Amazing Training Tool!

I recently purchased The Flip, an amazingly tiny video recorder. Not only is it small, it is incredibly user-friendly and the ability to incorporate this relatively inexpensive and easy-to-use tool as a trainer is invaluable!

Even a true beginner can use this, and create videos in minutes. The Flip plugs directly into your computer's USB port. I got the mino HD which would even allow you to directly connect the The Flip to a television that you have set up in an office area or training room! No brain damage on figuring out wires, how to connect the video to a computer or tv. So easy, I CAN DO IT!

Here are just a couple of tips on how to use the Flip Video to improve and impact how you train your team on a daily basis:

Create a short video (you get 60 minutes of recording time, so that is more than plenty!) on a how-to that is important to your business. You could easily video tape an associate building an endcap, for example. You can show how to merchandise it, how to label and sign it, how to select an impactful aisle presentation, etc. You can easily edit, add some music, and run on a continuous loop in a break room, play for team huddles, play for one-on-ones and play for new associates.

The next time your District Manager or Regional Manager, or any corporate partners visit your store, ask them if you could record a special message for your team. So often, a team works incredibly hard for a store visit, but only a select few may be part of the visit itself. This way, your leadership can provide a message for all of your team to view and listen to. They can share what the focus is, help drive the company message and impart some tips or insight to your team.

You can tape your walks with your executives and then edit and play back those discussions and to-do strategies. Your team can see what you are focusing on, what needs to be improved, and what the team is already doing very well. Furthermore, it can become a follow-up tool, reminding your executives what they signed up to accomplish and what your expectations are.

You can tape fun messages, team building events, team parties, and more. Drive morale by showing your team that while they must work hard to get results, hard work can be fun as well! I can tell you from my experience, my team loved it when I was silly. Doing "Cartwheels for Credit", dressing up as a hula dancer for a special Luau...to capture those moments for your team to enjoy (and tease you about!) for months to create bright and joyful moments for a hard-working team!

One strong suggestion, however: make sure that you have permission of those that you are taping, and you may need to partner with HR to ensure that they are aware of how you are using this recorder as a tool to build morale, send an impactful message to your team and to continue to drive results in a challenging economy.

Want more information? Click on this image and you can explore how The Flip Video recorder can be a fantastic training tool for your organization!

A Plea to Retailers and Small Business Owners: Do Not Neglect Training

This is a challenging time for retailers and other small business owners who depend upon an associate base with keen product knowledge and customer service skills. Many continue to cut labor costs in an effort to keep the doors open, and I know how tough those choices are. I was in retail management during recessionary periods, and experienced first hand the layoffs, the cutbacks and the need to reduce costs to boost profits. I have been with retailers in the best of times and still experienced massive changes to streamline operations. However, when the economic outlook is shaky at best, bleak at the very worst, these cutbacks hit associates and manager far more deeply as there are simply fewer job opportunities for them to turn to.

With that said, I offer the following advice: Do not neglect training, this is a necessary labor expense. It may seem painful upfront, but the investment is crucial to staying competitive and profitable in the long run.

Exhibit #1: I recently shopped at a national big box retailer. In the course of the transaction, the cashier was unable to process part of the transaction and had to get a supervisor involved. While waiting (with many others behind me in line) and watching a frustrated cashier get flustered, I told her, "It is okay. Everyone has been new once in their career". Her response? "I am not new, I have been working here for almost 4 months. They just did not give me much training". I told her to simply delete the item in question (which was a big ticket item for which I had a special coupon) and continue with the transaction.

Exhibit #2: I also recently was shopping with a major electronics chain. In looking at laptops to get ideas for a present, I asked an associate to describe the difference between a few of the laptops on display. The associate walked up to the signs and read off the descriptions. I told them that I had already done that. I asked for some additional specific information, and he said that he was "kinda new" and would have to ask someone else. I waited almost ten minutes, another associate showed up and asked me if I was the lady "confused about the laptops". Confused? No. In need of more information, yes. This associate then began to read off the product information from the same signs. I walked out.

Two simple shopping outings proved the point that if you skimp on training and you "assume" that they will pick it up when you throw them onto the sales floor you are wrong. You will alienate customers, you will lose precious sales, you drive down morale, you will negatively impact your ability to compete and survive in an ever-changing economy and retail environment. Here are the top reasons why you need to continue to invest in training, teaching your associates your expectations, your corporate culture, product knowledge and how to best assist your customers:

1. Corporations and small businesses alike are cutting back on staff, tasking fewer people to do more. However, in these times there is still turnover and businesses have opportunity to fill open positions. When businesses do bring new people into the organization, all too often it is a rush to get them in position, get them in their job function as quickly as possible as labor is precious and there are many tasks to juggle. However, without thorough training do they truly know and understand their new responsibilities? Morale takes a huge hit when associates feel that they are doing things that they cannot do well, and other associates get frustrated when they have to pick up the slack for those who cannot perform.

2. Cross-train your associates NOW to avoid the issues that arise when labor is cut and associates are even laid off. Invest the time in these associates upfront to ensure that they understand the new tasks that may be expected of them. Get ahead of the curve and get your staff as proficient as possible in a variety of work centers. Even simpler still: sit down with each one and ASK them what they would like to learn in the store or business. They will surprise you when you find how truly hungry they may be to learn and develop. Associates are pretty savvy, they know that this is a tough job market and they will know that the more you depend upon them and their skills, the more likely they are to maintain that highly-valued employment.

3. Technology is going to continue to change and you will need to train your associates to be proficient with the new technology. This may include training on product knowledge, this may include training associates how to deal with new computer systems and other technology that they will use to make their jobs easier. When new items hit the sales floor, have daily huddles by that product. The morning crew, afternoon crew and evening crew can learn in a few minutes of your time what that new item is, what it does, how to sell it to a customer. When new technology arrives take the time to train each associate, set up training buddies and do not assume that they will "learn it on the job". They may not, and that technology investment is wasted in an associate base that works around the technology instead of enhancing their ability to perform with that technology!

4. Investing in your associates makes their job outlook more stable in an environment in which they may have a great deal of stress in their personal lives impacting their job performance. If you invest in training them, they will feel valued and contribute at a higher level. If you train them on how to improve their organizational skills, interpersonal skills, communication skills and even conflict management, these will be skills that will help them across the board when they have to juggle stress in both their professional and personal lives. As an employer you have the ability to inspire your associates through training and development in ways that will carry over into all aspects of their lives.

Training often only takes a few minutes of each day. Every minutes is precious, and as managers and owners you juggle huge responsibilities and demands on your time. However, investing those few minutes, even a few hours a week will pay off immensely as you are able to maximize sales and profits with a team that is knowledgeable, engaged and productive.

Retailers using text, Twitter and more technology to get your sales!

Shoppers of the world, get your cellphones and laptops ready!

This season, more and more retailers are getting tech savvy and reaching out to their customers, and potential customers using social media and cellphones. This is going to be a challenging retail season, and retailers will be battling it out for your shrinking discretionary income.


Retailers are using Twitter to communicate special sales and exclusive offers. Twitter allows users to send short messages to a tech-savvy audience. For anyone who is on Twitter knows, it becomes quite addictive, and retailers will be keen to tap into that addiction with frequent updates on sales, special events, and custom offers for their Twitter followers! Even I Twitter, follow me at http://twitter.com/KellyAlvarez!


Retailers also use other social media sites to attract shoppers and keep them updated. Target has a Facebook page, featuring exclusive Target offers and access to special games and music. As of this blog post, they are offering a free ringtone of Christina Aguilera's new song, "Keep Gettin' Better". All you need to do is text "FREE" Target at 827438.


Speaking of text messaging, retailers are also using text messages to contact customers about sale events, special instore events and customized offers. I get text updates from a handful of retailers, and I also get coupons texted to me for savings at my favorite grocery store. I receive Amazon.com text messages that update me on their "daily deals".

JC Penney's is offering text messages that inform their customers about holiday shopping tips. No doubt those are JC Penney specific shopping tips! Even cooler...you can now text an order to Sears and they will text you back when it is ready for pickup, and from which store you can pick up your items. Consumer beware: know your texting plans and rates for your cell carrier. However, this can be a great way to hone in on savings if you are willing (and able!) to act quickly on that text message! Not to mention saving yourself a trip to the mall to buy that one item you know you want and need!

Customer Rewards Program, Ralph's Gets It!

I know that for many of us in the retail world, Customer Rewards programs are really pretty much old news. For years, retailers of all sorts have had a variety of ways to address their top shoppers via loyalty cards, coupons and special savings for credit cards holders, and other methods. Even small boutiques get in on the customer rewards by tracking customers via software programs, creating email opt-in lists, etc.


I have to share a recent personal experience with one of the best customer reward programs I have ever been involved in, however. I have a Ralph's (Krogers, NYSE:KR)Rewards Card. A few months ago, they relaunched their card to include a new reward system of Bonus Points. In the past, depending upon a certain spending level, I could get coupons that printed with my receipt to save .03, .05 or .10 cents on each gallon of gasoline purchased when I visited the Ralph's gas station. I would often not run out on small grocery runs and instead wait until I knew I had a larger enough transaction to get the larger savings on my fuel purchases! I occastionally got coupons from them as well, but often they were throw-aways, they just did not seem to be coupons that I needed, brands I was not loyal to, or random products that I simply would never want to purchase.


With the new rewards program, I now also earn points each quarter that go toward a savings voucher. I earn $5 for the first 500 points, then another $1 for each additional 100 points. Recently, for the last quarter, I received a $24 voucher! And, all along, they have maintained the fuel program as well, and I can simply scan my rewards card at the pump to get my savings instead of having to clip any coupons. So awesome!

I recently spent that $24 voucher, and I felt like a total rock star! People in line behind me asked me about the voucher, asked the cashier about the voucher, one customer even signed up for a card as they were finishing up my transaction! Overall, I actually saved over $87 total on the shopping trip because of another stroke of Ralph's reward card genius: targeted product coupons.


Ralph's had also sent along with the voucher a set of targeted product coupons for products that they have clearly tracked on my rewards card as items I frequently purchase. I know that they are specific to my card as my fiance received a set of coupons linked to his account, and they were completely different, and grouped to his frequent purchases.


Ralph's is truly all about helping their customers save money during a recessionary period, and capturing a variety of purchases, both driving volume and margin: in-store, pharmacy and from their gas stations. You can even to go Ralph's and set up an account on their website to create shopping lists, link to other sites that offer coupons, and even link up your lists to available coupons! I also linked my card to my son's elementary school, a tie-in that Target has been doing for years with their guests.

Customer Reward Programs like what Ralph's is creating for their customers is truly remarkable. I have changed my grocery shopping habits in only a matter of a few weeks to focus my shopping on a grocery store that has the brands I like, great prices, a great rewards program and one that makes me feel like more than just a "number" or a random customer...with the purchase specific coupons, it makes me feel like they know what I like and are helping me save money in a way that makes me feel special.


If you want customers like ME to change THEIR shopping habits in a matter of weeks, make them feel special. Gear your savings and rewards programs in ways that are specific, unique, and grab your customer's attention. The more you make your customer feel that you are connecting to them, their needs, their desires, the more likely they are to reward YOU with their discretionary spending!

Why Training is key to Retail Success

I have been in retail management for over 15 years, in both strong economies and recessionary economies. When times are good, it is easy to get teams on cruise control and be complacent about sales and profits. However, when economic times get tough, too many managers struggle with sales, margins, retention and more.


Training in tough times is as important, if not more important, than training your team during the flush times. If you did not invest in training when you had more labor, more associates and more time to manage the training, you must instill the disciplines now to train your team for success during this upcoming recessionary economy.


Train your team to be a mean, lean team of salespeople, even if that is not your current culture. Access your team's ability to upsell, to understand the product that surrounds them on the salesfloor, and to ensure that they understand the benefits of any protection/insurance type plans that you have to help the consumer protect their purchases. A recent example: I bought my son a rather expensive bike on behalf of my parents for his birthday. One of the first things that the associate told me was, "You may want to look at a protection plan. This is a large investment, and I would hate to see you spend a lot of money on any potential repairs or tune-ups." She went on to tell me with a protection plan, I would get many repairs covered at no additional charge, and one free tune-up. Okay, where do I sign? She personalized it, "I would hate to see you spend too much money". She said it genuinely, and I totally connected to her sales message. Would your associates know how to do that?


She did, as she is a well-trained associate. She sold me a protection plan by letting me know that I can spend one set amount now, or pay many painfully large amounts as my son rides his bike and the bike ensures the (ab)normal wear and tear of a nine-year-old boy! This suggestive selling is key to upgrading a customer into a different price and definitely a much more attractive margin level. Suggestive selling shows the customer that you are thinking of them, their investment, how to maintain their investment and their long-term content and happiness with the product that they are buying from you.


Train your team to be productive in several functions throughout the store, throughout the business. Often, we have associates that do one thing extremely well, we have them do that for us all of the time, and when they call in sick...well, how does that now get done? My challenge to my team has always been, "If they can do that function extremely well, let's find out what else they can do even better!". Cross-training will be key as labor budgets shrink and you are tasked to do more with less. Cross-trained teams are often the happiness teams, associates get the hours that they want, they feel productive and content with their work, and managers are more successful in managing the multitude of tasks they are challenged with every day.


Train your team to remember that the customer is king (or queen!). I cannot stress this enough. Every day, there should be a huddle or two of your opening, mid and closing associates to remind them of one single thought: "The customer signs your paycheck". You and your management team need to show the way by greeting customers, asking if they need any assistance, engaging your customers in dialogue. Train your team to LISTEN to your customers, empower them to REACT to that feedback. If a customer sees you connect to their concern and fix it, that customer will come back. If a customer does not even get greeted, they will take their precious dollars to your competition. It is that simple. I will drive a ridiculous distance to go to a retailer or service provider that listens to me.


FUN TIP: I used to walk the salesfloor with a tablet of the tiny smiley face stickers that you can get at Staples, or any other office store. I would give my associate a small sticker for every time I saw them greeting a customer, talking to a customer, taking them to what they are looking for. I would ask them to post their stickers on a huge poster board that had every associate's name on it in the breakroom. The associate that had the most stickers by the end of the week would get special kudos in team meetings. The associate with the most by the end of the month would get lunch with me, or they could be Store Manager for a day, the weekend off of their choice, or I would have them as my "VIP" associate that would walk with me when my District Manager visited. Rewards do not need to be splashy or expensive. The greatest reward your team truly desires (besides their paycheck, of course!): your validation of their hard work, your satisfaction with their job well done, your acknowledgement of how they have fulfilled the expectations you put forth.


Now, go train your team! If you still think that you cannot afford the time or energy to train them, you will really not be able to afford how your business suffers when your competition DOES effectively train THEIR teams!

K. A. Mace Jewelry Consignment Series Continues!

For those of you who have been following my series on consignment, thank you for your wonderful input, experiences and feedback! And, yes, I am continuing on, for those of you out there who have emailed me asking for the series to continue!


Next up...How does the boutique/retailer market YOU and YOUR MERCHANDISE?

Yes, even on consignment, this is a great question to ask a boutique/retailer. And, of course, you have your side of the marketing equation to cover as well. Here are some great ideas that you can share with the buyer/owner to drive your sales, and truly the overall sales of that boutique!


Will they work with you on a trunk show, or special in-store event? Many boutiques LOVE trunk shows! YOU show up with inventory, THEY sell it, you BOTH profit. They do not take the risk on the inventory, and you get to sell your goods to their customer base, plus those you invite. The best way to do this is to ask the boutique if they have a mailing list or email list that you can communicate with.

You can very easily, and inexpensively, produce great postcards to announce your trunk show to their customers, and your own that may be in that city. Often, the boutique will even split the cost of the postcards, and/or the postage as they are driving traffic as well. I highly recommend Overnight Prints or Modern Postcard. They are both very, very easy to work with, you can easily upload graphics and information and design your own postcard, and they arrive in literally days!


You can also create a professional enewsletter or e-vite for their email list, combining it with your email list as well. Ensure that you are capturing all emails from your website, and you can easily create an opt-in box on your website or blog to ensure that anyone who visits gets the opportunity to join your email list. You can also use Constant Contact, iContact and other online services that help you create mailing lists and have wonderful templates to create e-newsletters.

Some boutiques will also enter into co-op advertising with their designers. In this case, you will pay a small amount to be included in a print or online ad with your business name, possibly even a piece of your jewelry, included in the ad. Please note, being that it is "co-op" you have to remember that other designers may also be involved in this advertising. I have found this to be really beneficial when it comes to the major jewelry-selling holidays only, however. Mother's Day, Valentine's Day, and the Holidays are perfect times to partner with a retailer on such an ad. I would steer clear of other times of the year, unless they are having a special Anniversary Sale or another type of meaningful sales event that is specific to that community. For example, is there a major local parade or holiday that brings a lot of traffic and tourists to the area?


Also, do they market and sale off of their website? This is a wonderful way to basically enter into not so much of a "consignment" relationship, but a "drop ship" arrangement. The difference? Well, with consignment, you do run the risk of jewelry being lost, stolen, broken, sold and accidently credited to another artist, etc. With a drop ship arrangement, they put images of your work on their website, item description, price and when they receive an order, the alert you and YOU actually fulfill that order. They may ask you to send to them, and they send out to the customer. They may require you to directly ship to the customer yourself. Either way, make sure that you understand their expectation for shipping methods, packing, invoicing, and insurance. All of that the customer will pay for, however, understanding those expectations is key to a successful drop ship relationship.

If you are going to be featured on their website, inquire about how they market the designers. Is there a "Designer of the Month", "Spotlight Designer"? Do they market special gemstones for special events, like "Gemstone of the Month" or "Birthstone Specials"? Bring some ideas to the table for the boutique, you just might find your jewelry, your art, on their homepage! Blog about your jewelry and products on their website, send the link to your email list, and make sure that the entire world knows that they can buy YOUR jewelry on THEIR website! The more traffic, the more sales!


One caveat: Ensure you understand their expectation of the artists they feature on their website. They will most likely ask you to not have those same items on your website or blog for sale, unless you are solely directing that traffic to them.

One key tip: Developing a relationship with the staff is truly key. They are selling your product day in and day out. Ask if you can have some time to meet with their sales staff to present the key selling points of your work. Drop in, introduce yourself, ask if they have any questions, and thank them for their hard work. Some boutiques will allow you to give small gifts to their associates; I often provided jewelry for them to wear. It became an inexpensive way to encourage that associate to sell even more of your jewelry! Just check first, they may have conflict of interest policies for their associates.


Love the rings featured? Go to K. A. Mace Jewelry to view more of the K. A. Mace Jewelry Ring Collection and many more designs!

K. A. Mace Jewelry Consignment Series Continued!

Thanks again, to everyone who has contacted me with such positive feedback on my consignment series. I appreciate that input, and would love to hear how this information may have assisted you, or if there are other questions or concerns that you may have about consigning your jewelry or art.

I have added a SAMPLE SALE and DESTASH items to my Etsy shop. Please stop by to check out some incredible pieces at fantastic prices! Tourmalines, garnets, lots of handmade treasures abound! Just click here: K. A. Mace Jewelry Etsy

The next questions are intended to help you understand how they are going to prioritize and merchandise your product to their customers. This are important questions, as product placement and merchandising is they key to solid sales. Think about how grocery stores put impulse goods at the checkout lanes, or how department stores create displays of the newest trends and designer labels. You, too, need to concern yourself with the visibility of your work so that you can maximize sales and turnover. That is how you will build a long-term relationship with a boutique or gallery!


Does this boutique/gallery/retailer also buy goods at wholesale? If so, what is their wholesale vs. consignment percentage? Many boutiques and galleries do some combination of both.

Why is this important? Simple: If the owner has bought wholesale goods, these items are in their inventory and they OWN them. They have to turn those goods quickly to ensure that they can pay for the goods in the terms that they have negotiated (for example, some retailers get 30 day terms, so they will do everything in their power to sell those goods so they can freely and easily pay that invoice when it comes due in 30 days!) So, they may display the wholesale goods at the front of the store, in the window, in the display areas around the registers, etc.

Does this mean that you are stuck in a back corner? Of course not, and you definitely will not be if you show an interest in merchandising and demonstrate to the owner/manager that you are a savvy artist who deserves and warrants great product placement! After all, the squeaky wheel gets the grease, and there are professional and impressive ways to ensure that you do get a great display area!

Ask them how they determine what they buy at wholesale and what they consign. Most likely, they will tell you that they consign new artists (unproven in sales and turnover!) and they buy wholesale from artists that they either have an ongoing relationship with, or an artist that is branded and known in that category (proven in sales and turnover!). If you want to have a long=term wholesale relationship with this boutique or gallery, you know that you have to prove that your product will sell!


So, know you know what their wholesale/consignment percentage is, here are some additional follow up questions that will assist you in proving to them that you are a savvy businessperson and ensure that you do maximize sales:

Where do they envision merchandising your product? Maybe they will offer a great space to you, regardless of what their wholesale/consignment mix may be. Sometimes boutiques will showcase new designers or new collections as it helps them stay fresh and current for returning customers. If you are in the boutique or gallery, ask to see the display area or display case that they are proposing. Are you happy with that site in the store?

Do you have to use their displays? Can you use your own “props” to enhance the displays? I was once featured in a boutique where they would simply lay my necklaces down in black velvet-lined cases. While that sounds fancy, the presenation was really lacking, and I was not selling well. I asked if I could bring in some of my black displayers (purchased from Fetpak), she approved them, we remerchandised my jewelry and within two weeks my collection was SOLD.

I also had some of my shell and beach glass jewelry in a boutique in Orange County. The owner scattered small shells and a bit of sand at the bottom of the display case and my entire collection sold through. That visual image is important. While your work on its own can be gorgeous, little details like that help the customer connect to your work and the message of your work.



Do they have any kind of calendar or other way to rotate artists into their main display spots, and can you be included in that rotation? To be in the front window of a boutique on a main shopping street can be great for sales. The displays around the registers are a hot spot, displays close to mirrors are also prime. Those kinds of locations can be prime real estate in the retail world, and you should not be shy to ask for placement in those locations.

Do they allow you to come in and help merchandise your goods? If you offer your help to merchandise the goods, they save labor and they may just give you some hot space in return for your commitment to assist them! Trust me, in today's retail world, labor is one hot commodity. If you offer to assist a boutique owner or manager, they will deeply appreciate it. I have often assisted with merchandising, and it does pay off in where you are located in the store, how much attention they give to your product and how you are able to connect to that owner/manager.

More consignment questions to come! Thanks, and as always, your comments are welcome! Feel free to email me at kelly@kamacejewelry.com with any questions as well!

K. A. Mace Consignment Series Continues!

The next big question in the K. A. Mace Jewelry Consigment Series:

Who determines the retail price? How is it determined? Do they have a set markup?

These are key questions, as it gives you insight into their pricing structure. You also want to make sure that you are protecting the value of your goods, although that is rarely an issue. By that I mean that you do not want them to be "low balling" retail prices that could erode your brand as well as detract from how you may be retailing your product for if you also sell from your website or another website.


Who determines the retail price is really up to how the boutique/gallery does business. I would estimate that about 1/2 of the time, they asked me to assign a retail price, the other 1/2 of the time they would determine the retail price. If I were asked to assign the pricing, I would make sure that I walked them through my wholesale pricing and my markup structure. I would make them partners in that process, as sometimes they would have input on the pricing that would be very helpful. For example, they know when they have more tourist traffic, which can boost retail prices. They may have special events in their area that drive up retail pricing as well, like fairs or festivals that bring a great deal of traffic to their boutique and can drive sales and margin.

If they have a set markup, that makes it pretty easy for you to know what your pricing will be! No brainer! Again, if it seems a bit low to you, you can certainly voice your challenge. It may be that they have a lower overhead than you imagined, or they simply know what pricing will work for their customer base. Your expectations will need to match what the outcome is, however. If you truly have a gut feel that the pricing will be too high, you may find that your product does not sell as well as you had hoped. If you truly feel that the pricing is too low, you may have to adjust pricing on other websites, creating a lot of work for you, and a long term evaluation what that margin erosion will do to your overall business. You might just find that that is not going to be the right boutique/gallery for you based off of what will occur with pricing.


If you do find that the pricing structure works, it is a great idea to invoice them with your wholesale, and then document either your "retail" price on the invoice, or their "retail" with the markup that they provide to you. Ask them if they pay to that invoiced retail price. Why???

Do they put the goods on sale (common in the jewelry business!) and are you notified if your product is put on any kind of promotional sale?

With regard to sales, promotions, etc. I have learned from the jewelry industry that product is marked up to be marked down! So, when I have been told what the retail prices would be, early on, I had stars in my eyes! I was going to make what??? Only to find out that they had all jewelry on sale for Valentine’s Day, or another sales event. In consignment, you typically get a percentage of the SELLING PRICE. That is not the RETAIL PRICE in all cases. Make sure that you understand that, how you invoice the retail price can make all of the difference. Clarify this upfront and you will save yourself a lot of confusion, misunderstanding, disappointment and accounting/bookkeeping nightmares!

Do they want you to retail your product for the same price that they are selling it for? This is very common in today’s world where we are retailing our own product; we are selling through other websites (like www.Etsy.com or www.iCraft.com ) and using other methods to sell our goods. This is something that you will have to decide for yourself, and what works for your business plan. Just know this upfront, they can easily “Google” you and find out if and how you are retailing your work, so if you are selling at a lower price, they may sever the relationship. It will make no sense for you to undercut your own retailers!


For me, candidly, the first couple of consignment deals that I made actually helped me to find my own retail prices! For too long I was the one that was pricing my jewelry too low, and not truly understanding what the market could and would bear! Yes, I had done a lot of research, but pricing is something that is a bit of a trial and error process for many designers/artists. You want to use certain benchmarks, but often, I was benchmarking established designers using similar gemstones and metals. In part, you have to take out the fact that an established brand can command more at retail. However, interestingly, I had to factor in my workmanship that was often lacking in the competition. For example, I handknot my necklaces, and found that the competition was often stringing the pearls and/or gemstones. So...figuring out their "mark up" for their established brand but "mark down" for less workmanship...well, you can easily see how difficult it is to price your designs in an accurate way so they will sell, and you are profitable!

Please feel free to contact me at kelly@kamacejewelry.com for more questions about consignment. As always, comments are appreciated!

Consignment, Continued!

First of all, sorry for neglecting this series regarding consignment. I have received really positive emails from fellow jewelry designers and other artists stating that this series has really helped them to learn a great deal about consigment and how it "really" works!

I have been just a wee bit busy with a new (non-jewelry!) project, Jet-Chef.com! Jet-Chef.com is an innovative directory of caterers, personal chefs, florists, and other vendors who can provide inflight catering and services to private jet owners and jet charter industry! Go to the Jet-Chef blog to check out more information!


Furthermore, I want to take a moment to brag a bit...

One of my blog posts is featured in the Summer 2008 issue of Artful Blogging! Yup! On the "Buzz" page, page 3 in the issue. I am so proud! This publication is so amazing and so inspiring (and not just because one of my posts is featured!). This is a magazine that reads like a highend, ultra expensive coffee table books! Go to www.stampington.com for more info on ordering Artful Blogging!


Enough about me...Moving on to Consignment, and the Big Questions!

First Big Question: Does this boutique/retailer have a consignment contract?

I typically ask this before the first meeting, and if they have one, I ask if they can scan or fax a copy of it to me prior to our meeting. Sometimes, they will say it is proprietary and they only share that with the artists that they consign with. That is fine. Just remember, the more details that they are willing to share up front with you, the more likely it is a professional retailer with whom you want to do business.

If they provide a copy to you at the meeting, ask to read through it with the owner/manager. This is pretty standard practice, and hopefully you have set up enough appointment time to do this. If not, let them know that you will need to review it when you get home before you make any decisions. If any retailer is troubled by this request, that can be a question mark. Having the chance to read it quickly through with the owner/manager gives you both the opportunity to clear up any questions or concerns on the spot.


Remember, this is your opportunity to make sure that their terms meet your expectations. Yes, you want to sell your product, yes it feels amazing to be recognized and have your work validated in this manner. But, you have to make sure that it is a solid business, that they are flexible and understanding of your desire to get all of the facts. Truly, top notch retailers will respect you MORE for asking these questions and being involved, they will recognize you as not only an artist, but also a business person.

Not all terms may be negotiable. They may tell you the contract is the contract, period. Does that fit your goals and needs? Again, the sense of urgency to get your product and artwork into the retail marketplace is only known truly by you. You may feel that your desire to get your "foot in the door" outweighs your desire to be flexible. There is nothing wrong with agreeing to their terms, as long as you truly do understand them and are willing to live up to those terms!

So, what do you do if they do not have a contract? You can bring a copy of a contract that you have created, and discuss those terms with them. Feel free to contact me at kelly@kamacejewelry.com if you have any questions or would like to see a sample contract. You should have a contract, or this series of questions and suggestions with you for your meeting, as a back up plan.

This is always a great reason to have a laptop or mobile device upon which you could have a copy of a contract that you would like to propose to them to use for your consignment arrangement. That could be immediately emailed to them, and even printed during the meeting for review.


You can always create after the meeting your own "working contract". Throughout the meeting you should have been taking notes and keeping track of what you and the owner/manager agreed upon. After you get home, you can recap what has been discussed. Tell the owner/manager that you would like to send them an email or snail mail copy of your notes for their review. Request that they initial or sign the notes, as this will be your "working contract". Type it up with two initial fields at the lead of each bulletpoint. Initial one set, and they will see that as a good faith effort on your behalf to also commit to what they had told you were their expectation!


Bottom line, if the boutique does not have a contract, you do not have a contract, and they do not want to sign any kind of recap...then what???
I would suggest that you continue on your search for another boutique/retailer. That is solely my suggestion, but one that I know would have been a handly concept for people that I know that entered into consigment agreements with just a friendly handshake. Obviously if you know the owner/manager well, he/she is a neighbor, in your carpool, go to your church, or is your brother or sister-in-law...that is one thing! But the bottom line is that you need to protect your brand, the investment in your inventory and your sanity with some form of written agreement.

Next question in the series...How about some references???

Consignment, continued!

I wanted to start this next installment with a warm thanks to the great response that I have received to the first posting about consignment. I received many wonderful comments and emails thanking me for this information and asking me to continue with this informative series. I love to share my experience and knowledge with others, and if any of this information assists you, please let me know. I would love to share that with other readers, and highlight your business successes on this blog!

Interesting side note: I have been in contact with boutiques interested in my jewelry, including some with whom I have done wholesale business in the past. With the current state of the economy, many smaller boutiques are taking a much more careful and cautious approach to how they manage their inventory and are incorporating CONSIGNMENT into their inventory plan. This is a business practice that may just be growing, and one that we as artists will need to understand and embrace to continue to drive our sales and exposure!

Here is the next installment in the Consignment series...Meeting with the Boutique! Please note that this series is also being posted on my K. A. Mace Jewelry Blog. Next installment: The First of the "BIG QUESTIONS"!



The Meeting! (drumroll, please...)

When you have a meeting scheduled, be prepared. You have every right to negotiate as much as the retailer does! I know many artists who have felt that it is up the retailer to set the terms, and they put their art and their livelihood in the hands of that retailer. That is pretty naïve, and I have heard nightmare stories come out of such arrangements. You are also in control, remember, it is your product that will make them a profit! This should be a two way conversation!

Come prepared with the following:

Samples. Bring as many as you can, with a strong representation of your work, the colors/gemstones/mediums you work in and with the variety of techniques that you may incorporate into your work. Make sure that they are professionally presented, I have heard horror stories about necklaces tangled in bags, earrings that are mismatched...not the impression you want to leave! Fetpak and other suppliers have wonderful sample cases, roll bags, portfolios, and other clever ways of keeping your samples safe and well-presented.

With jewelry, it is great to show them on displayers, if you can bring some along. It can also really showcase the jewelry if you have velvet or leather mats to lay the pieces on. It also shows the care that you take with your product, and that it is truly special.

Put the jewelry on, invite them to try it on. Jewelry is a visceral sale, and when people try on jewelry they are much more likely to buy it, including boutique owners and managers! Do you have a friend who would be willing to be a model for you? Bring them along, and have them help showcase your work!

A portfolio of your work. This could include digital pictures, postcards or catalogs you have printed. If you are featured in blogs, have screen prints, or screen prints from being highlighted or featured on other websites. If you have been featured in any print advertising, editorials or articles, this is a great way to showcase the newspaper or magazine articles. Yes, this is your opportunity to "brag", and this is a professional way to do so! A nice portfolio is a strong impression!

A new way to showcase your work is to incorporate one of the digital frames that you can plug in and have pictures of your work (and even music) scrolling across the frame. Upload your favorite pictures, set it to flash from picture to picture at the time interval that you set, and some offer you the ability to add effects. It is a high tech way to showcase your work, and the digital frames are now very accessible in price. Use it later at jewelry parties and shows too!

Price sheets. Try to use item numbers for your produdct if possible, as this makes it much less confusing for you and the retailer. While I love to have unique and interesting names and descriptions for my pieces, each one has a unique item number that makes it easy to track and communicate to retailers.

Also, be sure to note any volume pricing that you may offer, or any pricing variations between styles. For example, if I do a necklace in freshwater pearl, it is priced differently than if it is in gemstones. Be prepared to answer if you are flexible in your pricing. Also, be prepared and answer what your average price is, what the average mark up of your work is, and what other retailers are carrying your work.

Blank invoices. They should be pre-printed with your logo and business info on them if possible. This conveys that you are an established business, an invoice pad from an office store does not.

Invoices will be crucial should they want to keep any samples as well to show the owner, other partners, etc. You should never leave any samples without some kind of paper trail! Also, they may wish to create an order on the spot, and this way you are ready to write it up!

Pens, pencils, calculator, stapler, paper clips, etc. I have a small pencil bag from Staples that I carry supplies in that can assist me with writing up an invoice, with all of the supplies in miniature. Cute, and still usable! That way, I can streamline my supplies, and still get the job done!

Technology. Better yet...if you have the technology that makes price sheets, invoices and office supplies a thing of the past, go for it! I have brought along my laptop, and from one piece of technology, I can show them my website, my blog, my portfolio, my price sheets and type up the invoice and email it to them before I even leave the boutique! Whew!

I also have a PDA that can do pretty much all of the above, just on a smaller screen. Ditto for an iPhone. Be savvy with the technology that you use, it can make the meeting much easier, take much less time, and truly show them how much you respect their time and how quickly you can react to their business needs.

Recommendations from customers or other retail partners. This is a great way to show a steady track record with other customers, and that you are reliable and credible.

Good luck with your meeting! Feel free to share with me what worked, what you did differently, or any other advice you would offer for meeting with retailers!

Next posting: The first of the "BIG QUESTIONS"!