western retailer—february 2012

Volume 21 • Issue 2

www.WHFA.org

FEBRUARY 2012

High TouchCustomer Experiences p.10

Do you tilt right or left? p.34

When theLights go out p.28

f i f t y y e a r s i s a l o n g t i m e

t o b e c o m m i t t e d t o e a c h o t h e r !

w w w . e m e r a l d h o m e . c o m

� ank you for a Great 50 Years!w e l o v e y o u m o r e t o d ay t h a n w h e n w e f i r s t m e t

whfa_feb_2012_2.indd 1 1/19/2012 10:02:26 AM

Contact WHFA at www.WHFA.org or (800) 422-3778 western retailer F E B R U A R Y 2 012 3

10 A Joyful Experience

13 Furnish Your Anniversay

17 Dealer-Chic

22 What’s Love Got To Do With It?

26 Customer Service is a Mindset

34 Love Bytes

5 President’s Letter

6 Executive Director’s Letter

8 Industry Beat

24 MemberProfile—Casa Bella Galleria

30 MoneyMatters—The Sound of Revenue

33 Meet Your Neighbor

20 Membership in the WHFA

21 Membership Marketplace

28 New Lighting Program

29 EnergyEfficiencyShowroom

31 The WHFA Warehouse

14 Home Furnishings Industry Conference—HFIC

16 HFIC Sneak Peek

I N S I D E

every issue

the love issue making your customers feel warm & fuzzy.

member benefits

Casa Bella Galleria, Sacramento, CA.

upcoming events

On The Cover: Fixtures Living takes an innovative approach to reaching customers. p.10

f i f t y y e a r s i s a l o n g t i m e

t o b e c o m m i t t e d t o e a c h o t h e r !

w w w . e m e r a l d h o m e . c o m

� ank you for a Great 50 Years!w e l o v e y o u m o r e t o d ay t h a n w h e n w e f i r s t m e t

whfa_feb_2012_2.indd 1 1/19/2012 10:02:26 AM

EDITORIAL STAFF

Managing Editor: Melissa dressler ........................... [email protected]

dESign and LaYoUt: Lisa tilley [email protected]

advErtiSing ManagEr: Cindi Williams [email protected]

2012 WHFA OFFICERS AND EXECUTIVE COMMITTEE

WHFa PrESidEnt Chris Sanders - Everton Mattress Factory, Twin Falls, ID ................(208) 326-3407

PrESidEnt ELECt Valerie Watters - Valerie's Furniture and Accents, Cave Creek, AZ (480) 483-3327

viCE PrESidEnt Lael Thompson - Broyhill Home Collections, Aurora, CO .................(303) 360-9653

trEaSUrEr Chuck Kill - Bedmart, Tucson, AZ .....................................................(520) 887-7039

SECrEtarY Tom Slater - Slater's Home Furnishings, Modesto, CA ....................(209) 522-9097

EXECUtivE CHair Angel Lopez - Dearden's, Los Angeles, CA .....................................(213) 362-9600

PaSt PrESidEntS Claudia LeClair - Fiesta Furnishings, Scottsdale, AZ .......................(480) 951-3239 Marty Cramer - Cramer’s Home Furnishings, Ellensburg, WA ..........(509) 933-2172

WHFa/nHFa LiaiSon David Harkness - Harkness Furniture, Tacoma, WA ........................(253) 473-1234

EXECUtivE dirECtor Sharron Bradley - WHFA, Roseville, CA ...........................................(916) 784-7677

at LargE EXECUtivE CoMMittEE MEMBErS

Gary Absalonson - Walker’s Furniture Inc., Spokane, WA ................(509) 533-5500

Howard Haimsohn - Lawrance Contemporary, San Diego, CA .........(619) 291-1911

Karen Kohlman - West Harvard Furniture, Roseburg. OR ................(541) 673-4221

Mark Navarra - Jerome's, San Diego, CA ........................................(858) 753-1567

2012 Board MEMBErS

Carol Bell - Contents, Tucson, AZ .....................................................(520) 881-6900

Gene DeMeerleer - Furniture West, LaGrande, OR ..........................(541) 963-5440

Chris Ehgoetz - Michael Alan, Lake Havasu City, AZ ......................(928) 855-6067

Greg Follett – Follett’s Furniture, Lewiston, ID ..................................(208) 743-0177

Travis Garrish - Forma Furniture, Fort Collins, CO ...........................(970) 204-9700

Giff Gates - Gates Furniture, Grants Pass, OR .................................(541) 956-8425

John Grootegoed - Elite Leather, Chino, CA .....................................(800) 826-9971

Eric Harms - Black’s Home Furnishings, Yreka, CA ..........................(530) 842-3876

Marvin Kerby - Kerby's Furniture, Yreka, CA.....................................(530) 842-3876

Tim Koerner - Koerner Furniture, Coeur D’Alene, ID ........................(208) 666-1525

Jeff Lindsley - Lindsley’s Home Furnishings, Grangeville, ID ............(208) 983-1040

Alex Macias - Muebleria Del Sol Furniture, Phoenix, AZ ..................(602) 405-3453

Michael Nermon - Ergo Customized Comfort, Irvine, CA ..................(949) 833-0338

Cherie Rose - The Rose Collection, Los Gatos, CA ..........................(408) 395-7773

Scott Selden - Selden’s - Tacoma, WA .............................................(253) 922-5700

Mike Shuel - Meredith Furniture, Yakima, WA ..................................(509) 452-6221

Polly Teeter – Del-Teet, Bellevue, WA ..............................................(425) 462-1500

Alex Vo - RoomsXpress Furniture, Modesto, CA .............................(209) 571-1700

John Wilson - Wilson's Furniture, Ferndale, WA ..............................(360) 384-8900

WESTERN HOME FURNISHINGS ASSOCIATION STAFF

Executive director: Sharron Bradley ...............................................(916) 960-0345

asst. Exec./Membership director: Kaprice Crawford ....................(916) 960-0346

Business Manager: Janice Carlson .................................................(916) 960-0347

Events Manager: Cindi Williams ......................................................(916) 960-0277

operations/Warehouse Manager: Jef Spencer ..............................(916) 960-0386

Editor/Communications Coordinator: Melissa Dressler ................(916) 960-0385

graphic designer & Project Manager: Lisa Tilley ..........................(916) 960-0349

Member Services rep: Michael Hill .................................................(916) 960-0263

Member Services rep: Adam Gardner ...........................................(916) 960-0291

accounting assistant: Melody King ................................................(916) 960-2476

4 F E B R U A R Y 2 012 western retailer Contact WHFA at www.WHFA.org or (800) 422-3778

J o u r n a l o f t h e We s t e r n H o m e F u r n i s h i n g s A s s o c i a t i o n

western retailer

RRCRETAILERRESOURCE CENTER

est.1944 western retailerACADEMYWHFA

Advertising Inquiries & RatesContact: Cindi Williams, WHFA Events ManagerPhone: (916) 960-0277 E-mail: [email protected]: $35.00/year USA

Western Retailer is Published by Western Home Furnishings Association, a National Home Furnishings Association affiliate, in the interests of retail home furnishings dealers, manufacturers, distributors and sales people.

Distributed to retail merchants handling furniture, accessories, bedding, floor coverings, and specialty home furnishings in Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, Oregon, Utah, Washington and Wyoming. Mailing list compiled by WHFA.

Official publication of Western Home Furnishings Association, which is responsible for editorial content and advertising policy. The views expressed in articles appearing in Western Retailer are not necessarily those of Western Home Furnishings Association. Western Retailer magazine is copyrighted by Western Home Furnishings Association. January 2012, all rights reserved.

Western Retailer Read by furniture retailers in the West.

DistributionWestern Retailer is published 10 times a year at a subscription rate of $35 per year by The Western Home Furnishings Association, 500 Giuseppe Court, Ste. 6, Roseville, CA 95678, (916) 960-0277. Periodicals postage pending at Roseville, CA and additional mailing offices. POSTMASTER: Send address changes to THE WESTERN RETAILER 500 Giuseppe Court, Ste. 6, Roseville, CA 95678.

If you would like to stop receiving the Western Retailer please send an email to: [email protected].

If you would like to receive only an electronic version of Western Retailer please send an email to: [email protected].

contactPhone: (800) 422-3778

(916) 784-7677Online: www.WHFA.orgFax: (916) 784-7697Mail: 500 Giuseppe Court, Suite 6

Roseville, CA 95678Facebook: www.facebook.com/WesternRetailer Twitter: www.twitter.com/WesternRetailer

Western Home Furnishings Association is the western affiliate of National Home Furnishings Association

est.1944

Western Home Furnishings Association


Grand Forks, North Dakota in December is generally a wind-driven, snow covered city with sub-zero temperatures that would test the resolve of most. It becomes quite evident why this town was recently found on a list of America’s coldest cities. I was invited to the area by the team from Stevens Mattress to witness, observe and source best ideas and proven practices relevant to mattress sales and manufacturing. Over the years I witnessed the success within this entity, so I was excited to spend a couple of days with the owners, sales team and manufacturing staff; hopeful to bring some of their habits home and install them within our factory found in Idaho. In my opinion good, or bad, service is usually a by-product of a company’s culture or the outcome of a belief system. I realized very quickly that this entity has adopted a “Can Do” strategy and it’s found in all facets of their company. I am not sure if I heard the word “no” once within the walls of Stevens Mattress; it was refreshing to watch how this entity is challenged from their customers and how they respond. Responsive, adaptive and creative are all components that describe their habits—I think the great service that they provide to their customers is just a link in the chain. Talking with several of their customers, from Top 100’s to small family furniture stores, the commonality that is consistently stated is they do whatever it takes. I had the pleasure of sitting in on several of their planning meetings slated for 2012. The synergy that existed between all the departments was very transparent; every member knew their role and was defined, expectations were set. I felt the contagious energy within the walls of Stevens Mattress, this is the pulse that rattles and keeps them on an elevating line of success. I was excited to bring back and install some of the proven practices and ideas that were shared; they allowed me total access to their entire organization. I asked them in their opinion what would they base their success on? The answer, “When we were a small company, we acted like a big company.” My greatest take away from the visit was that a sense of excellence was clearly installed in the fabric of this company. They survived floods in the mid-1990s, challenging markets and family transition but through their passionate efforts to succeed and grow, it is quite clear that this family business will offer great customer service and earn respected loyalty for decades to come. This sharing of ideas and stories is what WHFA is all about—Retailers helping Retailers. The ideas you get from a fellow member during events, store visits, over the phone, or sharing from manufacturers that support our Association, makes your membership priceless.

Chris Sanders

President’s Letter

Chris Sanders Everton Mattress & Furniture Twin Falls, Idaho (800) 521-3985 [email protected]

Letters from the Road: Great Service is Part of the DNA with Stevens Mattress


Sharron BradleyExecutive DirectorWestern Home Furnishings Association

The Future is NOWWhat is going to happen next? Don’t you wish we had a crystal ball to see into the future? Things have changed so dramatically in only the last two years. From the whirlwind of social media to our reliance on new tablet devices, change is everywhere. So what will the home furnishings store of the future really be like? What will your association be like? If this much change has happened in only two years, we’d better get going and make some significant changes to our stores and our association. Your association is here to help you do just that. Over the next two to three years we will see even more transformation. Take a look at the Furniture Today forecast for 2016 and you will see that most of the West is poised for 20 percent plus growth. To take advantage of that possibility you must be prepared to be unique. The time to make a move is now.Designing a new shopping experience for your customers is key to your future success. Customers are assaulted by online and offline options and choices. Confusion and indecision can result. Your challenge is to create a seamless experience incorporating opportunities for your customer to discover and be advised in the store, have a chance to experience products and services through intriguing store events on a daily or weekly basis. Bring a feeling of community to your store. Let them come to enjoy who you are and then buy with confidence in or out of the store. Use new visual aids and technology tools to enhance their experience, teach and tell stories. All of this is available to you today to use in your store, on your website and in your social media. You may have already begun the process of change but more options are coming available every day. It’s important to keep up or be left behind in the race for your consumer’s attention. We will help you do the research and provide you the knowledge, and then it’s up to you to incorporate it into your business and become the store of the future that your customer is looking for. Isn’t that really the fun of retailing? You have the perfect stage for testing the latest and greatest innovations while gaining the competitive edge that will keep you in the game and your customers coming back for more.Your association is changing too. We are not here just to provide the services you have come to expect but to help you move your business to the next level. We are where you find knowledge, innovation, and most of all the spirit of community. We are Retailers helping Retailers, and we are here to serve you now.Let’s get started!

Sharron Bradley

Volume 21 • Issue 1

2012 TrendsMaking Sense

of all the ChaosWhat is your favorite waffle topping?

435 likes 66 repins 63 comments

so hungry

The 2012 WHFA President has experienced almost every aspect of the furniture business and brings a unique prospective to our association.


Congrats Chris! 2012 WHFA President!

Facebook has changed my business.


make a comment

www.WHFA.org

What is this?!


A QR code duh....

JANUARY 2012

This Calvin Klein Rug from Nourison indulges the senses, both visual and tactile with exquisite and intricate hand carving and unbelievable texture.


Love the colors!

Last month’s issue is availabe at www.WHFA.org

The Executive Directors Letter

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Slater’s Home Furnishings in Modesto and Merced, Calif., is celebrating their 100-year anniversary this year. A small, family-owned and -operated business since 1912, Slater’s originated in Fresno, Calif. Today, Slater’s longstanding tradition of excellence continues, as clients from near and far enjoy their first-class merchandise, friendly staff and sterling reputation among manufacturers and clients. … The closing of 2011 marked a milestone

year for Sleep Country USA’s award-winning Foster Kids Program. Sleep Country USA collected more than 101,000 important material items for foster children including clothing, pajamas, shoes, school supplies, coats and at the holidays—gifts and toys, for a substantial increase in year over year donations. This marks the most successful year for Sleep Country’s Foster Kids Program since its beginning six years ago. ... Koerner Furniture, Coeur d’Alene, Idaho, recently received the Excellence in Business award from the Coeur d’Alene Chamber of Commerce. They won the award in the customer service category after a customer nominated them due to the great customer service he had during the three times he had shopped. ... Valerie Watters, owner of Valerie’s Furniture & Accents, Cave Creek, Ariz., was awarded the

2011 Retailer of the Year Award by the Arizona Home Furnishings Representatives Association (AHFRA). Valerie received the award due to her attention to quality, involvement in the industry and work in the community. “I am extremely honored. I have known many of the reps for more than 25 years. I know how hard they work. They are an essential part of our industry. I am proud to be associated with them and recognized by them,” she said. … The Sleep Train, Sacramento, Calif., uncorked a new store in Napa and celebrated opening their 100th store.


February is the month of love. Cupid’s arrow strikes many during this month and everywhere we go, there is a sea of pink and red. How can you make cupid’s arrow hit your customers, and make them fall in love with your store? Create that spark

with your customer by offering an exceptional retailing experience, superior customer service

and knowing what she wants.

In the following pages, you will learnabout joy, the mindset of today’sconsumer and providing superiorcustomer service—with a little bit of “love potion” spritzed in between.


By Melissa Dressler

A Joyful Experience

The Love Issue

Dream. Play. Choose. Live.

Very few retailers have been able to

open new stores and be successful during this down

economy. Opening in 2009, Fixtures Living has done

just that. Jeffery Sears offered this

advice on being successful, “It’s

kind of like when you play tennis,

you can play the baseline or the

net, but you never want to be caught in the middle,” he

said. “The problem with retail today

is you either have to be the

low cost provider or you have to

be someone who provides an

extraordinary brand experience that people want.

If you are in the middle, you are

dead. I think we are seeing

examples of that everywhere.”

What can you do in your store to

separate yourself from the middle of

the pack?

As you walk through the doors, you feel it: Cared for. Welcome. A barista smiles from behind a coffee bar and asks if you’d like a handcrafted cappuccino. As the aroma of freshly-ground beans wafts from the counter, a sense of comfort—even empowerment—envelops you. In-store messaging catches your eye, weaving tales that encourage you to dream, play, and choose products that lead to better living. But most of all, you realize you’re having fun—in an appliance store. And that’s when you realize, most emphatically, that you’re not in one—at least not like any you’ve ever seen before. This is a retail dream come true. Opening in 2009, Fixtures Living started helping Southern Californians’ dreams come true through their unique brand experience. Capitalizing upon the realization that the premium Appliance & Plumbing Industry was truly underserved, Fixtures Living’s four business partners came together to build their dream. The goal was simple: to create joy for their customers. Drawing upon their own concepts of what the ideal shopping experience should be, the founders created an unsurpassed retail branding experience. Customers go through a process of immersion as they enter the store (see cappuccino experience, above).“This gives our guests the opportunity to decompress, to absorb our environment and to understand why we are relevant,” said Jeffery Sears, one of the four partners. “Then we explain how the store works, and we empower you to self-shop, or to be helped. We give our visitors the ability to command and control. When that happens, they feel joy, and associate it with our brand. That is something we unlocked when we designed the store.” The first two locations in San Diego and Rancho Mirage took tested theory of customer immersion and empowerment and were highly

successful. Last September, they took what they had learned from those locations and created the Costa Mesa store—which is truly an unbelievable experience, taking visitors on a journey of discovery.

Advice for Retailers


“Here, we provide the ability to dream and to play; everywhere water should run, it runs. Everywhere there is a kitchen, there is fire. Ovens turn on, there’s a pizza hearth and live beer taps hidden throughout,” said Sears. “Unlike other stores, we don’t try to sell people a box or an appliance. We don’t ask what they want to buy, but rather, how they want to live. When we do that, the brands in the store come to the customer based upon their desires, or upon their budget.” Perhaps most extraordinarily, Fixtures Living has transformed a need-based industry into a want-based industry. Often times people will only visit appliance and plumbing stores when they are remodeling or something broke—rarely just to “hang out” there. By creating an experience

and allowing customers to explore, Fixtures Living has created an environment that people want to visit—and to linger at, discovering ideas they might never have dreamt of before. Sears added, “They can take a steam shower, they can try out the sauna, they can even traipse around naked inside the seclusion of The Sanctuary and try out all of the shower heads while others are shopping just a few feet away. It makes a difference when you start empowering people to explore. Then they want something. That is the difference in what we have done—we have created a want-based atmosphere for these types of products.” They have also created an atmosphere for learning. Holding daily classes in their kitchens, Fixtures Living not only showcases their products but their culinary skills. Every day

from 11-2 they host complimentary “how-to’s” on everything from knife skills to seasoning hints. A friendly culinary staff shares helpful product knowledge, tips, tricks, and—most importantly—irresistible tastings and even, during select times, lunch. Fixtures Living also offers its business-to-business customers opportunities to utilize the showroom space for after-business-hour parties and social events. “We utilize a tribal theory to market to our B2B side of the business, which is architects, the design community and remodelers. We bring those people in, they utilize our space, and we gift it to them for private events. It’s kind of a fun place to have a party or a sales meeting, and the word-of-mouth begins,” Sears said. Part of the experience is in the stories you read on the

walls and in the vignettes. Each vignette evokes an emotional response from the customer. “In these settings, you are reading about moments, not about BTUs or the features of a chrome faucet,” said Sears. “Some stories make you smile, some make you cry. The purpose is to transport customers to a place where they can see themselves in that tub, or in that shower, and to make a meaningful connection.”Fixtures Living has found a way to infuse its brand in every aspect of the store, from its employees to the writing on the walls. Sears attributes this to being a very creative company that is also highly process-oriented. The four owners each bring a unique background with them, and this creates a rare cross-pollination between process control and creativity. They contemplate every single aspect of the

We give the

customer

the ability to

command

and control.

The Love Issue


stores they build, which is quite evident in Costa Mesa.When hiring, each potential candidate goes through a personality profiling process. Once a person has been hired, they are brought in 6-9 months early to train, working in the market or one of their first two stores before working at the Costa Mesa location. “There is nothing better than to spend time with the people who are going to populate our locations. You could argue that with 20-40 stores in the future, it would be difficult, but it won’t be. It’s one of the most important things because you can build a beautiful store, but if you don’t get the last three feet right, you’ve lost it,” said Sears.Along with investing in its employees, Fixtures Living invests in others. Each staffer is given a $200 account with the website Kiva.org, which allows them to invest and empower small businesses throughout the world. Then, they are encouraged to re-invest these dollars again and again. Not only does it give back to others, it implicitly conveys to new employees the culture of the company.

Fixtures Living has crafted a beautiful showroom, filled with amazing products and a joyful brand, which has created repeat business. “Any time that you care for people, empower them and provide them with an extraordinary environment—one that does not cost them any extra, and assures them of value—you will create loyalty to a brand,” Sears said.This loyalty has made Fixtures Living successful during a time when most stores are closing their doors. They have plans to bring their concept of joy to new markets by replicating the Costa Mesa plan. With their sights set on two new openings, Fixtures Living will continue to expand their brand by creating joy, by realizing their customers’ dreams.

transforming

a need-based

industry into

a want-based

industry.

The Love Issue

Dream. Play. Choose. Live.


Anniversary # Traditional Gift Furnishings & Decor GiftFirst Paper Wall Art

Second Cotton Upholstered Sofa

Third Leather Leather Motion Chair

Fourth Fruit / Flowers Rug

Fifth Wood Dresser

Sixth Candy / Iron Wrought Iron Bed

Seventh Wool / Copper Mattress

Eighth Bronze / Pottery Credenza

Ninth Pottery / Willow Media Center

Tenth Tin / Aluminum Occasional Table

Eleventh Steel Casual Outdoor Furniture

Twelfth Silk / Linen Drapery

Thirteenth Lace Bedding

Fourteenth Ivory Dining Table

Fifteenth Crystal Bar

Twentieth China China & Buffet

Twenty-Fifth Silver Mirror

Thirtieth Pearl Armoire

Thirty-Fifth Coral Arm Chair

Fortieth Ruby Fireplace

Forty-Fifth Sapphire Chaise

Fiftieth Gold Lamp

Fifty-Fifth Emerald Canopy Bed

Sixtieth Diamond Chandelier

What if people gave a new piece of furniture or home decor for every anniversary instead of paper, wood or iron? We think the standards should change and people should use this list to “furnish” their next anniversary gift.

The Love Issue

Buck the trends! What

better way for couples

to make a love nest

than buying furnishings for anniversaries.

14

MAY 6-8, 2012 ◊ PALM SPRINGS

Home Furnishings Industry

Reserve before March 1st and be entered into a drawing for

a free suite upgrade.

$149 PER NIGHT!

Visit www.homefurnishingsconference.com to access our direct reservation site, or call (888) 627-8396 and use GROUP CODE: HFIC2C

Pedro Capo

Larry Miller

Featured Retailers

Pedro Capo, COO, El Dorado Furniture

Larry Miller, President, Sit ‘n Sleep

Events

15

california dreamin'Gaining the Edge

Register Now Value WowFirst Registration $495.00Second Registration *0.00Three or more $199.00

See all the registration details at www.homefurnishingsconference.com

Schedule @ GlanceSUNDAY MAY 6 7:00 am Industry Golf Tournament 5:00 pm Opening General Session 6:45 pm Welcome Reception & Dinner 9:00 pm After Party in the Late Night Lounge

MONDAY MAY 7 7:15 am Breakfast in the Showcase 9:30 am Gaining the Edge in Business10:30 am After Session Discussion 12:15 pm Lunch with Best Idea Bonanza

2:00 pm Breakouts Round One• Shut Up Already• Maximizing the Selling Moments• Social Media: What’s the Big Deal?• Cutting Edge Sales and Operational Tools• How to Attract More Clients Easily & Effortlessly• Screw the Conversion Rate

3:40 pm Breakouts Round Two • The Evolution of a Blog• Pendulum• The Experience Economy: Events that Excite• The Power of a Facebook Fan• Consultative Selling in the Bedding World• FUTURELOOK: Key Sales & Marketing Trends 2012

5:00 pm Let’s Make a Deal Product Bonanza 6:00 pm Reception in the Showcase 7:00 pm Experience the Desert Dining Landscape 9:00 pm After Party in the Late Night Lounge

TUESDAY MAY 8 7:15 am Breakfast in the Showcase 9:30 am Gaining the Edge in Business 10:45 am Breakouts Round Three

• Maximizing the Selling Moments• Turning Strangers into Customers• Geeked Out with John McCloskey• FUTURELOOK: Key Business Trends 2012 • The Ultimate Balancing Act• Consultative Selling in the Bedding World (Repeat)

12:15 pm Lunch & Networking 1:45 pm Breakouts Round Four

• Geeked Out with John McCloskey (Repeat)• Where do you Want to be One Year from Now• Co-Created: Four Winning Sessions Repeat from Day One

3:15 pm Closing General Session 6:00 pm Industry Reception 7:00 pm Living the Dream— An Old Hollywood Red Carpet Experience

Featured Retailers

Pedro Capo, COO, El Dorado Furniture

Larry Miller, President, Sit ‘n Sleep

* To qualify for the buy-one-get-one discount you must be a current retail member of a qualifying partner organization.

Events

Featured Keynotes:

Larry Winget Truth Be Told

Tim Sanders Today We Are Rich


by Zara Stender

Today We Are Rich

Western Retailer: In your new book, Today We are Rich, you focus on harnessing the power of confidence. How have you found your own confidence and how has it helped your career?Tim Sanders: Confidence is an outlook one has that he or she will be successful in a situation or over the long haul in an effort. It’s a way of seeing yourself in the context of the future. I generate my confidence through my actions and my lifestyle design. This way, I am not dependent on favorable circumstances to possess confidence. Confidence is rocket fuel for success. When you have it, you are bold enough to seize opportunities. You are persuasive to others. You are smarter, experience more clarity through your point of view. You are more generous with others, which boosts your relationship power. Research suggests that confidence is second only to IQ when it comes to predicting one’s success. WR: Was there a time when you were not so confident?TS: Earlier, when I was in my late 20s and early 30s, my confidence was hit or miss. If I was doing well at work, I was confident. When conditions changed, I’d lose confidence like most, and it would torpedo my career path. It was stop-start-stop-start confidence for me. When I was 36, I had a chance to interview with Mark Cuban for his startup (AudioNet, broadcast.com). My wife pumped me up so I’d have the confidence to win the job, and it made all the difference to me. When I was a kid, as a special education student until the sixth grade, I lacked social confidence. I was the type of kid you’d rob for lunch money or give a wedgie to for kicks. I broke out of that place by my sophomore year and by my senior class year, I was the president of the student council. WR: Why do you believe it is important to build strong business relationships?TS: Business relationships are the oil that keeps your business running smoothly. One electrician puts it this way, “You can burn down the customer’s house, but if the two of you are close enough, he’ll say that ‘accidents happen.’” When you have deep relationships, you get and give better information, which can impact sales and business development. One Yale study found that relationship masters sell 40 percent more than the average due to this factor. Also, you are more likely to convince people to look at product extensions outside of your normal offering. Lastly, when you have strong relationships, you have an emotional support system for your ups and downs.WR: How can home furnishings retailers gain more confidence in themselves and their businesses?TS: Remind yourself of your previous successes. Recall, in high definition, winning moments from your past and remind yourself that you are as good today as you were then. Reignite your passion for what you do, and build community around these positive feelings. Also, if you read constantly about how the world is changing, you will future-proof yourself and be much less intimidated about change. In fact, if you are bookish enough, you’ll lead the charge towards new technology, retail, etc. WR: What do you say to yourself when pessimism sets in?TS: Question the sources of information you are consuming. Question your commitment to thrive during change. Find new people to hang out with, and if you are a leader, find the pessimists that are likely infecting you and the rest of your group. The best strategy was created by the founder of Carrier. When faced with pessimistic thoughts, he confronted the worst case and often found that it was actually tolerable. Too often, we let the worst case remain a mystery, which gives it enormity in its vagueness.

For more of this interview, visit the HFIC blog at www.homefurnishingsconference.com.

MAY 6-8, 2012 ◊ PALM SPRINGS

Home Furnishings IndustryTim Sanders

Here is a sneak peek of what you will learn during the HFIC Closing Session, Today we are Rich.


One of the hottest consumer trends today is saving money. From extreme couponing to daily deal sites, this focus on the bottom line is a reflection of the times, and the consumer mindset. Here’s a look into the consumer’s mindset and this new consumer trend, “dealer-chic”.The avalanche of deals currently available to consumers are not just a short-term symptom of the financial crisis; Dealer-chic is here to stay.

Dealer-chic: Consumers have always loved getting good deals or exclusive rewards, but rather than having to hide one’s haggling, securing the best deal is now accepted, if not admired by one’s fellow consumers. Deal hunting will continue to be an integral part of consumers’ lives, as it’s now about more than just saving money: it’s the thrill, the pursuit, the control, and the perceived smartness, and thus a source of status too.Now, we’re not saying that all of consumption will be dominated by discounted goods and services. However, for status-conscious consumers (read: all of them), making the most of discounts and deals is no longer considered cumbersome or even embarrassing, but simply smart.

In fact, Dealer-chic is yet another example of the longer-term shifts playing out in the consumer arena, where savvy consumers have more choice, higher expectations, and more control, while mature consumers have an ever-less reverential relationship to brands.

For consumers, deals are becoming a way of life, if not a source of pride.

So, here are just three reasons why Dealer-chic is set to get bigger and bigger in the coming years:MORE FOR LESS: While many people in developed economies may have less money to spend right now, consumers everywhere will forever look to experience more.THE MEDIUM IS THE MOTIVATION: Consumers are now being alerted to, using, reusing and sharing offers and deals via new (and therefore infinitely more exciting and attractive) technologies.BEST OF THE BEST: With instant mobile or online access to not only deals but reviews as well, consumers can now be confident they’re getting the best price for the best product or service.1. MORE FOR LESS

People want to experience more, even when they have less to spend.There’s no overlooking the fact that many consumers in mature markets like Europe, Japan and Northern America are at the very least fearful of their financial futures, meaning that any kind of deal or discount is welcomed with open arms.But even those consumers who don’t need to scrimp and save (including the middle classes in emerging markets), are still enthusiastically seeking out deals in almost every purchase, from everyday staples to one-off indulgences.Why? Because for consumers driven by collecting as many and as varied experiences as possible, every cent, yen or penny saved, means more to spend on new products, services and ultimately experiences. And of course, getting a good deal encourages exploration and experimentation by making it more tempting to try out new products or experiences.

Enough theory.

Read on to learn

from examples

of brands and

businesses

already making

deals more

mobile, relevant,

instant, cool,

integrated,

seamless,

interactive

and yes,

fun!

The Love Issue


Consumers are embracing anything that unlocks new experiences at lower cost (such as trading in used possessions), and Dealer-chic is yet another part of this phenomenon. Some MORE FOR LESS indicators:

• When asked about eight money saving strategies, buying items on sale (59%) or using coupons (48%) were the top two answers from consumers around the world. Coupons were most popular in China (67%), the U.S. (66%) and Hong Kong (65%). While only just over a third of European (37%) and U.S. (36%) consumers report shopping at value retailers to save money (Source: Nielsen, October 2011).

• 62% of U.S. consumers rarely pay full price for clothing (Source: Mintel, September 2011).

• 81% of U.S. consumers think it’s fun to see how much money they can save by using coupons or their shopper loyalty card (Source: Deloitte 2010 American Pantry Survey, July 2010).

• Over 40% of coupon ‘enthusiasts’ had a household income of over $70,000 (Source: Neilsen, April 2010).

• In September 2011, the top 10 grossing ‘daily deal’ offers in the U.S. included a $399 seven-night resort stay, a $6 burger meal, a $5 movie ticket and soda deal, and a $70 Cirque de Soleil theater ticket (Source: Yipit, September 2011).

2. THE MEDIUM IS THE MOTIVATION

Deals are now a source of tech and online innovation, and thus smart, cool and fun to switched-on consumers.Let’s look at ‘classic’ deals for a moment, especially paper coupons: they were fiddly, generic, required forward planning and needed to be publicly processed at the cash desk, none of which made them attractive to consumers. It didn’t help that most savings were focused on getting 10 cents off a can of tuna, versus the many entertainment-heavy discounts to be had in ‘Coupon World 2.0’.Now discounts and deals are increasingly innovative and attractive in where, when and how they are delivered and redeemed. They can be sourced online or via smartphones at the right moment. Deals can be hyper-personalized or shared with friends. They can be exclusive, convenient or fun. Even securing and redeeming them (when using a smartphone, for all to see), can be a source of accomplishment or status.

All of this drives Dealer-chic: deals are now relevant, timely and interesting; using them is savvy, sophisticated and perfect for experience-hungry consumers.Some indicators:

• Online coupons account for only 1% of all coupons distributed, but 10% of those that are redeemed (Source: Catalina, April 2011).

• 79% of smartphone owners use their phones for shopping related activities, and of those nearly half (48%) use their phones to look for or use discounts and coupons (Source: Google & IPSOS, April 2011).

• 67% of mobile users agree that location-based coupons on a mobile device are “convenient and useful”, while 42% say they have already used a mobile coupon of some kind (Source: Prosper Mobile Insights, October 2011).

3. BEST OF THE BEST

Why consumers can be increasingly confident they are getting the best price and the best product.Dealer-chic doesn’t mean an endless race to the bottom, where promotions dictate where and when consumers buy. Not because consumers won’t seek out deals and discounts (because they will), but because poor quality businesses will no longer simply be able to turn to promotions to attract customers, as consumers are able to instantly check reviews and ratings before they make a purchase. And a bad product or service will be a bad deal at any price.Just one example:

Launched in November 2010, SNIQUEaway is an invite-only travel deals website operated by U.S. based Smarter Travel Media (owner of TripAdvisor). The limited-time-only deals, all feature four star or more properties that were given the highest ratings in TripAdvisor reviews, ensuring each deal is pre-vetted.INCOMPARABLE

The counter-trend to Dealer-chic: desirable stuff that doesn’t have to be discounted because there’s no alternative for it.

DAILY DEALcode #Feb578

Deals are now

smart, cool and

fun and found

through various

technologies

and online

sources by

switched-on

consumers.

The Love Issue


For every trend there’s a counter trend, as no trend applies uniformly to all consumers or all brands. Yes, more brands than ever before will experiment with imaginative ways to offer deals and discounts (and some of them won’t even seem like deals), and yes, consumers will be able to take advantage of promotions in almost every product category.But we’ll also see the rise of INCOMPARABLE offerings: products and services that are of such high quality, so unique, so authentic, so personalized, or so immediate that consumers won’t be able to (or even want to) look for reviews, price comparisons, discounts or deals. One to keep in mind if you feel Dealer-chic is not a trend you want to be part of.EXAMPLES

Enough theory. Learn from the examples to the right of brands and business already making deals more mobile, relevant, instant, cool, integrated, seamless, interactive and yes, fun!

DAILY DEALS

Of course, it’s impossible to look at Dealer-chic without acknowledging the daily deal phenomenon. Whatever the potential flaws in Groupon’s business model, over doubling their mailing list from 50 million at the end of 2010 to 115 million by August 2011, shows that for consumers at least, they are doing something right (Source: Reuters).NEXT

An even bigger ‘deal ecosystem’, more personalization, more loyalty schemes, more pressure on brands to deliver deal-immune brilliance as an integral part of everything they sell and promote.So how will Dealer-chic evolve in the year to come? Some pointers:• Consumers will become even more conditioned in expecting deals for

anything.• There will be no deal-fatigue as both deal-fueled impulse buying and the

targeted search for deals get more sophisticated, moving away from the current shotgun approach:

› Impulse buys will be triggered by ever more curated, more targeted offers to consumers based on (known) profile and preferences. These offers will ‘find consumers’, not the other way around. Basically, permission based deals.

› Targeted search for deals will become more relevant and accurate, as localized and real-time deals proliferate.

• Deal sites will focus much more on loyalty, using deals to attract new, loyal customers (and reward existing ones). This will further reduce (or even eliminate) any stigma attached to brands that offer deals.

• Real-time reviews of any deal will be easier to find, if not automatically accompanying the deals.

• More brands will justify ‘full’ prices by adding or highlighting anything that’s INCOMPARABLE about their product or service.

Source: www.trendwatching.com. One of the world’s leading trend firms, trendwatching.com sends out its free, monthly Trend Briefings to more than 160,000 subscribers worldwide in 9 languages.

Indeed, is there any niche where consumers can’t receive daily deals via email? Just a few recent spottings:• Sports: CrowdSeats offers subscribers up to

90% off sports tickets in Los Angeles, San Francisco, New York, Boston and Chicago.

• Travel: Groupon Getaways sold $9.6 million worth of holidays in its first full month after launch (Source: Yipit, September 2011).

• Entertainment: Goldstar sells half-price event tickets to venues including Cirque du Soleil and Madison Square Garden.

• Food: Gilt Taste offers deals on luxury, artisanal foods, while Munch on Me offers deals on single dishes at featured restaurants and bars.

• Groceries: In August 2011, Aisle50 launched in the US, offering consumers the opportunity to buy one deal each day on groceries such as food products, with price points generally in the $3-10 bracket.

• Lifestyle: Zipongo focuses on deals that encourage healthy eating and living, while Heartsy is a group-buying site offering deals on Etsy sellers’ products.

• Pets: Coupawz offers deals on products for dogs, cats and other pets.

REAL LIFE EXAMPLES

The Love Issue

Furniture retailers formed The Western Home Furnishings Association to save time and money. They negotiated competitive programs, developed valuable education and found ways to get together and share stories, all to help them grow professionally and thrive financially.

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21

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Member Benefits


Bruce and Katherine KawaguchiGuchi Interior DesignRoseville, CA

How long have you two been together?Working side by side since 1997

How long has the store been in business?Two years

What’s it like to work in a business with your spouse?Great most of the time but can be challenging too! New meaning to the word togetherness—two minds are still better than one!

Who does what in the store?Bruce is responsible for operations, HR & finances. Katherine is responsible for design & sales, marketing & IT. We both weigh in on all major decisions, and we both have the willingness and skills to help out the other!

Do you talk shop when you leave the office?NEVER—Just kidding! Yes, that’s what gives us an edge.

What’s Got to Do with It?

Ever wonder what it’s like to work with your spouse? Spending 24/7 with the one you love? Three retailers give us a glimpse into what it’s like when you say, “for better for worse, for richer for poorer, in sickness and in health, to love and to cherish, till death us do part,” in both business and love.

The Love Issue


Mike and Pam RudolphRudolphs FurnitureButte, MT

How long have you two been together? 34 Years

How long has the store been in business? 93 Years

What’s it like to work in a business with your spouse? Pam: It’s interesting. We’re literally together 24/7. Well... I like to say 23/7 because I usually leave the store about an hour before Mike to go home, you know, to my “other” full-time job. We’re usually so busy with our individual work at the store that we don’t have a lot of time to chat with each other. Mike: It works well because when one of us isn’t here, we know that things are going to get done. It’s like having two managers, basically. We both like being together daily and we’re both good at sales.

Who does what in the store? Pam: I do the bookkeeping, keep the inventory program and website updated, tag merchandise and track sales. I manage the office work and do the background stuff. Mike manages the employees, does most of the buying, and all of the advertising and works the sales floor. He also sets the floor, oversees the warehouse, and unloads freight. There’s really not much that Mike doesn’t do. (And... he bosses Pam around, too. )

Do you talk “shop” when you leave the office? It’s awfully hard NOT to talk shop. Our entire life, as well as the life of our children and Mike’s parents, depends on the store. It’s not all of the time, but the subject will come up while watching TV, eating dinner, sitting in the hot tub, or riding in the car. It’s just as much a part of our life as breathing.

Eric and Sandy HarmsBlack’s Home Furnishings, Inc.Yreka, CA

How long have you two been together? We are celebrating our 25th wedding anniversary in August of 2012.

How long has the store been in business? Black’s Home Furnishings opened in 1987, and we purchased it in 1992.

What’s it like working together? We figured if we could wallpaper a Victorian together, we could do anything together. And we were right. Of course it helps that we are best friends. We “bounce” ideas and issues off each other daily. And now that our son Jeff is in the business, he helps with a younger generation of opinions and ideas.

Who does what in the store? Eric is the money man. He keeps the business running. I do the ordering and taking care of the employees and customers. We have been so lucky over the years with having a great group of employees. Eric and I couldn’t do half of what we do (travel) without them. Because we are such a small store, my sales gals are trained in almost all aspects of the store. We all jump in where we are needed.

Do you talk shop when you leave the office? Our drive home is about 30 minutes away along the Klamath River. Sometimes we have our best discussions about the day during that time. Eric sometimes has a hard time taking off the “work” hat. He is always ready to talk “shop”. By the time I get home, I am ready to be wife and mom and start the next job of the day.

The Love Issue


Casa Bella Galleria Where Everybody Knows Your Name

The hit theme song to the 1980s sitcom Cheers ended with, “You wanna go where everybody knows your name…” which is exactly why the customers of Casa Bella Galleria keep coming back to the

store. Opening in late 2004, Casa Bella Galleria has become family to its customers and transformed their living spaces into casa bellas (beautiful homes in Spanish and Italian). Located in Sacramento, Calif., Casa Bella Galleria offers customers impeccable design at an affordable price. Well-accessorized room vignettes greet customers and splashes of the latest color trends can be seen throughout the showroom. Husband and wife team, Shane Curry and Rhoda Santamaria, took their skills from other careers (marketing and advertising, respectively) and opened the store in a time where the real estate market was flourishing. “I realized I really had a passion for design,” said Rhoda. “Since the market was booming, we decided to open the store. Neither of us knew a thing about owning a furniture store. We went to a lot of seminars in the beginning, and I worked at La-Z-Boy for a year because they have a great training program. Working there made me realize that I really enjoy the furniture business.”Over the years, Rhoda and Shane have learned the business and built relationships with their clients as well as local designers. This has helped bring in a steady stream of business, despite the decline in the economy. “We now have relationships with a lot of designers that always bring back customers, and those customers bring in new customers,” said Rhoda. “We advertise, but we have found most of our customers are return clients or referrals. We are like the Cheers of furniture stores, people come in here and we know their life story. At this point in time, we have furnished some homes twice already—they bought their first sofa when we opened and are now coming back in to purchase their second sofa.”Along with Rhoda and Shane, their son and daughter-in-law work in the store. With only four people working in the store, customers have come to

love and trust the consistency of who will help them when they walk in. “We are small, but we try to be like Nordstroms and take care of every problem as best as we can. We want to make everyone feel important. Also, I think we are consistent. Because there are so few of us, people know they are going to talk to one of the four of us when they need something—they won’t be shipped off to a customer service department. People appreciate that,” said Rhoda.The team at Casa Bella has also realized that some customers are more willing to work with certain salespeople, and if a customer isn’t responsive to one person, the other takes over. “Because there are three of us [that sell], and we are all very different, we can take a shopper who comes in with the meanest look on their face and between the three of us, we generally turn the person around and they end up loving the store,” Rhoda added. While Casa Bella Galleria has a great list of returning customers, they aren’t in the best location for attracting new business. “Rhoda is originally from Manhattan and saw a lot of potential in the neighborhood due to the rejuvenation that was occurring in 2004,” Shane said. “It was on a trend upwards and the city spent millions of dollars on the boulevard. By 2007, several developers had things in planning stage. Then the real estate market

Member Profile


crashed. I think we suffered a little more of an impact because people were too afraid to move forward on their projects and just left the neighborhood.”Even though many businesses have left, Shane is seeing signs of business starting to return to the boulevard. Not only is he hopeful about the return of business to his neighborhood, but the potential of the business excites him. “Even though we are in a recession, there is still a lot of potential,” he said. “I always feel like tomorrow things are going to break out and get better. We probably work harder than the average business at trying to make people happy. We often go above and beyond for our customers, and sometimes I think to myself, we don’t have to do it. But then you think, I am going above and beyond what is fair because I am building a future with this customer. It is the potential to grow, and the potential to have the right product to serve the people coming in. Our goal is to open another store in a different location, but the circumstances have to be right. It’s got to be the right location and timing.”With the idea of a new store in the future, Shane and Rhoda have already figured out a plan to maintain what has made them so successful, their contact with their customers. “The goal would be to change this current location into more of a promotional furniture store, and maybe even some type of consignment store,” Shane said. “Then the next location would just duplicate what we have right now. Part of duplicating the store is to duplicate us, so the promotional furniture store would have to be staffed differently so we could be available to still work in the new location.”The excitement and positive outlook that Shane and Rhoda have for the future will ensure they will one day be selling their loyal customers their tenth sofa.

Location: Sacramento, CAYears in Business: 7Employees: 4Top Manufacturers: Jonathan Lewis, Ashley, Stanton, Four Hands & Emerald Home Furnishingswww.casabellagalleria.com

Voted Best Furniture Storefour years in a row.


Customer Service is a Mindset, Not a Department

By Brad Huisken

Customer service is a term we all hear on a fairly regular basis. It is also the one aspect of selling that you have complete control over. Providing exceptional customer service can’t just be something that is thought about, or talked about occasionally. It has to be a standard operating procedure; it shouldn’t be just a department. Providing exceptional customer service has to be a part of your company’s culture. The products that you are selling are probably similar to those of your competitors and, chances are, so are your prices. Good customer service can set you apart or set you behind your competition. Not only will good customer service help you make the sale today; it will help you make more sales in the future.One of the most basic fundamentals of good customer service is telling the truth. The first thing you need to do as a salesperson is to establish trust and the best way to establish that is by telling the truth. This goes for all promises that are made to the customer, no matter how small it may seem to you. The customers are going to remember every promise that you make to them, so you better remember them as well and follow through. Repeat business is a key to sales and keeping your promises is one way to ensure that repeat business. In short, if you say it, do it!

Every customer is different with different wants and needs. Therefore it would be silly to use the same approach on every potential customer. A good salesperson will talk with each and every customer and find out what they want and then make every effort to satisfy those wants and needs. Satisfying a customer can be done in many ways. It may be simply taking an item back that did not meet their needs. It is not your fault that the product did not meet the

customers’ needs but by taking it back you are showing an understanding of what the customer’s needs are. You also may be able to sell them another product that better fits their needs. A satisfied customer will not only return to you for further needs but they will also share their experience with two or three friends. Whereas, an

unsatisfied customer will not come back and will share their experience with up to 10 people. There are many people in this world but we certainly cannot afford to be losing up to 10 potential customers every time we fail to satisfy a customer’s needs. We will not be in business for very long at that rate. Satisfy every customer!

We are all people who, whether we want to admit it or not, like to talk about ourselves. That’s the nature of being human. As a salesperson, though, it just will not work. Very few people who are coming into a store to buy something from you care that your car broke down on the

way to work that day. The one thing they do care about is how you can provide them with what they want. Let the customer talk about themselves and what they want. You accomplish two very important goals this way:

You build a level of trust with the customer, making it easier to sell to them.

You find out what their needs are. Now you know what they want and you have their trust, that’s a great combination. Keep your personal problems out of business!

We all want to feel important and that something has been done just for us. That’s why it is always important to give the customer your full attention. No one is more important than that person standing in front of you at that moment. We talked about trust earlier in the

The Love Issue


article. One of the easiest ways to begin to gain that trust is to simply pay attention to what your customer is saying. It is also just as easy to lose that trust by taking phone calls, talking with others, looking disinterested and talking too much yourself. We also talked earlier about customers don’t always buy the same product for the same reason. Therefore it is important that you are listening and paying attention to your customer, so you can best meet their needs. As was mentioned above, we all like to feel special or important. One simple way to make our customers feel that way is by using their name.

Listening is an art that all of us need constant work on. It is especially true when we our listening to our customers speak. They are taking the time to tell us about themselves and what they need or want. We owe it to them to listen and never interrupt! A sale can quickly be lost if a salesperson continues to interrupt his/her customer. By listening to everything the customer says, they may answer most of the questions we have from them about what they want or need. No one knows better about what they want than the customer themselves, so listen and give them what they want—they want to be heard. We talk a lot about developing trust in a seller/buyer relationship and listening goes a long way towards developing that trust. If you listen well and hear what your customer is telling you, and then the sale will be easier. They will be more willing to listen to you if you take the time to listen to them.In the end, quality customer service is common sense. Find out what the customer wants or needs and the find a way to deliver it to meet the customer’s desires. Treat all your customers like they are your only customer because at that moment, they are and deserve your undivided attention. If you choose to become an expert at customer service you will not only sell more than your competitors today, you will continue to outsell your competitors in the future. People, eventually, will no longer have a use for the product they bought from you. However they will remember the high standard of customer service that you provided and that will bring them back. To read more of Brad’s customer service tips, visit: www.whfa.org/articles/?p=893Author, trainer, consultant, and speaker Brad Huisken is President of IAS Training. Mr. Huisken authored the books “I’M a salesman! Not a PhD.” and “Munchies For Salespeople, Selling Tips That You Can Sink Your Teeth Into”, he developed the PMSA Relationship Selling Program, the PSMC Professional Sales Management Course, The Mystery Shoppers Kit, The Employee Handbook and Policy & Procedures Manual, The Weekly Sales Training Meeting series along with Aptitude Tests and Proficiency Exams for new hires, current sales staff and sales managers, along with the new Weekly Internet Sales Training Series. In ad-dition, he publishes a free weekly newsletter called “Sales Insight” For a free subscription or more information contact IAS Training at (800) 248-7703, [email protected], www.iastraining.com or fax (303) 936-9581

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*The E.I.S.A. (Energy Independence and Security Act) of 2007

(800) 422-3778 Or contact Jef Spencer [email protected] for more information

WHFA ANNOUNCES New Innovative Lighting Program!

New Program Partner


Energy Efficiency in Showrooms

Many retailers across San Diego have become more energy efficient through SDG&E’s On-Bill Financing program. This includes Lawrance, a family-owned and operated contemporary

and modern furniture retailer. Serving customers since 1937, Lawrance operates two beautiful showrooms in Hillcrest and Encinitas totaling 31,000 square feet. It participated in the program in April 2011 and acquired $20,282 in energy-efficient lighting of which $5,130 was financed through rebates and $15,152 through a 16-month 0 percent program loan. Lawrance saved 62,509 kWh of electricity and more than $10,000 per year on its utility bills. “I’m happy with the quality of light, and that is really important,” said Howard Haimsohn, President of Lawrance. “Compact fluorescent lights are not great for a retail store. There’s no drama. You need lighting that makes displays and colors pop.”The showrooms’ 75- and 90-watt halogen and flood lights were swapped for new 12-watt LED floods and spotlights. In addition to the direct energy savings from the lower wattage, Haimsohn cites indirect energy savings as the LED lights produce less heat, lightening the load on his air conditioners in the summer months. They also last longer, which means he saves both time and money on replacement bulbs. As a past president of the National Home Furnishings Association and the Western Home Furnishings Association, Haimsohn has advice for his fellow retailers. “If you can afford to do it, just do it. These energy efficient improvements will pay for themselves within less than two years.”

*The E.I.S.A. (Energy Independence and Security Act) of 2007

Lawrance Showcases

In 2007, San Diego Gas & Electric pioneered an innovative zero percent loan program that allowed businesses, institutional and government customers to finance new energy-efficient equipment on their utility bills.

Known as On-Bill Financing, the customer’s monthly energy and cost savings offset the cost of the loan payment. Similar programs are now available from most of California’s major utilities as well as utilities in many other states. So far, 900 commercial customers in San Diego have acquired $21.5 million in state-of-the-art energy-efficient equipment through the program saving an estimated 55 million kilowatt hours of electricity, 185,000 therms of natural gas and more than $7 million in energy costs each year (based on average kWh and therm rates of participants).

The National Small Business Association recently found that America’s small businesses could reduce greenhouse gas emissions by 259 million tons each year if they improved their energy efficiency by 25 percent. On average, this could save each small business close to $5,000 per year on their natural gas and electricity bills.

With no money down, no interest payments and long-term energy and cost savings, it’s worth investigating whether your business could green its operations from a similar utility offer.

If your business does not meet the minimum loan requirement, do not despair. You may be eligible for other energy-efficiency programs through your utility. For instance, SDG&E offers a no-cost program, called Direct Install, to replace less-efficient equipment including lighting elements with energy-efficient products.

With businesses seeking savings everywhere they can, teaming up with your utility on programs such as these is a smart move.

ON-Bill Financing

Cut Costs and Go Green with Utility Energy Efficiency Loans.

Member Benefits


The Sound of RevenueBy Elvia Medina

Every day we are influenced by the sounds surrounding us; whether listening to a radio station or hearing a baby crying, it inspires our emotions. Even in our favorite movies we hear music in the background to create suspense, thrill, and loving moments for the audience. Each scene requires a different tone of music in order to sell the story. Retailers can incorporate this idea in their showrooms to gain more revenue.Imagine customers relating their lifestyle to a room just by the sound of music from each showroom. Music enhances the experience of shopping because it influences a customer from the moment they step into the store. The tempo of music cannot be too fast or too slow because it will impact the emotions the customer has and might make them leave quickly or lose interest. Just as each room requires different styles of colors and furnishings, the setting of each room requires a personal station that plays certain tunes that will connect a customer to the merchandise. For instance, a dining room should have different music than the bedroom. Music should be an accent to the décor of each room and contain a sense of belonging for the customers. The backdrop of music will create a vision for the customer with their family inside the showrooms, and encourage them to continue shopping. Rooms will come to life with the support of music. Customers will be able to identify their own style in each room. Another benefit is to include in-store branding messages between songs for customers to learn about current sales, interest rates, delivery options and store policies. Employees will gain value from listening to the music stations by learning about current promotions, advertisements, and being entertained which could improve morale for the store. Background music will help create a professional relationship between the customer and employees in a positive environment. You turn your speakers into an additional sales tool that is considered by the customer as less intrusive and biased than a salesperson. The messages can plant the “sales seed” in the consumer’s mind that can turn into the sound of a ringing register.

Here are five tips on how music will generate revenue:1. Music will upsurge revenue by allowing

owners to select the proper music for each showroom to showcase merchandise and grab the customer’s attention.

2. Customer satisfaction will increase by identifying your brand with the customers.

3. Employees and customers will be reminded of current promotions through music messaging.

4. In-store messaging will advertise your brand only, and eliminate competitors.

5. Using licensed music from a company will avoid any infringement fees that can be in excess of $100,000.

Elvia Medina, is a student intern at Sacramento State. Her focus is in Public Relations and can be contacted at [email protected]. For more information on music or messaging, contact Jim Mathews at Retail Radio, (888) 807-6863.

To find out about WHFA’s discount program with Retail Radion, contact WHFA at (800) 422-3778.

Music

should be

an accent

to the décor

of each

room and

contain a

sense of

belonging

for the

customers.

Money Matters

warehouse • light bulbs • touch-up

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for WHFA Members

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Advertisers IndexPlease support the advertisers that support your magazine.

Emerald Home Furnishings ..............................2 .............................(800) 685-6646

Furniture Wizard ..............................................32 ............................(619) 869-7200

High Point Market ........................................25 & 27 ........................(336) 869-1000

Home Furnishings Industry Conference ......14 & 15 ........................(800) 422-3778

MicroD ......................................................back cover ......................(800) 964-3876

Planned Furniture Promotions .........................9 .............................(800) 472-5242

Surya ................................................................7 .............................(877) 275-7847

WHFA Membership ........................................20 ............................(800) 422-3778

WHFA Store ...................................................31 ............................(800) 422-3778

www.whfa.org

)

Meet Your Neighbor

)Describe your store: We have three businesses, Ashley Furniture HomeStore, Beds for Less and Furnish 1-2-3. The privilege of being a licensee/owner operator of an Ashley Furniture HomeStore is not taken lightly! We offer the widest selection of home furnishings supplied by the No. 1 manufacturer and retailer in the country, in a showroom atmosphere that supports the buying decisions of our customers. Our processes and metrics continue to prove well for us since opening this store in 2004, which by the way, we have been voted the No. 1 place to buy furniture seven years in a row by our local newspaper. Our Beds for Less retail locations have been around since 1990. We have the slogan: Your Bedroom Specialty Center. We keep every product we display in stock, keep up on the trends, clean organized displays, and yes, we can deliver today to our customers!

Our last store is Furnish 1-2-3. It’s easy, it’s extremely affordable, and fits everyone’s needs. Our focus is to attract the start-over, do-over, on a budget student looking to furnishing their pad (home). The use of vertical displays enhances your square foot return on the dollar.

How has business been over the last year? I’m Laughing at this question. Well, put it this way, if you don’t have a passion for this industry, you’re probably not in business today! There’s hot spots and cold in respect to business climates. Our business continues to test our skills. Keeping our pencils sharp continues to prove successful for us.

What have you done to increase business over the year? Continuing to enhance our CAN DO attitude no matter the reason. The customers today, believe it our not (laughing), are extremely demanding. Well, we are here to serve and to improve their way of life, so we kill them with kindness.

Brent LoogmanAshley Furniture HomeStore, Beds For Less & Furnish 1-2-3Four retail locations around Medford, Oregon

Check out their sites: www.ashleyfurniturehomestore.comwww.bedsforless.comwww.furnish123.com

Advertiser...............................................................Page ............................... Phone/Website

What’s the best advice you have ever received?

Taking the steps to success means never believing you have reached the top step, for if you do, you will never reach true success!


15% of U.S. women send themselves flowers on Valentine’s Day.

Let’s face it, we all need a little love in our lives. That warm, fuzzy feeling that love

gives you can put a smile on your face. Big brands like Southwest Airlines have used

love to connect with their customers showing the LUV from the heart in their logo,

to the heart of their staff (and everything in between, including their New York Stock

Exchange ticker symbol!). Here are a few fun facts and quotes to get you feeling all

“lovey dovey”.

“Give a little love today.” —Dove

Men buy most of the millions of boxes of candy and bouquets of flowers given on Valentine’s Day.

Women purchase 85% of all valentines.

141 million Valentine’s Day cards are exchanged annually, making Valentine’s Day the second-most popular greeting-card-giving occasion. —Source: Hallmark research

People are more likely to tilt their heads to the right when kissing instead of the left (65 percent of people go to the right!). —Source: Match.com

“All you really need is love, and a little chocolate doesn’t hurt.” —Dove

$359 million: The combined wholesale value of domestically produced cut flowers in 2009 for all flower-producing operations with $100,000 or more in sales. Among states, California was the leading producer, alone accounting for about three-quarters of this amount ($269 million). —Source: USDA National Agricultural Statistics Service

“There is no remedy for love but to love more.” —Henry David Thoreau

we’re talking...

it’s about time.

[email protected]

800.964.3876 ext. 2

western retailer—february 2012

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