JPD Mom

Craft Boutique Etiquette and Hints

October 27, 2008.

Today I consider myself an artist and an Entrepreneur but not a crafter. I was once a crafter and even exhibited at many a craft boutique, show, home event - you name it I did it.  Okay, maybe twice upon a time.  it's not that Craft Faires and Boutiques are not great, they are just not what I do these days...but like I said I used to.  And if they were profitable for me, I would travel all over the place to with my proeducts - some products work and some don't.

With the holiday season (at least in retail) in full swing I thought I would give some tips, hints and help if you are thinking of doing a show, or exhibiting.  These seem pretty general and you might think, "duh Jamie we know this", however you would be surprised at how many people don't research and just jump in with two feet and think they will make a ton of money. 

Doing The Craft Show Circuit

In 1988 I started college, a junior college near my home.  I was taking a full load, living at home and  working part time.  This was the time of big hair, big jewelry and spin art t-shirt with leggin's.  While visiting a neighbor I came upon the idea to make earrings.  I made jewelry and I ran my first business, Designs by Jamie for about 4 years.  I had my products sold in physical stores, hair salons, nail salons and I did tons of craft faires. When I started Jamie's Painting & Design I actually started doing shows, trying to test the product and to garner interest and figure out price points.

I did the shows as a young college student and then much later as as a mother.  I sold two very different products and I sold to two different customers.  I don't think I know everything but I do think I learned a thing or two; 

1. Every show is different and you need to accept that. What works for one show will not work for another.  You should recognize the audience and make product, or price product for each show.  I had the good fortune of having products at different price points and was able to be flexible with each show.  One year I developed these present box pins for women to wear - they were super easy to make and they were priced at only $5.00 - one year we sold out at every show.
2. Make your prices easy to read and easy for the customer.  Shocking I know - some shoppers only want to browse and do not want you to point out the price point and reason for the price on each item you painstakingly made (believe me I get it).  Make your prices easy and put price tags on items.  A $10.00 item is going to be an easier sell than $11.99 - know what is an easy last minute purchase vs. a well-thought out piece of original artwork.
3. Bring items that your customer is willing to pay for.  Even if you are a renowned artist (again, trust me I know you are talented) does not mean that the Craft Shopper wants to hand over a bunch of bills to you.  Most are just there to look, and some customers are there for original items, original gifts.  Everyone wants a deal though.  You are fighting with the guy who sells hot-dogs, the woman with the Falafel, the beer man and woman with her $1.00 table of crappy cheap toys from Oriental Trading Company.  An art show does not always mean that the customers come with "art" money to spend.
4. Be flexible.  If you look around and realize your products are over-priced make a change and make it fast.  I once did a show for a mother's club and at the last minute decided to sell wholesale - in two hours I had 40 sales.  And do not forget to tell them you are having a sale.  I made up a big ta-do about how this was a once in a lifetime sale for the mother's club - it worked, and I still made a profit.
5. Enjoy the Event.  If you hate talking to people and you hate craft faires - then don't do them.  You have to love the possibility of a sale, you have to enjoy sitting at the booth for a long, long time.  And maybe days...be prepared and ready to talk to people.  If you enjoy the whole experience - this is for you.  I only like it when it is super, super busy - I can't stand to sit there, makes me crazy.
6. Develop a Thick Skin.  Be prepared for some harsh in your face criticism.  If you can just go with the mantra, "I can't please everybody" you will do fine.  However if two women walk by and they start to insult your products, discuss how ugly your products are and pretty much depress you...suck it up.  I have had more compliments on my work than negative comments - however the bad one's stick with me.  If someone is willing to discuss with you, your prices or your products - maybe engage them in a conversation.  Just listen, you won't change them but maybe they will give you a great idea.  Or ignore them and go grab yourself a Falafel.
7. Get with the Holiday.  If you are doing a Fall Boutique - get with the program, people expect fall stuff.  You selling sloppy seconds from Christmas at a July boutique - not so good.  Have an idea what the "theme" of the event is and have something, anything that fits that category.  Your customer will be looking for that - again, know your customer.  Here in the bay area there is a huge Pumpkin festival - we found the stores in the area and did fall and pumpkin coasters for them - with enough time for them to sell them at the event.
8. Walk Around.  I had to do many a show alone, I know how it can be - long and boring.  Try to get a friend a family member - another person who has a booth to let you get out.  Get out and walk the show.  See what others are doing, watch other people.  You can see an your next year at the show, or you can see what not to do.  You may see the same people at the shows year after year - play nice.  They may be the only personal conversation you have for the next 48 hours.
9. Do the Math.  You need to pay very close attention to the cost of the show, any hidden costs and the amount of inventory you bring to the show.  When I made jewelry I never looked at margins I charged the same for a pair of earrings with paint and glitter as one that had 14 rhinestones on it.  I knew what the customer would pay (the most was about $20.00), but I was not great about figuring out my cost.  Some shows have the vendor even give a percentage of sales to them after the show.  So you pay $500.00 for booth then 10% of sales - you better sell a lot of stuff!
10. Competition.  This is a fine line for you to walk, because first you do not want 14 other people doing what you do.   You want to stand out - but not too much.  If there are some other people making jewelry sort of like you, but not a ton that could be good.  However, find out if this is a good jewelry show or maybe mostly straw dolls.  It's hard to find out, but do make sure the show is right for you and if it is not do not do it again.  Find another one.  It is easy to get information on the Internet, research the show to death.

In the end if anything it is good to get out there and see what the customer is saying.  I wish I had taken better notes at these shows so I could help other's wishing to exhibit.  Each show is a learning experience, don't be afraid to change it up - especially if the show did not cost much to exhibit at.  Good luck and be careful with them glue guns - I have many a scar on my hands from those suckers!

Thank You Everyone....well Almost Everyone

October 16, 2008.

I am not always a total downer and sometimes I need to prop everyone up once in awhile.  I thought I would start, or end October with some "Happy Thoughts".  I have kept this blog up through good times, through bad, through slow times, through fast times at Ridgemont High....oh wait still in a 20 year re-live the 80's high.  Um, let me start again - I want to send some props, some thanks and some bumps out to my peeps.  I sometimes am not so sure I say it enough, or give credit where credit is due.  If you are in the snarky bunch (me likey you no worries) and not into some serious reader love now.....you may want ot avert your eyes, or go over somewhere else for the day.....sorry I could not help myself:

Thankful is as Thankful Does

I started this blog three years ago, that is like small and not even a big deal in the blogosphere.  But to me - it has been ages, a long, long time - and a ton has changed.  When I first began I got some props and I would like to send the thank's back.  And just so you know this is in no particular order (yes I am looking at you London...).  I thought I would start with ten.....I am sure I could go on for days with my thanks....I will save the others for November.

1. Emily Hurley a friend from college, has read this blog from day one, she has given me advice, pat on the back and a little nudge to keep going when I was sure no one was reading.  She was the first one to comment way back in the day and I am forever grateful....even if I did not know what comment meant at the time.
2. Vicki Bodwell of Warm Biscuit Bedding, who I told she should start one (way before she did) has been a reader, not always a commenter but ALWAYS (and yes I am yelling) one of my biggest fans.  She always tells me, whether by phone or by email what I am doing right and to keep doing it - I am forever a friend to her.
3. London Edwards who sent me one of the most "blushing" complementary emails about my  blog I have ever read.  You know we have become fast friends and even exhibited together, but her first email has been a huge inspiration to me.  I now have no problem emailing other artiststs or artisans, even competitors complimenting them on their successes and their work.  Thank you London - hope to see ya before we hit 40!
4. The Ms. Divine......no not Oprah, though I should thank her just in case.....I mean Shelly Kennedy, she has been an inspiration and a support system.  I am lucky to have met her in person and I am also lucky to say we talk on the phone and in email...when I most need it.  She is always positive, often funny and so many times has a nugget of information for me that I had not realized was there.
5. Jill Asher, one of the founders of Silicon Valley Mom Blogs, who took a chance on lil' old me (yes I have used that phrase one too many times in last posts and swear this is last time) and let me contribute to her blogs.  I had no idea what an impressive group of women I would write with, nor would I have had half the opportunities without my affiliation with this group.  I am forever thankful for the opportnity to be able to write "Mommy posts" with some uh "Angry Posts" and I am never censored.  Thank you Jill!
6. Michelle Allen who I found through some random blogs... I have no idea how I found her  but I am so thankful I did.  I linked to her, she back to me - and the rest is history.  I was fortunate enough to meet her too (later post) and have to say she is one of the most honest and genuine people I have met, not to mention super creative, her sketch book puts me to shame.
7. Carrie Sommers who I met (again) through some random link, I think she may have commented on my blog first but who is keeping track?  She is an entrpreneur with so much talent and graphic design in her pinky she almost makes me vommit...but she is a cyber0-friend so no bodily functions will I spew.  She always answers my questions, is forever honest and I am so thankful for her wit and quick sense of humor.  Follow her on Twitter - it is worth it!
8. Amber Starr of Baby Fabulous, whose posts make me a better blogger.  Her knowledge of the celebrity clientelle and watching her start her business is facscinating.  She emails me when she can and she is always helpful and never holds anything back.  I am hoping on my next trip to San Diego I can meet this woman of all trades - 'cause she puts me to shame.
9. Carrie Weir of Los Politos, again I am not sure how I ended up linking to her blog.  I did happen to see her article in Working Mother years ago and recall thinking "Hey she looks talented!".  She is the publicist I wish I could be and the Marketer Extrordinaire.  Nothing I bring up has she not seen, read about, wrote about or does not have an oppinion about.  I could talk to her on the phone for hours.....a true talent.
10. Sarah Jane for her kind emails and positive attitude.  She is always so grateful and thankful to me for help - she is also very open and willing to share her own wisdom.  And, to top it off she is a fabulously talented artist who makes it look too easy to raise children and run a business.

I'm a Little Big Techno

October 7, 2008.

I spend a good amount of time on my computer in my office or at my studio at home.  I am not so sure I could function without my email or the Internets (heh heh you know what I mean?) that I use daily, okay….hourly...or more like checking email every five or um two minutes (yes I am checking as I write this).

I am always blown away when I meet someone that either does not utilize their computer.  I then find myself talking real slow when I interact with them.  Whether it be the checking files from home with GoToMyPC, checking emails at the park with my blackberry, shipping labels done on line, my digital camera, Twitter (follow me k?), voice mail, Photoshop, writing this blog, Facebook (okay snuck that in, not really for work), Linked In, really need I go on?

If you are not willing to embrace your inner-techno-nerd I say, "Shame on You!"  You want to just sit in your studio and hand paint every product you ship out?  Maybe take orders off your fax machine? Really? Hmmmm, doth protest too much no?

Information for Artists Licensing Art

October 5, 2008.

About a year ago I joined a Licensing Group.  I heard about the group through Cheryl Phelps, who I consulted with a few times regarding licensing my art.  The group meets once a month to review our goals, share successes, failures and pretty much support each other.  I say the "group" instead of "me" because I have a hard time making it each month, it is an hour away and we meet on Saturdays and well, two kids, two dogs and a business....not much free time.  However, when I do go it has always been helpful, insightful and well really inspirational.  I don't have art classes, art critiques, or an art professor to move me along.....just lil' ol' me and some artist friends  and ceramic friends on the Internet (oh that sounded kind of dirty, but you know what I mean, right?).

Yesterday it was a full house (literally we met at one of the women's homes) with excitement.  You could feel it in the air, and you could also sense the nervousness - yesterday an Art Licensing Agent and a Creative Director from Mossaic were speaking.  They were also going to review some of our art.  And like the super-good honor student that I was (sometimes, in Art & English of course) I took me some good notes, so in no particular order:

1. If you are going to contact an agent you must have your website in order.  Do not make it  hard for them to click through to site.  They also do not want to read how you started painting in the third grade and your grandmother taught you how to sculpt and you and your 4 cats live in a van down by the river.....  They look at art first, and your information second.
2. The colors you choose are sometimes more important than the art.  If you are using hot color combinations from ten years ago, they may never see past that.  Know the trends, pay attention to what is hot now, or what is "going to be hot". 
3. Don't be paranoid about getting art copyrighted before sending, the agents are professional and are not going to steal your art.  Some artists are so freaked about showing they end up not getting in front of anyone - show your art.
4. Only show recent art, art from two years ago - forget it.  You are trying to get them to represent you - show your BEST and NEWEST designs.
5. Before pushing send on that email - do your homework and check the agents website.  If they only do Thomas Kinkaid and Country Folk Art......and you design tattoos, um maybe pick another one.
6. They also recommend submitting between 10 and 15 pieces.  One piece - does not tell them anything and 456 pieces.....eh over kill.
7. Put your name on everything you send.  And if you are smart add your phone number, email, website, name of your parents, first pets name, social security number, driver license.....okay maybe not all that information.  Do know, they look at hundreds of pieces of art and will not remember what you did - put your information on everything - create a stamp or something.
8. You need to have about 50 to 100 images in your portfolio. 
9. These agents are looking for more painterly work, not the graphic look that is so popular today.
10. Make sure your line is consistent and that it can be easily recognizable in the same family, people should be able to tell it is all by the same artist.
11. They are always looking for floral designs
12. They are always looking for Christmas designs, this is the most popular art.  Halloween is a close second, nd then Thanksgiving and Fall.  Valentines day is fourth.
13. When contacting them get to the point quickly, only time to write a detailed letter or email is to list your successes in industry or other licensed agreements you have.
14. If you get the hand....er if you get rejected, then wait 4 to 6 weeks to re-submit.  Do NOT send same images, send something new you have done.
15. The word for next year is "Comfort", figure out what that means....but know it.

Do Your Shopping Homework

When looking for new styles, new look, new color combinations do not shop at Target or TJ Maxx, those are years after the fact.  Go to Gump's, the trendy boutiques near your home or Neiman Marcus, Anthropologie - shop at the top.  No time to shop go to Print & Pattern's blog and read it.....religously.  Restoration Hardware - nope, already watered down.  This will help you identify where the art is going, the styles and the colors are going.  Watch trends or colors go through the channels - starting with fashion, high end art, color combinations in the home - be aware of this.  When it hits WalMart - that trend is over.  Look to Europe for next year's themes and colors, they are about one to two years ahead of us.

Get the Facts

Do know that whether you go with an agent or try to get contracts alone - this is time consuming work.  The ones that are successful are able to paint quick, and turn around a LOT of art.  Also, if you know Photoshop and can manipulate your art - that is a good thing too.  Now, there will be some that buck the trend and be able to create their own "trend or color combinations" - those are few and far between.  Watch what is going on and this is not copying or plagiarism - take your own spin on the trend.....own it, make it your own.

Where are we now? We are in the re-birth of the 70's and 80's, notice the looks the colors.  Where  will be next - the trends are always 30 years out.  How can you (or me) take the next trend to the next level?  What was hot 30 years ago? What color combinations do your remember from way back in the day?  I don't know about anyone else reading this blog but 30 years ago I was in second grade, watching House on the Prairie and sulking cause the boy I liked did not like me.  Colors and Style?  Gaucho's, knee socks and clogs?  Holly Hobbie??  I may have liked rainbows.....?

What I Learned from the Meeting

I have old art in my portfolio - all the new art I just designed, should have put it into tear sheets.  I need to be watching what is up next, following color trends - even if I don't particularly like the new look.  I also need to realize that the companies I submitted to that never emailed me back or kindly declined (or not so kindly) I need to re-submit.   And, sheesh I need to paint, draw and sketch more - oh ya I am hoping to find time to do that.

Anyone else have other thoughts, facts or questions regarding licensing do's and don'ts - feel free to comment and share.  Information is golden and I am always happy to learn from others.

 

How Wholesale Businesses Get Paid

October 1, 2008.

I have been following the financial "crisis" rather closely the last few, oh I don't know um 18 months!  How could I not be following it?  What small business owner is not checking her list once or twice, finding out which company has been naughty (not paying bills on time) or nice (uses a credit card)?  We have all heard the sob stories of how times are tough, blah blah blah - I hear ya, I am there and times are hard.  Sales are down, times are hard - now not live in a box, wear a potato sack, make rock soup hard - but being a small business owner right now - not so fun.

I wrote another post about this very topic over at Silicon Valley Mom Blogs.  I think here though I may take a different approach, a not so much Chicken Little but more a what I call,

"If you do not pay me I won't ship your product, and if I don't get paid I don't get to EAT!" 

The Beginning

Just so we are all on the same page I thought I would tell you how my business works, not how everyone does it just how I do it.  My way is neither right nor wrong - but it has worked for a number of years.  I have my products sold through channels, these are sales channels that have already existed before lil' old me came along.  I have lots and lots of channels, sales channels that all do their billing, their payment schedule, their advertising, um their list of who gets paid first differently.  Sometimes I am on top, and sometimes I am not.  Humor me as I go through the details:

The Wholesale Process

1. So - let's just say a popular children's online store sells one of my birth certificates: $35.00 (that is the retail price).
2. Then they charge the customer a $10.95 for shipping.
3. A $2.95 handling fee.
4. Let's add in a $5.00 gift wrap.
5. Next the on line store takes the customer's credit card and charges the customer a total of....wait for it.....hold on I must add on the fly, carry the 1, add the 5 okay got it: $53.90.
6. Confirm order has been taken, send nice thank you email to customer that order will be shipped in less than two weeks.
7. Automatically (or manually) generate an email that goes to my company placing the order.
8. My company sends an email back, confirms the order.
9. We put the order through our process.
10. We have the art made, it is put on the tile. It is personalized, can not be re-used or returned.
11. We put the ribbon on the tile.
12. We kit the order.
13. We make a shipping label for the order and we send an email to sales channel with tracking number and ship date (yes we are efficient like that).
14. We gift wrap the order.
15. We ship the order on time, just like we promised.
16. We bill the company for the order we made.

It has now been two weeks since we made this order.  We are out the money for purchasing the tile, the ribbon, the gift wrap, paying the employees to make the tile, ribbon the tile, shipping the tile.  We have done our part of the bargain - we have kept up our part of the bargain, am I repeating myself again?

The Payment for the Sale

1. We sell the tiles wholesale for $17.50 (the sales channel doubles the price).
2. We charge $10.95 shipping charge, this is a charge determined by Fed Ex, we don't profit.
3. We charge a $2.50 handling fee, it may be lumped into shipping but we have to make a box, wrap it in bubble wrap,use popcorn, seal it, label it.
4. We charge a $5.00 gift wrap fee - consists of wrapping paper, ribbon and a hand signed gift card.
5. We are owed $$33.45

Now you are probably thinking, what is the big deal Jamie?  Why do you want your money so bad?  It is not that much money to haggle over, just sit tight and wait for the money. 

"I Want My Two Dollars!"

Let's just say for argument sake that we have a 30 day net with this company and we trust they will hold up their part of the bargain.  You are correct- we are set up for this, we are fine waiting 30 day.....yep, 30 days, we will wait - and after 30 days?  Then what?  Let's just say 30 days comes and goes, we send out a reminder that they need to pay. 

But you see dear friend the sales channel took a credit card - the money cleared 48 hours after they took the order.   And I am not just waiting 30 days for that payment, I am waiting the two weeks it took to make the order(14 days) + 30 days before I get paid.....44 days IF they pay on time.  If they pay on time - all is great, all is good - what I signed up for a "win win".  However, if they do not:

By day 45 we have sent out numerous reminders, phone calls and still not a response.  At this point we threaten to hold all orders - which we do with a nice, but stern email stating why we are going to be holding any existing orders if this is not taken care of.  By day 60 we send out another email continuing saying now we will hold orders and we send the email to the owners, the customer service, the accounting department (again) and we are still out all of our money. Let's also say that this is not the only invoice we have outstanding with this company - let's say there are like 10?  Hmmmm.....shoot now I have to do math again, 10 x $33.45 = $334.50.

Fast forward to about 90 days and we still have not been paid. We refuse to accept orders.  Again, a little problem in our process, having to shout "NO DON"T SHIP THEIR ORDER!"  Or put post-it's on all the orders not to process - again, a tad irritating when we held up our part of the bargain.  We start to consider suspending our partnership and contacting the poor customers products we have.  Well, it can not get worse right? Right?

Bye Bye Sales Channel

One day while surfing the ol' internet we see the company is gone. The website is gone.  The phone number is disconnected.  There is no one to contact to pay us, there is no forwarding address.  Our last email came back as undeliverable. We can not find them on Google, we can not chase them down for our measly $300.  I feel bad they went under, I feel bad the company closed - I can not imagine how hard that is, but what about me?  What about me getting paid?  What the heck did they do with the money?  Pay someone else? Pocket it? 

Multiply this time 5, 10, 15 or even 20 channels?  What if more and more of my channels stopped paying their bills or went out of business?  Ten channels - heck that is rent payment right? That is a salary.  Heck just ten of those is huge....huge I tell you, and I am not kidding.  It has not gotten that bad yet, but it has happened, we have lost channels, we have lost money.

Blame it On the Economy

I got into business because I wanted to own this, I wanted to be in charge - I know that.  Nor have I ever been in business during a down turn, a recession a (gulp) Depression - all has been good.  This just one example of what has happened to me.

Now this is easy for me to blame to the economy, gas prices, raising food cost, whatever.  However, as a small business owner if I don't get paid I can't stay in business.  Then I don't spend money.  That affects other businesses that I would purchase from - my tile company, ribbon company, office supplies, phone company, shipping supplies - I can't pay those people.  Not to mention my people, I can't pay my people.

The Economy Affects Everyone

I have tried to explain this little fun scenario (not so fun right?) to those nay-sayers that tell me all is fine.  Yes, all is fine....for now.  But this little story I tell you about one channel - it is not made up.  It is true.  And companies paying late, or not paying is more common than I can tell you.  We do try to make companies pay for first order, pay up front, pay before shipping or pay with credit card.  Most of our channels are very good partners and we always try to work with them if we can - we understand.

And most (make that 99%) of the companies are not like this, I work with some of the bestest mostest wonderful channels, some I can call friends, even really, really good friends.  But even good friends can't pay you sometimes....*

*Please note that I will not divulge which company this was, nor will I say who pays and who does not.  I have hundreds of sales channels and only a little more than a handful are EVER a problem.  The solution is to communicate with the other company, so both understand how they can make payments or how we can help.  This post was just to make people understand that if the economy is in trouble it trickles down to us small business owners....all of us.  And yes if you must know this is a true story, and NO this was not a friend....and yes I am still mad.