Sales and Marketing


June 30th, 2008

Shopping with the wife this weekend we found ourselves at Walmart pushing a cart aisle by aisle. While many people are opposed to Walmart’s market share I do find it fascinating that in the face of roughly forty years Walmart has become the worlds largest retailer. I highly recommend reading Sam Walton’s book, “Made in America” as the story of Walmart growth is enough to inspire any entrepreneur.

As we were walking through Walmart shopping for necessities I noticed the tremendous amount of “Private Label” products offered. From Dog food to soda pop the Walmart name is branded on several items in fact through further research I found out that approximately 40% of all items sold in Walmart are private labeled.

What is private labeling?

Private labeling is simply the act of contracting with a manufacturing company to produce your own line of products with your chosen name brand. There are literally hundreds of manufacturers who are willing to produce a single product or complete product line thereby enhancing your business image and strengthening your relationship with your customer base.

Why would you want to private label?

Simply put, There’s no better way to support your store brand than to sell products bearing your store’s name. Your brand can create recognition in your geographic market whether your plans are to market locally, regionally, or nationwide there is a private label solution available.

Some examples of the more popular products which are private labeled include lotions, skin care products, cosmetics, perfumes, jewelry, apparel, home décor, snack foods, candy and coffee.

Here are a few examples of private label manufacturers who deal in small quantities:

Grafton Cosmetics – offers dedicated sales advisors who will walk you through the very necessary steps to guarantee that the development of your brand meets your business goals and your marketing strategies. Grafton Cosmetics offers a total private label solution from graphic label design to product manufacturing. Based in Florida - toll free 800-662-5387

Mister Snacks - offers dozens of snack lines for small to large retail stores, regional distributors, large supermarket chains, cruise lines, colleges, promotional campaigns and everything you can imagine. Let their creative artists help you design the look you want or you can provide your own logo. Based in New York 716-691-1500

Style Source Inc - Private label apparel manufacturer offering dresses, skirts, tanks, wraps, sarongs, pet apparel, maternity apparel and dozens more. Able to provide specific size ratios, labeling, packaging and many other value added services. Based out of North Carolina 910-399-2288

Autocrat - In business since 1895 retailers can develop a partnership with Autocrat’s private label coffee program.. Autocrat offers selling support that is committed to championing your growing business with package design, brochure assistance and growth incentives. Based in Rhode Island 800-288-6272

Nutricap Labs Offers private label solutions for the supplement / vitamin industry which will offer the ability for your business to build brand loyalty among your customers. Superior products at the most competitive prices offering cutting edge label printing and packaging design services. Based in New York 800-494-6154

Companies listed above are a sampling of manufacturers who are ready to produce your products under your business name.

For more information the Wholesale private label industry offers an annual trade show which is coming up August 16-18th in Chicago. More information can be found at the PLMA website or by calling PLMA direct at PLMA 212-972-3131

Private Label Fun Fact - Walmart’s, “Ol Roy” dry dog food is the Nations second best selling behind Purina. “Ol Roy” is exclusively manufactured by Mars, Inc., owner of Pedigree, Sheba and Whiskas pet foods. Ok, maybe not necessarily fun…But interesting-

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June 17th, 2008

Never underestimate the fashion buzz and eye-grabbing power of a celebrity’s fashion, accessories and footwear designs.

Famous faces of films, TV and music don’t always have what it takes to design women’s strappy sandals, sundresses, casual dresses good enough for work or weekend knock-around capri pants and T-shirts. But they sure do attract attention, copycat clothes and media. These days, celebrity designer lines also come at ALL price points … not just up-market and high-priced lines.

Sarah Jessica Parker’s Bitten. Sex sells; Sex In the City sells even better to fans of the TV show (now a major film) in which Sarah Jessica Parker plays New York City fashionista and lonely hearts advisor Carrie Bradshaw. Most unexpected was the price-point and retail chain through which SJP decided to market her very own Sex In the City women’s wear style — the Bitten brand. All those puffy skirt and fitted bodice sundresses, sophisticated cut-off pants, midriff T-shirts and the shoes. Oh, those shoes! (Parker held onto her high-priced Manolos from the TV show wardrobe mistress for SIX years.) Sarah Jessica Parker negotiated in-store boutiques for her Bitten design line with Steve and Barry’s – the young and casual retail chain known for cut-rate logo T-shirts and discount priced tween, teen and 20-something clothing. All part of Parker’s ethic: On A Budget But With Style.

Rental Designer Handbags are another buzz point where art (Sex In the City film) imitates life. If you see the film, listen for Carrie Bradshaw’s on-a-budget assistant who points to her designer handbag and says, “It’s mine till Tuesday, baby.” One such rented chic site is BegBorrowOrSteal-dot-com.

Amanda Bynes Goes “dear.” Another star-powered fashion line called “dear” distributes through youth apparel, shopping mall-sited Steve and Barry’s, noted above. Amanda Bynes developed her “dear” line with lots of horizontally-striped, plunge-necked, push-up sleeve sweaters, in school bus yellows and robin’s egg blues. Bynes stays en-“dear”-ed by black, stretch leggings (the Spandex look but looser) and high, black stiletto heeled shoes.

Lohan Likes Black Leggings, Too. The Lohan line, called 6126, for reasons we cannot divine, hit stores in June 2008. Her stretchy black long leggings feature slit or zipped cuffs to fit over very high strappy heels.

The Cruz Sisters do it Shapely. Star Penelope Cruz with sister Monica built their MNG line of women’s wear for the huge Spanish chain store Mango. Think Vintage Clothing based on the vintage styles pulled from Las Hermanas Cruz wardrobe – satiny dress fabrics; stretchy jersey-like fabrics for sleeveless unitards, and a simple skimmer dress with beadwork at the scooped neckline. Oh … and black. Lotsa black.

Bubble Skirts Times Two.J-Lo, Jennifer Lopez, and Teen Vogue designer turned fashion designer in her own Lauren Conrad Collection, both feature Bubble Dresses. Whether strapless or slung over one shoulder, these celebrity bubble dresses are short hemmed, poofy and either shirred or drawn in over the hips. Jennifer Lopez features hers in “Just Sweet,” which targets a higher-priced line of women’s clothing. (The bubble silhouette doesn’t mix with weight-loss wannabes; skinnies only.)

Natalie Portman Does it With Attitude. Actress Portman is well known for her vegan and animal-lover lifestyle, from home furnishings (no rainforest mahogany or leather couches) to fashion. No surprise that Portman designed the Te Casan line, featuring very high, spindly-heeled, open-toed, cross over the toes sandals. Bright colors. Leather free. Te Casan is billed as “cruelty-free footwear.”

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June 7th, 2008

 

Everyone can relate to the seeing a movie and walking away either ready to cry or put on a cape and save the world. Those of you that are old enough to remember the movie “Rocky” with Sylvester Stallone will understand what I am talking about.

Spending money can be a real emotional experience for many people.  When shoppers buy based upon an emotional feeling they will spend more money.

Ok, for fear I am loosing some of you lets look at some examples of emotional spending:

Buying a new car - Taking that test drive…ah that new car smell, the acceleration and the fact that you look very cool in a new ride! Pure emotion. The dealership shark salesperson understands that if you are involved emotionally…a sale will take place. You will hear him say things like, “How did it FEEL driving down the freeway” or “Wait until your friends see you in this ride!”

Buying an engagement ring - This very act has emotion written all over it. The buyer will typically experience FEAR that if a large enough diamond is not purchased the receiver will not feel LOVED. When love is involved, money is never an issue….right?

The above examples are large purchases and may be a bit extreme, but emotional spending occurs with smaller purchases as well. If you have a retail store of any size you should use the power of emotion to increase sales and cash flow.

“Ok, makes sense…how do I implement this emotional marketing in my store?”

I am so glad you asked…

Retail advertising phrases like, “Inventory Reduction” or “Final Markdown” create a sense of urgency and emotion in retail shoppers. Combine this emotional advertising  with products at a great price and watch your sales go through the roof!

 

Large Big-Box retailers will heavily advertise extreme discounts to bring shoppers through the front door. I have been in large department stores and watched the sales staff open new cartons and cases of merchandise that is already marked “clearance”.

Did you catch that? Here it is again…new retail merchandise already marked down before it hits the shelf!  Why? Consumers want  to feel as though they are saving money. Happy shoppers spend more!

I would suggest that you maintain a particular area in your store for Liquidation merchandise…ongoing. People love to save or feel like they are saving money!

I like the phrase: emotional retail marketing…as a retailer you should as well. Appeal to the emotional side of your customer base offering products at unheard of pricing and your average sales ticket per customer will increase.

When ordering inventory plan on ordering merchandise to liquidate as apart of a liquidation promotion. Ask your wholesaler if they are “closing out” any merchandise or better yet find a wholesale liquidation company to start buying from. Bring merchandise into your store with the intent to liquidate it. Wholesale liquidators specializes in selling name brand closeout merchandise at a fraction of the original retail and/or wholesale price!

Sourcing merchandise from a liquidator allows you, the retailer, to stock your clearance shelves with fast selling, low priced merchandise. Make it a habit to buy merchandise on a regular basis and hold “Final Markdown” sales events.

Get emotional!

Your customers will love shopping at your store!

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May 10th, 2008

Is there any good news in $4.00 per gallon gasoline, higher food prices and rising unemployment among free-spending teens?

Yes! Bargain Stores, Second-Hand Clothing Outlets, Off-Price Discount Stores and even … gasp … sewing and make-your-own Bling advice, targeted to teens, are now considered v. cool.

Tween-Teen belt-tightening is unmistakable: Retailers who target teens – like American Eagle, Tween Brands, Inc. and its Limited Too — have seen up to four consecutive months of sales declines (says UBS-International Council of Shopping Centers). Fewer teens remain in the part-time workforce over the past 14 months, squeezing out C-note Coach wristlet handbags and $80 jeans from Abercrombie & Fitch and pre-distressed surfer hoodies with brand new Brand Hollister price tags. Even Teen Food Staples – pizza, potato chips – cost more of youths’ dwindling discretionary dollars.

Opportunity knocks for off-price and bargain apparel traders!!! Now it’s cool to be frugal, including:

    • Get ready for another Grunge Fest? Maybe not. Economists state the current spending slump is the worst since the early 1990s … and it slumps all the way through the family, as budget-conscious parents cut unlimited text-message services, allowances and frivolous shopping.The previous big 1990s slump birthed the Grunge Look – torn clothing, flannel shirts, ripped stockings and that Je ne sais quoi touch of Gothica. Even with a sinking economy (teen hiring dropped 13% in the early 1990s vs. a 5% hiring slump this past year), no one thinks fashion will go Grunge during this cycle. Keep stocking that economical Bling: DIY beads, rhinestones; Metallic-thread shoulder wraps and scarves; Oversized handbags that double as beach totes and book bags; Off-price jewelry and accessories.
  • Buffalo Exchange, a chain of second-hand clothing stores based in Tucson Arizona that operates throughout the west and central California, says business is surging. Because teens can trade in jeans and apparel at Buffalo, shoppers are still buying top brands like Banana Republic and Juicy Couture. The brand-name threads are simply “recycled” and cost a fraction of regular price at Buffalo X.
  • Off-pricing and low-pricing still works. Another tween favorite, Aeropostale, sells jeans to teens for 30% less than look-alikes at Abercrombie & Fitch … and is thriving during this downturn. Teens are re-branding their shopping hangouts from higher-priced Hollister to lower-priced Target; and they’re shifting from pricey Pacific Sunwear of CA demo stores to thriftier knock-offs at H&M and Steve & Barry’s.

  • Even if the prices aren’t bargain basement, a “thrift-store ambience” keeps frugal Teens loyal. Or, so say trend experts who look at Urban Outfitters and Anthropologie brands, which are staying afloat in the economic storm when they only look like thrift stores.
  • For anyone who thought free-spending Teens would never, ever cut up credit cards, pinch dollars till George yelps or turn to sewing machines, get this: the teen-targeted spin-off of women’s Elle Magazine (called Ellegirl.com) launched videos titled, “Self-Made Girl.” It’s all about making clothes, crafting accessories like a prom clutch bag, and altering what’s already in the closet to look more stylish or fit better.

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April 25th, 2008

Mother’s Day 2008 is two weeks away: day of last-minute flowers, candy and Mom Bling jewelry.

Dollar Stores and merchandise resellers already took shipment of their Mother’s Day gift inventory. Online search advertisers – Keyworded Mother’s Day; Mom’s Day; Jewelry for Mom; Flowers for Mom – are just launching their mid-May holiday Mom-marketing campaigns.

Here are some online and in-store merchandising/display tips:

Cross-Reference Mom Stuff. It is good enuf for specialty retailers, like Jo-Ann Fabrics; Cook Books headlined in Barnes & Noble or Borders emailings; and local Scrapbooking and Crafts groups featured on Meet-Up, Gather and other social link-up sites. Then, it is good enuf for Dollar Stores and general merchandise retailers to copy, too.

  • Put themed Mother’s Day displays, banners and signs over categories of merchandise: Crafts and Handicraft Items; Scrapbooks and Miniatures; Glue Guns and Glitters; Remaindered Cook Books; Specialty Cookware (cake decorating utensils; piping bags; nonpareils and silver “Jimmies”); Party Favors, Paperware, Festive Holiday Cupcake Liners and Cake Molds.
  • Post See Also :: Mom Also Likes cross-reference signage and web links to: Beach Totes, Flip Flops, Sun Parasols and Beach Reading Paperback Books. To Grapevine Wreaths, Wicker Baskets and Artificial Flower aisles. And to In-Home Spa Products such as Body Wash, Bubble Bath, Scrubs, Moisturizers, Nature Sprays, Manicure Sets, Nail Polishes, Nail Transfers or Charms, Candles and Incense, and Personal Care Products.

Leave a Breadcrumb Trail to Mom Gifts. Whether you are looking to pull online clicks to a web site or eyeballs to a brick-and-mortar display, make a trail to the Mom Merchandise easy to follow.

· Use the same icon, colors, posters and headlines for Mother’s Day Gift Suggestions … whatever the category or aisle. (See above.)

· Then “silo” on the web site, or stock on the shelves, all Mom-targeted gift items. Count on serendipity: Searchers and shoppers may have an idea of what they want to buy for Mom; but seeing other suggested gift items nearby may help them refine their gift. It also helps cross-sell and up-sell higher revenue sales … like personalized, homemade gift baskets.

Make Mom a Headliner. All the Mother’s Day-themed greeting cards, helium party balloons, singing eCards, party banners, gift wrapping and flowers (fresh and fake) rotate to the front of the inventory, or top of the web landing page. And help out The Indecisive Shopper: If you sell Gift Cards, offer Mother’s Day themed or wrapped Gift Cards to give Mom freedom of choice.

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April 2nd, 2008

So, a few months ago, I promised Shawn Saba from US Style, Inc. that we would consider letting him write a guest post here and sharing his knowledge with all our readers. I never got around to posting it and he called me today saying I’d better put this up before he and Sam came down to San Diego and kick my butt back to Connecticut. Just kidding…I think I can take them anyways so their threats were falling on deaf ears ;) But seriously, ApparelUS.com is one of the leading online resources for great deals on wholesale fashion and we welcome the knowledge of experts like Shawn any day. Shawn, I should have gotten this up back in Feb. but thanks for your work.

Shawn writes:

Every four years we add one extra day in the month of February in order to
re-synchronize our calendar with the seasons. This year, 2008, is a leap
year, which makes it the perfect opportunity to re-synchronize your clothing
collection with current fashion sense. Because fashions are sometimes as
fickle as the changing weather patterns, it‚s important to update your
clothing inventory periodically. There‚s no better or more economical way to
do that than by shopping wholesale online.


Wholesale clothing shopping online allows you to shop for and buy the
hottest new fashion designs at a fraction of their retail price. Shopping at
online wholesalers cuts out the middlemen, which allows you can spend as
little as possible. The less you pay wholesale, the more you profit in the
end. Another great thing about wholesale clothing shopping is that the
fashions are constantly being updated, so you can always choose from the
most contemporary styles.

When you purchase wholesale clothing, you can afford to completely redo your
clothing collection to fit with the modern fashion landscape. Many of the
newest fashion trends can be found at Apparelus.com, the best source for
wholesale clothing and accessories on the Internet. They offer their
customers a wide range of top-quality clothing and accessories at steeply
discounted prices. With exclusive contracts from many of the hottest
designers and manufacturers in the market, Apparelus.com always has the best
wholesale prices.

Apparelus.com has thousands of different clothing pieces you can choose
from. Their departments include tops, pants, dresses, skirts, jackets and
more. They even have hundreds of accessories like shoes, handbags,
sunglasses, belts and jewelry. No matter what style of clothing or
accessories you‚re after, you‚ll probably find it for pennies on the dollar
in their extensive collection. You‚ll be amazed to see that the unit prices
for most of their clothing items are just several dollars when they could
easily be sold for 5 times more. So, visit Apparelus.com to take advantage
of this once in a leap year opportunity to do yourself a big favor and give
your clothing collection a total overhaul. Your bottom line will thank you.

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March 25th, 2008

It is no secret that rising gold prices made for a difficult jewelry holiday season. We listed in this blog in December how to keyword cope with gold prices that surged from $550 USD per ounce to $850 in three months. Tips included featuring prices in jewelry ads to move lower-priced, in-inventory), and looking to high-demand jewelry holidays (Valentine’s Day, Mother’s Day) to promote Buy Now Before the Price Increases ad messages for gold jewelry items.

$850 per ounce gold was the Good News. Now, near the end of 1stQuarter 2008, with the subprime mortgage lending crisis and decline of the U.S. dollar against currencies from Euro to Yen, gold tops $1,000 per ounce. The Trends Research Institute marked acceleration in overall wholesale costs to 7.4 percent in Jan 2008 (biggest jump since 1981) and the dollar’s slide against the euro and 6 other currencies to its lowest level since 1973 … ironically, the year Richard Nixon disconnected U.S. currency from the gold standard. This trends research institute predicted gold prices rising to $2,000 per ounce, a prediction made in Nov 2007!

So, what’s a jewelry wholesaler or retailer to do? Climb under the covers? Do weekly fire sales? Or gringe about the good ole days? Maybe not …


Hi-Ho Silver. In February, on reading December’s WholesaleU keywording tips to cope with rising gold prices, a BBJ Bangkok commenter said: “Yes, it was a holiday season that saw wholesale jewelry orders saddled with more silver orders.” And “wholesale gold jewelry will be out of the limelight for some time, (so) buyers might shift to silver jewelry.” BBJ Bangkok qualified the “saddled” as a positive, at least in Asian producer markets. Wholesale silver jewelry at the production end works on higher volume to hit the same margins as the gold trade, or employment boon for developing Asian countries who produce wholesale jewelry.

Trendy Bail-Out. Some fashion sources are predicting a trend for cocktail rings and costume jewelry that is heavy on non-precious metal components: Heavy seed pearl (faux pearl or semi-precious stone) overlays … shaped as flowers; mini enamel or cloisonné charms soldered into designs. For bargain-seekers – under $50 – who demand precious metal in their jewelry, gold- and silver-overlays are squeezing into price points.

Bling Accessories. Remember when DIY (Do It Yourself) became all the rage for home renovators? The increase in home self-renovations came with runaway prices in the real estate bubble. If you can’t sell, or can’t afford to buy at bubble-inflated prices, then you feather the existing nest. While waiting out the run up in gold (it may be a while), you might market other Bling to complete trendy looks, including accessories like designer and licensed scarves; handbags that triple as totes, beach bags and carry-alls; rhinestone and jeweled sweater wraps and glittery belts.

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December 17th, 2007

Fashion industry trade shows are the best destinations for buyers and retailers to source apparel and accessories in all categories and price ranges, with total immersion in upcoming trends and one-on-one access to the broadest reach of media, advertisers and online marketers in the trade.

Entering the final stretch of holiday gift sales — transacted by wholesalers, buyers and sellers by late last summer — it is time to plan for big trade shows in the next two months. These regional and national shows set the mood for urban safari cruise wear, khaki and wheat and neutral tones, the next leisure wear trends and the hottest priced off-price fashion lots.

We’ve even listed a mid-winter Snow Sports Show, a January 08 fashion show that follows up on New York Fashion Week of October 07, and an industry site where you can find smaller, or more specialized, or closer-to-home-base fashion trade shows. Start networking!


New York

Shows overlapping in the Big Apple from January 2 through January 18 include the NY Women’s Apparel Show, Fashion Avenue Market Expo, The Accessories Show and Moda Manhattan. From February 1 through 8, NYC hosts Just Kidstuff and the New York International Gift Fair. From January 6 to 8, New York presents the Designers & Agents Fashion Trade Show focusing on contemporary and young designer women’s sportswear, shoes, accessories and lifestyle clothing. (D & A heads to Los Angeles on January 11.)

Midwest

Chicago Shoe Expo is scheduled January 3 and 4; the Michigan Shoe Market is staged in Livonia from January 6 to 7. Los Angeles Designers & Agents Fashion Trade Show focusing on contemporary and young designer women’s sportswear, shoes, accessories and lifestyle clothing sets up in L.A. from January 11 through 13.

Las Vegas

Between February 10 and 14, Las Vegas hosts an overlapping series of trade shows, starting with Off Price Specialist Show opening February 10 (Men’s and Women’s apparel and accessories), extending to The Kids Show, ASAP Global Sourcing Show and Women’s Wear in Nevada beginning February 11.

Sponsored by the SnowSports Industry Association of America, and open only to the trade, the SIA SnowSports Trade Show opens in Las Vegas from January 29 to February 1. Billed as the largest snow sports trade event, this show presents nearly 1000 brands to a network of 20,000 industry professionals focused on the snow sports industry and the “family business” of snow.

Find a Fashion Trade Show Near You and Network

If you’re closer to trade shows in Munich or Berlin, if you find Billings, Montana more convenient, or if a specialty event like “Start Your Own Clothing and Accessories Company” seminar (Atlanta on February 2, 2008) is of interest, check this fashion trade show calendar site:

Infomat: http://www.infomat.com/calendar/infsi0000164.html

Sort through fashion trade shows all over the world by month and by city.

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November 30th, 2007

As the high price of gold ripples through holiday jewelry sales, there is still some glitter to be mined in segmenting jewelry keywords, descriptions and ad copy.

First, the bad news: Precious metals prices on world markets started jumping in August, when an ounce of gold went from $680 to almost $850. Gold currently hovers around $800 an ounce. Although the precious metals stock tickers rise and fall in daily dances, the daily market swings don’t affect current jewelry inventory at the wholesale or retail store levels.

But that $200-per-ounce jump from just one quarter ago has increased price tags on the heavy gold chains and necklaces that are perennial gift list favorites this time of year, pricing some golden gifts out of Santa’s Stockings. Existing inventories of reliable wedding jewelry have been re-priced also, putting the squeeze on brides, grooms and wedding planners who are not likely to show up on “Bridezillas” or other unreality TV shows featuring multimillion dollar wedding bashes.

PEOPLE STILL BUY THE BLING

Higher priced gold has crossed some gold jewelry off holiday shopping lists, confirmed by a quick survey of major jewelry retailers and wholesalers from Manhattan’s Diamond District to Chicago’s Magnificent Mile. The good news is that some shoppers don’t care; others know gold prices may go even higher tomorrow, based on oil price and inflation jitters. Some jewelry shoppers refuse precious metals substitutes, even without knowing that replacement platinum ran up about the same $200 increase as gold since mid-August 2007.

Then, there’s the All That Glitters motive, which for some customers means it has got to be gold.

TARGETING AND SEGMENTING THE GOLD MARKET

KEYWORDS: luxury jewelry, luxury gold jewelry.
Targets of luxury goods — however marketers have defined the demographics of well-to-do, wealthy, carriage trade, upper crust or Top One-Half of One Percent Bracket — don’t stop buying gold jewelry at $800 per ounce. Status quo ante.

KEYWORDS: affordable wedding bands, wedding jewelry discounts, budget bands of gold.
Future brides and grooms do not cross gold off their shopping lists, but they do work on budget. Wedding band shoppers are doing more comparison shopping this season: buying smaller rings, searching on and offline for deals and even resorting to Big Box department stores and retailers who can shave prices with bulk, national purchasing power.

KEYWORDS: gold jewelry under $PRICE.
Smaller jewelry retailers are feeling the pinch from $800 per ounce gold, as shoppers in the middle range ($500 to $1,000) simply cross it off their lists after budgeting higher priced gasoline, heating oil and food costs. Some jewelry retailers encounter an impassable $1,000 ceiling among gold hunters who will buy in the $500 to $600 range. Jewelry marketers who still have inventory from pre-surge August price jumps might move it off the shelves at good margins by focusing on price in paid-ad and SEO listed titles.

KEYWORDS: Valentine gold jewelry, gold for Mother’s Day.
High water marks for jewelry sales tend toward the next holidays, Valentine’s Day and Mother’s Day. While some customers are waiting out the price surge in gold, no one can predict if it will stabilize at the current $800 per ounce, much less drop back to the $650 range, due to global jitters over oil prices which started the price run. Priming the marketing pump in advance of the next jewelry-buying holidays — Buy now while gold is still $000 — might be a good strategy by reason of timing, seasonality and cutting through end-of-year holiday clutter.

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November 7th, 2007

This is the story of an ugly, beloved shoe.

We ran an item in September on back-to-school gear, mainly targeting retailers of backpacks and book bags. In addition to the hottest (messenger bags) and the most colorful (Victoria Secret’s Pink line backpacks), we included some health and safety cautions.

Parents were being advised to watch size and weight distribution to avoid straining young backs and spines of students who carry book bags that are too heavy, or that weigh down only one imbalanced shoulder, regardless of “la moda.”

There were September footnotes on Crocs — the multi-colored clogs made of a special material that is pliable and bacteria-resistant. Crocs had become the rage among adults and kids since they debuted in 2002. School systems debated whether or not Crocs were safe for school footwear. Though Crocs offer better foot support than sneakers or sandals, students were advised to keep them off during activities (they fit loosely and come off); and everyone assumed Crocs would be tucked away for winter weather.

Just a month into the school year, Crocs cropped up again. Litigation-conscious school systems banned the comfort shoes as a safety hazard (tripping, toe injuries, escalator and stair trip-and-falls). Some public schools put colorful Croc clogs off the acceptable lists – along with wheeled roller sneakers, sandals and flip flops — as violating stricter dress codes that required closed heel and toe footwear. Schoolyard bans on beloved Crocs shoes spouted many tears in those first few weeks of the academic year; I saw the “Everybody wears them!” tantrums from my nieces.

Crocs roared back in investment news this past week: After tripling its stock price in 2007, investors drove down Croc stock 34%. Market watchers yelled “passing fad” and “past peak fashion.”

But it appears Crocs are biting back. (1) The stock drop may be a normal seasonal drop in what is considered summer footwear anyway. (2) Some retail fashion analysts said Crocs has developed its own category of footwear, outgrowing any charges of short-term fashion fad, and that the funny looking shoes are a victim of success. Worldwide demand for Crocs outstripped manufacturing supply (6.8 million pairs per month); but with the summer season demand over in the U.S., Crocs can build its inventory for the world market and for warm weather 2008.

(3) Then, there’s that Croc-wearing loyalty factor: Moms who think the school-wear bans on Crocs are “a crock” say they’re easy to clean and safe, if kids get the right size. Even those who claim Crocs are “funny looking” or “fashion challenged” admit that everyone loves their comfort clogs. School systems who banned Crocs from the Dress Code had to add: Teachers, too. One high school principal in Alabama helped with separation anxiety after a Crocs school ban by setting up a memorial celebration. That is footwear loyalty.

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