Jul 2, 2009

More encouragement for independents

The 3/50 Project started last March with a simple blog by Cindy Baxter, a retail consultant, speaker and owner of Always Upward. The 3/50 Project asks consumers to consider what three independently owned retail businesses they would miss should these businesses close. The project which is currently receiving a lot of press and gaining a lot of momentum, then asks consumers to spend $50 total at three locally-owned independent retailers each month — hence the name, The 3/50 Project. Cindy states that for every $100 spent locally, $68 returns to the local community and that The 3/50 Project will boost local economies and help independent retailers stay in business.

I like the project. I don’t think the normal consumer (someone who doesn’t own or operate a retail or retail-related enterprise) understands the importance and unique value of independent retailers, nor the changes that have taken place in the past 40 years.

Someone in their 60s, 70s and 80s remembers going “uptown” or “downtown” to do their weekly shopping. The grocer, the hardware store, the bank, the dress shop, the candy store, the fabric store, the drugstore and the flower shop (the list could go on) were all independently-owned, usually family businesses. The majority of people were employed by local businesses. There was a pride and sense of community in these relationships. The dress shop would call Mrs. Fuquay (my mother-in-law) and tell her the shop had just received a new shipment of dresses, and that there was one Lee would like. Lee would trust that the woman’s recommendation was right-on because the salesperson (here this term even sounds too impersonal) or owner knew Lee’s tastes.

Year’s ago (before I was so intimately involved in the retail market), I remember Lee lamenting with distaste the construction of  ”the mall” and the “Walmart” out on the loop. I remember shrugging and thinking “I like malls, so?” One-by-one the shops in the “downtown” closed. What my mother-in-law understood was that the advent of complete mass-retailing, although it may be a more efficient method of manufacturing and distributing goods at a lower cost to the consumer, was the beginning of the reduction of variety, uniqueness, quality, service and keeping local dollars in the local economy. I don’t like malls anymore.

My children, now in their 20s, have no concept of the description above. The world has changed. In the “global” economy, our shopping “uptown” or “downtown” now means literally shopping the world.

But, back to The Project 3/50 and you, the independent quilt shop owner — I would just about put money on a bet, that your customers would miss you and your store dearly if you had to close up shop. I’ve said this before — if you’ve been a reader of American Quilt Retailer for very long, you’ve heard it — our industry is unique in today’s economy being based on a retail model made up of independent retailers.

I think The 3/50 Project presents an opportunity for education and here’s what I would do: I’d print off everything I could from the wealth of material available at The 3/50 Project Web site, and send it to your local newspaper. If you mail it, send it to the “life” or “business” or “front page” editor (or all three!). Send e-mails as well. Try calling with a “news” tip. There have already been stories in The Wall Street Journal, The Chicago Tribune and news spots on many local affiliates of the major TV networks.

Let your newspaper do the educating for you. Explaining the project to your customers is like preaching to the choir. Your customers are already spending local dollars in your shop. I think another important aspect of this, is to remember what goes into the decision-making when someone spends, or does not spend their money. People make purchases based on need, value, cost and service.

For the news media to inform viewers and readers about The 3/50 Project, and that supporting independents keeps local dollars in the locale and small independently owned businesses in business is one thing. For you to request sales in the same manner doesn’t exactly place your customers as your first priority.

You will purchase a new car because it suits your family’s needs and requirements, because it falls in your price range, because you know it has lasting quality and because you receive excellent service. Your decision will most likely not be based solely on the desire to keep any auto manufacturer in business. In reality, this is why the “mall” won out in my mother-in-law’s community. Ultimately it offered what the majority of consumers wanted.

Offering the best product, the best service, and the best variety balanced with the best price is what will keep you in business. Keep your best efforts focused on what your customers need — good-quality basics, variety not available elsewhere, creative inspiration, a sense of like-minded community and friendly, knowledgeable service. This is what you can do better than any large multi-outlet chain and it’s exactly what has allowed our industry to remain one based on the independents.

Happy independence day!