections are better for the vendor but also for the retailer. Folks- it's ok to reorder a line that blew out in the first week!

2. Fewer freebies. Again, this is a monster we created- we have to own up to that. It was pretty heady in the early days and many companies had super marketers behind the brands with clever promotional ideas. There was so much free product shared around in the early days of the industry that customers, whether consumers or retailers, expect it.  Now that those promo dollars are fewer and far between there are fewer freebies. It's not that companies are trying to be cheap- it's just that some items need to be cut in order to hold the line on product price. Think of it as cutting calories.

I heard some grumbling about it at the show which saddens me. It's going to take discipline to wean folks off the freebie expectation.If you base decisions about classes and placing orders just on the freebies- you are going to miss out on some great opportunities. I'd also like to offer this up... yarn retailers are doing just fine and you don't see them giving away balls of yarn.

3. More partnerships- this is one of my favorites because it makes so much sense. But some great partnership ideas have been weakened over the debate about who is in control or who leads the organization/execution. That's a good item to get in the earlier talks.

4. Embrace papercrafting- It's not just 12 X12 pages- they may be your bread and butter but cardmaking will remain strong as will the use of stamps.

5. A need to niche market- there are some emerging consumer groups that are open to papercrafting & scrapbooking. Are we speaking the same language? Do they relate to the projects we show in ads and in magazines? We need more diversity on a variety of levels and this is going to take some brainstorming to work out out to target these groups with unique messages.

The scrapbook category is not "done" but it does need to evolve. Sometimes companies and product lines stumble. What will matter now is the integrity of our industry members, how they will work hard to get more professional education, how they will partner with could-be competitors, how they will invest differently to build their brands. There are many business owners who have all of their wealth tied up in their scrapbooking businesses. How do we ensure they will see a return on their investment?

By working together, adding value but not random freebies and by making an investment in learning how to run a business. I look forward to joining you on the climb up to the next level. If there are any topics you specifically want me to address, please let me know!--Beth

My life tends to revolve around show dates and magazine deadlines. Simple.

Now that CHA summer is over I feel like I can concentrate on the business of blogging and putting a magazine out and catching up with some contacts  that are equally busy. I am sure you get or have sent similar emails.. "I haven't forgotten you, it's just been CRAZY here."

I might even take a few days off to download the brain cache. In fact that actually results in more ideas- when you are away from the office your mind tends to open up.

What do you do after CHA Summer before you gear up for holiday selling? I hope you are taking some time now to take a few days off (if it is really slow- now is the time!) and plan some interesting things for the fall/winter season.

Grant Madsen from American Crafts' article  in the August/September issue on promoting for the holidays is so right on. This is not going to be  spendy Christmas for most folks, yet we still want to preserve our activities and traditions.

Let's continue the dialogue on making your store a destination. Folks are going to be weary this holiday season and your store can be a bright spot.

I hope you'll take some time in this "end of summer" quite zone and reward yourself for your hard work. Go ahead. Call an old friend, lay by the pool, go see a 1:00pm movie. Give yourself some down time. The only rule is... turn off the phone and the blackberry. You need to get 100% "away". In order to stay strong in competive times you need some downtime to refuel.

You are good to your employees, your family and friends. Please be good to yourself.--Beth

I read a thought provoking entry from Cory Trefiletti's Online Spin this morning. He is a principal and managing partner for Catalyst SF an online marketing firm.

Cory suggests that there is a difference between true customer service and service with a smile.  I couldn't agree more. We've all dealt with folks who try to help but few go beyond the normal bounds of service. They  reply "sorry" with a truly sympathetic look rather than saying, "let me see what I can do for you." In its worse incarnation it's a service provider who says all the right words after you've demonstrated true frustration. She is smiling and trying to look friendly while in her brain she is calling you all kinds of unprintable names and wishing you somewhere that is very very hot.

I recently had an experience where I showed up a day early for a flight home from a trip. I reeeeeaaaaalllyyy was ready to get home. Unfortunately the last flight east had left and since I booked the ticket, the airline bore no responsibility. The service agent said "sorry" and looked sympathetic but she didn't stop there. She checked on flights the following day, advised me about standby options and gave me a voucher that would score me a deeply discounted room. She went so far beyond the call of duty that when they mislaid my suitcase on the flight home, I felt I didn't have the right to get mad. (The suitcase arrived on my doorstep 24 hours later.)

It bears repeating. We're not just in the craft industry, we are in the solutions business.  The more we can provide our customer with good solutions, the more loyal they will be. So here's some thoughts on how you can implement some extra great customer service....

Instead of just sorry when...

A class is sold out... ask to take her number and call if there is a cancellation. Or create a waiting list and offer to contact her if you get enough people for another class. Promise her a guaranteed seat in that class.

You're out of stock on a product... offer to do a special order or earmark that product for her in your next reorder. Or call another retailer to see if they have the product and send the customer over (or if you can, go pick it up yourself and have the customer get it from you.)

You forgot to put a key item in the bag and the customer didn't have it when she wanted to work on a project. Offer 50% off the next persion of that one item. If they are local and it is remotely possible, drop the item off at the customer's house.

When it comes to customer service issues, it won't always be someone's "fault". Even in cases where your customer is hopping mad, she will remember that you helped find a solution.

Got any other solutions? Please share them by responding to this entry.--Beth

P.S. Read Cory's blog now.

Catching you up on CHA day 2 and 3. Luckily I did most of this on the plane back because I'm a bit brain fried!
 
Saturday was a great education day. Thanks to all of the folks who got up really early on a rainy gray day to show up for a session on clubs and classes. Beth Williams and I enjoyed presenting the session and we probably could have gone an extra hour with the folks who were chomping at the bit to share. I need to figure out how we can do this in a "live way" online.

A second session later in the day- sponsored by CHA on the topic of using research had some compelling information. Sara N from Hot Off the Press and I tried to bring the research closer to home with ideas to act upon it. The more I think about it the more I understand that looking at  topline numbers is just a start. If you are a member of CHA you can access the full research report at the member section of www.craftandhobby.org.

The Saturday night Be a Kid Again party was in full-swing when I got there. My pal Terri O introduced me to her new friend Mark Montano, who is very sweet and a lot of fun.  The music took me right back to college days and I was glad to hear that nobody was referring to it as "oldies."

Not much time for long visits at this show but I was able to check out some neat products...
 
Scrapbook Adhesives by 3L introduced new black foam squares, great news for those of us who don't do "nurse white" pantyhose with an all black outfit. the black squares just disappear behind dark paper.

As usual Prima's flowers were just yummy. I wanted them all, especially the ones made from ditzy cotton prints and the "vintage" velvet leaves. I loved their take on collaged pages… super detailed and more art than album fodder.
 
A couple of cool products at EK Success including a new stamp and punch combo and a new twist on the bone folder. The EK "bone folder" which is actually not bone and does more than fold things would be a great product for point of sale demo (hello upsell!) because it has more of an ergonomic hand feel and it can be used as a rub-on tool.

GCD Studios offered some fabulous lines in an booth that read so elegant and elegant and expensive that it belied the low per sheet price and low show minimum. Two-sided with shimmer and a linen finish. If you like bold
graphic prints it is definitely worth checking out.

I liked the pink/apple green twist on Christmas that I saw in quite a few booths but the more classic take from Little Yellow Bicycle and the Christmas baking line from Karen Foster Design were lovely.

Also from Karen Foster was a neat accessory box with 25 tiny drawers that can be customized in different ways. The Advent calendar sample appealled to me because I was thinking of doing a similar project. You could also decorate it as a little accessory box for jewelry or a count down for any event. Or even just fill it with messages of good wishes.

Streuter's metallic sheets with a glue film side have tons of applications for jewelry, cardmaking and altered art. I am eager to get some in and experiment with it. Designer Robin Beam was doing some really cool jewelry pendant things with the foil but I could see it used for creating Russian or Mexican inspired icon art.

I'll be writing up a trend release and will be posting it on the site this week. If you saw any great trends, please respond to this entry and share!--Beth

Today the show opened up with bagpipers and a video message from my mentor Karen Ancona who lead C.N.A. magazine for 20+ years. Karen has been fighting a really tough battle with cancer the last few months so it was great to see her looking so strong. In her message she urged us to promote the therapeutic benefits of crafting; to create a link between a road to wellness and a hobby activity. Something to think about- if you'd like to mail Karen a card- she has received literally hundreds of them- contact me directly for info at Beth.Mauro@fwpubs.com.

Most of the other info I have to report today relates to trends not in colors or techniques but rather some  business trends.

Trend: Partnering Up
It had to happen and now exciting new programs are resulting from new partnerships. Accucut & Mountain Cow, Lucidiom & Pebbles and Magic Mesh & The Freeze Frame are just a few harbingers of more partnerships to come. These partnerships bring new products to the market, a more successful way of using products or a more cohesive way to present product to the retailer and consumer.

Trend: Interest in Online Opportunities
There was a lot of buzz and a lot of questions about web programs, digital scrapbooking and online marketing opportunities.I look forward to learning more about how the various industry constituences are embracing different uses of the Web. Video and online radio are both new waves to ride.

Trend: Getting Organized
In  addition to interesting and sometimes product-specific storage solutions (Ribbon Ring), I'm noting that product manufacturers are trying to weave in the convenience of storage into tools. For example, Helix has the Paper Craft Station, a multifunctional craft tools where the embosing stylis snaps into place on the back.

Trend: More line extensions rather than new programs.
This isn't a bad thing. It's about taking something that was a winner and tweaking it to make another great product. For example, Scrapbook Adhesives by 3L introduced black adhesive squares and adhesive rollers with extra footage of adhesives. Scraponizer took their storage product to a new level by creating a larger 12x12 version in the Ultimate and then  adapting that to a working/storage tool for scrapbook spreads with strong magnets to keep the paper pieces in place. Magic Mesh introduced a linen mesh.

Energy on the show floor has been high. Were they lined up 20 deep to get in the show? No. BUT, the folks here are clearly very serious about finding new ideas for their businesses so I expect orders to be written and left, especially after the day of tire kicking today.

Tomorrow morning we start the day with our DemoNar on clubs and classes!-- Beth

Today I participated in the CHA nominating committee which is pretty big responsibility when you consider the membership elected you and two other members (Ed Rogala of Midwest Products and Pam Riddell of Maps to Memories) to be part of the group that creates the slate of new candidates for next year's board. Bob Ferguson, Maureen Ruth and Larry Olliges were also on the committee). It was a great meeting. I'm not at liberty to discuss details but suffice it to say we have a wealth of talent in this industry!

If you've ever wondered why CHA does things a certain way or if you feel you have better ideas, there is an opportunity to participate in the process through task forces. Or perhaps you are a future board candidate.

You know the old 20/80 rule, 20 percent of the folks do 80 percent of the work. My experience is it's less when it comes to associations. But the truth is A. Associations are ALWAYS looking for new blood and B. Service to your industry association is rewarding on many levels.

I've been on various committees and boards over the years both in the industry and within the communications profession and I have always gotten something from it--a great new contact or friend and always a new insight or information I wouldn't otherwise have access to. I think the year I was on a dais with Oprah Winfrey, Martha Stewart and Sheryl Crow was the highlight of my career. Naturally I have no photographic record of that event (ARGH!) but it was a great day--an opportunity I earned through participation in my industry professional group.

I hear alot of "they should" or "they don't" when it comes to CHA  but really the they  is us. It's our organization and our involvement can influence it. And when you participate, you realize that there are lots of folks with lots of agendas and needs to prioritize.

Participate at whatever level you can! Join a task force. Volunteer at an event, contribute somehow to the media campaign. You don't have to be a big manufacturer or retailer. There are jobs that take a few hours and some with longer commitments. It' s up to you. You just have to be a person of ideas who is willing to work towards a common goal of industry growth.

Contact Steve Berger or Sandy Ghezzi  at CHA and they will connect you to the staffer who can put you to work. It's worth the effort!-- Beth

It's always a happy day for me when someone writes to say they were moved to action by something in Scrapbook Retailer or this blog.

Yesterday deann mcdaniel of (We Are) Storytellers (they use the fancy brackets in their name) told me that my commentary on staycations inspired her to do a challenge event/workshop. Here's the info- maybe you'd like to participate:

staycation: 1. A vacation that is spent at one's home enjoying all that home and one's home environs have to offer. 2. A vacation spent close to home

Welcome to our blogshop!!!! A Blogshop is a workshop on a blog that we happen to be offering to {we are} storytellers fans all summer long.

Dates: July 4 - September 5, 2008
Place: Here http://wearestorytellers.typepad.com/my_weblog/
Led by: Julie Ann Shahin with assistance from the wst creative team and select members

If nothing else check out the galleries to see what has been posted. Some of the July 4th projects are absolutely magical.

deann is an advocate for getting more journaling- storytelling- back into scrapbooks. A staycation may not be a visit to a Disney park (unless you live in Orlando or Anaheim) but there are still many happy and magical moments to capture in your own backyard. Introducing your children to the historical significance and natural wonders of where they will grow up will give them a strong sense of place.

I know my son is just as happy to visit the rather lugubrious and castle-like Mercer Museum in Doylestown, PA as any other fairy tale castle in an amusement park. The added bonus- it's 10 minutes from my home and it doesn't require advanced planning. Now if I could only figure out how to get enough flash in there to get a really good picture of him gaping at a gargoyle.

Enjoy a restful weekend before we gear up for CHA Summer. I'll see you soon!-- Beth

Maybe fuss isn't the right word here but it seems that every marketing newsletter and publication I think about there is an article about social networking websites. If you're not totally familiar you may have at least heard of Facebook and MySpace.

Natalie Kendall did a great article for us on this topic for our Feb/March 08 issue. And, she touches upon how this phenomenon can help a brand. The stuff I am reading is suggesting companies are not harnessing the power of social networking sites.

It's sorta like getting a cat into the carrier to take to vet. While there may be only a handful of big, influential social networking sites at this time, to do this right you need somebody monitoring all this stuff and posting to a corporate page. It's a big job and you know you should do it, but you dread it. I don't know about you... but most people I talk to in marketing are stretched pretty thin already.

If you have an idea that you might want to explore this world. Here's a thought. In March F+W Publications (publisher of Scrapbook Retailer) launched a new social networking site called MyCraftivity.com.

This is a social networking site for crafters so essentially anyone who visits your page there is a potential customer. There are so many ways you can use this. You can start a personal page or create one for your store. You can put info in about special sales, promotions, classes etc.

This will make your info available  to the world. Plus it gives your customers a place to look for info on your business. Maybe you want to start your own thread or group about a topic you are interested.

Check it out or come by the booth at the CHA Summer Show and register. It's free and we call all learn about this phenomenon and grow together!

Beth

Amazon.com will be adding the Bill Me Later payment feature to their Web site and this strategy is fueling some chatter on retail sites.

Bill Me Later is not a new concept. Remember Wimpy's "I'll gladly pay you Tuesday for a hamburger today," from the old Popeye cartoons? Some folks are likening it to layaway but the difference I see is that Amazon is shipping the goods not holding your purchase while you pay over time.

It begs the question- is credit too available to the average consumer? Record credit card defalts... sub-prime mortgage issues... increasing foreclosures. It seems to me companies get in trouble when they give credit to folks who weren't a good risk to begin with. There's also the individual's accountability these days it doesn't measure up the same to the WW II generation.

And now we are also faced with defaults by people who were good credit risks and responsible consumers who face a catastrophic life change (flood, job loss, illness with no heath insurance) and find they are having difficulty paying their bills.

it used to be that we paid over time for items that were too big of a cash outlay to make on one check: houses, appliances, cards, educations. Now we can pretty much buy any item on credit and I am willing to bet it is the sum total of all these little purchases- children's meals, the latest hair products, coffees,  that are catching up with the American consumer.

Since for the most part scrapbook retailers sell small items (as compared to a car or fridge) maybe we should go the opposite direction. Instead of extending credit over months, maybe we should offer a discount for cash!

Remember cash? It comes in jaunty green bills and shiny coins.

Or, instead of giving the cash back-track it as a store credit...  I'm not an accountant- so don't consider this financial advice but this seems to be a way for customers to feel good about their purchases. Maybe it will bring them back into the store when they don't have as much to spend the next time.

What do you think? Could it work? How would you do it? Respond to this blog entry. We'd like to hear from you!-- Beth

I've noticed a lot of news reports lately on a growing Made in America trend. Unlike past Made in America trends, this isn't waving the flag of nationalism but rather a response to the growing costs of getting stuff from elsewhere to here.

The new Made in America trend starts with the premise that rising transportation costs are making it almost  as, or more cost-effective than, making some products here instead of Asia. According to one report the cost of shipping a container has tripled in the last year! This mostly effects larger/heavier items such as furniture and products with double shipping- specialty supplies get shipped to China then the finished product gets sent back.

I'm not sure how this will affect scrapbooking because for the most part the items manufactured overseas- even with shipping increase -are unlikely to be manufactered here. What this may do is slightly close the gap between the costs of paper made here versus overseas. You might even see some tool manufacturing move back.

Luckily for our industry you can sqeeze lots of paper, stickers and embellishments in one container but still, when products cost a few pennies and shipping costs triple increases will have to be passed along eventually. Manufacturers are already working on slim margins.

I know vendors are working very very hard to hold the line on wholesale costs. I haven't heard of anyone specifically saying they will pass along price increases in  third quarter but I can't see how it can be avoided.

I'd like to hear from manufacturers and how you are dealing with the fuel/transportation squeeze. Is there a way industry members can be working together to save money?

Something to thing to think about as you're standing over the barbeque or baking on the beach this weekend. Have a safe, safe holiday.--Beth