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February 28,
2013 by in UnCategorized 
By Home Furnishings Business in on March 2013
Sheelys Furniture & Appliance Co-Owner Sherry Sheely likes to put herself in her customers shoes on a regular basis.
I make a point of walking into my front door at least once a week to see what customers see, Sherry said. We carry an array of beautiful furniture in room settings, and you can see 40,000 square feet of the showroom from the entrance.
Sherry, who owns the North Lima, Ohio, retailer with her husband, Dale Sheely Jr., wants to make sure shes cool with what customers see when they walk in, especially since the retailer has set itself up as a furnishings and appliance destination for customers from as far away as Pittsburgh, Pa.; and Columbus and Cleveland, Ohio.
A TRUCK AND $100
Sheelys origins date to 1952, when Dale Sheely Sr. established the retail business as an outgrowth from his work as an electrical contractor serving a booming housing market in northern Ohio.
Its the old story of $100 and a pickup truckhe traded his Studebaker to get a pickup truck so he could make deliveries, Dale Sheely Jr. said. He started with hot-water heaters, then ranges, and then someone asked if he could get a dinette.
He paid for everything with cash.
Dale Sr. relied on honesty and fairness in dealing with customers, and everyday low pricing. He also didnt advertise like other retailers, relying on word-of-mouth and repeat business.
That ethic persevered as the business grew into a home furnishings and appliance destination that reaches as far afield as Pittsburgh and Columbus: The first credit the business requested was a 90-day note to support a new store opening in 1982, Dale said.
The business is part of Dale Jr.s lifehe got his first profit-sharing check when he was 9-years-old, when he started out burning cardboard packaging, and finishing off assembly.
I put a million screws into a million pieces of hardware, he said. When I was 21 I started buying lamps and accessories. It was something my dad didnt like to do, but it was becoming a big part of our business.
From there, Dale moved into buying occasional tables, bedroom and dining room.
He also got a big dose of the customer service side of the business: For 20 years I handled all the complaints for a store making 20,000 to 30,000 deliveries a year.
MAKING A BRAND
Sherry began working at Sheelys in October 1976 in the companys lighting warehouse. She and Dale Jr. took over running the business in 1994.
Sheelys had done pretty well on Dale Sr.s model, everyday low price, no finance shenanigans, and a reputation spread more by word-of-mouth than advertising.
When Dale Jr. and Sherry stepped in, I stepped back from buying and tried to see the forest, not the trees, Dale said. Were trying to make a destination between Pittsburgh and Cleveland. We didnt do no-no-no, we in the middle of nowhere, and we do no advertising. We had to make ourselves into a brand.
The first step in turning Sheelys into a go-to destination was a complete store remodel.
We started from one end and remodeled the entire store to make it more appealing to the female consumer, Dale said.
The store started its first television advertising at that point, focusing on trust and free local delivery. It helped that Sheelys had its on team of drivers and helpers on board (the retailer now leases its trucks due to favorable terms on leasing versus owning). Most of all, its a nice place to visit.
Our maintenance, housekeeping, merchandising, painting are impeccable, Dale said. Our bathrooms are pristine. Its all about making the store a place people want to shop.
NIPPING PROBLEMS IN THE BUD
The retailer also committed to no-hassle, problem free product delivery. The store maintains between $3 million and $4 million in inventory; and as Dale commented,
We dont let a factorys problem become our problem. We dont have an outlet center.
What Sheelys does have are eight wood furniture technicians, four upholstery technicians and four appliance technicians on staff.
A lot of retailers sub out their service, but this gives us better control, Dale said.
All thats a reason that, while the store carries name brands, thats not what brings customers in.
People arent going to drive all the way here to buy a Flexsteel sofa, Sherry said.
Theyre coming to Sheelys. (The stores Web site has videos along the theme Why you should shop at Sheelys.)
ADS THAT ADD VALUE
Our ad agency came up with the idea of doing 30-second design tips spots, Sherry said, all tied to Sheelys Web site. Its the idea of customers getting something for nothing.
Dale credits Sherry with accelerating Sheelys efforts in value-added marketing.
We do our own commercials, Sherry said. We try to educate. Your lifestyle isnt only the clothes you wear, its the furnishings in your home, and your style is your personality. ¦ Whatever your style, we have it.
We tell our salespeople, Youre not selling a sofa, youre selling a lifestyle.
Commercials, all carried on the Web site, include themes such as Domestic Diva to Fashionista and Dress Your Home.
Theres a very strong personal touch as well: Three of the commercials on now on our Web site were done in our own home, Sherry noted.
Social media plays a growing role at Sheelys, which used Facebook to promote its 60th anniversary with a $20,000 furniture and appliance giveaway; and monthly giveaways for Facebook friends.
We have a 27-year-old young lady with a masters degree in communications handling our social media, Dale noted. Were working on a Pinterest contest right now.
LIVING THE MESSAGE
No one around here carries as much as we do in as many categories, and its heavily accessorized, Sherry said. We have three full-time decorators on staff and a merchandising manager.
Lately more customers have been asking for domestically made goods, and Sheelys responded on its floor.
We have two great Amish lines made here in OhioYutzy and Palettes of Wineburg, Sherry said. Its a great option.
Sheelys also separates itself from the competition with a no sales mentality.
We try not to be in a situation where we have to run constant sales, Dale said. We prefer to run eventsgiveaways, free this, but not things that cost us margin.
That also means when Sheely does run its once-a-year warehouse sale on discontinued merchandise and cancelled special orders its not eating into moneymakers on the floor. It also means customers actually respond to the message: We had 2,000 people through the door this past Saturday, Sherry said early last month of this years warehouse sale.
A 12-month financing offer around New Yearsthats as far out on financing as the store goesdrew 1,500 shoppers.
THRIVING THROUGH RECESSION
An old steel town, North Lima might appear a dismal place to have a home furnishings business during a recession, but Sheelys efforts to create a destination with wide geographical reach, its traditional avoidance of debt and strong sales training had the company growing sales ahead of many in the business.
We operate on cash flow, Dale noted.
In 2008, Sherry said Sheelys took a fine-toothed comb over all our operations. We saved $8,000 a year on cleaning supplies. ¦ Every department can cost you money or save you money.
In 2011, the store chalked up its best furniture sales year in 60 years of doing business.
I attribute that to a well-trained sales team, Sherry said. Theyre in training five to six weeks before they hit the floor. We carry 25,000 SKUs, so theres a lot to learn.
Furniture salespeople sell everything but appliances at Sheelys.
Furniture is a wantappliances are a need, Sherry noted.
Sheelys also is bringing in new blood to keep the ball rolling. That includes General Manager Jeff Curry, who started in December; Sales Manager Paul Stehnach; and Warehouse Manager Bruce Wiser.
Ive been here 50 years, and Ive never seen anything like the energy these guys bring, Dale said. HFB