A Sign of the Times

Whoda thunk it? Hasbro is introducing a new version of its iconic Monopoly game - Monopoly Cheaters Edition will debut in June.  Hasbro has known for years that half of those who play Monopoly cheat, so they decided to come up with Monopoly Cheaters Edition, which plays more quickly and crazier than the original version.

 

The original Monopoly game debuted in 1903 as a protest against the robber barons of that time - the Rockfellers, Morgans and Vanderbilts.  They were the Progressive Era's one-percenters.  Monopoly Cheaters pays tribute to those in 2018 who believe (or don't care) if the rules apply to them, and those who lie and cheat with impunity.  

 

The pieces that move around the board include a car whose trunk is loaded with stolen money. The top hat covers a pile of money and the dinosaur has a engineered arm that defies the limits of biology.  And to make the game play faster, you no longer buy houses.  Instead you jump straight into buying only hotels.  

 

The new game incorporates several of the most common cheats from the original version, such as stealing money from the bank, moving the wrong number of spaces on a dice roll and taking someone's hotel from the board.  There are five spots on the game board for active cheats such as a bank heist which tempts players to steal money from the bank at any time.  If they get away with it, on the next roll of the dice they can brag about the theft and get an extra bonus for stealing.  However, if they player is caught stealing, they are required to pay each of the other players $100 and they then go to jail.  But unlike the original version, those cheaters who are caught actually have to wear handcuffs that lock the player to the game board.  

 

Hasbro wanted to add more humor to the game so it came up with monikers for different illegal activities. Removing a hotel from the board is dubbed "Surprised Demolition" and sneaking a hotel onto one of your properties is called, "Unlicensed Contractor."  

 

Similar to the original 1903 edition, Hasbro has created a board game that is also a social commentary that speaks to the mentality of 2018's cheating class.  A company executive did point out however, both in the board game and in life, if you get caught, there are penalties to pay.  At least for some there are.

It's Time to Customize

Tapestry is the company that owns luxury brands Coach, Stuart Weitzman and Kate Spade.   The company has now embarked on a program that allows all three brands' customers to customize product offerings to accomplish the following goals:

• Reduce sales and discounting
• Improve pricing structures
• Mine customer data to determine trends and buying behavior in order to speed up the supply chain

Coach Create is available in about 40% of the company's stores worldwide.  It allows customers to design the features on Coach bags and add accessories and monogramming.  The Coach Rogue bag can be completely customized offering customers more than 1 million options.

 

Kate Spade's Make it Mine program gives customers 45 different customization design options and the ability to add accessories and monogramming to jewelry, bags and accessories. Customization capabilities are available both online and in-store. In Kate Spade stores, sensors are activated that identify areas on the bag that are customizable.  Digital screens identify possible changes consumers can make to a bag and there's even a training tutorial illustrating just how a bag can be customized.  

 

Customization enables customers to personalize products and make original one-of-a-kind products. Other luxury brands such as Chloe, Gucci and Diane von Furstenberg have also gotten on the customization bandwagon. In addition to being able to charge full price for customized products, these manufacturers are mining data they might otherwise not obtain because customers are likely to provide more information than they would for a typical purchase.  

 

Lessons for decorative plumbing and hardware showrooms:  

• Partner with brands who offer customization capabilities that allow customers to create their own unique fixtures by changing handles, spouts, finishes, etc. 
• Partner with manufacturers that have the capability to produce custom products.
• Establish databases to track customer preferences for use in future marketing and merchandising.  
• Determine if you automatically need to discount custom products because they are not likely to be available from any other source.

Want to Get More Done? Work Less!

Did you know the reason Henry Ford changed the work week from 48 to 40 hours was to reduce the number of errors that his employees made?  Working extra hours does not necessarily make you more productive. Numerous studies have found that spending more time on a specific task does not assure a better outcome.  In fact, research shows that those who work more than 55 hours per week experience declines in their ability to reason and solve problems.  There is a direct relationship between mistakes and hours worked.  Regardless of your position in your organization, there's a good chance there is always more to do and everything can be improved upon. Productive behaviors, not the amount of time spent on a task or on the job, are the key drivers of quality.  

 

It's also a misnomer to believe that the amount of time spent on a project or task will improve the output. That's not always the case.  In many instances, speed improves quality. An alternative outlook is to view quality not on how much time it took to complete a task, but rather on the impact the task has on sales, profits, the community, the company, etc.  When reviewing your to-do list, prioritize those tasks that will have the greatest impact on performance and metrics. Looking through the impact lens will change your definition of productivity from how much work you can accomplish in a given period of time to the impact the work in a given period of time can have.

Can Decorative Showrooms Follow Brookstone's Example To Deliver More Compelling Customer Experiences?

Brookstone, the retailer of niche tech products, desk toys, massage chairs and other limited distribution products, has been challenged because most of its stores are located in shopping malls, many of which have fallen out of favor with consumers.  Indeed, consumer fraffic in many of Brookstone's malls is down.  In response to this trend, Brookstone developed a new strategy to entice customers to its stores by opening its first Makers Showcase in the Roosevelt Field Mall in Garden City, NY.

 

The Makers Showcase features small, up-and-coming brands, many of which are made from collaborative invention platforms, are crowdsource funded and have no brand name recognition. The goal is to have consumers interact physically with the products, just as they do with other Brookstone merchandise, however the new approach comes with an innovative twist. Brookstone's Makers Showcase is designed to deliver hands-on experiences with new products and offers the opportunity for consumer events where product producers meet face-to-face with customers. This one-on-one interaction allows manufacturers to see customer's reactions first-hand and provides insights as to what works, and helps the "makers" better understand what is important to the customer and what messaging resonates most soundly.  Brookstone benefits by providing consumers additional reasons to visit its stores.

 

Can decorative plumbing and hardware showrooms achieve the same results by emulating Brookstone's experience?  What prevents a showroom from partnering with a manufacturer to create a pop-up boutique in the showroom space?  What prevents manufacturers or their reps from hosting active demonstrations of their products in a showroom in order to provide a more compelling and interactive customer experience while at the same time giving repeat customers, designers and trade members additional reasons to come to the showroom?  Wouldn't manufacturers and their reps benefit from one-on-one interaction with showroom consumers?  Please share your thoughts on the DPHA Facebook page or with our LinkedIn group, we'd love to hear what you think?

Cultural Cues and the Learning Mindset, by Phil Hotarek (Lutz Bath & Kitchen), an Education Committee Member

Preparing for upcoming conferences and meetings creates an opportune time for self reflection.  In a diverse industry, cultural awareness is a valued attribute that contributes to  professionalism.  Digital communication expanded use makes face-to-face interactions more impressionable than ever before.  A "Freudian slip" or cultural misfire when meeting someone from a different country can be awkward, but in fact, your recovery from mistakes can define your true character, given that mistakes are mitigated.  Here are some reminders before the next big event or gathering that will not only make your interactions more natural, but also help keep your mind in a state of equilibrium.

The Learning Mindset
Ambitious, driven individuals with a hard work ethic can easily succumb to a "Performance Mindset," obsessing over results and the perception that mistakes are evidence of underlying limitations.  Obsessing over perfection has a direct effect on the person's ability to use creative thinking skills.  You box in your own personality and begin to panic, which can make a situation seem even more alarming than it actually is.  The Learning Mindset starts with accepting the inevitable. We are human beings who make mistakes.  Keep the creative juices flowing by keeping hearts and minds open.  By eliminating impediments to your ability to think strategically, you become receptive to limitless knowledge and aware of opportunities that present themselves.

Be Prepared
One of the my favorite cheesy sayings of all time is "luck is when preparation meets opportunity."  Nothing is more evident than a person who is prepared.  Know your audience, your demographic and align them with your intentions.  Being equipped with knowledge on cultural cues is a sign of respect and demonstrates an effort in preparation, so long as your interests are authentic and genuine.

Be Engaging
Being prepared also leads to being engaging.  At an event, meeting, or conference listen, observe, and contribute while keeping cultural cues in mind.  The occasional faux pas may occur and if it does, learn from it.  Engage in self reflection and be genuine in your recovery.

Follow Up and Feedback
Follow up is a professional skill that many have not mastered and in our modern age is becoming a lost art.  Remembering the little details after only being asked for something once is difficult to execute even though it is a simple concept.  If something is offered or presented in an interaction, follow up on it.  Did you make a commitment that at the moment seemed like a good idea?  Follow up on it then and learn.  Being open to feedback is another characteristic that demonstrates the Learning Mindset.  Receptiveness makes for simpler communication and the ability to receive feedback creates opportunity to learn and grow.

Overcoming The Pressure on Price

The biggest concern of brick-and-mortar retailers is pricing pressures caused by discounting competitors and online etailers that don't seem to care if their retail operations make money, e.g. Amazon. According to a April 2018 study by Retail Systems Research, 58% of brick-and-mortar retailers claimed their top challenge is keeping up with their competitor's pricing. 

Department stores that constantly discount (i.e. Macy's), the advent of electronic coupons that flood consumers' inboxes daily and access to comparison pricing online has created consumer expectations that they should never pay full price for anything.  The study also found that pricing pressure is more severe in some sectors than in others.  Fashion and apparel retailers were more likely to be focused on pricing pressures and minimizing markdown spending.  More than 33% of Internet users worldwide reported that they receive a promotion at least once a week for a product that they would have paid full price for, reports a survey by Revionics and Forrester Consulting. If you automatically offer discounts, how many of your customers would have expected to pay full price?  As Pogo (a cartoon character from your editor's childhood) said, "we have met the enemy and he is us."

 

How do you avoid pricing pressures?  Offer unique products.  Provide a level of service that can't easily be duplicated by others or focus on specific lifestyles.  Restoration Hardware is a great example.  Restoration Hardware's go-to market strategy is to tap into the aspirations of its customers.  Every customer wants to receive good value.  How you convince your customers that you provide them the best solution for your project is to focus on their aspirations and by earning their trust. Need strategies to accomplish both of those goals?  DPHA is here to help.  Make sure you go to Rob Phibbs' workshop at the 2018 DPHA Annual Conference.

 

In Jacksonville, Phibbs will explain how to transform your corporate culture from one focused on tasks to one centered on the customer.  Well-trained team members can easily explain how a new bath will make clients feel every time they cross the threshold.  There are compelling reasons why a prospect will visit your showroom. The fact is that most consumers tell you they want to be left alone, but the reality is they don't.

 

Phibbs states that survey after survey over the past two decades reveal the inability to receive a greeting, prompt service, or finding an available associate are the most frequent causes of frustration for shopping in a brick-and-mortar store.  When you know how to approach a customer, ask the right questions and actively listen, you earn trust, because you demonstrate that you genuinely care about customer needs.

 

Thought for the day - Did you know that Millennials are more than twice as likely than Boomers and Gen X to say that interacting with knowledgeable sales staff influences their purchasing decisions?

Why Relationships Matter

In his book, The Land of Strangers, Robert Hall writes, "The truth is, relationships are the most valuable and value-creating resource of any society.  They are our lifelines to survive, grow and thrive."  As company leaders, bosses and mentors, what are you doing to help your team members and coworkers build their network of professional relationships? What encouragement are you providing? What opportunities are available and does your team know about them?  What are you doing to help yourself?

 

The inability, unwillingness or lack of awareness of individuals to build their professional network is not confined to our industry. It's a societal problem, writes David Brooks in a New York Times editorial.   Brooks notes that in the 1980's, 20 percent of Americans said they were often lonely. Now it's 40 percent.  Depression rates have increased 10 fold since 1960, yet we are more connected than in any other time in history. Or are we truly connected?

 

Jean Twenge questioned in a 2017 Atlantic article, whether or not smartphones had destroyed an entire generation.  Twenge found that today's teenagers are reluctant to date, less likely to leave home without their parents and more likely to put off the activities of adulthood.  "They are spending more time alone with their digital screens, and the greater the screen time, the greater the unhappiness."

 

How many of your team members are tethered to screens, reluctant to leave the friendly confines of their cubicle?  

There was a lot of talk recently about Facebook CEO Mark Zuckerberg's trip to Washington in mid-April.  The politicians focused on privacy issues and anti-competitive practices. What was not questioned is the societal impact of social media.  There was no discussion that Facebook and its social media contemporaries are contributing to an epidemic of loneliness and social isolation, noted Brooks.  The issue is that heavy Internet users are much less likely to interact with their proximate neighbors and that is having a major adverse effect on the social structure of neighborhoods.

 

British anthropologist Robin Dunbar claims that human societies exist on three levels:  the clan (family and close friends), the village (the community) and the tribe (your larger group).  Brooks notes that cross-class associations of town and neighborhood have fallen apart.  This is where organizations such as DPHA make such a positive difference.  DPHA serves as all three roles, as the clan, the village and the tribe for the decorative plumbing and hardware industry.

 

Relationships do matter. We know that you can't build a professional network behind a screen or within the confines of a showroom. That's why going to the DPHA Annual Conference is a necessity and that's why encouraging your staff to participate at DPHA regional meetings, NKBA chapter meetings, and other industry events is good for your business.  Let DPHA be your clan, village and your tribe.