Thirty years ago I knew who to call. Yesterday I wasn’t so sure. Much to my surprise, the contacts hadn’t changed. Planned Furniture Promotions, an affiliate of Gene Rosenberg Associates, is very much in business. Since 1962 Gene Rosenberg Associates has been considered to be one of most professional and best known promotional specialists in the country. My contact this time was Burt Homonoff, Partner and Vice President of Operations. With so many furniture companies going out of business, the last ones that came to mind for me were Levitz and Wickes Furniture. From what I’ve read, Levitz, at the time of their closing, had 80 stores and had been in business for 100 years.

I asked Burt if we might talk about the furniture industry; it seems like they’re in trouble. Here's my paraphrasing and additional thoughts based on what Burt shared with me.

The consumer has been changing over the past twenty years. Most furniture retailers just missed it. It’s been a gradual change, taking a little chunk out of business yearly. Consumers are using their homes differently. The American dream, a Cadillac in the garage (now it’s a Lexus) and a new living room and bed room set. First it was a media room, a work out room or spa, a game room and of course the in home office for their computers. Consumers are playing Guitar Hero or Wie and not sitting on their sofas.

And the competition has intensified.

According to Furniture Today, furniture in the United States used to be a producer-driven industry. Now, it’s turned into a quasi-buyer-driven industry. Driven by a rise in innovative branding, retailing and marketing, new trends like "life-style branding” are creating whole new niches at the retail end. With innovations in retail, low shipping and import costs, even small retailers are entering the furniture business with new designs and variety.

"It’s all about change," says Burt, "and many furniture retailers missed it."

Many furniture stores still look like the furniture stores of yesterday. They display the same furniture that was in style 10 years ago with the same accessories. They just don’t seem to see the trends or they are "mature" retailers who still think the customer is their age. 

Younger customers, different priorities.

Furniture has taken a low priority on the customers' "have to have" list. Remember when furniture used to be sold only in furniture stores? Now everyone has some type of furniture — from Walmart to Target. In the summer, the grocery stores carry outdoor furniture.

I’ve noticed that brides used to register for furnIture and the other day I saw a story about a couple (in the New York Times) who wanted money for a start up business and were giving “the investors” shares in their new venture! What happened to the brides?
Couples used to ask for bedroom sets, something substantial so they could hand it down to their kids. Then couples started moving around for better jobs and different types of lifestyles; nobody wanted to lug a bedroom set across the country. The same applies to the big dining room sets, very few people entertain on that scale these days. People are looking for furniture that is more inexpensive and disposable.

I see many more “rent to own” furniture stores; I thought they were just for people who couldn’t afford to buy and then I found some of my friends renting furniture. Are they taking market share?

Since this isn’t Burt’s niche I went to check it out. The rent-to-own is a $6.3-billion dollar business. The RTO continues to improve its business, customer service and pricing becoming a viable consumer option in the American economy. The unique rent-to-own transaction sprang up in the 1960s in response to a growing consumer need for acquiring the use of household products without incurring debt or jeopardizing the family’s credit. Rent-to-own customers come from all walks of life, desiring consumer durable goods in their homes without the long-term financial obligations associated with credit sales.

How does IKEA figure in the mix? Consumers rave about the Swedish meatballs and I see that they were serving free breakfast on January 9th. I was in one of the Chicago stores — it was quite impressive.

IKEA is noted for their trendy styles and their great price points. They cater to the new lifestyle, KD (knocked down) furniture, easy styles and definitely disposable. In addition they offer everything including the dishes. A one stop shop. IKEA’S interior design teams create functional and trendy room settings which make the products easier to buy.

Customers want the looks but don’t want to pay the price. They also know if they look long enough they won’t have to pay the price. The average sale has gone from $1500.00 10 years ago to $800.00.

What happened to “Made in the USA?”

As furniture factories have moved to China, their suppliers and related businesses have followed, making the country an exceptionally efficient place to operate. It’s said that labor represents 30% of the cost of production in the United Sates and in China it’s less than 7%. Because product is so cheap, they can easily follow worldwide trends.

Consumers want Toyotas and Lexus's these days, not Chevys.

What should a furniture store do if they’re having trouble and seeing their market share slip away?

• If they’re going to survive and thrive they will have to change, and change quickly.
• Think of the new consumer trends, it’s doubtful that the trends will go backwards. Consumers don’t want to spend money and want disposable furniture. You can’t change the trends and live in "the old days."
• Move into other areas of home furnishings. Carry furniture that fits into consumer’s lifestyles, casual, trendier pieces.
• Consumers don’t want to wait, so quick delivery is even more important. Don’t overstock but have access to a local distributor who can deliver quickly.
  Sounds like another industry needing an overhaul.

Remember, keep on top of trends. Style is constantly changing — sometimes even changing back to what it used to be.

What: Strategies for Providing Red Hot Customer Service

When: Wednesday, January 27, 2010, 9 a.m. ET

Where: on the radio at 1300 AM or online at www.talk1300.com.

Please tune in!

Southern Louisiana Influence, From Glamour to Good Taste

I’m fascinated with my cousin Rosalie’s 450 square foot condominium in Cambridge, MA. It’s amazing how spacious it feels, how unusual the design, and the surprise of elegance in every corner. Thus the magic and daringness of interior architect Phillip Jude Miller. Philip’s magic earned Rosalie’s condominium, Runner up: Home of the Year, in Metropolitan Home Magazine as well as a feature in Fabulous Floor Magazine, 2005, “Boston Going City Slic.”

I met Phillip briefly several months ago in his Cambridge shop, America Dural. It’s filled with antiques, mid-century furniture, art and many more one-of-a–kind items. Rosalie, a long-time friend of Phillip, is always telling me what wonderful pieces he has uncovered, their history and uniqueness. Curiosity and prodding from Rosalie led me to look at some of Phillip’s work.

I recently picked up a copy of New England Home: Celebrating Fine Design and Architecture and came upon an article, Gentlemanly Quarters, November/December 2009 which was the renovation of a Back Bay apartment done by Phillip, an extraordinary renovation combining the luxury of many centuries. This is design at its utmost: breaking all rules and adding new ones for design.

Who is this intriguing designer from Lafayette, Louisiana who breaks rules and creates his own? When I found out Phillip was from Lafayette, Louisiana, I knew we had something in common. Lafayette is one of my favorite places: it’s where I developed my love for Cajun cooking and music.

Imagine my surprise to find that Phillip would be visiting Rosalie and cooking Christmas Eve dinner! Oh dear, he cooks too? "A fabulous cook," says Rosalie. Hopefully I will get to know Phillip a little better.

After dinner I get to sit down with Phillip and his Manchester terrier dog, Otis. They are both very charming, but Phillip is doing the talking.

How did you develop your interest in interiors and architecture?

I grew up in Lafayette, Louisiana, which has its own rich culture of southern Louisiana. The architecture and history of Louisiana is primarily from French history and had a considerable influence on southern architecture, primarily interiors and furniture. The Acadian culture is more visible in our food and the importance of nature in life. I was one of 8 kids and my parents didn’t have time for history and culture but my grandmother did. Southern Louisiana has a special place in history, with its Cajun and French influence. I was always intrigued with the area; it’s not like any other place in the country. I used to love to talk with my grandmother about her family history and experiences in the unique southern way of life in Louisiana.

How did being one of eight make you the Phillip we know today?

I was very quiet, with 8 kids you can hide away. I never really talked at all. When I was three I had a serious burn accident, had to be hospitalized and all of a sudden I started to talk non-stop. I think I had so much attention at the hospital it brought me out of my shell.

I’ve never heard of an interior architect, what does it mean?

In 1978 I started in the school of architecture at the University of Louisiana, but also loved design. In my school experience, architects purely focus on the structure without any interest in how it meshes with the interior furnishings. This would never have been the case with architects leading up to the early twentieth century; Henry Hobson Richardson and Stanford White being great examples. Stanford White (1853-1906), was noted for being the most famous architect of the Gilded Ages. The Bauhaus Movement (1919-1933), had an extremely negative and somewhat fearful reaction to this decoration and emphasized more modernistic architecture. I was never interested in building skyscrapers but realized my architectural and interior design background would be a good combination for my clients.

Luckily one of my professors, knowing my love for design, suggested I move into a new field, interior architecture. She said I could incorporate both design and architecture. At that time, the Architecture Program was 5 years and Interior Architecture/Design was 4 years and the pay for Interior Design was higher than Architecture. I realized I was capable of looking at a project from both sides – architecture and design and the program was a good fit. If I was going to rip the walls down, I was also going to design the interiors.

I know you love art, why do you think art is so important in a home?

Art is very personal; it’s an expression of one’s soul and uniqueness. People are their art. It tells you something about their deeper feelings, and adds another dimension. It also adds a special touch to a home, and with the right guidance, art of significant importance is more accessible than people think. Art can turn a space from simple to elegant and balance texture and mood. Lastly the owner gets to enjoy the beauty of the art; if one chooses the right art, it will increase in value. Every year I make a point to attend The Armory Show in New York City. The Armory Show is considered America’s leading fine art fair devoted to the most influential art of the 20th and 21st centuries. I like to use modern art in my designs and the show keeps me up to date with what’s new. 

What other passions do you have and how do you generate your ideas?

I love the placement of objects, their form and color. When I look at a project I look at it from every angle, inside and out. I don’t think of the rooms separately, I imagine the whole home as one, how it flows and how it feels. I get many of my ideas from the classics, the 1920’s or 30’s; I listen to the client and get a sense of who they are and what moves them. (The house a client chooses and its architecture is an important element that drives the design. One can go with the architecture or contrast it.) I use new and antique side by side. I enjoy opposites, traditionally detailed fabric on clean-lined furniture. I will often take a more formal chair with traditional forms and cover it with a very simple fabric such as burlap. This gives the chair what I call “star quality.” Each room should have something of star quality.

I adore Asian pottery but I’m less knowledgeable than I should be. Asian pottery brings exotic forms and magnificent glazes to the mix.

I’m fascinated with the world, and see new ideas everywhere.

How did you come up with the name for your firm, America Dural?

I struggled with the name of my firm. I wanted it to sound like a business but I wanted to express my identity. I juggled family names in my head and came up with the name of my nanny, America Marie Dural. America raised my mother from infancy and moved in when our family began to expand. She was a very reserved and independent woman of African-American descent who ran our house with a lovingly iron hand. I admired her strength; naming the firm after her allowed me to be closer to her and pay her tribute for all that she had taught me.

What would be the top 10 suggestions you would give to someone who is considering a renovation?

Here's what I think.

1. Plan for the rule and not the exception. People say I want a sofa bed in case I need it. You ask them how many times in the last 20 years they needed a sofa bed and they’ll say never. I had a client with a piano that just didn’t fit in the room; it turned out the piano had never been played by anyone. Once we got rid of the piano, everything started to gel. 
2. I say, love everything in your room but don’t put everything you love in the same room. If one puts every style which attracts them in the same room, it looks like a garage sale. Decide what's important, the antique dresser or the décor chairs. 
3. Mixing style and time periods brings excitement to a space. It also gives rooms a sense of evolution. If mixing styles, they either need to be the same or very different. Don’t put two different camel back sofa styles together. Modern French next to antique English is better than antique French next to antique English, etc. 
4. Always have an element of surprise. All of your favorites don’t have to go in the most obvious places. That favorite painting doesn’t have to go over the fireplace, maybe it’s better shown on the wall as your turn to go into another room. 
5. Good design involves making choices. Any theme should be consistent, either the palette is bright and spring like, or more somber. A good designer can help you with these choices. 
6. Be consistent in your planning by treating the whole home. If you like intense colors then be intense. Don’t paint one red wall because you think you “need” to add excitement. This will throw off the entire home. If you like subtle, then make everything subtle. Your home should have a unified statement which represents what you like. 
7. A designer’s most important role is editing, knowing how to select and mix pieces you love which are compatible with the scale of the space, (or where they will sit, and what they will sit next to.) The home ultimately belongs to the client but the interior designer represents the expertise that the client seeks. Of course many of the ideas and thoughts may be beyond the scope of the client; this is how the interior designer can help. One of the designer’s jobs is to bring the clients sense of “uniqueness” within the elements of good design. 
8. This may sound corny, but there must be a connection between the client and the designer. The designer must be honest with the client and this comes through their connection. Without a connection it’s hard to design what the client wants. Good designers don’t design for themselves, they design for their clients. The client should share their likes and dislikes with their designer as well as look at the designer’s portfolio. Hiring a designer is not like hiring an electrician. There is only one way to wire in a light fixture. Each designer or architect can offer a very different vision. Some might not be compatible with your own. Don’t assume that because someone has a title that it will be a good fit. 
9. In the long run, less is more. If the project is a redesign, the client should share what’s staying and what’s going. Sometimes what you take out is as important as what you put in. Removing or editing what you have can be more effective than adding new pieces. Balance and scale are key.
10. When bringing in colors to coordinate with an important accent in a room such as an area rug, choose the least dominate color in the rug, not the most dominate. This will make the room much more interesting and create that element of surprise. 

There seems to be more, Phillip has invited us up to his summer home in Maine. I’ve heard the gardens are magnificent. 

Want to see more of Phillip Jude Miller? Visit his site.

In Albany we seem to have three situations: the closing of the inner city YMCA, the building of the new Honest Weight Food Co-Op, and a charter school. 

The Y and the charter school have poor attendance — code for "not enough customers" — and they are both ruminating as to why the facilities should stay open. The Food Co-op is raising money for their new building and does not have enough investors. I know, I know, these are bad economic times—let’s get that out of the way. But let me remind you, a business is a business; I don’t care if it’s a not-for-profit, for-profit or no-profit. To stay in business, a business must have enough money to pay its bills and have some left over—that’s called profit. 
The problem for all three businesses is not enough paying customers— period. Did this just happen? I doubt it. Many of you know these statistics by heart, by the time a business is 5 years old 80% of its new business comes from referrals and existing customers.

Who is supposed to get customers for these businesses?

The problem with customer loss, it doesn’t just happen. Some bad reviews, annoyed customers and you’re on your way out the door.

By the way, I go to the local Y; it’s really close, I love my trainer and I can get in and out in 45 minutes.

Why? Because there are no customers! I feel the same way about Staples and I hope they’re not next.

Yesterday I’m on my way out of the Y and I hear a couple at the desk ask about the indoor track. I want to cry over the next three minutes as I listen to the woman at the counter literally talk the couple out of using the track.

With all due respect she didn’t look like she had ever run anywhere — no less on the indoor track. She also suggested that the couple go to the Y across town! There were too many people standing around agreeing with her for me to slap her — maybe they all work for the other Y on their days off. I got to speak with the “potential customers” in the parking lot.  They said they were delighted that she had told them about the Y and for being so truthful. “Truthful, I remarked, she doesn’t look like she ever saw the track, to which they laughed and said that’s what they were thinking. I also added, I’m a runner and as long as there are no cars or dead bodies in the way what could be wrong with the track? By this time they were on their way to the crosstown Y. They say an unhappy customer will tell anyone who will listen so you can be sure the membership isn’t going up this month. 

By the way the Y needs a bunch of members to stay open.

So the track is not great; the upstairs gym was a little cold for Zumba and Yogi, but I can wear a sweater. Did I tell you the Zumba instructor forgot her music? As a friend said, it’s like going to a gun fight and leaving your guns at home.  The Zumba instructor had 50 excuses as to why her life was too complicated to remember her music, Lisbeth, mind your business and hold your tongue. The woman next to me replied just loud enough for me to hear, "who cares about her life?" and then she repeated in Spanish for her friends!

Okay so the Co-op is another story. I have been volunteering to pack bags at the checkout. This is a good time to ask if a person’s a member, because members get an automatic 2% discount. Of course after bringing this up the cashier explains that I didn’t tell the truth. She says you have to invest $100 and if you want a 10% discount you have to work 3 hours a month.

Doesn’t she know, most people don’t want to work for “nothing” — not even 10%? Consider that a $100 investment will make you feel like an insider, part of something good.  In addition she said I was pushy. 

Guilty as charged!  Some of our customers travel 3 hours to come to the Co-Op, honest. Shouldn’t we give them a little something extra?

In my book, pushy is when you’re trying to sell something of little value, not something of value.

Oh don’t forget the Charter School with the kids on TV crying about their school closing. The administration said they were proud of the kids for saying what they felt! I don’t even know what that means. They need more students to stay open and it seems that’s the administration’s problem. The effect is the closing of the school; the cause is not building the membership from day 1! Let’s not make it the kid’s responsibility to go out and get the sympathy vote.

Some thoughts about sales:

• Sales are what make a business whole. 
• Without customers there’s no reason for a business. 
• In a business, selling is everyone’s job; teach them how to do it. 
• Understanding why customers stay or leave is everyone’s job. 
• One “really” unhappy customer can ruin your business. 
• 96% rarely complain, they just go away mad. 
• Things might seem okay, but it’s likely most customers just aren’t happy. 
• How about some customer service training for all three of these places?

By the way, being proud of the company you represent is real customer service.

I hope Lincoln Pool isn’t next. 

Resources

Honest Weight Food Co-op members approve design of new $6M store

In the last two days I have had the same conversation with two entrepreneurs who've been saying: "When I’m not here my customers want to know where I am and when I’ll be back. Customers just want me!"

This is both good news and bad news. The good news is you’re important to your customers. The bad news: you’re important to your customers. If you’re the only one customers ask for it’s likely your business will be in trouble — unless you want to be in your store all the time. You must be able to understand the process of customer service and then train your salespeople, or you will be forever “stuck” in your business. Not only will you be stuck but you’ve actually lowered the value of your business. If the business can’t run without you you’ll never be able to sell it. In other words, without you there is no business.

The reality is that some business owners love being the center of their businesses; others don’t realize they are the center of their businesses. Growing a business is not easy; in the beginning it may be fun; lots of people coming in, asking for you and then buying your products. But if you’re the only one they want to buy from, look out.

Building a business is building relationships with customers. If the customer doesn’t like you it’s doubtful that she/he will buy your products. The data suggests that the male customer doesn’t need a strong relationship with the salesperson. Traditionally men prefer to capture, not hunt. If you’re all about capturing you need to keep your eye positioned on the target and go in for the kill. This is a singular experience, and may the best man win. 

Women on the other hand traditionally enjoy the hunt. They like to look, compare, uncover and then determine if it’s worth capturing. If they don’t find what they want, they continue the hunt. If it’s not perfect a woman will go home empty handed and go back to hunt the next day. This is why women do their own hunting; how can you trust someone to buy the right thing unless they’ve searched and compared?

The word “capture” is rarely used by women. On the other hand, “going hunting” is part of their vocabulary. When you are on the hunt, you use all the resources available; this includes the salesperson. This is where customer service comes into play.
Women seek customer service experiences, not sales experiences. A female shopper will make friends with the salesperson — particularly if the salesperson is female. By the end of the transaction it’s likely they will be planning a luncheon engagement or meeting for coffee. The relationship is not about the transaction; it’s about two people sharing their likes, dislikes and in many instances their lives. Where salespeople screw up is thinking the transaction is just a onetime event and it’s all about the products.

Being liked by the customer is the essence of the business. Remember 80% of new business comes from existing customers.

Why let a customer disappear after the sale? They are your link to the next customer. If they can’t remember you how will they remember to tell their friends? The adage "absence makes the heart grow fonder" doesn’t work for retail.

Consider the following:

• Are you building relationships with your customers after the sale? 
• Do you hold events to bring your customers back? 
• Are you watching your salespeople with customers, how are they doing? 
• Are you teaching your salespeople what you know about people? 
• Do your salespeople act like they care about the customers? 
• Do they show the same caring you show? 
• Are customers calling asking for your employees?
• Do your salespeople talk about your product warrantees, give out product literature and let the customer try out your products?
• Are you getting e-mail addresses from customers to keep them up to date with discounts, products and other information that will help them?

Remember your last sale is the link to your next sale.

The most interesting aspect was the difference between where women are now and where we (yes, I was one of them) were in the 70’s with feminism. It seems like women of the 70’s were trying to prove equality; we, of course, know that you are either equal or not, it’s pretty much in your thinking. I have been wondering "how do women see themselves, are we different, do we want different things?"

I write articles on business and also on what women want when it comes to shopping and buying. The data suggests that we like the hunting part as well as the buying but, different than men, the hunt can be as much fun as the capture—we don’t even need to capture to have fun! There have been many books written on us and our shopping habits; why so much on us? Because, as many of you know, we are the primary shoppers for almost every product. As the Time Magazine article points out, we also have the means to shop, with 40% of us earning more than our mates. With this statistic of 40% growing, it’s important to note the changes that have been gradually evolving in businesses over the past 10 years: children’s corners in retail stores, changing stations for babies in airports as well as nursing stations!
I know it’s tough when you work retail and realize your customer may be on a terminal shopping adventure.

Of course, not every female finds shopping that exciting and interesting. But, as noted in Retail Therapy, Life Lessons Learned while Shopping, Tammy Faye Baker Mesner put another point of view so clearly: "I always saw shopping as cheaper than a psychiatrist." All of these past articles somehow support the notion that one has to be crazy to like shopping. According to Barbara Pease, Why Men Don’t Listen and Women Can’t Read Maps, biological evidence seems to support the theory that men and women are quite different from birth and that it’s not easily “explained away” by social conditioning. Brought up on a desert island with no dolls or trucks, girls would want to cuddle and play with dolls while boys would want to compete with each other and form hierarchal groups. 

Bottom line—we’re different.

What does that mean heading into 2010? These questions spurred me to take a workshop from a group called Jness. My questions were: Are we still like we were in the 70’s, trying to prove our worth through our male counterparts? Do we still believe that something has been taken from us and we must prove our ability to fight? It didn’t seem like it.
Jness literature states their purpose as: "Jness is an international organization for women with a mission of providing a warm and inviting environment for women to gather together and discover each other as we find and express our voice in today’s world."
In speaking with one of the founders of Jness, Pamela Cafritz elaborated: "In a fun, social context like this Jnessence weekend, we endeavor to discover the truth, fallacy and humor behind our male society. We want women to be empowered, overjoyed and maybe even emboldened! We bring together women who, like you, want to create a more honorable and compassionate world, and have fun doing it. We think women possess the warmth, heart and vision to bring balance to the world."

I found the workshop to be very eye opening; inductive group exercises designed to examine our place in the world and our concerns for ourselves, our mates and our children. The group consisted of different age groups 30-60, from various countries, each with careers, families and playing many roles. The theme being, as female adults, what roles do we play in society and what are our responsibilities for world change. I know, pretty heavy topics, but we had two whole days to solve these issues…

What I found was an interesting group of women, comfortable with their feminine “skin” and wanting very much to respect others' differences and concerns. The issues of ‘should we work?’, ‘does it matter how much we shop?’, and ‘do you like to cook?’ seem to be a given—not issues to be debated or defended. It really didn’t matter. The participants were interested in camaraderie in the feminine sense as we see it and live it.

The best part about the workshop was listening to other women share their concerns about life, and how that differed from our mothers and grandmothers. I related an interesting conversation I had with my 95 year-old female neighbor, Irma. It was Primary day and I wasn’t going to vote until I ran into Irma. She reminded me of "her time" when she was not allowed to vote; her statement: you have responsibilities to the world. I must say that woke me up.

As I think about my life on earth, which I do quite often, I wonder about my place and my commitment. I realize that I am able to make a difference by understanding others and supporting their beliefs that help them grow. By investing in myself and my learning I inadvertently help the world.

As Socrates said, know thyself.

My experience tells me that the best investment I can make for you and for me is to invest in myself. 

This year I had a “family” party, Italian Night at the Calandrino’s for 30 of my friends. We sang holiday songs; ate the best food (cooked by all), drank wine, sang, ate lots of desserts and sang some more. It was wonderful; everyone was kind, concerned and it felt like family. I reminded me of the Olive Garden commercial, “when you’re here it’s like family.” I received so many nice notes thanking me for getting everyone together.

It has made me stop and think; why do we wait a year to get together with people that are important? I mean, how many years do we have on this earth? Let’s say you have 70 years left, does this mean you’ll only see your best friends 70 times? It’s also possible you won’t recognize anyone after year 65 from now. Getting together once a month makes more sense, doesn’t it? I have discussed it with my friends and they all agree and have offered help to make it happen.

Caring about others is never as striking as during “the season.” Today I was in the beauty salon and one of the technicians said, will I be able to get my paycheck today? The reply from the owner: I don’t think so; we didn’t take in any cash, only checks. Of course that put the technician in a snit. Single mom with two kids. While the owner is out shopping and telling everyone that she has her shopping done. On the other side, my downstairs neighbor, Irma, received a surprise bouquet of roses. The florist sent them because Irma was kind enough to accept a delivery for me and the delivery man was going to be late! It made Irma’s day; and I hate to throw this in, but that’s what I call Red Hot Customer Service!

Unexpected, out-of-the-ordinary and very nice.

Now it’s your turn. What will you be doing for the holidays and whose day will you make?
I want to thank all of you for the support you’ve given me this year while I have been growing my blog and testing new waters. It’s wonderful to know that you are out there; many of you drop me an email now and then or comment on my blog. How about this year you leave more comments and ideas so we have new things to talk about? Let me know what’s going on in your neck of the woods and what you’re doing through the holidays?
Whomever thought that cyberspace was impersonal didn’t know what they were talking about.

Happy Holidays, and love to you all.

You know, the one attached to the wall.

While helping my friend Mary clean out her mom’s home recently (her mom had recently gone to a nursing home) I noticed an old dial telephone on the shelf.

“Mary," I asked. "Could I have your mom’s phone?" 

Of course she replied "yes," but not until she asked "why?"

I told her it will probably be a collector’s item and besides, I won’t have to worry about losing it.

The longer I looked at the phone, however, the stranger it looked. It really is a relic.

The latest Forrester Research tells us that the number of smart phone users who access the Web daily from their phones is 36%. In addition, 80% of Americans are online which makes you wonder, in addition to Irma, my 94 year old neighbor, who isn’t online?

Another interesting statistic supports that three-quarters of these Americans have broadband, and have not yet added mobile or social network strategies to their marketing mix. I know, many of you that belong to the “I’m not going on Facebook ever” group are gloating. Don’t get too complacent, the latest statistic about Facebook is: if it were a country, it would be the third largest in the world. I never thought I would get myself involved with FarmVille or the Mafia Wars on Facebook, but they really are fun.

I would say it’s just a matter of time until we all move to mobile phones and Facebook. According to Henry Harteveldt, Forrester VP and principal analyst, one in four use their mobile device to research products they will buy either online or offline. For one thing, it’s easier. Forrester predicts that mobile will become the hub of consumer relationships. And it will be all about Apps.

I don’t have an iPhone but I am enamored with their Apps. If you need to know anything, just ask an iPhone user and they have an “App” for it. 

Want to know about the weather? They have an App. 

Want a recipe? They have an App. 

As Yahoo! defines it, an App — or application — is fun or useful software that can enhance your experience on your phone or on the Web.

So how will this affect your business?

• Communication in your business is important, knowing how your customers communicate is even more important. You don’t have to like where communication is going, but know it will affect your business. And by the way, what’s not to like?
• Is information about your business constantly being updated or is it forever carved in stone? Think of your web site as if it were a magazine cover. Would you open a magazine if the cover never changed?
• Embrace new technology; attend workshops on social networking and building your business, determine what do you need to learn and where you start. You may think you’re old school or behind other businesses, but for mainstream it’s fairly new. Don’t get complacent.

One reason to look at online marketing is it’s pretty cheap, and sometimes free. If you know your stuff, you can compete with almost anyone and make a dent in the marketplace.  Do you own a smart phone but still using it as a dumb phone? Take a trip to wherever you bought it and ask for a lesson or two on what it can do. That reminds me; guess I need a trip to Radio Shack for a lesson on my Blackberry.

Don’t get me wrong, I love Tiger Woods, he’s the reason I watch pro golf and the reason I got interested in golf. Maybe you feel the same way. Tiger represents all that’s great about pro athletes: persistency, focus and a willingness to work hard. He also has a beautiful wife, and two cute kids, I’ll stop here.

Okay, everything isn’t so rosy at home.

Supposedly he is surrounded by a force of “geniuses” whose primary job is to build, maintain and protect the brand called “Tiger Woods.” The question is, have they given him the right advice, did they act quickly enough or is Tiger just not paying attention? Does Tiger suffer from the “I know it all disease” off the greens? It wouldn’t surprise me. It isn’t that rare. I've known business owners that feel that because they're good at what they do, they must be good everywhere else, right?  Movie stars know how to stop wars and have opinions on everything, though usually loaded with inaccuracies. I remember Tom Cruise wanting psychiatry outlawed.

The Tiger Camp issued a statement saying that they didn’t know how to deal with Tiger; the whole affair threw them for a loop. My suggestion to Tiger: fire them! Businesses don’t hire experts for the easy stuff. He should have called his mother; she would have told him what to do—tell the truth.

Everyone has the right to privacy; and what you do in your own home is pretty much your own business. If you want to drive your car into your sofa who would care? Well your dog might care. But if you’re going to drive your car into a fire hydrant and back into a tree, the game has changed. And if you’re the biggest man on the greens, everyone cares. Helloooo… Tiger’s fans care.

NBC cares. According to the Wall Street Journal,  the TV ratings double when Mr. Wood’s plays. According to the Reuter’s blog, “Woods ratchets up television ratings whenever he competes and mentioning his name in a headline triggers massive interest by newspaper and online readers.” 

(Don’t worry too much about the sponsors, if there’s an audience deficiency, the advertisers are somewhat protected and will receive advertising credits towards other media buys.)

There are lots of unanswered questions. Where was he going at 2am, and how did all those things get in the way of his car if he was just backing out of the drive way? And could they really cause facial lacerations, bleeding, etc.? Is cool Tiger so shook up that he can’t do what he does so well—play golf? We hope not. Why did this even make the papers in this unflattering form? How important is Tiger’s reputation? My mom used to say all you have is your reputation; maybe Marie should have been Tiger’s marketing advisor. This didn’t have to be a problem. Was it poor management, poor advice or just panic in Tiger’s mind? So is it our business? Well no and yes. Simply enough, he hit the fire hydrant and you heard the variation on the rest. It’s not our business because he’s just a human being. It is our business because he’s chosen to make it our business. Tiger represents the best of what he does, the gold standard.

His life is no longer private; he has chosen to disclose the most intimate aspects. My advice: share the solution, his fans will stand by. His personal business is his business but it quickly became ours. Eventually we probably would have found out what happened. Okay so eventually we would forget most of it.

Okay so Tiger isn’t infallible, he’s real, and being real he becomes even more important to our society, if he “bellies up to the bar” as they say.

There are some important lessons for all of us concerned about our brands. Building a brand is hard; destroying a brand is a lot easier. So protecting your brand is important and takes a lot of work.

Tell the truth. Not telling the truth creates problems that don’t exist. Consult your confidants, your family, and your business associates before you issue any statements. When in doubt, call your lawyer. By the way, that was my ex-husband’s remedy for most events but I just figured it was because he was a lawyer. My ex-husband was right too. Remember you have loyal fans that wish you well, buy your products and sometimes wish they were you. By the way, we want our heroes to be good because we want to be like them.

Live by your ethics, breaching your ethics will always cause you and your loved ones pain. If your fans question your ethics your business will lose credibility.

Turn lemons into lemonade; look at the glass as half full, not half empty. These are wise words to live by.

Now that we know, share the solution.

A business owner told me his employee was drunk at a local bar and when the business owner confronted him the employee told him it was none of his business. He was drinking on his own time. Was it his business? You bet it was. But maybe he should have first discussed it with his lawyer before confronting his employee. You and your business are always on display. Several years ago I was traveling with an associate who decided to spout off about how stupid a prominent official was; of course his next-door-neighbor was sitting behind us.

I think Tiger and his marketing gurus should read the Velveteen Rabbit; have you read it? It’s a kid’s book written for adults. Maybe it will help them put a plan together. Here is a passage: If you want, you can have Meryl Streep read it, just click here.

"The Skin Horse had lived longer in the nursery than any of the others. He was so old that his brown coat was bald in patches and showed the seams underneath, and most of the hairs in his tail had been pulled out to string bead necklaces. He was wise, for he had seen a long succession of mechanical toys arrive to boast and swagger, and by-and-by break their mainsprings and pass away, and he knew that they were only toys, and would never turn into anything else. For nursery magic is very strange and wonderful, and only those playthings that are old and wise and experienced like the Skin Horse understand all about it.

"What is REAL?" asked the Rabbit one day, when they were lying side by side near the nursery fender, before Nana came to tidy the room. "Does it mean having things that buzz inside you and a stick-out handle?"

"Real isn't how you are made," said the Skin Horse. "It's a thing that happens to you. When a child loves you for a long, long time, not just to play with, but REALLY loves you, then you become Real."

"Does it hurt?" asked the Rabbit.

"Sometimes," said the Skin Horse, for he was always truthful. "When you are Real you don't mind being hurt."

"Does it happen all at once, like being wound up," he asked, "or bit by bit?"

"It doesn't happen all at once," said the Skin Horse. "You become. It takes a long time. That's why it doesn't happen often to people who break easily, or have sharp edges, or who have to be carefully kept. Generally, by the time you are Real, most of your hair has been loved off, and your eyes drop out and you get loose in the joints and very shabby. But these things don't matter at all, because once you are Real you can't be ugly, except to people who don't understand."

"I suppose you are real?" said the Rabbit. And then he wished he had not said it, for he thought the Skin Horse might be sensitive.

But the Skin Horse only smiled.

It looks like our Tiger is about to become real. I wish him the best.

By the way, this is a consumer with a problem.

The consumer had worked in high-end retail for many years and was in charge of training her salespeople, so for her, customer service was a no brainer. “Just give the customer what they want, period, and be nice to them,” says Ms Smart Consumer.

Apparently five independently owned retail stores didn’t quite get it, so Ms. SC purchased from Home Depot.

Here is a summarization of our conversation:

The customer had a preference for Stainmaster. The product came highly recommended so she went looking for the brand.  Her research showed that everyone had the brand.

Before shopping she went went online to update her carpet knowledge. Having purchased carpet several times before, she knew what to expect of the process.

She asked her friends in the neighborhood where to buy carpet. The Home Depot got good ratings, as did one of the Shop-at-Homes. For some reason, SC eliminated the shop-at-home.

Since SC was new to the neighborhood, she wanted to look around and decided to search a 40 mile radius. According to research this is very typical female shopping behavior—the journey is as important as the final destination. It’s all part of the experience.

Ms SC’s three top priorities were

1. Customer service
2. Price
3. Quality

She wanted nice carpet, but was frugal with her money. She didn’t choose “designer shops” because fashion wasn’t really an issue. She knows she has good taste so why waste time. (After being in her house, I would vouch for this.)

A trip to the nearest Home Depot came up first. Why? Because of their size, Ms SC felt that they would be reliable and dependable. This is an interesting association with the size of the store. Her experience with the Depot and the associates in the carpet department were friendly. If they were not able to answer a question they knew where to get the answer. Basically they were friendly and she liked them. She also found the installation special very appealing.

Next stop, the independent retailers.

I told you that Ms SC had been in charge of training in her last employment. What does she consider most important? Making the customer feel important, acknowledging their presence and making them feel smart. Her experience at the independent store? Not that good. Employees didn’t get out of their chairs to acknowledge her, they asked very few questions and most pointed to the carpet department and said call me if you need anything. She also remarked one of the stores also didn’t smell that good. SC mentioned the smell to her husband but this didn’t seem like a reason not to consider this store.

Bottom line, she wanted someone to talk to her, ask about her project and make her feel important.

Her evaluation: the prices were all similar and everyone had Stainmaster carpet. Where did she buy? 
The Home Depot, because everyone was nice and she liked the installation special. All of the pricing was the same or similar.

Okay, so this is one customer’s experience but it points up some very big issues.
You don’t always have to be super smart, but you do have to be super nice.
Customers want to feel special, if you make them feel special; you have a good possibility of making the sale.

Being reliable and dependable are two important traits. I’m pretty sure that the other stores were also both reliable and dependable but maybe it wasn’t obvious — no customer testimonials or data on customers’ experiences were available.

Customers will travel; in this case, since the customer was new to the area, she was interested in learning more about her area of the country.

How about some blogs? Blogs that welcome new residents to the neighborhood, provide warrantee information, stats on complaints, biographies of the salespeople and more, so that by the time the customer gets to the store the customers feel like they know the salesperson.

This of course is one customer’s experience, a customer with a problem. It does sound like being nice pays off.

In your experience as a customer, all things being equal, how important is an “extra nice salesperson?”