What information sources do you use to improve your business?

Trade magazines are my number one source. I sign up for anything that's free, and pay for the ones I know are relevant, including Gifts & Decorative Accessories. I have a library of trade books, as well. Beyond that, I make use of organizations such as the Small Business Administration and the Service Corps of Retired Executives. The latter will match you up with someone with experience in your industry who is retired. They can help you analyze your business and offer free advice on advertising, marketing, and financial matters. We also use the chamber of commerce as a source of local information, such as the best insurance firm to choose.

Popular culture magazines like InStyle, Martha Stewart Living, and Victoria mirror our industry. It's flattering when I see that I'm already carrying what they show. But they also tell me what people will be asking for. They're a good barometer of color, style, and other trends. Trade magazines such as Gifts & Decorative Accessories tell me what other shops are doing, and how well they're doing it. Since other industries deal with many of the same issues as we do, I visit the business section of bookstores when I need statistical data such as average sales volume by month and by category, what profit margins per transaction are and how to improve them, and how to prevent the bottom line from hemorrhaging.

Our most important source is our retail consultant. He works with all sorts of different businesses, so he really has his finger on the pulse of the industry, a real broad sense of what's going on in retail. He gave me an open-to-buy plan, and tells us when we need to put things on sale or cut back a little on previous sales. He also gives us suggestions for promotions. I read Gifts & Decorative Accessories and other trade publications, and even fashion magazines. It's always good to know what's trending, across the board. I read books on customer service and use the Internet to research new ideas. I'm always looking to eliminate downtime by finding different ways to encourage traffic, and generate new ideas for promotions.

In order to excel in retailing, information is key, and the ability to respond to a situation within a business context is critical for success. I need information every day to run my business. I need sales information and merchandise turnover information. I read every trade journal on the market to get as much information about retailing, wholesaling, and shopping in general. I read anything and everything I can about consumer products to see what's hot and who's copying us. I look for trends such as buying patterns by income, rankings of what categories are selling, how the major retailers are doing versus discounters, and the latest on high-end stores such as Neiman Marcus.