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| SkullandBonesSkateboards.com Forum Index » BUSINESS, SHOPS & RETAILERS » Small Town Shops: What product mix will work for us? |
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| saladgrind |
 Posted: Sun Feb 19, 2006 9:46 am |
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Joined: 01 Aug 2005
Posts: 3
Location: Alberta
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It seems like those of us in smaller markets are really struggling. My partner and I have started thinking of a "small-town strategy" for our shop. We realize that we can't compete with the larger, more established shops in the city or the mega-mall chains. We've got to focus on what we can be really good at (competitive advantage) and stick with it. Here are a few ideas:
Get Rid of "Hassle Products"
Right now the biggest pain in our business are returns of poorly made outerwear (RDS. DC), snowboard boots (BOA), and other poorly-made merchandise. It sucks because it's more of a hassle to return these things to the manufacturer than its worth.
One idea is to simplify and carry less technical "big ticket" items, and just focus on one or two lines that have good quality: a low-cost outerwear line, one or two simple styles of boots, etc...
Back to basics
The big city shops have the selection. We can't beat them on that. I think most kids go to their local shop because its: convenient, they need the basics (deck, t-shirt, trucks, hat), and they get good customer service.
We're thinking that we need to cater to the "basics." Quick carrying too much of the "fancy stuff" that's outside of our core product mix. For us, I think it will mean reducing our women's section, not carrying as much snowboard hardgoods (a few boards, and a few bindings), and not carrying as many shoe SKU's (instead, we'll have 3-4 solid styles each season). I think it will also mean carrying more skate decks, trucks, wheels, etc...
Getting out of the Girls Market
The girls market is supposed to be hot, but I think it's the fashion boutiques that are capitalizing on it. From the shops that I've looked at, not many are really doing gangbusters business by selling female-specific fashions. We've got a huge investment in girls inventory, and it's just not turning over! I think in the end, most girls want selection and "an experience;" which is something they're getting at the malls.
We're still going to sell to girls, but we're going to focus more on basics: t-shirts and hoodies. I think we'll get out of girls denim (and maybe guys' denim too). We'll probably still sell snowboard outerwear, but we'll simplify the selection.
Focusing on our own lines
My partner and I are realizing more and more: this industry is ridiculous for the small players. This especially true in terms of PRE-BOOKING. Every season we literally spend hours and days going to shows, talking to reps, looking at catalogs, and placing orders. We are giving huge amounts of time AND risking huge amounts of capital with the hopes that these "big names"will draw customers and produce sales. Granted, often these brands do! However, I've heard it said over and over again in these forums that we (as shop owners) have a great deal of influence over what's cool, and what's not.
Instead of putting all that time and effort into someone else's products, why not produce our own? We're already producing shop decks; why not create more variety and more shapes? Why not start a couple of new clothing lines? I think in the 1-2 weeks it takes to normally order and pre-book stuff I (personally) could produce some good stuff. I'm not saying that we won't still order pro-decks, or brand name clothes, I'm just saying I want to simplify my orders so that half the shop is brand name gear, and the other half is home-grown stuff.
There you have it. I'm wondering, what do the rest of you think of this strategy?
BTW: We're a shop located in Canada, so we can't focus exclusively on skate (we need the snowboard stuff for the long winter months) |
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| Slim |
| Posted: Sun Feb 19, 2006 10:42 am |
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Joined: 06 Sep 2003
Posts: 2954
Location: pedro point, nor cal
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I guess shops do one of two things: come up with a totally different clothing/product line with a brand name and concept that is unrelated to the name of the shop, or just brand normal products with the name of the shop for a little free advertising. But I can think of a few stores that have combined these two ideas for maximum success.
What's the name of your store? Can in tie in with some local pride at all? Or can you name your products something that would? Here's an example of that.
Here in Pacifica we have a surf shop called Nor Cal that's been here for years. They sell many surf clothing brands and recently even converted their upstairs office areas to a women's clothing section. They have some simple items branded with their NorCal logo - shirts, hats, towels, etc in all sizes and styles, kids stuff too.
It sells well with local kids because they want to show pride in being from Nor Cal in general and pacifica in specific.
Of course there is a twist to this story: some other guys out there, not from pacifica, started a stupid line of t-shirts and hats and whatnot that just said "norcal " on them in lowercase letters. they also utilized the california flag motif. It gained some success, and i believe became distributed by NHS (santa cruz, indy, etc.). Well, to us here it was an obvious infringement on the long time surfshop's logo and clothing! I think the local shop won some sort of concession from NHS recently.
Anyway...try to think of a way to differentiate your products from the other mega-company softgoods. You can't compete with them on coolness because they have the advertising budget to associate their products with all the hot surfers and skaters. You could compete with them on price, but then you're just shooting yourself in the foot. But if you could name/brand your line something that ties in with the local scene then you're getting the hipness/pride thing for free! That will compete with the mega companies. |
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| auragreg |
| Posted: Thu Feb 23, 2006 4:08 pm |
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Joined: 31 Aug 2004
Posts: 2382
Location: Highland, Michigan, USA, Earth
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I can completely relate to what you are going thru. We have already made the same decisions as you...
We carry more core snoboard companies (Nitro, Palmer, Arbor and Sims). And gearing more toward beginner/intermedate packages. Package deals are much better margins.
We carry Sessions for outwear in winter. Summer outerwear went no where. We'll just carry T's and hoodies for summer.
Our Girls stuff has gone nowhere either. Just gonna carry T's and tanks.
Shoes are a pain. Trying to get Osiris soon.
I hear ya about shows ... pre-booking does nothing for us small guys. And the incentives do nothing for us either. 1% off of a $1000 order is next to nothing! Give us free shipping or something. |
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| Lincolnz |
| Posted: Thu Feb 23, 2006 4:22 pm |
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ORDER OF THE SKULL
Joined: 05 Jun 2005
Posts: 11215
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If you don't mind me asking anyone here. What do you guys as shop owners pay for decks (per deck)?
I am wondering for a couple different reasons.
If you would like to let me know send me a PM please. |
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| Lincolnz |
| Posted: Thu Feb 23, 2006 4:37 pm |
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ORDER OF THE SKULL
Joined: 05 Jun 2005
Posts: 11215
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| I would also guess my decks would most likely be classed the same as a 'shop' deck yeah? |
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The reason I'm fat is, every single time I fuck your mom, she makes me a sandwich. |
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| Adrian |
| Posted: Thu Feb 23, 2006 5:39 pm |
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Joined: 06 May 2004
Posts: 907
Location: Alberta Canada
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blanks and shop decks can be anywhere from 20 to 35 bucks(can)
20-25 is usually crap blanks from any distro
25-35 you can get some good ones with your own graphics |
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