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56
On the Cards
by Laura Cruickshank
Listed under: Trend Report
Published: Friday, December 08, 2006
Rod Paskey, at LP Creative, looks ahead to card making trends
Many have noted that 2006 has been a hard year for retailers, what with the good summer weather and the difficult retail climate in general. “We are well aware that many of our customers have been finding it difficult to maintain sales volume at previous levels, and we are of course sympathetic to their problems,” says Rod Paskey, managing director of LP Creative. As a result, the company has spent considerable time and effort consolidating its reputation within the market place. “We are known for constant product innovation and excellent quality, great packaging and backed up by fast, efficient service and deliveries. Our philosophy is to always look to the future and we have a host of new products in the pipeline for 2007.”

In terms of an overview on the trends in the industry, Rod considers that card making is retaining its strong position. “We have certainly noticed an uplift over the year. There does seem to be a genuine feeling amongst the public that it is good to give both cards and gifts that have more personal thought and individual input behind them. So a wider range of people appear to be ‘making’, rather than just going out and buying!” In line with this, LP creative has noticed strong sales in the Stiki Stuff range, including glue pens, motifs, borders and metallic and holographic foils.

Eager to learn
There has also been a move towards education, as crafters are increasingly wanting to learn new and techniques, with tutorial based DVDs being extremely popular. “These products allow crafters of all standards to try their hand at several different creative card making projects – some easy and others a bit more demanding,” Rod says.

Rod feels retailers are getting the message that display is everything. “Many are taking advantage of the ‘pulling power’ of well-designed packaging, making sure ranges of products are displayed together properly - grouping to give more impact,” he explains. It’s also important for the smaller shops to take advantage of the shop window. “Keep the displays fresh, seasonal and even topical. Bigger outlets can create similar displays actually within their shops,” Rod adds.

Looking to the future, Rod believes the industry will continue to grow. “The proliferation of really good specialist magazines and websites, appealing to all standards and ages interested in craft, means that the market is continuing to open up. More people, in more families, are definitely becoming involved in making things for themselves and others,” he adds. “This means burgeoning growth for craft retailers in the children’s market, and also - at the other end of the scale - in more intricate items for those who are becoming more experienced in their droves - including stylish, hand-crafted papers, exotic foils and colourful and exciting embellishments and motifs.”

As a small recently established craft shop (18 months)  I am reasonably happy with the gradual build of my business.  Of course I have no prior figures to compare so, may have suffered the same decline as others without realising.  I understand the need to keep up to date with the trends and spend a lot of time doing so, and have built up a very good customer base attracting customers from many miles around.

At the start of my business venture LP Creative was my second contact with Craft Suppliers(first being Design Objectives who I quickly decided I should not like to deal with).  I found your representative very helpful and your products of good quality, with eye catching packaging so I placed a small order.  I subsequently found after visiting other medium size local businesses (approx half a dozen shops) and national retailers e.g Wilkinson to name one were able to offer your goods at a third off the price I could i.e I was selling your 3d emblishments rrp £2.99 and finding them for sale at £1.99 in the above mentioned stores (your eye catching packaging makes them stand out so people take note which at first I thought would be a benefit). If I were a customer who noticed this price difference I would assume the independent was expensive and stick to the nationals (who wouldn’t?).

Incidently I took the decision not to stock your products as I cannot sell them competitively.

Naively my question is do you offer deals to organisations who buy in large quanities (and if so why would you want to disrupt the craft economy so?)or are their margins a lot less than ours? Also what is your advice to small retailers like myself who offer a good personal service and teach people craft techniques as you mentioned above,  HOW CAN WE COMPETE?

A respomse would be much appreciated

Anne

Posted by: Anne on 09/12/06 at 05:43 AM

very good point, to all manufactures, distributors that are now selling to high street ‘National retailers’ !!! and a growing number also selling direct to the public in one way or another,including more and more appearing to sell direct to the public at Retail Craft shows,in direct competition to retailers they have sold their products to. This is not helping the smaller independant retailers to grow.  I for one would avoid suppliers I found to be doing any of the above and while short term they may not care, long term when the interest has gone from the major high street names who will the suppliers then want to supply - Yes the smaller indepedants.  Our company for one will support the smaller independants and will not ever consider approaching or selling to the high street stores. We find out customers are staying loyal with our attitude towards us caring about them and their future business.

T

Posted by: tinat on 12/12/06 at 04:09 AM

This is the same discussion that goes on endlessly!
I have decided to simply cut down on the ranges of craft products that I keep in stock - concentrating on Stamping and Parchment Craft which are both well established Crafts.
If in the future there is a bigger footfall through my shop, and people who want to buy different products then I will try to sell them, however at the moment, even at half price (which means that I am making a loss!) I am still not getting enough people through the front door to make it economically viable to stock a huge range.
I am lucky in that I have other products (Art materials and Stationery) that people do want.
This is also about the development of out of town shopping centres, and the fact that the supermarkets are also selling “our” products, which affects how many people use (or don’t use!) their local town centres.
Barbara

Posted by: barbarae on 22/12/06 at 05:10 PM

Yes i was the same as anne i got loads of goods from this company only to find that wilkos had them a lot cheaper than i was selling them, it did not look very proffesional of me when my customers were coming into my shop and telling me what price they had bought the same goods for they all looked at me as if to say i was ripping them off.  Some people even stayed away from my shop for a while and i would to if i thought someone was charging silly prices for there goods. I have actually reduced all the lot to only 1.00 today ready for my jan sale it has been on my shelves for to long now so now i am out of pocket.  I think this company should be made to pick up all this stuff from retailers that they have flogged it to and sell it all to there favorites like wilkos because that is how i see it but it should be the same prices for everyone. Like Anne i no longer deal with this company i think they should be careful in the future as there as so many more companies to deal with now you cannot afford to go upsetting anyone.
Michelle

Posted by: michelle on 24/12/06 at 12:52 AM

I too have suffered the same fate, buying lots of TOP SELLING products from this company, only to find like you say bigger stores getting in on the act and selling the products at what price i buy them at ,its disgusting and i too will not be dealing with this company again, they dont deserve our custom.
lesley

Posted by: lilly on 06/01/07 at 02:42 AM

I do not deal with the said company that is being discussed at the moment.
But I would like to make a comment, regarding my particular craft shop. 2006 has been a depressing year for myself, what with the World Cup, extremely hot weather, craft channels (quite a few of the companies that I deal with on a wholesale basis sell them on these channels to the general public for less than I can sell them at. What hope is there for us small craft businesses? What chance do we have to do business (this is my 4th year in business by the way).
I have workshops every week, some of my customers do discuss in these workshops ‘What bargin they have got from whatever shopping channel’ and the quantity too and of course what price they had paid and what a bargin it was! I cannot quite often buy it for these prices and I do say this to them. I could scream. I do try to point out the P & P cost. Only this morning they were discussing between themselves what order they had received from ‘Lakeland Plastics’.
Maybe people don’t think what they say. People come into my shop and “I have bought this on ebay, can you show me how to use it”!! 9 times out of 10 I stock these items WHAT DO YOU SAY. I say you will have to come to a class.
Is it me, or did I have the wrong attitude in 2006.
Just one other comment I do have some very loyal customers who come to my workshops every week, bless their hearts. They kept me going in 2006.

Posted by Pam on 6 Jan at 21.47

Posted by: blew200 on 07/01/07 at 04:49 AM

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