Buyback Programs Help After the Holidays


“It’s been a tough couple of years for specialty retail. I appreciate any effort to help us keep margins in line.”

-Karry Blodgette, Spoiled Silly, Inc., Depoe Bay, OR

“I have a compelling story to share with your readers,” Jonathan Domsky, president of Kidorable, tells HCRSourcebook. “With the economy still biting, we are using our creativity to help our customers be as successful with our company as possible.”

The Niles, IL-based company Jonathan and Liping Domsky started in 1997 to create children’s apparel and accessories that are both functional and fun has evolved into a flourishing global enterprise with sales they project to exceed $15 million by 2015.

“After the holidays, retailers inevitably run out of some items they need to reorder, and have other inventory they wish they could send back,” Jonathan says. “Most retailers are forced to put half their merchandise on sale, devastating their margins, and can’t order new spring product until they’ve cleared out the old stuff.”

How does Kidorable help? With the January Buyback Program. “We encourage our retailers to rebalance their inventory by sending back any unwanted Kidorable merchandise for a full credit,” Jonathan explains. “Kidorable even pays for the return shipping. All we ask for is a Buy Back order at least double the size of the return.”

Jonathan’s clients appreciate his company’s efforts, too. “Many of my vendors have made it more difficult than ever to order,” says Karry Blodgette of Spoiled Silly, Inc., “but not Kidorable. It’s not one thing with them … it’s the whole package … they are really a pleasure to do business with.”

To find out more, email Jon directly at jon@kidorable.com and visit Kidorable.com.

-Janet Muniz

 

Babies & Bundles


Babies & Bundles is a newly launched e-store featuring gift-ready, handpicked bundles of must-have baby products. Each gender-neutral bundle is based on a special theme, including new baby, organic, bath time, food, and toys, and is carefully edited to feature only useful, quality and baby-approved items ranging from cuddly blankets to bottle brushes.

Courtney Johnson

“I was frustrated and overwhelmed searching for the right products for my daughter,” Los Angeles mom and creator Courtney Johnson tells HCRSourceBook. “I was working full-time during the day, and then spending several hours each night doing research. It was so overwhelming.”

Wanting to provide parents with the best of the best in baby products and take out the guesswork, Courtney handpicks each bundle item, featuring kid-tested, mom-approved products such as Munchkin bath toys, Baby Silk skincare products, BornFree sippy cups, Oballs and more. Items are beautifully bundled together for a gift-ready presentation.

Perfect for baby showers, holidays, group gifts and more, Babies & Bundles is able to customize bundles as well. Customers may request gender-specific items in their bundles or order unique bundles based on budget and special theme. Hand-delivery in the Los Angeles, CA area is also available for last-minute showers and corporate gift-giving.

-Janet Muniz

 

Wonder!


Click on the current HUDSON’S cover on our website home page to view the electronic version of the July issue!

Marketed as “the first-of-its-kind children’s retailer,” Wonder is set to open its flagship store this November, providing the world’s largest collection of young children’s products and services under one roof. Based in Deerfield, IL, the 135,000-square-foot store focuses on children ages birth to seven and offers a wide assortment of brand name, value-priced children’s basics and consumables that includes everything from apparel and shoes to toys, electronics and furniture, as well as unique, high-quality specialty and boutique merchandise.

Wonder founder and chairman is entrepreneur and father of two Shane Christensen, who developed the concept upon recognizing a hole in the marketplace. Tired of having to travel to multiple destinations to meet his family’s daily needs, he evaluated the current children’s retail environment and found that the existing model was fragmented throughout a variety of retails channels – boutiques, specialty chains, mass merchants, and play and party. His solution is to create a single destination and one-stop shopping solution for all of a parent’s needs.

Focused on something the new company calls a Passion for Parents™ philosophy, Wonder also features a 21,000 square-foot indoor park as well as party areas and a restaurant, coffee bar and bakery allowing kids to play while parents shop – and enjoy some adult time, too. Admission to Wonder’s play area is based on a membership model. Wonder currently employs seven people; management is hoping to launch 19 stores in the next five years.

Taking an eco-friendly and cost-effective approach to the flagship store’s development, Wonder is renovating an existing big box retail space using recycled and repurposed materials and fixtures, hiring Gensler to design the store’s interior and exterior, with the goal to create a retail icon that can become a case study for a cost-effective and sustainable design.

The vision of Wonder has attracted a talented group of former c-suite retail executives including Bill Colaianni, former Walmart chief marketing and merchandising officer for Central America, and former president and chief executive officer of VTech Industries Rick Mazursky.

“I’m truly excited by the Wonder concept,” Bill says, who is now Wonder’s president and CEO. “It’s a great opportunity for me to use 35 years of consumer marketing, retail and general management experience from some of the world’s biggest companies to build something new and exciting.”

Bill also mentions that he thinks it’s an ideal time to launch the new children’s retail concept because spending on children in this age group is largely “recession-proof” – plus, the state of the commercial real estate market allows for  acquiring great properties at very reasonable prices.

Visit WonderWarehouse.com and watch a video of a recent CNBC story about the new company’s progress.

-Janet Muniz

Global Neighborhood of Sesame Street


The Expo 2010 Shanghai China kicked off recently, and American icon brand Sesame Street is there. Big Bird, Elmo, Cookie Monster and the rest of the Sesame Street gang are taking to the stage for an interactive educational program called Magic Map Show. The live event takes children on a journey to five continents to learn about the world we live in, to appreciate and to take care of the environment.

“Big Bird first came to China in 1983,” says Maura Regan, senior vice president and general manager of Sesame Workshop’s Global Consumer Products, “and when he heard about the World Expo in Shanghai, he couldn’t wait to come back to see some old friends and to make some new friends, like Haibao.”

Sesame Street teams with BASF Kids’ Lab, established in Germany in 1997 by BASF, the world’s leading chemical company. The program is designed for children, ages six to 12, to learn about science and environmental protection through fun and hands-on chemical experiment.  Since its introduction to China in 2002, more than 104,000 children have joined BASF Kids’ Lab.

Expo 2010 runs through October 31.

The global brand is taking to the streets – worldwide. On the heels of an historic United Nations General Assembly resolution proclaiming 2011-2020 the Decade of Action for Road Safety,  Sesame Workshop, the nonprofit educational organization behind Sesame Street, has joined the Switzerland-based Global Road Safety Partnership (GRSP) in a move to contribute its educational media expertise to the worldwide effort to reduce the number of accidents and fatalities among children and families. 

Road traffic injuries are a major but neglected public health challenge. According to the World Health Organization’s Global status report on road safety published just last June, 500 children die every day in road crashes, which rank ninth among the leading cause of deaths for children aged one to four years. More children died in Africa in 1998 from road crashes than from AIDS.

“Over the years, Sesame Workshop has harnessed the power and popularity of our Muppet characters to make a meaningful and measurable difference in critical issues facing children and families, from obesity to emergency preparedness,” says Gary E. Knell, president and CEO of Sesame Workshop. “Raising awareness and knowledge of vital road safety behaviors is the key to reversing these statistics.”

Seems the company is making its mark on the virtual world, too. SesameStreet.org was just awarded a 2010 Webby Award.

Let’s hope there’s a “Sesame Street” in a neighborhood in every corner of the world!

-Janet Muniz

HauteLook


Exclusive. For a limited time. From the privacy of your own home or office.

In the rapidly growing online private sale/flash sale business, HauteLook partners with premium fashion and lifestyle brands to create private, upscale sale events at savings of up to 75% off retail prices. HauteLook is free to join and everyone is welcome. In fact, the company just passed the two million member mark, hosting more than 2,000 private sale events for women, men, home, beauty … and children’s products.

“HauteLook is a leader in the online kids’ business, with a dedicated team spearheaded by a veteran from BabyStyle, with a kid’s event almost every day,”  Amelia Woltering, account director at KAPLOW, tells me. “The kids business is one of the fastest growing categories on HauteLook, with 2009 sales growing over 13x those of 2008.”

Amelia says that a partnership with HauteLook allows kids’ retailers brand transparency and control throughout the process, including time, pricing and the look of the event on HauteLook. Retailers also view the event through a private dashboard.

“Over 2/3 of kids’ buyers have never owned the brands prior to purchasing on HauteLook,” Amelia says, “but through the site, brands are introduced to a new, loyal audience for their products both on and off the site.”

Just ask Angel Dear, Peek … Aren’t You Curious and Umi. All of these companies are HauteLook fans!

-Janet Muniz

New Service for West Coast Businesses


Karie Reynolds of Grand Avenue PR usually gets in touch when she’s got news about a client … but this time she wants to let me know what she’s been up to.

“My business partner and I have opened the Grand Avenue Baby showroom at the California Market Center,” she announces. “A new concept in the category, we launched the showroom to help emerging and established mom and baby lines connect the dots between PR and sales.”

Located on Kids on 6 at the Los Angeles, CA venue –  touted as is “the most popular and largest showcase among the United States, with over 600 premium brands from around the world” –  the Grand Avenue Baby showroom serves two very important purposes:

1) it provides emerging companies an opportunity to benefit from Grand Avenue PR’s media and influencer relationships and

2) it offers established children’s lines additional exposure to trend-setting West Coast retailers.

Karie tells me that Grand Avenue PR is the only PR firm in the juvenile products category to offer this unprecedented opportunity to combine sales and public relations.

In addition, the brick-and-mortar showroom works together with the online showroom at www.grandavenuebaby.com to feature a unique, hand-picked mix of quality brands  – and more.

“Visitors to the Web site gain access to product information as well as Grand Avenue Baby blog posts on industry trends and highlights, products, topics and expert commentary and opinions,” Karie says. “Visitors to the showroom in the California Market Center have the opportunity to ‘touch and feel’ product and see it showcased in a retail environment.”

Grand Avenue PR founders Karie Reynolds and Barbie Dávalos opened the Grand Avenue Baby showroom in December 2009 with established sales representative Michael Gonzales of Metropolitan Kids.

Cool Beans, Guys! 

 -Janet Muniz

***NEWS FLASH*** Macy’s announces a new program, Macy’s Open Call, created to offer apparel and accessories designers not yet Macy’s vendors the opportunity to introduce their work to Macy’s Fashion Office.

“Macy’s is continuing to invest in new endeavors that focus on inspiring our customer,” says Nicole Fischelis, GVP fashion director. “The program confirms our commitment to featuring the latest trends by finding up-and-coming talent who can offer us product and design perspectives that are fresh and original.”

The program is available to all designers who are at least 18 years old and use EDI compliant manufacturing facilities. Apply online thru January 31 at www.macysinc.com/opencall. The actual Open Call event is scheduled for February 25 and 26 at Macy’s Herald Square in New York, NY.

Virtual Marketplace for Fashion Professionals


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Are you a new designer, new business, new buyer? How about a fashion student  or a model? Chances are, people who are passionate about what they’re doing want to connect to others industry professionals in as many ways as possible.

For the folks in the childrenswear industry, we’ve got HUDSON’S, trade shows, member associations and others. Now, we can add one more networking outlet to the list.

Banker-turned-entrepreneur Rita Kahn is the president of newly launched ZeePortal, a free virtual marketplace for designers, buyers and models working in the fashion industry.

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Marketed as “the 24/7 virtual trade show for fashion professionals,” ZeePortal combines the power of BtoB commerce sites with the immediacy of online social networking to help designers, buyers, models and other industry professionals connect and do business in today’s competitive climate.

“The heart of ZeePortal is the virtual showroom, an online marketplace that directly connects working designers with an international network of verified wholesale and retail buyers and distributors, contacts developed through my years of experience in the industry,” Rita says. “When you sign up, we will verify your design credentials, so that our buyers know you’re the real deal. Real designers, real buyers: that’s our promise to both sides.”

Users can search member profiles and designer catalogs, fashion news, expert advice, industry events, online chats, exchange rates, stock quotes, classified ads and online order taking. For added security, designers can choose which buyers can access their profiles and catalogs.

ZeePortal is great for designers, students and startups to make connections, get the latest business news and even conduct business in a virtual environment that Rita says “is tailor-made for our industry.” Zeeportal is also a good way to keep products on the top of buyers’ minds, follow up and to do business after the show, “which is when most buyers place orders,” she adds.

Buyers can join Zeeportal for free and their profiles are searchable by geographic region, style (contemporary or classic), store section (children’s, women’s, men’s, etc.) size, price point and type of item. The site is also open to models, students and the others, creating a streamlined environment that fosters commerce and communication from all corners of the fashion world.

-Janet Muniz

Shop Local – the 3/50 Project


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Pick 3. Spend 50. Save your local economy.

This is the message of the 3/50 project, founded in March by Cinda Baxter, a retail consultant and professional speaker with a mission to strengthen independent brick and mortar businesses. According to the website, Cinda has spent 14 years as a successful retail store owner, and feels “an obligation to pay forward the hard earned knowledge and expertise that brought me to where I am today.”

350_project_200x177The 3/50 project encourages consumers to shop local, asking them, What three independently owned businesses would you miss if they disappeared? The initiative explains that if just half of the employed population spends $50 each month at locally owned businesses, it would generate more than $42.6 billion in revenue. Something the local businesses may appreciate.

More stats for thought from the 3/50 project: For every $100 spent in locally owned independent stores, $68 returns to the community through taxes, payroll and other expenditures. Spending in a national chain keeps $43 in the community. Spend online, and “nothing comes home.”

Here is the way the 3/50 project is really getting the word out to consumers: locally owned independent retailers are encouraged to register with the 3/50 project to stay on top of what’s happening with the initiative. If the business takes the next step and lists as a Supporter, that business has access to a variety of free marketing and media materials including graphics for use on websites and in advertising, flyers, banners, enclosure cards – even t-shirts and cool stuff –  plus the listing of the company, complete with a reciprocal link, on The350Project.net. However, it may be interesting to note that a project of this nature really builds momentum from its online connections – the good will of the global community, as it were.

Cinda and the 3/50 do have people talking everywhere, from coverage in the Wall Street Journal, on local television, CNN Monday, prominent blogs … on Facebook, LinkedIn, Twitter and more. The 3/50 project is proof of the power of social media indeed. In more ways than one.

After Kim Crow, style editor of Plain Dealer in Cleveland, OH, wrote about the 3/50 project, she heard from people in her community, many of whom support the 3/50 project, yet many really aren’t interested in shopping local. Some cited the inconsistent hours some local shop owners keep as a deterrent. Some don’t like the keen customer service offered by small stores – where there’s no place for someone who’s “not that kind of shopper” to run, once a salesperson spots them. Others are more interested in the return policies and other services offered by department stores, that may be more convenient for them.

Wow. After talking with and sharing the success of so many local children’s wear shops with our readers – in just the last two years or so – retailers such as Seal & Co. in Summit, NJ … Synchronicity Boutique in Baltimore, MD … Lollipop Junction in Pawleys Island, SC … Heritage House in Miami, FL … Sugarplum Tree in Perry, GA … Me.Me’s in Metairie, LA, Honey Beez in Louisville, KY … Little Threads in Chicago, IL … Kathleen’s Kids in Tulsa, OK … Buns in the Oven in Boise, ID … Side Street Boutique in South Lake Tahoe, CA … Wee Three Children’s Store in Santa Rosa, CA … For Kids Only in Los Angeles, CA … Luan’s Children’s Dresses in Long Beach, CA … Sam Ellis Store in Calexico, CA, just to name a few – it’s a little distressing to me that some folks in the Cleveland area have such uninspired local shopping experiences.

There are  lots of local retailers who strive for shopping experiences with the “WOW” factor … and I’d bet a lot of these local shops are children’s wear professionals.

In any case, certainly the nobility of “saving the brick and mortars our nation is built on” can inspire both consumers and retailers to act. In some way. And that’s a good thing.

-Janet Muniz

Support mounting for CIT Group, Inc.


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The last few weeks have been tumultuous for CIT Group, Inc.  The company, which has been lending to almost 1 million small and mid-sized businesses for over 100 years, is looking at a  second-quarter loss of more than $1.5 billion.

CITGroupAfter learning from the Federal Deposit Insurance Corp. that it has not approved CIT’s application for one of its borrowing programs, late Sunday evening CIT’s board secured $3 billion in rescue financing, which could help the company to avoid bankruptcy.

According to Reuters, “In a regulatory filing, CIT said the cash tender offer for its outstanding floating-rate senior notes due August 17 was the first step in its recapitalization plan. CIT said it could file for bankruptcy if the offer does not succeed. The offer, disclosed on Monday, is $825 for each $1,000 principal amount of notes tendered on or before July 31.”

Needless to say, a CIT bankruptcy can deeply affect the children’s wear industry. According to the American Apparel and Footwear Association,  “CIT funds more than a million businesses-many of them are small- or mid-sized companies. In the case of the smaller manufacturers, more than 90% of the business is done with the thousands of U.S. specialty retailers who have one or more outlets. Industry growth has happened because of available factoring; it has been the lifeblood of the creative process.”

Act Now

CIT has taken its story public and is asking for your help. HUDSON’S has already seen support after our posting on our Facebook page. Please click here to contact your elected government Representatives and urge them to take action now.

-Janet Muniz

Photo Credit: Ernst Moeksis