The more things change, the more they stay the same

[B. Newman]

I just read this in the January issue of Decor, "It was a year that began with a special challenge for art dealers. With the country in an uncertain war, dealers were coming face to face with customers who were expressing concern and being cautious about their spending." January *1992* that is.

In searching back issues for mat decorating info, I have found some really good marketing information having to do with a "soft" ecomony. If you were in business then, how does it compare to now? I had "officially" opened my business then, but was in an entirely different frame (no pun intended) of mind at that time.

If you say you've "decided not to participate in the recession" what are you doing to NOT participate. I'm studying "history" myself.

Betty

[Dermot]

What recession?

[Jim Miller]

2001 was our best year ever for profit, but not sales. 2002 looks good, too, but we're not expecting much revenue growth.

1. Do everything possible to maintain foot traffic into your store. Concentrate on innovative ideas, and judge the expense of advertising/promotion based on what you get back for what you pay out (ROI).

2. Sell smarter. Premium glass, more & wider mats, better mouldings, added unique decorative features all add to the bottom line and offset the dips in frames-per-day performance.

3. Minimize waste. When times are good we might throw out smaller pieces of matboard or glass or moulding. But if there are person-hours available, use those hours to make ready-mades out of scrap, and sell them profitably. The low-price option keeps revenue coming from customers who might otherwise wait, or go cheap down the street.

4. Pay down debt. Don't spend for anything you don't really need. Consider delaying purchases, but do so wisely.

5. Go for the most efficient use of resources (money and time). If the the planned expense would save daily dollars (like computer software or a CMC), try to swing it ASAP. In terms of time, slow days are best for repainting, remodeling, refreshing the gallery. Do the Spring cleaning early.

6. Look for irresistible buys: moulding by the box instead of the stick; a palletload of glass instead of a box; etc. Negotiate with suppliers for not only price, but terms as well (they may be hungry too); an offer to buy is always welcome if you have a good payment history. Maybe you can split a buy with framers across town.

7. Save your capital. For irresistible buys, especially when interest rates are so attractive as now, look into borrowing instead of spending from cash flow. Borrow wisely.

[CharlesL]

2002 looks to be our best ever, also!!!!!

What recession??

[Bob Carter]

Congratulations, Charles. To what do you attribute the success you expect in 2002? Could you share some of the long range or short range plans that will make this the best year ever?

I'll bet a lot of us could learn from your sharing

[B. Newman]

I really didn't mean to imply that things are tough. For us, 2001 was about 30% above 2000, which was about 20% above 1999. And Jan. 2002 is above Jan 2001.

What I was getting at was the media coverage this year matches the media coverage of 10 years ago almost word for word. And for some folks there is a recession. We've had 3-4 huge businesses close or move from the East Tn. area in the last month or two with hundreds of jobs lost. They aren't my customers, but they are somebody's customers.

I guess (as always) I was just looking for marketing ideas.

Betty

[Dermot]

OK guys sorry, it’s just that I cannot stand the word recession in respect to business, in my view it is terminology used by the new's media to hype their stories, the reality is that what is going on in the business world is just another economic trends which the world has witnessed in some form or other on so many occasions in the past.

If you have planned your business with a reasonable level of care economic trends are one of the factors that should be in your planning, there is no excuse for this trend not being in your business plan, I have seen to many examples of swings in world affairs over the years not to factor best case and worse case.

Question? Is there a economic down turn, well in Ireland we are still holding our own as the fastest growing economy in Europe and very near the top in world placing and this is despite the doom and gloom merchants, yes we have had the business closures in Ireland but if you look at what is happing in most cases, it is work place shift, not job loss, when one business closes the jobs move in some form or other to other businesses or locations, our unemployment rate is only up a fraction (some would say we have for the first time since the state was founded in 1922 full employment) 8 years ago we had 20% unemployment, we are now importing workers into the country for the first time in the country’s history, now just in case you think it is all plain sailing over 25%+ of our working population work directly for US businesses and it is suggested that an other 15-20%+ relay on jobs servicing the US business in Ireland. So guys we are very much affected by what is happing in the US and what is happening here differs very little from the US.

Like Charles this year has kicked of great for me, I have more work booked since January one than I did in Q4 of last year.

Why is business so good? I will cover a few things.
1: I have more confidence in what I’m doing thanks to all at the Grumble, you guys have built me to a level that is amazing.
2: I have taking the advice of the likes of Bob (Bob you might think I take no notice but I have listened and learned) and many others who posted on pricing and rehashed my pricing, I’m now getting prices for work, which I thought, were in the fantasy world.
3: I have rehashed my brand image to what I now believe is a smarter and more acceptable image for my business, the only thing which needs updating is my web page on the Wicklow business directory this is a Government site for small business and trying to get them to change my page is proving next to impossible.
4: Again thanks to the Grumble and Décor I’m pushing more expensive mouldings and finishes.
5: I have being working on my sales presentation and closing, even for an old hand at sales I needed to improve my presentations, great tips on the Grumble
6: I’m doing a version of the 4x4 that JRB suggested for my sales and marketing, it’s working, in fact it is working so well I have had to slow it up a bit.
7: A little bit of news we got as a family which would normally have put me in a tail spin has resulted in me turned it around and put a positive spin on it, it was just a case of looking at it in a different light, this has increased my will to drive the business, our income as a family is good so money has not being a very big factor in driving the business.
8: I have targeted at least two trade shows for this year, one down (Birmingham UK) one to go see you in New York all going well.
9: I have decided to try and join one of the trade associations either the FATG (UK) or the PPFA (US) if neither prove to offer what I would like in Ireland (the FATG has more or less collapsed in Ireland and the PPFA have never being active over here) I intend to start having my business accredited with ISO9000 the international standard for any type of business and despite what some would think it is very suitable for the Picture Framing Business and in addition it will make my business more acceptable to the corporate field as in Ireland ISO9000 is the preferred accreditation for doing business, I will also look at the support that our small business associations can offer and possible join one of the two we have over here.
10: I’m now only stocking and selling the better quality mouldings we no chop in Ireland and unless I have a moulding in stock it can get very messy the distributors are very unreliable on deliveries, this has two advantages, better production speeds and no hassle with out of stock mouldings, now don’t think I have lost the run of myself the range of mouldings sold in Ireland is nothing like the US.

The above are just some of the things I’m doing and more improvements are currently being mulled around in my mind some are very obvious and simple, and I should have being doing them in the past and some I have learned from all I have gathered on the Grumble.

graemlins/smiley.gif

[CharlesL]

<blockquote>quote:</font><hr>Originally posted by Dermot Cox-Kearns:
[B]Like Charles this year has kicked off great for me, I have more work booked since January one than I did in Q4 of last year.

Why is business so good? I will cover a few things.
1: I have more confidence in what I'm doing thanks to all at the Grumble, you guys have built me to a level that is amazing.
2: I have taking the advice of the likes of Bob (Bob you might think I take no notice but I have listened and learned) and many others who posted on pricing and rehashed my pricing, I'm now getting prices for work, which I thought, were in the fantasy world.
9: I have decided to try and join one of the trade associations either the FATG (UK) or the PPFA (US)
10: I'm now only stocking and selling the better quality mouldings...[B]<hr></blockquote>


Bob, Dermot pretty much outlined our 'plan'. Other than that, the customers have just flocked into our shop.

As you and everyone else knows, I have no business training, or acumen. At all. I'm a technical guy. Janet was raised up in a family business, and she's the business brain. She, however, has no formal training, degrees, etc, either.

I seriously doubt that anyone on the Grumble could learn anything from me regarding 'business plans', short or long range. I'll leave that to you and the other business-educated Grumblers. We have very modest goals. We don't strive to make a million dollars a year. Our market won't support it. We make a comfortable living, hope to do better, and we're ecstatcally happy with our lot in life.

Sorry to disappoint you and the other Grumblers, but we just try to keep our heads above water, what with all the work coming in.

[B. Newman]

<blockquote>quote:</font><hr>Originally posted by Charles Lowry:
[QB]

I seriously doubt that anyone on the Grumble could learn anything from me regarding 'business plans', short or long range.

QB]<hr></blockquote>


Oh, I don't know about that Charles. I think we all learn from each other. You do something that makes your business work. I watch and listen all the time for things that I can use. For instance, today I heard a commercial on the radio that said "(whatever the product was) it'll turn heads without turning your pockets inside out." I thought "Hmmmm, I like that, maybe I can use it sometime."

I think Bob is like the rest of us in the fact that he's always looking for something that works!

Betty

[Dermot]

Charles

I go with Betty by the very fact that your "plan" is similar to mine I'm getting confermation that I'm on the right track, thanks for the vote of confidence.


graemlins/smiley.gif

[Bob Carter]

Hi Charles-Betty is quite right. We all learn from each other. Your scale doesn't eliminate a good idea, anymore than my scale means it won't work for you. It's all about adaptation. A good idea is a good idea.

I understand that most haven't had the educational opportunities. No need to apologize, because it never should keep you from learning. Remember, I'll bet there's a few things we all could learn from you.

But success is success and the more we share, the better chances of all of us making more money. And that ain't all bad