Furniture Word 2007-09-10

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• Fast Selling Designs

• Superior Quality
• Warehouse & Direct Container Pricing
• Broad selection
(Bedroom, Dining, Office, Occasional Chairs,
Bathroom Furniture, Accents, Accessories and Bronzes.)
VISIT US IN HIGH POINT

Center Point On Centennial #18
2202 E. Randol Mill Rd., Arlington, TX 76011 • 817-446-3204 • Fax: 817-446-0862
Email: info@classicdesign.com • www.classicdesign.com
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"We want to thank you

for all of your support over the years.
We look forward to seeing you
at the High Point market.”
-Cathy Bartolowits
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The Business Solutions Magazine For Furniture Retailers

FOUNDED 1870 • Visit www.furninfo.com The Industry’s Most Extensive Furniture Site
SALES skills/management problems and solutions. PAGE 34.
Create A Leather Repair

Finding Figment: How To Profit Center
Stay Up For Your Next UP. Someone stands to profit from your Cover Photo:
It is possible to re-imagine, re-create, damaged and defective leather From Classic Design, the best
and re-define your professional life furniture. That “someone” should be selling Medallion Office Collection
with each new “opportunity”. you! shown in a Walnut Finish. The
PAGE 26. PAGE 60. collection also includes a file cabinet.
Classic Design is known for warehouse
Customer Engagement Inventory Management - & direct container pricing and broad
selection in bedroom, dining, office,
Strategy: Stay Alive - Part 4 Part 4: 20% Is Too Much! occasional chairs, bedroom, bathroom
A formal customer engagement strat- You can escape the excess inventory furniture and more. See their ad on
egy helps salespeople produce sales trap before you become too entangled, page 1 of this issue or visit their
from those customers who should buy or avoid it altogether if you under- website at www.classicdesign.com.
from you, but don’t. PAGE 56. stand the reasons why so many
otherwise good companies get caught.
PAGE 66. FURNITURE WORLD MAGAZINE
OPERATIONSmanagement 1333A North Ave. #437
New Rochelle, NY 10804
Discover Your Retail
MARKETINGmanagement Tel: 914-235-3095 • Fax: 914-235-3278
www.furninfo.com • editor@furninfo.com
DNA Part 4: Store Exteriors 7 Lost Ad Secrets - Part 1 BARTON BIENENSTOCK-Publisher
Support your brand building efforts How new approaches to advertising RUSSELL BIENENSTOCK-Editor
with the biggest, most permanent can win friends, influence customers THELMA MASON-DAVIS-VP Sales
billboard available – your store’s and make you money at a time of LARRY STEIN- Associate Publisher
exterior. PAGE 4. information overload. PAGE 42. GARY SIEGEL- Sales Manager Eastern Region
JON SIEGEL- Sales & Customer Service Rep
Improve Your Hiring IQ Double Your Traffic S.T. BIENENSTOCK- Associate Editor
Time spent recruiting, interviewing JANET H. JOHNSTONE - Canadian Editor
and hiring are critical to the
Part 4: Hispanic Marketing BARBARA BIENENSTOCK- Art/Design Editor
continued health of any furniture Even if you don’t speak Spanish and GIFFORD DORIVAL- Comptroller
business. Here are tips and tools don’t have any bilingual staff, you can SUSANNE LEBOVIC- Circulation
you can use to find and hire better boost traffic and sales by addressing PETER MARINO-Bedding Feature Editor
people. PAGE 12. the growing and affluent Hispanic or DAN BOLGER- Operations Feature Editor
Latino market. PAGE 30. CATHY FINNEY- Sales Skills Feature Editor
Ask The Lighting Expert Upscale Retailing: Linley
LARRY MULLINS- Marketing Feature Editor
Contributing Editor & lighting expert
London based retailer creates and BPA Association of Business Publishers
Monte Lee tackles a tough lighting
maintains a well deserved image FURNITURE WORLD: (ISSN0738-890X) - Published
question posted to FURNITURE
through quality products, facilities every other month by Towse Publishing Co., 1333-A
WORLD Magazine’s furninfo.com North Avenue, #437 New Rochelle, NY 10804.
and marketing. PAGE 50.
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DEPARTMENTS Periodical postage paid at New Rochelle, NY and addi-
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2 FURNITURE WORLD September/October 2007

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DISCOVER YOUR
Retail
DNA
Part 4: How to promote your retail brand from the outside
STRATEGIC BRANDING BY MARTIN ROBERTS
n the October/November issue of FURNITURE WORLD built-in billboard at your disposal – your store’s exterior – to
I Magazine, we talked about uncovering your retail store’s

identity, or DNA – that is, what makes it unique. Part 2,
published in the December/January issue, discussed the
issues of brand positioning, branding research, brand voice
and brand promise, while Part 3 delved into how signage,
instantly (and constantly) reflect your brand’s unique DNA
and attract your ideal shopper.
So, what does your storefront say about your brand? Do
you appeal to the young and hip or to those who may be
shopping for hip replacements? Does it reflect that you are
graphics and environmental elements work together to opti- an expert in contemporary or traditional furnishings? Is it
mize communication of your retail DNA. This month, we’ll evident to her, when she drives by, that you provide design
take a closer look at how to support your brand building solutions or warehouse pricing? Or, does your storefront say
efforts with the biggest, most permanent billboard available only that you’re still stuck in the 80s?
– your store exterior. If you haven’t upgraded your exterior in 15 or 20 years,
Consumers are driving by your store every day on their it’s definitely time for a facelift. Assuming your brand identi-
way to work, to run errands, or to drop the kids off at school. ty, logo and signage are up-to-date (if they are not, start
It’s great to be part of the landscape – unless you’ve become there), begin your exterior analysis with architectural styles
part of the background. and materials used. What fits your store and its particular
As Malcolm Gladwell suggests in his best-selling book retail DNA? It might be Colonial elements and red brick or
“Blink”, your target customer is making a snap judgment clean curves of steel and glass. You could choose to convey a
about your business with one glance. Fortunately, you have a sense of history and permanence by erecting a stone facade.
With minimal changes, this Oskar

Huber store was transformed from
a boxy, dated looking warehouse
store to a sleek, hip destination
furniture store.
Building a second-story glass atrium

creates a more welcoming entrance,
lightens and brightens the inside,
gives a sense of scale and size
from the outside, and effectively
communicates the store’s brand
identity to customers from afar.
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Pennsylvania retailer Interiors uses the upper deck of its two-story glass atrium to
give a bird’s eye view of product offerings. At night, the atrium is transformed into
a lantern, which both attracts customers’ attention, and creates extra parking lot
security. The sweeping curves of the facade of this Interiors store create an
impressive looking building and communicate to customers that they will find a
wide selection of high-quality, upper-priced merchandise inside.
It’s possible to infer from the tailored landscaping that you bers.
value good design. Whatever the cues, the process is similar Pennsylvania furniture retailer Interiors’ two-story glass
to deciding what kind of furniture to feature in your store: atrium is another good example. The upper deck enclosed by
that is, what’s right for relating to your target customer? larger window panels has become a critical means for show-
Most important, don’t forget that your store exterior is casing product. Though Interiors has always featured high-
one of your best branding and communication opportunities. quality and upper priced merchandise, this was hardly evi-
It’s your best vehicle for non-stop advertising. If you still dent to customers passing by the company’s original ware-
need to be convinced of its value, compare what you spend house-style building. Now the store can attract potential
on ephemeral advertising - the TV, radio and print cam- customers with a bird’s eye view of their product offering.
paigns – to design and construction costs associated with
the exterior renovation averaged over a conservative 10 RABBIT RUN
years. Can you afford not to let your storefront work for
you? Most furniture retailers have one main entrance that
opens to a centralized reception area. This supports UP sys-
tems so that sales staff can be called up to the front of the
GROW YOUR BILLBOARD store. But studies have shown that most consumers don’t
Raising any exterior facade to two stories — even if your like this setup —today’s consumers are too time-starved.
store occupies only one floor —will allow your branding They want easier and more immediate access to the prod-
efforts to be seen from long-range distances by potential ucts they desire. Providing that access with multiple
customers, while improving the impression of scale, size and entrances – another relatively inexpensive construction
selection from the street. expense – is the newest trend in retail exterior renovation.
Borders employed this design technique to compete with Consider highlighting your high-growth and high-margin
Barnes & Noble’s two-story stores. Though the effect on categories and then establish separate entrances for each –
passersby is similar, second floors tend to produce less rev- another exterior “trick.” Inside, all the departments may be
enue than ground floors. Borders also spends significantly united by a continuous walking path. One furniture retailer
less per store than its competitor – due to reduced construc- with separate entrances to the mattress store reports a 25
tion costs, the absence of stairs, elevators or escalators, to 30% increase in bedding sales as a result of this type of
lower inventory commitments and fewer store staff mem- exterior renovation. For another store, rug sales increased

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Visit Us In High Point

Furniture Plaza #523
A new exterior look for

Minneapolis-based Hom
includes separate entrances
for its mattress and rug
stores, that help the retailer
stay competitive with nearby
specialty furnishings stores.
Raising Hom’s exterior facade

allows the store’s signage to
be seen from long-range dis-
tances by potential customers
and also gives the impression
of scale, size and selection.
by 100 percent when a new entrance to this department was LET THERE BE LIGHT
created. Big box or no, a dark, warehouse-type look feels dated and
A new exterior look for 80,000-square-foot, Minneapolis- dingy to most consumers. One way to lighten and brighten is
based Hom includes separate entrances for their mattress to add that second story glass atrium, as previously men-
and rug stores. One effect is that of making this large store tioned. Mirrored panels may attract attention from the out-
more competitive with the specialty furnishings retailers in side but are obviously ineffective from within. With a limited
nearby strip centers. Today, you can’t underestimate shop- budget, consider instead skylights and fresh ceiling paint in
pers’ desire to get in the door from less than 10 yards of light hues of white, gray and sky blue.
where they’ve parked their car. The bright, recessed lighting and wall sconces which
For Dayton, OH-based Morris Furniture, five exterior transform Interiors into a giant lantern at night– an ideal
entrances will soon represent different departments in their “beckoning” device in the darker winter months – also create
new 100,000-square-foot store, including a main Morris a sense of security by brightening the parking lot for
Furniture entrance, Home Entertainment, Mattresses, Kids, evening shoppers.
and an Ashley store. This lifestyle center mirrors a shopping
center construction style popular in suburbs across the
country. LOOK HERE
Additionally, sales improve when the customer can shop Movement garners attention — it’s a natural programmed
more efficiently, especially in the case of destination mer- human response — so anything that moves in a storefront is
chandise. For items like mattresses or youth furniture, the a good idea. Basic examples include fabric banners and a
shopping occasions are short and dedicated, and consumers variety of light sources, each of which may vary with the
don’t want to waste time before they’ve found what they seasons. Or get really creative and include features that not
came looking for. Keep in mind that most impulse buying only create movement, but also surprise and delight.
doesn’t take place on the way into a store, but on the way Have you seen or heard of the waterfalls employed in
out. If it’s easy for customers to find what they’re looking for, Laura Ashley stores?
they will feel at ease. You create better opportunities for Schultz Furniture in Erie, Pa. features a carousel that can
add-on sales like pillows and other accessories when shop- be seen from the store’s exterior. The carousel not only
pers have time to spare. attracts attention through its movement and color, but it

Morris Furniture will soon feature

five exterior entrances that
represent different departments,
mirroring a shopping
center construction
style popular in
also transforms the store into a destination for more than
just furniture shopping. The free carousel ride enhances suburbs across
Schultz Furniture’s brand positioning by creating a warm, tomers, the country.
fuzzy feeling for the consumer while at the same time expos- don’t under-
ing them to the store’s product offerings. Even if a family estimate the
isn’t in the market for furniture at the time of their visit, power of a dramatic
chances are they will remember Schultz positively when new facade for attract-
they are. ing new business. Plus, you
In a recent news brief, Ethan Allen is noted for its cross- can make the most of any
merchandising partnership with Circuit City. Replacing the remodel to generate buzz – aren’t
dead, old-fashioned cardboard electronic media props are grand openings and grand re-openings
actual TVs. Why? To facilitate more connections with shop- two of the strongest retail events around?
pers. Expect to see more electronic media used on the out- An ideal time to consider exterior changes
side of stores soon. is when your lease is up for renewal and you are
in a position to negotiate for upgrades. Remember,
WOW THEM your storefront should effectively communicate your
With today’s consumers spending less time reading news- store’s brand DNA to potential customers who drive by it.
papers and more time flipping through television commer- Your store facade is your face to the public. Are you
cials with their TiVo remotes, getting your brand message in putting your best face forward?
front of the public through conventional advertising is no Martin Roberts is an internationally acclaimed design
small challenge. Yet the front of your store is the medium industry veteran, with over 40 years of credits for retail and
you own– and the message is yours to control. product design. His most respected work is included in the
While a fresh coat of paint and a tidy parking lot are permanent collection of the Museum of Modern Art in New
expected to maintain a welcoming environment for cus- York.
Throughout his career, Roberts’ has placed special empha-
sis on the role of branding and marketing in his work. In
1991, Roberts’ launched GRID2 International, a specialized
design firm that incorporates scientific methodology to
inform the design process. Roberts’ previous works included
such nationally and internationally renowned corporations
and brands as Bank of Boston, Barnes & Noble, Cartier,
Chase Manhattan Bank, Coach, Duty-Free Shops, General
Foods, Johnson & Johnson, K-Mart, Marriott International,
Nestle, Perrier, Samsonite, Thomasville Furniture,
Timberland, and Wal-Mart.
Before founding GRID2, Roberts’ professional affiliations
included membership in The Royal Society of Arts (London),
the Society of Industrial Designers, and the Institute of Store
Planners. With a BA in Industrial Design Engineering and
an MA in Design Systems, Roberts has also served as an
adjunct professor of Design Management at Parsons School
of Design.
Questions on any aspect of retail branding or store design
may be directed to him at mroberts@furninfo.com. He can
also be reached directly at 212-432-4834.

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BIG PILLARS
Of Recruiting, Interviewing & Hiring
Winning techniques that will help you hire the best people and avoid those
hiring mistakes that can sabotage your organization and your peace of mind.
RETAIL PERFORMANCE BY RON WOLINSKI
uch has been written on the marketing, sales really are in the “people business”. We must invest time
M management, financial and operations manage-

ment tools furniture retailers need to grow in
size and profitability. These skills are vitally
important, yet these leading edge retailing techniques
are of limited value without qualified people to imple-
and effort in these people because they are the founda-
tion of our company. So often dealers say, “He’s just not
working out.” “She’s not what we thought she was.” “His
attitude is terrible; he is hurting the whole crew.” “I am
being held hostage, I need floor coverage.” “Where do I
ment them. Most furniture deal- get good people?”
ers do not place enough These comments point to the real cost of hiring the
emphasis on recruiting, wrong people that are not limited to just lost sales and
interviewing and hiring profits. There is all the wasted management time spent
the most qualified peo- turning around a poor performer that could have been
ple. Before we directed towards positive initiatives. There is substantial
overhaul processes, lost time and cost associated with interviewing, hiring
we need to “start and retraining new people. On top of all that, there is a
at the beginning” cost associated with the inevitable poor morale generated
and look at the by poor performers on staff and high turnover.
value we place on
people and how Let’s take a look at some starting and enlightening
much time we information. Mark Murphy, the author of “What’s Your
devote to the Hiring IQ?” studied over 5,000 managers who hired over
acquisition, devel- 20,000 people and found these facts:
opment and reten- • 46% of new candidates failed within 18 months.
tion of “Human
Capital”. As • 19% achieved unequivocal success.
Andrew Carnegie, • Technical skills were not the reason for failure.
the founder of U.S.
Steel and one of • Poor interpersonal skills dominated failure.
the wealthiest • 26% couldn’t accept feedback.
people of his time
• 23% couldn’t understand nor manage their emotions.
said, “Take all of
my factories, my • 17% lacked the maturation to excel.
mines and my
• 15% had the wrong temperament for their job.
money, but leave
me my people and • 11% lacked the necessary job skills.
I will get it all
back When Mark further interviewed these managers, he
and found that 82% of them admitted there were clues seen
more.” during the interview process that they did not pursue.
With that He says that managers became aware of warning signs,
as a theme, but that they really lacked sufficient “hiring IQ” to weed
let’s take a look at out poor candidates. Instead, they needed to identify the
“Human Capital”. issues of Character, Personality, Motivation and
Even though we sell a prod- Competencies with an approach he calls, “The Five
uct called home furnishings; we Pillars of Hiring IQ.”
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© 2007 World Market Center LLC

DEVELOP A RECRUITING BROCHURE

That lists career opportunities. Furniture Retailers need to be
able to illustrate the real essence and the value of their brand.
#1: DEFINE did you like about your last job?” or “Why are you consid-
YOUR IDEAL ering making a change?” Then go on to more difficult
questions such as “How would your last manager describe
By this he means your strengths and weaknesses?” or “What was the
clearly identify all of biggest criticism from your last supervisor and why?”
the qualities you
want an individual to #4: GO SPELUNKING
have. Start with
your top performers. Because it’s often difficult to get detailed reference
What makes them answers, here is where you can ask the candidate to call
successful? Develop his or her last supervisor and set up your reference call.
a list of successful In this way, they will expect your call and be more apt to
characteristics. Let cooperate and share their thoughts in more detail.
that be the base of
your “profile” and #5: LIVE IN THE MOMENT
spend critical time in This approach is based on the theory that the way the
manpower planning.
#2: DIG DEEP Figure 1: JOB PROFILE

Pursue an interview
probing process that Interior Designer
deals with questions
This designer will fulfill the following profile:
in great detail and
digs deep down into a Education: Four year degree in Interior Design,
subject rather than Textiles, or Merchandising from an accredited college
asking many questions or university.
on a wide variety of
topics. Attitude/Attributes: The individual must show a
willingness to work in a retail team environment.
#3: ESTABLISH • The position requires the ability to utilize consultative
A FLOW DURING selling skills to close sales and operate within a
THE INTERVIEW sales/design goal-oriented environment. The
designer must possess the attitude to be retail
Questions in the oriented, that is, the commitment to work evenings
interview should not be and weekends.
abrupt or startling.
Allow the candidate to • He or she must be willing to be a team player and
settle in and become accomplish any goals and functions to ensure pro-
comfortable with the fessional and complete design sales.
interview before asking • This position requires an individual to have a comfort
more penetrating ques- level dealing with clients of all economic levels and
tions. Ask simple, easi- diverse tastes. This individual will possess superior
er to answer questions communication skills to present the benefits of
first, then tackle deep- design, and the patience to understand the attitudes
er more serious topics. of our clients.
For example, start with
questions like, “What
candidate has acted in the past, and reacts to your ques-

tions during the interview, is how he or she will act in
the future. If you discover that your prospective employ-
ee didn’t get along with his or her team, or made dis-
paraging remarks about an employer or supervisor, or
hesitates to discuss how they would handle a requested
situation, you can bet that this is how the candidate will
perform in the future.
Now let’s get back to basics. Before the first classified

ad is contracted or the first interview takes place, you
should develop a “profile” of the type of person that you
want to hire. List the required qualities, characteristics
and attitudes (Figure 1). Then match up these with the
profile of your current customer base to insure that
there is a connection for communication, rapport and
Figure 2: JOB DESCRIPTION

Interior Designer
• Interior Designer will be responsible for the design,
selling and managing of home furnishings projects
reflecting the lifestyle, values and goals of clients.
• The position requires the development of the total
environment by determining, through consultative
selling, the specific needs of clients related to space
planning, traffic flow, color, fabric, style, accessories
and wood finish coordination. The designer will work
with both in-store clients and on in-home design pro-
jects with emphasis on developing in-home design
business.
• The individual taking this position must have a thor-
ough knowledge of design elements and available
resources for project completion. In addition, this
designer will have the ability to manage projects to
completion within client budget guidelines.
• This position will also carry the responsibility for
achieving profitable sales and design goals through
prospecting and new business development.
• An additional goal will be to establish long-term
client relationships through professional performance
and by exceeding the expectations of our clients.
September/October 2007 FURNITURE WORLD 15

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FIGURE 3: INTERIOR DESIGNER JOB FUNCTIONS & SKILL SETS

Functions Skill/Attitudes Trainable
Qualify the client Probing skills Yes
Understanding needs Probing skills Yes
Draw a space plan Floor planning/AutoCad Yes
Research products Industry resource knowledge Yes
Coordinate colors Design skills Yes
Coordinate styles Design skills Yes
Coordinate accessories Design skills Yes
Coordinate wood finishes Design skills Yes
Coordinate fabric design Design skills Yes
Recommend fabric characteristics Product knowledge Yes
Manage design sales/project Organizational skills No
Obtain the sale Closing skills Yes
Create a design board Design skills Yes
Present the project Communication skills No
Deal with client attitudes Interpersonal skills No
Ask for the order Assertiveness No
Work evenings Retail attitude No
Work weekends Retail attitude No
Achieve sales/design goals Confidence No
Build a sale Consultative selling skills Yes
Sketching Basic design knowledge Yes
Handle projects with exceptions Reliable No
Build customer relations Honesty/integrity No
Handle diverse attitudes Flexible personality No
Work within a budget Analyze financials Yes
Prospect new business Assertiveness/confidence/initiative No
Follow-up on projects Willingness No
Work within store policies Cooperation/team player No
Handle client rejection Confidence/intelligence No
Handle constructive criticism Confidence/maturity No
Build a complete environment Analytical ability/vision No
Ordering products/fabrics Detail minded No
Project managing to completion Decision making ability No
trust. Once this foundation is built you can move on to who isn’t as qualified because you need somebody “right
create a specific job description (Figure 2) that lists the now”. That’s why developing an on-going file of resumes,
responsibilities of the position. Next, write down the applications, business cards and personal notes is so
tasks that the job description requires and the necessary important. This file contains candidates you have spoken
matching skills required to perform these tasks. Finally, to who meet all of your requirements. Build this file as
list which of these skills can be trained and which skills you go about your personal and business life.
the candidates must bring with them because they can’t Every time you buy clothes, a new car or go to a
be taught (Figure 3). restaurant, you can informally interview and formally
Once you have established the specific target and skill observe the real talent and skill execution of the person
sets, look at the first step in talent acquisition, the who is working with you. To make it easy, create a busi-
recruiting process. Recruiting is a 24 hour 7 day per ness card designed for recruiting. Such a card could
week job. If you wait to recruit until you need a person, read, “Your professionalism and service has impressed
it is really too late. You will be at a disadvantage, be me. We are constantly searching for quality individuals
rushed, and will often be forced to settle for an individual to begin an exciting career in the home furnishings

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Recruiting, Interviewing & Hiring

industry. If you are interested in discussing that possibil- the premise is, who’s better qualified to represent your
ity, please contact me at .…” By handing out the card you store than someone who is willing to spend their money
convey your impression of their performance, your ongo- with you? Obviously, they’re comfortable with the store
ing search for quality talent and your invitation for them setting, the products and the sales consultant who worked
to contact you. However, you may not have an immediate with them. However, you must develop a recruiting
opening. That’s OK! You want to maintain an ongoing brochure that represents your store and career opportuni-
relationship with these individuals, letting them know ties professionally. Then make those brochures available
that when an opening arises you will contact them imme- throughout the store.
diately. Institutional recruiting is another productive area.
Employee referral programs have emerged as a major Contact local universities, colleges, junior colleges, com-
source of quality people. The approach is based on the munity colleges, art schools, design schools, continuing
fact that a current employee wouldn’t jeopardize his or education programs and trade schools. Develop intern-
her reputation by referring someone they didn’t trust or ship and work-study programs with local schools that
respect. This approach also provides recognition to your serve to introduce students to the furniture industry. It
staff by showing your respect for them and their opin- will also allow them to get comfortable with your opera-
ions. This program is more effective when the referring tion, culture and determine if a career in retail home fur-
employee receives a bonus if their referral stays a mini- nishings is right for them. Participate in college career
mum of 90 days. days and community sponsored job fairs. This participa-
In-store recruiting is another viable approach. Here tion should not be limited to sitting behind a table and
Career brochure from the Western Home Furnishings

Association (WHFA) lets students and potential employees
know that “Top People Are In Home Furnishings Retail.”
It outlines job descriptions and salary ranges for retail,
interior design and manufacturing positions.
Furniture retail myths are debunked. Contact WHFA at (800)
422-3778, (916) 784-7677 or email sbradley@whfa.org for
more information on how to get copies of this brochure.
talking about your company. You need to be able to illus- or tags like, “We offer career opportunities for home fur-
trate the real essence and value of your brand. Develop nishings professionals.” “Join a winning team.” “Join the
a recruiting brochure that lists career opportunities. leader in the market.” “Due to increased sales and com-
Bring some furniture to illustrate quality and beauty. pany growth...” “We offer professional sales training.”
Show sample room plans and bring photos of completed “We offer a comprehensive benefit package.” “Unlimited
design projects so candidates can visualize how they income opportunities based on performance.”
might make a difference in the lives of customers. Once the ad has been created, you will need to
Letters from satisfied customers choose where to position it. If you
and design boards with fabric solu- are using print media you don’t want
tions can be displayed to illustrate
the beauty of materials. When U SE DISPLAY to place your ad in the help wanted
or “classified” section. This is where
working with universities, seek out
human resource managers and pro- A I DS NSTEAD your ad can get lost and is exposed
to run of the mill.” applicants. You
fessors. Develop relationships with
the college placement offices. As a O S F IMPLE want to make sure that your ad
reaches top performers who are not
retailer I sponsored store tours for
students, spoke at high school C OLUMN A DS . necessarily looking for a position.
Ask your top performers what they
career days, at design department
“lunch and learn” meetings, and
Display ads read, watch and/or listen to. Your
print ads may end up being the only
contributed classroom materials to stand out ad in the sections of the newspaper
university design departments and while regular that your top people read, but that is
local schools. fine. I’ve placed display ads in the
There are many recruiting column ads business section, travel section,
avenues in addition to those listed can get lost sports section, home section, living
above. You can advertise career section, real estate section and spe-
opportunities in conjunction with a
in a maze of cial editions of the Spring or garden
model home program, at home similar sections.
shows and when you run in-store
consumer seminars. If you are con-
looking text. There are many alternative ad
placement areas. Consider trade
sidering doing in-store seminars, publications, local business publica-
check out Margarett DeGange’s tions, chamber of commerce newslet-
series on conducting in-store semi- ters, a community newspaper, associ-
nars. The fourth part of the series ation publications, school and alumni publications. Take
appears in this issue and parts 1-3 can be found online at advantage of “built-in” opportunities such as running tag
www.furninfo.com. Again, what better candidate can you lines after your TV and radio spots offering career oppor-
have than one who likes your store and its products? tunities. In addition, most cities have a cable TV commu-
Now that you’ve established recruiting as part of a nity service channel that lists employment opportunities.
detailed plan, let’s do some advertising planning. And certainly, the most popular recruiting channel is the
Use display ads instead of simple column ads. Display Internet. The top employment websites are Monster, Hot
ads stand out while regular column ads can get lost in a Jobs, Career Builder, Craig’s List and My Space.com.
maze of similar looking text. Also use bold type, the color The interview process should be thorough, analytical
red for attention and have white space surround the ad. and well planned. Base your hiring decisions on specific
Graphics are also effective for getting attention and build- characteristics, skills and attitudes that are matched to
ing on general brand awareness of your store and its the position. Remember; eliminate the “halo effect.” This
products. Consider using bullets, arrows or diamonds to is where a single characteristic impresses you so much
call out or focus attention on specific points of interest in you feel that the person you are considering for a position
the ad. can do anything, even though there are many abilities
Another point that furniture retailers often forget is that are lacking and skills that are questionable. Employ
that their ads need to “sell the position”. Use key phrases at least a three interview process and have different man-

Improve Your Hiring IQ

agers cross-check answers for maximum effectiveness.
Also remember that during the interview process good candidates are
evaluating you and your company. That’s why you must put your best
foot forward. Set aside a specific interview period with no interruptions.
Meet in a private space. Eliminate any communication barriers or intim-
idators. Utilize a round table or sit next to the candidate without any
barriers between you and the candidate creating a relaxed environment.
Consider utilizing a “testing company” to provide additional profile data
that will help you to make an informed decision. The interview process
should be structured whereby you do 75% listening and 25% talking. Use
open probes for clarification to generate discussion and provide the candi-
date the opportunity to discuss how he or she handles various situations.
Also look for “red flags” that need more information or additional refer-
ence checks. When interviewing, dig into the Four Dimensions of Past
Performance. They are: The Level of Performance, Conditions of
Performance, Knowledge and Skills, and Attitudes Values and Feelings.
Remember the data that Mark Murphy uncovered in talking with 20,000
managers.
The time we spend in planning, recruiting, interviewing and hiring is
the most critical for any owner. Let’s not forget that we are in the “people
business” and they are the foundation of our company. Just think back
on the consequences, costs and lost benefits you may have experienced
due to a hasty hiring of an underqualified individual. That should serve
to remind you that investing the time to find superior people will be well
worth the effort.
THE INTERVIEW PROCESS

should be structured whereby you do 75%
listening and 25% talking. Use open probes
for clarification to generate discussion
Ron Wolinski is VP Performance Groups for Profitability Consulting.

His expertise in management stems from the positions he has held such as
Manager of Training for Art Van Furniture, Vice President of Sales and
Marketing with Contact Interiors, President of Behavioral Dimensions,
Sales Education for the Simmons Company, National Director of
Education and Development for Value City Furniture and most recently,
Director of Education and Retail Services for La-Z-Boy, Inc. He consults
with retail organizations internationally on Consultative Selling,
Communications, Leadership Skills, Organizational Development,
Interviewing and Recruiting, and Customer Service. Questions relating to
this article or to other related topics can be directed to Ron at
rwolinski@furninfo.com. Read more of his articles posted to the
www.furninfo.com website or call him direct at 734-420-3430.

Finding Figment
How you can “spark” new ideas and ignite your sales creativity.
CUSTOMERS INTO CLIENTS BY CATHY FINNEY.
a mascot, “Figment,” the dragon. How perfect. An animal

“You’re either remarkable or invisible.” known for its fire breathing skills, found work breathing life
- Seth Godin,”The Purple Cow” back into our psyche. Keep Figment in mind as you go
through your day. Remember what those mud puddles and
etail sales is both art and science. “Me Inc.,” your finger paints felt like. That “creature” can help you to become
R company, helps to define who you are, and where

you are going. It doesn’t matter if you work for a
large retail chain or a small design oriented shop,
the creativity you bring to your work, has a direct affect on
your life and your company
“five” again. The question is, how do you nourish the dragon
in you? How do you spark new ideas? How do you ignite your
creativity?
USE YOUR WORDS

Many retail sales and design associates just don’t get it. At retail, words take on a whole new meaning. So let’s
They do the same things day after day. They give the same play with them so that what you say and how you say it will
pitch and work the same approach with every UP They reflect the reality of who you are and what you do.
encounter. Don’t call your place of business a store. Call it a show-
It is possible, however, to re-imagine, re-create, and re- room. Better yet, say what it REALLY is. It’s where you mas-
define your professional life with each new “opportunity”. ter your craft. It’s where you create. Even the word studio
doesn’t begin to describe it. You are a student at the
University of Creativity. You are the ultimate professional.
FIND FIGMENT Your clients buy from you because of your imagination and
You DO remember being five, don’t you? If not, go play in ability. This is what sets you apart. Does Cirque du Soleil
the rain, hug a tree. Let your imagination out to play. You say that they are a circus? Of course not!
smiling? I thought so! I hope so! Now we are almost ready Daniel Lamarre, Cirque’s President and COO, calls his
to discuss some great ideas that can help you to be more cre- concept “a total sensory submersion.” His original vision was
ative, imaginative and productive. not to put on a show, but to “have our clients walk away from
Imagination is defined as “the ability of the mind to be our show inspired. They were part of a total sensory submer-
creative.” Daniel Webster also sion.” Sound familiar? Isn’t that what you do? All of your
defines it as, “vision, creativi- client’s senses must play a part in any good presentation. If
ty, inventiveness, and fanta- “Louise” can’t picture it, she won’t want it. You’re in the pic-
sy.” Walt Disney gave the ture painting business. Your canvas is wide. Your palate of
word imagination physical colors used creatively will create a masterpiece that will
form when he created the bring “Ethel’s” dreams to life.
“Imagination Center” at
Epcot. To complete his WRITE UPSIDE DOWN AND IN COLOR
vision, he enlisted the help of SARK, author of “Transformation Soup,” can teach those
YOU DO REMEMBER
BEING FIVE, DON’T YOU?
If you can, It will be possible to re-imagine,
re-create, and re-define your professional
life with each new “opportunity”.
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Find Figment:
Ignite Your Sales Creativity
of us in retail sales a thing age of social autism, in which people grow out of?”
or two. She writes in color, just can’t see the value of imagining
across the margins, and just their impact on others, and in which YOUR IMAGINATION
to keep things really interest- responsibility is always conveniently
ing, upside down! She says,
NEEDS HELP
laid at other people’s door. . . Basically,
“All your creative dreams will everyone else has bad manners; we Books and magazines are a great
grow if you help make them have occasional bad moments. resource for all kinds of ideas that will
real and let them bloom . . . Everyone else is rude; we are some- help you to boost your creative imagi-
See your paintings and draw- times a bit preoccupied.” nation. Check the local newsstand for
ings, touch your sculptures, shelter magazines, business and mar-
Our retail clients want excellent ser- keting publications. Also, check out the
drink your films, and
vice. They want help. But they might suggested reading list at the end of
embrace all of your aspirations.”
have developed a bad attitude thanks this article
Every day at retail should be differ- to exposure to poor service and institu-
ent because you are providing your Go on a mission to find inspiring
tional rudeness. Furnishing a home is
assistance to very real, interesting peo- people. “Inspiring people are like vita-
a process that can be frustrating. So, if
ple. Your task is to make them feel mins for our spirit,” so says SARK.
you occasionally meet “the hand” just
comfortable. You do not have a job that Who inspires you? Why? How do you
remember that your client wants and
can be done well while on auto pilot. inspire you? HAVE a mentor. FIND a
needs your help. It’s her home.
“Roboclerks” need not apply. mentor. BE a mentor.
Furnishing it can be daunting and
You are different. You are unique. intimidating. “Ethel” takes this process Spread the word! Talk to your
You need to be out there everyday very seriously. She’s scared and excited friends and peers about ideas that you
greeting humans, with a smile on your all at the same time. She’s done her are mulling over. Sometimes saying
face. In her terrific book, “Talk to the homework. She’s informed, but she still the words out loud, leads to more
Hand,” Lynne Truss writes that, “Talk needs you, your creative knowledge ideas. Giving voice to your thoughts
to the hand” specifically alludes to a and energy. often helps them to bring them into to
response of staggering rudeness best light. Then the pieces of the puzzle
It’s up to you, the Pro, to make this start to come together.
known from The Jerry Springer Show
process easy, painless, and fun. Have a Brainstorming Session with
– “Talk to the hand, coz the face ain’t
listening”, accompanied by an aggres- Sometimes, however, we get caught your team. Write down all of your new
sive palm held out at arm’s length. Ms. up in the moment and forget that ideas on a flip chart. I call them Ah
Truss notes how rudeness has become there is a fun part. Remind yourself Hah! Moments. Post these words of
totally acceptable because manners are that, hey, it’s only furniture! wisdom so that you can see, read, and
fast becoming a thing of the past. Remember to wake up the five year old remember them.
Everyone, our customers and ourselves sleeping inside of you. In the wonder- Author Martha Graham writes
put up with institutionalized rudeness. ful book, “Seventeen Ways to Eat a beautifully about the need for keeping
On the phone we listen to the menu, Mango,” Joshua Kadison, the author creative channels open. She says,
but what we really want is a living, asks, “Have you never been five years “There is a vitality, a life force, an
breathing human. “Customer service” old? ...The more we can see magic in energy that is translated through you
has become an oxymoron, as Ms Truss one thing, then the more we are able to into action. It is your business to keep
puts it, “If you would like to speak to see magic in everything and every- this channel open . . . whether you
an assistant, have your account num- one... All of that wonder, all of those choose to take an art class, keep a jour-
ber ready and call back in 200 years.” dreams. How did they become mere nal, or live each day from your own
She makes the point that, “This is an childish visions, things to discard and creative source, above all else, keep the
OUR RETAIL CLIENTS WANT EXCELLENT SERVICE.

They want help. But they might have developed a bad “attitude” thanks to
exposure to poor service and institutional rudeness.
channel open.” are you taking up? Just where are you is to make constant changes. . . Every
on that ledge? new step is an opportunity to learn.”
FEEL UNCOMFORTABLE As you start to cultivate your cre-
ativity and live on the edge, you may OVERCOME THE FEAR
BEING TOO COMFORTABLE
get the feeling you are un-comfortable What are the factors that prevent
I ask people who attend my semi- you from taking those “Figments” of
being comfortable. Don’t worry. This
nars, “Talk to me. I only steal from the our imagination and putting them to
feeling will keep you from becoming
best!” The best marketer I know is good use in your company, “Me Inc.”?
complacent and will urge you on to
Seth Godin. His philosophy, “Start by There are many reasons, but number
keep growing and changing. Seth
creating something amazing, someone among these is fear. We think that
Godin says that, “the only way to grow
thing people will love and want to talk
about. Something remarkable. If some-
thing is remarkable, someone will want
to talk about it. Professionals under-
stand that the third sale is far more
profitable than the first sale. It’s about
recognizing the value of an asset and
taking care of it.” AMEN! That’s why
your job starts when the customer
signs on the dotted line. He believes,
“the new era is about the customer
spreading the word for you.” Read his
books, “The Purple Cow,” and
“Unleashing the Ideavirus.” Some of
the concepts that Mr. Godin writes
about are:
Megaphone Marketing: Customers

choose to promote you by talking to
their friends and colleagues,
Remarkable Marketing: Anything

the customer believes is worth
remarking on.
Edgecraft Marketing: The process of

digging deep and being bold to come
up with edgy, remarkable ideas.
This last one reminds me of the say-
ing from No Fear Gear: “If you’re not
living life on the edge, you’re taking up
too much space!”
How about you? How much space
09-07-pages 30-31 wizard:furniture world 9/1/07 6:42 AM Page 30
09-07-pages 30-31 wizard:furniture world 9/1/07 6:42 AM Page 31
YOUR CLIENTS BUY FROM YOU

BECAUSE OF YOUR IMAGINATION AND ABILITY
This is what sets you apart. Does Cirque du Soleil say
that they are a circus? Of course not!
acting like a five year old might be perceived by our co- phy, Cirque moves from entertainment into the realm of art.
workers and clients as foolishness. Yet what can be more “Total sensory submersion.” Get all of the senses involved.
foolish than working like a “roboclerk” in a job that requires Paint that picture. Make it an experience. Get into play. No
creative and customized client solutions? Certainly a degree more automatic pilot or sliding into cruise control for you.
of letting go is required. This is the kind of freedom seen Join Cirque at the University of Creativity. Turn each Up
most often in young children. In the words of Henry Miller, into an opportunity. Live in fun! Go find Figment!
“The thing is to become a master and in your old age to
acquire the courage to do what children did when they knew CATHY FINNEY’S REQUIRED READING LIST
nothing.”
For some people, the fear of succeeding is actually more “SARK’s Journal and Playbook”: Get out your crayons.
scary than fear of failing. This fear often manifests as pro- SARK will have your creative genes on overload, and your
crastination. It is much easier and safer in the short term to imagination running wild as you fill in each page of this
hang back and put off those big risky actions. colorful journal (Read any book by SARK and learn and
A third fear is the fear of marketing ourselves. We’re grow as you play!)
afraid that if we do that, we might stand out. Our creativity “The Ultimate Gift” by Jim Stovall: This is one of the
might get noticed! Best selling author of “Find Your Own best books ever written. There is a life lesson on each and
North Star,” Martha Beck, says that she handles this fear by every page. It should be required reading for every
asking herself the “Universal Question.” She writes that, “My human. Use it to learn and grow. Mr. Stovall is blind. Just
friend said something so lucid, so mind expanding, so simul- reading about him on the jacket cover and all that he’s
taneously Socratic and Zenlike, that I memorized it on the accomplished will have an impact on your life. He
spot... I encourage you, too, to memorize this question and gives new meaning to the word inspiration! Some
use it when you find yourself shrinking from the imagi- of his other books include, “You Don’t Have To
nary spotlight – and I quote: “So?” Be Blind to See,” “The Way I See the World,”
Don’t limit yourself based on others perceptions, “Wisdom of the Ages,” and a novel called, “The
thoughts, or ideas. As Ms. Beck points out, “Vaulting Lamp.” His latest book, “The Ultimate Life,” is
well past the limits of your inhibitions will probably due out in September.
earn you more positive attention than negative
“Seventeen Ways to Eat a Mango” by
judgment.” Ask yourself the Universal Question –
Joshua Kadison: Beautifully written each
“So?” – that nothing can stop your creativity or
page looks ragged and old as if its been
stand in the way of “five!”
ripped out of a journal. Experience Mr.
Kadison’s adventure as you learn about life
TAKE CONTROL and the mango. This is one very special book.
To quote Mark Cuban, owner of the
Mavericks basketball team, “It’s not whether “Good to Great” by Jim Collins: Published
the glass is half-full or half-empty; It’s who’s years ago, it still ranks as one of the best
pouring the water... Seek every way possible to business books out there. If you haven’t read
control your own destiny.” it, put it at the top of your to do list.
Take control of your company, your cre- “The Secret” by Rhonda Byrne: National best
ativity, imagination, ingenuity and know seller based on the Law of Attraction and taking
how. Keep pushing those boundaries of your ACTION on what you want. Ms. Byrne has put
creativity. Let Figment out and let him take together “writings” from psychologists, philosophers, a
off. Boundaries? What boundaries? Competition. What metaphysician, and engineers. She even included Jack
competition? The competitors don’t bother Cirque du Soleil’s Canfield co-author of the “Chicken Soup” series. Also, get
Lamarre. “You can’t look at whose following you, you must the DVD on this one, and meet these contributors up
just keep innovating. At Cirque we love to start with some- close and in person. It’s great!
thing that looks impossible and then make it happen. It’s in
“There is More of the Secret” by Ed Gungor: Mr.
our veins.”
Gungor explores the power of the mind in even greater
If you’ll excuse the pun, you get very inventive when depth. He helps define more of the secrets of “The Secret.”
you’re flying without a net! “We have to take risks because
that’s how we began and who we still are. We built our brand “Crossing the Unknown Sea” (Work as a pilgrimage of
on creativity,” Lamarre continues. Because of this philoso- Identity) by poet David Whyte: This is a beautifully writ-

ten book. He really gets you thinking about what you do, “The Generosity Factor” by Ken Blanchard: Yes, the
and what you’re passionate about. Are they one in the author of the “One Minute Manger” has written another
same? great “fable.” This one lets you know, that it’s not about
the getting. It’s about the giving. Sounds like words to
“Climbing the Ladder in Stilettos” by Lynette Lewis:
live by to me!
Ladies, need I say more!
“Battlefield of the Mind” by Joyce Meyer: Joyce Meyer Cathy Finney is President of Ancell Affiliates\”T ‘N T.” She
teaches you how to take on, and win the battle in your is a noted motivational speaker, sales trainer, and manage-
mind. So many times we let our brain cells go to war ment consultant. Questions on any aspect of sales training or
with negative thoughts and we put ourselves down, and sales management can be sent to Cathy care of FURNITURE
get ourselves down. Then we let ourselves stay down WORLD Magazine, at finney@furninfo.com or call her toll
because we just had a rude one. She gives you the free at (877-FINNYFX).
weapons for your arsenal in the fight to get UP and be up
See all of Cathy Finney’s articles on www.furninfo.com in
for your next Up!
the Sales Skills Article Index. Call 877-235-3095 for more
“I Can See You Naked” (A Fearless Guide to Making information on her audio learning courses: “Pass the Power,
Great Presentations) by Ron Hoff: Written years ago, it’s Please!” on retail management; “House Calls” on how to do
still the best script to help you get ready, and be ready to more and more profitable house calls; and “The Marketing of
take center stage. You’ll get the applause, while “Ethel” Me Inc.” on how to follow-up to turn retail customers into
becomes the star! clients for life.
RESULTS OF FURNITURE WORLD’S
Delivery Survey ‘07

More than 400 Furniture World readers participated in this
FURNITURE WORLD Magazine/ www.furninfo.com online survey.
WAREHOUSE & DELIVERY BY DAN BOLGER, P.E.
ore than 400 readers participated in a 2007 Damage (62%): Survey respondents overwhelmingly
M FURNITURE WORLD Magazine/

www.furninfo.com survey that asked them to
name their most significant delivery problem.
They also had the opportunity to add comments. Although
warehouse and delivery managers are generally responsi-
noted that damage is their most serious delivery problem.
Damage can occur at any point along the supply chain
and the warehouse manager is clearly responsible for
proper merchandise handling and reporting, starting at
the point of receiving. Lacking proper notation of damage
ble for dealing with problems, improving delivery satisfac- at the time of receiving makes it the retailer’s responsibil-
tion requires attention at every step of the supply chain. ity.
This is especially important for employees involved in Most retailers remove packaging and stage prior to
order administration and product handling. loading the delivery truck. For many stores, this is a point
By now, every furniture merchant should know that where improvements can easily be realized. Positive ben-
delivery performance has the potential to demonstrate efits result from improved prep area lighting and staff
store-wide commitment to creating an enjoyable shopping training to make sure that each piece is handled correctly,
experience. A mangled delivery can, in contrast, generate all necessary parts are included, and each piece meets
customer misery, anger and ill will. Delivery is the last customer expectations.
act of a sale and it plants the first seed for the next sale. When damage is noted at the customer’s home by a dri-
That’s why it needs to be perfect. ver team responsible for wrapping and loading furniture,
Whether you are running your own warehouse and an immediate call should be made to customer service.
delivery service or outsourced part or all the services, the An immediate decision should be made regarding
customer doesn’t care. Your store’s reputation is on the whether to return the piece for repair, replacement or to
line. send out a service technician.
Finished wood surfaces

should always be separated
by blankets as shown far
left at staging.
Damage by a fork lift that
was also evident on the
carton.
“Less effort is being spent on

quality control and packaging
by manufacturers.”
09-07 gmc page 35:furniture world 8/30/07 1:33 PM Page 35
Delivery Survey ‘07

Incomplete Orders: Orders not shipped also help to reduce customer errors.
complete were identified by 11% as their sig-
nificant problem. While this is sometimes a Wrong Item Shipped: Wrong item
manufacturer’s shipping problem, it is fre- shipped (6%) is clearly a warehouse issue that
quently caused by control lapses in retailer’s can be improved by process and training.
warehouses. A good location system and care- Typically there are at least three people look-
ful attention to product and location status is
the solution. Used correctly, warehouse man- “Too often we don’t
agement systems and cycle counting minimize
inventory surprises. Proper uses of these sys-
discover damage until the
tems also help to control warehouse shrinkage time of delivery or day of
due to theft. assembly. This is a problem
Customer Error: Customer error was we need to address.”
cited by 8% of FURNITURE WORLD readers.
This situation can often be reduced at the ing at the piece for picking, prep and truck
point of sale. Your sales staff should be respon- loading. Best practices can be manual or bar
sible for clearly explaining product features so code based. There isn’t a reasonable excuse for
that customer expectations are in line with delivering the wrong item. My preference is
what they will encounter at delivery. Natural for the bar code label to travel with furniture
variations in wood grain and leather should be from receiving through delivery. If a piece is
discussed. A few questions about impediments rejected, the label speeds reconciliation.
to delivery such as elevators, narrow doors
and hallways can help to reduce problems Rescheduled Delivery: Rescheduled
later, especially when purchases of large pieces delivery was also the most significant problem
are being considered. Encouraging customers, for 6% of participants in the survey. Minimum
80 possible, to bring room dimensions and
where handling results is the best chance for a per-
having sales associates do room sketches can fect delivery. Learning about a delivery cancel-
70
Damage “Proper training by

60
experienced people
Incomplete Orders
50 from the start of
Customer Error
employment has been
Wrong Item Shipped
40 the key to performance
Rescheduled Delivery improvement in our
30 Sales Errors organization.”
Miscellaneous
20
10
0
09-07service lamp 37:Layout 1 9/5/07 1:26 PM Page 37
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Perfect truck loading left.
“I think that owners in our company should

stop forcing managers to be numbers
people and start looking at the product
going out the door.”
lation is far more costly after the truck has left the dock. to the best of your ability.
Even with skilled packing, traveling with and re-shifting
a cancelled order can result in damage as well as lost CONCLUSION
time and truck cube capacity. Occasional rescheduling
An exchange costs five times the original delivery cost
may also be caused by delays at prior stops or by loafing
and frequently exceeds the margin on any given order.
delivery teams. If this is a problem in your operation,
Returns and cancellations can devastate your bottom line
work to improve communications with customers by
because you lose the sales revenue but incur logistics
extending calling hours, offer a 45 minute call ahead and
costs for the initial delivery, return costs and the wrath of
monitor the performance of your delivery teams. Also, if
the unhappy customer who looks elsewhere. In the worst
you must cancel a stop, promptly notify the waiting cus-
case scenario, the product is damaged along the way and
tomer.
has to be scrapped.
The message is clear. Invest in your people and
“One of our big problems is that processes to do the job right the first time. Owners and
managers must make the time to walk the warehouse
hardware is missing so drivers and dock, look at the merchandise and motivate employ-
cannot assemble properly.” ees at all levels to not accept anything less than a perfect
delivery.
Sales Errors: Sales errors and Miscellaneous issues Daniel Bolger, P.E. provides operations consulting
were tied at 4% each. Experience has shown that when services to clients throughout North America. You can con-
retailers identify and work with the problem members of tact Dan at bolger@furninfo.com or call him direct at 740-
their sales staff, they will get immediate results. 503-8875 for more information on this or other trans-
Miscellaneous problems like road closures and weather portation, logistics and furniture warehousing topics. Go
can’t be avoided and unfortunately can only be handled to www.furninfo.com to read all of Dan’s articles.

09-07 lynch page 39:furniture world 9/10/07 10:30 AM Page 39
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Sales Company?
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© LSC 2007
0907 furn world new quark:furnworld 9/10/07 10:26 AM Page 40
ASK FURNITURE WORLD MAGAZINE’S
RETAIL EXPERTS
“How can I cut down on the heat given off by halogen lighting?”
Editor’s note: This month, contributing editor & lighting first place? If you look closely at other areas of retail quite
expert Monte Lee tackles a question posted to FURNITURE the opposite is true. Retailers are adding point sources for
WORLD Magazine’s furninfo.com message board. Have a accent. Target stores and WalMart, for example, have typical-
question? Check the database of 60,000 messages on ly been “fluorescent only” stores, but have been adding track
www.furninfo.com. Can’t find an answer? Asked one of our lighting to high value displays. The same is true for grocers
contributing editors or any one of the many contributors to the but I will talk about them in a minute.
furninfo.com message board. The reason we like diffuse sources (like fluorescent light-
ing) is they create a basically uniform light field with no
How Can I Cut Down On Heat Given Off shadows. The reason we like point sources (like halogen) is
By Halogen Displays In My Store? they don’t create a uniform light field. Rather, they create
brighter spots than the ambient or background lighting; they
Question From Jordan: Dear Monte Lee, I appreciate your
highlight the product; and, they create shadows large and
taking the time to read this email and loved your recent
small. The focused light from a point in space - the filament,
FURNITURE WORLD article. I’ve recently been thinking
causes merchandise to “pop” - catching the customer’s atten-
about redoing our furniture store lighting. We use track light-
tion.
ing to showcase our furniture pieces, making sure there is not
much light on the ground or the wall, but enough on the fur- The bulb you are using is 90 watts (90W PAR) so it is a
niture to make it stand out. At the moment we are using simple matter to reduce your lighting bill and heat load by
LITETRONICS halogen 90W Par-38 / 120-125V Flood 28º / L- 33% and have better light on your merchandise. The answer
4081 lamps. One of my friends mentioned that he switched is 60PAR38/IRC where the IRC stands for InfraRed Coated.
from basically the same lamp to a type of fluorescent lamp The inner capsule reflects waste heat back onto the filament,
that gives the same light output and has the same lighting makes it burn hotter, and generates more light with less
effect as a halogen lamp. The halogen lamps we use seem to energy. We use 60 watts to get about 90 watts of light – one-
put out way too much heat, and they actually make some of third the heat and electricity consumption. Basically these
our showrooms pretty warm in certain areas. My friend men- bulbs pay for themselves and then give additional savings.
tioned that the fluorescent lamps don’t give out much heat Call me and I’ll do the math for you.
and I am wondering if you could suggest a good alternative I mentioned grocers earlier because they are on retail
lamp that would benefit my store. lighting’s leading edge. They’ve done the math and know
that:
Hi Jordan, OK, lets look at the • Better lighting means higher sales.
components of your question. • The biggest lighting expenses are electricity and labor.
Reply from Monte: Heat? Watts is watts. What I mean is Grocers are using ceramic metal halide technology that
every watt of electricity “burned” equals a watt of heat your costs more initially but pays back over time because it has
air conditioner needs to deal with. It doesn’t matter if halo- the lowest operating cost. There is an important message
gen or fluorescent lighting uses that watt. If you use 100 here. The folks with the thinnest margins are using the most
watts of electricity for lighting, you get 100 watts of heat expensive lighting technology.
from lighting. Some furniture customers have switched from track light-
The fact is that fluorescent lighting is inherently more effi- ing to fluorescent. Those who survived switched back to halo-
cient, so it produces more light per watt of electricity. That gen because, like the grocers, they discovered good lighting is
means that I can typically get the same amount of light from essential for sales. - Regards, Monte
a 100 watt, incandescent bulb as I do from a 23-28 watt fluo- Monte Lee is a Regional Manager for Service Lamp
rescent. Fewer watts means less heat. Corporation, a distributor of lighting products and services.
Same lighting effect? Not really. Look at it this way: If I Inquiries on any aspect of furniture store lighting can be sent
could get the light I need by substituting fluorescent lighting to him at mlee@furninfo.com. See all of Monte Lee’s articles on
for halogen, why wouldn’t I have used all fluorescent in the store lighting posted to the www.furninfo.com website.

THE SEVEN LOST
Ad Secrets
Updated For A Digital Age
Part 1: How new approaches to advertising can win
friends, influence customers and make you money.
ADVERTISING STRATEGIES BY LARRY MULLINS
Editor’s Note: Ten years ago, market- ciples requires adjustment. New media you do. But you may have come to
ing feature editor Larry Mullins wrote are available today for the alert furni- believe that no one is listening.
his first series of articles for Furniture ture entrepreneur. In this article, Larry The intuition that no one is listening
World, titled The Seven Lost Secrets of introduces the series and gives indepen- is correct when it comes to typical
Successful Furniture Promotions. dent retailers some valuable insights in approaches to advertising. We are fac-
Times have changed since that popu- advance of the formal introduction of ing the most massive information glut
lar series appeared. Although the prin- the Updated Seven Lost Secrets in the in the history of the world. People are
ciples that drive good advertising are December/January issue. filtering out all the gimmicks and
still valid, the application of these prin- intrusions of typical advertising mes-
THE PROBLEM… sages. There are just too many of them.
INFORMATION GLUT Now, why would someone who makes
t’s the best-kept secret in modern their living by creating advertising pro-
I furniture marketing: You can use

affordable media more effectively, in
ways the big boxes cannot. Big boxes
can’t seem to create advertising that
tells their story with compelling copy.
grams be telling you this?
Because it’s true. I used to say that
it was necessary to revise advertising
approaches every five years because
even great strategies stop working
Nor are they able to teach locally after a while. Now they must be
owned stores how to do it. But you can revised every three years. Remember
begin today to apply new approaches to NO-NO-NO credit offers? They are ho-
advertising that will tell your story and hum table stakes now. It is time to
increase sales. So, what’s the catch? demote them from headline to sec-
The catch is you must have a com- ondary status. TV ads are now gener-
pelling story to tell. Which, of course, ally a hopelessly outdated, linear,
BEAT THE BIG BOXES BY

DOING THE THINGS THEY CANNOT
The remarkable ad at left ran recently in black and white in the Wall Street
Journal. Very expensive ad space and a very tough, busy and sophisticated
market. Imagine trying to capture the interest of a busy business person
with an ad about identity theft insurance! The agency that created this one
achieved a grabber. It not only features the CEO as a spokesperson for the
company, it shows him using his own product! Unlike the typical furniture
ad, it is creative, human, daring, and complete. Find out in this article why
it is so effective to have a human being out front and telling your story
when you advertise. Note the application of the principle in the furniture ad
on page 46.

HOW IS IT POSSIBLE FOR

A HIGHER PRICED
MATTRESS TO CONTINUE
TO BEAT ALL THE
ESTABLISHED BRANDS?
Simple. Just advertise using old-fashioned
principles. The same headline and general story
was first used to sell mattresses in the sixties.
Manufacturers like Sealy and Simmons have
developed excellent mattresses, and have immense
advertising budgets, but most are unable to apply
the basic product-benefit principles that make
advertising work. Instead of lowering the price,
Tempur-Pedic wisely invests in national ads to
enhance the value of their product. So guests who
visit home furnishings stores come in pre-sold on a
Tempur-Pedic mattress.
intrusive medium that customers can easily filter out. problem is your messages aren’t relevant to their needs so
Newspaper ads, flyer inserts and direct mail appeals no they don’t stand out amid the information glut and advertis-
longer work for most stores because writing creative adver- ing clutter. They look and sound just like everyone else’s.
tising messages is a lost art as far as most retail businesses My promise to you is that if you pay attention and read
go. this series of articles, you will learn how to use the advertis-
The furniture big boxes manage to get around this lack of ing that you can afford more effectively. You will also get the
consumer interest by sheer volume of price-item messages. information you need to define your story and begin to tell it
Flyers created by the big boxes are mass-produced in haste in a compelling way.
and most look alike. But since mediocrity is the standard Hot shot marketers today use the buzz word branding to
today, they manage to dominate the market. Most smaller describe your story. When all is said and done your Brand is
independent furniture merchants find it impossible to pene- simply the means by which you define and express (in a con-
trate the clutter because they can’t afford 10% ad budgets. ceptual way) what you do and who you are to prospective
Even if they could, they also lack the ability to create com- customers. When done successfully, when customers see your
pelling advertising messages that sell. So where have the logo, it will trigger visions of all the great things you can do
great retail ad people gone? The ones who know how to for them. How is this done? Plato knew. “Know thyself,” he
excite customers and get response? They are either working said.
for top agencies or writing for direct mail advertisers like
Sharper Image, LL Bean, and the airline Marketplace maga- YOU HAVE A GREAT STORY… TELL IT
zines. These masters of copy write interesting stories and
You are in a noble profession. Other furniture stores sell
sell tons of merchandise. They can measure results with
home furnishings. But you do more. You make people’s
micrometric precision and if they fail to produce results they
homes more beautiful and comfortable. You have a passion
are out on the street.
for impacting people’s lives in a positive way. Other stores
When was the last time you read a fascinating story about sell sofas and chairs, but as one of America’s top furniture
a furniture event? If you did, it was likely written by one of a professionals you are, as George Silverman puts it, outra-
handful of furniture merchants who have learned to create geously better than the competition. More about him later.
compelling messages and cut through the clutter. No one can You and your team have so much more to offer people. Isn’t
sell better than a hungry, skilled merchant who simply must it great that you can provide a thrilling shopping experience
be effective. that exceeds the expectations of guests in your store? Isn’t it
“But,” you might respond, “people don’t read anymore. exciting to be a contributor - an agent of positive change –
Especially young people. Right?” I can answer that one in and a creator of value in this world?
two words: Harry Potter. Of course people are reading, but But that is just the beginning of the story you have to tell.
they are not reading your ads or flyers. People don’t particu- If they would only listen, you could hold an audience of
larly like to read or watch ads. But they love stories. The guests spellbound with your knowledge of home furnishings.
Seven Lost Ad Secrets

You also have a staff of sales consultants that you have Now, this secret of telling the story is very important. A
trained to know that effective furniture marketing is some- great story is critical to a successful promotion. But it is
thing you do with people, not to them. You pay your bills and very difficult, even when dealing with a top furniture profes-
deliver merchandise on time. And, above all you have a rep- sional, to discover their story and learn their unique factors.
utation of keeping promises and striving to achieve cus- Fortunately, there is a step by step way to do this.
tomer satisfaction, in price, in value and in service. No ifs, Creating effective ads depends upon five basic factors:
no ands, no buts. No small print. WHO? WHAT? WHEN? WHERE? HOW? And WHY? (Yes,
There is only one problem. Your story is lost in the clutter just like Journalism 101.) The key component to this formu-
of a mass of mediocre advertising by the big boxes. No one is la is WHO? Not simply your logo or sig. The big boxes make
listening, or so it seems. So you have stopped telling your that mistake. They want their logo to be featured large and
story. But somewhere, deep within, you know there must be include some innocuous slogan (a catchy one of course, but
a “blue ocean” where your organization can thrive. And you one any other store could use). This is not branding. You
are right. The purpose of this series of articles is to tell you want to say favorable things about your store that are rele-
exactly how to escape the bloody shark tank of ruthless com- vant to the customer, and things no one else can say. That is
petition and find that unique blue ocean where you will professional branding.
make competitors irrelevant.
Example: At a recent sales meeting for a store that was
all Ashley (not an Ashley Furniture HomeStore) two home
A MOST IMPORTANT LESSON specialists performed a role play. It was excellent, with a sin-
About ten years ago I discovered a secret. High impact gle exception. When asked what she was interested in, the
advertising programs get great results for furniture retailers role play guest responded that she wanted a child’s bed-
that have a great story (like the one above). The events are room. When shown an Ashley group, the guest asked if she
only so-so if the furniture entrepreneur doesn’t have a great could add pieces later. “Probably,” the home specialist
story or lacks credibility with the public, his team, vendors answered. She added: “This is an Ashley product, and Ashley
and the community. has had this group in their line up for quite a while.”
When was the last time you read a fascinating story

about a furniture event? If you did, it was likely written
by one of a handful of furniture merchants who have
learned to create compelling messages and cut through
the clutter. The Classic Interiors Ad (see inset below) tells
an interesting story describing WHO the owners are and
and differentiates Classic Interiors from other stores by
providing unique reasons to trust them and buy from
them.

09-07-tidewater page 47 final:furniture world 8/27/07 4:02 PM Page 47
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IS THIS ALL WE HAVE TO SAY

ABOUT OUR GREAT VALUES?
Credit offers are now ho-hum table stakes, and the time
has come to relegate them from headlines to secondary
status. Stores with multiple locations can get away with
weak and unimaginative ads like this because the sheer
volume of their advertising creates clutter that the
average independent cannot break through. Start learning
how to create a marketing blue ocean for your store that
will make competition irrelevant.
HOW THEY GET AWAY

RUNNING POOR ADS?
The big boxes get around a lack of consumer
interest in advertising by sheer volume of
price- item messages. Ads such as the page
at right are produced in haste, and most
look alike. Much of the copy in the original of
this big ad is unreadable. Most smaller
independent furniture merchants find it
impossible to penetrate the clutter. This series
of articles presents techniques that will help
level the playing field for independent stores.
Since this was the very first time Ashley as a brand came look like – outside and inside? Do you have a website? When
up, it would have been much better if the response had I call you in off-hours do I get some kind of relevant mes-
included a phrase along these lines: “This group is made by sage? Or does the phone just ring? What about your staff?
Ashley, America’s number one brand of home furnishings.” Are they trained to serve me? Do you have any kind of com-
Why? Because no other brand can say this! munity involvement that indicates what kind of people you
Of course, this is branding Ashley, not the specific store. If and your team are? Are you and your team especially good at
you are an all Ashley store, or even an Ashley Furniture anything? What kind of a satisfaction guarantee do you pro-
HomeStore, you are likely an independent entrepreneur who vide?
is embedded in your community. How can you brand yourself Oh, by the way, how long have you been in business? This
in a more exclusive manner? If you operate such a store you is very important. For some reason, very few furniture stores
might describe it as: “Your friends and neighbors with mention this, and often staff members in these stores don’t
national buying power.” Home specialists can add a benefit even know. Now, if I were a competitor who just started up, I
line when talking with guests: “This permits us to offer you would be overjoyed every time you ran an ad without inform-
hometown service and unprecedented value.” Later in this ing the consumer about your longevity in the community. I
series we will discuss this technique in greater depth. would be thrilled every time a sales consultant failed to
mention this unique factor to a guest. You just gave away
WHY SHOULD I BUY FROM YOU? one of your most powerful unique factors!
There is still much more to the WHO? factor. Always use
photos of the manager or owner. Why? Because your cus- IS IT WORTH IT?
tomers may have trouble forming a relationship with a logo. You could say, as many tired furniture entrepreneurs do:
Research by Beemer suggests that customers are honored “Look, how much difference can something like this make?”
when they are waited on by the owner or manager of a store. Because most of these guys don’t think it’s worth the trouble.
So, talk to me as a person in some of your ads. Show me The fact is that you can make your ads better by simply
what you look like. And there’s more. What does your store adding small elements. Each of these will increase their
effectiveness by a fraction of a percent. These tiny improve- motive may still be far off, but the traces of the emerging
ments add up, and when you hit critical mass, an ad will concept of enlightened self-interest are already appearing in
become exponentially more effective. In this series we will marketing. Retailing can be fun again when it is driven by
look at exactly how you can do this. uncompromising integrity, a caring, service-minded attitude,
“All good selling is serving” said Clyde Bedell to furniture and an outrageous degree of professional excellence.
merchants during the fifties and sixties. Then the intense
marketing wars began. In the last quarter of the 20th NEXT ISSUE
Century we were told that marketing is like warfare. The Beginning of a new series; The Seven Lost Secrets of
way to win is through predatory marketing skills. Successful Furniture Promotions, updated for a digital new
Customers became “targets.” My take-home message to you millennium.
is that this kind of marketing is old fashioned. It doesn’t Contributing Editor Larry Mullins has 30+ years experi-
work anymore. ence in the front lines of furniture marketing. Over the past
Your competitors believe that people will read their flyers ten years he has developed a Visionary Management program
and watch their commercials if they interrupt people’s lives that can impact the culture of an entire organization and
often enough. But you know better, and you can’t out-gun bring it to life. He also produces state-of- the-art promotional
them anyway. However, you are going to learn to tell your advertising packages for everything from quick cash flow to
compelling story, and relate to your prospects as one human complete exit strategies and store closings. Larry is the
being to another. You are going to explore the blue oceans of President of UltraSales, Inc..
permission marketing and people media and become expert Questions on any aspect of this article can be sent to Larry
at them. That’s because you know the day will come when care of FURNITURE WORLD at mullins@furninfo.com.
these are virtually the only kinds of marketing that will See more articles by Larry in the marketing management
exist. And you want to be way ahead of the curve. archives on furninfo.com or call him direct at
The era when the service motive replaces the profit (303)530-5366.

DOUBLE YOUR STORE TRAFFIC
Hispanic Marketing Part 5: How You Can Profit From

The Growing 1 Trillion Dollar Hispanic Market.
ADVERTISING STRATEGY BY BRETT KITCHEN AND ETHAN KAP
veryone knows traffic is down. Times are tough for Targeting this market isn’t as difficult as it might sound...
E retailers across the nation. The housing market stinks,

Re-Fi’s are non-existent, and the sub-prime debacle
has people running for cover. Throw in the never end-
ing war, presidential primaries, back to school and the loom-
ing recession, and what do you get? SLOW SALES.
even if you don’t speak a word of Spanish. An even better
reason is that marketing to this demographic is one of the
best ways for independents to substantially increase sales
with relative ease.
Let me take a minute to establish my personal credentials
But amidst all this turmoil there is a silver lining. There in this area. I am lucky enough to have learned Spanish by
is a huge group of people who live in all areas of this country spending 2 years in Santiago Chile. My wife is second gener-
with money to spend, and the desire to spend it. “Where are ation Hispanic on her father’s side. My brother married a
they?” you may be thinking. But if you read the headline to woman from Latin America who’s family immigrated here
this article, you already know… just within the past 5 years.
It’s the Hispanic or Latino market. Now before you turn The Latino market is diverse. It is made up of native born
me off thinking “I don’t speak Spanish,” or “ I don’t have any Americans and immigrants who have roots in many different
bilingual staff,” just hear me out. countries. The group is certainly not monolithic in their buy-
ing behaviors, but for the purpose of this article, some gener-
alizations can be made.
But before going any farther, let’s introduce seven reasons
why you should at least be considering targeting this market
segment.
CONTINENTAL FURNITURE
“Your Home’s Best Friend”
Continental Furniture uses bilingual
direct mail to promote room
packages. “Our customers typically
shop for furniture by the room-full,”
says Marketing Manager
Rosa Terrazas.

bugatti sept/oct:Layout 1 9/8/07 11:38 AM Page 51
MUEBLERIA CONTINENTAL
“La Amiga De Su Hogar”
ontinental Furniture has three locations in
C the Chicago area. The stores cater to a large-

ly Spanish speaking demographic and pro-
vide quality, name brand furniture at affordable
prices
Founded by Ray Portugal, the stores are operat-
ed by his sons Gary and Mitch.
Rosa E. Terrazas, Continental Furniture’s
Seven Reasons
Marketing Manager, noted that, “Our customers
typically shop for furniture by the room-full,
To Target The Hispanic Market
which means they don't come only to purchase The first reason is simple. There is money in this market-
one sofa or one table. They purchase a complete place. Lots of it. In 2008 Latino spending power in the USA
package. Electronics and appliances are two will top 1 Trillion Dollars. That’s significant by anyone’s
other categories we carry. Name brands are Sony, standards.
Panasonic, Phillips and Frigidaire. We also carry Many fortune 500 companies have started targeting
computers-notebook and desk top; Sony and HP.” Hispanics successfully for some time. Companies like
Continental relies heavily on direct mail promo- Nextel, Proctor and Gamble, and many others. The great
tions and their postcards are bi-lingual in Spanish news for furniture retailers is that there are no dominant
and English. This, continued Ms. Terrazas, “is players that target this market segment either on the man-
because the majority of our customers feel most ufacturing or retail side.
comfortable doing business in Spanish and they There are over 45 Million Hispanics living in the USA.
value our employees who speak their language. This equates to close to 20% of the population. There are
All of our sales staff and about 90% of all cus- more Hispanics in America than there are people in the
tomer service, finance and warehouse employees entire country of Canada!!
are bilingual. That number grows larger and larger every year. Not with
“One more thing,” she advised FURNITURE illegal immigrants mind you, there are more native born
WORLD readers, “they are willing to pay more for Latino’s in this country every year, than there are immi-
quality and service; and they are very loyal. If grants. This could be 20% - 30% or more of your customer
they have a positive experience in your store the base (depending on where you are located of course). So if
first time, they will continue to do business with you have a decrease in traffic, and you don’t have Hispanics
you.” in the store, this may be one of the reasons.
Continental’s Credit Department offers easy And don’t think that just because you aren’t in the south-
credit and affordable payments. They approve a west you don’t have Hispanics in your communities. There
remarkable 90% of their applications and take are large populations all over the country. You may want to
pride in their their “friendly” collections depart- check the US census to get more information on your specif-
ment. ic area at www.census.gov.
Customers who buy on credit come into the
store every month to make their payments.
Continental Furniture views this as an opportuni- LATINO’S ARE MORE
ty to reinforce relationships. “Sales associates,”
says Ms. Terrazas, “are happy to see them every CONCERNED WITH
month because it gives them a chance to chat and
sell them other merchandise. Many customers buying a brand they recognize,
add-on to their accounts before paying off the bal- something that has a good value,
ance.”
The company participates in community venues
than a cheap price.
throughout the year. They hold three Community
Health Fairs thru Hispanocare in their retail Latino families are larger than average. In fact the aver-
stores, that offer free health screenings. They also age family size is much larger in the Hispanic market than
give out a scholarship to a student that is pursu- any other ethnic group. This means more homes being pur-
ing a career in the medical profession and also chased, more furnishings, more beds to buy.
sponsor local baseball and soccer leagues. Hispanic median income is growing faster than any other
Visit their website at muebleriacontinental.com market segment. Every couple of years Hispanic median
for more information. income jumps dramatically. They are, in general, hard work-
ing people who want to live the American dream. Sell that
Continental Furniture
family oriented
promotions include
this “Back to School
Sale/ Free School Bag
with Purchase of Any
Computer (notebook
or desktop)” promotion.
IT IS BEST TO HAVE SOMEONE BILINGUAL ON STAFF.

Look for someone who has a warm personality, and can create
relationships. That’s where your money will be made in this market.
this depends on their individual level of acculturation, or dow of time, through which incredible success and profits
americanization). can be achieved.
One of the best things you can do is include both English There will always be opportunities. Some are easy to see
and Spanish on the same marketing piece. In many house- and take advantage of, others aren’t. If you are an indepen-
holds there are people who read both, so cater to them in dent furniture retailer, you now have one of those rare, mil-
both languages. lion dollar opportunities staring you in the face.
How do you find someone to translate for you? There are The door is closing quickly as more and more companies
several options. If you need help and need a referral, send are jumping on this bandwagon. Corporate America has
an email to brettk@furninfo.com. taken notice, and is coming out with guns blazing.
BUT…the home furnishings industry is wide open. There
WORKING WITH HISPANIC CUSTOMERS is no major player. No BIG BOX store that is dominating
If you are dealing with Spanish speaking people who this marketplace.
don’t speak any English, they will most likely be very timid You may think Wal-Mart is, but that is simply because
at first, not wanting to make a mistake. And when they they do some advertising on Spanish TV and radio stations.
enter the store they’ll feel a little shy. They aren’t really providing any specific value to that cus-
tomer. People only buy from Wal-Mart because they don’t
What they really want, is to feel like they will be taken
know anywhere else to go.
care of. To be welcomed and treated well. If your salespeople
can simply “put their arm around them” and treat them Besides, Wal-Mart will never be able to really compete in
well, they will be loyal customers for life. the Home Furnishings arena. The inventory is too large, and
the turns are too slow.
If you plan to cater to this market, it is best to have some-
one on staff who is bi-lingual. Your bi-lingual salesperson The time to act is now. Wait for 6 to 12 months, and you
doesn’t need to be highly trained in sales techniques. Look will find that other competitors have beaten you to the
for someone who has a warm personality, and can create punch. However, Hispanics are loyal to brands and compa-
relationships. That’s where your money will be made in this nies they know. That pays huge dividends if you are the
market. For this reason, don’t be surprised if the average market leader and establish a reputation in their communi-
sale takes longer to complete. Building trust can take some ties. Other competitors can come, but you’ll always have a
time. leg up because you were first.
Once you’ve established a bond of trust, your new rela- If you want to see more information on marketing to the
tionship will be immensely profitable for years to come. So Hispanic market, you can request a free Hispanic marketing
don’t jump on your salespeople if they spend some extra package and audio program. Just visit the website
time chatting with their Hispanic customers! www.explodestoretraffic.com/spanish for more information.
But that’s not all. Latinos are more likely to refer friends
and family than just about any other ethnic group. Plus, Brett Kitchen and Ethan Kap are Co-founders of
they love to shop together. So when planning to bring Furniture Marketing Systems, and are commonly known as
Hispanics into the store, count on 4 or 5, not just 1 or 2. the “Traffic Guys.” Brett and Ethan run a retailer Marketing
Mastermind Group to help retailers increase store traffic and
Shopping can be a fun event for them, a group activity.
sales, while cutting the fat and waste from current advertis-
This is certainly a marketing plus because it becomes possi-
ing. They don’t sell advertising services. Questions on any
ble to get multiple returns from a single marketing piece!
aspect of direct response marketing can be sent to Brett and
Ethan care of FURNITURE WORLD at bretk@furninfo.com
NOW IS THE TIME TO ACT or call them direct at 1-800-393-2054. Get free business
Every good opportunity, usually affords only a small win- building resources at www.explodestoretraffic.com.
HISPANIC HOUSEHOLDS
GET ONE PIECE OF MAIL
for every 10 received by a typical
American home. When a direct mail
piece arrives all by itself, don’t you
think it has a better chance of being
read?
Continental Furniture mother's month celebration coupon
(left) with all bedroom sets on sale! Plus bedroom set
Giveaway Contest,
to them, and they will buy! of non-Mexican Hispanics surveyed indicating they read
Contrary to what you might believe, they aren’t just cheap retail direct mail.”
price buyers! This might surprise you, but it’s true. Latino’s Now how do you get them to respond.. to come in and
are more concerned with buying a brand they recognize, buy? Hispanics are much more responsive to coupon offers
something that has a good value, than a cheap price. and gift with purchase offers, than typical Americans. This
One of the reasons for this is because they don’t want the makes sense when you think about all the many offers, and
hassle of having to return something, or deal with the marketing messages typical Americans have been receiving
uncomfortable situation of talking with a customer service for the past 50 years. Hispanics just don’t have the amount
person in a different language. of attention given them by businesses… YET.
They work hard for their money and they want to make “Of the Hispanic adults surveyed who read retail direct
sure they are buying a product they can count on to be high mail, 43 percent indicated they’ve responded to direct mail
quality. advertisements that offer a gift with purchase, compared to
just 31 percent of the non-Hispanic population.”
THEY RESPOND TO MARKETING! They refer like crazy. We all know how valuable referrals
Did you know that Hispanic households get one piece of are, that they yield better, more profitable customers and
mail for every 10 that the typical American receives? that they are certainly much cheaper to acquire.
That’s right. Think about it this way…on those days when The urge to network is a characteristic of Hispanic cul-
you get 10 mailers in your box, they are only getting one. ture. They typically have lots of friends, like to give parties,
Many days they get nothing! and share with each other. You can bet that popular topics of
conversation include the latest store they’ve found, or an
When your direct marketing piece arrives in their mail-
experience they had while shopping. This is a point not to be
box, ALL BY ITSELF don’t you think that it will have a
missed. If you upset any customer, you will get at best, nega-
good chance at being read? Check out these statistics from
tive word of mouth, and at worst, have created a vigilante
Vertis Communications.
customer. This effect is magnified in the Hispanic market-
64% of Hispanic adult consumers responded to direct mail place. On the other hand, if you give impressive service, you
in the last 30 days versus only 46% of the total U.S. adult will earn a steady stream of repeat business and referrals
population. for life.
Hispanics who speak primarily Spanish at home are even
more likely to respond to direct mail (a whopping 70% rate)
in the past 30 days.
THE WORST THING YOU CAN DO!
Jim Litwin, vice president of market insights at Vertis Recently a local bedding store ran an ad in a Spanish
Communications said “We are finding that more Hispanics newspaper. I noticed that in the very first line of text was a
are reading direct mail advertising than non-Hispanics. word “Avalible”. Only one problem... “avalible” is is not a
Findings also reveal that direct mail response rates are Spanish word.
higher among those who primarily speak Spanish inside the When asked how his ad performed, the store manager
home, indicating the need for marketers to continue creating quickly said it did poorly “but that was my fault,” he said, “I
bilingual marketing pieces. U.S. direct mail is predominantly did a poor job on it.” I’ll say! Nothing says “go away” like
English, so when Hispanics do see bilingual pieces in their using words in another person’s language, that aren’t words.
mailboxes that speak their language, the urge to respond is So, be very careful when you choose who does your trans-
significantly higher.” lating. Most fluent Spanish speakers aren’t qualified to
translate or create ads in Spanish. You want to hire someone
AND IT GET’S EVEN BETTER… who is highly qualified.
The Vertis study continues: “While readership for other One of the worst things you can do is to directly translate
forms of direct mail varies, retail direct mail remains popu- an ad targeted to your English speaking clientele.
lar throughout, with 69 percent of Mexicans and 70 percent Hispanics buy differently than the typical Anglo (Of course

09-07 profitsys page 55 57 final:furniture world 8/27/07 3:51 PM Page 55
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STAYING ALIVE DURING

SLOW TIMES
Part 4: Why you need to develop a formal customer engagement strategy.
RETAIL MANAGEMENT BY JOE CAPILLO
n the July/August issue of FURNITURE WORLD, some ratio it will get the same 50% increase in sales as if we
I of the simple thinking that makes sales management

so much fun was addressed. My hope was that more
owners and managers would begin to look at their busi-
nesses in an objective way, using key metrics to under-
stand the effect of performance variations among sales-
moved from 20% to 30%. Of course the average sale
would need to remain unchanged, but think of what
would happen if it went up too! A double whammy!
So, what are the things that work for 20% of your shop-
pers, but don’t work for the rest? That depends, in large
people on their top, and bottom lines. I also suggested measure, on what your selling strategy is, and how it’s
that the things that got us this far, are stopping us from implemented on the selling floor by your salespeople. And
getting better. The way we succeed with the 20% of shop- it usually works better for some salespeople than for oth-
pers who purchase from us, causes us to fail with the 80% ers (remember that 40% top-to-bottom variance I talked
who don’t. about in the last issue). Still, for most furniture retailers
Now, let’s not get hung up on the numbers as they it’s simple – if your customer engagement strategy is all
relate to you specifically. Instead, let’s look at an example about product, things (the furniture you carry) or about
that will illustrate why your close ratio, by itself, doesn’t the current promotion you’re running, and that’s all your
matter. people have to talk about, it works for a relatively small
Example: In a recent meeting with sales managers in number of customers. Good looking products, reasonable
one of my stores it was discovered through camera count- quality, a good sale price and finance terms, great in-stock
ing door traffic, that the actual close ratio on all customer positions, coupled with a nice, competent salesperson will
traffic was under 10%. Reported traffic, after all salesper- get it done for the 20% (more or less) who buy. The others
son edits (the “she wanted something we don’t carry, so need something else. Here’s the thing – the products
she doesn’t count” kind of nonsense)... the flat out over- might be right, the price might be right, everything might
the-top periods when there are twice as many customers be right except for the one thing they need that the cus-
as salespeople in the store....and the log entries that tomers who bought don’t – more help.
salespeople simply didn’t make for one reason or anoth- If all you’ve taught your salespeople is to know your
er... the store showed a 20% close ratio. The difference products inside and out, to tell customers about their fea-
between the actual close rate and reported was disturbing tures and their perceived benefits (perceived by vendors
to the owner, but speaking from the perspective of sales and you) then you will only do better by increasing your
performance, this actual percentage isn’t important. The traffic. Remember, I said that for the big guys that’s a
fact is that if this store can move from a 10% to 15% close good plan. For the smaller independents, it’s a tough, and

09-07 profitsys page 55 57 final:furniture world 8/27/07 3:51 PM Page 57
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Karel Exposition Management CUSTOMER

The Nation’s Largest Producer of Regional
Furniture & Accessory Markets ENGAGEMENT
KEM’S REMAINING 2007 expensive and a chancy proposition. When this song
is sung by the salesperson, but more help is needed
MARKET SCHEDULE by the customer to make a decision to buy, it’s likely
that your people have no step-up game plan. They
don’t know what “more help” means, or how to deliver
23rd LOS ANGELES, CA • OCTOBER 27-28-29 it. They’ve done all they know how to do.
More help means helping your customers under-
1st PALM BEACH, FL • NOVEMBER 9-10-11 (New!) stand how to actually use the products you sell in
their homes and rooms, how they’ll fit in with other
things they own, their backgrounds, or how to plan,
KEM’S 2008 develop and execute a room project so the outcome is
what the customer wants. Even to go so far as to help
MARKET SCHEDULE them better understand what they want for their
room. If you can’t do that, most of these customers
52nd EDISON, NJ • FEBRUARY 3-4-5 join the ranks of the approximately 40% of furniture
shoppers who don’t buy, but simply go home to think
some more about how to be sure they’re making an
(Our Return) informed, correct decision about their room. The thing
24th LONG BEACH, CA

customers fear the most is making a mistake. All
some of them need is more help from your salespeople
to go forward.
APRIL 25-26-27 WHAT’S GOING ON OUT THERE?
53rd EDISON, NJ • AUGUST 3-4-5 How do you know what’s happening on your selling
floor between your customers and your salespeople all
day, every day? I’ve talked about how important it is
17th ORLANDO, FL • AUGUST 15-16-17 to control the point of contact, or, at the very least to
strongly influence it. This is where your business lies
39th FITCHBURG, MA • SEPTEMBER 7-8 – where a salesperson meets a customer.

In some industries the customer engagement strat-
egy is closely scripted, rehearsed and monitored to
2nd PALM BEACH, FL • NOVEMBER 7-8-9 ensure that the business owners do control the point
of contact. Salespeople practice written scripts until
25th LONG BEACH, CA • NOVEMBER 23-24-25

they can recite them verbatim, and are not allowed
even the slightest variation. This is done to ensure
that every customer receives an equal and defined
experience, and to eliminate individual variations on
It’s the KEM way! the company’s message. Are there some people who
can intellectually translate a scripted message into
their own words and make it work? Yes, of course,
FOR BUYER OR EXHIBITOR INFORMATION PLEASE CONTACT: there are. They’re the ones who write the scripts for
the rest.
KAREL EXPOSITION MANAGEMENT Celebrating
PHONE : 305.792.9990 • FAX : 305.792.9898

56 By comparison, where do you stand on this? How
sure are you that your message, the one you want
Years
www.kemexpo.com • e-mail: info@kemexpo.com delivered to every customer, every time, is actually
being delivered in an acceptable, consistent, high
MARKET NOT OPEN TO THE PUBLIC • NO PERSON UNDER THE AGE OF 13 ADMITTED
level, enthusiastic and believable way?
2 FORMS OF BUSINESS I.D. REQUIRED
The message here is that unless you’ve actually
DATES AND / OR LOCATION ARE SUBJECT TO CHANGE.
IF YOU LEAVE YOUR MESSAGE

UP TO EACH INDIVIDUAL
SALESPERSON
The quality of the customer’s experience in
your store will depend entirely on who’s up.
shared your intended message with your sales staff, they should buy from you, could
have no way of knowing what you want done. If you leave buy from you, but don’t.
your message up to each individual salesperson, you’ll get
almost as many different messages as you have salespeo- Joe Capillo is a furniture industry veteran with 35
ple, and your customers have vastly different experi- years combined experience as a retail consultant and
ences. The quality of your customer’s experience in your retail industry executive.
store will depend entirely on who’s up. Think again about
that 40% performance variance from the best to the He is a contributing editor to FURNITURE WORLD
worst salesperson and you will see why developing a for- and a frequent speaker at industry functions. Joe makes
mal customer engagement strategy is so important. himself available for private consultations on any aspect
Such a strategy will help your salespeople to become of retail sales management and sales education. He can be
truly engaged in the sales process. They will learn to reached at joecapillo@furninfo.com. See many more arti-
determine each individual customer’s need for help and cles by Joe Capillo on the FURNITURE WORLD website
will start to produce sales from those customers who furninfo.com.
Flex-A-Bed:
Single Source = A Simple Solution for 16 CFR 1633
Attn: Mattress Manufacturers and Mattress Retailers:

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Flex-A-Bed is your answer. However, if you would like to purchase our base
alone and qualify the prototype yourself, you may do so as well.
As a retailer you can now offer an adjustable bed with the peace of mind that one
manufacturer is responsible for total compliance. All of our mattresses have been
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With best regards –
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President, Flex-A-Bed

TURN YOUR REPAIR SHOP INTO A
Leather Profit Center

Someone stands to profit from your damaged
and defective leather furniture. That “someone” should be you!
LEATHER REPAIR BY BRUCE NURSE
ho stands to profit from your damaged and repair staff. Charge-backs are sought to help reclaim some of
W defective furniture? Is it the customer who gets

the price discount to keep it? Is it the customer
who purchases it at a greatly reduced price from
your Clearance Department? Or is it the repair contractor
who charges you a healthy sum to restore it to “like new”
the cost of the contractor.
Most retailers rely on at least several of these steps.
However, as efficient as a mix of this system could be, are
you maximizing your potential? Or are you leaving some
money on the table?
condition? Someone is likely to profit from your damaged
and defective furniture. Why isn’t that “someone” you? THE OPPORTUNITY
How you look at repairing damaged and defective furni-
MAXIMIZING YOUR POTENTIAL ture can be more important than you’ve previously thought.
Perhaps you believe that your retail operation is doing all Is it just an annoying operating expense that you find ways
it can to deal with damages and defects. You probably to deal with, or can it be an opportunity to add to your busi-
already have a good system set up that includes the follow- ness and make money? Can you take your repair depart-
ing five steps that help to limit costs associated with dam- ment, and convert it from an operating expense to a profit
age and defects. center?
1) Return Authorizations are sought for major defects and Let’s face it, some retailers try to make their efficient
shoddy workmanship not consistent with the quality usually repair departments into profit centers by charging back
produced by a specific manufacturer. every little nick and rub - even if it’s a 30 second touch-up.
2) Claims are made against freight companies where obvious The problem is, however, that this can, and often does, back-
shipping and handling mishaps have occurred. fire. Manufacturers can and do “pull the plug” and refuse to
honor charge-backs if retailers abuse their privilege.
3) The Clearance Department handles old stock that is not Manufacturers know what percentage of their product will
moving. It also clears out damaged and defective furniture end up being damaged and defective. Beyond that point, the
where credit has already been received. red flag goes up.
4) The employed repair staff fixes most repairable damage Manufacturers should only be held accountable for legiti-
and defects through one method or another and proper mate damage and defects. You shouldn’t try to create a prof-
charge-backs are sought. it center on the backs of the manufacturers you purchase
5) Outside professional contractors are hired to solve repair from. Still, there is another way that you can legitimately
or cleaning issues not within the capabilities of the employed profit from your damaged and defective furniture.
YOU SHOULDN’T TRY TO

CREATE A PROFIT CENTER
on the backs of the manufacturers you
purchase from. Still, there is another
way that you can legitimately profit
from your damaged and
defective furniture.
Repair #1: Shown left is a repair to a puncture; material cost is
about $5, time to repair is 2 hours, amount billed is $200.
09-07 masterplan page 61:furniture world 8/27/07 3:49 PM Page 61
IF YOU DO
COMPLIMENTARY
OFF-WARRANTY WORK
FOR A CUSTOMER,
your third party company should bill
you. It will keep that kind of work to a
minimum and your retail outlet will be
held accountable.
Repair #2: Repair to scuff; material cost is less than $5; time
to repair is 1 hour; amount billed is $100.
This solution may initially seem a bit radical, but it an arms-length transaction. Then when you seek charge-
works. It is to set up a repair business that works under- backs, you can include a copy of your third party invoice.
neath the umbrella of your parent company.
If you are open to trying this, but you’re hesitant to tackle Potential Outside Repair Work: Since you’ve set up a
all aspects of furniture repair at the beginning, start by lim- leather repair company that is a separate money-making
iting yourself to leather repair, because leather repair is the entity, you will be compelled to find ways to ensure that
most profitable area of furniture repair. your new company is busy and makes money.
Your leather repair company will be able to perform all
THE BENEFITS sorts of outside repair work. You can get your competitors to
pay you to fix their damaged leather furniture. You can also
The three main benefits of having your own leather repair do extended warranty work. And, if you like, you can fix
business, separate from your retail outlet are: the potential leather problems for private owners of cars, boats, planes
money you can earn, the control over your professional ser- and RV’s. The possibilities are numerous, if you are willing.
vice and your customer’s perception
Whatever you do, though, you need to treat the leather
Having a third party leather repair business has several repair company like it is a contracted company. If your retail
key benefits: store decides to have complimentary off-warranty work per-
formed for a good customer, the leather repair company you
High Rates: Of all the areas of furniture repair, professional
hire will bill you. It is likely, however, that your in-house
leather repair rates are the highest. Even in comparison to
repair department would perform the service free-of-charge.
other trades (electrician, plumber, etc.), the rates are high.
Your third party company should send an invoice. That will
Check with your repair contractors to see what they charge.
keep off warranty work to a minimum and your retail outlet
In the market I’m in, upholstery contractors charge
will be held accountable.
$50/hour, wood contractors charge $65/hour and leather con-
tractors charge $100/hour. These numbers will vary depend- Control: Your customers are your first priority. They’ve
ing on your market, but the general rule is that leather received a first class sales experience, a first class delivery
repair contractors charge more. or pick up experience and if they need service, it should be
You should be able to charge anywhere from $75/hour to first class, as well.
$125/hour for professional leather repair. For in-home service, how can you ensure that your cus-
tomer receives the same first class treatment from a third
Good Profitability: Expenses are low. Equipment and sup-
party contractor as they would from you? If you own the
plies are very low per job. Labor costs are reasonable, even
third party contractor, you can make sure that they pamper
for very qualified technicians. And, with the high rates, your
your customers.
profit margins will be wide.
If you are presently outsourcing your leather calls, you
Maximized Charge-backs: Some manufacturers won’t know that you are subject to your contractor’s schedule,
reimburse you, in full, through charge-backs, unless there is their dedication to servicing your customer and your con-
proof that a third party performed the work. That’s why you tractor’s trustworthiness.
need your leather repair company to bill your retail outlet in Often times a contractor will prioritize your customer and
your company based on how much work you give them. They
are probably most dedicated to whoever is “feeding” them
If You Like This Article enough “gravy” jobs.
There is also the “trust” factor. Is your contractor trust-
Go to www.furninfo.com worthy? Are they performing the work they’re billing you
Over 1,000 Articles On Furniture Retailing! for?

Turn Your Repair Shop Into a Leather Repair Center

When you own the repair company, you’re in control. You HIGHER RATES FOR LEATHER REPAIR
ensure that your customers and your company receive There are two main reasons why leather repair techni-
prompt, friendly service from professional technicians dedi- cians can charge more for their service than wood repair
cated to servicing your customers and your business first, technicians and upholsterers.
whether the service is in-home or in-shop.
Thorough professional training can be hard to find and is
Your Customers’ Perception: There is always going to be not cheap. The best leather repair technicians usually own
the customer that just doesn’t believe that a retail outlet their own businesses and may have paid hefty franchise fees
could afford or be willing to pay to keep a specialized profes- for their knowledge. They usually guard their secrets well.
sional leather repair technician on staff. and are definitely not going to give away the tips, tricks and
They may think your repair department is made up of secrets that they have paid so much to learn.
low-paid kids with minor repair skills, or that your retail Another reason for high rates is that professional perma-
outlet’s in-house repair staff, at best, has limited repair nent repairs and color matching techniques can be difficult
skills. to learn and require patience. Technicians can’t just “wing it”
This type of customer believes that unbiased professional and hope for the best. Without proper training, a technician
service can only be performed by a third party company spe- can easily botch a repair attempt. The significance of profes-
cialist. In this situation, perception is reality. You have the sional training is undisputable. It’s almost impossible for
answer for this customer. You don‘t need argue with them. someone untrained to identify leather finishes, perform the
You tell them that you‘re calling a professional company. correct repair specific to that finish and match the color to
Then you do it! camouflage the repair area.
YOU SHOULD BE ABLE TO CHARGE

anywhere from $75/hour to $125/hour for professional leather repair.
GETTING A QUALIFIED TECHNICIAN aged and defective leather furniture like it was only an
Although leather repair is a specialized trade, it can be operating expense. Once you set up an independent compa-
taught to anyone who’s got a good attitude, is willing to ny, these same technicians become much more than a $10/hr
learn, is patient and can readily see colors. - $20/hr expense. They can now make you money. They will
pay for themselves and your damaged and defective leather
If you already have a technician on staff that has leather furniture repairs.
repair skills rivaling professional leather repair contractors,
you’re ahead of the game. You’re ready to set up a leather
repair business right now. Also read Peter Schlosser’s excel- EVERYONE WINS
lent article “Being Held Hostage By Your Repair People?” You ensure your customers receive prompt, first class ser-
from the April 2006 issue of FUR- vice from the best professional
NITURE WORLD Magazine (post- leather repair technicians in town.
ed to the article archives on With the additional money and ben-
www.furninfo.com.) Repair #3: Repair to scratch; efits your professional technicians
If you have a technician who is in material cost is less than $5; receive, you should be able to control
need of professional leather repair time to repair is 1.5 hours; staff turnover and keep a stable
training, then book that person for crew. You can get creative with rais-
amount billed is $150. es and you won’t have to dread the
training as soon as you can, and
begin reaping the benefits. days when they hit you up for them
because you can always raise rates a
KEEPING TECHNICIANS little or adjust production bonuses.
They will be motivated to work and
There is no reason why you can’t produce for you for years.
offer the best leather repair service
in your market. Once you’ve set up Your customers will be happy
your leather repair company, have a because they will receive first class
staff of professional technicians, service. Your technicians will be
and work is coming in, how do you happy, so you’ll get stable profes-
keep your professional leather tech- sional service for many years. On
nicians from leaving and perhaps top of it all, you now make a little
competing with you? money where you only had an oper-
ating expense before.
You will need to pay them well,
offer production bonuses, generous Bruce Nurse is Owner / Instructor: Tullus Leather
benefits, incentives, and give them room to see their growth Consulting, Wetaskiwin, Alberta, Canada. His company spe-
potential in the company. This is no different than if you cializes in helping furniture retailers and repair companies
were trying to hang onto any other valued professional. to set up profitable leather repair departments/ businesses
What do you pay someone who makes you $75/hour - and hire/ train repair consultants in leather repair tech-
$125/hour in your third party repair business? How valuable niques. Questions on any aspect of leather repair can be
are they to you? Only you can answer this. directed to Bruce at bnurse@furninfo.com. He can also be
Keep in mind, that previous to this, you looked at dam- reached directly at 780.352.4554.
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09-07 genesis 65:furniture world 8/30/07 10:05 AM Page 65
WHY 20%
Inventory is Too Much!
Part 4- Excess inventory creates a web of undesired consequences.
RETAIL TOPICS BY DAVID W. MCMAHON
arrying too much inventory creates a host of web-like the same or increase slightly and the next furniture market
C cost effects in your business. If you get caught in this

web, it will slow down your business and result in a
sticky situation that will be difficult to escape from.
You could become immobilized, just like a fly staring into the
eyes of a spider, waiting
rolls around they say, “I think if we just try this new group;
our sales will increase more”. Yes, new buying is necessary,
but it should only be done when inventory to sales levels are
appropriately lean.
Another misguided
to get eaten. idea furniture retailers
You can escape this hang on to is that inven-
fate before you become tory is an asset with a lot
too entangled, or avoid of liquidity. Although
it altogether if you inventory is an asset, it is
understand the rea- not equal to cash. Cash,
sons why so many oth- with prudent investment,
erwise good companies appreciates with time
get caught. Then you and is liquid. Inventory
can evaluate your cur- depreciates and only best
rent situation, identify sellers are liquid. In fact,
and untangle all of the smart financiers don’t
effects that excess mer- even consider inventory
chandise has on your when looking at the sol-
sales, cash, and prof- vency of a business. They
itability. look at the quick ratio
The best retail furni- only. This is the ability to
ture operations in the cover short term debt
world run their busi- with current assets,
nesses continuously at excluding inventory and
around a 15% invento- long term receivables.
ry to sales ratio. This One final reason why
statistic has been published year after year by the NHFA stores carry too much inventory based on their sales volume
and has been verified in my own consulting practice. There is that they fail to react quickly when changing business
are no double digit profitability stores that carry over 20% conditions negatively impact their sales. Over the past few
inventory to sales for any extended period of time. years, the housing market slowdown and the expansion of
Why is it then, that the majority of home furnishings branded stores have taken a bite out of independent furni-
operations run at much higher levels? It is common to see ture retailers’ profits. Most dealers did not see this coming
stores over 20% and some at even over 30% inventory to and continued to buy at the same levels. Many reacted by
sales levels. Store owners and managers fail to take action, making cuts in operating expenses when inventory should
because they do not see inventory as a problem. Instead have been cut first. The minority recognized the slowdown
they see it as a solution, believing that they can buy them- and reacted fast. These are the stores that now maintain
selves into profitability. Some say, “If we just buy the right high levels of cash flow and respectable profitability, even
merchandise, our sales will increase”. Then, when sales stay with declining sales.

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If you are an independent store, branded, or a top 100 retail-

er, the benefits of managing inventory levels are too massive to
ignore. Ask the Ashley Furniture Homestores! This is at the
heart of their massive success. Maintaining efficiencies will be
the primary factor in your long term survival as well as your
success.
IMPACT ON CASH, SALES, AND PROFIT

Getting caught in the excess inventory web has three big THE BEST WINDOWS
negative repercussions. It causes:
• A weak balance sheet, leading to insolvency.
POINT OF SALE SOFTWARE
• Lower sales.
• Smaller net profits. l Point of Sale Order Entry
l Automatic Inventory Reduction
BALANCE SHEET IMPACT l Automatic Purchase Orders
High inventory creates a weak balance sheet. A high profit l Special Orders
company typically has about 19% of it’s assets in cash and 50% l Lay-A-Ways
in inventory. An average store has around 12% in cash and l Customer Service
56% in inventory. Companies with too much inventory gener- l Customer History
ally show increased liabilities on their balance sheets that are l Installment Finance Module
required to fund the larger payables. These companies require
l Real Time Multi-Store Integration
more short and long term loans.
l Mailing List
The difference between a high profit and average operation
with $10 million in total assets is about $700,000 in extra l Automatic Price Tags and Bar Code
cash. Another way to look at this solvency effect is via inven- l Automatic Delivery Routes & Mapping
tory’s relation to sales. An operation doing $10 million in sales l Warehouse Row, Bin & Level Tracking
running at 15% rather than 20% carries $500,000 less in l Integrated Accounting including:
inventory. Accounts Payable, Payroll,
General Ledger, Banking
SALES IMPACT l Computer Sales & Networking
Excess inventory causes sales to drop. There are many fac- l New QuickBooks Accounting Option
tors that participate to create this affect. A major one is the l Built & Sell From Your Own
increase in best seller out of stock days. High inventory ties Internet Site Included
up funds and reduces liquidity. As a result, fewer dollars are l Since 1991
available to properly buy your best selling items. Since these
items account for the majority of your sales, when you run
out... you lose. See parts one and two of this series (posted to Call: 800.884.0806
the article archives on furninfo.com) for a more in-depth dis- 1731 TREYBORNE CIRCLE, COMMERCE, MI 48390
Fax 248.669.9514 • www.customdesignsoftware.net
BUYERS NOT INVOLVED IN

INVENTORY MANAGEMENT
produce lower GMROI. This is the result
of the production of fewer Gross Margin
dollars and also slower turns.
cussion of managing best • Salaries: +1%; reduced extra people to receive, transfer,
sellers, and dogs. Nothing is more frustrating inventory control.
than not being able to order a container of your best selling
• Warehouse: +1%; reduced costs of equipment, supplies,
goods because you have to make payroll or your current
maintenance.
payables.
As well as not being able to purchase sufficient top mer- • Customer Service: +.5%; reduced occurrence of damages.
chandise, your floor will become stale, your existing mer- • Occupancy Costs: +2%; eliminated unnecessary addi-
chandise will become old, and the showroom will become tional storage space.
stagnant and clogged with dogs.
• Interest Expense: +2%; reduced cost of loans needed to
This causes a decline in another important measure: cus-
finance inventory and pay vendors.
tomer satisfaction. If you are not able to provide what your
customers want, when they want it, they will stop buying • Net Income Effect: +9.5%
and will adopt a negative perception of your store brand.
Worst of all, they will tell their family and friends. Your The most profitable store that I have visited has a 10%
store will appear unfashionable and you will need to invest inventory to sales. Their net income was 18%!
in higher levels of advertising to generate adequate traffic. Unless you are an antique dealer, merchandise does not
A stagnant floor also negatively affects the morale of your age like wine. It becomes more and more expensive to carry
sales force. They, just like customers, love the latest and the each day that it sits. Don’t believe that if you hang on to a
greatest. If you allow merchandise to sit, they will sit too. poor seller long enough, someone will buy it and you will get
Motivation is the highest at fast moving, dynamic stores. your margin out of it. Realize that this product takes up
Think of clothing retailers who take action to recognize valuable floor space. Your GMROI will improve by embrac-
and move old stock out immediately. Competition is fierce, ing a strategy of turning items faster replacing them with
inventory is kept correct, customer service rules, and the best sellers and new items sooner.
best systems and procedures are implemented. The thought Whatever your situation, remember; don’t stop buying
of being unstylish and old is not acceptable. your best sellers and special order merchandise, because
that is your lifeblood. Controlling new purchases, along with
PROFIT IMPACT other strategies will help you avoid and even escape the spi-
der web.
Too much inventory results in a lower gross margin. If
dogs are not recognized fast and moved out, they accumulate In the next issue of FURNITURE WORLD we will provide
and overwhelm your systems. This is why many operations some strategies used to get your inventory down to 15% and
hold semi-annual clearance sales, tent sales, and going out of maintain it there.
business type promotions. Prices are slashed on a massive
scale. GMROI is destroyed due to lower gross margin and David McMahon is a Senior Business Consultant for
slower turns. High profit and average stores are usually PROFITsystems, Inc. PROFITsystems delivers a "Total
separated by three to five points in GM% for this reason. Success System" through PROFIT professional,
PROFITconsulting, PROFITgroups, PROFITuniversity,
Significant extra operating expenses are incurred as well.
PROFITfreight, and PROFITservices. These business units
The following is a real example of the gain in profitability
offer best-practice solutions designed to maximize cash flow
that was experienced by a store that decreased its’ inventory
and profitability. Questions can be sent to David care of
to sales ratio from 25% to 15%:
FURNITURE WORLD at davidm@furninfo.com or call him
• Gross Margin: +3%; eliminated excessive markdowns. direct at 1-866-325-0018.

09-07 truck contest page 69:furniture world 9/4/07 1:30 PM Page 69
The Beautiful Truck Contest

SPONSORED BY FURNITURE WORLD MAGAZINE
DEADLINE Nov 20, 2007
It is easy to enter the
FURNITURE WORLD MAGAZINE
Second Annual Beautiful Truck contest.
Winners and submitted photos/
information will be featured in the
January/February issue of FURNITURE WORLD.
Winning entries will receive a decorative award certificate.
Enter trucks in more than one category. Use extra sheets if necessary.
Send a photo or photos plus the following information. Use additional pages if necessary:
Category of Truck (check those that apply): Photos Enclosed: (high res digital or prints)
J Small Service/Furniture Van J Truck Exterior (mandatory)
J Local Furniture Delivery Truck In-House J Body/Trailer interior (optional)
J Local Furniture Delivery Truck Franchise or Licensee J Cab (optional)
J Local Furniture Delivery Truck Outsourced Store Sales Volume (check one)
J Long Haul Furniture Delivery J <$5 million J $5-25 million J >$25 million
Truck Brand/ Model __________________________________________________________

How was the graphic developed and applied? ________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
______________________________________________________________________________________
Benefits the truck/ graphic advertising has provided your company______________________________

______________________________________________________________________________________
______________________________________________________________________________________
Special Modifications/ Internal Configurations ________________________________________________

______________________________________________________________________________________
Person responsible for fleet operations (enclose photo if available) ______________________________

______________________________________________________________________________________
Special truck maintenance procedures ______________________________________________________

______________________________________________________________________________________
Description of delivered products / delivery radius/ additional information: ______________________

______________________________________________________________________________________
Name ____________________________________________ Title ______________________________

Company Name ________________________________________________________________________
Mailing Address ________________________________________________________________________
______________________________________________________________________________________
Phone __________________________________ Email ________________________________________
Mail this form and supporting materials to: Editor, FURNITURE WORLD MAGAZINE: 1333A North Ave, #437,
New Rochelle, NY 10804 - email: to russ@furninfo.com. Tel: 914-235-3095 or 877-235-3095 for more information.
INTERNATIONAL FURNITURE RETAILING
Upscale Retailing At Linley

“Our aim, quite simply, is to achieve excellence.”
FURNITURE TRENDS BY JANET HOLT-JOHNSTONE
remarkably sunny day in Belgravia, and the Jones, 1st Earl of Snowden, was born in 1961 at Clarence
A shop’s double doors were open wide. There was a

certain amount of good-natured jostling on the
steps, casually well dressed Londoners --- and
others --- coming and going with the excitement of latter
day treasure seekers. Linley’s sales only happen twice a
House, London, at that time the home of Queen
Elizabeth, the Queen Mother.
David was educated at Bedales School, renowned for its
emphasis on arts and crafts, a perfect fit. It was a natur-
al step to Parnham House, The School for Craftsmen in
year, and the young Viscount’s prices can be such that Wood. At Parnham, he was placed under the direction of
even the very rich have been known to blink, smile, then the justly respected John Makepeace.
eagerly produce cheque books. They know they’ll get In 1982, he opened his first workshop at Dorking,
what they’re paying for. Surrey, a lovely historic little town, just a 45-minute train
Whatever the cost, superb, stunning woods (environ- ride from London. Here he designed and made custom
mentally correct!), luscious fabrics and occasional hints of furniture. Three years later, he set up David Linley
whimsy, make price an irrelevant factor. Well, almost. Furniture Ltd., now known simply as
And there’s always the thrill of rubbing elbows, figura- Linley.
tively and/or literally, with the hereditary elite. It’s an The flagship shop on Pimlico
ambience that draws worshippers from all corners of the
affluent world.
Belgravia’s demographic is
The conception and birth of any business enterprise “mid-thirties up to any age. It’s
holds endless fascination for entrepreneurs like us. It unusual to see people in their
takes an interesting mix of genes and what the British twenties except that they might
sometimes call bloody-mindedness to kick-start a winning come in for gifts, the
vision. David, Viscount Linley, son of Princess Margaret, smaller items.”
the Queen’s younger sister, and Anthony Armstrong-
There are reasons to

stop and admire and
chat at every turn,
with helpful but
unobtrusive
staffers present
when you
need them.
09-07 merchmart page 71:furniture world 8/27/07 3:50 PM Page 71
HOST
INTRODUCTIONS
at your store. Write a
design column for your
local newspaper. Work
with charitable design
programmes.
Photos: David Viscount Linley and the Linley Mayfair Location.
Road in Belgravia bustles with staff as well as customers. right time to create a website, and it looked very different
Multi-levelled, with two banks of open stairs, its great then. Five years ago, it was redesigned. And it’s time
fenestration makes it light, bright and welcoming. now for more revamping and, again, it will be entirely
Chairs, sofas, tables, desks, eye-catching floor and table different.” Colourful, helpful, the website provides a
lamps, and a truly intriguing, on-going selection of imagi- superb window on Linley’s highly interactive world.
native accessories enhance shelves, corners and table Check www.davidlinley.com. You’ll find a multitude of
tops. There are reasons to stop and admire and chat at fascinating options.
every turn, with helpful but unobtrusive staffers present The audience has proved to be worldwide, as are
when you need them. One basks in colour. design projects that evolve. The two shops are literally
“There are eleven collections, some with 19th century the tip of the Linley iceberg. “There are ongoing relation-
features and some Art Deco of the ‘30s. We have seven ships in Moscow, Ottawa and Istanbul and many clients
designers, full-time, at this location and nearly every- in the United States and Canada, Germany, Australia
thing is designed here.” Christina Macmillan, the compa- and right now there is a house in the Bahamas. An
ny’s Marketing Director, is an attractive, knowledgeable, apartment just outside Miami was featured in Elite
sincere devotee, typical of Linley’s corporate family. The Traveller magazine recently.”
“excellence” sought in Linley’s vision, is apparent in the One of the most interesting aspects of their marketing
seemingly effortless connection between staff and cus- thrust is the concentration on very visible and profitable
tomers, an enviable seamless efficiency and good humour. partnerships. One of these involved “a limited edition
Christina’s role is key, the first line of communication series of bespoke* wooden trays for Krug, branded LIN-
between the highly creative dreamers/producers and the LEY for Krug, to be used for serving their unique pres-
sellers and buyers of the unique lines, whether manufac- tige cuvee champagne. Their circular shape was inspired
tured or sourced. by the traditional oak fermentation casks used by Krug
Belgravia’s demographic is “mid-thirties up to any age. for the first fermentation.”
It’s unusual to see people in their twenties except that A major project is the association formed between
they might come in for gifts, the smaller items, Italian Linley and Claridge’s, the famous London hotel. Its ele-
crystal and French knives and so forth. Pimlico is not on gant seven stories were built in the 19th century and
the beaten track for everyone. many of the original features from this period have been
preserved. The second significant restyling took place in
“We opened the second shop in Mayfair on Albemarle
the 1920s in the Art Deco period. It was then that
Street in September, 2005. It, too, is a very busy shop
Claridge’s added its ballroom and a new wing above it,
but with a different sort of client, perhaps more male ori-
and refurbished its restaurant, entrance and several
ented. A business destination. And, of course, there is
rooms and suites, all in a style called “Regency Vogue”.
always talk of further expansion!”
More restoration was done to the ground floor in 1998 by
The website is a marvellous place to show and to sell Thierry Despont, and Dale Chihuly whose airy sculpture
accessories. “It started off in 1997, 10 years ago, the is placed at the heart of the hotel. Now, with Linley, a

Upscale Retailing
further era of design is taking shape to aesthetically fuse Kingdom. And we have a data base of 12,000 organized
the 19th, 20th and 21st centuries. to reflect what people have bought and where these peo-
Linley is entirely sympathetic to the spirit and ambi- ple live. Great place to promote Christmas and other
ence of Claridge’s title of “Art Deco jewel of Mayfair”. gifts, for instance. We always do a lot of promotion
Original Deco features, such as glass or silver fireplaces, around the end of the year.
clocks and wall lights have in many cases become focal “Linley does very little actual advertising. There was a
points. The team has completed 11 suites with more to bit in The Evening Standard about our sale. And a small
go, some Art Deco, some Traditional and some “Hybrid”, burst at the opening of the new Mayfair shop.
using original pieces from both periods. Many pieces “Word of mouth is so very important to us. Yes, London
have been designed and created, and many more have is a big city, but it’s also a small city in many ways, people
been sourced. Please refer to the website for all the won- who see one another a great deal, who interact at busi-
derful details, too many to review here, but too good to ness, parties and other social occasions. Of course, superb
miss! customer service is indispensable, our follow-up is
Of course, Christina is working hand in hand with prompt, concerned and totally effective. And we must
Claridge’s promotional people and the public relations maintain this always.”
value is immeasurable. “It’s good for both sides, cross-pol- Visibility is the name of the game. David has written
lination! Public relations is vital. We were part of the three books and lectured around the world. Venues
Grosvenor House Antique Show recently, good exposure. include the Victoria and Albert Museum in London; The
“We do get a lot of press coverage. David is a high pro- Metropolitan Museum of Art, New York; the Smithsonian
file person, and the furniture is unique, a beautifully Institute, Washington; the Museum of Fine Arts, Boston;
made product. Linley takes a much more holistic the Art Institute, Chicago; the LA County Museum of Art;
approach to home furnishings with great interest in the the Cooper Hewitt Museum, New York and the Dallas
way people live.” Museum of Art. Watch for any upcoming lectures. And
The preferred customer list is a very useful tool. “We there have been plenty of television opportunities wherev-
just sent a sale card to 7,000 people in the United er he has appeared, both business and design shows.
Original Deco features, such as glass or

silver fireplaces, clocks and wall lights have in
many cases become focal points at Claridge's.
DESIGN WORKSHOPS,
local television shows, let the world know you are
an authority on how to make consumers’ homes
stylish, comfortable, safe.
Linley features its eclectic

furniture, accessory and custom
design collections in several
upscale catalogs.
If you can get hold of Linley’s big book, “Design and “Upholstery” shows shapes, fabrics, leathers, woods and
Detail in the Home”, you could use it to inspire your pricing. “Furniture” not only defines styling and the vari-
design staff and maybe yourself. Publisher Little, Brown ety of woods used in the manufacture of the various col-
and Company, U.K., 2000. It’s easy reading, the design lections, but also talks at length about “Aftercare”, clean-
rationale is logical, and the photographs are superb. ing methods, things to avoid. Said Christina, “We work
Really, “the stuff that dreams are made on”. with independent suppliers and we insist that all their
Brochures play their role, too, in Linley promotion. A timbers come from sustainable sources and that they are
sampling, Gifts & Accessories, 06-07, “We hope you will FSC or PEFC approved.” There’s a section on lighting,
be delighted, impressed and amused,” says Linley, and this time featuring The Tools collection, sleek, modern
the contents are designed to titillate. Frames; Dining; lamps inspired by original cabinet-making tools.
Vases; Candlesticks: For Him; For Her; Study & Library; Then there’s Interior Design & Bespoke Furniture.
and Artful Gifts. The latter includes a rocking horse with This explains the process of engaging Linley to “create
a secret compartment; the key is concealed in the stirrup! interior design schemes”. They combine “bespoke” or cus-
And there’s a Tricks Box in marquetry to play with. tom furniture, pieces taken from the retail collections and
products from external suppliers. (*Bespoke: To be spo-
ken for: made to your specifications and tailored to your
needs.)
Subscribe! A York University marketing professor of my acquain-

tance said, “Linley’s done all the right things. He’s taken
FURNITURE WORLD his own great love for design and made it into something
others can enjoy. And he’s marketed his vision in a man-
Magazine ner all can emulate in their own way, according to their
demographic. Take what you know, then show how that
• Six powerful issues. knowledge impacts the consumer, graphically, attractive-
ly. His books and speaking tours. We can all do that in
• Most In-depth articles our communities and beyond. Design workshops, local
on furniture retailing. television shows, let the world know you are an authority
on how to make consumers’ homes stylish, comfortable,
• $19 per year (USA) safe. Use every opportunity to host introductions at your
$29 (Canada) - $89 (Worldwide) store. Write a design column for your local newspaper.
Work with charitable design programmes. Partner with
• Sign up for our free e-newsletter. other enterprises that will bring additional visibility to
your product lines and services. Build a network of satis-
Call FURNITURE WORLD fied customers and keep them that way. And let it be
(877) 235-3095 known that what you are doing is fun. You are helping
Subscribe Online At people create their own havens.”
www.furninfo.com If you are heading for London any time soon, go see
Linley’s shops for yourself. Maybe book one of the suites
Or request A Subscription Form at Claridge’s! In the meantime, look at that wonderful
russ@furninfo.com website. You’ll find you can order some of those
brochures. And just let your imagination run rampant!
09-07 cityofhope page 75:furniture world 8/31/07 3:53 PM Page 75
How can the furniture

industry save lives?
canswer.
For nearly 40 years the National Home Furnishings Industry has built support for
City of Hope and continues to develop relationships with industry professionals
working tirelessly to find the answers to cancer. Together the dream of curing
cancer is within our reach. To learn more about the furniture industry’s support
of City of Hope and how you can help, visit www.cityofhope.org/furnitureworld,
or call City of Hope, at 800-272-2310.
Science saving lives.

76-77-furnworld 09-07 design:04-05 2 design 9/6/07 6:55 PM Page 76
Design
Andre Originals
Constructed of wood and rattan, this Art Deco chair
updates the salon for the 21st century. The open arm
contours allow fashion and comfort to co-exist. Aspenhome
Contact information on index page 97. Barolo combines Old World richness with today’s
multi-function solutions. This server has hidden
appliance outlets, heat and moisture resistant
marble top, removable felt-lined storage trays,
hanging stemware storage and pull-out storage
Highland Design shelves. Contact information on index page 97.
The Weston is an Asian rosewood collection with honest,
simple design. The bold grain and rich finishes are
beautifully executed. Contact information on index page 97.
Bulova
This eight day key
wind is made of solid
wood in a distressed
Harvest finish.
Features include
antique brass-finish
dial with etched center
design and lunar
arch, hand carved
pediment and side
columns, arched moon
dial. The solid brass
German movement
plays Westminster
chimes on the quarter
hour.
Contact information
on index page 97.
A.A. Laun
Oak Park is a collection of condo and standard
size tables made of solid Red Oak with antique
copper finished hardware. Available in 27
custom color and primary finishes.
Contact information on index page 97.
Bermex
The Champagne dining room offers a choice of table size, edge
style, apron style and many leg options in a multitude of finishes.
The new curved back chair and the buffet compliment this dining
ensemble. Available in three different table heights.

design pages 78-79:04-05 2 design 9/6/07 6:59 PM Page 78
Design
Gulistan
From the Marlboro House Collection, washed 100%
New Zealand wool takes on the velvet texture of
time-worn and treasured carpets. Inspired by
ancient Persian designs, its colors are rich, regal
and saturated. Suggested retail for 5’x8’ is $449.
Interlude Home
The Dietrich Club Chair is both sculpture and AP Industries
upholstered seating. It features sculpted wood legs
in a walnut burl veneer and a seat upholstered in a This manufacturer
lush, textured olive fabric. Amply sized, the comfy of bedroom furniture
chair is a great addition to any living space. for all age groups from
Contact information on index page 97. baby to adult has
introduced new two
tone finishes (shown on
nightstand) and twelve
new looks to their
existing nineteen
Abbyson finishes.
The “Modern Sophistication” living room series, Contact information on page 97.
features a new exclusive black and white
patterned design. The set comes with easy to match
decorative pillows and accessories.
Dutailier
The Matrix glider allows consumers
to choose from a vast selection of
components to create the ultimate
comfortable chair. Seats,
backs, armrest lengths
and mechanisms can
be easily adapted to the
customer’s morphology.
Contact information on
index page 97.
byGabriella
34” x77” mirror incorporates hand-cut and Dinec
waterjet-cut stained glass. Functional piece Diva is a new contemporary collection boasting
is a work of art that can be leaned against sleek lines to accent fabric introductions. Nature
a wall or hung. Contact information page 97. creates each tree with its own distinctive identity.
With Dinec, the customer can create their own
personalized furniture. Contact information on index page 97.
September/October FURNITURE WORLD 79

Design
Camlen
120” country chic dining table
that seats 12 people has 5”
turned hardwood legs, rustic
hand-planed top and hand-
painted finish. The table and
hutch are available in multiple
lengths and 30 finishes.
Mi-di
The Parsons Collection features
a choice of 15 table legs, over
135 fabrics, and a selection of
chair front legs. Other Parsons
Huppé wood chairs are available to
Huppé is known for innovation in complete this group.
upholstered furniture design. The Contact information on index page 97.
“Concept #300” group features arm
(right, left, double) and armless chairs.
The group has matching tables and
functional tuck-away ottomans.
Jacob Alexander Classic Design

This hair-on-hide benchmade chair is one of Armoire from the Canterbury Bedroom
many hand crafted and hand finished chairs Collection shown in Walnut finish.
manufactured by a group of companies based Contact information on index page 97.
in Valdese, NC. Contact information on index page 97.
American Furniture Alliance

Acorn Florenzia Collection shown with the Macchiato LUXE premium futon cover. The sofa folds out to
become a full size bed and the chair is a junior size sleeper. Available in many finishes and cover choices.
Design Church Chair

The “Saxon” chair has a laminated
oak frame, patent pending deep
rounded seat back and “waterfall”
cushion front. This comfortable chair
can be used in both contract and
residential applications.
Contact information
on index page 97.
Tradewins
Dining room from the “Prairie Collection” features
the straight angles and sleek forms of the American
Mission movement. The group features ample storage
and is available at a reasonable price point.
Elran
The “9090” features pillow
style back with lower lumbar pillow style arms and baseball stitching. Available in fabric,
leather vinyl combination or all leather. Contact information on index page 97.
Bugatti Design
Contemporary in
design, “Livia” is
available as a sofa, or
loveseat. in leather
and a wide variety of
decorator fabrics.
Contact information on page 97.
VGA
International
Surprisingly affordable
double bowl vanity set has
absolute black granite top
with sculpted edge, bone
ceramic sink basins, 2 faucet
sets/ drain assemblies and
hand-crafted furniture quality
base. Contact information on page 97.
G747
“Allegro” is a finely styled and crafted contemporary
collection. Mahogany inlays compliment the curly maple and
maple veneers. Available in either a light to medium Sable
finish or dark Mink. Contact information on index page 97. September/October 2007 FURNITURE WORLD 83
Design
Perri Fine Furniture
This manufacturer is well known for its fine tailoring and
custom options in traditional and transitional design.
AdenWorks
Quarter Round Chair is
handmade from recycled
teak wagon wheels.
Brown Street Shown in a rich brown
stain, the chair is suit-
New “Manchester able for both indoor and
Cherry” Media Center outdoor spaces.
features solid wood Contact information on index
construction and is page 97.
available in four fin-
ishes and ten hard-
ware options.
Contact information on index
page 97.
Mobican
Elegant yet simple “Stella” bedroom has eye-catching, built-in headboard lighting, smooth running
drawers and easy to care for finish. Contact information on index page 97.
Kathy Ireland Home by

Omnia Furniture
The “Park Tower” comes in multiple
sectional, chaise and sofa configurations.
It is available in over 250 leather and
luxury fabrics. Contact information on index page 97.
Darafeev Resort
Furniture
Elegant “Algonquin” multi-purpose
dining table features a top with a felt
surface gaming side. Five round tables
are available in Maple or Red Oak
with multiple finish choices, and high-
ly customizable chairs with designer
fabrics.Contact information on index page 97.
Canwood
The casual yet elegant contemporary “Sunrise”
Bed Series constructed of solid Pine is shown
here with pieces from the “APEX” Series.
July/August 2007 FURNITURE WORLD 85

09-07 Slit Tag Ad 86:Layout 1 8/27/07 3:58 PM Page 86
5” x 7” SLIT TAGS • FAX ORDER 800-784-8488

Use Order Form Or Online Store at www.furninfo.com
* tags also available in 3-1/4” x4-3/4” FSS style.
MSL 104-H1
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• Bright, bold messages attract buyers and help close deals.
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MSL & FSL Pricing 5" x 7" FSS Pricing 3-1/4" x 4-3/4"
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1-3 Pks. $29.95 /Pk. $8.50 1-3 Pks. $19.95 /Pk. $8.50
MSL 251-W1 MSL 306-G1 MSL 178-X1 MSL 035-X1 4-11 Pks. 24.95 /Pk. 15.50 4-11 Pks. 17.95 /Pk. 15.50
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(shipping continental US) Please specify item code. Please specify item code.
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$43.95 Ea. three sides. PTM 998-00 3 1/2" x 4 7/8" * 18.95 /Pk.
Silicone Coated Steel Needles PTH 998-00 4 1/2" x 6 1/4" 22.95 /Pk.
PTL 998-00 5 1/4" x 8" ** 26.95 /Pk.
TGN 862-00 Needles PTT 988-00 8 1/2" x 11" 36.00 /Pk.
$18.95 /Pkg. *Use with FSS tags. ** Use with FSL and MSL tags.
USE HANDY FW SHOPPER ORDER FORM or Call Toll-Free 877-235-3095 / 914-235-3095

09-07- GUIDE & order- pg 87:furniture world 8/27/07 4:01 PM Page 87
THE MOST PRODUCTIVE $1.95

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ORDER Fax: 800-784-8488

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Many chains and independent retail furniture stores use these

16-24 page guides to teach styles, construction, woods, interior
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Perfect for new employees and reference. Quantity Discounts.
Call for more information or order below.
EDUCATIONAL GUIDES ORDER FORM (minimum order 5 guides total) $1.95 EACH - specify quantity
1. LEATHER _____ 11. STYLES I _____ 21. FABRIC APPROPRIATENESS _____
2. UPHOLSTERY _____ 12. ACCESSORIES _____ 20. SEMINAR WORKBOOK I _____
3. FABRICS & POLYMERS _____ 13. METAL FURNITURE _____ 23. YOUTH / JUVENILE FURN. _____
4. BEDDING (temporarily out of stock) _____ 14. BEDROOM FURNITURE _____ 24. ORIENTAL RUGS _____
5. DINING ROOM _____ 15. THE CHAIR _____ 25. EXAM (FOR 5) _____
6. OUTDOOR/ CASUAL _____ 16. MOTION UPH. (temporarily out of stock) _____ 26. 44 CLOSES SALES GUIDE _____
7. CONVERTIBLE UPHOL. _____ 17. CLOCKS _____
# GUIDES X $1.95 = _____
8. OCCASIONAL FURN.(temp. out of stock) _ ____ 18. INTERIOR DESIGN _____
9. HISTORY OF STYLES _____ 19. WOODS & FINISHES _____ Guides 16-24 pages for retail sales training.
Discounts on 100 or more. Call FURNITURE
10. MORE HIST STYLES _____ 20. LAMPS & LIGHTING _____ WORLD at 877-235-3095.
EDUCATIONAL BOOKS, MULTIMEDIA & FW SUBSCRIPTION QUANTITY COST
FURNITURE PRODUCT KNOWLEDGE ONLINE COURSE $449 single store license (order on www.furnituresalestraining.com)
AUDIO MP3 SALES AUDIO DOWNLOADS (see the full library of audio files online at the www.furinfo.com “FW Online Store)
ITʼS BUYING, SILLY! (sales technique book by Peter Marino - 80 pages) $14.95 ea. _____________ _____________
GOLDEN RULES OF SELLING BEDDING (100Pg) $12.50 ea. _____________ _____________
STOP LOSING THOSE BEDDING SALES BOOK (140 pages) $38.50 ea. _____________ _____________
STOP LOSING THOSE BEDDING SALES DVD OR VIDEO (plus guide & book) $149 ea. _____________ _____________
FURNITURE WORLD SUBSC. 1 YR-$19 (USA)• 3YR-$39 (USA) • Canada-$29 • Other $85 _____________ _____________
SLIT TAGS 5X7 STYLE NUMBER & DESCRIPTION QUANTITY COST
See previous page for Tags. ------------------------ ------------------ ----------------

Use separate page if necessary... ------------------------ ------------------ ----------------
order guns needles & barbs ------------------------ ------------------ ----------------
Total Shipping & Handling ------------------ ----------------
TOTAL COST FOR ALL ITEMS __________
FA X C R E D I T C A R D O R D E R S O R S E N D C H E C K
FURNITURE WORLD (US FUNDS ONLY) PMB437•1333A NORTH AVE., NEW ROCHELLE, NY 10804
Allow two week delivery - Rush orders call (914)235-3095. FAX: 1-914-235-3278 • Out of USA postage additional
COMPANY _______________________________________ ATTN: ______________________________

MAILING ADDRESS (NO P.O. BOX)________________________________________________________
_______________________________________________ PHONE ____________________________
[ ] Check Enclosed or [ ] Please Charge to My Credit Card [ ] Retailer [ ] Manufacturer
Master Card, Visa, AmExpress, Discover (circle one) _______________________________________
Expire Date ___________________________ Signature _____________________________
INDUSTRY LEADERS NOMINATED

American Furniture Hall Of Fame
CARTLEDGE EDDY FENN FINGER FRIEDMAN GOLD WRIGHT
he American Furniture Hall of Fame Foundation, Inc. an investment of $60,000, they began making upholstered dining
T (AFHF) recently announced the nominees for induction

into the American Furniture Hall of Fame. New mem-
bers will be officially inducted into the American Furniture
chairs. Today, renamed Mitchell Gold + Bob Williams, the $100
million company offers upholstery, case goods, lighting, rugs,
accessories, and a fine-art photography collection.
Hall of Fame at the annual banquet celebration on October Felix Wright (b 1935) believed early in life that a person’s most
2 at the High Point Market. valuable attribute is their personal integrity. This principle of
“The individuals nominated by their industry peers repre- business integrity has been one of the benchmarks of Mr.
sent leaders whose notable contributions have had a signifi- Wright’s management style throughout his long career at Leggett
cant impact on the success of the furniture industry,” says J. & Platt and remains a cornerstone of the company today. Under
his direction, the company has multiplied its product offerings
Don Coleman, president of AFHF. “They are an inspiration
and distribution network.
for setting standards of innovation, determination and ser-
vice.” The seven nominees are: The American Furniture Hall of Fame Foundation Inc. is
an international, industry-wide effort organized to honor
George B. Cartledge, Sr. (b 1910 d 1997) was chairman of those individuals whose outstanding achievements have con-
Grand Piano and Furniture in Roanoke, Virginia, a Top 100
tributed to the continued growth and development of the
Furniture Chain with 23 stores in 16 cities across Virginia,
Tennessee, Maryland, and South Carolina. His accomplishments
U.S. furniture industry, as well as to research, collect and
as a businessman, father, citizen, industry and commerce leader preserve it’s cultural, economic and artistic history. The
serve as a role model and guide for the home furnishings indus- organization is based in High Point, NC, and can be reached
try. at 336.882.5900 (www.furniturehalloffame.com).
Joyce Cash Eddy (b 1929) started with a small cottage industry
in 1972 and has built a multi-million dollar furniture empire
influencing American homes over the past 35 years. In addition
to being recognized for donating a major portion of her compa-
ny’s revenues to charitable organizations, she is also known for
her hand-styled, hand-painted and hand-finished product along
with her development of new and unique finishes.
O. William “Bill” Fenn, Jr.’s (b 1927) experience in the home fur-
nishings industry spans over 30 years. He was president, chief
executive officer and chief operating officer of Stanley Furniture
Company and also held senior management positions with
Thomasville Furniture Industries and Armstrong World
Interiors prior to joining LADD as president and COO in 1982.
He was named vice chairman of LADD Furniture, Inc. in
January of 1990.
Sam P. Finger, Jr. (b 1916 d 2001) served as president and
chairman of the board of Finger Furniture. Under his leader-
ship, Finger Furniture became the South’s largest privately
owned home furnishings retailer, achieving prominence for its
many innovations in home furnishings merchandising. He origi-
nated the environmental room setting concept, where furnishings
and accessories are displayed in home-like settings.
Fred Friedman (b 1942 d 2005) served as President/Chairman
of Carl’s Furniture. Under Fred’s leadership and ingenuity,
Carl’s grew into one of the largest furniture retailers in the coun-
try with over 500 employees and 22 stores. The company is con-
sistently ranked among the top 100 stores with projected rev-
enues exceeding $130 million.
Mitchell Gold (b 1951) teamed up with Bob Williams in 1989 to
start The Mitchell Gold Company in rural Taylorsville, NC. With

09-07 showplace page 89:furniture world 8/27/07 3:53 PM Page 89
EVENTS
SPONSORS:
Function Schedule
JOIN US FOR BREAKFAST
1ST FLOOR ATRIUM
Monday – Saturday 8:30AM Food Services/
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Pasha Home Fashions BEN & JERRY’S
Picture Galleries, Inc. Open 1:00PM – 5:00PM
SHOWPLACE
Surya Rugs, Inc. M. STEPHEN’S
Open 11:00AM – 7:00PM
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1ST – 3RD FLOORS JUICE ’N JAVA
Monday – Saturday 4:30PM Open 7:30AM – 5:00PM
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1ST FLOOR ATRIUM
Monday – Saturday 4:30PM – 7:00PM RESOURCE CENTER
Open 8:00AM – 7:00PM
On-site Business Service Center
STARS UNDER THE STARS
MARKET-WIDE EVENT Provided By:
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Entertain Your Customers... Six Nights
of Great Music, Entertainment, 5TH FLOOR
Complimentary Food and Beverage! INTERNATIONAL BUYER CENTER
A gathering place for buyers from
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Throughout the Market! services to assist their market needs.
Sponsored By: Provided By:
High Point Market Authority High Point Market Authority
211 EAST COMMERCE AVENUE I HIGH POINT, NORTH CAROLINA 27260

PO BOX 1521 I HIGH POINT, NORTH CAROLINA 27261
T: 336.886.4700 F: 336.886.4872 I WWW.SHOWPLACE-HIGHPOINT.COM
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E-NEWSLETTER
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at www.furninfo.com/subscribe.asp
Integrity & Experience Matters

Our goal is to provide you with the best support possible.
DG Associates is a Sales Promotion
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of the furniture industry. David
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have over 60 years of furniture experi-
ence to draw upon. DGA can help you
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David Geddeis, Jr.
David Geddeis, Sr.
D
Customized Events
• Cash Raisings We provide the Energy Eli Mizrachi
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“Times were tough and we needed to come up with a way

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Call Larry Mullins Direct: 303 530-5366
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(Be sure to read Larry’s timely articles for Furniture World at www.ultrasales.com)
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Membership is open to any company or individual
conducting business in the United States and includes
eligibility to vote for inductees into the Hall of Fame.
202 Neal Place • High Point, NC 27262 • 336.882.5900

furniturehalloffame.com

09-07 truckskin page 96:furniture world 8/28/07 1:28 PM Page 96
09-07 index page:furniture world 9/8/07 7:22 PM Page 97
Advertiser & Design Editorial Index

COMPANY TELEPHONE EMAIL PAGE# COMPANY TELEPHONE EMAIL PAGE#
3Dream.net 800-449-9984 info@spaceplanning.com 61 Leather Consulting 780-352-4554 leatherrepair@canada.com 49
A.A. Laun 920-894-7441 service@aalaun.com 27 Lynch Sales 800-824-2238 dlynch@furninfo.com 43
Abbyson 800-600-7729 maria@abbyson.com 80 Marlboro House 800-869-2727 kea@gulistan.com 80
Adenworks 866-912-9618 aynsley@adenworks.com 86 Merchandise Mart www.merchandisemart.com/highpoint 71
American Furniture Alliance 800-338-8667 mmarcos@afa3.com 45 MicroD 800-964-3876 monanigam@microdinc.com 20-21
Andre Originals 732.574.2600 nat@andreoriginals.com 78 mi-di 819-227-2284 denis.darveau@bermex.ca 19
AP Industries 800-463-0145 info@apindustries.com 80 Mobican 450-346-3777 mobican@mobican.com 86
Arc Way Trolleys 204-383-5950 arcway@furninfo.com 93 North American Bancard 866-481-4604 www.nynab.com 38
Aspenhome 602-442-5611 renee.loper@aspenhome.net 79 Perri Fine Furniture 416-665-1991 info@clrfx.com 29
Bermex 819-227-2284 denis.darveau@bermex.ca 5 Profitability Consulting 336-852-1714 www.profitabilityconsulting.com 91
Bolger Group Consulting 740-503-8875 dbolger@bolgergroup.com 91 PROFITSystems 866-595-9376 info@profitsystems.net 55, 57
Brown Street 603-837-2547 ewright@brownstreet.net 86 Recruiting Leder 770-977-8783 therecruitingleder@earthlink.net 93
Bugatti Design 514-328-6553 enzo@bugattidesign.com 51 Retail6 888-309-8002 cdomin@cdsgroup.com 3
Bulova 718-204-3550 talbin@bulova.com 79 RetailerBuyers.com 866-861-4505 sales@retailbuyers.com 10
byGabriella 212-931-4731 info@bygabriella.com 81 Service Lamp 800-222-5267 jeana@servicelamp.com 37
Camlen 514-804-5413 greg@camlenantiques.com 33 ShangriLa 888-280-3733 sales@shangrilafurniture.com 39-40
Canwood 800-974-9663 melkemp@canwood.com 87 Showplace 336-886-4700 www.showplace-highpoint.com 89
Capital For Merchants 866-481-4604 www.nynab.com 38 Slit Tags 877-235-3095 russ@furninfo.com 86
CathyCam 877-346-6939 soar303@comcast.net 90 Storis 888-478-6747 ccuan@storis.com 16-17
Church Chair 800-331-5411 sales1@churchchair.com 84 Tidewater Credit 800-535-4087 remoteapps@twcs.com 47
City of Hope 800-272-2310 www.cityofhope.org/furnitureworld 75 Tradewins 425-482-9321 dhines@yadtel.net 84
Classic Design 817-446-3204 cathy@classicdesign.com Cover 2, 1 Traffic Guys 800-393-2054 brettkitchen@comcast.net 11
Custom Design Software 800-884-0806 jerryk@customdesignsoftware.net 67 Truck Skin 877-866-7546 joe@truckskin.com 96
Darafeev 800-664-4329 walter@darafeev.com 87 UltraSales 303-530-5366 lmullins@ultrasales.com 92
Demountable Concepts 800-254-3643 rcassway@demount.com 94-95 VGA International 201-531-0502 volkan@vgainternational.com 85
DG Associates 800-551-5864 dgaevents@aol.com 90 William E. Phillips 877-451-1598 chip1wep@mac.com 49
Dutailier Furniture 800-363-9817 davidf@dutailier.com Cover 4 World Market Center 702-599-9621 cdonero@lasvegasmarketcenter.com 13
Educational Guides 877-235-3095 russ@furninfo.com 87 Wallbeds 800-882-2258 rassoc@sprynet.com 45
Elran 800-361-6546 erica@elran.com 7
Flex-A-Bed 800-421-2277 info@flexabed.com 59
Ford Trucks www.fordvehicles.com 98-Cover 3 Sales Management Position Wanted
Furniture Library 336-883-4011 info@furniturelibrary.com 88 Results-oriented Vice President/ Sales Professional with years of
Furniture Team 717-361-7858 pete@furnitureteam.com 92 sales and marketing experience within the furniture industry seeks
Furniture Training Company 866-755-5995 www.furnituretrainingcompany.com 45 senior management position. Candidate has a diverse background
Furniture Wizard 619-482-2613 wizard@furniturewiz.com 30-31 with demonstrated ability to open top 100 furniture accounts, run a
g747 819-227-2284 denis.darveau@bermex.ca 85 sales force, and increase profits.
Genesis Software 509-536-4739 gsauther@genesis4windows.com 65
GMC Trucks 800-GMC-8782 www.gmc.com/mediumduty 35 Contact TomLeflein@aol.com or call (201) 803-0635 (Cell)
HFIA 800-942-4663 info@hfia.com 91
for complete resume and references.
Highland Design 626.638.0299 cchristian@highlanddesign.com 78
Hong Kong Furniture Fair 852 2311 8216 info@kenfair.com 15
Huppe 819-758-1529 jdionne@huppe.net 24-25 Seeking Reps For Upholstery Line
Interlude Home 888.525.6199 info@interludehome.com 79
Jacob Alexander Chair 828-244-8428 info@jacobalexanderschairs.com 83 Manufacturer of high quality medium to high-end custom upholstery
Karel Expositions 305-792-9990 info@kemexpo.com 58
requires sales reps in New York State, New England, Ohio and
Pennsylvania.
Kathy Ireland Home by Omnia 909-393-4400 anthony@omnialeather.com 9
Keystone Furniture 717-656-1309 keystone@furninfo.com 63 Send resume to info@perifinefurniture.com

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Furniture Word 2007-09-10

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09-07 cover 1 classic:furniture world 9/1/07 6:54 AM Page c1

09-07 classic C2 :furniture world 8/31/07 2:22 PM Page c2

• Fast Selling Designs

VISIT US IN HIGH POINT

"We want to thank you

The Business Solutions Magazine For Furniture Retailers

SALES skills/management problems and solutions. PAGE 34.

Create A Leather Repair

Delivery Survey 2007

2 FURNITURE WORLD September/October 2007

I Magazine, we talked about uncovering your retail store’s

With minimal changes, this Oskar

Building a second-story glass atrium

6 FURNITURE WORLD September/October 2007

Visit Us In High Point

A new exterior look for

Raising Hom’s exterior facade

8 FURNITURE WORLD September/October 2007

Morris Furniture will soon feature

10 FURNITURE WORLD September/October 2007

M management, financial and operations manage-

© 2007 World Market Center LLC

DEVELOP A RECRUITING BROCHURE

#2: DIG DEEP Figure 1: JOB PROFILE

candidate has acted in the past, and reacts to your ques-

Now let’s get back to basics. Before the first classified

Figure 2: JOB DESCRIPTION

September/October 2007 FURNITURE WORLD 15

FIGURE 3: INTERIOR DESIGNER JOB FUNCTIONS & SKILL SETS

18 FURNITURE WORLD September/October 2007

Recruiting, Interviewing & Hiring

Career brochure from the Western Home Furnishings

September/October 2007 FURNITURE WORLD 23

Improve Your Hiring IQ

THE INTERVIEW PROCESS

Ron Wolinski is VP Performance Groups for Profitability Consulting.

September/October 2007 FURNITURE WORLD 25

a mascot, “Figment,” the dragon. How perfect. An animal

R company, helps to define who you are, and where

USE YOUR WORDS

• Solid Wood Construction

The Barrington Collection

Crafted primarily of solid

OUR RETAIL CLIENTS WANT EXCELLENT SERVICE.

Megaphone Marketing: Customers

Remarkable Marketing: Anything

Edgecraft Marketing: The process of

YOUR CLIENTS BUY FROM YOU

32 FURNITURE WORLD September/October 2007

RESULTS OF FURNITURE WORLD’S

Delivery Survey ‘07

M FURNITURE WORLD Magazine/

Finished wood surfaces

“Less effort is being spent on

Delivery Survey ‘07

Damage “Proper training by

Replace Your Recessed Downlights

Replace Your Track Light Bulbs

100 Table Lamps x $12.40 = $1,240

Perfect truck loading left.

“I think that owners in our company should

38 FURNITURE WORLD September/October 2007

We specialize in better stores with impeccable reputations.

Name ______________ Title