PPB April 2019

by Danielle Renda Is Retail The Answer? Q A Distributor Asks: We have been in business for four years, operating from a home office with three employees. Sales have doubled year over year and we have the opportunity to move into a 900-square-foot retail space with great visibility on a busy street with a good anchor. We want to grow our apparel, signage, print and award business lines. Any advice? A You need to ponder what a retail—open—space is going to do for you. And what it is going to cost you, not just in rent, but in time. You now have a home office. You have the luxury of choosing who you do business with. Retail? They walk in your door when they want to walk in your door. It’s a dynamic change. Now, you choose who you sell to and what you sell to them. They walk in the door of a retail space and ask about caps, then they want 12—whoopee! You tell them it’s $15 to $18 each, they smile and leave, go home, get on the internet and find the same or similar cap for $10 and never come back to you. The small retail customer is going away— sorry, this is just my opinion—because they are pounded with offers from the internet and Instagram, Facebook, Snapchat and 10 other touchy-feely, non-human-bit codes. It’s stuff to think about. However, after having a beautiful retail establishment from 1999 to 2003, I would rather go to the garage, get my biggest hammer and smash my fingers for an hour than pay lease payments to Mr. Landlord—and distract my business to retail and lose focus on exactly what I’m doing. PAT MOLLER MadeToOrder Pleasanton, California Who wants to be tied to opening at 9 am and closing at 5 pm or whatever? I like working in my pajamas. I don’t want the people who want 12 t-shirts, etc. It’s not worth my time. Keep doing what you are doing now—and good luck with it. JUDITH PEACOCK JHT Associates Otisfield, Maine I moved out of the house about 18 years ago. I bought an office condo, spent about $20,000 in fix-up, bookcases, etc., for a showroom. For 15-plus years, I’d always gone to the customer and was very efficient with my time. A potential new customer called and wanted to discuss a project. Boy, was I excited! She came over a couple of days later, and guess what? She wanted 100 of something cheap, couldn’t We want to grow our business. Is opening a retail space the right choice for us? 12 | APRIL 2019 | INNOVATE