By Ron Cooper
Director of Sales and Marketing
Profit Management Promotions
Taking Credit With Creditors. Conducting a high-impact no longer means your store is headed for Chapter 11. In Taking Credit With Creditors. Conducting a high-impact no longer means your store is headed for Chapter 11. In fact, furniture store owners that organize sales promotions for strategic reasons are actually writing a new chapter for their long term growth plans!
Historically, creditors viewed a sales promotion event as a worrisome development. That’s because they immediately perceived it as a pre-cursor to bankruptcy or an indicator of dire financial problems. Times have changed. The fact that sales promotions are now being used to spark a store’s growth – or to lay the groundwork for other strategic repositioning or rebranding programs – means that your financial partners will be encouraged to see that you’re doing something substantive to improve your market standing.
Remember, though, that communication is key. Don’t wait for a creditor to hear about your sale from the advertisements announcing its launch. Be proactive by communicating with your financial partners early on. Explain the strategic rationale for the sales promotion program. And map out the expected results from a financial, operational and marketing standpoint. Perhaps most important, keep creditors posted on the progress of your promotion. If you communicate with them in the right way at the right time(s), they’ll be your biggest backers. Now and in the future.
Today’s take-away: Make sure your lenders and other financial advisors are the first ones to learn about your plans for conducting a high-impact sale. Explain the “why,” the “when” and the “what” (e.g., expected outcomes); communicate with creditors in a way that shows they’re valuable business partners.
Ron Cooper is director of sales and marketing for Profit Management Promotions – one of the nation’s leading sales promotion firms serving the home furnishings industry. Established in 1985, the company is headquartered in Jamison, Pennsylvania, and maintains regional offices in New York, New Jersey, and North Carolina. Questions about high impact promotions can be sent to Ron at firstname.lastname@example.org.
Furniture World is the oldest, continuously published trade publication in the United States. It is published for the benefit of furniture retail executives. Print circulation of 20,000 is directed primarily to furniture retailers in the US and Canada. In 1970, the magazine established and endowed the Bernice Bienenstock Furniture Library (www.furniturelibrary.com) in High Point, NC, now a public foundation containing more than 5,000 books on furniture and design dating from 1620. For more information contact email@example.com.