Business Tips January 2012

Happy New Year everyone

I always post the "How to Work A Show" article just before a CHA Show.
Below is my business tips article from previous years on the subject of working a trade show.

Because the CHA Show is only a few weeks away, I'm posting my CHA Business Tips article a little early this month.That will give you some extra time to do the important preparation in advance of the Show.My Business Tips are Planning the CHA Show and How to work a Show.
Having a successful show is dependant on how well you plan the show. And how well you implement your plan while at the show.I'll be attending the Show to talk to independent store owners like yourself about their business, what problems they might be having and how I can be of service in helping the store owner solve their problems.
My consulting Company, Sandy Woodford Inc. Consulting Services, focuses on working with the independent retailer on solving their problems. You can reach me at 404-788-9502 or email at sandman@mindspring.com. A link to my website http://www.sandywoodford.com/ is on the home page of this blog. I'd love to meet with you at the show or, if you're not attending the show, we can work by phone.
Looking forward to hearing from you.
Planning your CHA Show..
Your first step in planning the show is to determine what kind of OPEN TO BUY you have to spend at the show.You need to do your sales and stock plans for the Spring season( January through July) before you can plan your show purchases.My business tips for May and June 2011 give you some ideas on how to go about planning sales and stocks.Once you've determined how much you can spend at the show it's vital to know where to put the bulk of your open to buy dollars.I firmly believe in the old business adage..You do 80% of your business on 20% of your inventory. Whenever I've tested the 80/20 rule I've found it to be valid.So you need to know what categories or classifications of your inventory make up the 20% that sells so well.Most modern cash register systems have classification keys that you can use to ring the various classifications of merchandise you sell. Be sure you're using them. You need to know what share of your business comes from classifications like cardstock, design paper, tools, rubber stamps etc. Then when you plan your show purchases you'll know where to put your money.Another important thing to know is what vendors you're doing the most business on. You need to allocate your purchases to the vendors that you do the most business with.Some advance planning along those lines will insure that you use your open to buy dollars at CHA for the right merchandise. And use your Open To Buy dollars for January, February and March at the show. The merchandise will not come in all at the same time. And you can take advantage of show specials and deals that will add to your profitability.
How to Work a Show
For as long as I've been doing a Business Tips article for The Collins Group and prior to that Fred Hill Inc., I've always published the How to Work a Show tips just before the major Shows.I'm going to write a condensed version of this article below.The success of any show is dependent on the preparation we do prior to the show.As a Buyer for Macy's Atlanta and other major department stores, I attended many Shows in my career. Whether it was the Housewares Show, The Stationery Show, The Furniture marketor whatever department I was buying at the time, I was always instructed to do a detailed plan of how I was going to spend my time and the Stores money at the show. I was told that the Show was a trip to accomplish specific things that were planned in advance.First I had to analyze my business. I had to know what catagories and vendors I was getting the bulk of my business from. I touched on that above.I had to take advantage of the show specials that were being offered. And where these specials might fit into my promotion plans for the next few months.I was also instructed to be sure I had specific appointments with my key Reps and Vendors.Not just "I'll stop by the booth", but specific times to meet.I'd have to put all of my plans down on paper and review what I had accomplished at the end of each day. I had to list my orders and dollar purchases daily to see where I was in relation to my plans and open to buy.But I was also instructed to look for new interesting and exciting merchandise or new vendors at the show. I had a certain amount of open to buy allocated to this.The above is a simplification of the planning process. But it is vitally important to the success of any business.Look for my CHA Wrap Up on this blog shortly after the CHA Show.
Not going to the Show?
For the last few years more retailers have decided not to attend the CHA Show. I believe this is a big mistake. I know the expense and time involved in attending a show, but it's the only way you can see what is really happening in your industry and how you can take advantage of that.
But if you really can't attend the show you should still use the above business tips to plan your purchases for the show period. Most Reps have appointments made with their customers that don't attend the show for right after the show. Be sure you have your appointments with your key Reps set now. And be sure, when your Rep comes for the appointments that you have done the preparation necesary to have a meaningful and productive appointment.

Hope to see you at the Show.

Sandy
Sandy Woodford Inc.Consulting Services