Daily News Archive
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March 25,
2007 by in UnCategorized 
By Home Furnishings Business in on March 2007
Foamex International is debuting Reflex Natural, a high-performance, environmentally-friendly flexible polyurethane foam for the furniture industry, at High Point Market, which starts today.
The new product is available in booth 1-482 in the GREEN Style Pavilion, on the first floor of the Suites at Market Square,.
Reflex Natural is made partially from plant-based renewable raw materials, which Foamex said replace significant amounts of the petroleum-based materials traditionally used in foam-making. In addition, Reflex Natural is manufactured using Foamex’s proprietary variable pressure foaming technology, a virtually emission-free manufacturing process that creates significantly higher quality cushioning material in a wide variety of density and firmness, resulting in a product that provides consistent comfort.
It also contains organic, halogen-free fire retardants.
“Reflex Natural will provide Foamex’s customers with all of the physical properties they have come to expect from the Reflex line, while delivering a unique combination of significant environmental benefits as well,” said Andrew Thompson, executive vice president, foam and technical products for Linwood, Pa.-based Foamex. “Reflex Natural provides the durability, comfort and feel our customers have become accustomed to and is a tangible example of our commitment to become the foam industry’s leading environmentally-responsible company and supplier partner.”
March 25,
2007 by in UnCategorized
By Home Furnishings Business in Accessories on March 2007
Were you looking to get into furniture licensing when you started with Rooms To Go?
No, I was not looking into furniture licensing. I was kind of looking at licensing opportunities, but what happened is (Rooms To Go Founder) Jeff Seaman had read a story on Kathy Ireland and all the success she was having (in furniture licensing). A short time later, he was looking through a magazine at his mom’s house and saw a picture of me from my Omega watches campaign. He put two and two together and got in touch with me. I wasn’t familiar with Rooms To Go because it’s only in the Southeast, so before I really wanted to get into discussions with them, I told them I needed to come and see a store. I went down to Dallas and checked it out. That trip made me very, very interested, and we moved forward from there.
What was your impression of Rooms To Go?
I think my initial concern was that if I want to put my name on a product, it should be something I really believe in. So, when I went, I was really impressed to see the quality, how well they put their stores together and how they present the products to the consumer in a way that’s so easy (and affordable). I’m from the Midwest, and my dad was an electrician. We rarely had new furniture, and if we did, my parents couldn’t afford to buy a whole room at a time. But, when you go to Rooms To Go, you see how they make furniture accessible for people, and they also help with the coordinating of it. The prices were amazing to me, and, on top of that, you can get it the next day. Plus, it’s all put together in a way that takes some of the guesswork out of decorating. I loved Jeff’s whole concept.
With sales of more than $100 million a year, Cindy Crawford Home is one of of the most successful licensed collections in the industry. What do you think it is about the collections that have such appeal for Rooms To Go’s customers?
After we decided to move forward, I had (Rooms To Go’s team) come out to check out how I live and really, really talk about how Cindy Crawford Home is going to be different from just Rooms To Go. I guess their goal was to use my collection as a vehicle to reach a little bit—to a little higher price point and better leathers. I’m in a great situation because I’m the luxe line within Rooms To Go. But, it’s great product. That’s why it’s great partnering with Rooms To Go because in their areas, everyone is already familiar with them and they know what they stand for. And, then they know Cindy Crawford, and when you bring two brands together like that, it works very well.
We’ve heard there are some large regional furniture retailers in areas outside Rooms To Go’s trading areas that are going to start selling Cindy Crawford Home. How soon will that start?
With the success of the collections, other retailers became interested. So, fortunately, we’re now able to become more of a national brand through working with these other retailers. We already have deals with several people, and you’ll hear more about those in a couple of months. I’m going to go for some of the (Cindy Crawford Home) launches over the next few months.
How involved were you in your own home décor before all this started?
I always traveled so much that my home was my sanctuary, even when I was a struggling young model in a dorm room. Even when I was in high school, I remember decorating my bedroom—going out and choosing the wallpaper and everything. I always cared about my home, and I think that has just grown, especially now that I have a family, because you spend more time at home and we entertain at home more. I’ve worked with a decorator on some projects, and on others not. My tastes have evolved, obviously, as we all do. My New York apartment looked much different from my home in Malibu where we live now. What I chose for my New York apartment that I had then is different from how I want to live in Malibu. We’re very indoor-outdoor here. I also think having traveled pretty much everywhere and being fortunate enough to go into some incredible homes and museums, you can’t help but be influenced by everything that you see. I think my taste is much more international now than it was when I was 20 years old in DeKalb, Ill.
Do you have a favorite sofa or chair and how and why is it your favorite?
I have a favorite room, I guess. In our house in Malibu we have a kitchen that is open to the family room and that’s just the hub of family life, and we have a sofa that is very deep and wide and my husband and I and our two kids can get on it and everything gets done out of this room: homework and meals and watching the X Games or whatever we do. It’s funny, the decorator I work with a lot, he always says that a room has to have a television, a bed, a refrigerator or a toilet in it for it to get used. There’s a lot of truth to that because a lot of people have living rooms that they never use because there’s nothing in there that really draws you in until you have company, and I don’t want a house for company, I want a house that the family enjoys. It’s great if your company enjoys it, too, but 90 percent of the time, it’s just you and your family.
Do you have Rooms To Go furniture at your house?
Yes, we did a great denim sofa that I wanted to be like a favorite pair of jeans, but it’s also great because I have kids and I never want to have to tell my kids, ‘Don’t sit there’ or have to worry about spills. Slipcovers are great because you can take them off and clean them. Also, some of the furniture we had designed for my house here we used as inspiration for part of my home collection, and I think the Rooms To Go versions are even better because I’d lived with the (originals) long enough to know what the improvements should be. For example, we did some beds for my son’s room that were designed to fit in the corner, and when we did a version for Rooms To Go, we added storage underneath. I’m also concerned when we do children’s furniture that there are no hard edges. I’m very conscious of family life.
Most of the most successful licensed furniture collections are by former models such as you, Martha Stewart and Kathy Ireland. What is it about a modeling background that transfers so readily to furniture?
I really think it’s about having had the opportunity of creating a brand. Really, my gosh, no one has done that better than Martha Stewart because ‘So Martha’ has become a phrase everybody knows. I think modeling gives you an opportunity—when you’re consistent about the kinds of products you represent—to create an image and a brand. That’s something you can apply to other things when you combine it with an opportunity and desire to do that. With furniture, it’s such an incredible business, and I really feel like I’m taking grad school business classes, because I get to learn so much every day, and, I couldn’t have a better teacher than Jeff Seaman.
What have been the biggest lessons you’ve learned since the collections debuted two years ago?
It’s that you just don’t know what people are going to respond to. You make an educated guess, but some things work and some things don’t. What I’ve learned is that’s why you always have other things in the works. In our first collection, there were some things that didn’t work. Jeff told me in advance that is to be expected. There are always going to be a few things that just don’t work, and that’s the furniture business. So, you try to anticipate and you do things that you respond to and you feel good about. It’s also fascinating to me how regional the furniture business is. What works in Florida may not work in Texas. The scale, the colors ... I just wouldn’t have thought it would be so different, but the (sales) numbers prove me wrong.
There’s a lot of variety in the collection. It ranges from soft modern to cottagey looks. What is it that ties all of Cindy Crawford Home together?
I think quality and value. You can’t be everything to everyone, but I like a lot of different things, and I’ve lived with a lot of different things. We’re trying to build a vacation home right now, and we’re doing it more modern. I appreciate all different types of designs. I don’t want it to be so limited that it’s like I’m only this look or that look. How I choose to live in Malibu is a lot different from how I lived in New York. It really needs to feel good to you, but it also needs to suit the environment you’re in.
Tell me about the move into accessories. Is that primarily for Rooms To Go or do you have other retailers in mind?
It will certainly be for Rooms To Go, but we’re excited about being able to get into a lot of different distribution channels. For me, it’s icing on the cake. These pieces help pull a collection together. We’re already doing some of it within Rooms To Go, but I think these pieces really help round out the collection, so I’m really excited about that.
As a designer, is it easier or more difficult to focus on the kinds of price points Rooms To Go is known for?
I don’t really have to focus on the value side. I do what I like, and then I leave it up to those guys to figure out a way to do it in a way that makes sense for the price point. I worry about the style and I let our manufacturers worry about bringing it in for the right price. What’s amazing to me is that you really don’t have to compromise on the designs. As an example, I wanted the top drawers of our bedside tables lined with a velvet material because I just think that’s nice, and it turned out to be something we could do easily.
You’ve stepped back a little bit from modeling and entertainment, but has anybody ever told you you’d be perfect for “Dancing With The Stars?”
It’s funny you asked about “Dancing With The Stars” because they asked me to do that for the first season, but I don’t think I can make that long of a commitment. A friend of mine did it—Lisa Rinna and her husband (Harry Hamlin). It was hard on their kids. I continue to work with Omega (watches). I’ll get some modeling jobs, too. I just did something in New York for a fashion house. I’m not used to working every single day. Since I’ve had kids, I’ve been able to arrange it so I work maybe two days a week and I can be home with the kids all day on the other three days. I like that balance. We’re expanding, and we’ve done a deal with Mohawk for rugs and are looking at other things, as well, but I don’t want to go into the office five days a week. What would be the point if I can’t enjoy my family? That’s what it’s all about.
How much do you enjoy the store events you’ve done for Rooms To Go and will be doing for some of the other retail partners soon?
Well, they’re great partners. We did a store opening in Naples in December, and we were worried because it was not great weather that morning, but we ended up getting a tremendous turnout. What’s exciting for me—and it’s actually more exciting when I’m in the stores unannounced—is seeing people looking at the furniture that I helped create. I know they’re not looking at it because it’s mine. They like the sofa and then go, “Oh, it’s a Cindy Crawford.” I was in a store recently, and a lady was purchasing the denim sofa, and I walked over, and she realized it was me and said, “I just love this sofa!” That’s really satisfying to me. A friend’s sister lives in Florida, and I heard from my friend her sister had bought the whole Coconut Grove Collection for her new house. I just love hearing stories like that. It’s exciting to me because I know they’re getting great product, great guarantees and great style. HFB
March 25,
2007 by in UnCategorized
By Home Furnishings Business in Furniture Retailing on March 2007
During a recent presentation, I was discussing the importance of being able to deliver a clear, concise message when first meeting with a prospect and agreed that a quick, 30-second introduction would be an effective approach. A participant challenged me, saying an introduction of this nature sounded canned and rehearsed. As he recited his opening message, I fully agreed with him—it did sound canned, not to mention extremely difficult to understand.
Unfortunately, he made one of the fatal mistakes that many salespeople make—they first introduce themselves to a potential customer or client. The mistake is to barf on them. Not figuratively of course. But verbally.
Too many salespeople mistakenly believe that they should open their conversation with a background and history of their company, or a complete description of their products, services or solutions. It seems they can’t control what comes out of their mouth once opened. They puke. They barf. They spew all over themselves.
Plan a Script
A great opening message or introduction follows a few key criteria:
• It focuses on the other person.
• It conveys how you help your clients and customers.
• It is easy to understand.
• It does not contain an excess of adverbs or adjectives.
• It intrigues the other person.
• It must be delivered in a conversational tone.
Most salespeople start talking about products or services instead of focusing their attention on the customer. The best way to do this is to state the benefit of your product or service and how it relates to your customer. Here is an example:
“Mr. Adams, I’m Pat from Geeks R Us. We specialize in helping small businesses like yours fix computer problems. The reason I’m calling is to see if you ever have experienced computer problems, and if so, how they have affected your business.”
Notice that this introduction briefly describes the salesperson’s business while clearly describing the problems it solves. It is brief—42 words—and it takes less than 15 seconds to say. That means it is very easy to understand.
Your introduction or opening should be scripted. However, one of the challenges of creating a script is that it must sound like something you would actually say. I don’t know about you, but most of the people I know don’t use many descriptive words when they speak. And very few people write the same way they speak. The man in my workshop had memorized a written statement that described the services he provided. He wrote something that he thought looked good on paper but it ended up sounding forced and stilted when it was spoken. Part of this was the number of adjectives and descriptive words used. Limit your use of descriptive words. The shorter, the better.
While I believe in the use of scripts, they cannot sound like a script when you recite them. Your opening or introduction MUST be delivered in a conversational tone if you want it to achieve the intended results.
Consider the difference between a highly trained actor and a typical telemarketer who calls you in the evening. The actor conveys the emotion and feeling while the telemarketing simply reads the words. This means that you need to practice your opening or introduction so it sounds natural. Relaxed. Conversational. If you’re not sure how your message sounds, ask someone you trust to evaluate it for you.
Keep it Casual
The barf factor also applies when you are delivering a presentation about your products and services. Instead of talking without taking a breath during the presentation of your product, pause after a few moments and make sure that your customer is still following you AND paying attention. It never ceases to amaze me how often a salesperson actually speeds up when they notice that their customer is tuning out or no longer paying attention. As if that’s going to keep the other person’s attention!
Lastly, be careful not to barf on your customer when he or she expresses an objection. It is far more effective to empathize with the customer and check to make sure you fully understand their concern BEFORE you present a solution. I have watched hundreds, if not thousands, of salespeople in my workshops barf on their customer as they try to overcome objections. They ramble on and on trying to convince the customer why they should make a buying decision instead of making one key point and checking to see if that makes sense to the customer.
Barfing shows a lack of control. I mean, you can’t usually control this bodily function when you are sick. And when you barf on someone during a sales conversation, it shows the same lack of control. Demonstrate your superior skill and ability by controlling what you say and how you say it. HFB
March 25,
2007 by in UnCategorized
By Home Furnishings Business in Retail Technology on March 2007
Information technology. Sounds simple, right? There exists a plethora of information technology available—it’s everywhere we go and in everything we use. Here we are, almost 61 years to the day since the basic concepts were introduced to the world, and there is more information, communication and processing in the tiny cell phone you use than there was in the 30-ton, 1,800-square-foot ENIAC —the very first programmable computer system unveiled on Valentine’s Day, 1946. Like the Internet, and so many other new technologies of the past half century, its purpose was to solve problems related to national defense. Today, the world is a very different and much better place for it.
But just because we can collect, accumulate, process and distribute more information than ever before doesn’t mean that we’re using it very wisely. I often shop in big-ticket stores just to examine the customer experience and the usage of information technology in a retail organization. Quite routinely, what I see is a result of good intentions but very inadequate implementations. At best, the store may use the system to ring a sale, and that’s it. In many cases, the sales process isn’t even done on a computer, it’s done on paper and entered into a computer later.
In the book
Good to Great, Jim Collins tells us what we already know—that technology is an accelerator, not a solution. A great business starts (and ends) with great people. But well-intended, great people are not enough. A competitive company must have great people, be aligned with core business and processes, and effectively leverage technology to accelerate growth. As an industry, we have let too much technological innovation pass us by. It’s no secret that our industry lags behind in its usage of technology. All one has to do is look at the pervasive usage of technological gains in other retail sectors. All the while, home furnishings has been idly accepting of technology that was developed almost 20 years ago. While the key decision makers in the industry have been facing different strategic issues, the technological infrastructure has weakened and thus created opportunities for aggressive competition to attack a growing and profitable market space in the U.S.
Shakeup Ahead
The supply chain will continue its shakeup; the retail sector will continue to “right” itself. When all is said and done, the companies that can see true trends sooner and react to them faster will be the ones that survive and thrive. And the answer to that insight and reaction lies within the information that flows through the veins of our business every day. This information is there—stored in one form or another. In people’s heads for example, or on paper, or even on a computer disk. But knowledge and information has no value when it is stored. It only has value when it is accurately shared with the right person at the right time. How that happens is where information technology can create a great advantage.
I firmly believe that there are two very different sets of features for any technology purchase made by a company. First and foremost is the set of features and promises made to senior management, the effective results that could happen if all systems were aligned and performing in a specific manner. That’s the set of features that a company “buys.” But, there’s also another one—the set of features and functions that actually get implemented.
It is the specific purpose of technology to perform things faster and cheaper than was possible without it. And it is naive to think that such change will be accepted and adopted quickly and without fear by the good people of an organization. Yet so many systems providers and retailers fail to address this key issue above all else. If retail was “so easy a caveman could do it,” the retailers wouldn’t need the systems providers. That need, reliance and willingness to pay puts an obligation on the systems provider to assist where possible, and help the retailer through the change process. For far too long, retailers and manufacturers have accepted what they have as “the best of what’s available,” effectively lowering the standards to simply be the lesser of all evils. And while other countries and other industries whiz past home furnishings, too many systems companies fail to invest in truly new technologies. And too many home furnishings manufacturers and retailers fail to invest in the curve to get there.
Look at ROI
What this really nets out to is simple alignment—the alignment of people, process and technology—they are three legs of the same stool. It’s not difficult to accomplish, but it does take a willingness to take an introspective look at your organization. Does technology cost money? Sure it does. But so does the lack of technology. What’s even worse could be the improper usage or application of technologies because when that happens, an organization accumulates the cost of the technology and the costs of the efficiency losses.
If you’re thinking about technological improvements, think in terms of return on investment rather than cost. Make sure whatever options or project you are considering have a clearly defined and expected return on the dollars spent. Just remember that the technology is not an investment in and of itself—the payback can only be measured in the efficiencies it creates. It is a supporting tool, just like your delivery trucks. An investment in technology can accelerate your growth, but only if your organization, your processes, and your people are ready to embrace it as an easier way to do what gets done. HFB
March 25,
2007 by in UnCategorized
By Home Furnishings Business in Furniture Retailing on March 2007
On the advice of a friend, I bought this book last May and, I must admit, avoided reading it for nearly a year. I do not like books that are overly hyped or books that promise fast results and Jeffrey Gitomer’s
Little Red Book of Selling is guilty on both counts. As if this were not enough, the binding is bright red like a grade-school book and the cover is embossed with the self-serving claim, “12.5 Principles of Sales Greatness.” And then for good measure, we get the curious line, “How to make sales FOREVER.” How banal, how tacky, how dumb, I thought. Why waste my time with it?
I was wrong. Were it not for the discerning friend who first convinced me to buy it, and the second friend who urged me to read it, I would have missed a classic in the field of sales literature. Books on sales techniques are often loaded with clichés and full of the writer’s ego. This book is full of insights and practical advice.
Let us acknowledge that selling is a tough task and selling big ticket goods like furniture is tougher still. Customers do not typically NEED furniture and they only seem to WANT it once in a great while. And it’s oh so easy for them to postpone the purchase. If you are a retail floor salesperson, you have to overcome sticker shock, brand amnesia, negative spouses and general indifference more often than not. Then, when you finally write the order, you have to contend with factories that are more adept at losing orders than at filling them.
If you are a manufacturer’s representative, you must contend with overstocked dealers, tight credit limits, idiosyncratic style opinions and endless competitors. Then, when you finally write that nice order you have worked on for months, it’s cancelled before it’s shipped. And those are just a few hurdles to leap.
Do not despair. The
Little Red Book of Selling can make you a prosperous star. The author’s lessons are good, really good. No wonder it has been on best seller lists forever. The book is loaded with fresh advice and practical tips, starting with Gitomer’s Principles of Sales Greatness.
These are:
1
Kick Your Own Tail. Be a winner, not a whiner. If you are in a slump, get fired up or get fired. Above all, don’t quit.
2
Prepare to Win or Lose to Someone Who Is. Do all you can to learn all you can about all your customers and all your prospects. Good salesmen do this instinctively. Gitomer spells out how to take it to a higher level.
3
Personal Branding is Sales. It’s Not Who You Know; It’s Who Knows You. Think of yourself as a brand that needs to be positioned, protected and developed.
4
It’s All About Value; It’s All About Relationship; It’s Not All About Price.Give value. Don’t “add” value. Be a valuable resource to your customers and make friends. “All things being equal, people want to do business with their friends. All things being not so equal, people still want to do business with their friends.
5
It’s Not Work, It’s Network. Don’t make cold calls—make connections and build referrals. Join clubs, attend events, make acquaintances and make friends.
6
If You Can’t Get in Front of the Real Decision Maker, You Suck. Here he urges you to “sell the appointment, not the product.” You can’t make the sale unless you can get to the person who has the authority to sign the order.
7
Engage Me and You Can Make Me Sell Myself. This section is brimming with wonderful tips like how to ask smart questions, because the right questions get to the heart of the matter without the buyer feeling pushed.
8
If You Can Make Them Laugh, You Can Make Them Buy. Humor can be tricky to use, but you cannot deny the power of laughter to form a bond.
9
Use Creativity to Differentiate and Dominate. People are not born with this skill; you have to learn it.
10
Reduce Their Risk and You’ll Convert Selling to Buying. Eliminate risks and your customer is much more likely to buy.
11
When You Say it About Yourself, It’s Bragging. When Someone Else Says it About You, It’s Proof. Testimonials are the single most powerful method of making the sale.
12
Antennas Up. Always be alert to what is going on.
This is a deceptive book. Like rich cuisine. The portions are small and easy to consume, but it is so filled with good ideas, it is difficult to digest quickly, much less summarize it in this space.
Don’t make the mistake I made. Buy it and read it and study it and use it. You’ll be glad you did. HFB