Submitted by IanGrant on Sat, 02/07/2009 - 11:50.
Hey, happy New Year to all of you out there. Again I would suggest
some sort of resolution to spend less time reading aimless blogs on
your part, but if you have to read one, why not this one.
In
part it feels like a whole new year, and in part, very much just like a
continuation of a previous week. This month we have a bunch of things
going on in the shop. We run our only sale of the year in the middle of
January. With all the sales out there, I always have trouble
expressing on the one hand how little I like the whole idea behind
sales and what they have become, and on the other hand what a great
deal this sale is. It seems that so many shops run un-ending sales. I
remember my days at Dayton’s Oriental rug department where we had these
30-40% off signs that never left the top of the rug piles. It never
occurred to us to sell a rug at the tagged price. Yet strangely
enough, even the people that frequented the department would, when it
came time for them to buy a rug, place value in the fact that there was
indeed a sale going on. Add to that, if you are always running a sale,
maybe you should consider lowering your margins and just have correctly
priced goods. But that all gets to a chicken and the egg questions.
If people always get excited to buy at sale time, then stores are going
to run more and more sales, then people are always going to wait for a
sale, then stores are always going to run a sale.
Now comes
the pitch. Our sale is a really good sale. Consider this: if, at any
other point during the year, we give a discount because of a scratch or
for something that has been around a while, or whatever, the most we
ever do is 20%. That 20% is a lot to us – it considerably dips into our
margin. For this sale, virtually everything is half off. It really
removes any profit for us. Sounds like a brilliant business strategy
by some guy with an art history degree with a philosophy minor, or
better yet, some ex-rug merchant sales pitch “For you my friend, very
special deal. . .” Well here is where our up side comes in. January
is a slow money month, it’s also – to state the obvious – the beginning
of the year. The sale brings people in because it’s a great deal on
great stuff, it clears out our inventory and creates cash flow so we
can then go out and buy this winter and spring’s inventory for our
showroom floor. It also gives us an excuse to get our name out in
front of our client base, which is a good thing even if they don’t come
in and buy stuff. Just reminds them that we are here. We shall see
how it goes. If my post sale entries to the blog only seem to be using
half of the letters that the words should have, well then you know
things didn’t go well with the sale because we can’t afford to use all
of the letters. Of course if I am suddenly writing in big flourishing
needlessly multi-syllabic words, well papa made some money and is
feeling flush.
Now all that rambling is just about the sale, and
if I have not gone through and edited that section down to one
paragraph rather than two before I post this, I apologize. The other
big push is on the wholesale end of the business. We have the New York
show at the end of this month. That ends up being a big logistics
scramble. The show is at the Javits Center and the piers on the
mid-town west side of Manhattan. It runs for five days and is
considered more of a middle-upper end show for accessories and gifts.
All the vendors like myself ship all of our samples there, set up a
booth, push the merchandise on the buyers, then pack up and ship the
samples to the next show and go on our merry way home. The challenging
part (I am not using “challenging” and a euphemism for “problem” – I
hate it when people do that, why be so scared of admitting that
something is actually a problem?), is that I have pieces being shipped
in from different countries and different parts of this country, all
needing to arrive at the pier in a two day window with all the correct
marking on them, it all has to fit in my booth, and it has to be the
right stuff that I ordered so I am presenting myself correctly with the
right merchandise to my clients. Does it all come together? Hardly.
The good news is I don’t expect it to. My thinking is I do all that I
can to have it all come together. After that, the things that happen
to all of these shipments along the way that are out of my control are
just that: out of my control. Sound a little deceivingly laid back or
borderline delusional – especially for someone who just went on a rant
about people deluding themselves out of using the word “problem”? Well
yes, my friend, it is delusional. But for the first few years of doing
these shows, tilting at windmills i.e. the shipping companies, customs,
freight brokers, duties, dropped balls, the really could care
less-ers, the “I would rather pick the food out of my teeth rather than
help move your shipment along” people of this industry, well the
delusional laid back approach is the method of choice for me.
Ultimately as long as I have some nice looking stuff in my booth
arranged in a pleasing way and a piece of paper and pen to take orders
with, I should be all right. With this part of the business, setting
the bar as low as possible for logistics is the best choice.
The
good news is we have quite a few exciting new directions this year.
Our ceramics line is back on track as far as production, and as long as
I don’t overload them with too many new pieces I want made, we should
move along in good fashion. The natural wood and vine pieces I am
starting to bring in are making me happy in a couple ways. One, I like
what they do environmentally. The wood is all dead fall wood, and the
vines are all a renewable resource. They bring income to local people
without inspiring them to run into the woods and start cutting trees
down. Two, and it’s a completely self serving reason, on the next trip
I am going into the forests of Central Thailand with these guys and
camping over night searching for some of these pieces, that should be a
fantastic experience. The line that I am hoping to start bringing in
from Belgium is also all done in an environmentally correct way. The
teak they use is all plantation certified or reclaimed wood from old
homes. Not only that, but it’s a beautiful line of furniture. The
company that we are working with in Vietnam not only works in lacquer
ware, but also in various forms of translucent fiberglass, galvanized
metal and ceramics which created a great opportunity to created new
varieties of tables and accessories that combine these mediums.
New
trip include South Africa for some more unusual tribal artifacts and
new cottage industry “fair trade-ish” pieces. These places aren’t
necessarily under the umbrella of the “Fair Trade” thing, but are local
organizations that help employ local communities – same idea as fair
trade, just no nice sounding title. I mean that in a positive way – the
Fair Trade organization is a very good thing, but it is something that
many unheard of people have been doing for years, but completely
unsung. Anyway, this trip is also for a family wedding in
Johannesburg, so my whole family from various parts of the globe will
be showing up there (they are all ex-pats from the North of Scotland,
some of whom settled in South Africa). Only a couple days in
Johannesburg (its not meant to be the safest or nicest of cities), than
off to Cape Town and surrounding areas for 5 days, up to Durban and the
game reserves for the last 5 days. At some point during the year I
will go back to back to India (its become a once a year trip rather
than twice a year with all the other destinations that are showing up
on my travel list), but with a little side trip hopefully to the
un-traveled region of Gujarat as well as my regular haunts in India.
Maybe back to Nepal, and certainly back to Thailand a couple of times,
hopefully on one of those trips up into the hills of Laos in addition
to the sojourn in the woods of Central Thailand. Of course the
afore-mentioned New York show, once in January and once in August, and
the infamous High Point show, once in March and once in October, then
its November, December, back to the holidays and then suddenly back to
the 2008 sample sale. For that blog entry, I will save you quite a bit
of time and just say something like “refer to last years entry” or
better yet “move on to something else more interesting that the web has
to offer, like a web page with a clock on it, or a web cam watching
grass grow.”