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Brought to you by Home Furnishings Business
Hands on the Wheel
October 31,
2012 by in UnCategorized 
By Home Furnishings Business in on November 1, 2012
Lots of retailers bring containers of furniture in from overseas, but how many float them in the other direction?
One would be Naders La Popular Furniture, a third-generation family owned business whose three stores and clearance center serve the cultural melting pot of Los Angeles South Bay area.
A hands-on approach to running their stores; a high-profile in the communities where the stores are located; and a commitment to promotional to mid-price values delivered quickly have Naders weather a tough economy and set up for challenges ahead.
GENERATIONS OF CUSTOMERS
That kind of loyalty was years in the making. The store boasts three generations of customers to match three generations of management. Along with President Chuck Nader Jr., senior management includes his brothers George Nader, vice president and CFO; Fred Nader, vice president; and Paul Nader, vice president and warehouse and Carson store supervisor. Four of the Naders sons also are coming up in the company.
Through the years, the Naders based their business on good deals on furniture, delivered fast.
Our father (Chuck Nader Sr.) started 56 years ago with a Sears Roebuck mentality, Chuck said. Hed been a salesman there and wanted his own business.
At the time, housing in the market Naders served average around $10,000 a home, so it started out as a low-price dealer but eventually moved into middle price points.
The store always sold a lot from stock, but kicked that up even more the past 10 years, when it was able to by large container quantities of imported goods to hold in its 60,000-square foot Carson warehouse.
Over the years weve brought in a large quantity of inventory, and we sell only what we have in stock for immediate delivery, Chuck said.
Most deliveries are next-day, though the retailer will work with customers who need the goods same-day. In addition to selling from stock, Naders La Popular owns a five-truck fleet to service its fast-delivery commitment.
We like to deliver from the warehouse instead of bothering the showroom floor, said George Nader. Well also order close-outs that we sell at the clearance center.
Naders La Popular always has written its own paper, and financing has been a key to its long-term customer relationships.
Our dad started with carrying his own paper, so from those original customers we have second and third generations coming to us for financing, Chuck said. We serve a mixture of ethnic backgrounds from all over the Los Angeles area.
More than 20 years ago, the family business joined the La Popular group of stores, which catered to the Hispanic community. The store has Spanish speaking sales staff, but the cultural customer mix goes way beyond Hispanics. Of the six original La Popular operations, just two remain in business. Naders extended its reach to other customer bases to reflect the markets it serves.
One of the reasons were still around is we adapted and changed, Chuck said. If you dont change, you die.
Thats where shipping containers comes in. Some customers like Naders La Popular so much they dont want to deal with anyone else, even if its for family or homes overseas.
Weve shipped containers of products to Nigeria, Hawaii, Ecuador, Samoa, Chuck said. One family of customers had a home in Nigeria. They liked what wed done for them here, so they wanted to furnish that other home with us.
REACHING THE BASE
Naders La Popular reaches customers through Naders stores in Gardena, Carson and Signal Hill/Long Beach, and a clearance center at its warehouse in Carson. In addition to its namesake Web site, Naders operates separate site, bestofferfurniture.com, that reaches customers throughout the United States.
What we key upon is the fact weve been in business 56 years, said Fred Nader. Were family owned, and we have a third generation coming in with fresh ideas. Weve listened to them and brought in more modern product.
The brothers also keep their hands on the customers pulse, managing from the front so they can react fast to shoppers preferences.
Were out there talking to the customers, so were able to change the floor quickly if we need to, if theres something we find more people are looking for, Fred noted. Carsons a smaller store (than Gardena and Signal Hill), but they still have the same selections, just not as deep.
From a merchandising point of view, the Carson and Signal Hill stores maintain what Chuck called the best of the best of whats working at the Gardena location.
If we try something new, well try it in Gardena before taking it to the other stores, he said.
Naders La Popular also is front and center in the communities it servesGeorge is a past president of the Kiwanis Cluband the business is represented in groups such as Rotary, Elks and Lions clubs and chambers of commerce (the Gardena Chambers 2012 Business Partner of the Year); and various charitable efforts (see sidebar: Lending A Hand).
SPREADING THE WORD
Naders La Popular is a bit of a maverick relative to a lot of furniture retailers when it comes to advertising. The stores used to run television and radio ads, but have backed off that in favor of more targeted materials and print, including direct mail flyers, newspaper print, Facebook and Twitter, among others.
The ads are going to have more of the promotional goods to get people into the stores, George said. Flyers still work the best, but we also do some wraps with the L.A. Times. We used to do TV and radio, but nothing works for us like direct mail.
We send e-mails to homeowners, instant credit letters. We still write our own paper, so we want to keep those people coming in. We also offer layaway, so they can pay a purchase off over time; or they can get it if they roll it into and account.
Those kinds of services were a big help in a tough economy. Another was that the Nader brothers helped absorb its impact on the business.
We hung tight, we didnt bicker, Chuck said, while Fred added that management took personal cuts in pay that helped the store keep its employees.
It goes back to what Fred was saying earlier, George said. Weve been here for a lot of people a long time. People will tell their friends, Go see the Naders, and when youre in the store, youll see a Nader.
Our focus is working the floor and being a part of the everyday business, Chuck reiterated. Were definitely hands-on people.
Even when they arent in the showrooms themselves, the brothers are set up to stay in the loop.
We have video cameras in each of the offices to keep up with whats happening on the floors, Chuck noted.
SETTING UP TO WIN
Looking ahead, the Naders are gearing up to face a couple of particular challenges they see in the near future.
In the upcoming year, Im worried about the cost of importing goods, Chuck said. Im hearing of possible (general rate increases) attached to containers starting Dec. 1 and another coming next year.
Holding price is the greatest challenge well see. The other challenge is the possible strike at East Coast ports. ¦ That would jam West Coast ports and raise the average container price from $3,000 to $4,000.
Soaring gasoline price in California are another challenge that affect Naders La Popular customers and cost of delivering product.
How to respond?
Were loading up our warehouse and trying to get product in before Dec. 1, Chuck said. Were approaching the busiest six months for furniture retailing, and people who have inventory in stock, especially if they bought it at a good price, are going to win.
And the store will keep tweaking its approach in search of opportunity.
Right now were throwing a lot of (ad) dollars at different avenues we havent tried beforeif one of those kicks well keep it, George said. Were throwing money at our (Naders) Web site. Well get deeper into social media.
Well revisit it all and see whats actually kicking for us. HFB