"Sometimes when you innovate, you make mistake. It is best to admit them quickly and get on with improving your other innovations."
-- Steve Jobs, Apple Co-Founder  

by Jami Petersen

The economy is in turmoil, businesses are suffering and consumers are timid about spending their money. It's a scary time for everyone, but there are several fundamental practices that good business owners should implement. Dennis Conforto shares his advice for making good choices in tough times.

And Avery Dennison Office Products Company announced a global agreement with iStockphoto. Read more about it in the Press Release section below.

Jami Petersen
newsletters@a-z.com

GlueGlider PRO 

NEW GlueGlider PRO

The easy glide-on dispensing action allows you to apply a small controlled amount or a continuous line of the best performing adhesive on the market. Each slip-in disposable cartridge holds between 40 to 65 feet of ¼” wide adhesive, ranging from very aggressive to repositionable.
We are offering a discount exclusively for Scrapbook Business

Newsletter Subscribers:
20% off your GlueGlider Pro starter pack PLUS free shipping!

Click Here for more details

Sakura of America

DIY Decorating! DIY Gift Making! Sticklers™ kits include Glaze® or Soufflé™ 3-D ink pens with gold or silver stickers.

Easy to peel-off sticker, stick-on, and color-in! Stick on and color onto metal, glass, paper, plastic.
DIY DECORATING: ornaments, cell phones, school binders.
DIY GIFT MAKING: keepsake containers, picture frames, candle votives, mirrors.
See 9/16 review: lipsticktocrayons.com
MSRP $5.99

http://www.sakuraofamerica.com/Kits-Sticker

by Dennis A. Conforto, A-Z Media Group, Inc.

There is no question about it, the economy is nothing short of a mess right now, and it truly affects all of us in ways we have yet to fully understand. As bad as our economy is, the rest of the world is even worse. However, there are lots of lessons we can learn from looking at our economy. Number one being that its not good policy for a country to spend beyond its means, just like its not good for a company to spend beyond its means.

What can a business do right now to be proactive when current revenues are not matching expenses? Here are some ideas for you to consider:
1. One of the biggest single expenses is inventory
   • Heavily discount all products that as been in stock more than 90 days. Dead or dying inventory is like cancer to a business and must be removed quickly or it will be the death of your business.
   • Reorder fresh inventory monthly and ONLY order four weeks of supply or less to keep your inventory turn rate high and protect your cash flow.
   • Show comparison pricing; consumers want to know that you are working hard to give them value - so prove it with comparison pricing.
2. Promote, promote, promote in lean times!
   • When times are tough you need to promote more, which doesn’t mean you spend more - it means you promote more.
   • Larger discounts are required in lean times and sales events must be shorter, like one day or a weekend only. Month long events are not sustainable in terms of sales performance.
   • Email your customers and make sure you work hard getting every email address you can, as it is the least expensive way to promote.
   • Insure your store looks like it is having a sale… You cannot have enough sale signs and discount tags, whatever you think might work in terms of signage, double it.
3. Cut costs and expect and demand more everywhere!
   • Push to change the pricing downward in every single relationship you have. As your revenues go down, your expenses must go down at the same rate.
   • Don’t be afraid to ask to change your lower the lease on your retail or warehouse space. The real estate owners don’t want you to fail and for them, something is better than nothing.
   • Don’t be fearful of driving costs downward from your suppliers, on the other hand you need to be fair so make sure you are doing more volume with less vendors rather than less volume with more vendors. Right now it’s a time to pay less and get more. You will get it if you partner with them, not just buy from them.

In good times and in lean times the rules of business are always the same, managing inventory, aggressively promoting and keeping expenses in line with revenues. These three areas are something you need to be overly insistent about

I have noticed that those who thrive in business always pay less and get more. They are the masters of partnerships because while they get more, they also give more. They don’t demand to pay less simply to pay less but rather they pay less to give more.

No question everyone right now is being hammered in the market place - housing prices have dropped, IRA’s, 401k’s and retirement funds have also dropped. In a free enterprise system, spending depends on the economy. The better we feel the more we spend, and of course the worse we feel the less we spend.

Much of how your consumers react will depend on how you act as a retailer or a supplier. While it is important to react to the realities of the market place, it is also important how we react. So get back to the basics of good business, keep it simple, keep it lean, promote often, give more to get more and take care of your consumers. Move your inventory faster than you have ever moved it before. Then you will have earned the right to have a business that can withstand the perfect storm. And that is what being business SMART is all about!

If you would like to comment directly to Dennis about this article or have him address a subject matter in future articles feel free to email him directly at dconforto@a-z.com.

Spellbinders

The Spellbinders Wizard combined with the newest Shapeabilities™ Nested Die Templates are the perfect pairing to achieve the ultimate in creative expression.

 The Wizard offers the most exceptional cutting & embossing performance of any manual machine on the market – and it works with virtually any leading consumer die, embossing folder, texture plate or stencil, too!

While Spellbinders dies offer one-of-a-kind 3-in-1 function – cut, emboss, stencil – and compatibility with most leading die cut machines. Spellbinders IS a truly universal solution for your die cutting customers!

Multi-Year Deal Includes Free Images, Discounts and Joint Educational Efforts

Avery Dennison Office Products Company announced a global agreement with micropayment imagery pioneer, iStockphoto. This deal allows Avery Dennison to give its customers images from the world’s busiest image market, and offer them an introduction to inexpensive professional photos, illustrations and videos.

Details of this multi-year agreement include:

- Avery Dennison and iStockphoto offering Avery Dennison customers free imagery and discounts in 15 million Avery brand products to be distributed in the U.S.;

- Consumers of various Avery products and visitors to www.avery.com/istocknews choosing 20 free images out of 60, and receiving a 20 percent discount off their first purchase of 50 credits or more;

- iStockphoto featuring Avery templates online and Avery Dennison promoting iStock online and in educational outreach outlets;

- A selection of free downloadable iStockphoto images available for use on avery.com.

“This deal brings together a leading force in the traditional desktop printing medium with the cutting edge in digital imagery at a time when the appetite for great photos and illustrations is at a peak, but most people still don’t know where to get them,” said Caradoc Ehrenhalt, Group Manager of Content Development for Avery Dennison. “With Avery’s easy-to-use printing solutions, it’s simple to add iStockphoto images to Avery products and then print right from the desktop.”

Avery Design and Print Online solution on avery.com allows consumers to create a wide range of products for business and personal use, including business cards, binders, dividers, mailing labels, greeting cards and fabric transfers. Easy access to this and other Avery solutions will be available on iStockphoto.com.

“We recently surveyed 1,000 Americans and discovered that more than 30 percent are downloading images from the Internet and using them for personal or professional projects without license rights, demonstrating the need for more knowledge about finding safe, authorized imagery,” said Kelly Thompson, chief operating officer of iStockphoto. “Avery Dennison is the perfect partner to help us provide additional content to the consumer market.”

“Avery Dennison is dedicated to providing easy online design and printing solutions for its customers,” added Ehrenhalt. “With access to iStockphoto’s huge collection of images, flash files and illustrations, it will be easier than ever to achieve great results.”