The Guilt Gift

Most Pro Shop owners and managers agree that there is a legitimate category of business that has to do with the male golfer taking home a gift to his significant other after a day on the links. Acknowledging that this business exists or has the potential to exist is easy – finding the right product to go after it with is another story. I am convinced that apparel is not the answer and that it is not typically a logo driven sale. The wife or girlfriend that would be appreciative of a souvenir logo would most likely be playing there herself and buy her own shirt or sweater.

The search for the four ‘P’s to fill this void has taken me to the principals at Boca Tennis and Golf Bags. Dahlia Manaker and Chrissy Nield have impressive resumes in the industry and Chrissy’s husband Scottie is a PGA Professional who owns the shop at Inverness Golf Club in Illinois. They both immediately understood what I had in mind to suggest with this blog entry and were delightful to deal with in putting it together.

The Product is obviously hand bags, though they have jewelry and headwear, etc. that they present in collections that makes purchasing and merchandising incredibly easy.

The Pricing is moderate – perfect for today’s market and the potential customer that we have been describing with the ‘guilt gift’ theme.

The Partners are genuinely interested in helping you develop this segment of your business.

The Program that Dahlia and Chrissy put together is described by them as follows:

Perfect ……
For that Special Someone at Home!!!!

Are you capitalizing on your women’s market? Give your customer the opportunity to go home with a statement that simply says, “I am thinking about you even when I am on the golf course!”

Boca Golf and Boca Tennis has made it easy for you. We have designed a small and inexpensive package that offers your customer an alternative when selecting a gift for that special someone. When we say perfect, it really is.

It’s easy to get started. For a small initial investment (only a few hundred dollars) you can purchase a collection similar to the photo above. With immediate success you will be ready for our replenishment program. Simply communicate with us as to what is selling and we will be responsive to your needs.

Boca Golf and Boca Tennis is currently supplying a customer base of approximately 1500 accounts. Our Golf and Tennis retail shops have enormous sell through success with our products. In addition, we have the capability to supply you with tournament requirements, tee-gifts and prizes.

Boca Golf and Boca Tennis is excited to introduce this new program, enhancing yet another part of your business. We customize each account creating the ideal mix and flow of handbags and accessories to augment your shop’s needs.

Boca Golf and Boca Tennis will provide you with a framed sign for you to attract this customer. Allow us to help create another opportunity that will encourage every customer to purchase something from your shop.

Top 10 reasons why you need to partner with Boca Golf and Boca Tennis

· We have no minimums.
· We have products that are fashion responsive.
· We can replenish your inventory to increase your profitability…so you won’t miss a sale.
· Our turn around time is fast. Really fast!
· We can customize our product range for your specific needs.
· Our broad range of pricing allows major margins.
· Creative product merchandising.
· Innovative marketing programs.
· All Boca Golf and Boca Tennis manufactured products are made in the USA.
· Perfect products for that Special Someone.

Please feel free to call Dahlia Manaker owner of Boca Golf and Boca Tennis at 1-888-409-4551 or email dahliamanaker@aol.com to get started today

Please mention this Blog when doing so.

There is a link to the Boca website to the right under 'Sites to Visit'. The program that Dahlia and Chrissy have suggested and the merchandising of same provide an easy, tasteful way to go after that somewhat elusive category of ‘guilt gift'.


The Merchandise Buy Plan Guide has been well received and is still available. The link to purchase it through PayPal is the Buy Now button to the right.

Phil Owenby on "Cutting Edge Service"

The successful pro shop in today’s competitive economy is providing "cutting edge", "think outside the box", exemplary service. Anything short of this does not provide the total golf experience that creates word of mouth marketing and should be considered a wasted opportunity. In previous blog entries I have talked about the Nordstrom approach to retail service, the concept of keeping in touch with the customer and using product vendors to help turn your staff into educated retail sales people as well as golf pros and cashiers. The first blog entry posted here (the Johnny the Bagger story) was about inspiring your staff to understand that good service is not a chore or even a challenge so much as it is ideas from the heart as to how to personalize the interaction and end up being sincere, fun efforts at making the customer’s day. Anyone who does not share the vision and understand service as such is going through the motions, will not be warmed up to by the customer and has the potential to ruin the efforts of others. This usually translates into stagnate shop sales at best and members/regulars being disgruntled with the perceived disinterest just as they would be with the lack of service anywhere.

No one that I have worked with in my golf career understands this better, sets the bar higher or translates this to the ‘golf experience’ more effectively than Phil Owenby. The mission at Kinloch Golf Club outside of Richmond where Phil is the Director of Golf is not to make the customer feel simply serviced but to make them feel special to the point where they can’t wait to tell someone about their day at an incredible golf course and how extraordinary everyone was that worked there.

Kinloch Golf Club was recently recognized as America’s 4th best private golf facility in the 2010 Golf World Readers’ Choice Rankings. The club received the only perfect “10.0” rating of the entire listing in the Service category and was ranked 1st in the country.


Phil, it seems that setting the bar high starts at the new hire interview. How do you instill new employees with the Kinloch mantra and what is your tact for defining expectations?

Bringing a new teammate onto the professional staff is a difficult process. You really do not know how an individual will respond to the culture, environment and responsibilities of the position until they are actually in the situation. My focus in the interview process is primarily based on attitude. We are in the hospitality business that requires a “can do” personality and genuine sense of wanting to assist others. It is important our staff members understand from the beginning that our club members and their guests are provided genuine southern hospitality including a friendly, courteous greeting and firm handshake on every visit. This sets the tone for the terrific golf experience that follows. We are very fortunate to have earned some recognition for our world class golf course conditions. The personality and service from our staff must be commensurate to fulfill our mission statement and business model. Our expectation for each staff member is based on attitude, anticipation, presentation and teamwork. These service principles are paramount to the success of our operations and are a continuous challenge to each staff member. Each principle is explained in great detail including examples of expectations and opportunities. We are continually focused on enhancing our service model with input and ideas from our staff members. Our goal is to be better today than we were yesterday.


As a consultant to Kinloch I have had the pleasure of sitting in on a full staff dinner where the primary subject discussed was good and better service. Phil, explain if you will, inspiring your staff in general as it is certainly a daily activity and do you see these efforts as creating revenue for the club?

The staff dinners are perfect times to throw a service topic on the table and let all team members respond. We get together in this setting without the encumbrance of telephones and the usual activities of the day. The idea is to get everyone excited about serving others and generating opportunities to improve our service operations. From these meetings we have incorporated operational programs including our custom golf ball program, vehicle detail service, departing beverage service and other services designed for convenience. Many of these ideas result in revenue producing programs, but are largely formed from service enhancement discussions at these dinners. As you have experienced, these meetings are comfortable and include many light hearted stories about daily activities. This casual environment enhances the opportunity to motivate and challenge us to provide more “knock your socks off” and “raving fans” service programs. The camaraderie and motivation of our team that produces more revenue producing opportunities are certainly the benefits of these dinners.

I continue to use the phrase ‘'think outside the box' in context with service and it starts at Kinloch when you come through the gate. Give us some examples of special treatment and the resulting stories and word of mouth that it can create.

It is standard procedure with our team that we all realize that “little things” make the big difference when it comes to service. Practices as simple as a Titleist 2-ball pack Thank You placed in a member locker for a large purchase or favor. Or, noticing a member (or guest) vehicle low on fuel and taking the time to fill before the round is complete. Another regular practice we promote with all team members is to be attentive when around our members and guests. People will always let you know how you can serve them better. Thinking outside of the box is not a complex phrase. We believe it is doing the little things that create convenience and comfort for our members and operations. The systems we have developed offer our staff members the opportunity to complete the expected tasks and to be aware of unexpected opportunities. A perfect example can be found in our locker room at Kinloch. Our locker room manager, Gilbert Taylor, has a wonderful positive attitude and inspires all of us with his constant flow of service ideas. One day we were talking about the shoes in our locker room and he mentioned that he would like to enhance the “look” of the entrance. His idea to place a Foot-Joy catalog on a pedestal with a display of new shoe styles where our members could review has become a terrific benefit to the operation. As a service to the members, he always reminds them when their golf and/or casual shoes are in need of repair or replacement, so the catalog and display fit perfectly for this subliminal sales opportunity. The benefits far outweigh the increase in revenues as it has created a great teamwork opportunity with the golf professional staff along with the awareness of better performance footwear for our members. Our members are always talking about the unique “look” that GT offers in the locker room.

I have run into people all over the country who have had the privilege and pleasure of spending a day at Kinloch relate their experience with the staff and say they can’t wait to play there again. Obviously this makes members proud as well as anxious to expose guests to their club. If this were true of more facilities and rounds of golf would there not be more golf played? I know your concern is Kinloch but would you agree that collectively everyone in the industry should be looking to enhance the ‘golf experience’?

The Kinloch Experience is all about our team, their attitude and their passion. Every member of our staff has a passion for excellence, enjoys being associated with the golf hospitality business and wants to be a part of the experience. It is about creating relationships with members and guests that creates an atmosphere of camaraderie and friendship. I go back to the four points of service including attitude, anticipation, presentation and teamwork that we continually impress on each other daily. It is truly contagious if you impart a positive, genuine attitude with anticipation of needs and desires while showing a neat, clean and inviting presentation surrounded with great teamwork. I do agree that any facility can benefit individually and collectively from this strategy of enhancing the experience. The Kinloch Experience is our brand that we continually develop and improve through the ideas and performance of our staff members. Our facilities, systems and service all improve through a constant desire to get better at our business model.

Kinloch Golf Club opened on April 14, 2001 and along with the above mentioned Golf World acknowledgment has been recognized as:

2001 #1 Best New Private Golf Course by Golf Digest
2008 Golf Digest Index Top 50 Golf Retreats - #7
2008 Golfweek Top 100 Golf Shops – Top 25 Private Clubs
2009 Golfweek Top 100 Modern Courses in US - #12
2009 Golf Magazine Top 100 Courses in US - #84

A Lifetime of Style

I was able to spend some time recently with the principals at Peter Millar in their showroom in Cary, NC and listen to them discuss the spring 2010 line and the inspiration for some of the changes and additions. Chris Knott (founder and overseer designer) and Scott Mahoney (President) have become good friends of mine because of their passion for style and their commitment to some of our mutual customers. They both shared their ideas for the coming season and how they see them being used in golf shops. The ideas were as new and fresh as any I’ve heard for 2010 and the product, as always, was special.

Rather than producing our interview (which I will do at some point in the future). I thought for this entry I would post the notes and video supplied to me by Millie Graham (Director of Marketing: who actually runs the company while Chris and Scott aren’t looking) as a preview for everyone of what’s to come.

Here are a few of her highlights:

Summer Comfort Collection

We have tripled our assortment of Summer Comfort product and the response has been unbelievable. We think you will like the new styles and colors offered for Spring 2010.

Knits - Our mercerized knit collection is complete and well thought out with 4 color stories. The colors are wearable and have cool trims and details that set us apart from the market. Each of the color collections are strong and will give your shop a boost of color throughout the spring & summer season.

Throwback Double Pique shirts – A classic cut pique with banded sleeves. Double pique is considered better than single pique because of its construction. This gives stability to the fabric resulting in a great hand and no pilling. The shirts are pigment dyed and then finished with an enzyme wash making them a great washed down color that is very soft. We showed this shirt to some of the younger Tour guys (Webb Simpson and Bill Haas) and they flipped over these knits.

Sun-washed Collection

We love this assortment of washed down with a broken–in feel knits, tees, sweaters, wovens and shorts. This is what guys are wearing “off” the golf course, on the weekends and on vacation. We have improved the offering in this collection with unique items such as:

Sun-washed wovens - New garment dyed silk/cotton shirts are the perfect light weight and just the right “washed down” color. We suggest when selling these to your members – have them hanging with the sleeves rolled up for a more casual look. As always, we have added unique details like inner contrast tipping on the necks and cuffs.

Broken in twill shorts - This short has a special pigment dye and wash that gives it a vintage feel.

Polos - Great colors, casual fit complete with the Sean collar.

Satin Washed polos & tees– Jersey knit that is garment dyed and then put through the same wash as our ¼ zip Interlock – this gives it a soft hand and silky finish. The collar on the knit has a poplin woven trim in the neck and placket. This gives the collar a crisp stand – we even added a left chest pocket.

Footwear Collection

With the success of our Driver Moccasins, we felt that it was time to debut a deeper collection of shoes that guys really want. The quality and craftsmanship of these shoes are incredible and we think that our customer will appreciate the new designs. Hand-made and fully lined. New styles to look for: Signature Boat Shoe, Pebble grain driver moccasin, Pebble grain Loafer, Suede Bit driver loafer (in 6 colors) which is also available in ladies.

Belts

New styles that merchandise great with all of the color collections. A fresh alternative to the canvas stretch twill belt is the Italian cotton braided sport belt available in 8 colors. Also new is the Suede belt with contrast stitching dyed to match the shoes exactly. Genuine Crocodile belts are a new item and are sure to be a favorite of many, especially among the Tour Players. In addition to the timeless colors of brown and black, we have added some pop colors that will merchandise beautifully with the knits and bottoms.

Wovens

Added new models and made each one unique with details and trimmings. In addition to the timeless designs of Tattersall’s, checks and stripes – we added some fresh looks for spring including great linens with contrast trims and cuffs.

I have been tabling Peter Millar in the high-end shops for about five years. It has consistently outperformed everything else in these shops as far as sell-through is concerned. Their Summer Comfort has become a favorite with the pros I work with and they are incredible partners for tournaments needs with some unique product and ideas. The Peter Millar site is linked to the right under ‘Sites to Visit’ and is as well done as their catalog. The 2010 preview video is below.

Merchandise Buy Plan - A Simple How to Guide

Since putting the blog together in December of 2008 I have had a number of requests to offer a guide to the methodology I use to create buy-plans for my clients. I have written a 20 page guide providing, step-by-step, the thought process to formulate a buying strategy which will make your shop well merchandised but not over-inventoried. This buy plan technique is one which has impressed every shop owner or manager I have explained it to over the years and in my mind is bullet-proof in its ability to establish key shop levels. Most shops will be preparing to pre-book spring goods in August so I believe the guide is timely.


“At Kinloch Golf Club we have been fortunate to have Craig Kirchner as our merchandising consultant for more than five (5) years. He has assisted in reducing our inventory levels while enhancing the overall gross margins and increasing revenue substantially. Our professional staff has benefitted from his genuine and knowledgeable expertise in buying, display, inventory control and sales techniques. Craig can be an asset to any golf merchandising operation with his extensive background and product knowledge. I would recommend this guide to anyone.”

Phil Owenby – Kinloch Golf Club


“Craig Kirchner started working with me over 4 years ago. At that time I carried an average inventory of $145,000 to generate $400,000 in sales. Today my average inventory is $85,000 and we still generate close to $400,000 in sales. There is no more inventory sitting in the "back room" and I have been able to adapt more effectively to the changing economic conditions. There is no doubt that the principles contained in Craig's Book changed my business significantly for the better.”

Buddy Sass, PGA – Ocean City Golf Club



"A positive mindset accompanied by knowledge, experience and common sense are a formula for success in any field. Craig possesses and utilizes all these traits effectively in his approach to merchandising."

Mike Elliott, VP of Sales, Greg Norman Collection

"For the last five years Craig and his methodology have been very instrumental in assisting us with both our golf shop buy plan and the LPGA Championship merchandise tent. His methods work and we have been able to increase our profit margins with his plan.

Richard D. Rounsaville, General Manager/Director of Golf - Bulle Rock

"Golf Shops today have unprecedented opportunity to be successful. Economic dynamics are driving consumer behavior to be more demanding than ever of a value experience. That experience includes the presentation of the right products, at the right time with the right service in an efficient atmosphere. There is far grater value to the consumer in shopping for golf products in a golf shop where he/she can find properly targeted products that are easy to buy while being assisted by a knowledgeable staff member, versus driving to a mall and navigating a maze of shops with relatively no service in hopes of finding the right product. The key to a Golf Shop's success here is executing on this concept. While some shops most certainly do, many need help and Craig Kirchner has a proven track record of building successful golf shop operations. Now is the time for this industry to collectively pull itself up by its bootstraps and execute. I have used Craig's counsel and I highly recommend every golf shop who is looking for improvement do the same."

Mark Killeen, Managing Partner, Pima Direct


The cost for this bound primer is $79.95 including shipping and handling. I decided it was more practical and easier to use in hard copy and it will be shipped as soon as payment received. You can easily purchase this on PayPal (“BUY NOW” button to the right) or send a check to:

Craig R. Kirchner
1610 Stonegate Blvd.
Elkton, Md. 21921

I am confident that you will find this guide to be easy to implement and money well spent. I look forward to hearing from you if you have questions or comments at craigrkirchner@verizon.net.

A Day at Caves Valley

For more than 15 years, Fairway & Greene has produced the best cotton shirt in the golf business. Measured in terms of quality, sell through and perennial awards and accolades from the likes of the Association of Golf Merchandisers (AGM) and PGA Magazine, the company has firmly established itself as the industry leader. Since its inception in 1995, the company has remained dedicated to a focused green grass distribution policy, and today sells in excess of 3,500 golf shops in the United States, with another 500 outside of the country.

I recently had the privilege of joining Fairway & Greene President, Todd Martin, for a day of golf at Caves Valley Golf Club in Owings Mills, Maryland, where Todd has been a member since 2000. One of the finest golf clubs in the country, it was indeed a very special afternoon of golf and camaraderie.

Todd and I had plenty of opportunity to discuss a wide range of topics about the company and the golf industry in general. On top of his duties for Fairway & Greene, Todd is also responsible for Zero Restriction Outerwear, both under the umbrella of parent company, Summit Golf Brands which also owns EP Pro. With three leading brands in their respective segments, Summit Golf Brands is indeed a soft goods powerhouse in the industry.

Todd is very articulate, with a quick wit and fantastic sense of humor – traits well honed after spending three years on Capitol Hill after graduating from college as a high-dollar fundraiser for Republican Senate Candidates. Even though we’re on opposite sides of the political spectrum, we both share a common passion for the golf business and the continued growth and success of the game.

Todd, we certainly want to talk about product and the future plans for the company, but listening to you share the history of Fairway & Greene has been a delight for me that not everyone in the industry has had the opportunity to hear.

The company was founded in 1994 with a unique focus on product quality and service excellence. At a time when virtually every manufacturer was driving their product and business decisions on the basis of cost and margin, we didn’t cut corners in any facet of the business. We made exceptional product, and backed it up with a sales team, embroidery, distribution and customer service the likes of which the industry had not seen. Hammering home the green grass exclusivity and support for the PGA Club Professional were big factors as well. Thanks to our efforts, we were able to earn a base of high profile loyal customers early on, and that has snowballed into arguably the most envied account base in golf today. Product has always been king here.

You are now responsible for sales of Zero Restriction. Tell us where that is headed and what one can expect going forward with not only the product but the service and fulfillment.

Like our other two brands, Zero Restriction has been the leading brand in performance outerwear for over a decade now. With so many fabric innovations and product feature patents, the brand is well respected across the industry, and further validated through the Professional Tours and international competitions. We have an outstanding new design team in place that has some brought some fresh looks and new products to the company, many inspired and drawn from extreme sports, but interpreted for golf. There has also been a rebirth of the brand with new corporate logos and imagery. From the flagship Gore-Tex waterproof suits, to Lightweight Windshirts, to our new Hybrid Wool TecKnits, the brand has experienced a rebirth that will ensure its leadership for many years to come.

It would be hard to improve on the ‘benchmark’ you have set, but what does Fairway & Greene have coming that is new and wonderful?

For Spring 2010, we have reduced our SKU count by almost 35% over Fall 2009. With all of the pressures affecting the economy and the golf industry specifically, it’s truly a return to fundamentals with an even greater focus on flexibility, partnership and service to our customers. At-once business has very quickly supplanted the traditional prebook mentality. We continue to have the largest and most comprehensive In Stock program in the better goods area, and we will be expanding out F&G Tech shirt program for Spring 2010. We have always focused on quality, classic styling. You won’t find us trying to launch or chase anything faddish. We’ll leave the UV/Mosquito/Vitamin/Bamboo sales pitches to others. Trends come and go, but classic traditional items always endure.

The industry as we have been discussing is suffering and I have quoted you in a previous entry as describing the current state of business as ‘Darwinian’. At the shop level I have been preaching promotion, service, salesmanship, enhanced presentation, etc. as all need to be pushed to new levels in order to inspire the consumer. At the vendor level what should the sermon be and what can the leader in the industry do to help inspire golf retail in these trying times?

When the industry was flush, marginal companies and clubs could fake it with relative ease. Now that the bottom has fallen out, everyone is exposed and is being judged on the true merits of their product, their service and their sales team. I would say our 15 years on the scene is now one of our greatest strengths. In an industry that is incredibly fickle and likes to delist brands with longevity, customers right now will only trust their precious OTB dollars with brands they know will be here 6 months from now, and will partner with them through the difficult times. This is a business for the long haul, and just like those that flipped houses with horrific results, brands and clubs that tried to come in and make a quick score are finding out just how difficult and expensive the golf business is.

Fairway & Greene, Zero Restriction and Todd especially have been incredible partners to me over the years, understanding that the business is one of outstanding service and unique, club specific needs. About five years ago over dinner Todd asked me what he could do to help my retail consulting clients. Unlike some others who have asked that and not remembered my answer past dessert; Todd has complied professionally with my reasonable request every season since.

No matter the request, the result is always special. I invited Todd to a staff dinner at Kinloch Golf Club in Richmond a few years ago, only to find out that he is an incredibly inspiring speaker who obviously has an entrenched knowledge of the golf business and golf apparel, but also can effectively talk about most anything related to the business. If you have an opportunity to make similar use of his talents, take full advantage, you won’t be disappointed.

Since putting the blog together in December of 2008 I have had a number of requests to offer a guide to the methodology I use to create buy-plans for my clients. I have written an E-Book providing, step-by-step, the thought process to formulate a buying strategy which will make your shop well merchandised but not over-inventoried. It will be available on the blog on or around the 20th of July at a reasonable price. Most shops will be preparing to pre-book Spring goods in August so I believe the guide will be timely.

A Class Letter

I’m posting this letter from the House of Carrington to their customers as a blog entry for a number of different reasons. Their letter reflects the times as well as the state of business at the House of Carrington and is extremely well written. The principles who run the company, Andy Bell [President] and Jared Henzlik [Vice President], have become good friends and have great product. Their web site, http://www.houseofcarrington.com/, while not the typical tour through the catalog will suffice to impress upon the reader the level of marketing sophistication these gentlemen are attempting to bring to golf retail and I would like (as much as is possible on my part) to see them continue with their incredibly styled line and be a major force providing quality and class to the retail and golf industry through 2010.

June 1, 2009

Craig Kirchner
1610 Stonegate Blvd.
Elkton, MD 21921

Dear Craig,

I hope this letter finds you and your family in great health and your business finding some measure of success in this economy. I wanted to first say thank you for your support of House of Carrington. As a small, exclusively distributed luxury brand, it is only through strong relationships that we have found our early success. I take great pride in the efforts of our sales and customer service teams and the relationships they have built which have enabled our business to grow in extremely difficult conditions. Our success at retail, however, is entirely due to the belief of our retail partners, like you, in our brands and our products and sharing that belief and excitement with your customers. For that, I offer my deepest gratitude.

Over the past 12 to 18 months, we have all witnessed a challenging economic environment that only a few people have ever witnessed before. For me, once is enough. The business of wholesale and retail apparel has fundamentally changed right before our eyes. A business that was built on advance orders 5 to 8 months ahead of the start date is now gone. In its place we have a new business where both wholesalers and retailers alike, want to reduce inventory, buy what we need when we need it and avoid the advance commitments that backed up on all of us the last few seasons. The interesting thing about difficult times is that you learn a lot about yourself, your business and your business partners. We all must evaluate everything we do to ensure we have the right strategy going forward.

As much of a challenge as it represents for us as a wholesaler, when we put our retail hat on, we believe the new model of lower advance orders and stronger in-season orders is the right model for our customers. We also believe this model is here to stay and therefore we need to adapt how we do business. We must find a way to keep production minimums at the lowest possible levels and shorten lead times while offering a solid foundation of core items and small, but compelling fashion collections. We must also find ways to leverage technology to bring efficiencies to the order process, increase our speed to market, decrease costs and increase margins for ourselves and our retail partners. The challenge of adapting to this new market reality is a daunting one, but one we are excited to tackle. To quote a dear friend of HOC, we want to be the “idea guy” in the market and innovate with new products, new technology, and new ways of executing an old business model.

Our first step to adapt to the new reality is a complete evaluation of the coming fall season. In analyzing our advance orders for fall along with our production minimums and lead times, the most responsible business decision we can make is to not produce the fall collections. Based on production minimums, the amount of inventory required to fulfill the orders would create far too much excess. We would have made this decision sooner but we wanted to give the decision as much time as possible to look for signs of improvement. As you know all too well, retail has remained challenging on all fronts. Being a small, family owned business, our margin for error is small and we need to make sound financial decisions at every turn.

Our decision was a difficult one to make but probably no more difficult than decisions you have had to make in your own business. We are in a position with our current inventory to ensure flow of quality products throughout the fall season continuing to support you when you need us. We have beautiful sweaters, great colors and patterns in short sleeve and long sleeve knits and fleece, and amazing sport shirts made from the best fabrics in the world. Our mission as we move forward from today is to maximize the use of our existing inventory to service your needs as best we can for the fall season.

Our Spring 2010 collection is in the sample stage. We have already taken the steps necessary to ensure this collection is closely aligned with our strategy for the future. You can expect to see a solid foundation of great core items with small, but frequent fashion collections to maintain a consistent flow of product throughout the season. While we are cautious about the short term, we are optimistic about the future and excited by the challenge of adapting our business to the new market realities. We will certainly reach out to you when we are ready to present our line for Spring 10.

We sincerely appreciate your support both past and future. Extraordinary times call for extraordinary partnerships. Should you have any questions or suggestions about our product, our plan, our people or anything else, please feel free to call me directly at our corporate office.

Sincerely,


Andy Bell
President

The Freeze Mode

I was in a pro shop recently on a bad weather day at a fairly high-end club. There was no play and one assistant pro [Jim] behind the counter when a member walked in and announced that he needed a rain-suit and that he was leaving for Scotland in two days. I saw Jim frown but offer to help the member see if they had what he needed; they didn’t have the large he needed. When the member left Jim looked at me and said, “I know what you are thinking, but we are in a freeze mode and haven’t been able to order anything for about a month now. That rain-suit is not the only thing we don’t have”.

Of course I’m thinking of all the obvious business implications, not the least of which is the $500 sale the shop just lost. The member who still has the need will find a rain-suit and at the same time a new place to shop. His attitude about his home base taking care of his needs has diminished considerably.

Unfortunately for everyone in the business this has become a mantra, ‘we do not have open to buy’. This message usually comes down from the head bean counter and for obvious financial reasons. Inventory may be higher than he prefers and sales generated so far this season do not seem to justify it. There is also the scenario where the shop's business is healthy but the club or facility doesn’t have capital, owns the shop and continues to look for expenses to cut.

At this point however we are no longer running a retail business, no longer are we trying to provide top of the line service, no longer are we providing the basics that are needed daily in order to be considered by regulars or members as a full service shop. Instead we are putting up a banner of negative marketing about our troubled waters and the question for the member becomes not just one of where to buy a rain-suit but where to be a member or a regular, where best to play and have the entire experience. Where will they be able to tend to my guest's needs?

Inventorying a rain-suit in the basic sizes and replacing one when it’s sold is not an ‘open to buy’ issue, it’s simply minding the store. A solid shirt section that is counted and filled every Tuesday morning to a par level of a week’s worth of shirt sales with a vendor who has the right solid shirt for your facility as an in-stock program with a 7 day turn-around is the most economical way to be in the solid shirt business. Not long ago I visited a shop that had pre-booked eight skus of men’s shorts for the season but were out of 38’s. They weren’t buying any more shorts as they were told to sell the ones they had and it isn’t even Father’s Day. Again, no one minding the store, lost revenue, members needing to buy elsewhere. A staff member should have been part of the strategic planning as regards each of these categories and responsible for keeping up the par levels to insure no loss of sales. Doing this effectively per all pertinent categories is the best way to lower inventories and increase turns which, of course, should be the goal.