Well, we’re back from Vegas and trying to get our business and personal lives back on track. It can be tough to be out of town for over a week, but fortunately we have supportive families and great staff that can hold down the fort while we’re gone.
Coming back from this trip has been a bit tougher than others. I got sick during the trip, along with Carlos, who worked the Dayspa Expo with me. And we’re still dealing with a lingering cough and fatigue…but it could be worse. Our friend and colleague, Gary Cole (head of Snazaroo US Division) was in a terrible moped accident right after the FPBAA Convention ended. He’ll likely have 6 months of recovery and rehabilitation before he’ll be ready to return to work at full force. Not to mention…he’ll spend tens of thousands of dollars in medical bills. It sure puts things in perspective for me. I think I can just suck it up and get over my little cough.
Health issues weren’t the only thing we came back to when we returned home. Unfortunately, we only earned about half of what we had hoped to earn at these two conventions. We ended up a couple thousand dollars short of break-even, but that’s the way business goes sometimes. Conventions are meant to be advertising opportunities, not money-making ventures. Some shows don’t even allow you to sell product at the show, just to distribute information and possibly take orders. So, when we have a show where we break even on our expenses or make a profit, we count ourselves lucky. At shows like this, where we lost money, we have to come home and figure out how we’re going to pay booth fees for the next shows and how we’re going to be able to afford to restock the warehouse. Just like artists who have a slow season and still have to support their families during that slow season, our business has a slow season and still has to support the operations required to stay in business. But every year, we finesse our budget and get better at preparing for slow times.
Along with the financial issues, it seems that a million other things have not gone according to plan these past couple of weeks. We’ve had an unusual amount of orders go missing, get damaged, or get delayed in transit and several of our most important stock items have been backordered or discontinued from the manufacturer. Just to highlight….Our silver glue vials are unavailable until May, so we’ve had to substitute for gold. I suppose it’s not a big deal, but I feel like silver is one of our company colors, so it does bother me a bit. Several of our suppliers have increased their order processing time to anywhere from 1 week to 1 month, causing us to be out of stock of several items. Seven of our most popular Mica Shimmer Powder colors have been discontinued from the manufacturer, including Grape Soda, Superhero Blue, Spring Break, Aqua Lagoon, Sunny Daze, Tangerine Dream, and Cherry Pop. We should be able to find similar colors, but they won’t be identical, and it will require some time to find replacements. If you really love these colors, I strongly suggest that you stock up while we still have some left.
I truly feel like I’m putting out fires every day as some new problem arises…juggling finances, resolving customer problems, finding alternative product sources and replacements, and somewhere in there…trying to have a life with my family. At some point, I really have to decide what is important, what needs to be focused on, and what I need to accept as being beyond my control. I was talking to my husband, Mitch, last night. Mostly I was detailing the list of things that had gone wrong this week while he patiently listed and promised that it would get better soon. Amongst my closest friends, I’m referred to as the President of the Kick-in-the-Ass Club. You don’t get away with whining about being a victim of life when you’re around me. I firmly believe that we create our own circumstances in life and that we are the only ones who can make them better. So I resolved to not spend too much time whining and tried to focus on the positives. My family is healthy and happy. We have a sturdy home, filled with love and laughter. We have friends who would give us food and shelter if some disaster ever took ours away from us. And even after 12 years of marriage, I’m more in love with my husband than I ever thought possible. At the end of the day….I have everything that really matters. Everything else is just temporary.
Have a wonderful month, and hug your loved ones today!
~Erika
Tuesday, March 1, 2011
Tuesday, February 1, 2011
A little more...or a little less. To discount or not to discount
Every now and then, I have the rare opportunity to spend some time browsing the posts on the face painting forums, such as the Snazaroo forum or Cindy Trusty's Body Painting Forum. I saw a post this week that seemed relevant to a problem that many of us suffer from.
It happens all the time...You get someone on the phone who wants to hire you, but they want you to give them a discount. Sometimes it's a cultural thing, sometimes it's a bonafide budget issue, but sometimes it's just the nature of the person calling....they have to get a deal on everything. I don't know why these same people feel that it's okay to bargain with people in the face and body art industry, but they would never (I think) go into a hair salon and ask for a deal. Maybe salons suffer from the same problem too though. So you have to decide whether or not you want to give them a discount. Maybe you are desperate for work and need to do what's necessary to get the gig...but be sure to think of the repercussions of discounting your services.
#1 You are cheapening the value of what you do. You are a trained professional, you many put hours into your business besides just the hours at the actual gig, and not everyone can do what you do. You paid good money for the best and safest supplies and equipment available. You pay for marketing materials, advertising, and office supplies.
#2 The only "exposure" you get from these discounted gigs is when the organizer tells all their buddies that you're willing to discount your rates. And they expect you to give them a discounted rate the next time they call.
#3 You may end up having to turn down a client who would have paid you full price because you booked yourself to do the discounted event.
So what are you to do when someone asks you for a discount and you feel like they are simply not willing to pay the posted price for the services requested? It's been my experience that customers place more value on receiving something extra than they do on receiving a discount. Depending on the gig that you're proposing to do, perhaps you can explain to the client, "I'm sorry, but we can't discount our rates because it's unfair to our regular clients who pay full price, but I'll tell you what I can do for you..." Decide what you can afford to offer the client...and personalize it to their needs.
For example:
A mom organizing a birthday party with 8 kids may not need extra time from you, but maybe they would appreciate a CD with photos that you've taken of each child that you painted.
A mom calling for a batmitzvah may not be interested in any sort of party favors or photos, since they have already purchased party favors and hired a photographer, but maybe they would appreciate an extra half-hour of your time for free.
A non-profit event organizer would probably appreciate an offer to bring along a teenager who can quickly do little tattoos while you do the more elaborate face art.
A corporate event organizer would probably appreciate you offering to create a stencil of their logo and tattooing their staff 15-30 minutes before the event starts.
The key is that you want to be appreciated for what you're offering. You don't want the clients to think that you're anything less than professional and worth every dollar that you charge. You have to keep in mind, that while some industries suffer in this economy, luxury items and services usually do not suffer. And what we offer is a luxury service
It happens all the time...You get someone on the phone who wants to hire you, but they want you to give them a discount. Sometimes it's a cultural thing, sometimes it's a bonafide budget issue, but sometimes it's just the nature of the person calling....they have to get a deal on everything. I don't know why these same people feel that it's okay to bargain with people in the face and body art industry, but they would never (I think) go into a hair salon and ask for a deal. Maybe salons suffer from the same problem too though. So you have to decide whether or not you want to give them a discount. Maybe you are desperate for work and need to do what's necessary to get the gig...but be sure to think of the repercussions of discounting your services.
#1 You are cheapening the value of what you do. You are a trained professional, you many put hours into your business besides just the hours at the actual gig, and not everyone can do what you do. You paid good money for the best and safest supplies and equipment available. You pay for marketing materials, advertising, and office supplies.
#2 The only "exposure" you get from these discounted gigs is when the organizer tells all their buddies that you're willing to discount your rates. And they expect you to give them a discounted rate the next time they call.
#3 You may end up having to turn down a client who would have paid you full price because you booked yourself to do the discounted event.
So what are you to do when someone asks you for a discount and you feel like they are simply not willing to pay the posted price for the services requested? It's been my experience that customers place more value on receiving something extra than they do on receiving a discount. Depending on the gig that you're proposing to do, perhaps you can explain to the client, "I'm sorry, but we can't discount our rates because it's unfair to our regular clients who pay full price, but I'll tell you what I can do for you..." Decide what you can afford to offer the client...and personalize it to their needs.
For example:
A mom organizing a birthday party with 8 kids may not need extra time from you, but maybe they would appreciate a CD with photos that you've taken of each child that you painted.
A mom calling for a batmitzvah may not be interested in any sort of party favors or photos, since they have already purchased party favors and hired a photographer, but maybe they would appreciate an extra half-hour of your time for free.
A non-profit event organizer would probably appreciate an offer to bring along a teenager who can quickly do little tattoos while you do the more elaborate face art.
A corporate event organizer would probably appreciate you offering to create a stencil of their logo and tattooing their staff 15-30 minutes before the event starts.
The key is that you want to be appreciated for what you're offering. You don't want the clients to think that you're anything less than professional and worth every dollar that you charge. You have to keep in mind, that while some industries suffer in this economy, luxury items and services usually do not suffer. And what we offer is a luxury service
Wednesday, December 1, 2010
Book club: Who moved my cheese? by Spencer Johnson
Apparently Jenn's husband, Carlos, picks this book up whenever he sees it at secondhand bookstores and hands them out to friends. So, I received my copy from him maybe a month ago. It's a quick read; you can probably get through it in an evening. I think I put off reading it because I figured it was something aimed at those who work "regular" jobs with big companies that face downsizing. But the discussion section at the end of the book made me see how the lesson can actually be applied to many areas of life. I plan on reading this book out loud to my kids as part of their homeschooling.
The main story chronicles the lives of two mice and two little people who must navigate an enormous maze in order to find sustenance (cheese). At one point, they find what seems to be an unlimited supply of cheese and decide to get comfortable. Little do they realize that the cheese supply is dwindling, until one day it is all gone. The mice simply shrug and move on to find another source of cheese, but the little men struggle with whether they should risk the unknown to go out into the maze and find more cheese, or stay put and wait for someone to bring back their cheese.
I hear people say that the economy is failing and that we all should just tighten our belts and wait it out. But my sales have increased every year since I've been in business...and not just by a meager percentage. I'd like to think that I am this amazing business guru that always makes the right business moves, but I tend to think that my ADD keeps me from sitting still too long. I get bored doing the same thing every day and am always looking for new products and services. I've stepped out of my comfort zone of exhibiting at small face and body art conventions with 100-400 attendees to exhibit at huge hair and make-up shows with 10,000 - 50,000 attendees. Yes there's a greater financial risk, but the payoff has been huge.
But maybe you don't have the kind of funds available that would allow you to launch a costly advertising campaign or to buy all sorts of new equipment. What can you do that won't cost you a thing other than your time and brainpower? In this day and internet age, there are loads of free non-traditional advertising venues. And there are probably tons of markets that you haven't even tapped into because you've become comfortable with your own little market segment, whether it be in a salon or working private parties. When I start feeling like the business is getting stagnant and I need a creative boost, I like to pick up a motivational book (or six) and spend some time reading industry forums to see what everyone else is doing. If you've run out of ideas, keep in mind that you're never more than a few keystrokes away from someone else's great idea. A fellow colleague once said, "A good artist steals some things, a great artist steals everything."
The main story chronicles the lives of two mice and two little people who must navigate an enormous maze in order to find sustenance (cheese). At one point, they find what seems to be an unlimited supply of cheese and decide to get comfortable. Little do they realize that the cheese supply is dwindling, until one day it is all gone. The mice simply shrug and move on to find another source of cheese, but the little men struggle with whether they should risk the unknown to go out into the maze and find more cheese, or stay put and wait for someone to bring back their cheese.
I hear people say that the economy is failing and that we all should just tighten our belts and wait it out. But my sales have increased every year since I've been in business...and not just by a meager percentage. I'd like to think that I am this amazing business guru that always makes the right business moves, but I tend to think that my ADD keeps me from sitting still too long. I get bored doing the same thing every day and am always looking for new products and services. I've stepped out of my comfort zone of exhibiting at small face and body art conventions with 100-400 attendees to exhibit at huge hair and make-up shows with 10,000 - 50,000 attendees. Yes there's a greater financial risk, but the payoff has been huge.
But maybe you don't have the kind of funds available that would allow you to launch a costly advertising campaign or to buy all sorts of new equipment. What can you do that won't cost you a thing other than your time and brainpower? In this day and internet age, there are loads of free non-traditional advertising venues. And there are probably tons of markets that you haven't even tapped into because you've become comfortable with your own little market segment, whether it be in a salon or working private parties. When I start feeling like the business is getting stagnant and I need a creative boost, I like to pick up a motivational book (or six) and spend some time reading industry forums to see what everyone else is doing. If you've run out of ideas, keep in mind that you're never more than a few keystrokes away from someone else's great idea. A fellow colleague once said, "A good artist steals some things, a great artist steals everything."
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