A Great Start

We recently sat down with 15 industry executives in Chicago to take a close look at how the gift industry is structured, and if there are changes that can be made to restore it to profitability and growth. Pretty elementary, you might think. But our industry is unique in that it is so big, and yet so fragmented. With thousands of players making thousands of individual decisions on a daily basis, there's no single voice advocating our common interests. The meeting of executives, representing manufacturers, reps, trade show producers, retailers, and publications, was arranged by USA (United Sales Association), the two-year-old organization of gift industry professionals, which is seeking to establish itself as that single voice. Among the many topics hashed out at the session were: getting a handle on the cost of doing business; attracting young people to organizations known for offering low salaries and few benefits; and creating product specifically for the independent retailer. They also addressed the 15 percent rep commission: should it be paid across the board, or based on the services each rep provides? And how relevant are trade show cycles that were established in the days when products were made just two states away, rather than 10,000 miles away? By the end of the day-and-a-half session, the group had fashioned a five-point Gift Industry Action Plan, which will be released at the end of October. After some revisions, it will then be presented for approval by the full USA membership at the association's annual conference, November 19–20, in Amelia Island, Florida. It's a great start.

Turning back to the retailing side of the business, in this issue we present our 2004 Retailer Excellence Award (REA) finalists in the Store Design category. These two examples of specialty retailing couldn't be more different. One is a prototype store for chain merchant Mikasa; the other, The Burlap Horse, is an independent located in the historic town of Boerne, Texas. And yet, both retailers had the same goal when planning their stores: to attract and engage customers through exciting design and dynamic product presentation. See what you think.