Independent specialty retailers have few places to turn to for help for well centered, experienced advise and guidance. The last four years have been very difficult for most apparel stores. Some stores did just fine and flourished during these hard times. How and why these retailers did well is not a mystery or magic. It’s all about knowing what needs to be done to have a profitable successful retail business regardless the economy. Retailers are reluctant to ask other retailers who may be competitors or family members for help or advice. Rarely can they turn to their lawyer, banker or accountant because they typically have few apparel retail clients and they don’t understand the details of the retail apparel business.
Danny Paul has owned his own retail stores and has helped retailers in many ways over the last 40 years. He has worked with retailers doing as little as 400K annually to those generating hundreds of millions. He held the position of President CEO of RMSA for fifteen years. RMSA was the largest forecasting and merchandising company in America serving over 5,000 independent specialty apparel retailers. RMSA provided OTB and planning services. Twelve years ago Danny Paul founded Retail Communities, peer groups that are comprised of 10 to 12 like type stores from all over the country that met twice each year to discuss, examine and adjust every detail about their business. In addition to his involvement with peer groups, he does OTB planning for retailers in every region of the country. He is often called upon by key industry publications to author articles for the retail industry. Retail Communities also produces monthly Trend Reports that reflects the current trend by classification.
The ability to offer valid advice to others comes from exposure to the correct and incorrect ways to look at and manage a retail apparel store. 40 years working with and helping some of the best stores in America has helped him build a treasure trove of knowledge that is passed on to his consulting clients.
Retailers often struggle with the basics in the apparel business. More often than not retailers are professional sales people and buyers who love the apparel industry. They love it so much they can’t be objective about their own business. Often don’t know how much they should buy, or own, to operate in a profitable fashion. Many retailers make profit and pay taxes but never seem to have enough cash to pay bills. Retailers are often unsure how much payroll should be or how to construct employee compensation, or what others pay. Marketing is often a big problem for many retailers in this ever changing environment. What works and what does not work in today’s economy must be fully understood. There are key elements that make or break a retailer. Being successful in the apparel industry can be very lucrative but retail can also be a cash absorbing business that yields very hard work, long hours and little to show for it, if executed incorrectly.
The difference between being profitable or not is how well retailers do many small things. Losses are also the result of doing many small things wrong year in and year out.
We have helped dozens of retailers turn a frustrating business into a profitable enterprise. They say there is no substitution for experience. Why not draw on our services and experience. We are proud to provide to you referrals and satisfied customers to call.
Areas of potential interest
- Inventory management
- Ways to control and manage inventory and purchases
- Proper classification structures
- How to best use system reports
- Cash flow planning
- What should expenses be by line item for apparel retail stores
- Establishing short and long term business goals and objectives
- What methods work best for apparel stores in today’s economy
- How much should a retailer invest in marketing, monthly, annually