Is your business ready for an online company store? 

I have to admit, online company stores are my favorite part of what I do.  I am thrilled when I have an inquiry from a new potential client who found us online and wants to explore an online company store with us.   That first call is always exciting!  I do my best to understand where they are in the process and how I can be of assistance with their goals.  I would love to start by telling them with all the great things our platforms and services can provide, but it’s a slow process.  Before I start hitting them with cool functionality features and inventory sales tactics, there are a few major questions that must be addressed first.

Do you currently have an online company store program in place?  Ding-ding-ding!  This is a big one.  The answer to this question helps me understand how seasoned the client is in this arena.  Whether an online store is new to the client or they have one in place and are simply shopping new vendors helps me decide how the remainder of the conversation should flow.  If the client already has a store and is simply shopping around, it then becomes my responsibility to explain why EMB would make a great partner and within days I am in quote mode.   If there is no online store currently in place, the discovery conversation and questions can span over days (sometimes weeks!)  until we get to the quoting stage. 

Do you have a budget?  Second biggest question here.  Whether or not there is a budget in place is an easy indicator of just how serious the inquiry is.  It is possible to have no budget in place and still be serious about the online company store, but if your company is not willing to commit at least $3,000-5,000 in start-up costs & inventory, you may run into some issues.  Interested in learning more about pros and cons of inventory?  Check out my recent blog here.

Are your promotional and apparel product buying initiatives being handled across multiple departments?  If the answer to this one is yes, chances are your company could strongly benefit from an online company store.  The centralized purchasing that occurs with an online store will reduce overall costs and sourcing time.  I am typically contacted by one member of a Human Resources, Marketing or Purchasing department and within a few weeks I’m talking to representatives from all three.  It just makes sense to put all of the products that are being purchased into one central location to save the company two of their most powerful resources – time and money.

Let’s face it.  It takes A LOT of blood, sweat and tears to effectively manage a robust online company store.  Who knew there were so many decisions to make?  Well…we did!  It all starts by knowing what questions to ask.  Is an online company store right for your business?  Maybe…maybe not.  Contact us today for your free consultation!

Whether you are a seasoned company store pro or a newbie digging for answers, this question is usually at the top of your mind all the time.  It certainly is the question I get asked most often when consulting with current and potential clients on their online webstores.  While I would love to scream “INVENTORY!” each time this issue comes up, I know there are many factors involved as to why a company may or may not be interested in committing to inventory upfront.

Let’s face it; the economy is still rough.  Does it seem to be getting better?  That depends on who you ask and what industry they are in.  And at EMB we are painfully aware that when budgets get cut, the items we provide are usually the first to go.  Fortunately, business has been good enough to keep the embroidery machines running (perhaps that’s just a perk of in-house, cost effective operations?).  Back to my point…many companies know they need a company store but they don’t have the staff or the funds internally to manage it.  I know this too, which is why we never require any client to keep inventory if they have a webstore with us.  But, before both parties sign on the dotted line, shake hands and say “I do”, it is necessary I review the PROS and CONS of both.

Let’s start with the CONS.  It’s quite obvious that the biggest con to webstore inventory is the upfront cost.  How will I know it will move?  What if I am stuck with this same inventory 6 months from now? Corporate is giving me no money to make this happen, so I could I possibly have inventory?  All of these are great questions and real examples of the issues my clients are facing today.  First of all, a true company store partner and consultant will find ways to make your inventory move.  After all, isn’t this why you hire them?  Quarterly reviews, Google Analytics, employee questionnaires, promotional sales and email marketing communications are all tactics I use to ensure the inventory and cash are flowing in and out of your store at a rate you approve of (and earn you a congratulatory pat-on-the-back from upper management!).  Often my clients think they need to invest tens of thousands in inventory upfront and that couldn’t be farther from the truth.  You’d be amazed by how much inventory $4500 can get you.  The key is to pick a few standard favorites and buy in bulk.

Now, to the PROS.  This might come as a surprise, but without inventory, the lead time on a single decorated garment can be anywhere from 2-5 weeks.  Ouch.  If you don’t think the employees at your company won’t mind waiting that long, think again.  Even though you may plaster the 2-5 week lead time all over your webstore, most people won’t read or pay attention to it.  So, as the days turn into weeks, they become more agitated and are not afraid to tell co-workers how bad the lead time…ahem…sucks.  The negative verbal reviews of your store can have catastrophic effects on your potential to make future sales.  The average lead time on inventoried product is 24-48 hours, plus applicable shipping time.  This is more in line with what employees are expecting from the company webstore you set up and they will proudly show off their new garment or promotional product to others…thus prompting more sales. 

Besides lead time, the other biggest PRO of inventorying product is price.  The distribution world that EMB and every other distributor operate in is driven by bulk purchases.  The more you buy, the more you save.  To clarify this a little more, here is a good example:  A Nike golf polo your sales team and executives have their eye on retails at $64.  Without inventory, you won’t be able to put that item on your webstore for much less than that price.  But, if you purchase a mere 48 pieces (6 small, 12 medium, 12 large, 12 x-large and 6 xx-large) you can offer that polo at a savings of 15-20%.  Imagine how much faster that Nike polo will move when the employee (who is usually spending their own hard-earned cash) knows they are getting a good deal on it?  Actually, most promotional products require minimum purchases so you won’t get mugs, pens, bags etc on your webstore without purchasing anywhere between 12 and 50 upfront.

So there you have it, the most basic PROS and CONS of webstore inventory.   No matter which way your company situation forces you to go, make sure you chose the right partner to help you effectively manage it all.

I’m right in the middle of planning the exhibitor uniforms order for our biggest trade show.  Papers are stacked on my desk, the computer screen shows the data from last year and I finally shut my door so no one stops in to ask how I’m doing.

I forget to forward the phone to voice mail and of course it rings.  Without taking my eyes off the reports I answer “Susan Bergman”. 

“Oh hello Susan!!  This is Denise from All Pens All The Time!!  How are you!!  I was wondering if you had time to sign that order so we can make sure you have enough pens for this quarter!!”

Looking back I should have been nicer but this industry is flooded with commissioned sales reps who want nothing more than to get your signed order so they can move onto the next sale and meet their monthly pen quota.

Even banks don’t get extra loyalty from pens.  People only notice when there aren’t any and then they’re miffed.  Nobody ever joined a bank because of them.  Every other business has the same issue.  A necessary evil and who gets excited about that?

This type of relationship isn’t valuable to you, your business or your brand.   You need a partner that wants to spend time learning about YOUR business before asking for an order.  Otherwise they’re just Denise looking for repeat business to help themselves. 

Now that you know what to look for when searching for your promotional and outfitting products, ahem, brand positioning service partner, you can easily cut through the noise. 

You almost never hear this as a best practice. 

A true partner and a true professional in the world of corporate online store operations helps you control your business’ buying cycle.

Christmas, golf season, breast cancer awareness month and driver appreciation week…these are just a few examples of cyclical buying times.  And I’m talking months here not weeks or heaven forbid days. 

When I was on the online store side I expected quarterly meetings with my suppliers to make sure we were prepared for every planned event.  Eventually I weeded out the ones who waited for me to call before they jumped into action.

Setting up these quarterly meetings is something EMB does as a matter of course with clients and more often if necessary.  It’s not about the sale.  It’s about making sure you have what you need when you need it. 

Save a nickel spend a dime.  If it sounds too good to be true it probably is.  You get what you pay for.

I believe in competition.  It drives innovation and it keeps companies honest.  One of the few disappointing things about being on the vendor side of online company stores is the dismal reputation of our industry.  It is notorious for pricing games and “me too” knock-offs.  Vendors are even setting up and managing online stores almost for free.  Almost for free.  The hidden costs within the garments is where they make their money.  And let’s be honest, they have to make money.  No one is in business for free.  But think about it…would you rather sell the product in your webstore at a lower cost (which will ultimately lead to higher sales) or pay no managing costs and run the risk of stagnant inventory?

When it comes to all branded apparel and promotional products purchasing, in general, you are the one responsible for keeping your brand and reputation in mind when selecting vendors.  Ask these three key questions when you’re looking around:

• Do they know where to find the well made products that meet your needs?
• Do they have relationships with those merchandise suppliers?
• Can they get the high-end products at a price you can live with?

We’ve been doing this a long time and have a solid reputation with vendors that supply high end merchandise at the fair prices we’ve negotiated.   I know it’s easy to be distracted by low prices.  But if you do a little homework you will quickly discover if you’ve struck gold or just plastic coins spray painted in gold.