March 2010 Western Retailer

Jou rna l o f the Wes te rn Home Furn i sh ings Assoc ia t ion

www.WHFA.org

western retailerMarch 2010

MeMber ProFile:Aegean Designing Whims Los Alamitos, CA

celebrating 20 yearsWestern Home Furnishings Association500 Giuseppe Court, #6Roseville, CA 95678

CHANGE SERVICE REQUESTED

est.1944

DEVONHigh Point Market April 17-22, 2010

Center Point Building Space 201

Visit Emerald Home Furnishings in High Point to see

EEmerald Home Furnishings

Contact WHFA at www.WHFA.org or (800) 422-3778. MArCH 2010 �western retailer

It’s All About sAles & MArketIngutilizing seo ................................. 10

the World Around usIndustry Forecast .......................... 14

shoWrooM stYlebusiness behind disney’s Magic .... 18

operAtIonAl excellenceMaking decisions only on cost often leads to More costs ........... 22

It’s All About sAles & MArketIngFrom old World to real World ..... 26

EDITORIAL STAFF

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

PublishEr: Melissa Robinson ........................................... [email protected]

advErtising ManagEr: Cindi Williams [email protected]

2010 WhFa oFFiCErs and EXECutivE CoMMittEE

WhFa PrEsidEnt

Claudia LeClair - Fiesta Home Furnishings, Scottsdale, AZ ..............(480) 951-3239

PrEsidEnt ElECt

Angel Lopez - Dearden’s, Los Angeles, CA .......................................(213) 362-9600

viCE PrEsidEnt

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

trEasurEr

Valerie Watters - Valerie’s Furniture and Accents, Cave Creek, AZ ...(480) 483-3327

sECrEtarY

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

EXECutivE CoMMittEE Chair

Marty Cramer - Cramer’s Home Furnishings, Ellensburg, WA ..........(509) 933-2172

Past PrEsidEnts

George Nader - Nader’s La Popular, Gardena, CA ...........................(310) 327-8585

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

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

Marvin Kerby - Kerby’s Furniture, Mesa, AZ ......................................(480) 834-3888

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

WhFa/nhFa liaison

David Harkness - Harkness Furniture, Tacoma, WA ..........................(253) 473-1234

WhFa board MEMbErs

Buzz Burnett - Treasures Furniture, San Diego, CA ..........................(858) 586-1900

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

Patti Evans - Consignment Plus, Walnut Creek, CA ..........................(925) 927-6600

Mark Flegel - Flegel’s Home Furniture, Menlo Park, CA ...................(650) 326-9661

Eric Foucrier - Linder’s Furniture Mart, Garden Grove, CA ...............(714) 210-4848

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

Giff Gates - Gates Furniture, Grants Pass, OR .................................(541) 476-4627

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

Ron Hoesterey - Royal Mattress Company, Inc., Orange, CA ...........(800) 987-6925

Jerome James - Hafer’s Home Furnishings, Manteca, CA ................(209) 823-2122

Julian Jeppe - Reeds Furniture, Agoura Hills, CA .............................(818) 597-7800

Doug Kays - Premiere Home Furnishings, Los Angeles, CA ............. (310) 268-0811

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

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

Don Lemieux - Naturwood, Rancho Cordova, CA .............................(916) 638-2424

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

Robert Myers - Ashley Furniture HomeStore, Chico, CA ...................(530) 345-2616

Mark Navarra - Jerome’s, San Diego, CA..........................................(858) 753-1549

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

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

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

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

WESTERN HOME FURNISHINGS ASSOCIATION STAFF

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

asst. Exec./Marketing 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

Communications Planning Manager: Melissa Robinson ...............(916) 960-0349

Managing Editor & Webmaster: Melissa Dressler ..........................(916) 960-0385

Membership Manager: Michael Hill .................................................(916) 960-0263

Member services specialist: Margie Jacobs ..................................(916) 960-0199

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

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

est.1944

table of contentsJou rna l o f the Wes te rn Home Furn i sh ings Assoc ia t ion

western retailer

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

contactphone: (800) 422-3778 (12 western states)

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

Roseville, CA 95678twitter: www.twitter.com/WesternRetailerFacebook: http://bit.ly/WR-FB

case sensitive

featured articles

RRCRETAILERRESOURCE CENTER

est.1944 western retailerACADEMYWHFA

Your Industry. Your Future. Your Decision.

in every issueIndustry Beat. . . . . . . . . . . . . . . . . . . . . . . . . . 8

Board Member Q&A with Mike Shuel . . . . . . . . . . . . . . . . . . . . . . 8

Retailer Notes. . . . . . . . . . . . . . . . . . . . . . . . 10

Program of the Month: Furniture Sales Training. . . . . . . . . . . . . . . . . 28

Member Profile Aegean Designing Whims . . . . . . . . . . . . 20

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Making Retailers More Profitable

Contact WHFA at www.WHFA.org or (800) 422-3778. MArCH 2010 �western retailer

ON THE COVERInterior shot of this month’s Member Profile Aegean Designing Whims, Los Alamitos, CA. For the complete story, see page 16.

President’s Message

Fiesta Furnishings / Brix Home Scottsdale, AZ(480) [email protected]

Claudia LeClair 2010 WHFA president

“Experience The Business Behind The Magic"This is our tagline for the upcoming WHFA Conference being held

May 2-4, 2010 at Disneyland® Resort. What perfect timing! Who among us couldn’t use a little MAGIC in our business right now?

This year, thanks to the efforts of Cindi Williams and our WHFA staff, we have an opportunity that most businessmen and women aren’t fortunate enough to have. We have the privilege of learning and interacting with the best of the best. The Disney Institute will be a key contributor and will be sharing their MAGIC with all who attend this year’s conference. Disney is considered to be the pinnacle of inspiration, creativity, vision and leadership. It truly is perfect timing!

I attended my first conference in San Diego in 2003 and haven’t missed one since. At the time I knew one, or maybe two, furniture retailers. Now, seven short years later, I have more friends in this industry than I can count. What a difference it makes to be able to share ideas about merchandising, marketing, operations, sales management, etc. How often are you able to be a part of so much brain power in one setting other than at conference? And how fortunate we are to have colleagues who are willing and anxious to share that brain power! We’ve survived this awful economy, let’s take some time to share our survival techniques and pick up some new ones! When times are tough, it’s nice to know there are others facing the same challenges. I know that everyone who attends our conference comes away with so many ideas that it’s usually hard to implement them all afterwards.

Besides the education — there’s FUN! We have a charity golf tournament planned, great rates at Disney’s Grand Californian Hotel® and Spa, and gala events planned in the evenings on Disney premises. Book early while rooms are available and bring your family. This is a perfect time to combine education with a family vacation. You won’t find a better value any where right now.

So don’t think twice. If you haven’t made your reservations yet, just do it now. You won’t regret it — I promise. Join us and find out what MAGIC awaits!

� MArCH 2010 Contact WHFA at www.WHFA.org or (800) 422-3778.western retailer

Editor’s Message

Last month’s magazine is available online at www.WHFA.org.

Melissa DresslerWestern Retailer managing editor

Jou rna l o f the Wes te rn Home Furn i sh ings Assoc ia t ion

www.WHFA.org

western retailerJanuary/February 2010

Member Profile:Fiesta Furnishings/Brix Home

To Buy or Not to Buy?

celebrating 20 years

New Homebuyers = New CustomersLast October I purchased my first home and subsequently purchased new home

furnishings for over half of my house. Having worked in this industry for almost five years, I know that new homeowners are a large percentage of home furnishings traffic. So, I was a little surprised when I did not receive a single piece of direct mail from any of my local home furnishings stores.

With 120 new homes going into my housing development, wouldn’t it have been a great opportunity for local stores to inform customers about them? Many of my neighbors are from other cities or states and not aware of their current surroundings. Receiving a postcard in the mail could inform them of your store’s location, hours, styles, etc. There are even programs available in our industry that can provide you with new homebuyer information. With this information, you can send a simple postcard welcoming them to the neighborhood and you’ll have the opportunity to bring new customers through your door.

Also, about a month after I moved in, I received a knock on my door one day from the “Welcome Wagon”. She welcomed me to the community and then gave me information and coupons for local businesses. From “Husbands for Hire” to dry cleaning services to even a local Wal-Mart, I now had coupons to utilize these businesses. Many of the coupons gave a small percentage off a service, or a small, free gift for visiting their store. Again, there was nothing from home furnishings stores in the area.

Are you missing out on a prime opportunity to bring new customers into your store? If you aren’t going after these customers, how will they learn about you and what you have to offer? While the housing market has slowed down over the last few years, homes are still selling (and with the extension of the $8,000 first time homebuyer tax credit, there will surely be many more new homeowners in the upcoming year). And if my neighborhood is any indication, new homebuyers are still purchasing furniture.

So look into new homebuyer lists and create an informal invite into your store. It won’t cost you a fortune and you may find fresh, motivated buyers walking into your store. Also, check into partnering with your local chamber of commerce or local realtors and offer something to go out in “Welcome Wagon” packages.

This issue of Western Retailer magazine looks at what 2010 will bring to the industry, Search Engine Optimization, The Disney Way of doing business and much more. I hope you enjoy this issue and take the opportunity to learn about different ways of attracting customers into your store.

(916) [email protected]

looking forwardto April 2010

• 17 Ways consumers are changing and how it Will effect Your store

• Imagining the store of the Future• hosting events in Your store

... and much more

est.1944 Western Home Furnishings Association (800) 422–3778 www.WHFAconference.com

With Conference Registration at $495 per person and $395 per person for groups of three or more, the value for your dollar is easy to see:

VALUEIt’s Not Just About The Bottom Line

Registe

r Online at www.WHFAconference.com

Tangibles. You can see ‘em.• All your meals included ($440 value)• Over 20 educational sessions• Expanded Expo & Unlimited networking• Great hotel rate $189 plus tax (valued at $320)• Free wireless access• Free parking for up to two cars when you stay

on property• Discounted park tickets (average savings

$20 per 3 day pass)• Free Twilight Convention Pass ($41 value)*

• $25 meal voucher*

Intangibles. How does it feel?• You want to get together and move forward with hope. • You look forward to talking shop and listening to what is

happening beyond your doors. • You are confident and stronger; keeping current with

trends, resources, ideas and knowledge.• You can’t wait to honor your peers. It feels great to be a

part of an industry that really cares.• Putting your needs first, we want you to know that our

staff is always here to make your experience magical.

Soft Tangibles. Not so obvious.• Easy and affordable destination• Bring more people, get more discounts• Business vacation with the family is

suddenly affordable• Disneyland

®Resort campus makes

everything convenient• Up to four people in the same guest room

for no extra charge.• Other local attractions minutes away.• Disney world class service 24/7• Seamless conference coordination for

a revitalizing, extraordinary, magical experience

Disney’s Grand Californian Hotel® & SpaAnaheim, CA

(714) 520–5005 Reservation Code: GCWD10A

*per hotel guest room booked.

May 2–4

� MArCH 2010 Contact WHFA at www.WHFA.org or (800) 422-3778.western retailer

Mike Shuel ownerMeredith Furniture Inc.2201 S 1st StYakima, WA 98903-1622(509) [email protected]

Q&A

boardmember

with Mike

Every month tune

into Board Member

Q&A to learn more

about your WHFA

board members.

Emerald Home Furnishings Crowns a Successful 2009 with Holiday Open House

Emerald Home Furnishings held their first Holiday Open

House last December. The new products and Open House specials pleased customers by day, while the evening boat cruise provided a festive backdrop for socializing and holiday fun.

Emerald’s Open House events originated 20 years ago as a way of showing appreciation for its loyal family of customers. Along with arranging out of town hotel and travel, Emerald’s hospitality continued through the 2-day event with daily continental breakfasts and catered lunches. All Emerald staff was on hand to greet, entertain and assist customers. Building a strong relationship between its customers and staff is always a key ingredient to Emerald’s Open Houses; but coupled with the sights and sounds of the holidays, this Open House felt more ‘like being home’.

“The retailer gets payback well beyond their time investment”, says Mike Cohen, vice president of sales and marketing; adding, “our semi-annual Open House is such a successful and rewarding event because of the variety of

ideas exchanged, not only between vendor and retailer, but amongst the retailers as well. They can buy great products at discounted prices while helping each other learn ways to increase traffic and average ticket sales.”

After a busy first day of writing orders in the showroom, Emerald customers and staff enjoyed an evening cruise on Elliot Bay in Seattle, aboard the Argosy Cruise Line Christmas Ship. Guests enjoyed a buffet dinner, live on-board music and festive serenades from a passing caroling flotilla.

For more information on Emerald Home Furnishings visit: www.EmeraldHome.com.

Q: What is your biggest challenge in furniture retailing? A: To compete for the consumer’s disposable income against other large

ticket purchases such as cars, boats, vacations and RVs.

Q: What cd is in your vehicle right now? A: If you can believe it, a rap conglomeration that my son left in there. I

usually have Toby Keith.

Q: What do you value most in an employee? A: Trust, honor, integrity and loyalty.

Q: What’s your secret indulgence? A: Chocolate, all types, shapes and such.

Q: I earned my first paycheck: A: From my uncle’s meat business making cardboard boxes for packing. I

also was a paper boy, and I delivered it on horseback in the Seattle area.

Q: What do you enjoy most about being a WhFA member?A: The conferences, dealer interaction, speakers and the great venues. Also

the GREAT staff at WHFA.

Industry Beat

est.1944

Western Home Furnishings Association

Learn more at: www.WHFAconference.com

Also honoring all of our 2010 Western Retailer of the Year nominees:

AKERROS.B

10 MArCH 2010 Contact WHFA at www.WHFA.org or (800) 422-3778.western retailer

It’s All About Sales and Marketing

Utilizing SEO (Search Engine Optimization)

David LivelyThe Lively Merchantowner

Used to be, the company with the biggest Yellow Page ad won the local search wars. Businesses vied for newspaper ads above the fold, billboards at prime intersections, drive time radio and prime time TV.

Now, when print media is experiencing cutbacks, layoffs and declining readership, it comes as no surprise that businesses are turning to online marketing alternatives to reach customers. Where many print media companies require a minimum commitment to display an ad over so many issues, website space and domain names can be purchased for low annual fees. Pay-Per-Click (PPC) advertising on sites like Google and Yahoo allows site owners to set their own budgets and targets when setting up campaigns.

Search Engine Optimization (SEO) is the new normal for businesses looking to compete in the 21st century. Once a niche product, SEO will continue to gain ground into the near future. According to the “Search Marketing Trends: Back to Basics” report from eMarketer, $1.5 billion was spent on Search Engine Optimization in 2008 (see table on page 11) — a number that is

Contact WHFA at www.WHFA.org or (800) 422-3778. MArCH 2010 11western retailer

expected to increase 153 percent to $3.8 billion by 2013. (Source: Brafton.com)

Understanding these key ideas and terms will help you make the best decisions for your search marketing strategy:

TiTle – Each page on your website is coded with a unique title that is different than the page name. Depending on your Internet browser, check the name of the tab or the command bar to see if your site optimizes titles. The title should contain carefully chosen keywords, because this is the first thing search engine web crawlers, bots and spiders read (these are automated computer programs that methodically browse the web gathering information). Your titles should be no longer than 100 characters; however, Google will truncate the title if it is more than 60 characters including spaces.

example: “Home Furnishings, Home Décor, Outdoor Furniture & Modern Furniture” or “Bedroom Furniture, Dining Room Furniture, and more quality Home and Office Furniture”

Keywords – Keywords and phrases drive SEO campaigns and fuel your site’s success. Keywords are a tricky business though so take your time, research your keywords and make sure you select keywords that are in your niche. Often amateurs will not take much time in this area, simply plugging in obvious words. For example, suppose a small store called ABC Furniture automatically chooses the key phrase “furniture store.” They’ve unwittingly gone to head with major players who are throwing big bucks at the “furniture store” key phrase. While not impossible, it will be very difficult for ABC Furniture to outspend these players and reach the first page of the major

US Search Engine Marketing Spending Growth, by Type, 2008-2013 (% change)2008 2009 2010 2011 2012 2013

Paid search advertising

23.2% 15.9% 14.0% 13.3% 14.8% 11.3%

Contexual advertising

19.4% 14.0% 11.2% 9.2% 11.8% 8.3%

Paid inclusion 11.4% 8.2% 7.7% 7.4% 7.5% 6.5%Search

advertising subtotal21.4% 14.9% 13.0% 12.1% 13.7% 10.4%

Search engine optimization (SEO)

29.2% 17.7% 15.1% 21.4% 25.5% 20.3%

Search marketing subtotal

23.3% 15.3% 13.3% 13.3% 15.4% 11.4%

Source: eMarketer, February 2009

continued on next page

search engine search results. Unique niche phrases can yield effective results and cost pennies by comparison.

example: furniture store, sofas, dining room furniture, mattresses or “pillow-top mattresses Oakland CA” or “leather rocker recliners Oakland CA”

Body TexT – The main content of your website should also contain keywords. The keywords should be used naturally to avoid being pegged as a “keyword spammer,” someone who uses the word “sofa” 48 times on their living room page in attempt move their site up in the rankings. This will get you booted from Google and other search engines, who carefully measure your “keyword density.” Too low, and you may not achieve optimum results. Too high, and you’re considered a spammer. Google will only tolerate a 2 percent keyword density; Yahoo and MSN are considerably higher at around 5 percent. Qualified web designers who use qualified and trained copywriters can help creatively optimize your keyword density, unlike hackers who jam nonsensical words into your body and footer.

example: Central Oklahoma Furniture. ABC Furniture is a family company. Browse our selection of Central Oklahoma Furniture or visit our store to sample Central Oklahoma Furniture. You deserve Central Oklahoma Furniture from ABC Furniture! or From San Antonio to Austin, ABC Furniture delivers beauty, quality and value to your home.

Heading Tags – Each page on your website has a heading tag that should also contain your keywords. Ideally, the tag should be right up there at the beginning of the page, as close as possible to the top of the page.


example: “Living Room Furniture” or “Directions to ABC Furniture”

Url – Consider purchasing a domain name containing your keywords. If ABC Furniture sells solid wood furniture in Columbus, Ohio, they should consider columbussolidwoodfurniture.com. Search engines use the domain name as an SEO qualifier so keep that in mind when choosing your domain names. With a little savvy programming, keywords can also be incorporated into the URL of each page. If your keywords for a particular page are solid wood bedroom, the page name should be www.abcfurniture.com/solid-wood-bedroom.

example: www.abcsolidwoodfurniture.com/ bedroom-furniture or www.phoenixsolidwoodfurniture.com

linKs – Make sure there are no broken links in your site. Search engine algorithms consider broken links as incomplete, so the overall rating of the site is affected. Restrain yourself from the traditional “click here” link. When web bots, crawlers and spiders come across a “click here” link, they will associate the destination page with the words “click here” instead of your valuable keywords. Instead, optimize your site’s searchability and usability with full-sentence links that use verbs to direct the user what to do.

example: “Click here for a price quote.” or “Explore your furniture design possibilities.”

inBoUnd linKs – Links from other websites are supreme to the rating of your site. Inbound links are like personal referrals, so these links should be from sites that are of high quality. The higher the rating of the sites that link to yours, the higher search engines will rate you. Getting inbound links is the hardest part of SEO by far. You can pay for quantity, but quality is often compromised if you do so.

example: www.popularlocalblog.com/ abc-furniture-is-the-place-to-shop or www.arketplacespammer.com/abc-furniture

Beyond technology, here are three principles to remember when planning and executing an SEO campaign:Flow – Remember, the reason you are trying to get your website to the top of the first page is because you want people to come to the site and look at your content,

then buy what you’re selling. Don’t get so involved in SEO that you junk-up your site with links and keywords beyond the user’s ability to read the page. Balance your site design between bots and people. Don’t lose your users for the sale of search engines. Remember, bounce rate (the time your users spend on your site) is a part of SEO as well.PaTience is a virTUe – SEO campaigns are not for instant gratification junkies. Give your site about three months to sink in. Check your analytics, watch to see how the site is doing and adjust accordingly. Keep your efforts simple; make a minimal amount of changes so that you can accurately see what works and what doesn’t.UPdaTes – Stay on top of things. Keep an eye on the search engine guidelines to ensure your SEO is always up-to-date. The last thing you want is for your long sought efforts to slowly wash down the drain as technology advances.

Taking even a fraction of the money from your radio or print budget and setting it aside for online strategies can have a profound effect on the visibility of your business. Be sure to research the best SEO companies to determine what services are offered and which company is suited to meet your needs.

By applying different techniques used to achieve organic search results, you’ll find online marketing to be a cost-effective, simple solution to promoting your business and products.

David Lively has over 20 year’s hands-on experience in the home furnishings industry. Twice named to Furniture Today’s “Beyond the Top 100” list of independent retailers and 1997 “Ohio Retailer of the Year,” David’s wisdom was won on the front lines and his battle scars have given him compassion for counseling today’s retail warrior. David is on the forefront of a new phenomenon that will soon rock the home furnishings industry: the transfer of authority, responsibility and wealth from one generation to the next. Four out of five family-owned furniture stores are still led by their founder, and 40 percent of them will change hands in the next five years. David has developed a proprietary and unparalleled system for helping identify goals, strengths and opportunities during this crucial time. You can reach David at (740) 415-3192, [email protected] or visit www.thelivelymerchant.com.

Come hear David Lively speak at the 2010 WHFA Conference and Expo, May 2-4 .

www .WHFAconference .com

Contact WHFA at www.WHFA.org or (800) 422-3778. MArCH 2010 1�western retailer

New Members Who Joined WHFA in July – December 2009

To join WHFA call (800) 422-3778 or visit www .WHFA .org for more information .est.1944

Meet the New Members

alexander’s Furniture & accessoriesTucson, AZFounding Year 1962american Furniture co.Grand Junction, COFounding Year 1959aria FurnitureSacramento, CAFounding Year 2008Better Bed & BackSpokane, WAFounding Year 2007Broadway FurniturePortland, ORFounding Year 1936comfort ZoneOxnard, CAFounding Year 1969creative leather FurnitureChandler, AZFounding Year 1991custom comfort Mattress company inc.Anaheim, CAFounding Year 1987douglas Bedroom designNampa, IDFounding Year 2003el colchon MattressSylmar, CAFounding Year 2008Forbes FurnitureKent, WAFounding Year 1991

Furniture interiorsTulare, CAFounding Year 1991Furniture ManiaEugene, ORFounding Year 2003Futon and sleepPleasant Hill, CAFounding Year 1980gateHouse no. 1Orem, UTFounding Year 1979gateway FurnitureValencia, CAFounding Year 2009great american FurnitureBremerton, WAFounding Year 1979greenbaum Home FurnishingsBellevue, WAFounding Year 1959Hacienda FurnitureLas Vegas, NVFounding Year 2001Harmony Home FurnishingsCedar City, UTFounding Year 1989Heaven on earth FurnitureSalinas, CAFounding Year 2008Home accent warehouseLoveland, COFounding Year 1981

Hometown FurnishingsKetchikan, AKFounding Year 1992Howie’s FurnitureMesa, AZFounding Year 2007la Furniture storeVernon, CA

lakeport Furniture & designLakeport, CAFounding Year 1963living collectionsSan Francisco, CAFounding Year 2006lloyd’s custom FurnitureLos Angeles, CAFounding Year 1969lucas & Howard FurnitureKlamath Falls, ORFounding Year 1920Maple cottageNational City, CAFounding Year 1963Moore’s sleep worldEureka, CAFounding Year 1984natural stone sourceSan Luis Obispo, CAFounding Year 2007relax The BackSacramento, CAFounding Year 2005

sleep e-Z Usa, inc.Tempe, AZFounding Year 1974southern accents inc.Portland, ORFounding Year 1992stephies FurnitureLos Angeles, CAFounding Year 2005super Buy FurnitureVisalia, CAFounding Year 2003sweet dreams Mattress galleryLas Vegas, NVFounding Year 2006The chestbed storeSonoma, CAFounding Year 1977The Futon shopSan Francisco, CAFounding Year 1976ToadnwillowBillings, MTFounding Year 2004w & a interior consultantsTorrance, CAFounding Year 2002wisers FurnitureLynden, WAFounding Year 2007


The World Around Us

There are lots of things I would rather do than forecast the economy, a joyless task these days, but someone has to do

it — and publish it for all to see. Everyone has opinions and expectations, but you do not have to put yours in print to haunt you in the future.

Before I start, please never say, “it can’t get worse!” Trust me, it can. It always can.

That is what is so scary these days. While we believe and hope the worst has passed, our economy is extraordinarily fragile, and we are only one catastrophe away from being back in an even hotter stew pot. Consider the last couple of decades with political scandals, war, terrorist actions, bank failures, massive embezzling and other shocks to our combined comfort in this economy. Any of these would reverse a very modest recovery that is showing a few encouraging signs.

To no one’s surprise, the West Coast has one of the most complex outlooks. From a housing perspective, three of the five worst hit states were California, Nevada and Arizona (the other two states were Florida and Michigan).

Because of the severity of this decline, some expect these states to have a more vigorous recovery, thanks largely to the home values available in these hard hit markets. The many foreclosures and the glut of unsold homes have forced home prices to levels not seen this decade. Combined with today’s low mortgage interest rates

and government-created incentives to encourage home buyers, housing may reverse from being a massive economic drag to fueling a recovery.

Of course, we are talking existing home sales, not new home construction. As long as we have a large inventory of unsold homes, home prices will not be stable, and that will keep new home construction weaker than we would like. New home construction impacts a lot of industries and is a major factor in employment, so we hope to see stronger new home construction in 2011 than 2010.

No one predicted the severe collapse of the financial sector beginning in September of 2008, but with it now more than a year past, the massive double digit declines appear over. For example, the respected southern, 121 store furniture store chain Haverty’s reported a 2.0 percent sales gain in its fourth quarter of 2009 vs. 2008 after the first 9 months experienced a 19.5 percent decline. Of course, its fourth quarter of 2008 was down 26.2 percent!

Our ForecastOur recent detailed economic forecast for the

residential furniture and mattress market uses the excellent University of Michigan economic model for the U.S. It notes that our recovery declined 3.7 percent over the 21 months prior to June, 2007, the most severe decline since the 1930’s.

The 2.2 percent GDP gain in the September,

Jerry Epperson, Jr.Mann, Armistead & Epperson, Ltdfounder and managing director

Industry Forecast


2009 quarter was largely fueled by the costly “cash for clunkers” auto trade-in program, the $8,000 home buying incentive and other federal stimulus spending. The economic model is calling for a 2.3 percent gain in the fourth quarter of 2009, +2.1 percent in the first half of this year, and +2.9 in the second six months.

In 2011, the Michigan model calls for a GDP growth of 2.6 percent.

Unfortunately, the weak economy, underutilized capacity and large numbers of Generation Y entering the workforce will likely keep unemployment at or above 10 percent in 2010, dropping to only 9.6 percent in 2011 — still twice as high as it was in 2007. This is a key reason real disposable income gains will remain anemic in 2010 and 2011.

On the plus side, housing and auto sales should recover momentum in 2010 and show steady gains for a few more years.

Furniture and Mattress Sales

The furniture sector began its decline in the last months of 2007, a year or so after home sales began to decline severely. Mattress sales held steady until late 2008, when the constriction in consumer credit availability became obvious. Of course, the financial system collapse late in 2008 lead to even more severe double-digit declines for both furniture and mattresses.

After flat home furnishings retail sales in 2007, and severe declines in both 2008 and 2009, our forecast expects a hardly perceptible low-single digit gain in the first half of 2010 followed by a much more substantial and visible 5.0 percent to 6.0 percent gain in the second half. For the year, we expect a gain of 4.0 percent or so.

The next year, 2011, should see more vigorous, substantial growth with home furnishings sales growing 7.5 percent.

By sector, we expect upholstery and mattress sales to recover more quickly than the more housing-dependent casegoods. In wood, we see youth and home entertainment cabinetry continuing to do well.

Needless to say, in order for this to happen, we need a loosening in the

credit markets and for consumers to have more confidence in the recovery.Keep your fingers crossed. The recovery should be soon. Wallace W. “Jerry” Epperson, Jr., CFA is one of the founders and a managing director of

Mann, Armistead & Epperson, Ltd. Jerry head the research efforts and has in excess of thirty years of experience in the publication of hard/soft dollar research which focuses on demographics, consumer products, furnishings (residential and contract) and related issues. More specifically, Jerry’s research in the furnishings industry is recognized on a world-wide basis for its in-depth coverage of suppliers, manufacturers and retailers. Contact Jerry at: [email protected] or online at www.maeltd.com.

Industry Forecast

1� MArCH 2010 Contact WHFA at www.WHFA.org or (800) 422-3778.western retailer

From Retailer to Party Planner

“I vividly remember the first time I fell in love with homes; I was five and at a birthday party at a home in Virginia

Country Club in Long Beach,” said Chrysteen Braun. Fifteen years after opening her full service interior design company, Aegean Designing Whims, Chrysteen still feels the same way about homes. Designing Whims offers its customers just about anything they would need for their home: window coverings, kitchen and bath remodeling, floor coverings, upholstery, accessories, furniture and design.

Homes were a large part of Chrysteen’s childhood. Her parents, Nick and Mary Patridis, owned Nick Patridis Painting, Damis Construction and later Aegean Floor Coverings. It made sense then after 25 years of specializing in insurance restoration that Chrysteen, and her husband Larry, would begin their own business that focused on people’s homes. Not knowing quite what they were in for, Chrysteen and

Larry learned to operate their business by trial and error. “It wasn’t the best way to operate a business. Customers would ask for a new service, and we would add it to what we did. Slowly we evolved into a full service interior design company,” she said.

Operating the business wasn’t the only thing they learned by trial and error. After spending $11,000 a year on a door-to-door brochure promoting the business that garnered zero response, Chrysteen read about a retailer doing a charity function in their store, “I thought, we could do that here,” she said. “We hosted a charity function in our store for We Care from the Heart, and I was delighted that almost 300 people attended. The organization did the work, and we just hosted the event. During the event, I began thinking that I could do it on a much smaller scale all on my own.”

With the wheels turning in Chrysteen’s head, she decided to reallocate the $11,000 budget she was spending on her failed brochure and spend it on hosting mini-fundraisers in the store. “We will

Member Profile

Melissa DresslerWestern Retailer managing editor

Aegean Designing Whims Los Alamitos, CA

Back row: Chrysteen Braun, front row: Wendy Braun Seeley and Larry Braun


get a group or charity, whether it is a museum or hospital, and they get 25 to 30 people to come to the event. Each person pays $25 and the group or charity gets to keep the money, so they could easily earn $500 to $800 in one evening,” Chrysteen said.

Designing Whims then provides the food and gets the added benefit of new customers coming in through their doors. “Last year we did about 12 to 15 fundraisers in our store, which raised almost $10,000 for different organizations in the area. We also had 600 people visit our store that would have never walked through the door if we had stuck to our old promotion,” said Chrysteen.

With the huge success of holding the mini fundraisers in the store, Chrysteen now focuses a lot of her time on being a party planner. “I have a calendar, and I have a list of foods that we serve — being a party planner has added another dimension to what I do, but people love it and they want to come back. We are doing even more events this year and the great thing is, we usually get work from the fundraiser — whether we sell a window treatment or a piece of furniture.”

Along with the fundraisers, Designing Whims also hosts a Ladies Night Out event where boutique vendors are brought into the store to sell jewelry, purses and other accessories. The store provides food and drinks, such as chocolate and wine, and the vendors set up stations throughout the store. Last year Designing Whims also held a boutique in the store’s parking lot and showcased 22 vendors. Over 150 guests attended the event and had a great time.

All of the different events held in the Designing Whims showroom are a part of Chrysteen’s new approach to selling, “Our approach lately has been in creating a non-selling, non-aggressive environment for our customers. I want them to leave the store and say, ‘Wow, we went there and had a great time,’ and remember the store for that reason. I want our customers to come out and have fun!”

At a GlanceStore Location: Los Alamitos, CAType of Store: Full-lineYear Founded: 1970Number of Employees: 10Number of Store Locations: 1Website: www.designingwhims.comWHFA Member Since: 2003

Besides ensuring customers have fun in her store, Chrysteen has created her own furniture bank to assist them in disposing of furniture that they no longer need. “It has been a very long road to develop this furniture bank,” she said. “It all started with our partnership with the We Care program, which gets people back into work and living on their own. Twice a year, when we have our sales, we ask customers if they want to donate any furniture. We then will sell or donate the furniture to We Care if they have a need for it. We pick up the used furniture from the customer and then store it in our warehouse. It isn’t a formal furniture bank where people can come in every day and make use of it, it’s more of our way of helping out people in need. If we don’t find a home for the furniture, we will sell it, and then the proceeds go into the furniture bank checking account. Then, when We Care calls us and says they need two twin beds for children, we have that money and we will purchase two twin beds. It’s a great way for us to help a wonderful cause.”

With her newfound joy in party planning, Chrysteen is looking to the future and what it might bring. A self-proclaimed workaholic, she believes she has at least 10 years left of working and during that time, she would like to mold her daughter to take over the business. “Our daughter, Wendy, wants to take over the business, so we need to start training her and find out what her strengths are in order to have the business carry on,” Chrysteen said. “I would also like to keep offering the same services as we do today and while not physically growing, I would like to see us become more profitable.”

Finally finding her niche in the business has helped Chrysteen and Designing Whims create a unique and rewarding way of promoting the store. Along the way, Chrysteen and her team have assisted organizations and groups in the local area raise almost $80,000 in the last year various through events and has exposed the business to hundreds of potential clients in the area.

One of the gatherings included a visit from Tupperware. Women gather in the store for a fun evening.


Every time we find ourselves anywhere near a Disney theme park, we spend a day immersing ourselves in Disney

Magic. This year we have the perfect reason to plan a Disney field trip: our two general session programs at WHFA’s “Experience the Business Behind the Magic” 2010 Conference & Expo. Through stories, photos and an actual trip to Disneyland, you’ll see first hand how Imagination + Merchandising = Success.

We admire Walt Disney — he really got it right. Disney didn’t open a theme park just to open a theme park; his dream had a very deep philosophical goal: that entertainment wasn’t a luxury, but a necessity for a productive life. He said, “Disneyland is a work of love. We didn’t

go into Disneyland just with the idea of making money.” and “You don’t work for a dollar – you work to create and have fun.”

Rich remembers “Kid’s Day” at his local movie theater, where each Saturday morning he would watch the black and white images of Disneyland flicker across the big screen. He saw lucky boys and girls dressed in their Sunday best, hanging on to moms’ and dads’ hands as they entered the Magic Kingdom. He saw the Monorail and Tomorrowland and thought how awesome it would be to be able to go there one day. He never made it there as a child, but as they say, you’re always a kid at The Magic Kingdom, and Rich is no exception.

Georganne visited the New York World’s

Hey There, Hi There, Ho There:The Business Behind Disney’s Magic

Rich Kizer and Georganne BenderKIZER & BENDERowners

Showroom Style


Fair in 1965 with her family. Here Disney unveiled four attractions, but George’s favorite was “It’s a Small World — The Happiest Cruise That Ever Sailed” — where nearly 300 Audio-Animatronic® children from more than 100 nations danced and sang to the song you will be singing for the next five days, merely because you read this article.

“There is just one moon, and one golden sun, and a smile means friendship to everyone, though the mountains divide, and the oceans are wide, it’s a small world after all. It’s a small world after all, it’s a small world after all …” We apologize for that. All together now: “There is just one moon …”

Walt Disney’s attention to detail — his attention to telling the Disney brand story in the proper light — is legendary. At the World’s Fair opening of “It’s a Small World”, Disney, aided by a group of children, poured bottles of water from all seven continents into the ride’s water, making it truly an international attraction.

If you look very closely, you can see Walt Disney’s many loving touches – brand touches — throughout his parks. And this was no easy task at Walt Disney World, considering that he never saw it in completion. The story goes that as Disney lay in the hospital on his death bed, he described his plans for the Florida Magic Kingdom to his brother Roy by pointing out locations on a ceiling tile (“The theme park goes here, EPCOT goes there…”). It fell upon Roy to make sure Walt’s dream came true.

We find that the best ideas come to us in the most unlikely places. Disney is one of those places — we filled four pages before we even left Walt Disney World’s Main Street! Check out Disney’s attention to detail and how each can translate to your own business:

Unlike other theme parks that sell tickets near the front gate, Disney tickets are sold before you enter the park. This is all part of how Disney creates and controls the guest experience.

• As you approach the front gates of the Magic Kingdom, you are immediately hit with the incredible colors of thousands of flowers. You’ll begin to think of freshly baked cookies because the scent of vanilla is being pumped into the air. And you’ll find yourself humming along to the Disney songs playing in the background. Disney is setting the stage: a guest’s first 10 seconds of contact is what builds the perception they carry with them into the park. That tiny amount of time creates a lasting impression.

• Go outside and look at your front door — right now. What’s your customer’s first impression of your store? Walk inside. Does your choice of music set the stage to sell? We like disco because it’s upbeat, fun and it encourages people to shop. Does your store’s ambiance make customers feel good? Aromacology, the science of scents and their effect on our minds and moods, can help. Grapefruit, for example, gives shoppers more energy, vanilla is calming when the store is hectic, pine inspires positive feelings and cinnamon is said to attract money. Visit ScentAir.com to learn more about the science of smell.

Main Street is said to be on a slight incline, rising up towards Cinderella Castle. It’s not noticeable to guests entering the park for a day of fun, but they’re grateful for that downhill walk to the parking lot at the end of a long day, even if they don’t realize it’s there.

• Have you installed that ramp outside to help customers get strollers, wheelchairs and motorized scooters up and over the curb and into your store? You sell furniture so a comfortable place to rest should be a no-brainer, yet we’ve been in plenty of stores where signs warned customers to keep off the displays. If you’re not sure if your sales floor — or showroom — is welcoming, spend a few hours being a customer and see what it’s really like.


est.1944 For more information on the Policy Manual program, contact your WHFA membership representative at (800) 422-3778.

Retail Software Systems Survey

The retail software systems survey reflects a direct comparison of various computer systems available in the market today for use in retail furniture stores.

This survey is for informational purposes only, meant as a quick reference tool when evaluating a number of computer systems for use in a retail store. WHFA recommends that you do further research on the companies listed before you purchase a particular system.

2008 - 2009

CDS Solutions Group • Custom Design Software, Inc. • Escalate Retail • EZ Process Pro Software • FROG, Inc. • Furniture Wizard • FurnServ, LLC • Genesis

Software Systems • Myriad Software • PROFITsystems, Inc. • STORIS Management Systems

Western Home Furnishings Associationwww.WHFA.org800.422.3778

est.1944

Retail Software Systems Survey

free

If you look very closely, you will notice that the shops on Main Street get slightly smaller the closer you get to Cinderella Castle, making it loom even larger than it really is.

• In retail language, this is called a “sight line.” You can do a sight line like Disney’s in your store, but you’ll need to reverse it. The displays and/or fixtures in your store should start out shorter, and then get taller towards the rear of the store. If you want customers to see your entire store from the front door, this is the way to go.

Look up at the shop windows and you will see the names of businesses and business people painted on the glass. Like the opening credits in a movie, this is Disney’s tribute to the people who helped build The Magic Kingdom. Take a close look as you leave as well because you’ll see closing credits too, including one for Walt himself.

• You can do opening credits, too. Line your front windows with all of the cool brands, products and services available at your store. Begin at the upper left-hand corner and list each one in reflective, bright white 4” letters. Do this around the entire perimeter of each window — its okay to repeat!

We happened to visit Walt Disney World a day after former President Ronald Reagan passed away. The American flag at the front gate, as well as all of the flags outside of The Magic Kingdom, were at half-staff. Inside the park the flags on top of the Main Street shops were all at full-staff.

• Thinking we had found a flaw in the Disney brand, we asked a shop manager why these flags were not at half-staff as well. He explained that inside the gates of The Magic Kingdom, the outside world is, well, left outside. No matter what’s happening in your personal life, or the world at large, Walt Disney World will always be the same happy place where you can check your troubles at the front gate.

• Disney carefully safe guards the guest experience inside the park by making sure that experience is a direct reflection of the Disney brand. Similarly, the ambiance inside your store is a reflection of its — and your — personality. Can customers check their troubles at your front door? Is a customer’s experience in your store a happy one where he or she can shop to their heart’s content?

Disney thrives on its myths and stories. And they have a story for everything! While waiting on Main Street for the parade to start, we saw a little girl point to a cable high above her head and ask a man selling balloons what it was. He told her that Tinker Bell sometimes gets frightened when the fireworks begin, so Peter Pan drew a line in the sky for Tink to follow when she’s scared. The kid bought it and so did we. And sure enough, at the BOOM! of the first firework, Tinker Bell flew along that line right out of the park.


• Are there stories being told about you or your store? Put them to work! Set aside a block of time and write a short essay about who you are, and what makes your store unique and dramatically different from every other store that sells similar product. List your passions and why you got into this business in the first place. It doesn’t have to be Pulitzer Prize winning quality; you just have to get your story down on paper so that it can be told the way you want it to be told. Use your story as the foundation for all future marketing.

People who work for Disney are not employees; they’re called Cast Members because each person plays a unique role. When they’re in a public area, Cast Members are Onstage. Behind scenes, they’re Offstage. You might not know it, but one of the most important positions at Disney is that of the Street Sweeper. Pushing a broom might not seem very taxing, but correctly answering a guest’s questions is. That’s why every Street Sweeper goes through an intense two week training program.

• Make training an important and on-going part of your business. Don’t be like the retailer said, “Why should I bother to train my people? They’re just going to leave anyway.” Yeah? Well what if you don’t train them and they decide to stay? The customers who walk in your front door each day are counting on your associates to be nice people who know the store, and the product, inside and out. And the competitor down the street, who wants to steal your business, is counting on them to be just average or worse. It’s a management mandate to set standards that control all customer interactions; including on-going customer service training for everyone associated with the store.

In Disney’s world, customers are not customers, they are Guests. We like that. Aren’t the people who come to your store each day really guests? Shouldn’t they be welcomed with the same courtesy that you welcome a guest in your own home? We think so, and from this point on, we’ve decided to refer to customers as guests. We think you should, too.

• We have a Walt Disney quote hanging on our office wall, “You don’t build it for yourself. You know what the people want and you build it for them.” Those words have just as much meaning for your store as they do for Disney’s theme parks. You’ll see for yourself when you join us at WHFA’s 2010 Conference & Expo and Experience the Business Behind the Magic!

Copyright Kizer & Bender. All Rights ReservedRich Kizer and Georganne Bender are professional speakers, retail strategists, authors

and consultants whose client list reads like a “Who’s Who” in business. Internationally, large corporations and independents alike depend upon KIZER & BENDER for timely advice on consumers and the ever changing retail market place.

Named “Two of Retailing’s Most Influential People”, KIZER & BENDER are experts on consumer trends, generational diversity, marketing and promotion and everything retail. They are widely referred to as retail anthropologists because they stalk and study that most elusive of mammals: today’s consumer. Contact them at [email protected], (630) 513-8020, or www.KIZERandBENDER.com.

Come hear KIZER & BENDER speak at the 2010 WHFA Conference and Expo, May 2-4 .

www .WHFAconference .com


Increasingly challenging economic pressures this past year have dynamically changed the way that many owners and senior managers

now make business decisions. Actions including dramatic salary cuts, employee benefits program reductions and significant layoffs are still commonplace. Unfortunately, in an earnest effort to reduce costs, many businesses have also found themselves creating more costs and even liabilities simply by being too cost conscious.

Whether shopping lower insurance costs such as employee benefits and workers’ compensation, or comparing fees for workplace safety, HR, legal or other such support services, cost cutting frequently creates a temptation for many owners and senior management persons to make hasty decisions simply based upon costs alone. Even more potentially troublesome is when a manager or owner makes a decision to use either a “free” or ready-made program related to legal compliance issues without truly understanding if the content accurate or applicable to their own environment.

Bottom line is that owners or managers being cost-focused are often actually incurring potentially greater legal exposure or fines as a result of hasty, cost-only decisions.

Check the SourceOne common business practice is when an

“overly cost conscious” business seeks access to

“free or discounted” materials and programs to save money. They may ask for free programs from their vendors, insurance brokers, a relative or their “general counsel”. In fact, in today’s very competitive environment, many vendors will try and either retain or attract clients by simply providing HR or safety documents for free.

Think about potential fines or legal exposures in the following scenarios. A local financial services advisor offers to provide a separation agreement template or an insurance broker offers a business a California required Injury and Illness Prevention Program simply as a “favor” to keep a client or gain a new one. Neither vendor is an expert in employment or workplace safety however the business “trusts” these vendor provided documents. Today, it is extremely common for documents such as these to be simply “passed around”. Additionally, the procuring parties most often are unaware of their own potential liabilities for providing the documents. Notwithstanding legal copyright or other proprietary materials protections, a “good deed” by a vendor can leave a client business worse off than when they actually had no program at all.

Examples of a company’s willingness to seek out, or accept “free” or “discounted” services in an effort to try and simply cut costs while later incurring much greater fines or Plaintiff settlement amounts are many. In fact, many of

Operational Excellence

Employers overly-focused upon COST frequently set themselves up for disastrous results .

Eric Martin, MBAThe American Consulting Groupsenior vice president

Making Decisions Based Only On Cost Often Leads To More Costs


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the California employer safety policy programs and employee handbooks that our consulting group reviews each year were off the shelf “boiler-plate” programs.

In early 2009, we were referred by an employment law firm to help assist a Los Angeles based company with development of some required safety policy and employee training programs. Earlier the following year, the company had approximately 500 employees and was required to have, in addition to other California and federally required safety programs, fall protection training for its warehouse employees. The company originally solicited proposals for development of their fall protection policy program as well as for applicable employee training from a third-party vendor.

Ultimately, the company decided that rather than employ an outside specialist, it could save money by simply directing one of it’s own managers to find a copy of this type of policy and modify it and then ask the manger to deliver the training herself. About one year later, the company was inspected by CalOSHA for an unrelated matter and the inspector happened to ask for their fall protection training records.

After reviewing the training company’s training records CalOSHA ultimately determined that the manager/ trainer was NOT a “qualified fall protection safety trainer” and quickly issued a $7,000 citation for the violation. Then, based upon these findings, the inspector additionally requested all of the company’s other training program records and consequently issued additional fines in excess of over $56,000. After paying reduced fines on these citations, the company still had to incur the expense of having yet another outside specialist properly develop these required safety policies and training program.

Employers should remain aware that these types of template electronic support pieces are more often truly designed for sophisticated HR managers. Knowing how to modify, fill in the blank, or adapt such information is where potential pitfalls exist. Bottom line…electronic fill- in- the- blank documents, “borrowed” templates or web-based training products are still no substitute for advice provided directly by an employment law attorney or consultant with expertise specific to employment, HR or workplace safety.

The old saying that “you get what you pay for” seems to be more than applicable today especially in terms of making hasty decisions on important employment documents or programs just for the sake of cost reductions. We advise clients not to sacrifice quality when it comes to properly protecting their business.

continued on page 24


RecommendationsThe following are some recommendations to business

owners and senior managers regarding acceptance of “free” or “discounted” human resources, labor or safety program documents:

1. Employers should ask vendors or service providers offering to furnish these types of documents which person(s) will actually be responsible for drafting the documents? (CalOSHA safety programs, separation agreements, confidentiality agreements, arbitration agreements, employee handbooks, job descriptions, management and employee training programs).

2. Managers need to “qualify” their source. Determine whether the company or individual developing employment, insurance, workplace safety program documents actually have specific expertise and qualifications within the specific field, e.g. was the Injury and Illness Prevention Program template you are giving to me designed by an actual specialist within the field with many years of experience who knows YOUR particular work environment?

3. Find out if the party either preparing or supplying the applicable documents will actually stand behind or guarantee the work.

4. Determine if the supplier of programs also provides follow-up assistance such as assistance with implementation. Often overlooked is the fact that inexpensive or “free” services come without any ongoing support services.

Above all, do not be fearful to request an attorney, consultant or other third-party’s biography or references. Remember that it remains an extremely competitive environment and many vendors will promise or provide almost any assistance whether it falls within their expertise or not in order to gain or retain business.

Once again as the old saying goes…“You get what you pay for!”

This article has been prepared for educational and informational purposes only and does not constitute specific legal advice. Individual circumstances may limit or modify this information. Transmission of this article is not intended to create, and receipt does not constitute, an attorney-client relationship between the author and the reader.

Eric Martin, MBA, is a senior vice president at The American Consulting Group, Mission Viejo, CA, which assists organizations on a broad range of human resources, employee relations, and employer safety compliance issues. A Senior Consultant with the company’s HR and Safety Advisory Group, he has also helped hundreds of small and medium-size companies in wage and hour auditing, supervisory / management training, and complaint response, among other areas. He can be reached at (949) 452-1840.

WHFA has paid a large retainer, on your behalf, to The American Consulting Group. This annual retainer makes The American Consulting Group your valuable partner in solving human resource and employer issues, and it will not cost you a cent.

"I called American Consulting to make sure I was following the correct and proper procedures. They answered my questions immediately and were prompt and informative in their responses. The service that AC provided helped guide me to implementing the correct procedures with my employees. It’s a great resource tool that can be used without the concern of being on the attorney’s clock."

— Jay Behar Behar’s Furniture & Carpets

Everett, WA

TAKE ADVANTAGE OF Your HR Consultant on Retainer

As A WHfA Member, You Have free Access To:

• Unlimited telephone access to Human Resource lawyers and consultants

• Access to an entire data and labor law library, and wage and hour laws

• Wage, salary and benefits data

• Personnel forms and many other resources.

• Discounted rates for professional Human Resource seminars held throughout the country.

• Guidance to problems with:• state labor code • federal wage and hour compliance• OSHA compliance • Workers’ Comp & unemployment insurance

est.1944For more information on this free consulting service, contact

your WHFA membership representative at (800) 422-3778.

continued from page 23


Safety Spot

Kaprice CrawfordWHFAmarketing director and WHFA safety director

In today’s world, we deal with a multitude of stressors… the economy, uncontrollable world events, our work, and personal or

financial pressures, etc. When the stress-defense response is continually activated without recovery downtime, it could have negative consequences on an individual or in the workplace. Feelings of stress can lower morale, reduce productivity, and increase accidents, injuries, health problems, or violent outbursts — all of which can affect the safe and efficient operation of the workplace. Individuals can’t control all the stress-producing elements in their lives but they can learn to balance those stresses and control how they respond to them.

Make sure stress awareness is part of your employee training program. Acknowledge that it exists in everyone’s life and that individuals vary in their stress thresholds and recovery rates. Let employees know that although some stressors can be controlled and managed, some stressors cannot be changed. But, also let them know what resources are available to them should their stress become a condition they’re unable to manage on their own.

Keep communication lines open by talking to employees. Periodic staff meetings may provide a forum where employees can air their frustrations or share their ideas and perhaps develop stress reduction solutions. If changes in employee attitudes are observed, talk about what’s going on. Keep employees informed of job changes and allow them to participate in decision making, where possible. Make sure your compliments on work practices outnumber your criticisms. It helps if the employee is a good match for the job. Encourage employees to adopt a healthy personal lifestyle including practicing relaxation techniques, establishing good eating habits, monitoring alcohol or drug consumption, exercising and developing a personal support network.

Stress management is about balance. Balance stress with relaxation, compliments with criticisms, work with play, problems with rewards, and positives with negatives. Negative workplace stress takes a toll on employees and employers but constructively managing it can have significant payoffs to employee productivity and business profitability.

Helping WorkersManageStress


A furniture trade publication recently estimated that an amazing 42 percent of retailers do not have a website. At the same time, an online

poll revealed this about retail customers:“The Internet has become an important part

of consumer shopping behavior, with 66 percent of consumers telling a Harris Interactive poll conducted for Yahoo that they shop online before making an online or offline purchase. Seventy-five percent say that going online to research products and services is the first stop in their shopping experience. Ninety percent say they have a better overall shopping experience when they research products online before shopping in-store.”

This growing disconnect between furniture retailers and consumers is costing the industry millions of dollars in top line sales. Instead of developing an online presence, 42 percent of furniture retailers are still relying exclusively on print, television, radio, yellow pages, billboards and mail to reach their market. While each of these mediums still has a place in a modern marketing mix, overreliance upon old world techniques will cost real world dollars.

Craigslist is outpacing print media and classifieds, and your competitor is now anyone with a computer and a spare sofa. Since its launch in 2003, Craigslist has grown to 16 million unique visitors in 700 markets who search for 651 million products each month. Today’s youngest generation don’t even know what the Yellow Pages are, let alone how to use them. New York Times bestselling author Roy H. Williams recently said, “Google has replaced the Yellow Pages but most advertisers haven’t figured this out yet so the Yellow Pages continue to make money on the momentum of previous years.”

Marketing today just isn’t the same as it was just a few years ago. New terms like SEO, PPC and eComm have expanded your reach and changed the shape of the traditional marketing budget. A website is merely one tool for communication; it should not be the only component of your online presence, or the only online marketing tool you use

to grow your business.Before you hire a website developer, consult

with a marketing expert, develop an online strategy or adapt your offline plan, ask yourself one question, “What I’m I trying to accomplish with my website?” There are two types of sites, static and dynamic, that can help you meet the goals of your overall marketing plan.

A static website, also known as a brochure site, looks the same all the time to every user. The content changes rarely, if ever. A classic first-generation web strategy, static sites typically include a handful of pre-set, pre-designed pages of pre-planned information. Users will find the history of the company, a description of the products they sell, an explanation of the company services, and possibly animation known as flash or audio/video players. As with a printed brochure, the format and order of the information is permanently set in place. The user must follow the menu navigation to get to where they want to go.

A hardworking static website provides consistent information over an extended period of time, which is useful for store hours, phone numbers, contact information, street addresses and maps. Because of their long-term nature, brochure sites are likely to receive only periodic updates because the manual process to edit the text, photos and other content requires at least basic programming, design skills and software. Updates are usually performed for a fee.

The customer cannot control the information they can review on a static website. They see everything the business owner and programmer decided to offer at the time the site was built. The benefit of a brochure site is the simplicity of completing the information, the quickness of getting the site live on the Internet, and the likely stability of the platform because of infrequent modifications.

Another type of site is called a dynamic website. A dynamic site presents content that has been personalized for each individual viewer. Instead of static menu navigation, links to other

From Old World To Real World

It’s All About Sales and Marketing

David LivelyThe Lively Merchantowner


parts of the site are offered in the content, sidebars, footer, buttons, banners and images that allow each user to decide which route to take to their destination.

Unlike the more classic brochure designs, dynamic web pages can provide a real-time user experience. Content like text, video, product images and user sign up forms all change in response to the different conditions or requests of each individual user. Users can leave comments, reviews and ratings on dynamic websites and display content that meets their exact search and filtering criteria.

Dynamic sites often allow the website owner to easily access the administration of their website through a Content Management System (CMS). While the website programmer implements the hardcoded elements of the site such as page layout, animation, headers, footers and sidebars, the owner can access, add and edit individual page content. Product catalogs, store events, staff and promotional offers are some of the common areas a retail furniture store owner would be likely to change frequently.

A blog is another common feature of second-generation dynamic websites. Blogs combine text, images, and links to other blogs, web pages, and other related media in an online diary of personal commentary, industry tips and trends, and stories about events and happenings in the store. Successful blogs engage the customer through educational and entertaining information (not self-aggrandizing promotion) and encourage comments and feedback.

Whether your website is static or dynamic — or a combination of both — creating your company’s online presence and maintaining current, engaging information on your website is one of the most efficient investments you can make for your business.

David Lively has over 20 year’s hands-on experience in the home furnishings industry. Twice named to Furniture Today’s “Beyond the Top 100” list of independent retailers and 1997 “Ohio Retailer of the Year,” David’s wisdom was won on the front lines and his battle scars have given him compassion for counseling today’s retail warrior. David is on the forefront of a new phenomenon that will soon rock the home furnishings industry: the transfer of authority, responsibility and wealth from one generation to the next. Four out of five family-owned furniture stores are still led by their founder, and 40 percent of them will change hands in the next five years. David has developed a proprietary and unparalleled system for helping identify goals, strengths and opportunities during this crucial time. You can reach David at (740) 415-3192, [email protected] or visit www.thelivelymerchant.com.

Western Home Furnishings Association • www.WHFA.org • (800) 422-3778

Update Your Member Profile and Use the Online Membership Directory

The Online Membership Directory is a powerful reference tool designed to put you in touch with other home furnishings retailers who share the same experiences as you. If you have business questions about freight carriers, computer systems, financing companies, HR issues, lines of furniture or accessories, take advantage of your access to association peers and find solutions fast by searching through this easy to use tool.

While you are connecting with other retailers, make sure to update your profile as well — it only takes a few minutes!

To quickly update your profile, click on Membership > Update My Account > Edit/Update Profile.

If you forgot your username and password, call your WHFA membership representative at

(800) 422-3778.


Program of the Month

Kaprice Crawfordmarketing directorWHFA

If you answered “Yes” to the above questions, then you are the perfect candidate for our sales training available through The Furniture Training Company. This monthly subscription allows 24/7 access to award-winning lessons, podcasts, worksheets, games and more. Simply log on and use whatever you need. Its fast, easy, fun and it works.

We have learned from our members that nine out of 10 salespeople sell more furniture, many by as much as 100 percent or more. At just $12 dollars a month (an $8 discount to members) your investment will pay for itself in a single sale, and over and over again. Don’t settle for status quo selling. Learn the secrets to sales success and watch your income soar.

Furniture retailers who subscribe to the Furniture Training Company website, www.FurnitureTrainingCompany.com, give their salespeople unlimited access to over a thousand facts, techniques and skills, and attitudes essential to becoming certified furniture sales experts. Associates master the latest trends in furniture product knowledge, how to sell furniture, the essential principles of room design and much more. Every month salespeople learn and relearn from the website’s incredible array of scientifically designed and validated training lessons, podcast interviews, entertaining review games, showroom practice worksheets, video role-play examples and dynamic customer simulations. You will see constant improvement in sales associates’ closing rates and average sales as they turn more “lookers” into buyers.

Affordable Sales Training For MembersAre you a store owners looking to boost store profits? Are you a training manager seeking an easy way to solve training problems?

Components of the training:Training in Three Critical Areas Of Furniture Salesmanship

• Sales associates will be trained in product knowledge, sales techniques and basic room design.

Printable Worksheets • Printable lesson worksheets,

sales meeting lessons, optimized training schedules for both new and experienced sales associates.

Interactive Games• Interactive games provide a fun,

simple and effective way to reinforce and review key concepts.

Podcasts with Industry Experts• Weekly podcasts present business

owners, managers and sales associates with the up-to-date information they need to keep their skills sharp and current with trends and new ideas.

Daily Tips• The dashboard provides daily tips for

both sales associates and managers. Increase your bottom line one tip at a time!

“We’ve found the Furniture Training Co. the perfect complement to our sales training efforts. It made good sense for us to invest in an outside professional educational program for new hires and our existing sales staff. In the past we have had trouble finding the time and available staff to do this type of training. This program allows us to get education at home or on the job.”

Giff Gates, president, Gates Home Furnishings,

Grants Pass,OR

Discussion Boards• With the new discussion boards being

offered by the Furniture Training Company, questions can be asked and answered by sales associates, business owners, and managers through their peers.

Real-time Progress Reports• View the progress of your sales staff

in real time. Then use the interactive games and printable activities to help reinforce those areas where staff members are struggling.

Training Certification• As your sales staff successfully train in

sales techniques, product knowledge and basic room design they will receive finely printed, embossed certificates that can be proudly displayed in your store so that your customers will know that your sales staff are well-trained professionals.

Don’t delay and get started today, call your membership

representative at (800) 422-3778 .

only $12

a Month


Twenty years ago, Western Retailer magazine (then known as Western Reporter) blossomed from being a small newsletter, to a full magazine. Join us throughout this year as we look back at the last 20 years with stories, past articles and fun.What was going on then compared with now...

Celebrating 20 years of Home Furnishings Reporting

Celebrating 20 Years

ThenFollowing the Iraq invasion of Kuwait, Desert Shield begins as the United States and UK send troops to Kuwait. The U.S. enters a bad recession which will have repercussions over the next few years throughout the world. This is also the year "The Simpsons " is seen for the first time on FOX TV. In technology Tim Berners-Lee publishes the first web page on the WWW, and it shown that there is a hole in the Ozone Layer above the North Pole, also the First in car GPS Satellite Navigation System goes on sale from Pioneer.

NowOngoing financial crisis and recession which began in late 2007 continues with many calling it the worst financial crisis since the Great Depression of the 1930s causing house prices to decline, and unemployment to increase. In 2009 governments in the U.S. and around the world pumped trillions of dollars into the financial system and into the economies hoping to avert another Great Depression and by the end of 2009 although unemployment had continued to increase, markets had recovered and most thought the worst was over. The World Health Organization declares H1N1 influenza strain, commonly referred to as "swine flu", as a global pandemic.

How much things cost in 1990 2009Yearly Inflation Rate U.S. . . . . . . . . . . . . . . . . . . . . . . . 5.39% 2.7%

Year End Close Dow Jones Industrial Average . . . . . . . . . 2,633 10,428

Average Cost of New House . . . . . . . . . . . . . . . . . . . $123,000 $232,880

Average Income per Year . . . . . . . . . . . . . . . . . . . . . . . $28,960 $39,423

Average Monthly Rent . . . . . . . . . . . . . . . . . . . . . . . . . . $465 $780

Cost of a Standard Postage Stamp . . . . . . . . . . . . . . . . . . . 25¢ 44¢

Cost of a Gallon of Gas . . . . . . . . . . . . . . . . . . . . . . . . . $1.34 $2.73

Cost of a Dozen Eggs . . . . . . . . . . . . . . . . . . . . . . . . . . . $1.00 $2.89

Cost of a Gallon of Milk . . . . . . . . . . . . . . . . . . . . . . . . $2.78 $3.75

�0 MArCH 2010 Contact WHFA at www.WHFA.org or (800) 422-3778.western retailer

MarcH Madness sale from the WHFA Products Program.

Call Jef Spencer, warehouse manager, today to place an order.(916) 960-0386 • (800) 422-3778 • www.WHFA.org

Advertisers IndexPlease support the advertisers that support your magazine.

Advertiser Page Phone

Advertising Inquiries & RatesContact: Cindi Williams, WHFA Advertising Manager, 500

Giuseppe Court, Ste. 6, Roseville, CA 95678. (916) 960-0277 E-mail: [email protected]. Subscriptions: $35.00/year, USA.

Published by Western Home Furnishings Association, a Na-tional Home Furnishings Association affiliate, in the interests of retail home furnishings dealers, manufacturers, distributors and salespeople.

Distributed to home furnishings retailers handling furniture, accessories, bedding, floor coverings and specialty home furnish-ings 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. March 2010, all rights reserved.

Western Retailer: Read by furniture retailers in the West

Distribution:Western Retailer is read by more than 10,000 home furnishings

retail store personnel handling furniture, accessories, bedding, floorc overings and specialty home furnishings in Alaska, Arizona, California, Colorado, Hawaii, Idaho, Montana, Nevada, Oregon, Utah, Washington and Wyoming.

Marketing Philosophy: Western Retailer focuses on business market trends in the

furniture, bedding, flooring and accessories industry. It highlights sales, marketing, operations, showroom design, trends, succes-sion planning and industry events.

American Consulting .......................... 24 ....................... (800) 422-3778

Cruise4Two ........................................... 23 ....................... (866) 541-8077

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

Furniture Wizard ................................... 15 ....................... (619) 869-7200

High Point Market ............................19 & 21 .................. (336) 869-1000

Las Vegas Market ..........................Back cover ................ (888) 416-8600

PROFITsystems, Inc. ..........................4 & 31 ................... (866) 453-5010

WHFA 2010 Conference ....................... 7 ........................ (800) 422-3778

WHFA Warehouse Products ................ 30 ....................... (800) 422-3778

WHFA Website ..................................... 27 ....................... (800) 422-3778

Follow us on Twitter for product updates and promotions.

www.twitter.com/WHFAproducts

For the month of March save 15% off the entire line of EZ Moves through the WHFA Products Program. As a special bonus, purchase the EZ Moves 2 and get a Free* set of Slip on Slides**. Use the Slip on Slides with the EZ-Moves 2 on hard surfaces like tile and hardwood floors. No more scuffing and scaring the hard surface floors.* While supplies last. Slip on Slides are available for the EZ-Moves 2 only. EZ-Moves 2 Part number W908. **Slip on Slides regularly sell for $9.99

Make rearranging your showroom a breeze and save your back while doing it.

March Madness sale

ask about the special Bonus

available!

If your business was in

Winning in the retail arena takes more than just the right product at the right price. In this fiercely competitive world, if a business does not change and evolve to meet new needs and demands, they will be chosen last in the most important game of all – the consumer game. Winning businesses are winners because they do things differently. They have fabulous customer service and follow up, and their business processes are designed to get things done efficiently. They just make it easier to shop at their store.

PROFITsystems has the tools to help you go from being a bench warmer to being the most valuable player. Where can your game be improved?

Software | Consulting | Advanced Education | Sales Training Performance Groups | Freight Program | e-Commerce | e-Marketing

Chuck McMillinMcMillin’s Furniture Inc.Yale, MI

“Using PROFITprofessional, we learned to manage our inventory and our profitability has improved substantially. We are able to stay ahead of our competition.”

would it be chosen last for the team?

Our Total Retail Success System can help you improve your game where you need it most.Make your business an MVP.

Visit us at:

www.profitsystems.com800.888.5565

Making Retailers More Profitable

OppOrtunity comes in THRees

August 2 – 6, 2010

Launching August 4 – 7, 2010

now, three huge buying events in one exciting

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see more new product. Discover unique vendors.

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www.lasvegasmarket.com | www.giftandhomelv.com | www.vegaskidslv.com

AGV106_WMC10_WRM.indd 1 1/28/10 12:00:41 PM

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March 2010 Western Retailer