Scrapbooking is a booming business—in fact, it’s a $2.5 billion dollar market, according to Creating Keepsakes “Scrapbooking in America” survey. Yes, what many people thought was a fad in 1997 has established itself as one of the most viable categories in the craft industry.
Is there still room in the market for another scrapbook store? The answer is YES—the category represents an incredible portion of the craft industry; it’s a natural for any general craft store. If you’ve bypassed the scrapbook category, you can still get involved and profit.
Are You Up to the Challenge?
The scrapbooking trend hit the craft industry at HIA 1997. Since then, manufacturers have been busy creating hundreds of thousands of stickers, papers, idea books, templates, pens, glues, stamps, and albums. To implement or expand a scrapbooking department in 2001 might seem a daunting task, to say the least! But it is also one of the smartest moves you can make as a craft store retailer.
Where do you start? How much room should you allocate? How much should you invest in stickers, in paper, in scissors? If a major chain carries a certain line, should you carry it? We’ve got the answers: Read on to discover the basics of scrapbook retailing!
Where to Start: Finding Space
Space is a premium—so how much space will you need to devote to scrapbooking in order to make an impact?
“I wouldn’t do it with less than 20',” advises Hot Off The Press President Paulette Jarvey. “Ideally, twice that. After all, most large craft chains allocate 40'-60' to scrapbooking, while independent scrapbook stores can devote the entire shop. Anything less than 20' simply doesn’t do justice to the department.”
Unless your store is physically expanding, this means you’ll have to get rid of some product in order to bring in scrapbook supplies. Take a month to evaluate sales and find your slowest-moving products. Eliminate them—these items are collecting dust while you could be making a profit from their shelf space!
Where to put your new department? Place it next to the rubber stamping and cardmaking areas to maximize cross-over sales for the many scrapbookers who are also paper crafters. And don’t forget: You probably already carry some scrapbooking supplies, like scissors, stickers and papers. Just make sure all paper, pens and adhesives are acid-free before incorporating them into a scrapbook department.
Scoping Out the Competition
Before you place a single order, check out your competition. Whether it’s an independent scrapbook store, a photo lab, chain store or one of each, you need to be aware of what your neighborhood competition is doing. “Shop” these stores a couple of times to get a realistic picture. Spend time looking at each store’s merchandise and how it’s priced.
Then analyze your discoveries—what are the strengths and weaknesses of each store? What is their competitive advantage? Great service, every time? Rock-bottom prices? The latest and hottest merchandise?
How will your store compare? What is your competitive advantage right now? What is your reputation? Best classes in town? How do you want to carry that reputation to include scrapbooking? Do you want to be known as The Sticker Source, Best Paper Selection or Coolest Tools?
Choosing Product: Advice From A Retailer
Don’t fall into the same trap other retailers have. Just because a chain store carries a certain product or line of products doesn’t mean you shouldn’t carry it as well! After all, just because your competition has great customer service doesn’t mean you’ll treat your customers poorly. So why would you let another store dictate the product you carry?
Learn from the experience of one retailer, who eliminated her supply of Fiskars scissors and EK Success pens and glue because they were also carried at her neighborhood chain store:
“After I got rid of my Fiskars scissors, I carried a generic brand. But the quality was terrible and customers kept returning them. And people kept asking specifically for the Zig glue sticks and pens. It’s too hard getting customers to buy another name. They want what they see in the magazines.”
This retailer wisely restocked the supplies she had eliminated when customers began demanding the products by name. After all, why send customers to the competition when YOU can carry the items they want?
Who Should You Buy From?
You have three choices when it comes to ordering scrapbook product: buying directly from the manufacturer, through a distributor—or both.
Buying through a distributor allows you to order product from vendors whose minimums you couldn’t otherwise meet. Buying directly from the manufacturer means you can choose from the entire product line while developing a relationship with the vendor and taking advantage of vendor newsletters, sales and promotions. Whatever buying channel you choose, be sure you have a recent catalog from all the manufacturers you’re interested in to keep up to date on the latest products.
What Product to Buy
“First time buyers should buy a mile wide and an inch deep!” Jarvey recommends. “Buy the minimum of a variety of products. Then track the numbers closely. Don’t be tempted by extra discounts on product you’re unsure of.”
Be open to bring in a sampling of products—but research the entire product line before buying partials of it. And be careful not to bring in such a small amount of a certain product that it becomes invisible.
Analyze your customer base. What is your demographic? Is there a university in your town, or senior residential living? Is there a large Hispanic population? The answers to these questions will tell you what themes and styles of product to look at. Other points to know:
Tools: You’ll want to keep a good supply of basic tools in stock. You do not need to carry a huge variety of scissors: three or four different styles should be enough. Punches are a good investment, as are X-acto® knives, rulers and templates.
Organizers: Storage containers, like those from Cropper Hopper, Crop-In-Style and Highsmith, are big-ticket items and don’t take up as much floor space as you might think. Stock up right before Christmas, Mother’s Day, and National Scrapbook Day (May 5th). Most scrappers receive large, expensive organizers as gifts; the rest are purchased by scrappers who are treating themselves. Market them accordingly for maximum sales.
Paper: Paper is a consumable, which means your customers will return to your store to buy more. Keep her coming back by carrying a standing stock of good basics (solid cardstock, simple patterns) while constantly updating your supply with the newest, trendiest designs. The best way to manage this? Stock the majority of your paper in book form; carry specialty paper and solid cardstock in bulk. Books of paper consistently outsell bulk papers, and you can restock books in three to six turns, where it will take 25 individual purchases before you sell even one package of bulk paper.
And books and kits of paper allow you to stock more SKUs of paper in a smaller space; a book is also a more substantial purchase than a sheet of paper. As one retailer said, “What would I rather sell—a $7.95 book of papers or a 39 cent sheet of paper?” A book gives the consumer a great value: a collection of coordinating patterns plus sample album page ideas.
Stickers: Memory Makers magazine recently asked an independent consulting service to conduct a survey of the magazine’s subscribers. One of the questions asked was, “Which of the following scrapbook supplies do you plan to purchase in the next 12 months?”
Consumers’ overwhelming response? Stickers topped the list at 86.5%!
Scrappers will always buy stickers—they are one of the best basics to have, and make an excellent add-on or impulse purchase. Carry packages, sheets and rolls to offer consumers the variety of choices.
Ideas: Idea books and magazines are mandatory! Eavesdrop at any cropping party or online scrapping group and you’ll hear constant commentary on the latest issues of Creating Keepsakes, Memory Makers and PaperKuts magazines. Unlike other types of magazines, scrappers will buy back issues, so don’t worry if you have leftovers.
Idea books like those from Hot Off The Press feature innovative techniques created by professional designers while showcasing the manufacturers’ product. Great for inspiration—and sales!
Albums: It’s important to have a variety of albums in stock, from 12"x12" to 8.5"x11" to smaller 5"x7" gift albums; carry both post-bound and 3-ring styles. Also popular are Therm-O-Web’s blank calendars. Remember, don’t buy deep—buy wide! Stock sheet protectors for all sizes of scrapbooks.
Pens & Adhesives: Basic black pens and a collection of colored markers are must-haves. Just make sure any pens you carry are acid-free. Opaque pens, metallic pens and gel rollers have gone from trendy items to scrapbook staples. EK Success, Pentel and Marvy Uchida are three sources to contact.
Fads: Once you’ve established a solid basic inventory, look at the fad items on the market. Place hot items at key impulse points throughout the department and by the register. It’s important to keep the stock rotating—you might even want to designate a “What’s Hot” section and train customers to check there first for the trendiest items.
Display: The most important thing you can do is group items by theme and identify them clearly: “Heritage”, “Vellum”, “Kids & Childhood” and “Birthday”. This will make the department easier to shop, while tempting scrappers with supplies they might not have considered for a particular theme. It will also make it easier to assist customers during busy times and make restocking the department smoother.
Keep a Distance
While many scrapbook stores are started by passionate scrappers, the most successful scrapbook retailers are those who can maintain a bit of distance from the product and the category. Look at the category objectively. Retailers who purchase only the product that appeals to them personally are eliminating potential customers—lots of potential customers!
Yes, there is plenty of room in the scrapbook market for an independent craft store that knows its competitive advantage and views the market objectively. Don’t let another year go by without tapping into this lucrative category!
