the good buyer and the great buyer...

...taking it one step further is the difference between being a good buyer and a great buyer....

We started writing HOT CAKES ten years ago in an effort to spread the techniques and tricks of our good jewelry buyers and help translate that information to all our buyers...

As retail gets more and more competitive, being good at buying might not be good enough. The customers expectations are getting higher. They want great merchandise, well priced and well merchandised. They want a clear vision, consistent product, and they want to know they will be able to find what they want NOW.

So, what makes a great buyer? What does a great buyer do over and beyond a good buyer? We’ve been asking ourselves this and watching our buyers for clues. This is what we see..

a good buyer knows the lines in the market...

Know what lines are strongest in each category, where the bargains are, and who has consistent quality and delivery. Being aware of the market is essential.

a great buyer keeps looking at the lines to see how they are changing and evolving...

Lines are evolving continually and new product is brought to market every season. A line that was irrelevant last season, could be your best seller this season.

Avoid assuming that a line is not for you. It could have changed. These prejudices cost you sales. Looking only takes a moment, and keeps you up-to-date on the marketplace.

a good buyer writes complete, well-thought out opening orders...

Thinking through an opening order before choosing actual styles will greatly improve the sell-through of the line. When writing opening orders, take into account these three ideas: visualize your order, think in terms of quantities not dollars, and determine how you will display the product. read more...

a great buyer thinks about the reorder when writing the opening order...

Writing a follow-up order when you are writing an opening order is savvy use of your time. Especially if the line has a delay in delivery which might cost you valuable sales. Writing it at the same time gives you flexibility and quick response when it is time to reorder.

Keep the reorder on file to add or edit later, noting the lead time required. If delivery is expected to be delayed, submit the reorder at the same time as the original order. You can always cancel or delay an order if sales are slower than expected. For many lines, the opportunity to add last minute rush orders is just not available.

a good buyer has systems for ordering “stock items”...

Some jewelry lines are so consistent and strong you basically order by assortments or by quantity needed. These are lines that you do not want to let the inventory drop. Counter-top spinners are classic examples: they need to be full to look good.

Jewelry that you keep in stock consistently should be on a reorder “par” system, always keeping a minimum amount on hand. Decide your minimum and ideal amounts, set a regular inventory schedule and reorder amount needed for par stock.

a great buyer delegates and automates ordering of “stock items”...

Time is the most valuable commodity we have, so don’t waste your valuable time ordering items that are basic. Delegate to your staff the responsibility of ordering these items. Create a budget and give them guidelines for ordering. Delegating assures the product will be ordered on a regular schedule, thus avoiding the missed sales of a basic best-selling line from lack of inventory.

a good buyer has a strong theme in each order...

Too often buyers randomly pick out a few pieces they like from a line and when the order arrives are surprised how piece-y and unappealing the order is. There are limitless amounts of themes to unify a jewelry order, but the essential part is thinking the order through before you start picking items. read more...

a great buyer has a strong overall theme for the store...

Having an overall vision for the entire store before doing buying creates an even stronger appeal and store image. Having an overall concept and keeping it in mind while buying and looking for lines, creates a strong visual identity for your store and create wonderful merchandising opportunities.

a good buyer has general merchandising ideas...

Knowing how you will merchandise product when you are ordering is crucial to a strong order and subsequent sales. Will you be merchandising the product on a rack, in a case, or some other display? Knowing how it will be merchandised will help you know how much you need to order. read more...

a great buyer knows exactly how each order will be merchandised...

Know how many pieces fill the rack if that will be the merchandising used. Think through each side of the rack, and order product to paint a picture accordingly. Order backstock items as well, so the rack doesn’t look picked over after the first weekend.

If you want to display the product on some other fixture, order the fixture at the same time, or make notes as to the specific amount of props or fixtures you will need.

a good buyer creates special seasonal merchandising opportunities...

Christmas is obvious. Everyone does it. But what about the rest of the seasons: Chinese New Year, Valentines Day, St Patrick’s Day, Easter, Mother’s Day, Father’s Day, Graduations, Weddings, Fourth-of-July, Back-to-School, Halloween, Thanksgiving and more. The list of special events you can create is endless.

Merchandising for these holidays will create additional sales and customer interest. Create your own holidays, like dog-days-of-summer, or beat-the-winter-blahs. Check your local chamber of commerce for special events they may be promoting as well. read more...

a great buyer has a yearly seasonal merchandising plan...

Think your seasonal plan out for the entire year and write your orders when you find appropriate merchandise. Keep the orders together and submit them in time to arrive before your “season” starts.

a good buyer orders the latest trends for her store...

Follow the trends, watch your customers, listen to their requests. They will tell you what they are looking for, and if you know the market place, ordering these items will be easy.

Don’t make assumptions! Even if your customers are not young, hip trendsters, the theory still applies. The desire for the new fun little trend item is ingrained in the American psyche. read more...

a great buyer looks ahead and leads her customers to want a new trend...

Do your research on upcoming fashion trends. Order enough to show your customers what is hot, how to wear it, and that you believe in it. Tell your customers that this is the newest and hottest trend. Spell it out for them - name the trend and make the price clearly visible.

a good buyer thinks through the retail pricing when ordering...

Keystone (double the wholesale price) can be the kiss of death to jewelry sales. Often this leaves the price far below the customers’ expectations, and they will not buy, thinking the product cheap and unappealing. They have expectations, and often it is essential to take a three to four times markup to properly price jewelry.

a great buyer determines retail pricing for maximum profit...

Maximizing the items that you get a great mark-up on is the key to bigger profits. Don’t go into autopilot when pricing. Within each line there are bargains to be had. Maximize these finds when ordering and mark them up accordingly.