Success by thinking small
Finding businesses and people who have become successful by thinking and staying small is a pleasure of mine. “Small is cool” is about people and business who have found success by traveling a different path. The competition in the nursery trade is fierce, with the box stores bringing in the very suppliers that at one time we’re exclusive to the independent channel. Trying to compete on their scale is impossible for most smaller garden shops, so we need to find a different way. I see examples of different businesses who have achieved some success, however they define it, by staying true to their beliefs and staying small.
Today in SFGate an article titled, “Wine shops find success in thinking small”caught my eye. Wine merchants have many of the same concerns as garden centers might have. We read that, “of course, great wine boutiques have been here all along. But in recent years, those who deliberately chose the small path have seen customer loyalty survive even when the recession pushed a $60 splurge down to $20.” It continues with, “supermarkets and large retailers like BevMo have always offered ease of shopping – although at times it feels like I’m staring at a long row of wines that came from the same big spigot. But buying wine is becoming more intimate. Customers are willing to pay for expert curation.”
So while the big suppliers like BevMo and Costco will always have a market, these wine merchants in the SFGate article have found a way to survive and thrive by, “…downsizing. Similar to what happened on Bay Area wine lists, buyers decided they didn’t have to be all things to all people. Stores could be smaller, which meant lower rents and the chance to do one thing really well.” Some garden centers are starting to see this, and are headed in that direction. Should you?
Interesting story. We started out 30 some yrs ago focusing mainly on perennials, annuals and more than anything containers. This was before they became the big thing. Over the years our town grew and we grew with it-expanding into just about everything. But along with the growing town came the boxes and other garden centres large and small. We are now in the process of “going back to our roots” as the saying goes. It is not an easy process, it has taken a lot of thought and more than a few sleepless nights. But its the future for us now.
Jack, that is the hard part for those of us who have been in the business for so long. Talk about sleepless nights! Many of the assumptions we use to have, no longer apply. I was talking to another tradesman the other day. He said that when people realize that the service, quality, and selection is just not what it’s cut out to be at the box stores, they will show up at the local IGC. The problem these days is many people equate the “nursery” at the box store as THE NURSERY. What’s an IGC? We’re fooling ourselves if we think the majority of people even know what an IGC is. So my answer is like yours. Focus on a smaller niche, get to know our customers, and give them the means to spread the word. More craftsmanship, less selling. Let the service, quality, and customer speak for themselves. The sales will follow.
Just like Jack we started this process of moving backwards ….and loving it . It has its problems and worries ! we will have less staff ,less turnover,more profit after a few years pg,manage our bank and explain our turnover is down {that is next year }.We are having lots of fun with our new customers and trying to shake off our landscape ones that we no longer want ! Building is not easy as we move from trying to increase turnover to increasing profit we hope ….turnover is vanity profit is reality !
I hear ya. I like to think we are actually “moving forward” by changing our focus. It might be “moving backwards” in the sense of using some of the ideas and methods we use to use in the “old day’s”. Anything that can keep us sane, healthy, and profitable is OK. Take the sanity or health out just for profit, and it’s just not worth it. Best of luck in your new adventure.
Thanks Trey …strange types as we look for these new paths forward ….thanks for all your thoughts and ideas !
That should be strange times ! I am sure we will also meet strange types !!