September has been a very busy month for me. Earlier in the month I was representing Norfolk House Consultants for our fabric houses at the BITA roadshows, and this week I have had a fantastic time representing as an agent the brands of Sandberg wallpapers and Art of the Loom fabrics at Decorex and Focus/13.
Although very tiring these events are great for meeting up with old friends and colleagues as well as the serious side of meeting and greeting new and existing customers to present our products.
A lot of time and investment in not only financial terms but also in the staff who make a significant contribution to ensure their brands receive the best from these exhibitions. Working long hours, in some cases continuing into the evenings for corporate hospitality and staying away from home all takes it's toll.
The planning and execution of the events by the organisers must also be applauded. In the past I have had to organise events on a much smaller scale, so I can appreciate what a feat this is.
And last of all, the visitors. Without the support of the visitors these events would not be of any relevance. Year after year we see an amazing turnout, even when times have been tough, people have attended because they know that these events are the best opportunities to see new products in situ and give them fresh ideas to help develop their business.
So, to everyone involved and those that not only took the time to attend but also invested in new collections for the future, thank you so much, and I look forward to doing it all over again next year.
John Northwood
Wednesday, 25 September 2013
Thursday, 15 August 2013
Charity does begin at home!
From 1st October 2013, I will be supporting the British Heart Foundation by making an annual donation based on every single order placed throughout the year that is accredited to me through one or more of the principles I represent for all brands.
The BHF is a charity that I have supported in various ways over the years. My father suffered most of his life with a heart condition, and it was because of this and after careful consideration that I chose BHF.
Having had the experience of seeing how Heart disease can affect individuals and their families, I felt that this was the right charity for the agency to support.
My company is in it's infancy, but with the support of my customers, as my company grows, so will the size of the donation.
I have for many years done my bit where I can. This has been either through something as simple as purchasing a lapel pin or wrist band to organising and raising funds through a charity auction for my local children's hospice, or taking part in the 3 peaks challenge. However, this is the first time that I have made a commitment to one specific cause.
Why am I doing it? From the time I made the decision I have felt better about myself. For so long it has always been about taking, but now I have this wonderful satisfaction and feeling of giving something back. It is also another goal that will inspire me and give me the motivation to succeed.
It is not just about being successful to support me and my family, but it is also now knowing that failure would mean letting other people down.
For me, I am able to assist by donating funds, for others, they give their time as helpers, carers, shop assistants or event organisers and participants. It is a sad reflection on our society that these organisations have to rely on this form of funding, but that is just the way it is.
It is my belief that everyone has at one time or another either directly or indirectly been assisted by a charity or organisation that has had to rely on donations, so it is our duty to support them.
So, for every customer that purchases one of the products I represent, they are indirectly doing their bit. To make it clear, I am not being paid any more to be able to contribute and I am not asking for direct donations (although you can!).
With so many charities relying on the good people of Britain to support them, If you are not already, why not give it a try, and see how much better you will feel about yourself and the knowledge that you are making a difference for your chosen charity.
Whether it is one of the larger organisations such as Great Ormond Street Hospital (GOSH), Help for Heroes, Cancer Research or just a local charity like a hospice or special needs school in your Town, find one and support it!
John Northwood
The BHF is a charity that I have supported in various ways over the years. My father suffered most of his life with a heart condition, and it was because of this and after careful consideration that I chose BHF.
Having had the experience of seeing how Heart disease can affect individuals and their families, I felt that this was the right charity for the agency to support.
My company is in it's infancy, but with the support of my customers, as my company grows, so will the size of the donation.
I have for many years done my bit where I can. This has been either through something as simple as purchasing a lapel pin or wrist band to organising and raising funds through a charity auction for my local children's hospice, or taking part in the 3 peaks challenge. However, this is the first time that I have made a commitment to one specific cause.
Why am I doing it? From the time I made the decision I have felt better about myself. For so long it has always been about taking, but now I have this wonderful satisfaction and feeling of giving something back. It is also another goal that will inspire me and give me the motivation to succeed.
It is not just about being successful to support me and my family, but it is also now knowing that failure would mean letting other people down.
For me, I am able to assist by donating funds, for others, they give their time as helpers, carers, shop assistants or event organisers and participants. It is a sad reflection on our society that these organisations have to rely on this form of funding, but that is just the way it is.
It is my belief that everyone has at one time or another either directly or indirectly been assisted by a charity or organisation that has had to rely on donations, so it is our duty to support them.
So, for every customer that purchases one of the products I represent, they are indirectly doing their bit. To make it clear, I am not being paid any more to be able to contribute and I am not asking for direct donations (although you can!).
With so many charities relying on the good people of Britain to support them, If you are not already, why not give it a try, and see how much better you will feel about yourself and the knowledge that you are making a difference for your chosen charity.
Whether it is one of the larger organisations such as Great Ormond Street Hospital (GOSH), Help for Heroes, Cancer Research or just a local charity like a hospice or special needs school in your Town, find one and support it!
John Northwood
Thursday, 8 August 2013
Thursday, 1 August 2013
Don't be seduced by the "BIG" brands
I have been in sales for 40 years and have seen the principles of selling change several times. Today we have technology as an aid, whether you are promoting your business with a website, twitter, facebook, LinkedIn, Pinterest or other, these are all aids to help us sell our business and ourselves.
However, many people seem to forget that although it is wonderful having all this technology to market ourselves they still forget the basics to support this within there own business.
How many times have you been in to a department store and never been approached by an assistant within 10 minutes of arriving? How many times has an assistant said "can I help you" and you have just said "no" and they have just walked away? How many times have you been told "it is cheaper from X" and you have walked away mumbling "go and buy it there then" and not tried to win that customer round? Sound familiar?
The "well known" brands in my industry are very clever at marketing. They have slick adverts, nice in-store Point of sale (P.O.S.) products and spend £1000's on exhibitions. These are all very important for the success of their business, but it also assists to seduce you to take their brand and sell it even though X on the internet is permanently giving 20% discount. But you keep persevering, saying to yourself, "I need this brand, people come in and ask for it so I must have it"
STOP NOW! it will kill your business! what makes your business survive? what helps you pay the bills, staff wages, rent, rates and utilities? IT IS REVENUE AND PROFIT!
If you continue to sell products at discounted prices you are reducing revenue, making less profit and devaluing not only the quality of the brand but also your business. Do you want to be known as the shop in the Town that sells "cheap" fabric! Wouldn't it be far better to STOP discounting, protect your margins become profitable and be known for your quality and service which in turn will attract a different type of clientèle.
Now, I know some of you are reading this and saying "it's not that easy" or "it's ok for you to say." Nowhere have I mentioned it is easy, nowhere have I said you will get a sale everytime, but, why has this particular person come to your shop, what made them choose you. Now one of the reasons is that they may have seen a "big" brand in one of the glossies which means it has served it's purpose for you, but now you have to start converting them away from that.
Don't try and compete with X, you are better than that! Wouldn't it be far better for you to engage with this customer, discuss their requirements in more detail, explain why you don't discount like X up the road, the service you can give and convert them from what they originally came in for! Explain the reasons why X is discounting, what service if any they are offering, and do they really want the same as what most of the UK population has in their home, which may include their neighbour!
Don't be frightened to try and convert your customer to an alternative. If after all this they are still determined to buy what they came in for then sell it don't lose the order! But you owe it to yourself to have at least tried and have the satisfaction of knowing you did your best and you have a customer that will refer you and come back to you in the future.
Two things you need to do:
1. Reduce the number of "big" brand books hangers from your display. You don't use them all and you probably never will!
2. This will then free up space to invest in brands such as Simta, Boyle & Butler, Emily McGuinness and Richmond Saville which can compete with the "big" brands and sell at full margin.
Never heard of these brands? Neither will have your customer!
John Northwood
Tuesday, 30 July 2013
Stay proactive and motivated for a successful business
Mid July to end of August my side of the interiors business goes relatively quiet. Key people off and staff shortages through holiday make it difficult to arrange appointments. Others are waiting for September, which is a significant month in the year for exhibitions such as BITA showcase events and Focus 13 at The Design Centre, Chelsea Harbour London.
For me personally I am still keeping busy. I am self employed and do not have the luxury of a salary or a support team to fall back on like company representatives have, so I need to stay proactive.
During quiet periods I make use of this time by updating old contact lists, web researching potential new customers, researching my competitors, reviewing and familiarising myself with my current brands and price lists. This is in addition to planning my diary and trying to arrange meetings.
I also allow some of this time to read and watch motivational and training video's. This provides me with the opportunity to improve my skills and to refresh me on existing skills that I have.
Procrastination and complacency will prevent you from working efficiently and will start to affect your business. Don't make excuses for business being slow, instead, make good use of your time, be proactive, focused and motivated, only hard work and dedication will make your business a success!
John Northwood
For me personally I am still keeping busy. I am self employed and do not have the luxury of a salary or a support team to fall back on like company representatives have, so I need to stay proactive.
During quiet periods I make use of this time by updating old contact lists, web researching potential new customers, researching my competitors, reviewing and familiarising myself with my current brands and price lists. This is in addition to planning my diary and trying to arrange meetings.
I also allow some of this time to read and watch motivational and training video's. This provides me with the opportunity to improve my skills and to refresh me on existing skills that I have.
Procrastination and complacency will prevent you from working efficiently and will start to affect your business. Don't make excuses for business being slow, instead, make good use of your time, be proactive, focused and motivated, only hard work and dedication will make your business a success!
John Northwood
Thursday, 18 July 2013
New Autumn collection from Sandberg AB
Come September there is a buzz surrounding the interiors industry as it is SHOWTIME!
Various trade exhibitions and events take place where manufacturers and suppliers showcase their new Autumn collections. This comes with a media frenzy where all the magazine editors and bloggers are being invited along to special events and they are out and about looking for the new trends and styles of 2014.
This year Decorex event will be coming from their new venue at Kensington Palace, Focus 2013 will be the showcase event for the showrooms at the Design Centre Chelsea Harbour, and I shall also be hitting the road with the BITA travelling showcase events that take place in various locations across the UK.
Sandberg AB are launching their first new collection this year which is being introduced in Sweden 15th August, and it will be presented to the UK at LIZZO showroom during Focus 2013 which is situated on the ground floor centre dome at The Design Centre.
Sandberg AB are Sweden's premier wallpaper company, and one of only a few that still design and produce their own product. A traditional company steeped in history that holds the Swedish Royal family warrant.
Gotheborg is a textile and wallpaper combination collection in which exotic motifs meet classic designs and stylish elegance.
Inspiration for the collection has been taken from the sailing of the Seven Seas theme. The East India Company's voyages to the far East and Gotheborg's flow of new goods and impressions.
Gotheborg is a tale of travel. About the sea and encounters with new cultures, people and ideas. The setting off on a voyage, but above all, returning home.
The anticipation of coming ashore and sharing new experiences, memories and stories.
Available to preview from Sunday 22nd September.
John Northwood
Various trade exhibitions and events take place where manufacturers and suppliers showcase their new Autumn collections. This comes with a media frenzy where all the magazine editors and bloggers are being invited along to special events and they are out and about looking for the new trends and styles of 2014.
This year Decorex event will be coming from their new venue at Kensington Palace, Focus 2013 will be the showcase event for the showrooms at the Design Centre Chelsea Harbour, and I shall also be hitting the road with the BITA travelling showcase events that take place in various locations across the UK.
Sandberg AB are launching their first new collection this year which is being introduced in Sweden 15th August, and it will be presented to the UK at LIZZO showroom during Focus 2013 which is situated on the ground floor centre dome at The Design Centre.
Sandberg AB are Sweden's premier wallpaper company, and one of only a few that still design and produce their own product. A traditional company steeped in history that holds the Swedish Royal family warrant.Gotheborg is a textile and wallpaper combination collection in which exotic motifs meet classic designs and stylish elegance.
Inspiration for the collection has been taken from the sailing of the Seven Seas theme. The East India Company's voyages to the far East and Gotheborg's flow of new goods and impressions.
Gotheborg is a tale of travel. About the sea and encounters with new cultures, people and ideas. The setting off on a voyage, but above all, returning home.The anticipation of coming ashore and sharing new experiences, memories and stories.
Available to preview from Sunday 22nd September.
John Northwood
Monday, 15 July 2013
Back to the future
I consider myself a bit of a traditionalist, I hold doors open for ladies, I generally wear a tie for work and I miss using things like telephone boxes and paper diaries.
When you have been brought up in an era of black & white TV, party line telephones, no mobile phones, and no computers or electronic games, you tend to get a little nostalgic for the past as this generation will be in 20-30 years time when things like the X-Box will be a thing of museums.
My kids always laugh and joke with me when I start to talk about the "old days", but I just know that this is a generation thing and they will be doing exactly the same themselves in the future.
The reason I have gone on this trip of nostalgia is the news that after 163 years India are ceasing their Telegram service. Now, for one, I have to admit that I didn't realise that telegrams were still in use, but for those in remote areas of India that have had to rely on this vintage form of email, it must be a sad day.
For many of us, the development of computers and Internet technology along with mobile telephones where we can speak or send a text message to someone on the other side of the world while walking down a street is now part of our everyday life. To have these taken away from us would be unthinkable, but this is how some people in India may be feeling today.
Our working life has changed dramatically from the days of reps having to stop to use a telephone by the side of the road to call the office or a customer. Or companies employing 100's of typists for their typing pool all writing the same letter for a "mail shot" which can now all be done automatically. From the days of spending hours of hand drawing plans and interior designs, architects and designers now have computer programs to assist them.
Even today as I write this it is with one click of a button going to be, within seconds, reachable to an audience worldwide.
In an ever changing world, lets remember the past with fondness, but look forward to the future with excitement.
John Northwood
When you have been brought up in an era of black & white TV, party line telephones, no mobile phones, and no computers or electronic games, you tend to get a little nostalgic for the past as this generation will be in 20-30 years time when things like the X-Box will be a thing of museums.
My kids always laugh and joke with me when I start to talk about the "old days", but I just know that this is a generation thing and they will be doing exactly the same themselves in the future.
The reason I have gone on this trip of nostalgia is the news that after 163 years India are ceasing their Telegram service. Now, for one, I have to admit that I didn't realise that telegrams were still in use, but for those in remote areas of India that have had to rely on this vintage form of email, it must be a sad day.
For many of us, the development of computers and Internet technology along with mobile telephones where we can speak or send a text message to someone on the other side of the world while walking down a street is now part of our everyday life. To have these taken away from us would be unthinkable, but this is how some people in India may be feeling today.
Our working life has changed dramatically from the days of reps having to stop to use a telephone by the side of the road to call the office or a customer. Or companies employing 100's of typists for their typing pool all writing the same letter for a "mail shot" which can now all be done automatically. From the days of spending hours of hand drawing plans and interior designs, architects and designers now have computer programs to assist them.
Even today as I write this it is with one click of a button going to be, within seconds, reachable to an audience worldwide.
In an ever changing world, lets remember the past with fondness, but look forward to the future with excitement.
John Northwood
Thursday, 11 July 2013
Use factory tours to showcase and sell more products
Having worked in the Interiors industry for as long as I have, there are a lot of things that remain with you.
I have just read a Blog from one of my principles LIZZO where they have recently visited one of their distributors in Japan. It got me thinking about the companies I have had the pleasure of visiting over the years. Sadly some are no longer with us or have been taken over and now part of larger organisations.
I have had the privilege of seeing furniture being made at White & Newton, Stag, Karel Mintjens in Belgium, Wood Bros, J Coyle in Ireland, beds produced by Staples, Myers and Silentnight, carpets by Carpets of Worth and German company Anker, wallpaper by Cole & Son and Swedish brand Eco Borastapeter and upholstery by Derwent and Cavendish.
What really stood out for me was the feeling of enthusiasm of wanting to sell these products after visiting these factories. Seeing something made and seeing what actually went into it and understanding why they cost what they did gave me the knowledge and confidence to sell them over all other brands.
Today, it has to be said that a lot of companies do not actually manufacture their own product, but for those that do, factory tours are far more beneficial and educational than in-house training or brochures, and it is a shame that more manufacturers do not seize this opportunity.
The fact that I am able remember fondly all the manufacturers I listed (some go back to the 70's!) and I can still visualise the furniture and flooring being made, is testament that these tours do work.
John Northwood
I have just read a Blog from one of my principles LIZZO where they have recently visited one of their distributors in Japan. It got me thinking about the companies I have had the pleasure of visiting over the years. Sadly some are no longer with us or have been taken over and now part of larger organisations.
I have had the privilege of seeing furniture being made at White & Newton, Stag, Karel Mintjens in Belgium, Wood Bros, J Coyle in Ireland, beds produced by Staples, Myers and Silentnight, carpets by Carpets of Worth and German company Anker, wallpaper by Cole & Son and Swedish brand Eco Borastapeter and upholstery by Derwent and Cavendish.
What really stood out for me was the feeling of enthusiasm of wanting to sell these products after visiting these factories. Seeing something made and seeing what actually went into it and understanding why they cost what they did gave me the knowledge and confidence to sell them over all other brands.
Today, it has to be said that a lot of companies do not actually manufacture their own product, but for those that do, factory tours are far more beneficial and educational than in-house training or brochures, and it is a shame that more manufacturers do not seize this opportunity.
The fact that I am able remember fondly all the manufacturers I listed (some go back to the 70's!) and I can still visualise the furniture and flooring being made, is testament that these tours do work.
John Northwood
Wednesday, 10 July 2013
The importance of the smaller accounts
Speaking with a customer recently, I was very surprised to hear that they do not get a regular visit from certain companies representatives, so therefore do not get serviced and updated with new collections or P.O.S. (point of sale) marketing products.
Having worked within a corporate organisation, I understand the reasons why this can happen, and why these companies are missing fantastic opportunities to increase their business with these smaller accounts.
Retailers and Interior designers hold many supplier accounts, and in particular when trade goes quiet they are not going to be able to use all the suppliers products which in turn sees their turnover with some companies decrease.
This is where the parameters of the level of service starts to change. Based on the companies cost for servicing each account within a representatives area, a company or the representative will make the decision to only regularly visit accounts that are producing the business with them, this then alienates the smaller accounts as they will not get serviced properly.
By ignoring the small account holders the business with them will never recover. If the account holder isn't receiving the service they are not going to sell the product, and if they are not going to sell the product then they are not going to get the service. And on it goes!
First and foremost the representative should find out why the business dropped away and then work with the customer to find a way of improving the current situation. Allow a timescale of say 12 months to do this but evaluate at quarterly intervals on how things are progressing. Sometimes nothing can be done to bring the business back up to an acceptable level, and it is at that point they have to make a decision to "move on".
However, they shouldn't just stop by ignoring the customer! They should discuss at length the options and what the next step is going to be so the customer feels valid and understands the reasons.
Reducing the time spent visiting the "good" accounts, (unless there is a specific reason or they want regular visits) a regular telephone call to stay in touch would be sufficient for those accounts. This can reduce costs and free up time which can be used to develop the smaller accounts. The "good" accounts are still receiving an acceptable level of service with the regular contact and the smaller accounts are receiving a good service by the visits.
The smaller accounts will flourish by generating more business and therefore increasing the areas potential.
Smaller, larger & good accounts refers to turnover not size of business.
John Northwood
Monday, 8 July 2013
Similarities of sport & business
This weekend the UK witnessed some great sporting achievements. The most notable among them was Andy Murray winning Wimbledon, the first time a British player has achieved this in 77 years and the first Scotsman since Harold Mahony won it in 1896! The second was the British Lions Rugby Union team beating Australia 41-16, winning the series for the first time in 16 years.
For me, two key things stood out. First was the massive decision by the Lions coach Warren Gatland to leave arguably the best player of the tournament Brian O'Driscoll out of the squad for the game against Australia. For this he was ridiculed and attacked by the press quite ferociously for this decision that he took.
But, for all that was said he proved to everyone that as the coach with the responsibility of getting the best from his team, he made the right decision. It wasn't done on a whim, or a rushed decision or done for the sake of it, it was calculated, planned and structured for the team that was going out to play that match. A tough unpopular decision, but one he new was right.
The second was the determination and the will to win by Andy Murray. Not only was this a battle of skill and fitness, but also with mind. To beat the World No.1 Novak Djokovic was in itself an achievement, but Murray also had the huge expectations of the nation on his back willing him to win, the unusually hot conditions at Wimbledon to deal with, and then, at three match points to win, sees Djokovic fight back and go to three break points is a testament to his strength of character and determination to win.
His change in coaching staff, his new fitness regime, dedication and determination all attributed to this wonderful victory that he has worked so hard to achieve.
These two achievements should in future now be featured in business workshops.
Business decisions, however unpopular, can have a positive impact on your business providing they have been calculated and planned. Commit to your business, work hard, take advise if needed and don't be frightened to change your approach to business if it means you are going to be a winner!
John Northwood
For me, two key things stood out. First was the massive decision by the Lions coach Warren Gatland to leave arguably the best player of the tournament Brian O'Driscoll out of the squad for the game against Australia. For this he was ridiculed and attacked by the press quite ferociously for this decision that he took.
But, for all that was said he proved to everyone that as the coach with the responsibility of getting the best from his team, he made the right decision. It wasn't done on a whim, or a rushed decision or done for the sake of it, it was calculated, planned and structured for the team that was going out to play that match. A tough unpopular decision, but one he new was right.
The second was the determination and the will to win by Andy Murray. Not only was this a battle of skill and fitness, but also with mind. To beat the World No.1 Novak Djokovic was in itself an achievement, but Murray also had the huge expectations of the nation on his back willing him to win, the unusually hot conditions at Wimbledon to deal with, and then, at three match points to win, sees Djokovic fight back and go to three break points is a testament to his strength of character and determination to win.
His change in coaching staff, his new fitness regime, dedication and determination all attributed to this wonderful victory that he has worked so hard to achieve.
These two achievements should in future now be featured in business workshops.
Business decisions, however unpopular, can have a positive impact on your business providing they have been calculated and planned. Commit to your business, work hard, take advise if needed and don't be frightened to change your approach to business if it means you are going to be a winner!
John Northwood
Thursday, 4 July 2013
Scare yourself to build confidence
A few years ago I started a business networking group called 'Social Networking for Business'. It wasn't as the name may suggest an online social media group, but events that were organised in bars and clubs.
The reason I decided to start the group was because I found that the established groups I attended were a little too regimented and they wasn't really for me, so I came upon the idea of something more relaxed, where people could mingle and socialise at the same time as discussing business.
It was at one of these events that a young lady attended who had just started her own business and this was her first networking event. She was quite nervous, and found it difficult to interact. At these events I offered a select few to do a '5 minute pitch' about themselves, their company and what they could offer and what they were looking for.
I suggested to this young lady that she took this opportunity, but, she was scared to do it. We spoke about it and I explained that we all started at this point and it is about overcoming your fears to build your confidence and I would introduce her and explain it is her first event etc, and I finally won her round.
Nervously she started her presentation, and, although as you would expect the odd stutter here and there, she did brilliantly. Over time her confidence built to a level that she started and organised one of my networking groups in her area and now successfully runs her own VA business.
I was reminded of this story only just recently when I went to see a new client. We talked about their business and the type of work they did. They had recently completed a large design and installation for a wealthy client who had a few large properties. He had retained their services for what they thought was going to be a few window treatments. In reality, it turned out to be a complete design and install project in a very large period house.
This had completely removed them from their comfort zone, and for a small company they were quite apprehensive about taking on a project of this size. However, not only did they successfully complete the project on time and on budget, but it had overcome their fears and has given them the confidence to know that they have the capability to take on any project that comes their way in the future.
So, in the words of the Baz Luhrmann song Sunscreen "at least once a day do something that scares you"!
John Northwood
The reason I decided to start the group was because I found that the established groups I attended were a little too regimented and they wasn't really for me, so I came upon the idea of something more relaxed, where people could mingle and socialise at the same time as discussing business.
It was at one of these events that a young lady attended who had just started her own business and this was her first networking event. She was quite nervous, and found it difficult to interact. At these events I offered a select few to do a '5 minute pitch' about themselves, their company and what they could offer and what they were looking for.
I suggested to this young lady that she took this opportunity, but, she was scared to do it. We spoke about it and I explained that we all started at this point and it is about overcoming your fears to build your confidence and I would introduce her and explain it is her first event etc, and I finally won her round.
Nervously she started her presentation, and, although as you would expect the odd stutter here and there, she did brilliantly. Over time her confidence built to a level that she started and organised one of my networking groups in her area and now successfully runs her own VA business.
I was reminded of this story only just recently when I went to see a new client. We talked about their business and the type of work they did. They had recently completed a large design and installation for a wealthy client who had a few large properties. He had retained their services for what they thought was going to be a few window treatments. In reality, it turned out to be a complete design and install project in a very large period house.
This had completely removed them from their comfort zone, and for a small company they were quite apprehensive about taking on a project of this size. However, not only did they successfully complete the project on time and on budget, but it had overcome their fears and has given them the confidence to know that they have the capability to take on any project that comes their way in the future.
So, in the words of the Baz Luhrmann song Sunscreen "at least once a day do something that scares you"!
John Northwood
Saturday, 29 June 2013
Credit or Bust?
My customer portfolio consists of many types of businesses working within the same industry. From retail to interior designers, and from curtain makers to upholsterers, but they all have something in common, and that is supplier accounts.
The types of accounts they have can vary. I have customers that like or don't mind paying pro-forma (payment before release of goods) and the others have credit accounts (payment after receipt of goods on an agreed time period). Since 2008 credit facilities have been cut back and companies are now more prudent when offering them.
To determine a credit account and the level of credit permitted a company will carry out checks with credit reference companies similar to what you or I experience when we make a credit purchase. If an account is borderline, then further references may be obtained from other suppliers and/or a pro-forma account is opened for a pre-determined period until the company is comfortable to offer credit facilities.
Why offer credit facilities? Business isn't always just about the odd order here and there. Many of my customers work on projects either for individuals or companies such as Hotel chains. The timescale of these projects can be months or even years, and it is in these instances that a credit account is invaluable. It enables the specifiers to obtain and supply product as and when required as invariably, these types of projects are scheduled payments or payment on completion from their client.
This brings me to a story after being reminded from, shall we say "an opinionated discussion" with the accounts department of one of my principles.
The types of accounts they have can vary. I have customers that like or don't mind paying pro-forma (payment before release of goods) and the others have credit accounts (payment after receipt of goods on an agreed time period). Since 2008 credit facilities have been cut back and companies are now more prudent when offering them.
To determine a credit account and the level of credit permitted a company will carry out checks with credit reference companies similar to what you or I experience when we make a credit purchase. If an account is borderline, then further references may be obtained from other suppliers and/or a pro-forma account is opened for a pre-determined period until the company is comfortable to offer credit facilities.
Why offer credit facilities? Business isn't always just about the odd order here and there. Many of my customers work on projects either for individuals or companies such as Hotel chains. The timescale of these projects can be months or even years, and it is in these instances that a credit account is invaluable. It enables the specifiers to obtain and supply product as and when required as invariably, these types of projects are scheduled payments or payment on completion from their client.
This brings me to a story after being reminded from, shall we say "an opinionated discussion" with the accounts department of one of my principles.
Just over 2 years ago I negotiated and obtained an account with a well known multi million pound national furniture retailer that was just breaking into the wall covering market. This account was potentially going to be one of my biggest, and as you can imagine I was pretty excited about it.
Having had long discussions about their plans, negotiated volume prices, delivery, how the wallpaper was going to be used in their stores, guidelines on how we expected it to be marketed and sold online and the volume they expected to turnover, I proceeded by sending in the account application form and waited in anticipation.
And then, the email confirmation I had been waiting for pinged in my inbox, I eagerly awaited the page to open and then read, we are very pleased that you have chosen the ? brand to be represented in your stores and can confirm that we will open an account with £ credit facilities! My heart sank, the limit would barely cover the first order for a shop refit, let alone a stock order for 20 stores! I argued my case but it fell on deaf ears, the client wasn't best pleased, but over many weeks we talked and discussed but the end result remained the same.
After a few months of trading they came back to me again and wanted the limit raised, again I went to the accountants, again I was told no and this is how it went for months and months.
This week, that very same furniture chain went into administration with colossal debts, and if wasn't for the prudence of the company accountants, the company I represented could have had a significant debt which would have had a major impact on their business.
Credit facilities serve a purpose and keep the wheels of commerce in motion, but only when managed correctly.
John Northwood
Thursday, 27 June 2013
The value of quality
After many years of saying it, the time in my life has arrived where I am now turning into my Dad! Not a bad thing as he was a lovely man, but there are sides to a parent that makes you say "I shall never be like my Dad". To my kids I am now a grumpy old man that can moan about a moan and spend too much time in front of the 50" TV screen every night complaining about programmes that are similar to what I used to watch back in the 'good old days'.
I suppose it started about 8 years ago when me and my now wife Jane arranged a special holiday to the Caribbean. We needed (well, wanted) new clothes and on Jane's suggestion I decided to buy some designer tops and footwear. At the time of purchase I was happy on the outside but hurting on the inside. Thoughts going around my head like "how much for a t-shirt, I can buy three for that!"
For our wedding in 2007 I invested in some, at the time, expensive shoes for the comfort of having to wear them all day and night, and those same thoughts were coming into my head.
Then, on 14th November 2009 an event happened in our lives that changed my whole perspective on the value of quality.
14th November was a Saturday, me and Jane had been to the shops and on the way back we suffered a side impact accident that was proceeded by the car taking out a road sign head on, a power box for operating the traffic lights leaving exposed cables under the car and then finally coming to rest through a wall. All the airbags deployed (not a pleasant experience in itself) and although not life threatening, Jane suffered injuries that resulted in surgery. Me, despite the car being hit my side I only suffered whiplash and minor damage to my coat.
First impressions of the car doesn't look too bad. However, to put into context, the impact was so hard the other car that hit me had it's front end ripped off with it's engine left on the road!
So, you ask, where is this taking us? The moral of the story is the value of quality. The T-shirts I purchased for the holiday I still have, my shoes for the wedding were the most comfortable I have ever owned and still wear them today. And the fact that I chose a BMW over a cheaper brand as a company car means I am here today to write this blog.
The same applies today to the brands and products I represent. My answer now to anyone who says it is too expensive is, "compared to what?" If you are comparing like for like then it is a fair comment. If it only looks and feels similar to a cheaper brand then no, it isn't expensive! Appreciate the quality, how it can be used and who by before asking the price, then decide if it is too expensive.
The cost of my BMW £30,000, the cost of my life, priceless.
John Northwood
Wednesday, 26 June 2013
The value of your working environment
I am now approaching my 40th year in the interiors industry and I have many fond memories of places I have worked, people I have worked with and those that have inspired me.
One of the most memorable periods in my career was back in 1976/1977 when I joined a local furniture retailer named Dodimead. It had been a traditional family run business for many years and an established business in my hometown.
The manager was a wonderful man named Arthur Mitchell, and my one year working with him was the best time ever during my working career. I did something then that you would never consider today, and that was to take a 60% wage cut to join the business, but, through the education I received from Mr Mitchell (which was what you had to call him) it has been invaluable throughout my working life.
Under Mr Mitchell's guidance I learned all about 'real' furniture like handmade cabinets, upholstery, the elements that made a good bed and the difference between a good carpet and a cheap imitation.
This is also where I learned the values of a well presented showroom. It doesn't start from the time the customer walks in the door, it is from the time they see your shop for the first time. First impressions, no different to my role now. My appearance when I visit a customer is very important, it's me as a person they see first before anything else.
Every morning (and I mean every morning) my job was to collect the litter and sweep the pavement in front of the shop. Once a week I had to clean the windows and remove any weeds that dared to appear within our space!
Now we are in the shop and it was spotless! Carpets vacuumed at least once a week, and in the Autumn as and when required with leaves and dirt coming in through the main door. Display had to be clean, free of dust (inside and out), and this included the tops of cabinets that I could barely reach. One of Mr Mitchells favourite pastimes was to run his fingers across the tops of the cabinets and wardrobes checking for dust as he walked through the shop!
The window displays were as Mr Mitchell would say "are the showcase to our business". Every 3 months the walls and fabrics would be changed to represent a new season. Every 2 weeks we would have to change the furniture. This meant either replacing the upholstery, changing the cabinets or even something as small as swapping over the occasional tables and pictures.
The price always went on the correct ticket, even for sale items. In Mr Mitchells eyes, a crossed out and re-written price ticket was a sign of laziness and desperation to sell the item. price tickets had to be correctly positioned, sample books tidied away and no loose cottons or labels showing that shouldn't be.
Although the business was mid to top end quality, Mr Mitchell adopted a clever method of display to attract all types of customers into our shop, and this is a method still used today by some of the multi nationals.
The front of the store consisted mainly of the keener priced furniture and accessories with a small mix of the mid priced products. From the outside looking in we seemed like a keenly priced furniture shop. As the customer walked through the store the prices of the furniture and upholstery would gradually increase in price until you had the most expensive at the back. You had effectively drawn the customer into the whole of the shop. And can you guess which products we sold the most of? Yes, the most expensive goods at the back of the shop were our best selling lines, regularly!
I enjoyed over 20 years in retail, and when I had my own Bed business in partnership with my brother, I adopted the same principles that I had been taught by Mr Mitchell, and they never let us down.
One of the most memorable periods in my career was back in 1976/1977 when I joined a local furniture retailer named Dodimead. It had been a traditional family run business for many years and an established business in my hometown.
The manager was a wonderful man named Arthur Mitchell, and my one year working with him was the best time ever during my working career. I did something then that you would never consider today, and that was to take a 60% wage cut to join the business, but, through the education I received from Mr Mitchell (which was what you had to call him) it has been invaluable throughout my working life.
Under Mr Mitchell's guidance I learned all about 'real' furniture like handmade cabinets, upholstery, the elements that made a good bed and the difference between a good carpet and a cheap imitation.
This is also where I learned the values of a well presented showroom. It doesn't start from the time the customer walks in the door, it is from the time they see your shop for the first time. First impressions, no different to my role now. My appearance when I visit a customer is very important, it's me as a person they see first before anything else.
Every morning (and I mean every morning) my job was to collect the litter and sweep the pavement in front of the shop. Once a week I had to clean the windows and remove any weeds that dared to appear within our space!
Now we are in the shop and it was spotless! Carpets vacuumed at least once a week, and in the Autumn as and when required with leaves and dirt coming in through the main door. Display had to be clean, free of dust (inside and out), and this included the tops of cabinets that I could barely reach. One of Mr Mitchells favourite pastimes was to run his fingers across the tops of the cabinets and wardrobes checking for dust as he walked through the shop!
The window displays were as Mr Mitchell would say "are the showcase to our business". Every 3 months the walls and fabrics would be changed to represent a new season. Every 2 weeks we would have to change the furniture. This meant either replacing the upholstery, changing the cabinets or even something as small as swapping over the occasional tables and pictures.
The price always went on the correct ticket, even for sale items. In Mr Mitchells eyes, a crossed out and re-written price ticket was a sign of laziness and desperation to sell the item. price tickets had to be correctly positioned, sample books tidied away and no loose cottons or labels showing that shouldn't be.
Although the business was mid to top end quality, Mr Mitchell adopted a clever method of display to attract all types of customers into our shop, and this is a method still used today by some of the multi nationals.
The front of the store consisted mainly of the keener priced furniture and accessories with a small mix of the mid priced products. From the outside looking in we seemed like a keenly priced furniture shop. As the customer walked through the store the prices of the furniture and upholstery would gradually increase in price until you had the most expensive at the back. You had effectively drawn the customer into the whole of the shop. And can you guess which products we sold the most of? Yes, the most expensive goods at the back of the shop were our best selling lines, regularly!
I enjoyed over 20 years in retail, and when I had my own Bed business in partnership with my brother, I adopted the same principles that I had been taught by Mr Mitchell, and they never let us down.
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