Probably not, but here are ten ways you can increase your odds of survival

By Kevin Fisher, happytails | December 2008

One thing I’ve realized after 15 years as a business owner "You can do everything right and still fail" there are no foolproof strategies. I know, that may not be the encouraging rah rah you had hoped to hear but it’s the truth. Business climate, bad luck and unforeseen problems can all scuttle your excellent endeavor faster than you can say "Bear Sterns". With so much out of your control doesn’t it make sense to pay particular attention to those things you can control. While it may be true that the best plan in the world is no guarantee of success the lack of a plan is a certain road to failure.

( I’m gonna to bypass the obvious caveats regarding budgeting, expenses, costing and forecasting etc as I assume these things all go without saying, today I want to focus on a few more intangible items)

Here a few thoughts on how you can increase your chances of riding out the current storm.

1. Discover your customer: Have a clear idea who your customer is and target them specifically. Don’t try to be all things to all people, that’s the best way to lose any distinctiveness and personality your business may have.

2. Stand out by being different: How are you going to set yourself apart from your competition? What is unique about your store, your service, your employees? In an overcrowded marketplace where everyone is trying to sell you something this is a live or die imperative. As the world grows ever smaller it’s the niche players who exploit the "long tail" that will weather the ups and downs. (what’s the long tail?) If you’re looking for distinctiveness sell products that aren’t sold at every big box retailer…products like Happytails

3. Create an energetic team who all believe in what your selling. Every employee or associate must be great value for money, contributing to the excitement and personality of your company. Tip: If you cringe when an employee interacts with a customer it’s time to rethink their employment.

4. Be reliable: Do what you say your gonna do when you say you’re gonna do it. In business, if you promise something there are only two acceptable outcomes: either the thing gets done as promised or the customer is informed in time to make other arrangements. There is no third option… at least there isn’t if you want to keep your business alive.

5. Express your gratitude. To your employees, to your customers, to your vendors. Business may be full of charts, graphs and Excel spreadsheets but in the end it’s all about people, and people are more likely to extend themselves for you if you’ve extended yourself to them first.

6. Be consistent. No, not boring but consistently good. Every interaction you have with a customer whether it’s a phone call, an e-mail, an order delivery should be consistently excellent. I know, that’s an impossibly high bar to reach but if you make that your goal it will give you a standard for which to strive. I’m not telling you anything new when I say that it’s exponentially harder to find new customers than to keep the ones you have…but don’t strive to keep them, strive to astound them, if you don’t someone else will.

7. Smile (make the world wonder what you’ve been up to). So you think people buy from you because of price, quality, convenience? Every study ever done on successful selling says that people buy because they like the salesperson, they feel a personal connection that fosters trust….and speaking of selling:

8. Don’t sell. Before I started this business I thought that selling was about tips and tricks and convincing people to buy, I quickly learned that pressuring people to buy is a losing proposition…it’s short sighted because you’re looking to create a customer not a single sale. I believe that the best salespeople communicate their enthusiasm for the product and educate prospective customers on how the product will improve their lives. Period. If the product or service doesn’t improve your customers life in some way why on earth would they chose to buy it again?

9. Be uncomfortable: In a world of constant change it’s not a good idea to get too attached. Just because you’ve always done it one way doesn’t mean there isn’t a better way. Keep abreast of the trends in your industry and take advantage of new innovations. Who knows the next internet may be just around the corner. (scary isn’t it?)

10. Be optimistic. Attitude is contagious, people want to hitch their wagon to a successful star so even when you don’t feel it -be positive.

The way ahead is going to be difficult for all of us but if I can insert one small sliver of silver lining here I do believe that the companies that survive the next few years will emerge as better, leaner, more capable organizations. I know that already we have rebalanced our own company to be leaner, more agile and more focused on our customers and the reality of business today. Let’s keep our fingers crossed that as the world changes around us we can evolve enough to out-run extinction.

The Pet Industry May Not be

Recession-Proof After All!

Making the Move from Luxury to Multi-Functional Products

by Xiomara Iraheta

It’s no surprise that amidst these tough financial times consumers are rethinking their shopping patterns, especially when it comes to their dogs. Recent pet manufacturing trends show that consumers are honing in on the move from “glitzy to green,” that is, they are no longer shopping for luxurious or flashy pet items but instead high-quality, healthy products that solve a problem.

The American Pet Products Manufacturers Association Inc. (APPA) reports that the average dog owner spent just under $500 on their dog for food, grooming products and toys in 2006. But we may see that average drop as consumers learn to manage their dog expenses valuing quality and function over Paris Hilton style “bling”.

Bo Nelson, owner of Wholesalepet.com, has been selling to upscale branded pet products pet stores for 15 years. “Over the past several months we have noticed more conservative buying patterns. Pet Boutiques are still purchasing clothing, jewelry and frivolous items but in smaller quantities,” Nelson said.

“We have seen less of a drop-off in the sales of treats, toys, collars, beds, bowls and spa products. Overall it seems that sales for items people and their pets use on a regular basis are faring better than items people and pets only use on special occasions.”

Sheri Scarborough a pet industry veteran and owner of Gotorovers.com concurs. “Buying decisions are more focused on price point than ever before.” She adds, “ Retailers are adding more holistic, organic, and raw food lines as well as products made in the USA and made from recycled material.”

For years as the pet industry was growing in double digits, business owners claimed that the pet industry was recession proof. According to recent articles in Pet Product News this may not exactly be true. Very expensive high end items sit on the shelves longer while quality well-priced items continue to sell well.

Stretching your dollar and keeping Fido safe and happy doesn’t have to be a contradiction. Weighing in on the situation, Lorna Paxton, owner of happytails Canine Spa Line says, “in order for products to sell they have to solve a problem, they have to actually do what they claim to do, and it helps if they perform more than one function."

You don’t want to lower your standards as far as quality products go and risk safety or comfort for your dog. Therefore, consider the following tips when shopping for products under these three categories.

Grooming and Bathing:

• Problem/solution based products: If your dog has itchy skin, find an oatmeal shampoo
• Multi-functional: Combined shampoos & conditioners and other products that can perform more than one function
• Holistic: Products that focus on the overall health of the dog, not just the outside appearance
• All natural
• Made in the USA

Food :

• Grain Free Food: Not only will your dog be nourished but the food could help with itchy skin
• Read the labels! Experts say to protein should be at about 30 percent and fat to be at least 18 percent.
• Read the Whole Dog Journal which often publishes reviews of every food on the market.
• Seek deals: Register your e-mail address on your manufacturers’ website and you may get coupons sent to you via e-mail or a heads up on specials

Treats :

• Functional treats: Like a treat that has supplements for joint support, vitality or other health concerns
• All natural and made in the USA
• Treats that are not fattening (if your dog has weight issue)
• A treat that takes some time to eat. Maybe it’s hidden in a toy and takes a while to get to. This is entertaining and stimulating for the dog
• One that your dog loves. You can use them as bribes and training tools!

Toys:

• Ones that you can hide food in
• That engage your pet’s interest whether it be a bouncing ball or squeeky toy
• Toys with longevity: If you purchase toys that are made from good materials you can get even more use of it by rotating them weekly. Making one or two available to your dog for one week and switching it with a different one the next can seem like their getting new toys all the time.

Sheri Scarborough, co-owner of www.gotorovers.com, a shopping site for pet retailers, and ex-pet store owner  writes:

“I am finding that the economy is greatly impacting the buying decisions of dog and cat owners, which in turn, effects the buying decisions of retailers.  I am based in Florida, and this is particularly evident,  because the foreclosure rate is very high.    In the past 6 months, I’ve seen retailers  bring in merchandise with much lower price points.    Most of the boutiques that I visit  have only carried high-end ”bling”, leather, and beautiful ribbon collars in the past.   Many have now added a nice nylon collar line that retails for $7 - $12.      For the past three years, apparel (tanks, dresses, etc.)  has placed a strong third place in overall selling categories.   Sales have significantly dropped in this category and treats have now taken over this spot.

 Retailers are adding more holistic, organic, and raw food lines.  Some are carrying as many as 20 different lines, although the margin on food is usually around 30%.   Their general retail areas have become more mainstreamed to the basic needs of the pet to include collars/leads, toys, treats, grooming and beds.     Buying decisions are more focused on price point than ever before.

 Other retailers are setting up areas in their store that focus on matters/items important to them and their customer base.  These can include products  that are:  made in the USA, made from organic material, made with natural ingredients. made from recycled material, made locally (in their particular geographic area) and items that reflect a particular lifestyle - i.e.  Pride Wear.  Because these items may be of particular importance to their Customer, they don’t seem to mind paying a higher price point.

This holiday buying season has been very slow in Florida.  Retailers heavily stocked up on holdiay-themed merchandise in the past, but this year have either purchased a very small quantity of this type of merchandise, or decided to stick to non-holiday-themed merchandise altogether, for fear that they will still have this merchandise after  the holiday season.   They are being very selective about their purchases, and are having the purchases shipped much later this year than in the past.    Quite simply, they don’t know what to expect this holiday season.

Outside of Florida, we are finding that Retailers have continued to place  nice orders, but are being more cautious about the amount they are spending than in the past.   Coat and sweater sales are soft as compared to prior years, as some Retailers have plenty of stock from last year.  They are waiting to see what the demand is before committing additional inventory dollars to this category.   

 Overall, most of our Retailers tell us  that October has started off nicely and they are hopeful for a strong holiday season.    We are hopeful, as well!”

Bo Nelson, owner of WholesalePet.com (www.wholesalepet.com), an on-line service representing over 200 manufacturers and supplying over 3,000 write:

“In my 15 years in the pet industry, I can recall many occasions during economic downturns when people would say to me: “the pet industry is recession proof and people will always buy things for their pets.” I think there some truth to this, but the US economy seems to be facing its most difficult period since the Great Depression and this slow-down is affecting most sectors including wholesale purchases and consumer spending.

 Stock market pundits and the main-stream media are likely amplifying consumer anxiety. People still have money in their pockets, and I believe the pleasure people get from buying items for their pets far outweighs the monetary costs. However the current state of the US economy is affecting consumer spending in the pet sector and thus it is affecting wholesale purchasing as well.

 WholesalePet.com specializes is selling upscale branded pet products to independent boutique pet stores. Over the past several months we have noticed more conservative buying patterns from the retailer we service. Pet Boutiques are still purchasing clothing, jewelry and frivolous items but they are buying these items in smaller quantities. We have seen less of a drop-off in the sales of treats, toys, collars, beds, bowls and spa products. Overall it seem that sales for items people and their pets use everyday or on a regular basis are fairing better then items people and pets only use on special occasions.

 I do not predict an overly robust Holiday selling season for most pet product retailers, but I believe most will survive. Inevitably the economy will recover and the wholesalers and retailers who are able to endure this tough time will emerge stronger and better equipped to meet the need of pets and pet owners in the future.”

 

FOR IMMIDIATE RELEASE

happytails Canine Spa Line Signs Four New Distributors

Los Angeles , CA , September 4, 2008- Happytails Canine Spa Line, Inc has signed on four new distributors throughout the world.

These distributors include:

• Super Dog Pet Food Company of Leola, Pennsylvania who is now supplying stores with the all-natural, spa line throughout the Northeastern part of the United States
• digPETS , situated in Largo Florida is a national online distributor of high end pet products.
• MJM Unique Pet Supplies LTD is a distributor in Eastern Canada servicing independent retailers in Ontario, Quebec and the Maritimes.
• Collarways , a distributor of natural and organic pet products distributes in the United Kingdom.

happytails’ new distributors were especially chosen for their commitment to unique buyers and for their quality service.

The common denominator shared by happytails and their new distributors should give independent retailers comfort in knowing that manufacturers and distributors alike are working to produce the best natural, animal cruelty-free dog spa products and bringing them in a friendly and timely way. From top down, this team is committed to offering the premium pet products with the highest quality service.

happytails donates a portion of proceeds from the sale of its products to Canine Companions for Independence, a non-profit organization that enhances the lives of people with disabilities by providing highly trained assistance dogs and ongoing support to ensure quality partnerships.

Los Angeles-based happytails sells and markets happytails spa products for the dog about town. happytails Canine Spa Line uses the finest (“better than human quality”) ingredients available to pamper, soothe and beautify today’s harried hound. The products can be ordered through the company website at www.HappytailsSpa.com or by calling 1-866-HAPPY-20.

###

Contact:

Xiomara Iraheta

happytails Canine Spa Line

2140 Westwood Blvd.

Suite 206

Los Angeles , CA 90025

Phone: (310) 470-3051

xiomara@happytailsspa.com

www.happytailsspa.com

Visit: www.feedblitz.com

I know that most of you reading this own or work at a pet boutique or other pet related facility.

At happytails we are believers in experiential marketing– that is creating memorable experiences for your customers while they shop in your store.

This email came across and I thought you might find it interesting

The In-Store Marketing Institute’s I-Seminar Series Presents:

Generate Excitement Through the In-Store Experience

Connecting with shoppers in-store is the ultimate goal of shopper marketing efforts, whether you’re a manufacturer or retailer. Now, more than ever, getting noticed by shoppers requires focus on the elements and executions that carry the most weight with shoppers. In this I-Seminar, you’ll:

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§ See what is connecting shoppers and getting them engaged and excited in-store and which retailers are generating in-store excitement.

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Don’t miss this unique opportunity!

Date

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Time

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Cost

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