Showing posts with label business. Show all posts
Showing posts with label business. Show all posts

Thursday, September 18, 2008

Insights from Ford and Forlano


Steven Ford and David Forlano have been in business for twenty years now, making objects, and jewelry from polymer clay. Over that time their work has evolved to incorporate metals, and now even the occasional diamond. Their stature in the broader craft world has grown in that time as well, collecting press clippings and awards along the way. This kind of success, it seems to me, comes from a combination of having strong artistic talents and skills, AND, a good business sense. From what I have learned from the answers they gave to my questions, it would seem that is definitely the case. I hope you find the interview thought provoking and inspiring.

Was the business side of being working artists an obstacle, or was it welcomed?

In the beginning much of the creativity and fun of making a business was part of the whole experience. Making work and making the business went hand in hand as we not only made what we wanted to make but we learned what “the market” wanted. Keeping in mind we didn't know the first thing about jewelry or fashion we had to pay attention to what galleries could sell.

What do you wish you had known about running a business when you started?

In the first few years we overlooked filing a business license and paying business privilege taxes. That took some time to recover from as we had to pay interest and penalty on a large tax bill. Our accountant called it “magical thinking”; that is, running a business, but thinking that you’re not.

Was there anything that you resisted doing when you began, and when you finally did do it, you could have kicked yourself for waiting so long?

We resisted using other materials for a while. Many other jewelers recommended we incorporate metals into our work but it took us a while to take that leap. I would not change anything about that.

Do you sell both wholesale and retail? If so, what is the balance? Which do you prefer and why?

We sell both wholesale and retail but recently we are considering limiting our wholesale to just showing at our long-standing galleries. Retail is more satisfying financially and collectors really enjoy that transaction directly with the artist.

Do you sell on-line? If so, how? Have you seen a change in the role the internet plays in your business?

We sell very little online. We have found that one-of-a-kind wearables need to be experienced in person. Most of our online or “over the phone” sales are to people that are familiar with and have our work already. We are taking a closer look at how we may approach online sales in the future.

You have done some things that are “out of the box”. For instance, your booth design breaks all the rules. You have a panel covering most of the front of the booth, with a mannequin out front. What inspired a move like that, and did you have any concerns at first about how it would work? Have you ever seen anyone try to mimic this move?

Yes, our curved walls have shown up now and then in other booth designs. Booth design is a much overlooked part of how one represents their work. Artists will often “decorate” a booth with little attention to what it does to present the actual work. “decoration” can be very distracting and/or confusing. A booth is there to sell the work and not the artist. We are constantly thinking about booth design and pay close attention to public reaction to it. The first time we put work up on curved walls was a bold move that we decided to just plunge into. It was risky and scary and well worth taking that leap of faith. We thought of the outer wall as a kind of store front. Our work is not for everyone, and if someone is too timid to walk into our enclosure, then they may not be our customer. Once inside, buyers were surrounded with our work, standing on a padded carpet, offered a chair if they want one, and the chaos and distractions of the rest of the show was eliminated. “Out of the box” is really at the root of all creativity. Maybe even more so in today’s short attention span of “sound bites”

How much of your design process is influenced by the market? For instance, was the move to incorporate metal into your designs influenced by the market in any way?

Our work became more sculptural as we incorporated metal into work. We also shifted away from mass producing canes and into one of a kind work. The metal also helped us to tone down our color. And the obvious piece to that is that each object requires more work, uses precious metal and is more expensive.

How do you balance the business side of your business with multiple partners? Is one of you more drawn to, or comfortable with the business end?

Steve is better at being the business “front man” and takes more pleasure in handling that aspect of running the business. Every business decision is a complete collaboration.

Do you hire others to take care of aspects of the business for you? If so, how did you find the right people?

Maryanne Petrus-Gilbert does all of our metal work, leaving us to work with what we do best, the clay. Steve and I have always handled all business activities and still do.

What do you do yourself, but wish you could get someone else to do?

I think it would be worth considering someone to handle all shipping, billing etc. But even that is difficult to farm out with custom work going into most of what we ship.

Has the balance of time spent on business functions versus time in the studio shifted over time?

In the early days of our production line, we kept UPS busy. There is much less time these days putting together hundreds of boxes which used to cover every surface in the studio after a wholesale show. Other than that business functions still require the same attention as always.

Did you have anyone who played the role of mentor for you in how to be successful business people?

My father is my role model for successful risk taking in business but even he may have wondered what the heck I was doing in those first few years. Randy Darwall (fiber) and Chris Hentz (metals) also taught us a lot about shows, and business.

Has your business been affected by the downturn in the economy at all? If so, what are you doing differently in response to that?

We have noticed a decline in turnout at craft shows but our sales are not reflected in amounts of people as much as they are the right kind of buyer for our work. Everyone has their version of the right kind of client/collector for them and ours has not yet shown any slow down in purchasing comfort. Still, we are paying close attention to this issue and continually brainstorm on what we may need to do to shift as the economy shifts.

What is the best thing an artist can do to increase their chance of having a successful business?

Pay attention to what people like and what you like. If you are not doing what you like chances are potential collectors will sense that your work will not sustain you.

Tuesday, August 12, 2008

Another Reason to Find YOUR Voice

Once again, the issue of voice arises. What makes your work identifiably yours, and belonging to no one else? And why in the world is it such a big deal?

When you first start out, voice is hard to grasp, or develop. Technique takes center stage. But you know you are seeing it when you can look at a picture and immediately identify it as belong to a specific person. Or, your mouth drops open when you see something for the first time, and you gasp. Or you just feel compelled to touch. You can't stop the "oooohhh..." from floating out of your mouth.

Why am I bringing it up again? I was listening to the radio this morning in the car on the way to an appointment. The conversation was about our dependence on oil from other countries, and whether or not we could become energy independent. At one point in the discussion, a light bulb clicked on in my head. The guest on the program spoke about how oil is a commodity like iPod's, flowers, or rice. And people will buy a commodity based on price, availability and convenience.

The question that immediately popped into my head was, "Can craft be a commodity?" And, I am sure you know the answer, "Yes." Without a doubt. I instantly thought of the many, many jewelry artists I have seen making fused dichroic glass. At one time, there was a "wow" factor to it. But now, unless the artist has created a unique way of incorporating the glass into the piece of jewelry, there is no compulsion to buy from one artist versus another, unless it is based on price, convenience, or perhaps personal relationship.

The same can be said of so many other craft objects. If you go to enough craft shows, you will see many of the same things, again and again. But, at that same show, there will be a few artists that pull you in. They are doing something that is different and unique. As I write about this, I can think of several artists right off the top of my head whose work has that flavor. They range from ceramics to sculpture to jewelry. Their work stays in my head because it was so fresh and unique, and their style speaks to me on some level. I have to stop, and look and maybe even buy.

My daughter is beginning to dabble in photography. We have had lots of conversations lately about photographs, and one thing she has said repeatedly, is that a picture of a sunset is not art....unless you are somehow looking at it in a new and fresh way. We were at the New Hampshire Craftsman's Guild Show last week, and she saw some pictures of boats tied up to a dock. Four or five rowboats of various colors. You know the picture, I am sure. She loved it. I preferred the picture of the sole boat, white, tied to a buoy in a mist. Monochromatic, and definitely one with a mood. It was a twist on the boat picture. I pointed it out to her. She loved the one with all the colors. This was in the first tent we visited.

As we walked the show, she started to notice several other photographers with essentially the same picture. That image had become commoditized. Buying one versus another would likely be based more on price than on anything else. She now looked at that picture as just another sunset shot.

Is that why you want someone to buy your work? Because you have the best price on this object. An object that can be found in subtle variations, from multiple sources. I don't. I want them to buy it because the love it. Because if they don't buy it, it will stay in their head. They will wish they had it.

There are times that the commodity item fills the bill nicely. And there are plenty of successful businesses built on making and selling commodity type items. But, if you are going to be in that market, recognize the competition will be fierce, and you will always be squeezed on price. Your creative energy will likely be focused more on cost cutting than on design innovations. If the business side of things is what excites you the most, that might be just the right fit for you. If, on the other hand, it is the art, or creative side that makes you get out of bed in the morning, then avoiding be just another commodity is essential to your success.

We all have a voice. A unique set of experiences and inspirations. How does your work reflect the path of your life? Does it? If it doesn't, then perhaps it is time to spend some play time in the studio. Experimenting. Asking "What if?" When you find it, you will know. It will be singing to you loud and clear, asking, "Where have you been? I've been waiting for you!" And then, the party will really begin!

Tuesday, June 24, 2008

Digging a Hole with a Teaspoon

You have heard the expression of a death by a thousand cuts. This idea is similar. Digging a hole with a teaspoon is slow and you don't really see the progress you are making until suddenly you look up one day and wonder, "How did I get here?"

This is a lesson in not doing as I have done. Heed the warnings.

The problem is, you may, like me, not see how bad it is until the hole is much deeper than you intended. I am talking about pricing. Specifically underpricing. The biggest part of the trap for me, was the idea that "people won't pay more than $xx for this." And I let that idea guide my decisions for too long, even while seeing warning signs along the way.

Cranes. Of course. I seem to live and breath cranes. Cranes to sell. Crane to memorialize. And in this case, the intersection of the two was part of what made me wake up. Let me begin by saying I had increased my crane price three times in the last few years. The wholesale price had doubled over that time.

But....and this is a very big but....the product I am selling today is not the same product I was making and selling then. At first the surface design was fairly simple. And they were not sold in any special packaging, But, I added the packaging and informational inserts, and increased the price significantly. Sales took off. I was a happy camper.

Then, I started playing. I started to do more involved canework on the surface of the cranes here and there. And the customers loved it. "Send more of those ones with all the detailed patterns. Everyone loved them!" I would be pleased with the feedback, but also sigh a bit as I realized it would be more work. Soon that was nearly all I was selling. Meanwhile, the price had only gone up by about a dollar, but the labor was about fourfold more. Folding cranes for the Crane Project put into sharp focus for me just how long it was taking me to make these intricately patterned cranes. I saw what I had been trying to ignore.

Initially when I would ship the cranes across country, I could ship to California or Washington state, Priority Mail, for only about $6 or $7. I offered free shipping. I figured I could easily absorb that into the price structure. Last summer though, the Post Office revamped their price structure, and suddenly it was more than double that cost to ship across country. Ouch! This spring, the prices took another big jump. I had added a shipping surcharge to crane orders west of the Mississippi, but it was not going to be enough.

Then, the breakage started. I had shipped for two years with not one crane breaking. Now, changes in clay formulation have presented challenges. I have had to revamp my packaging, adding further costs. Not to mention the credits or re-shipments I had to make each time a broken crane was reported.

Can you feel my pain?

I had no room in my price structure for all of these problems to converge. But converge they did. With six more crane orders still to ship under the old price schedule, I knew I had to take action. It was time to begin to fill in the hole, and the teaspoon was not going to work. It was time to put things back in order quickly.

My prices have nearly doubled for the intricate cranes that everyone wants. If they want to pay the old prices, they will have to purchase the "Elemental cranes". Solid colors, to represent the five "elements", air, water, earth, fire, and metal. In between those prices I have cranes with crackled leaf.

I am now shipping FedEx Ground, at a much better rate. And I seemed to have solved the problem of breakage for now.

The reaction is unclear. But, in the end, I could not continue on the path I had been traveling.

Lessons, summarized:

1. If you add to your product, acknowledge that. It is a different product. Change the price. Rename it if you need to. Not all cranes were created equally, but I was pricing them as if they were. Some of you will be saying, of course. I would never do that. I hope you are right. But sometimes we do things that don't make sense, because they will be "easier".

2. Don't undervalue your labor. I was doing what I hate. I had gotten myself into a place that all I was doing was covering the costs of my materials and overhead, so I could make more cranes. Don't do that. It does not respect you. If you find yourself saying, "people won't pay...." Stop. If half the people will pay the new price, I will have the same dollar business, for half the work. I can definitely live with that. Too many people have also told me stories of raising prices, and losing their "high maintenance" customers. Another potential benefit.

3. Sometimes we need to re-evaluate suppliers. I had gotten comfortable with shipping my work by Priority Mail. I knew the drill. It was convenient. I didn't want to have to research alternatives. But in the end, I have a good service, for a much lower cost. And, my husband has a FedEx center right near where he works. I don't even have to leave home!

4. Things will change. At some point something you depended upon, and thought you knew will change. You will have to figure out a new way of doing things. I tried to avoid dealing with these issues for too long. I wanted them to go away. I did not have time. (Can you hear the two year-old tantrum welling up?) Once I decided on a plan of action, it was actually less stressful than trying to pretend the problem was not there, or that it would go away on it's own accord. It is not easy to own up to it, but I really did not want to have to deal with this. But being in business for yourself, there will be things that you have to do that you do not want to do. Unless you have employees, there is no one to delegate responsibility for these tasks. So buck up, and deal! And remind yourself how much you are happier doing what you are doing now...in spite of these kinds of stresses. And if you are not, then maybe a bigger change is in order......

Sunday, May 25, 2008

What Does Survival Mean to You?

The current economy has put many small business people, including artrepreneurs, in a survivor frame of mind. Some businesses have shut down. Those of us who are still in business want to survive, with the hopes of thriving when times are good. The e-mail lists that keep members up to date with funding and grant opportunities have been reflecting the hard times. Less money is available to support the arts. News reports tell us that people are spending more on energy and food, and paychecks are flat. It is any surprise that people are spending less on art and craft?

So, what does survival mean to you?

Does it mean hunkering down, and not spending a dime unless your life depends upon it? Does it mean looking for ways to cut down on your expenses? Are you doing more shows in the hopes of generating more income? Taking a second, or heaven forbid, a third job?

On one discussion board there is a lot of discussion about spending money on advertising. Should I or shouldn't I types of discussions. There is also regular discussions about how bad business is right now.

I find myself going against the grain in many respects. I don't know that I have this figured out for anyone but myself.....and I am not even so sure I have it figured out for myself, but I will share with you some of my thinking, and strategy. Rather than copying exactly what I am doing, I hope that it just provides you another way to think about your own business, and what is working or not working for you. How can you make it through this time, and do even better in the future?

1. Shows. Do more shows and you will make more money. The thinking is that even if you are making less money than you used to at a show, you will make up the difference in volume.

This could be dangerous thinking. It is the same type of logic used when someone claims they covered their "booth fee" at a show. Anyone who does a show knows there are many other expenses related to doing a show beyond the booth fee. Mileage would be right near the top these days, even for a fairly local show. An hour commute each way may not make sense at $4.00 per gallon. But then you may have a few hundred dollars for three or four nights in a hotel, plus meals. Did you have to pay extra for electricity? What other expenses do you have when you do a show? Flowers for your booth? Time out of your studio? Or at the very least, the cost of the goods you sell at the show.

Does it make sense to do more shows, if the bottom line is already very thin? Are the shows you are adding going to be better than the ones you already have on your schedule, or will they just make the bottom line even more strained? In the end, more shows may just mean more wear and tear on you, your work, and your displays, without doing anything to increase the bottom line.

My own strategy this year was to eliminate retail shows. It just was not profitable enough over all for me to continue to pour more money into doing retail shows. I have not completely ruled them out, but for now, there are none on my schedule. In spite of this, my sales are up a few percent, and my bottom line is significantly better than a year ago. If you are doing retail shows, recognize this is a tough economic climate, and it will not take much for a marginally acceptable show to move into financial drain.

2. Advertising. One strategy that many small businesses have in tough times is to cut back on the extras....like advertising. Artists in particular it seems, struggle with advertising dollars. It is hard to spend money on advertising when you are not seeing the direct and immediate result of your expenditure. When you do a show, you can immediately see if the investment paid off.
Advertising is much more slippery.

First, you have an endless pool of choices as to where you will advertise. You need to figure out where the best fit for your dollar lies. If you have not thought about who your customer is, and how to best reach them, you could be throwing good money down the drain.

Secondly, advertising is expense that has to be considered an investment. I am using business school jargon here to make a point. Let's dissect it. Expenses are things that you spend money on to keep the business running. They include materials, rent, show fees, jury fees, etc. Investments are often made for a longer time horizon. It is the money we spend on capital equipment, or assets we purchase for the long term growth of the company. That camera to take better photos of your work. The spot welder to make you more efficient welding jump rings. The new kiln that is more energy efficient. Even though advertising is classified as an expense when it comes to our taxes, we really need to think of it as an investment in the long term growth of our business.

The money I have spent over the last two and a half years on advertising has not been spent without a lot of angst. But, it seems to be making a difference. The orders are trickling in. I am not swamped, but I have had a steady stream of orders since the beginning of the year. Orders from ACRE are planned for delivery right into the fall. I know I will have income to take me through the summer, and into the busier fall months.

What if I cut off the advertising to save money? I suspect I would also cut off the flow of orders. Out of sight and out of mind. And when the economy got better and I decided to spend on advertising again, I would be rebuilding. Looking at it another way, if more people are cutting back now, any advertising I do in this environment will have greater impact because there is lesser competition for the eyes of the buyers. I will be the first to tell you this is a hard spent dollar, but I have also seen the fruits of the steady investment in a targeted advertising program.

3. New Work. I have beat this drum before. If you are not continually offering a fresh take on your work, then you may find that your sales will suffer. This does not mean complete reinvention, unless you are so inspired, but rather continual innovation. In terms of the toothpaste model, what is new and improved with your work? Nothing seems to capture the imagination of buyers of art and craft as much as the new. Something they have not seen or imagined before. Keep them surprised, and you will be more likely to keep them as customers.

I have also found, nothing keeps me as excited about my work and the direction it is taking as that continual exploration of the new. If I am excited about my work, buyers will be more likely to connect with me and my work.

4. Cutting costs. Yes, cutting costs is important. Where can you spend less? Are there shows that you would be better off not doing? Is there a more efficient and cost effective way to put together a catalog? Is there a way to find multiple uses for one marketing tool? This year I have started using my postcards as the color images for my catalogs. It gives me a high quality image, a lower overall cost, and more flexibility.

Are you being as efficient as possible in your energy use? Are you running partial loads in a kiln, or curing? Is your equipment energy efficient? If not, how much would it cost to upgrade, versus how much you would save?

Are you taking advantage of bulk discounts? Sometimes when money is tight we hesitate to buy anymore of an item than we need right now? What if you bought enough for six months to a year? How much would you save in quantity discounts?

5. Are you out looking for new customers? Are you waiting for customers to come to you? Or, are you doing everything you can to try and find a few new customers?

When you are doing a show, are you making sure you are reaching out to your mailing list before the show to maximize your chance of success? Have you followed up on leads? How do you stay in touch with your current buyers if you sell wholesale or through galleries? There are many options; phone calls, postcards, newsletters, perhaps a combination of these.

If you have come up with some new work, what are you doing to publicize that work? Press releases, submitting images to magazines related to your media, entering contests. Right now if you have more time than money, it is important to get creative about how to create some "free advertising" for your work.

These are just a few things that I have been considering as I try and navigate these difficult times. I have heard a few say that the problems are because of people saying times are bad. If the media wasn't reporting so much bad news, things would not be so bad. I would call this ostrich thinking. Others are so focused on the bad news they can't think straight. Burying themselves in the reality of the bad news.

Once again, I find myself trying to carve a path somewhere up the middle; recognizing the challenges, but trying to optimize my chances for success as I make my way forward. It means holding two opposite points realities simultaneously; the economy is bad, and we can succeed. It is almost like patting your head, and rubbing your belly. Difficult, but with practice, we get better at it.

Here is wishing you success in spite of.... In honor of the Phoenix landing on Mars successfully, imagine your business as the phoenix rising from the ashes of a tattered economy. Going against the tide.

Sunday, May 4, 2008

What Can You Do After A Bad Show?

Throw in the towel? Decide you were crazy to even think this could work?

Those are possibilities, but maybe not the best ones.

First, sit down with a pad of paper. Divide it into two columns. In one column, write down everything that went wrong. Everything you wished you could have a do over on. Everything that you felt 'in over your head' about. For instance, you did not cover your costs. The weather was horrible. You had work stolen. You heard people whispering about how high your prices were to their friend as they walked out of your booth. You were sick as a dog, and you had no choice but to do the show anyway. You forgot half your work, and your were hours from home. Your neighbor kept coming into your booth and complaining about everything. Your booth was in the worst spot in the world.

In the other column, write down everything that was positive about the show. The people who bought your work were in love with it. The weather was gorgeous. Your neighbor at the show was a gem. You made a connection for a possible new outlet for your work, or two other shows that might be a good fit for your work. You found out about a great display at a reasonable cost. Someone gave you a great idea for a new product to try and work on.

These are just a few of some of the good and bad things that have happened to me at shows....and a few fictional ones for kicks! No matter how bad a show has been, I have always walked away with a bit more knowledge or insight. Some of the insight came from what went wrong, and some was gained from a positive experience.

Without looking at the experience, good and bad, we are leaving the outcome of future shows to chance. The more we understand why something is working for us, or what needs to change, the more we can move towards the success we want.

If a show is bad, it is easy to blame the weather, the price of gas, or the promoter. But at every bad show I have had, other artists have done well. Actually, there was one show....I guess you could call it the exception that proves the rule, where no one did well. Many different things can contribute to bad sales at a show. A recent survey by the NAIA (National Association of Independent Artists) is a real Buyer's Beware wake up call for artists about trusting the reputation of a show before investigating further for yourself. Artists who had participated in the Coconut Grove show in Florida were surveyed and it was fascinating to see the effects of charging a gate fee, or inviting other "attractions" to a show can have on the artists' sales. The group also has a survey of the Artists' Landscape on the website, and it is a bleak one. Artists are aging and retiring. Collectors are no-shows at shows. They too are aging, and less interested in acquiring more "stuff".

Are we back to throwing in the towel? That might seem pretty attractive after reading either or both of these surveys.

I think rather than throw in the towel, it is important to look at your approach from the ground up, and start thinking about what is working, and what is not. Thus the list.

Look around at how people are buying luxury goods these days. After all, craft is a luxury good, isn't it? If the way you, your friends and associates, your neighbors, you or your spouses co-workers are indulging themselves, is at the mall, or on the internet, is it any wonder that sales are down at a craft show? If people are spending $25 in gas, $30 in admission fees, and another $15 to $20 on food at a show, is it any wonder that many in the middle class are feeling too pinched to spend another $50, or $250 to purchase a hand-crafted treasure? Is it any wonder that they might feel as if just looking is what is in their budget?

And yet, some people are selling. Some people are succeeding.

It is time for a critical eye on every aspect of what we do. Is our display the best it can be? Is our work priced right? Is this the right show for our work? Have we done anything new lately? Is there another, perhaps better, way to reach your customer? What have you done to add value to your work? This could be through building your reputation in your media, to packaging, to advertising, to adding context or story to your work.

Sitting in the corner of your booth, engrossed in a Sudoko puzzle is not the path to success. Go to a show as a customer. Walk the show and observe. Which booths draw you in? Why? Which artists make you want to buy from them? Why? Which booths do you walk right past without barely a glance? Why? Visit shops and galleries that carry handcrafted work and notice the same thing. What makes you enjoy the experience? Which work draws you in, and why? Is there any work that makes you say...if only they would do, "x", then that piece would be amazing! Now, think about your own work, your booth, your selling style. Where can you improve? What can you do differently? No matter how long you have been in business this type of exercise can be helpful to shake you out of your routine. It can help you see what else is drawing the eyeballs and dollars of your potential customers.

What if you do all that, and you still feel stuck? Then it might be time for outside help, paid consultant or artist friend. If your blindspots seem to be unmoveable, it might be worth the investment. But doing the work on your own first, will make any time spent with a consultant more effective. They will better be able to get a grasp on where you are struggling. The more efficiently you can help them get there with you, the faster they may help you find some solutions. And we all know, time is money.

The same old, same old, is not going to work.

What will you do differently at your next show? Or will you do shows anymore? Maybe your answer will be to find an entirely different route to reach your customers. We can't just wait out the bad economy. We have to work smarter. Things are changing, and what worked ten, twenty years ago, may not work for anyone anymore. It may be time to forge a new path.

Friday, March 28, 2008

Margaux Lange, Whimsy and brains

I am a big fan of Margaux Lange's work. She uses traditional metalsmithing techniques, with new materials to create fresh and vibrant jewelry with Barbie doll parts as the focal point. I found Margaux's work shortly after a neighbor's outrage over what her daughter and my daughter's had done to Barbie dolls. Let's just say, it started with haircuts. This was the perfect antidote to my neighbor's outrage at the plastic surgery that had taken place. What Margaus is doing with Barbie, is artistry. But, it also has the whimsy appropriate to the material.

Margaux has a blog that I visit from time to time, and I just caught up this morning. She has a terrific post on the New Wave artists at ACC. We had some discussion of these artists at the Synergy conference occurring upstairs, excited by the possibilities this represented for new media such as polymer clay. But I for one, was not aware of how much controversy and confusion the presense of these artists was generating on the floor, among both the new and the established artists.

I think it is instructive of the turmoil of transistion. And if you think that the craft business is not in transistion, think again. As I posted last night, things are in motion, and if you don't move along with it, you will be left behind.

Artists like Margaux are embracing, and making sites like Etsy work. She references an indie retail show that was a complete bust for her. In all of this she is not sure where she fits as a craft artist at times. But, frankly, I think many of us feel that way these days. How much of the new do we want to try out? And how much of the traditional ways of being in business work just fine?

I don't think there is any one answer. I do think we have to continual monitor, measure and experiment. Trying out the new, and checking in regularly to see of the old is still working as well as it used to. Promoters and galleries are in a similar position. If they keep doing what they did ten years ago, they will find themselves in a fight for survival.

And we need communication. Without it there is distrust and animosity. That is clear from Margaux's post. It will not be resolved quickly and easily, but a peace will be reached eventually, most likely from a cross-pollination of the old and new.

I hear people sometimes speak dismissively of Etsy as a place where there is too many artists with low price and poor workmanship. That is there. But there is also work that is beautifully crafted, and not the least bit inexpensive. It hasn't been an outlet that works for me, but I have found success with wholesalecrafts.com, a site that is has it's share of derision. Both sites require more time and money spent than just putting items up on a page to make them work to best advantage. But both offer ways to maximize the chance to succeed. Showcases and Treasuries on Etsy. Featured items and co-op ads with wholesalecrafts.com.

It is up to us to try and keep from feeling personally threatened by all the change that is going on around us. Change represents energy, and energy is what craft needs to stay alive and vital. When you feel yourself dismissing or criticizing some new faction in the world of craft, stop and ask yourself a few questions.

"Why is it bad?"

"How much do you really know about it?"

"Is there anyone involved whose work you respect?"

"What are they finding that you have not seen?"

The more conflict there is in the transistion, from either direction, the longer and more painful it will be. The more open exchange there is, the more chance there is for growth by all parties.

Things will always change. Are you open to change?

Thursday, March 27, 2008

Maybe, This Stuff Works...

Just about five years ago, I started down the path of playing with polymer clay, and not long after, learning everything I could about the business of being in craft. You might think that someone with an MBA, would not need to learn much. But I have never in my life presumed expertise. And, after working in so many industries in the past, I knew I would have to learn what made the business of craft tick.

What have I learned in the last five years? LOTS! Some things the hard way, some the traditional way. But I certainly know more now than I did then. I'll try to summarize a few of those lessons here,

1. Doing matters. In the end, without action, it is nothing. Talk truly is cheap. Acting takes guts and often funds. But without taking action of some sort, nothing happens. And even when things go wrong....there is always an opportunity to learn, or to gain experience. Nothing has ever been a complete waste of my time. A few things came close. But I never came close to making those mistakes again.

2. The most successful are those who are usually just plugging away. You seldom see them complaining about much. Not because they are successful, and have nothing to complain about. No. It seems to me, that more often it is because they see little is gained from the complaint.

Complaining about ignorant or irritating customers, wholesale or retail, seldom does much except allow you to spend more time in a time drain. Complaining about artists who rip off others seldom is a well-spring for creativity. Complaining about how lousy the market is does not help you find new customers.

The successful are not Pollyannas. If anything they are hyper-realists. They realize that the only thing that is going to get them closer to their goals, whatever they might be is themselves. And no amount of complaining ever moved anyone forward. Usually it keeps them firmly planted in place as the rest of the world moves forward.

3. Perfectionism can be a crutch. It can be a way to avoid trying. It can be an excuse for item number 1. Good enough really is good enough. Don't get me wrong, craftsmanship matters. But, there is a line. Cross that line and you will never have anything leave your studio, and you will never be able re-coupe your investment in time if you try to sell your work.

4. Craftsmanship develops best in volume. Make something over and over and over again, and you will learn it and understand it in ways that are not possible in the first, the fifth, or possibly even the 100th piece.

5. Pricing never ever gets easy. You just reach a point of peace. You know you are covering your costs. You know your work will sell at a price. You are not selling it faster than you can make it. An equilibrium of sorts is reached, but it never maintains itself indefinitely.

6. Packaging matters. The best work in the world is enhanced with good marketing support materials. Some sort of packaging that tells your story or presents the work to best advantage will nearly always help sell the work a bit better than without it.

7. Understanding your customer is essential. It will help you answer so many other questions about how to bring your product to market. What shows to do? Pricing. Packaging. Colors. Designs. Where to advertise or publicize.

8. Even in a good market some will fail. Likewise in a lousy market some will succeed. Our success is more often influenced by our own actions than by those of the general climate. Those things matter, but they are not the only factor.

9. The world keeps moving, and so should you. New designs. New markets. New ways of getting your work out into the market. The internet is going to play an integral role as we move forward. If you are reading this you probably already sense this, if not know it and live it. Stay still and you will be left behind.

10. Going it alone is lonely. I love time on my own. But I can't say I would ever have learned as much, or gone as far as I have so far without the company of others.....virtually or in person. That new person at the show that you have been doing for years may know just the web guru that you need. The craftsperson who seems to be able to set up his booth with his eyes closed, because he probably can....will probably have some good advice if you are willing to listen. Sharing your dreams with others may mean that when they see the opportunity that is perfect for you, you will find out. Be a friend and make a friend. Your business will benefit, and so will you.

The title? It seems as if I should be in a lull right now. The economy is faltering. I had a large order with a catalog company cancelled. And yet, I am working like crazy. Orders are coming in. Opportunities dropping in my lap.

Why? Luck, perhaps. But maybe because I am working to stay focused on these essentials. I don't know. But I do know that the more I do that is alignment with the things I profess here, the more success comes my way. I get it wrong, like anyone. But I allow myself the error, and move forward. I hope that you can do the same with your business, and that it brings you the same satisfaction and success. I am looking forward to the lessons that the next five years will bring.

Wednesday, March 19, 2008

The 1000 Fan Model....modified

I found out about the idea of 1000 Fans through the Polymer Clay Notes blog. She recently pointed her readers to The Technium blog of Kevin Kelly where he outlines the 1000 Fan approach to building a business.

What he points out, and I believe can be easily missed, is that the 1000 number is a bit arbitrary. It is a number that represents a goal or target. A number that can be imagined, counted, created. It is a concrete representation of what you want to work towards to build a business that allows you to make a living.

So how many True Fans do you need to make a living?? That depends to some degree upon your business model. How do you sell your work? Retail or wholesale? Either way, what is your average sale? About what proportion of your sales come from repeat customers? Finally, what level of income do you want to acheive?

Based on looking at this information, I now have a target goal for a total number of wholesale accounts. 100. (0r more!) What I like about this is it establishes a measurable goal. Right now, I have 40+ active accounts. So, if I can get to 70 to 80 active accounts by the end of this year, I will be moving a good way towards that goal.

I like the idea of having a number of accounts as a target. I have been dissatisfied with measuring my business solely by sales, or by profitability. Those numbers matter, don't get me wrong. But, in my head, target a specific number of new, active accounts feels more viable than aiming for a growth in sales dollars. And in today's economic decline, getting those accounts lined up now, could potentially postition me well for when things turn around. And they will turn around. They always do.

This model of a number of fans can work for retail as well as wholesale. It can work if you teach to generate income. How many loyal students do you want to have? How many collectors? The bottom line is to convert your goal for making a living with your work into a target number. And then get busy, and work towards that target!

Tuesday, March 18, 2008

Judy's Brain Bits

This charming little phrase came out of a conversation with my husband this weekend. I was telling him that I couldn' t possibly cram one more thing onto my to-do list, or activities. I was full, beyond full, with commitments. If he tried, my head would explode, and he would have little bits of grey matter scattered, all over the place to clean up.

To which he replied, "Judy's Brain Bits". Over much laughter, we decided it would make a great name for a rock band!

So, what is on that list threatening the integrity of my cranium?

Preparing for ACRE is near the top. I have been trying to design the "invisible booth". A booth that seems to magically disappoear...fading back so all that is apparent is the work. Instead of trying to Wow! anyone with my booth design prowess, in an obvious way, at least, I am trying to Wow! them with my work. So I have been planning displays, determining what to rent, what I need to buy, and how to ship things. I have been figuring out which pictures I want to use for oversized images. I thinnk I have settled on the ones below.






I have been working on that mailing list, and deciding on a special offer to put on the postcard. That has to go out by the end of the week.
I need to come up with a "starter set". A way for someone to easily order a starter collection of jewelry to carry in their shop or gallery.
I have decided I will be putting together a video of how to fold a crane from polymer clay, that I will put on YouTube. My reason? To solicit donations for The Crane Project. More to come on the video later. The project is plugging along, slower than I would like right at the moment, with a few setbacks, but when I have a few hours, I am in the studio, cranking out cranes. I have about 200 cranes produced, but I have also applied for one grant, and have another grant application that has to be submitted in the next few weeks. The last one is with the Artist Valentine grant program I had written about earlier.

The other grant was with a group called Creative Capital Foundation. They have a great approach that focuses on developing artists in ways that will make their investment more meaningful in the long run. They also ask the artists to donate back to the organization a portion of any income generated by the project they fund. Paying back, so that others can benefit in the future. I will find out in June if I proceed to the next phase for that grant application process.

I have been playing around with a few other design ideas, one can be seen above in the green shibori necklace, in the second row, on the left. I am calling it Shibori Fringe.

Several orders have had to go out, and I am behind on one.
I had a wonderful opportunity to go up to New Hampshire for an evening meeting of the New Hampshire Polymer Clay Guild one night last week. I have gotten to know quite a few members through regional retreats, or through visits to the League of New Hampshire Craftsman's Guild fair at Mt. Sunapee, each summer. So, it is always nice to revisit and reacquaint, as well as to meet a few new faces. The reason for my visit was a roundtable discussion about the business of craft. Kathleen Dustin was also a part of the meeting, so it was wonderful to hear some of her insights into the market, pricing, and her approach to selling her work.

The things that remain on that list, untouched...

Making sure I have all the samples I need for the show.

Finalizing my price list, and getting it printed.

Figuring out how I will ship my materials to Las Vegas for the show.

Putting together an up to date press kit for the show.

Application for a display space nearby for next year....perhaps for the cranes.

I am sure there are many other things I have neglected, but they will pop up and make an appearance in that challenged grey matter if they are essential. And sometimes I forget a few things I intended to do, but the world never ends, does it? Perhaps those things were meant to fall of the list.

Thursday, March 13, 2008

Deadlines

My daughter and I were having a conversation the other day about working. She told me she could never be an entrepreneur. She could not imagine working so hard. I love it when someone makes an observation like this. It makes me pause and step back from what I am doing everyday, and see it in a new light.

I do work a lot. Every day. All seven. Too many hours by most any standard. But, for the most part, no one is making me work so much. No one but my own drive and desire. We recently had someone here doing some work on our house, and I commented to him about the hours he worked. He did this as a second job. His weekends, and long evenings were spent in a second job. He quickly questioned my comment in light of my own behavior. He had observed my workaholic tendencies as he spent time in our house. Once again, I had to step back and look at things from another point of view.

As my daughter and I talked, what I began to realize is that the "work" part of what I do is often around deadlines or drudge work that needs to be done. That is the part that most feels like work. But it is only a fraction of the time I spend "working". In comparison, I probably spend less time per week in these tasks that feel like work, than my husband spends at his job in a week. Most of what I do, I enjoy tremendously and so, feel pulled to spend the time doing it.

As I juggle several deadlines in the coming weeks, I am feeling a bit more overwhelmed and under more stress than I normally do. As I work towards these deadlines, I wonder if this is where the line between doing this as work, or as an avocation may lie. As a job, deadlines are regularly popping up on the radar. Show applications. Dates to ship work. Submission deadlines. Deadlines for running an ad, or doing a mailing. With a deadline we can't always follow our muse into the studio. Sometimes we have to shift our focus to the task that must be completed.

But, deadlines may also serve a purpose. A reason to push a piece further. A reason to get the photos taken. A reason to create a body of work. Without deadlines, sometimes things will drift about, to and fro, perhaps never getting the final focus and push to move it to completion.

Are you able to follow your muse at will? If so, do you sometimes find that it is hard to maintain focus or commitment? Or do you find that other obligations are your biggest challenge? Does the idea of the commitment of deadlines keep you from moving from a passionate avocation to an artrepreneur? Are deadlines a spur to move, or a roadblock in your life?

Monday, March 10, 2008

Asking

Can you ask for what you need or want? I don’t mean ask in the hypothetical sense, but really ask.
When I met my husband, it was love at first sight. We hit it off immediately. Within six weeks, he made a hypothetical proposal. Not the most romantic proposition, but he clearly wanted to know where he stood before he took the risk of asking for real. “Hypothetically” he asked, ”if I was to ask you to marry me, what do you think you would say?” Finding out what someone is likely to say before you ask the question makes it much easier to decide if you want to take the plunge for real. If the answer looks iffy, it is safer to avoid asking for real.
So what does this have to do with being an Artrepreneur? Well, let’s say you get people to your booth at a show. Or you get a gallery interested in your work. Can you close the sale? Can you ask for the order, or, do they walk away saying they have to think about it? And as they walk away, are you left saying, “What did I do wrong? Why didn’t they place the order?”
First, ask this. Did I ask for the sale?
Or, did I find out what the obstacles are to placing a sale? Did I ask, “What else do you need to know about my work to make a decision? Is there any questions I can clear up for you?”
At this moment, you are asking them to move from being on the fence, to making a choice. You are giving them a chance to voice their objections, if they have any. They may have a few issues that remain in their head. But, given the chance to verbalize these objections, they may, given a bit more space to talk, continue to talk themselves right out of their objections, and right into an order. If they had been able to leave the booth first, to think about it, the next thing they think about might be the work they are considering by another artist. You and your work are out of sight, out of mind.
The response might be, “I just want to be able to think about it a bit more. I think I have all the information I need”. At this point, you could thank them, and ask them to be sure to contact you if they have any questions.
Or, is it possible to create a sense of urgency? “This product line has been doing very well. I just introduced it, and already it is selling very well. As I receive more orders, my lead times will get longer. I know you are excited about this work, and I would hate to see you have to wait an excessive amount of time to get it for yourself.” Then wait. They may still move on. But, this new piece of information might just be the thing that helps them make a decision.
Asking for the sale is difficult. It is like asking for a date, or for another’s hand in marriage. We are risking rejection. So, we need to feel a degree of confidence to do that easily and comfortably. If we feel unsure about our work, our prices, our ability to satisfy the expectations of a potential customer, those words may not be able to comfortably fall out of our mouth. We rationalize our hesitancy by saying we don’t want to be pushy.
If you read through these scenarios, and say to yourself, “I couldn’t do that.” Maybe, you need to stop and ask why? Why not? Is there something about your work that feels uncertain? What is it? And, what can you do about it? How can you feel more confident about the work that you are putting out there so that you can comfortably have this dialogue with a potential customer? Answering this question may be what is needed to help eliminate the roadblock to asking for the order.
If you still feel like you can’t do it, ask yourself this, “Could I sell someone else’s work?” Think of another artist whose work you admire. Could you sell that work? Could you comfortably tell someone what is wonderful and unique about their work, and why they would want to own a piece for themselves, or place an order for their gallery? If you can, then your ability to sell is not where the problem lies. You need to fall in love with your own work. You need to believe that someone would want own your work, or carry it in a gallery. When you get to that point, these scenarios will naturally happen.
If you believe in your work. If you know your prices are fair and reasonable. If you know the customer loves the work. If all of these things are true, there is no reason in the world that you should not ask for the sale. You can deliver a value to the customer in return for the money they are spending. But, if you do not ask, do not assume that having good work is enough. Sometimes it is, but sometimes, people want you to ask!

Sunday, March 2, 2008

Tedium Central

I am doing a task I have known I should do for a long time, but never quite got around to it. I am building a mailing list of galleries. With the ACRE show coming up, I want to do what I can to maximize my success at the show....and the return on the money spent doing the show!

When I first starting selling at retail shows, I began my mailing list with the names of friends and acquaintances. It is the classic place to begin when you are starting from scratch. Over time, I added to that list with people who would sign my mailing list book at a show, or buy work from me at a show. Over time I have built up a decent size list.

Putting together a mailing list for a wholesale show is in some ways easier, and in some ways more tedious. With the internet, there is a wealth of information at our fingertips. But it means spending time sorting through all that information to find the shops and galleries that appear to be the best fit for your work.

How do you begin?? If you have done some wholesale sales, you have a start. If you have had any one ask you if you sell wholesale, they go on the list. Over the last several years, this list has grown to just over 100 entries. I have used this list in the past for an e-mail newsletter, and for my postcard mailing before ACRE last year.

But, the economy is tougher now. Now is not the time to put off doing the things we know we need to do to grow our business. So, I have spent the last two days adding to that list, and it now approaches 300 entries. How?

1. Magazines. American Style. Crafts Report. Looking at ads and gallery profiles. Sometimes it is an ad for an artist's work that has a list of several galleries that carry their work. If the work is similar enough in style (contemporary vs. rustic, colorful, etc.) than I add those galleries or shops to my list.

2. Internet. This is a multi-webbed approach, much like the internet itself. I might start searching for a gallery with Google, to find a street address, and then see several artists whose names come up in the search, because they have their work in that gallery. If I recognize an artist as someone whose work I think would complement my own, I go to their website and see if they have a list of shops and galleries. This can be a gold mine of information.

The other approach on-line is to go to artist's websites directly and see where they list to purchase their work. Inevitably, I find myself bouncing between these approaches. I may get a list of galleries from one site, but then I need to fill in information about the mailing addresses, and it is back to Google. Before long, I am on another artist's website.

There is no guarantee that the gallery or shop is still in business, or that you can find a good address. There is no guarantee that they will be going to the ACRE show.

But.....it is a numbers game. The more people I get my work in front of, the more opportunities I will have to sell my work. If you want to think of it the other way, you have to get a certain number of rejections to get to the "yes!" This task could be building the number of "no's" to help find the "yes!"es.

Sometimes, when the economy is strong, and your work is in demand, you can coast along without doing all those things you know you should do, but never get around to. When the economy is slow, the most savvy will survive. And the savvy are working every opportunity they can to increase their chances of success.

The way I see it, I could spend this time whining about how crappy the economy is, and how so few people are buying craft......or.......I can get busy and find those people that are. This is not likely to be a stellar year for business overall. But even in the worst of times, some thrive. Sometimes it is because they are offering a product or service that is in greater demand when times are tough. Or, sometimes, it is because they put in that extra effort. They work to go against the flow, and build a strong business in spite of the economy. When the economy turns around, they already have momentum in their favor, and will likely be positioned for greater growth. That is where I want to position myself.

So I sit here at the computer. Googling. Sorting. Searching.

In the end, it will likely be time well spent.

Thursday, February 28, 2008

Owning Up

Sometimes we screw up. Even under the very best of intentions, things go wrong. But just like we learned back in grade school, owning up, taking responsibility, really is the best way to move through the problem, and then be able to move forward.

I wrote last year about how I was going to be working with a catalog company. I was excited by the possibility, but also a bit anxious about what that might entail as far as production, and would I be able to live up to my end of the bargain.

Doing the work to make sure that I would be able to meet the demand, helped me to look at my production process differently. I started to see that if I could make a dozen cranes at one time, all with the same pattern, it would actually be easier than trying to make a dozen different cranes. Thus began the idea of exclusive designs for each year.

As I began to prepare myself to fill orders for the catalog company, I anxiously awaited the initial order from them. The contract I signed stated I would need to ship cranes to them by early January. But it was mid-December before I got the order. The first order was for 54 cranes, and I began making them right away. I wanted to be sure I fulfilled my responsibility. The ship date had been moved to a later date, so I felt comfortable that I would be able to easily manage it and the orders I had at the time.

Less than two weeks before I was supposed to ship this first order, on a Friday afternoon, after 4 p.m. I got a call from the catalog company. They wanted to cancel the purchase order. No reason was given. No sense of whether or not there would be a future order. Just a call saying the purchase order was cancelled. By this time I had made and boxed up nearly 40 cranes. All done in a design that was exclusive to them. I was so surprised by this I had little to no response, and there were no real answers to the few questions I stammered out.

Now what?

Fortunately, I have a resident contracts expert in my husband. He helped me draft a letter requesting payment for the cranes I had made for them. According to contracts law, I was due compensation for the cranes I made for them, against their purchase order. He even went so far as to tell me that I should ship them out on the date they were originally scheduled to ship. This is where I took my own counsel and decided a crane in the hand is better than no cranes, and no check.

Today I spoke with the catalog company. The woman I had been working with owned up. She told me they were going through a difficult financial period. They had readjusted the products they were carrying. They were struggling to pay their existing vendors. (My instinct about holding onto those cranes was the right one!) They were not prepared to compensate me for the cranes I had already made for them.

It was easy for me to be gracious, and ask for a compromise in return. She had been honest with me, and so I knew where I stood. I asked that we cancel the contract, and that I be released from having the design held exclusively for them. It was as close to a win-win as we were going to get in the situation. She was happy to accomodate me, and there were no angry words or accusations.

It could have been nasty, and vindictive. I read about such exchanges from time to time on the discussion forums. I could have stood up for "my rights". But all that would have happened is that I would have spewed a lot of frustration and anger. I asked them to compensate me, and meet their obligations. She was honest, and told me where they stood. I had a fall back position, and I was happy to go there. I could easily do business with them again.....not sure if I want to!......but should she end up somewhere else down the round, I have not burned a bridge, and I know she is someone I can trust. And she knows that I can behave professionally.

We sometimes focus all our energy on our reputation for the quality of work we produce. But the reputation we develop as a business person is also important. How are you to work with? Do you meet your obligations? If you can't, do you own up, or leave people hanging? It is never easy to let people down. But to do it in a responsible way is always better than to quietly slink away hoping the problem will go away. It won't. And your reputation will suffer.

It really is as simple as the lessons we learn in grade school. Be honest. Don't make promises you can't keep. And if you do, own up.

Wednesday, February 13, 2008

A Chance to Vote for American Craft

George W. Bush has apparently signed the bill that will send tax rebate checks out to most Americans in the coming months, with the intent of stimulating the economy. The checks will vary in amount, from $300 to well over $1000. Since this idea came up, there has been much discussion in the media about how people will spend this money, and whether or not it will benefit the economy. There has been people concerned that it will go to purchasing electronic equipment that is made overseas, and the money will quickly leave our economy.


I have a suggestion. Take a pledge. A pledge to buy American Craft.
With at least some portion of your rebate, buy something made by hand, by an American artist. I am not normally one for jingoism. But, I can't imagine anything that could do more to get the money into the economy that will have so many benefits. Small business, the artist who works alone, or with a small number of employees, will be a direct beneficiary. That money will go right back into circulation, in our economy, probably to purchase more supplies, or services to support their business. You will bring a bit of beauty into your life, and you will be a patron of the arts! You don't have to make donations of millions of dollars so that a wing can be added to a museum to be a patron of the arts. All it really takes is buying the work of artists. Large or small, it all adds up, and begins to make for viable careers.



Do I have a personal interest in seeing this happen? Maybe. But I feel like I am part of a community of talented people who make the world a little more beautiful with the work they do. But, they face an uphill battle to stay in business. I want to see them succeed. If I didn't, I wouldn't write this blog. My motivation is to see the world be a bit more beautiful. To be surrounded by more art, wherever I go. And if it means asking people to make a pledge to buy some art with their rebate, I am willing to do that!
Take the pledge.

Copy one or more of these images, and add it to your blog, or your website. Print it out as labels, and put it on postcards, or envelopes, or wherever you can use it to remind someone that they have the power to take an act in favor of beauty. Let's make this a contagion on the internet., and beyond. Around the holidays, there was the Pledge to Buy Handmade. Let's build on that idea. We can make a difference in the world. And it starts with our actions. Act on behalf of beauty. Put aside the whole check if you can, or a portion of it you can manage, and buy American Craft. And if you have enough "stuff" in your life, perhaps someone you know would be cheered by a handcrafted gift.
Does the world need more plasma TV's, or more art? You have a choice. You can make a difference.