"The future belongs to those who see possibilities before they become obvious. "

-- John Sculley, Former CEO of Apple

by Jami Petersen

It is now six months into 2008 and time to assess where you are with your business. Are you on target to reach your goals by the end of the fiscal year? Are you staying on top of the latest technology for your customers? Is your turn rate headed in the right direction? Dennis helps answer these questions and more in "What to consider for 2008".

This week's quote inspires us to look towards the future and see the endless possibilities before us. Consider that for a moment and make it a reality for a successful and profitable 2008.

Jami Petersen
newsletters@a-z.com

Spellbinders 

Only Spellbinders offers truly universal die cutting & embossing solutions.

The new Wizard—with improved performance and available at a new lower price—works with the most popular dies, embossing folders and texture plates on the market today.

And Spellbinders 3-in-1 die templates—including the popular Nestabilities™ Collection—are great, creativity enhancing solutions even for customers who already own other die cut & embossing tools.

Spellbinders is the only brand with the ability to unleash your profitability & your customers' creativity!

Press Releases

News you can use about the latest media coverage of hot trends, noteworthy events and dynamic industry leaders. Learn more about the current headlines in arts and crafts by clicking on the title of each article segment.

 

Top Digital Scrapbooking Site Scrapwow.com Announces Expansion. Digital Scrapbooking trendsetter recognizes Web 2.0 as viable means to broaden base and acquires top community site offering free digital scrapbooking kits, scrapbooking layouts, and a vibrant, dedicated and social environment.

Michaels shrinks quarterly loss. April sales showed an increase for the Michaels chain, particularly in the categories of kid crafts, scrapbooking and frame and art supplies. However, spokespeople from Michaels report they expect sales to be flat in 2008 compared with 2007, given the current economy.

Lenox slips as market for high-end goods stalls. The Lenox Group has suffered as consumers shun the nonessentials such as china and collectibles. The company was recently delisted from the New York Stock Exchange amid a stagnant market for luxury goods, changing bridal tastes and scrapbooking.

The SMART Group 

Get SMART About Your Business. Join the SMART Group Today.

Benefits of The SMART Group include:
· Education programs provided throughout the year
· SMART Promotional Ideas and Turnkey Programs Throughout the Year
Business Services Discounts:
· Sales Success Profiles
· Insurance Benefits
· Product-Specific Promotions from SMART Manufacturers
· Consulting Services with SMART Business Consultants
· Premier Retail Store Advertising Programs at no additional cost.
 Get SMART about your business today!
 

Listen to this

Bruce Aldrich of the Photo Marketing Association International (PMA) and Dennis Conforto of A-Z Media Group have helped launch several efforts to combine the marketing power of the photo, custom framing, art and scrapbooking industries through regional teams and media projects.

They tell DECOR Magazine's Assistant Editor Daniel Mullen about the progress they've made and why the efforts can benefit all of the industries involved.
Click here to listen to the interview. (Duration: 23:44).

 

PSRO 

Dedicated to those helping consumers preserve treasured memories.

The Professional Scrapbook Retailers Organization™ (PSRO™) bridges together retailers and suppliers for insight into the memories market.

Through educational programs, business services, industry research, networking, and events, PSRO leads its members to discover, understand, and act on new business opportunities.

For more information, or to join PSRO, visit www.psro.org or contact our member service department at 517-788-8100.

by Dennis Conforto, A-Z Media, Inc.

When looking at the overall industry, one can safely assume that some had the best year ever while for others it was the worst. No matter where you are in the cycle of your business, the marketplace is changing at an unprecedented rate.

The scrapbooking industry with its ties to the craft industry rolled through the crafters market like a freight train. And, the industry spread by word-of-mouth like wildfire. And before you knew it scrapbooking had become a multi-billion dollar industry.

Scrapbooking began to appear in movies, TV shows and pop culture. For many, scrapbooking became the “in” thing to do. Beyond that, millions of women enjoyed crop nights and shared their lives through scrapbooks. For many it became a weekly social event, and for others it was a deeply personal journey.

The scrapbooking industry tapping into the crafters market gave it the fast growth and boost that both markets needed. However, the burn-out cycle of a craft for 90% of the women who adopted it is 7 years. As a result, in 2005 the fast growth of scrapbooking stopped. All the while, the industry flooded the market place with new products for the same consumers who were buying less. Thus the retail business crunch began.

Many scrapbooking-only manufacturers sensing the slowdown started to shift to other craft markets to show how their products could be adapted in those markets. Ironically, craft-only manufacturers moved into the scrapbooking market place because of slowdowns in the crafting sector. As a result, the manufacturing business crunch commenced.

During this transition, technology was also changing. Film cameras were replaced by digital cameras, and camera stores, once dominated by men, were flooded by women who loved these new easy to use cameras. This meant that women could take more pictures than ever without worrying about the high cost of film.

While cameras were changing, the software that runs them was changing as well with more features to store, organize and display photos. Printers were also changing, improving, and dropping in price allowing consumers to print stunning photos at home.

Cell phones with cameras and web access became popular and again the number of pictures being taken greatly increased. Almost instantly, the digital age became a reality for just about every person on planet earth.

Given the rapid changes in the market place what should you consider doing in 2008 if you are a scrapbooking retailer or manufacturer? To answer this question, let’s start with the top three business challenges and explore the best possible solutions.

The top three industry challenges are a shrinking market within the crafting sector, a lack of expansion into larger newer markets and an inadequate amount of funds spent to bridge and promote these transitions.

To solve the first challenge, retailers and manufacturers need to plug into communities where scrapbooking is the perfect hobby and solution. Retail stores need to consider displaying products by brand, theme and category as well as by communities (i.e. local high schools, universities, scout groups). Not only do retail stores need to have the product but must be actively plugged into those communities. For manufacturers who own licenses of communities like Harley Davison or Boy Scouts, you need to build the product and a marketing program to provide retailers detailed information regarding each community.

For the second challenge, retailers must seriously consider a digital solution so that their scrapbooking store is not perceived as a craft-only option to scrapbooking. Manufacturers should license designs in the digital world that they no longer make in the paper world, build corporate scrapbooks, and create a B2B business model within their retail stores. Manufacturers should also create closer alliances with photo retailers and custom framers. This partnership should be solution-oriented in introducing consumers to instant scrapbooks, which will in turn help drive traffic to standard scrapbook stores. Retailers should consider subleasing part of their store to a portrait studio and to a custom framer to increase traffic and sales through cross promotions.

Finally, to solve the third challenge retailers must face the fact that in order to grow they need to spend at least 5% of their revenues on impactful call-to-action ads to create new consumers. In addition, future scrapbooking stores need to heavily invest in the digital photobook market, which is projected to surpass the market size of the entire scrapbooking industry within the next 18 months. Manufacturers within the scrapbooking craft sector need to offer matching co-op funds to insure a higher level of consumer advertising for their brands and the success of their retail partners. In addition, retailers must increase their inventory turn rate which will allow retailers to invest into additional aspects of scrapbooking.

Growing, expanding and investing are the keys to success for the rest of 2008. The status quo doesn’t work and slight changes will not be enough. Today we need bold fact-based moves to achieve real growth. And those moves are 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.

Cricut Jukebox Cartridge Station

Provo Craft today announced the Cricut Jukebox Cartridge Station, a device that makes using multiple Cricut® cartridges a seamless and simple process. The core unit holds up to six cartridges that connect to any Cricut machine, enabling users to swap cartridges with a push of a button. Users can also link up to three core units at a time, giving them access to 18 cartridges.

“Since its launch, the award-winning Cricut cutting system has made waves within the industry,” said Tonia Conger, Provo Craft’s director of marketing. “We know how passionate Cricut users are, and Provo Craft continues to provide technology tools that enable them to be their creative best.”

The Cricut Jukebox Cartridge Station is ideal for use with the Cricut DesignStudio™ software, the innovative software that allows users to explore the complete content of every Cricut cartridge, creating designs with cartridges they may not even own. Users can preview content on new cartridges before purchasing, and navigate through the characters by searching for designs by keyword. With their computer connected to either the original Cricut or the Cricut Expression™ machines with a USB cable, users can cut designs using the cartridges they currently own. With Cricut DesignStudio and the Cricut Jukebox Cartridge Station, crafters can access and customize thousands of pieces of artwork within seconds.

The Cricut Jukebox Cartridge Station is lightweight, portable, and easy to use. The product consists of a core unit attached to a storage base. Each base holds up to six cartridges, handbooks, and overlays. The Cricut Jukebox Cartridge Station will be available at major craft stores nationwide starting July 2008. Suggested retail price is $89.99.

Provo Craft is a technology company that enables women to be their creative best. For 40 years, Provo Craft has invented new products that bring industrial technology to the masses, including the Cricut® Personal Electronic Cutter, the Cricut DesignStudio™ software, and the Cuttlebug™ Die Cutter and Embosser. These innovative tools help women bring their creative ideas to life in a personalized, professional-looking way at home, in schools and in the workplace. Provo Craft’s products have won dozens of industry awards and are available through leading craft, home décor, office, and education.