At first glance, this post is going to look like it’s geared solely to stationers. Gift and home accessory retailers, stick with me here…this applies to you too, albeit in a slightly different way.
The world knows my opinion regarding home studios (definition: individuals who purchase the same wholesale lines offered through retail stores then sell them out of their house)-—the bane of every brick and mortar’s existence. This isn’t the only “under the radar” competition you need to consider, though. How up to speed are you regarding Etsy?
For the uninitiated, Etsy is a website dedicated to bringing artisans and consumers together under one roof (think: Amazon for artists and DIYers). As a resource for unique goods that might be resellable, it holds potential; a number of stores I work with use the site for sourcing under-exposed and handmade lines (assuming the price points can accommodate repricing with acceptable margins).
For consumers, it’s a gold mine. They purchase direct from the artist or vendor, often building personal relationships along the way.
Where it comes into play for paper retailers, however, is it’s role as Grand Central Station for home studios doing custom work, sans the overhead and maintenance of their own website…and for a number of your album vendors offering product under alternative names.
Yup. You read that correctly. Some of those smaller lines that sold you pricey wedding, baby, and invitation albums are selling their designs direct to the consumer under another name on Etsy, quietly, successfully, and without letting you in on the secret. Letterpress and anything made using pocketfolders are especially well represented.
Now, before the artists of the world tack my photo on the dartboard (again), let me spell this out in very clear, very concise terms. My concern is not Etsy itself; it’s vendors double-dipping under two names so their brick and mortar accounts don’t find out.
And it’s people who knock off designs sold in retail stores, regardless of whether that product is an invitation, a table lamp, a gift item, or a purse.
So what do you do? How do you approach Etsy in a way that will benefit your store?
Regardless of what kind of store you have, you need to do some trolling around on the Etsy sight to see what’s out there and who’s providing it. Use the search option at the top of the page to located specific types of product, artists’ names, etc. (odds of a brand name you recognize popping up are slim since most use alternative monikers here). Put together a two-column list if you like-—possible items to purchase for resale in the store…vendors you recognize that are in your store already (and what kind of price points they’re offering the public). Combined, they could form a valuable road map for what you want to do next…or not do next.
Stationery store owners who offer in-house design/printing, you have an additional option to consider, beyond looking for new product, familiar lines, or knock-offs. Etsy has proven to be a reliable revenue stream for custom invitations, for both the DIYer and the “give it to me finished” consumer (an example of the former can be found here). So why not jump into the pool yourself?
If you offer in-house design and production, this is an audience you can tap into. Get your designs out there, in front of potential customers searching for creative work. Use your store name or launch this as a separate online division (unlike vendors using alternative names, you aren’t doing an end run around someone you supply), then start posting photos, prices, and descriptions. Offer options for just materials or just design to snag DIYers, regardless of where they are on the expertise curve. With the full complement of multiple sources, vendors, and print alternatives in your quiver (far beyond what most home studios have access to), your options can outpace that of anyone working from their basement or kitchen table.
The internet has been the elephant in the room for far too long, folks. Let’s tame that beast and train the thing to “go fetch.”
Click here to tell me what you think....
This is very interesting. Seems like you can make good money on Etsy – just checked it out. What a good idea. There are lots of HBB stationers on Etsy, I wish I had thought of it earlier. I think I’m going to put my business on Etsy asap. Thanks for the tip Cinda
Hmmm….I’m wondering what edition of Webster’s Dictionery you got your definition of a home studio from? It would appear to be a bit skewed – but it’s not surprising since it’s no secret you loathe & hate HBB’s and you lump them all together in the rubbish pile. Yes, I know you’re trying to differentiate some HBB’s from others with your disclaimers, but you’ve never really clarified your thoughts. As for Etsy, it is so utterly saturated with stationery items that it’s really quite a competitive environment. It takes time to build up a base of customers – time and effort. That’s time and effort that brick & mortar shops wouldn’t be putting into their storefront. Also, it should be noted that Etsy shoppers are bargain hunters – they aren’t on Etsy looking for Vera Wang wedding invitations. You will rarely find retail prices on Etsy. If brick & mortars want to start offering their wares on Etsy, I say go for it. It’s an open market – anyone can get it on it. However, I think they (or anyone for that matter) should be armed with all the pros & cons of Etsy selling. If you’re willing to jump into the Etsy market, be prepared to spend a good deal of time setting up shop, photographing product, posting your products on a regular basis (most likely daily to get any exposure at all), and slashing your prices, sometimes below wholesale, to be competitive with the other goods out there. Oh, and there’s always the Etsy fees you’ll pay to post each item and for each sale too. But if you’ve got the time & money to spend . . . .
I had to laugh when reading the anonymous post by “A.” Am I the only one to notice that the longest, angriest, most confrontational and defensive comments are always from home studios?
To “A,” don’t spend too much time worrying about us poor retailers. We already understand how to work hard and take photos and market ourselves. We also understand competition since we’re out here in the open. You may be shocked to learned that my store has been selling on Etsy for more than a year without being forced to accept discount pricing. If a potential customer wants prices that are outrageous, we don’t take the order, just like in the store. No one has a gun to our heads, or yours, for that matter.
Hannah, it’s hard not to be angry and defensive when Cinda calls HBB’s things like the “bane of every brick & mortar’s existence.” And, trust me, I’m not worried about your retail establishment or shocked to learn you have a presence on Etsy. Heck, practically everyone has a presence on Etsy. I only meant to say that setting up a successful money making shop on Etsy isn’t as easy as clicking a mouse button a few times.
Thanks for the reminder, Cinda. Etsy is something we’ve been considering for some time, having looked into it in great depth a couple of months ago. Based on its use by home studios, I can see we need to move it off the back burner.
I agree with your assessment regarding home based businesses, as do most storefront retailers. It’s refreshing to hear a professional voice call a spade a spade while avoiding being baited into confrontations by personal asides posted here by anonymous authors. I commend you for taking the high road.
Ron Jurgenson
It’s too bad that retailers have such short sighted views of home businesses. I think you’d be surprised at the number of vendors who run their businesses successfully from home, and *gasp* you might even carry their products in your stores.
What I would like to see from this blog is a definitive stance on HBBs. Is it really any business who sells some kind of stationery from their home? Is it a business that only sells albums? Is it a business that buys from paper vendors and creates custom products with it? Is it a wholesaler that offers stationery and cards, but happens to work from home? Or is it all of these? Yes- we get defensive. Most of us are hardworking individuals who work our tails off to make our businesses successful. Perhaps you wouldn’t care, but if my vendors suddenly decided not to do business with me, I’d be out of business. This would adversely affect my family and finances, just like you. This kind of lambasting of HBBs is not only detrimental to stationers in general, but a modern day witchhunt. We aren’t the reason your storefronts are failing.
Anon, Anon, Anon. You speak with such conviction yet aren’t committed enough to sign your name. Like “A” and most of the others arguing that this blog is treating you poorly, you seem to be quite comfortable lambasting Cinda from behind the shroud of anonymity. Doesn’t lend much credence to your biased opinions.
After reading these interesting comments I’d also like to add that I have been in many a retail establishment where the environment was less than professional, the staff rude, the furnishings looking like they came form the thrift store, the selection slim, the stock out of date etc.
Every issue Cinda has with HBBers can be found ten-fold in the B&M retail sector.
B&M retailers are freaking out at the economy right now – it’s obvious from Cinda’s posts. Fortunately, as Cindas has stated, us lucky HBBers have so few overheads and flexible schedules to meet with clients etc that, in the end, we will survive the economic crisis far easier than B&Ms.
I have seen so many B&M retailers close their doors in the last 6 months and I don’t know anyone from the HBB community who is suffering.
B&M stores need to step it up – offer better customer service and more flexible hours. Be progressive and show some positive, creative, reactions to the modern times we live in.
No one wants to see businesses fail – except Cinda perhaps who would like all HBBs to fail. And once again I would like to remind her not to bite the hand that feeds her and her retail friends – you never know when your next customer could be a home based business owner – good grief.
Thank you Cinda! We just landed our first customer on Etsy after only two days! The Alchemy section is one to keep your eyes on if you want to do some custom invitation work. A couple of potential customers were looking for deals, which we passed on, but another is still talking with us so there may actually be two customers to brag about.
Great post!
Yes, I prefer to remain anonymous as listing my name here would lead you straight to my business, does yours? (I’m assuming not after seeing what came up right away on Google) I’m not lambasting anyone, I’m asking for clarification and the end of HBB bashing. So yes, I prefer to remain anonymous because it’s not necessary to bring mine or my business name into the mix.
And of course my opinion is biased, who’s isn’t?
It would appear that we posters are all at odds with each other over what Cinda refers to as HBB’s – but none of us are truly sure what type of HBB’s she’s talking about. I think that the HBB’s that are taking offense at Cinda’s comments are those that are running a legitimate business where we design ORIGINAL products, manufacture them, make our sales to B&M’s, pay our taxes (sales & otherwise), for a fair and reasonable price – all above board and with proper licensing. Negative blanket statements about HBB’s hurt those of us that play by the rules.
After reading your post, we took the laptop to dinner and really explored what was on Etsy then considered how it might work for our store. We are taking your (typically) great advice and getting into the game as well as contacting two of our vendors we were quite surprised to find selling there under a different name. Thank you for opening up a new market for us Cinda!
P.S. We’re really sorry some people seem determined to make this wonderful blog an outlet for their personal opinions about you as an individual. Consider the two of us loyal fans.
Not being from the Stationery niche of retail or manufacture I must confess that this on-going conversation about HBB’s is confusing. I think that all the arguments come from a different perspective and that is the problem. One of the obvious things to an outsider is that the economy is certainly dumping fuel on the flames in regard to the retail storefronts. It has been a trend for a number of years now for customers to search the web to find the lowest price on what they seek and to then ask for a little more in the way of accomodation. The traditional storefront has a much greater overhead than a HBB in that they are supporting a business location as well as a home. But that is our choice and if it isn’t working then we have the option to switch our venue. And it looks like quite a few are taking the steps to broaden their horizon. I can only think that in the next few months as the storefront owners flow over into the realm that is now mostly filled withy HBB’s we will hear another song coming from the other side. I guess what I am saying is that whichever you are, it is YOUR choice. Better to do what you do and use ALL the tools available to you than to castigate those who have found their best solution and are going about the business of business.