http://www.craftbusiness.com/site/ en golnaz.alibagi@aceville.co.uk Copyright 2008 2008-07-02T07:51:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/behind_the_stats/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/behind_the_stats/#When:06:51:00Z Richard Dodd on why May retail sales are not all they seem The Cause “Retail sales were particularly poor during March and April this year,” he explains. “However, at the start of May, the sun suddenly came out and many of the customers who hadn't been interested in buying summer items, such as food and drink, felt compelled to make the most of the warm weather and do some shopping. The boost in sales came as a result of the good weather and it certainly does not indicate any fundamental changes in how well-off customers are or how confident they feel about spending. Shoppers are still very short on spare cash due to rising costs. The Facts “The ONS figures are significantly higher than our figures and also those of many retailers we have spoken to. This is because their results only counted a proportion of the responses they had collected from retailers. In fact, the statistics they released were based on the 60% of responses they had received at that point in time. Of course, they will revise these figures later when they receive the rest of the data and the original statistics they published may well go down. The Effects “Over the next few months, it remains to be seen whether the boost in sales during May is sustainable. I think it highly unlikely that we will see such a significant growth again because the arrival of summer, and the customers' response to it, is ultimately a one-off effect for the year. Even if the good weather continues it will not give shoppers the same boost again because they are still short of cash. Sales in May were prompted by the fact that the weather marked the clear start of the summer, customers responded to that by buying things in reponse. However the buzz has now worn off, and what lies ahead has yet to be seen.” Interviews 2008-07-02T06:51:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/testing_moral_fibre/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/testing_moral_fibre/#When:10:10:00Z How a new certification scheme helps you stay ethicalWhat is Made in Green all about? It was started by the Spanish textile Institute ITEX which decided to roll it out across Europe. It brings together a whole package of testing – firstly each supplier has to have certification for the products to show that they don't contain anything harmful. There's a whole range of chemical nasties used in the textile industry, some of which are banned, so the first part of the process is establishing that the textile is safe. The second part involves the manufacturing process itself – to achieve certification manufacturers have to show they have worked to minimise the environmental impact of the process, the emissions for example. The third part looks at social responsibility. Companies have to follow a recognised social responsibility programme so that the workers' rights are protected. By bringing all these strains together it's possible to research everything about the origins of the product which makes it easier to assess whether there are any problems. Are these problems getting worse or required standards getting higher? I think it's about awareness. Other countries in Europe, Germany for example, may be more aware of these sorts of issues; there tends to be more of a 'green lobby' in those countries. In the UK we've often been behind but I think people are coming round to considering these issues. However you've got to get over that barrier of cost. However you package it, people are attracted to low-cost items. You can of course get problems with higher-cost items but there's always a question with cheap items as to whether or not they've been produced and tested in a correct fashion. Are more natural fibres safer than manmade? You can have problems natural or synthetic. Cotton, for example, can have finishes containing metals because they are used in a few different die-stuffs. There could also be preservatives on the fabric. Other problems, though rare , with cottons is that they have traces of formaldehyde which is used as a finishing agent. Synthetics, particularly polyesters, might use allergenic dyes which can cause skin irritation. What can retailers do to seek reassurance about their suppliers? In terms of dangerous substances on textiles, buttons, zips and sequins, Oeko-Tex – which certifies the safety of products for Made in Green – has a list on its website of certified companies. Retailers can log on, look for a particular product from any given continent and the site will provide details of companies that are certified in that area. For more information visit http://www.madeingreen.com and select the English language option One Voice 2008-07-01T10:10:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/bbc_searches_for_family_business/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/bbc_searches_for_family_business/#When:12:40:00Z The BBC is appealing to craft businesses with a strong family feel to come forward for a new programme it has planned. Research suggests that two thirds of UK industry is made up of family businesses, a trend strongly represented in the independent retail sector and wider craft trade. However, whilst 70% of business stayed in the family 25 years ago, today fewer than 13% survive beyond the second generation. Now production company Twofour Broadcast, acting on behalf of the BBC, is looking for family-run businesses facing the dilemma of who will take over the reins to participate in Keep it in the Family, a new programme that will see business owners' offspring given a brief apprenticeship before taking the helm for two weeks. Programme makers believe that involvement in the show will provide small businesses with the perfect opportunity to take a fresh look at the future of the family firm. For more information, or to apply, call the Keep it in the Family team on 01752 727 400 or email keepitinthefamily@twofour.co.uk Top Story 2008-06-30T12:40:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/make_mine_a_cocktail/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/make_mine_a_cocktail/#When:09:32:00Z Why small hats are big news for the industryLess was definitely more at Ascot this year, with fascinators proving to be the most popular head gear of the week. Celebrities including Sarah Jessica Parker, Carla Bruni and Zara Phillips have recently propelled the trend into the limelight by appearing in public wearing smaller hats. Additionally, John Lewis recently announced a 22% increase in fascinator sales for the half year, confirming that small is definitely the new black in the hat world. “Its astonishing how much things have changed over the past year or so,” explains Jane Taylor, hat designer for http://www.janetaylormillinery.com. “Two years ago, everyone was wearing big brimmed hats, and now customers are more interested in little cocktail hats and fascinators. Fashions are very much dictated by the most popular celebrities of the day. A few years ago big hats were the craze. This was due to the fact that many customers wanted to replicate the head gear Camilla Parker Bowles wore for her wedding. Now, with the success of the Sex and the City movie, little cocktail hats and fascinators are all the rage. A customer approached me the week after Sarah Jessica Parker was in the papers, asking me to make an identical version for her! “I think cocktail hats are going to become an even bigger craze next year, as more people catch on to the trend. Consumers are increasingly seeking hand-made hats nowadays, which is great. Many of the items in shops at the moment are very similar and people want to express their individuality. Hats are definitely making a big comeback, its definitely a trend to watch!” Trend Report 2008-06-30T09:32:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/all_for_one/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/all_for_one/#When:07:14:00Z Becks Fagg on why two heads are better than oneThe phrase 'two heads are better than one' extends beyond the traditional brainstorming for creativity. As a craft retailer in a challenging trade climate, adopting an outward focus can help weather the uncertain storm of consumer spend. A case in point is the US trend of ‘Shop Hops’. The theory is that a retailer identifies its competitors which are geographically close, and they team up to promote a multi-day event where they navigate consumers from shop to shop – hosting demonstrations, workshops and giveaways. Invitations also go out to complementary local businesses (including restaurants, etc.) to offer the influx of consumer traffic special deals to eat local. Coupons and vouchers are a huge incentive for hungry shoppers. It has proven successful for participating retailers, bucking the trend of NOT working cooperatively with competing retailers. The reasoning behind its effectiveness is that pooling resources creates a much more exciting and attractive proposition for the consumer. By creating a reason to leave cyber shopping behind, bricks and mortar offers a personal 'hands on' experience that brings people together (which social crafters are naturally drawn to) and allows crafters to flavour a collective library of product and inspiration. Whilst the practice of this case study may be unrealistic in a craftstore-scarce UK – the theory of creating business links with your competitors, as well as complementary businesses, is still relevant and applicable. Looking at ways to induce a shopper to pay a visit can include looking at the surrounding shops and starting a conversation about cross-market offers. If the bakery can offer a five percent discount exclusively to your customers – and you can offer something in return – you end up sharing consumers (and making their one quick pitstop into a positive shopping experience.) The consumer mindset is to try and consolidate the task of shopping, which is why supermarkets and the internet are so popular. The ‘all under one roof’ mentality can be replicated by adopting a creative approach to your competitors. Another example of thinking outside the norm is to find a competitor who stocks alternative product which complements your own product mix. When a customer comes with a specific requirement, they need not leave frustrated as you can pass a recommendation (and win the customer’s trust) or even work out a way to shift stock (depending on how great a business link you forge!) Other business links can include joint advertising, shared offers/deals, coupons, website link share and printed maps locating other independent craft retailers in the area (which the group of stores all share and give free to customers.) There really are financial benefits for the savvy and creative retailer who realises that two, three...even four business heads are always better than one. Retail Clinic 2008-06-27T07:14:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/retail_smes_called_to_sign_gov_petition/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/retail_smes_called_to_sign_gov_petition/#When:14:56:00Z The Forum of Private Business (FPB) has posted a petition on the 10 Downing Street website encouraging the Government to place the smallest businesses at the heart of its decision-making process. The petition coincides with the launch of the FPB’s ‘Think Smallest First’ campaign, which aims to champion the most vulnerable of small firms. "This is the perfect opportunity for the owners of small businesses to make their voices heard on the issues that really affect them," said the FPB’s campaigns assistant Jane Bennett. "I urge all owners of small businesses to sign the petition to help get the FPB's 'Think Smallest First' campaign off to a flying start." The petition, available via a link at http://www.thinksmallestfirst.org, calls on MPs to ‘make a difference’ to small businesses, particularly when formulating new regulation and introducing tax policies. In a survey carried out in 2007, a huge 97% of respondents said that the UK had become a worse place in which to do business as a result of the Government’s tax regime. In addition, the FPB’s members voted health and safety as the most onerous administrative burden they face (30.3%); followed by PAYE and National Insurance (25.1%); maternity and paternity issues (11.0%); dismissal and redundancies (9.4%); and absence/sickness (7.4%). members of staff each. News 2008-06-24T14:56:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/retail_shock_sales_stats_refuted_by_retailers/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/retail_shock_sales_stats_refuted_by_retailers/#When:13:49:00Z Sales increased by 3.5 % between April and May, with profits from food-related stores rising 3.3 % and those from other businesses growing 3.9 %. Despite the optimistic figures, the British Retail Consortium (BRC) has warned the statistics might paint a distorted picture of the true retail climate. Stephen Robertson, director general of BRC says, “These official figures confirm our own findings that retail sales growth was lifted by the final arrival of warm weather in early May. As the sun came out so did shoppers, boosting sales of summer food and drink and particularly clothing which had been struggling. However, the economic fundamentals remain weak. Much of this sales growth is the result of discounts and promotions and people are still reluctant to buy more expensive items, such as furniture and electricals. Personal finances are under severe and mounting pressure. Customers are concerned about jobs and the housing market. So it remains to be seen whether this sun- driven boost is sustained over the coming months.” Retailers also remain doubtful about the figures. “If anything I'd say it's been the exact opposite,” says Fab Abel, manager of Bdelicious. “The past few weeks have been really quiet for us and I've spoken to several other retailers who have said the same thing, so I am quite shocked to hear that sales have gone up. Personally I think May has actually been the quietest month we've had so far.” Sue Knowles, owner of AndyCrafts, agrees, “I have seen absolutely no evidence of that whatsoever. Its been as flat as a pancake and very quiet all year. The last three weeks have been absolutely abysmal and I've not noticed any upturn at all.” 2008-06-20T13:49:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/retail_shock_sales_stats_refuted_by_retailers1/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/retail_shock_sales_stats_refuted_by_retailers1/#When:13:49:00Z Sales increased by 3.5 % between April and May, with profits from food-related stores rising 3.3 % and those from other businesses growing 3.9 %. Despite the optimistic figures, the British Retail Consortium (BRC) has warned the statistics might paint a distorted picture of the true retail climate. Stephen Robertson, director general of BRC says, “These official figures confirm our own findings that retail sales growth was lifted by the final arrival of warm weather in early May. As the sun came out so did shoppers, boosting sales of summer food and drink and particularly clothing which had been struggling. However, the economic fundamentals remain weak. Much of this sales growth is the result of discounts and promotions and people are still reluctant to buy more expensive items, such as furniture and electricals. Personal finances are under severe and mounting pressure. Customers are concerned about jobs and the housing market. So it remains to be seen whether this sun- driven boost is sustained over the coming months.” Retailers also remain doubtful about the figures. “If anything I'd say it's been the exact opposite,” says Fab Abel, manager of Bdelicious. “The past few weeks have been really quiet for us and I've spoken to several other retailers who have said the same thing, so I am quite shocked to hear that sales have gone up. Personally I think May has actually been the quietest month we've had so far.” Sue Knowles, owner of AndyCrafts, agrees, “I have seen absolutely no evidence of that whatsoever. Its been as flat as a pancake and very quiet all year. The last three weeks have been absolutely abysmal and I've not noticed any upturn at all.” News 2008-06-20T13:49:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/retail_fuel_prices_hit_out_of_town_shops/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/retail_fuel_prices_hit_out_of_town_shops/#When:14:23:00Z Speaking at the British Retail Consortium's annual conference, Stuart stated his belief that increasing numbers of people are weighing up the option of spending £30 to fill up their tanks with petrol to go to out-of-town shopping centres such as Bluewater or instead visiting their local high street. “We're seeing a return to the high street...with developments in Leeds and Dublin and Liverpool,” pointed out Sir Stuart. “I'm quite optimistic, and we'll not see any more Bluewaters. We're just about done on out-of-town.” He also noted that M&S is already noticing changes in traffic patterns. Such observation are borne out by the experiences of hobby shop Crafty Arts, based at Bluewater. “I would definitely say that it's been quieter here the last couple of months,” says shop worker Sarah Britland. “It's difficult to say what the cause is because i think it could be a mix of lots of factors. We're not the only shop here feeling it though; there are definitely a lot less people around the the shopping centre.” Footfall monitor SPSL have confirmed that visits to retail parks such as Meadowhall in Sheffield and Gateshead's Metro Centre were down by 6.8% in May against the same month last year. News 2008-06-17T14:23:00+00:00 http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/fsb_attacks_driver_strike/ http://craftbusiness.com/site/index.php/E-CraftBusiness/fullstory/fsb_attacks_driver_strike/#When:13:50:00Z Five hundred drivers have gone on strike throughout the UK because of disagreements concerning their pay. Despite significant rises in oil prices over the past few years, the workers claim their average pay of £32,000 has not increased since 1992. However, the FSB have criticised the strike, claiming it will damage small businesses the most. Stephen Alambritis, press officer for FSB, says, “We are very concerned about the current tankers strike and believe it is going to cost small businesses millions of pounds. Most of them rely on cars for their deliveries and will be unable to send goods to their customers or receive merchandise for their stores. It is going to be a tough week and they are going to lose substantial amounts of money over the next few days.” Retailer Brian Green agrees the strike could cause problems for smaller companies. He says, “I suspect businesses in rural areas will be affected the most as they rely on their cars for travel more than shops in urban areas. It is too soon to say what the consequences of the strike will be, but it is definitely something that will affect all smaller businesses in some way or other.” Shell currently accounts for one in ten petrol stations in the UK and makes an estimated £1.5 billion a month. News 2008-06-13T13:50:00+00:00