A number of sources report that the closing of Toys ‘R’ Us has left billions of sales dollars out there just waiting to be captured. Is this category an opportunity for your holiday business? Let’s take a look.

If you already carry toys take a long hard look at your past few years holiday sales. Consider the % of sales those dollars represent to total holiday sales. If the numbers suggest you have a business you might want to go after an increase here.

First evaluate your assortment, inventory, on order and open to buy. Do you have the bases covered from stocking stuffers to grander offerings?

Do you have enough stock to create an enticing well-displayed Toy department or a carefully curated outpost? Can you pre-wrap some of these offerings for a quick grab and go? Make it festive and easy for your customer.

Don’t try to compete with the big guys, especially on price, but be aware that the top toy trend this year is an extension to last year with animatronic toys high on the list of desirables. Three to look into according to BlackFriday.com are:

1. Fingerlings (especially full size). They have introduced a unicorn to their smaller collection.
2. LOL Surprise offers a LOL Surprise Horse Ride and a Pet series that includes a pony.
3. Hatchimals offer a colleggtibles option that includes a ponette pony with wings.

A group of each could make a great gift outpost as noted above. Let your customers know you have them and sell away. You’ll save your customer a special and stressful trip to the big box. Add free giftwrap (maybe free delivery too) and you are a lifesaver.

Consider a special pre-store promotion for your loyalty customers before you place them on the floor. Offer phone or online orders, free giftwrap and delivery and you just may sell out.
If you don’t really do toys, you may consider adding them this year. Consider the trend above and see if this might be the beginning of a winning holiday category for you.

​Need help?  Contact: Anne Cecil, ONO made in the 191, onomadeinthe191@gmail.com

Holidays are going to be here before you know it. One of the best ways to differentiate your store and encourage local shopping is to offer free gift-wrapping. This services sets you apart from the big stores that either don’t offer or charge for the service. While you can certainly do this all year, Holiday is the time to shine – literally.
 
Here’s how to leverage this tool effectively.
 
First, hire people who wrap beautifully. This really is an art. It is important to hire people who enjoy the process and demonstrate attention to detail. Hire them now, train them and get them practicing.
 
Next, create a Wrap Station. This can become a key visual in your holiday program. Create 3-5 “packages and feature them on the wall above the station. Keep the station active and the activity will attract your customers.
 
Involve you customers in the wrapping experience.  Offer gift-wrapping lessons. Include some DIY opportunities to make your own wrapping paper or decorations. Don’t forget to show how to be creative with ribbon. Present ideas that use unexpected materials. Offer ideas for re-using materials after the holiday.
 
Wrap for a cause. Offer customers the opportunity to donate for the wrap and then donate the dollars collected to a local charity.
 
Down time at the station? Have your team pre - wrap popular gift items for grab and go display.
 
Be Cost Effective with your materials.
 Order gift-wrap, gift bags and gift boxes in a neutral metallic - copper, bronze, gold, silver & pewter are all good choices.
 
For a green alter­native consider brown paper for each.
 
Select a neutral tissue in cream.
 
Select one or two neutral color ribbons, raffia, or twine.
 
What’s left over from the holiday will work throughout the year.
 
How Much should you buy?
 A 24”x85’ roll wraps 40-50 gifts. A 24”x417’ counter roll wraps 175-200 gifts.

Need help?  Contact: Anne Cecil, ONO made in the 191, onomadeinthe191@gmail.com

As we head into the end of summer, I’m reflecting back on the beginning. I spend significant time in a shore town where every dollar in season is necessary for profitability. Summer IS Holiday.
Where I live the season is Memorial Day through Labor Day, but in reality, the season really gets going on the 4th of July. It’s been this way in this place since I was born and that’s a notable amount of time.

​Let me share a short story with you about this past 4th of July weekend. I went to my favorite restaurant for drinks and snacks. This restaurant is one of 3 run by a family that knows how to do experience. They have been successful in my town since the 1920’s.

I walked up to a steadily busy bar to a space that was just vacated by a customer. I was unsure if the customer had cashed out and left, or had perhaps just gone to the restroom. One bartender was training another while I was standing right in front of them. I tried to catch an eye. They actively avoided me. I waited a bit longer to be recognized. They kept on with training. I promptly walked away. I haven’t been back once since. Keep in mind I spend about $70 a visit and generally go about 5 times a season, often bringing friends. At a minimum they lost out on $350. Not much maybe, but also consider they lost out on my friend’s spend and they have no idea how many people I’ve shared this poor experience with and influenced them to avoid this place.

Let’s consider this experience in terms of the one thing an independent has over every other retailer – the opportunity for excellent customer service. The time to have staff on their best game is in your Holiday Season. Hire them early. Work out the bugs before the height of the season hits. Oh and let’s make sure the customer comes first and is acknowledged upon arrival.

If this was my staff, I would not have a trainee on a shift at the height of prime time on a holiday weekend and even if I did, I would make it absolutely clear to my employees that customers come first. The appropriate way to deal with the situation above is for the experienced bar tender to stop the training, greet and settle the customer and then return to training.
Research suggests that the need for holiday help will exceed the pool for holiday help this year. All accounts say it will be a competitive market with the prospective employee getting multiple offers. Determine your needs now! Hire NOW! TRAIN NOW! You control this part of your business completely. If you fail it’s on YOU.

​Need help?  Contact: Anne Cecil, ONO made in the 191, onomadeinthe191@gmail.com

1. Did you meet your PO$? 
Did you write enough orders to reach your Open To Buy plan? This number should include the dollar amount you wrote last year + your planned growth. If you are below this number, get down to writing immediately and get those orders in. You MUST have the merchandise on your floor to sell it.
Are there any vendors you did not see this year? Make sure to reach out to any vendors you currently do business with that you did not order from at the show. Get your order in now to insure the vendor can deliver.
List any outstanding orders or follow ups required.

2. Did you meet your goal for new partnerships? 
One of the most important things to do at a Trade show is to acquire new vendor partners. Establishing relationships with 2-3 new vendors each show is key to sales growth.  New product from a new vendor creates a good reason for your customers to come check out your store.
If you didn’t meet your goal, get your vendor information out and target 3-5 new potential partnerships. Reach out and connect NOW!

3. Did you meet your cash & carry goal?
Cash & Carry give you new stock for immediate presentation in store. Promotional pricing, no shipping charges. It’s instant gratification!  
Consider featuring cash & carry prominently in your store and promoting it via social media to get customers in the door. If you didn’t get any, call your vendor partners and find out what you can get quickly to create a customer draw.

4. Did you meet your holiday goals?
The show is a time to build out and finalize items for holiday. Did you write 2-3 orders for holiday items? If you didn’t make sure you do.
Schedule follow-up items in your calendar now! You’ll be turning your attention to holiday if you haven’t already. Don’t miss out on these 4 opportunities to set your store for success in Q4 and beyond.

​Need help?  Contact: Anne Cecil, ONO made in the 191, onomadeinthe191@gmail.com

A huge part of retail success is having the right product in the right place at the right time for the right price. There’s nothing more upsetting than being out of stock when a customer is ready to buy. My last post has you working on your inventory system so let’s take a deeper dive into Inventory Turn.
Inventory Turnover tells you how many times during a specific period you sell and replace (turnover) your inventory. It tells you if you are over or under stocked. Controlling your inventory turnover helps you keep your shelves stocked so you don’t miss sales. It keeps the cash flowing. In general a higher turn indicates merchandise is moving and business is good.
In general you will need to have 25-45% more items in inventory that you would need to meet your sales goal. For example, if you need to sell 10 hoof picks to meet your hoof pick sales goal this month, you will need to have 25-45% more hoof picks (roughly 13 - 15 total hoof picks) to meet this goal.

You can calculate your inventory turn by total company (all stores if you have multiple locations), individual store, category, brand and/or item. Depending on what you want to know you can select one of these calculations or a group.

Inventory Turnover = COGS (cost of goods sold)/Average Inventory
COGS = Beginning Inventory + Purchases – Ending Inventory (NOTE: Use wholesale costs plus any shipping and handling you have paid. Subtract any cost of lost, stolen on unsalable items.)
Average Inventory = Beginning Inventory + Ending Inventory/2

Days Inventory Held = Days in the Accounting Period/Inventory Turnover Ratio
Here’s an easy example for a store in a 30-day period using the following figures:
Beginning Inventory: $10,000
Ending Inventory: $20,000
Additional Purchases: $50,000
Days in period: 30

COGS: 10,000 + 50,000 – 20,000 = 40,000

Average Inventory: 10,000 + 20,000/2 = 15,000

Inventory Turnover Ratio: 40,000/15,000 = 2.67

Average Days held in Inventory: 30/2.67 = 11.24
With these numbers, you have an inventory turnover ratio of 2.67 and are holding your inventory for about 11 days.
Let’s see what happens when we increase our Additional Purchases to $70,000

COGS: 10,000 + 70,000 – 20,000 = 60,000
Average Inventory: 10,000 + 20,000/2 = 15,000
Inventory Turnover Ratio: 60,000/15,000 = 4
Average Days held in Inventory: 30/4 = 7.5
You can see the higher inventory rate decreases the average number of days that items are in store, ie. you are selling items faster.
Let’s also take a look at the simple hoof pick example from above using these numbers:

Beginning Inventory: $50 (10 picks @ $5/ea.)
Ending Inventory: $15 (3 picks @ $5/ea.)
Additional Purchases: $25 (5 picks @ $5/ea) NOTE  - Assume you have purchased 45% more than you need which is 14.5, or rounded up 5 more picks to sell 10.
Days in period: 30
COGS: 50 + 25 – 15 = 60
Average Inventory: 50 + 15/2 = 32.50
Inventory Turnover Ratio: 60/32.50 = 1.8
Average Days held in Inventory: 30/1.8 = 16.66 or 17 days

​Knowing how quickly you are selling individual key items will allow you to order enough stock and keep the deliveries on track to make sure you always have them in stock.
Happy turning!
Need help with Inventory Turnover?  Contact: Anne Cecil, ONO made in the 191, onomadeinthe191@gmail.com