June 24th, 2009

If you’re searching for trendy niche market merchandise to sell this summer and fall, then look backward, savvy sellers. Look back to a Nostalgia and Vintage Fashion Trend in clothing, jewelry, hats and accessories: Summer of Love Update 2009.

Would apparel and accessories buyers for Macy’s worldwide lead you astray?

Macy’s Summer of Love
Macy’s Summer of Love Themes
Macy’s Peace Symbol Jewelry

Note, please, the knit caps … gauzy blouse-on tops … distressed and ripped denim jeans …paisley and tribal patterned clothing … jewelry dangling beads, shells and large chunky signature beads. All flash the Peace Symbol, butterflies and plump – sometimes misspelled — Peter Max-inspired typefaces: Love. Luv. Summer of Love. SOL..

Here’s how Gucci saw it in a Gypsy (i.e., Hippie) Collection last year in Milan Italy, as retro fringed handbags …
Gucci Fringe Handbag

Timing is right:
· The universal symbol of Peace is having a 50th birthday this year.

· The big Hippie Summer of Love – epicentered in the Haight-Ashbury district of San Francisco – kicked off in 1967 at the first “Human Be-In” in San Francisco’s Golden Gate Park. Though the media “officially” declared SoL over at year’s end, it continued in fact as a cultural, political and social movement straight through to the end of the sixties.

· Kept alive by anti-war protests against U.S. involvement in Vietnam, plus an impromptu gathering in 1969 on a small farm outside Bethel, New York (Woodstock Music & Arts Fair), plus youth political/social activism that rocked governments the world over … all extended The Hippie/Youth/Flower Child Era to the end of the 1960s decade.

· The official San Francisco Summer of Love hit 42 years ago. But peace imagery, styles and mindsets extended thru 1969. Now, 40 years later in 2009, they’re baaaaack.

See other items on this season’s revival of Peace Symbol jewelry and Nostalgia Clothing styles at the Top Ten Wholesale Blog:

1. Peace Sign Turns 50 Years Old. Peace Signs Blooming in Retail: Jewelry, Clothing, Accessories.
Fine Art Jewelry (Michelle DaRin)

2. Wholesale Trendy Jewelry Compliments Back to School Sales

Including coverage of a Peace Necklace Collection from jewelry wholesaler Cool Jewels . What’s going to be hot this season as teens and young adults gear up for another school year. And, what’s selling in wholesale fashion jewelry .

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April 29th, 2009


Fashionising Trend Blog stalked designer shoe collections, paced fashion show catwalks and snapped famous feet to predict Summer 2009 footwear trends. The Fashionista Forecast? Shoes as Statement Pieces. Exotic Influences. Architectural Elements. Details, Details, Details (like laces and lace ups, fringe, buckles and straps). Gladiator Sandals are baaaaaack, for women and men. And the High-Fashion Fetish Shoe has arrived.
As Fashionising Bloggers summed up Summer 2009 shoes:

One thing is for certain: Boring just doesn’t cut it.

Take a glance at the trendy “not boring” edge of footwear. Then scroll down to the ultimate Summer & Beach Sandals and Shoes from Star Bay Group.

Gladiator Sandals
As the must-have trendy summer shoe of 2008, the gladiator sandal is reaching critical mass (adoption) this summer. For Men: Raw Leather Gladiator Sandals to match rustic accessories: Explorer travel bags in leather and canvas or leather and string; Rustic techno sandals.

For Women: Laced up to the knee.

Women’s Gladiator Sandals

Lace Up Boots
Part of a Tie-Ups Trend toward lace-up shoes, ankle straps, criss-cross laces and ballerina ribbon ties. From: Dio, Lacoste, Donna Karan and Marc Jacobs. These demure lace-ups were spotted on London celebs …

Lace Up Boots

And, now for something slightly fetish …

Summer 2009 Shoe Trends

Walking the Line between Fetish Shoe Trend and Exotic Detailing, the above Runway Shoe Trends feature studded booties and chain-detailed heels … “bondage details” … Anna Sui’s Egyptian-inspired sandals … lots of jewel and beading embellishments.

Welcome to Star Bay Group

Star Bay Group imports and exports footwear, specializing in sports sandals, beaded and sequined sandals, summer beach sandals, moccasins and popular EVA clog shoes. For women, men and children. In various colors and detailing.

Here is a quick look at selections from the women’s, men and children’s summer collections. (Note the tie-up sandals –- v. trendy this year — at Square One.)

Star Bay Group Shoe Matrix

You can catch Star Bay Group at Value Price Expo in Atlantic City from May 17 to May 19. (Booths #217, 219) … timed to Summer and Beach Wear buying on the East Coast.

Or, check out Star Bay Group at the Off-Price Show in Las Vegas from August 28 to September 1 (Booth #822) … where the Off-Price motto is: You Have To Buy Right to Sell Right.

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March 18th, 2009

Keywords rule in successful search marketing, at every level, from manufacturer and wholesaler to retailer and customer. Keyword enrichment of ad copy, web landing pages, search directory listings and search marketing also filters out top-ranking product sellers from bottom-feeding losses.

Of Spider Bots and Buyers

Online marketing trend trackers and analysts reach the same conclusions: Marketing budgets continue to move from offline media channels (newspapers, print, TV) to online media. The most measurable results come from search-based advertising and marketing, over online display advertising (paying for views or “eyeballs”). And, the best-performing, highest ROI search advertising runs on specialized, business-professional-interest communities called “vertical search engines.”All built on the right keywords.

Just because you have a brand doesn’t mean
people searching online will find you
.

–COO of media company Philippe Guelton
American Magazine Conference

If a wholesaler sells The World’s Best 5th Generation Electronics – at lower-than-3G prices! – don’t buyers beat an electronic path to their cyber store?

Everyone knows that Uber-trendy clothing (say, the latest women’s summer apparel at lowest discount prices) sells itself, as soon as retail chain store buyers stock it. (True or False?)

Not if the right keywords don’t show up in the right places. If automated bits of web-crawling software — search engine spiders — can’t see your discount-priced new mobile electronics or trend-targeted styles, then almost nobody else sees the merchandise either. Because, without the right keyword strategy – in advertising copy, on web site product pages, in search results listings and search ads, in product directory listings – without the right keywords in the right places, search engine indexing spiders and potential buyers never “see” you, either.

Good News: Keyword enrichment is one part of the online marketing matrix that’s easy and inexpensive to fix with these tips:

(1) Keywords First
(2) Keyword Images
(3) Repeat KWs, Hold the Spam
(4) Use Long-Tail Keywords in B2B Marketing
(5) Refined Keywords Live at Vertical Engines

1. Keywords First

Keyword sets vary depending on marketing objective. A wholesaler-manufacturer-exporter of gold, silver and diamond fine jewelry will use its business name as a keyword in a branding campaign, to associate the company with high-end contract manufacturing for global wholesalers and importers sourcing product.

But the company’s business name would not be a critical keyword in wedding jewelry promotions before a major bridal trade show … or on web landing pages for a search ad campaign promoting designer jewelry collections to specialty jewelry store buyers. (Those keywords are likely to be: antique, designer jewelry, custom watches for men, crafted jewelry, etc.)

Whatever the campaign-specific keywords are, they should always be placed first … on the Home Page, in Landing Page Headers, in Product Descriptions, in site Meta Tags and Paid Ad Heads.

· First 25 Static Words on the Page. The first 25 words a search spider and web visitor see should include three-to-five top keyword phrases, describing your company’s core product category and level in the product supply chain (retail store, auction reseller, distributor, dropshipper, wholesaler, manufacturer).

Those are the first HTML text strings indexed by search engine spiders. Those keywords immediately follow codes not visible on-screen that set style, formatting, javascript and CSS designs, contained in brackets after the Title opening code.

This First-25-Words position for keyword-rich introductory text on a web page is a simple design guideline that any search indexing software picks up. Keyword-rich introductory text becomes the first 12 words a potential buyer sees highlighted on a list of search results. (A search engine spider harvests the headline in these organic, unpaid search listings; but in paid search ads, the ad client specifies which 8 or 10 keywords will be the search ad “headline.”).

· Beware of Page Designs That Blind Search Spiders. Top-of-page Flash animations. Complex all-graphics pages (see Image Tags, below). Coding the left navigation column (list of links for your site’s inside pages) inside main body HTML codes, rather than isolating it in dynamic or javascript code. Or those Splash Pages that say: Click Here to Enter Site. Here is what the search engine spider “sees” instead of your critical keywords –

What Search Spiders See

· First 15-to-18 Words in META NAME KEYWORDS Field. Another not-visible-on-screen code string, the META NAME field is what search spider’s scan for relevance, matching a search term – womens athletic shoes or iPod shuffle – to your product offerings. The more specific your keyword phrases, the higher your web site will rank on search engine results pages … when combined with other page and content “quality” measures. (Quality Index scoring is a secret formula at big consumer search engines like Google or Yahoo!)

Get META NAME keyword ideas from competitor or industry sites. Go to View in the command line of your browser. Click Source. And note the keywords entered in the code field: META NAME=”keywords” CONTENT=”nnnnnnnnn” . Here are META NAME keywords for a popular shoe and accessories retailer:

META NAME=”keywords” CONTENT=”Millions of men’s shoes, women’s shoes, girl’s shoes, boy’s shoes, handbags, men’s clothing, women’s clothing, Uggs, Nike shoes”

Limit entries to top keywords: Many search engine spider bots truncate scans of META NAME code after 18 text strings. Endless keyword lists don’t count more.

· First on Landing Pages. In online advertising, being sent to a targeted Landing Page wins over being dumped on a Home Page, every time. Online Ads – text or image, search or display ad – have higher rates of conversion to a customer lead or sale if the ad links to a specific inside product page … rather than linking an interested click-thru visitor to a generic home page, requiring a second search to find the specific advertised model or promised discount.

Creating search ads that link to a dedicated inside Landing Page also opens new opportunities to place and repeat critical keywords. Keyword real estate on an ad-driven Landing Page includes: Page Title, Header or Description … First 25 Text Words of the targeted product page … and the unique Title that displays on a page’s browser frame.

2. Keyword All Important Images

Search engine indexing software is not image-literate; it only speaks HTML text. Business-critical keywords should never appear ONLY in graphic images, logotypes or web page background designs. Search spiders don’t “see” them.

A code fix for this search spider image-blindness is inserting descriptions in ALT IMAGE TAGs. Not only does this offer a word label for the subject of the photo or video still-frame, which also makes web pages more accessible to surfers who turn off browser graphics or have disabilities, but ALT IMAGE TAGS offer another placement for important keywords.

Bonus: Specific Image Description Keyword ALT IMAGE TAGS may also get your site indexed on Universal Search Results, search engine results pages that combine Text listings, Video Clips, Photo Galleries, Audio files and Maps into one set of search results.

3. Repeat Keywords to Increase Rank and Returns

The number of times your core keywords appear on a web page is one way search engine indexers measure Relevance (match to searcher requests) and help determine the Ranking or Position your company gets on SERPs, Search Engine Results Pages. Search indexing software calculates this repetition as Keyword Density.

There is a costly difference in site traffic and click-through rates to your site — as well as rates of conversion to prospects, leads or purchasers – between being listed on Page One or Two of search results and ranking on one of the other hundreds of SERP pages. Search User research shows over 85% of consumer and business searchers never look past Page Three results.

Avoid Keyword Spamming. As important as Keyword Density is to a high-traffic web site, repeating core keywords must be done in natural language patterns. (Yes, search spiders can detect ungrammatical or out-of-context repeated keywords, as well as Hidden Keywords coded in the background page color.) Such clumsy repeating is known as KW Spam, which can bring ranking penalties to a web site. No-Spam Keyword Repetitions: Well-written product descriptions and web copy that repeat critical keywords in different sentences and contexts. Repeating core keywords in both Site Links and the Anchor Text that refers the link.

One example of No-Spam Keyword Repeats: The footwear site noted above repeated its most frequently requested brands and shoe categories as top keywords (hold the spam) by listing “Popular Searches” near the top of their home page:

shoes, nike, womens shoes, ugg, uggs, wide shoes, heelys, dansko, keen, the north face, clarks, mbt, frye, snow boots, cowboy boots, new balance, born, stuart weitzman, boots, donald pliner, sandals, clothing, womens boots, leather shoes, mens shoes, mens black shoes, womens black shoes

Another Example: 10th Inning Athletic Equipment, a reseller of new and used sporting goods and fitness equipment, links to a leisure industry trade report showing increased sales of health/fitness equipment for the home market, and interest in reduced-price used team equipment.

Keyword Don’t: (a) Don’t begin every paragraph on the page with the KW Used Sporting Equipment, or (b) Don’t link to the leisure trend report with: Click here to see research.

Keyword Repeat Do: (a) Use variations (stemming) and synonyms for core keywords, such as used sporting equipment, sports equipment reseller, fitness and sports machines; (b) link to the leisure trend report with: See trends in Sale of Used Sports and Fitness Merchandise here.

4. Long Keywords Work with B2B Product Searchers

One much debated topic among online marketing professionals was whether or not long, specific keyword phrases entered by searchers are worth it. Take another look at the “Popular Searches” list under #3, above. It runs the keyword gamut from one-word “shoes” (entered by millions of searchers), to brand names, to multiple keywords that get specific: cowboy boots, womens boots, leather shoes, mens black shoes.

Problem with those multiple-word (Long Tail) keywords is that they don’t pull in high numbers of searchers (potential customers). Are long-tail keywords worth your marketing time?

One answer comes from research into the low-frequency searchers who enter those long keyword phrases into search queries. Turns out they’re serious prospects who are close to making a purchase decision and are most likely sourcing products in the business/industry sector.

When the Tail Is Longer Than the Head. A respected search marketing blogger put it this way when HitWise plotted out 14,000,000 keyword searches for financial services in 2008.

HitWise Long Tail KW Chart

First, the HitWise plot of 14,000,000 search terms: The Top 100 terms pulled 5.7% of all traffic. The Top 1000 terms pulled in 10.6% of all search traffic. The Top 10,000 terms 18.5% of all search traffic.

Second, the analogy from Chris Anderson’s Blog:

“If you had a monopoly over the top 1,000 search terms across all search engines (impossible), you’d still be missing out on 89.4% of all search traffic. There’s so much traffic in the tail it is hard to even comprehend. To illustrate, if search were represented by a tiny lizard with a one-inch head, the tail of that lizard would stretch for 221 miles.”

We didn’t have room to show that keyword long tail stretching over 200 miles. But that’s where nearly 90% of all searchers fell in this study, into specific and multi-word search phrases.

Lower “hits” or frequencies for longer keywords from all search terms entered … Far less competition than for those high frequency, high-cost head keywords … In aggregate, better returns and finer focus on serious, business, ready prospects.

Your financial advisor may have told you to “short” your investment portfolio. But in business search marketing terms, Go Long (tail) on your keywords.

5. Refined Key Words Live At Vertical Search Engines

A common trade publication explanation of the difference between giant consumer-focused search engines (Google, Yahoo!, Microsoft Live Search, Baidu et. al) and specialized industry-profession-interest group search sites, called Vertical Search Engines, uses haystacks and needles.

Large market-dominant search engines excel at indexing a large portion of the world’s online information. Complex web crawling, search spidering and indexing algorithms sort terabytes of information and then deliver it in neat haystacks of organized data. Accessible to all.

But, what about time-pressed business users? What of online searchers in the B2B sectors who are sourcing products, finding suppliers or buyers/sellers, and seek business-critical needles in those haystacks of organized web data?

Enter Industry-specific VSE’s (vertical search engines) who sort through all the irrelevant hay and deliver pinpoint results, trends, information, directory listings and search advertising to their users.

Refining Key Words. One way vertical search engines deliver pinpoint results is by refining key words through human-moderated search systems. Human-moderated search uses the best of both worlds: The best search algorithms, indexing and data capture technology (Super Spider?) with the refinement, judgment and experience of human expert filters to guide the search results.

Human-moderated search systems don’t depend exclusively on algorithms or information-harvesting formulas; they also use “parabolic” search results (big word for applying context and associations) and industry or subject matter human experts to sort through the haystacks before delivering results. One consumer-targeted example of a human-moderated search site is Mahalo.com – where human guides filter and refine what search spiders harvest, and what human users prefer, to return guides on thousands of topics. Mahalo refines topics of interest in the same way the old About.com engine used human editors and guides to answer search questions.

Refined Keywords at Vertical Search Engines. Another example of human-expert-moderated search that merges with industry-focused vertical search is the S.A.S.E. search refinement system used on the JPC network (Top Ten Wholesale, Wholezilla, Off Price Network, WholesaleU), which serves wholesale, manufacturer, discounter and retail buyers and sellers.

S.A.S.E. is the network’s acronym for Synonymous Algorithm Search Enhancer, an abbreviation for merging search indexing technology, plus patterns of wholesale buyer search behaviors, with professional expertise (staffers who worked in wholesaling, chain store buying, surplus and liquidation merchandise fields), to deliver only refined search results to industry users.

An example of S.A.S.E. keyword refinement at vertical search engines on the JPC network is working around common misspellings or word substitutions in search queries (such as hancag for handbag or biker for leather clothing). The S.A.S.E. search refinement system also uses industry experience to re-direct search keywords to Related Product Category listings (such as redirecting sports caps … to … licensed logo hats, bicycle helmets, team insignia apparel and sporting/fitness apparel ). This spares the wholesale product searcher many many search steps.

Any vertical search engine worth its algorithms, pay-per-click ad charges and professional staff will have a mission to deliver refined keywords and search results to its specialized users. Saves time, marketing budget and hassling haystacks.
~~~~~~~~~~~~~~~~~~

This is Part 3 of a Search Marketing Series posted to Top Ten Wholesale Newsroom. For the first two articles in the series, see:

· Part 1 – How Top Sellers Acquire Ready-to-Buy Customers

· Part 2 – Marketing Strategies for Wholesale Buyers and Sellers

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March 16th, 2009

Many of the intended readers of this blog may currently be participating in the ASD/AMD Show in Las Vegas this week (3/15-18).  I wish all of you the greatest success at an event that continues to be critical to general merchandisers in the US and beyond. For those of you interested in developing new business, as you may know already, there is a growing demand for home/gift, general merchandise and new categories by apparel retailers who are looking for that one niche product that will get new customers into the store and allow their apparel lines to sell themselves. Accordingly, our team at the Off Price Specialist Center is launching a new salon area at our August Off Price Show called “HOME.”  HOME @ the Off Price Show is designed to be a home/gift, gen merch and new product “incubator” for apparel retailers looking to add more excitement at their stores. It is a ground level opportunity for vendors in these categories to make a significant impact at the largest and perhaps ONLY Off Price Show in the apparel industry.  Our apparel “jobbers” or off price specialists (the newer, more politically correct term) have become known as heroes to struggling apparel retailers who have found excellent values at our semi-annual trade show – which is the offical Off Price Show of the multi-venue/concept Las Vegas Fashion Week. Home/Gift, Gen Merch / hard goods are not new to the Off Price Show.  My good friend Larry Manus (who is at ASD this week) has been bringing his hard lines to the Off Price Show since its inception in 1995.  “I meet entrepreneurs and savvy retailers who already got the message about the need for diversification.”  His New Jersey-based company, United Auction LLP, has been wildly successful at our show in hard goods, as has St. Louis off price specialist CWC Inventories.  And as long ago as 2003, when I was first involved with the Off Price Show as its outside marketing agent, I met candle and gift vendors in the second last row of the show who were doing cartwheels because they were writing orders like crazy from aggressive retailers looking for new products. Now that I have been more directly involved with the show for the past 5+ years, it doesn’t surprise me that there is a great fit for home/gift and gen merch vendors at Off Price.  Our concept is known to many of our seasoned buyers as “the treasure hunt” because you are sure to find 1-2 new products (not on your pre-show shopping list) that could make your whole season or year.  The show is not arranged by category because of the nature of the off price business.  Our vendors carry either all categories or they specialize in one or two, plus they may come across an opportunity in a new category or product line that they know (based on their years of experience) could be a winner for their retail customers or prospects.  For Home/Gift, Gen Merch and new category vendors, we are making a more centralized HOME salon area to accommodate our largest retailers (who serve on our retail advisory board) who have been begging us for this kind of centralized space so that they can go back to their offices and – mind you they are all CMOs, CEOs and other executive types) tell them about the great values they found in bed & bath, table top, home decor, gift and other non-apparel categories that could be real winners for their chain. I invite all who are interested to contact me at the Off Price Specialist Center at either 262.754.6910 or dbrowne@offpriceshow.com.  I feel that this is an exciting opportunity for these vendors to develop new business that happens right on our show floor.  If you need further assurance, talk to my good friend Jason Prescott, President of JP Communications, whose TopTenWholesale.com is an official sponsor and media partner for the Off Price Show and has been since 2001 (I think).  Jason is a real visionary who’s very big on building bridges online for wholesalers and retailers, and takes advantage of the onsite connections at the Off Price Show to transcend this message across apparel retail lines.  Thanks, Jason, for this wonderful blog and for all the great things you do to support our respective industries.

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January 27th, 2009

            Jacksonville, FL (September 22, 2008)—Robert S. Bryan, Jr. has been appointed as the new Executive Director of Dignity U Wear, the locally-based, national nonprofit that provides brand new clothing to men, women and children in need. The announcement was made by T. Parker McCrary, Chair of the Dignity U Wear Board of Directors.

 

            Bryan comes to Jacksonville and Dignity U Wear from

Raleigh, NC where he served as President of the Eastern North Carolina Chapter of the National Multiple Sclerosis Society for the past five years. For the 12 years prior to that, he held various Administrative positions at

North Carolina State University, including Director of Student Development and Associate Vice Chancellor & Executive Director of the NC State Alumni Association.

 

            “Bob has a strong track record of leadership and has successfully grown the organizations he’s been involved with,” said McCrary. “He has great vision, knows how to develop people and build innovative, efficient organizations. He’s the ideal person to take Dignity U Wear to the next level. As we grow our business, increase sources of funding and generate additional revenue, we will have the ability to expand our reach and help even more people. We have high expectations of what Bob will be able to accomplish.”

 

            Bryan holds a  Bachelor of Arts/Philosophy degree from

North Carolina State and a Master of Arts/Sports Administration degree from

Ohio University.

 

            Dignity U Wear was founded in 2000 and distributes brand new clothing it receives from manufacturers and retailers through a network of 300 recipient nonprofit agencies in 30 states. Nationally, the organization has provided more than 4.4 million pieces, valued at $71 million, to more than 354,000 people. Locally, the organization has donated clothing valued at more than $20 million through 70 Northeast Florida-area nonprofits.

 

            The nonprofit does not receive any city, state or federal government grants or funding; they operate exclusively on private donations from individuals, corporations and private foundations. Volunteers help process 100% of the incoming inventory, providing 95% of the time and labor necessary to accomplish the task.

 

            For more information about Dignity U Wear, visit www.dignityuwear.org or call (904) 636-9455.

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October 24th, 2008

Wholesalers, Retailers, Online Auction Power Sellers and other pioneer members of the Online Direct-Marketing Club, take note.

As little as 5% (five percent!) of Google paid-search ads produce a click-through.

Gian Fulgoni, Chairman
comScore

If the chairman of a major Internet tracking firm like comScore tosses out a statistic like that in front of search conference attendees, then there is little point in comparing Google’s pay-per-click ratios to, say, Yahoo or Microsoft Live Search or Ask.

Fulgoni had his reasons. He wants to yank online marketers away from their “obsession” with direct-marketing measures of success … what Fulgoni called “The Last Click.” Instead, comScore’s chief wants to look at the ignored value of over 80% of search advertising: Latent online and offline results.

In other words: Branding effects of paid-ad search marketing.

This isn’t simply an interesting argument for e-commerce entrepreneurs, who try to improve ROI, hold onto profit margins and maybe survive an economic downturn. In fact, the most consistent tip offered by merchandise sellers who survived every national and regional economic bust in the past 20 years is this: Keep marketing your business brand and image. When the going gets tough, the remaining wholesale, retail and consumer dollars go to trusted brands. No one trusts a brand that hides.

So, what does branding babble have to do with hardworking online buyers and sellers? Here’s what:

1. Because search advertising is still a direct-response medium — measured by click-throughs pulled to your site and, then, converted to sale, purchase order or request for quote — that doesn’t mean paid search has no branding value. Brand value is becoming more important.

2. The bad news is that online buyers and consumers do not separate search ads with a Call to Action from search ads that reinforce business brand awareness or reputation (whether for quality merchandise, on-time delivery, no-hassle refunds).

That’s also the good news. Every search result that lists the business or product name, every display ad button or skyscraper ad on a trade industry web page that features a brand (even if it goes un-clicked that time), every appearance of your brand name has an effect. It may not show up until next time or offline … in a retail store, at a trade show, in a trade publication.

This is called latency; latent results are still results that bring in revenue.

3. Whether the response from a buyer is immediate and direct, or whether it’s latent and time-delayed, brand awareness is bankable, as “trusted” supplier for “brand loyal” customers.

4. Last, according to comScore chair Fulgoni, only 1/3 of online ad spending goes to building brand. But that was last Spring, before the economy went to the top of concern charts. And the forecast is for integration anyway – better measurement of branding results from search advertising and less emphasis on CTR as the be-all and end-all of search advertising.

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September 22nd, 2008

This warning is meant to send a message to would-be petty criminals explaining the prize is never worth the consequence. But, to the retailer, crime does not pay either. When the kid stuffs a DVD in his pants and walks from your store….He is not paying for your merchandise!

In the last few weeks I have spent some time researching shoplifting and the direct impact it has on the retail industry. Retailers, small and large faced with slumping sales due to our current state of economy should probably leave the room before reading any further. 

Retail shoplifting (including employee and vendor theft) costs an estimated $10 billion per year here in the US alone. By contrast, bank robberies net only $25 million, and most bank robbers get caught. It is purely logical to state  when “times are tough” retail shoplifting increases. 

Some anti-theft measures that have been effective in reducing, though not eliminating, shoplifting include: store detectives, exit bag checks, strategically placed mirrors, electronic devices attached to products, locked display cases, closed circuit TV, and more. Simple precautions include maintaining good sight lines from a checkout station to displays of those items most attractive to shoplifters, circulating through the store on a frequent basis greeting customers, and generally being alert to suspicious behaviors.

Do not confront a suspected shoplifter without sufficient cause (check your local laws regarding detaining and charging suspects) and never do it alone – the most pervasive shoplifters are career criminals and should be considered dangerous.

Some retailers feel it’s not even worthwhile having a shoplifter arrested when it’s frequently so difficult to prove an item has actually been intentionally stolen. There’s also the matter of employee time lost in testifying against an accused in court. Moreover, counter-lawsuits against a retailer for false arrest are rife in shoplifting cases.

At the other end of the spectrum, some large retailers enforce a zero-tolerance policy against shoplifting and make it known they will not go easy on shoplifters; they post signs throughout the store, “Shoplifters will be Prosecuted.” 

What loss control measures do you have in place at your retail location?

How much revenue have you lost due to theft?

 

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September 9th, 2008


Some e-retailers have the notion that the absence of brick and mortar anywhere in their operation is reason enough to forgo commercial insurance.

Wrong.

Even in cases where your business consists of a computer in a corner of your bedroom and you store no at-risk inventories of goods, holding commercial insurance is a wise move simply because you do have potential liabilities.

Anyone who sells a good or a service to the public is at risk of being sued for damages. You can be sued for virtually any kind of misstep you might make. For example, if you are selling a doll made in China, you can count on being the target of a lawsuit when inspectors discover lead-based paint on the dolls’ faces, a toxic hazard. You didn’t know it was there, but that’s no defense against litigation and a big dollar judgment against you. Therefore, at minimum, you need product liability insurance for your business. Some retailers even consider it wise to carry umbrella coverage that covers them against a disastrous judgment.

Sellers who do own a brick and mortar establishment need, in addition to product liability coverage, general liability insurance to absorb the costs of such things as accidental falls by customers.

Next, protect your property against damage. If you lease, cover only damages to goods and fixtures you have brought into the building and let the owner cover the structure. However, some retailers who think they are safe by covering loss or damage to their goods and fixtures make the mistake of not thinking about what happens after the disaster. Until the building is rehabbed or you have moved new inventory into a new facility, you have no cash flow. Unless, that is, you have purchased commercial insurance that covers suspended operations.

Other coverages you need to consider depend upon the type of business you run and whether you have employees. There are special policies for franchisers and franchisees, automotive garage operators, restaurant owners, wholesalers, and many other kinds of operations, each of which has its own special risks. Should you have employees, you may want to cover yourself against employee dishonesty; you may also want to, or are legally required to by law, carry workman’s compensation insurance to handle injuries on the job.

Protect what you have worked hard to build by researching Commercial Liability policies, Business Auto and Workers Comp insurance. It is best to find a knowledgeable independent insurance agent who specializes in commercial risk. An independent agent represents several insurance companies, therefor competitive premiums can be offered.

When visiting a local insurance agent be prepared to answer in depth questions about your business including gross sales, projected sales, payroll and your overall business experience. Disclose all information about your business that way your agent can customize a policy to protect your financial future future!

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September 2nd, 2008

What does the term, customer service, mean to you?

Is it just another cost to be deducted from the bottom line?  You can look at it that way or you can consider it a valuable traffic- building tool. Done right, it’s something that keeps the customer satisfied while also making your store a happier place to work.

Customer service is as American as the Fourth of July. The term, “The customer is always right” was invented in the USA. And though that dictum has been tempered to reflect a little more reality, you will find, if you travel the world, that hardly anyone does customer service like the American retailer. In many parts of the globe, it’s still a case of transactions being confrontational and the customer always being wrong.

Customer service means doing things outside the basics of exchanging money for goods and services. It can range from simply greeting each customer with a smile or giving out samples, to hosting a party complete with a band, lavish decorations, and food service, to which all your loyal customers are invited.

One relatively easy thing you can do is eradicate zombie-ism in your operations. Putting one of those automated, menu-driven answering systems on your phone rather than having a real person pick it up during store hours is a sign that zombies have taken over your store. Having your staff greet customers with zombie phrases like  “Did you find everything you were looking for?” (typically without making eye contact) may work the first time, but not the fortieth time the customer has visited. Same goes for “Have a nice day.” Train your staff in how to engage in a real interaction with a customer that could make that customer’s day.

Good customer relations also means not only expecting the occasional complaint, but actually welcoming it. Besides providing valuable feedback that may reveal a systemic problem, a complaint is an opportunity for you to go into action, getting the situation rectified immediately for that customer, and creating great customer relations.

Go out of your way to help the customer and even do something extra to take advantage of your competition’s weaknesses. If a customer buys some hearing aid batteries, offer to replace the old ones. Got a bakery? Supermarkets have to sell boxes of 12 donuts. You can throw an extra donut in the customer’s dozen and keep him coming back.

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August 20th, 2008

Whenever you go into a supermarket or drug store and begin looking over that tub full of DVD’s on sale, you can see that these are generally movie titles that had already done the circuit of theaters, followed by becoming the video rental titles from stores and online. What you may not know is that you’re more than likely looking over merchandise that’s been put there by a rack jobber.

What’s a rack jobber? It’s a wholesaler with a particular niche product who stocks retail outlets with those products but maintains ownership until a sale is made. In essence, those goods are there on consignment. The jobber checks inventory and restocks the shelves on a regular basis. At that time, the retailer pays the wholesaler the wholesale price on the merchandise that has gone out the door, keeping the agreed-upon amount of profit.

What the retailer gets out of this, most importantly, is that he does not pay the wholesale price up front but only after the merchandise is sold. What the wholesaler gets is the ability to maintain what is, in effect, a small retail outlet of his own within a very favorable sales environment , and he does it without having to pay for the real estate taken up by his “store.” He does not have to carry the cost of clerks at his “stores” to process sales; the host retailer provides that.

There is no reason for a store owner or manager to turn you down when you offer to place merchandise free of charge. There is no risk involved for him, therefore it is not hard to get you initial accounts setup. I will caution you in one area and that is shrinkage or theft. Make sure to advise the store owner that he will be invoiced and responsible for those items that are stolen. Theft is an inevitable occurrence when retailing and it will affect your rack jobbing business. 

Multiply your racks over a number of retail outlets, and sales figures will soon mount up – assuming you have a good product suited to rack jobbing and you contract with good host retailers. Once you have a good number of stores setup you will want to service them on a weekly or bi-weekly basis making sure empty displays are filled and slower moving items are replaced with other merchandise. 

Chances are, you’re not going to come up with a new idea for rack jobbing that drug stores or supermarkets haven’t seen; they already handle DVD’s, books, clothing, novelties, and more. But genius ideas for rack jobbing can come from putting two separate ideas together, like dogs and books, for example: Stock books about pets and pet-centered magazines in veterinary offices.

Here are a few more ideas to get you started:

  • Jewelry & watches at hair and nail salons
  • Sell games at liquor stores…Who does not like to play games while drinking?
  • Impulse novelties at convenience stores and gas stations
  • Handbags or purses at apparel stores


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