Type: chain
Region: deep south
Location: suburban strip mall
Five star rating: Appearance

Inventory

Staff 0

External appearance: I drove past the shopping center twice without finding this store--I just didn't think to drive all the way to the back. But if the store was large as the exterior sign and the display ad in the phone book, it was definitely worth the extra searching.

Window display: A big expanse of glass surrounds the double door entrance. Lots of space inside visible.

Geni Hulsey, president of the Church Bookstore Network, and former manager of The Garden Bookstore at Houston's First Baptist Church

Terri Williams, manager of the bookstore at Oak Cliff Bible Fellowship in Dallas

Martha Brangenberg, manager of Charis Bookstore at First Baptist Church of Indian Rocks in Largo, Fla.

Editor's note: Please be patient as this MP3 loads.

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Type: Independent

Region: Northwest

Location: At a strategic intersection, by a suburban downtown area and a main traffic artery

Appearance:

Inventory:

Staff:

External appearance: Though the corner spot on a major thoroughfare is a prime location, the store's lackluster look made a dull first impression. A roofline reader board advertised a new book title.

There’s no question that Christian retailers need, more than ever, to be on top of their financial game these days. But it’s important that they don’t concentrate so much on one set of books that they forget the others.

At the end of the day, great accounting will only help them keep their doors open. It won’t remind them why they are working so hard to do so, or allow them to maximize opportunities for low- and no-cost promotions.

A Christian Retailing industry survey

Changes in the national and world economies are ushering in what cultural observers refer to as a “re-setting” of consumer attitudes and behaviors.

Rather than being just temporary adjustments evidenced after major events, such as following 9/11, futurists say these shifts are the dawning of a new era of business built on new realities and different perspectives.

Our latest Vital Signs surveys looks at how some of these new factors are affecting Christian retail:

CONSUMER CHANGES

Shoppers at Christian stores this Easter season were more likely than last year to purchase only items that were on sale (62%), while two-thirds of retailers said they saw more evidence of price comparison shopping this year.

Credit card use was up in 42% of the stores compared to last Easter, and just over one-quarter of the stores (28%) saw an increase in the use of coupons. Meanwhile, consumers responding to our survey reported a 46% increase in personal coupon use, indicating perhaps a need for the Christian products industry to look more closely at coupon offers.

Sales of books to help with financial challenges were up in 27% of stores, as were Bible sales (35% of stores reporting higher sales) and special orders (28%). Meanwhile, nearly one in three stores (28%) said they had seen drops in the number of people buying gifts for others and in the sale of products focused on helping people live healthier lives.

The category with the most significant decline was inspirational art, with 65% saying that customer demand was less this Easter than last.

BUSINESS BASICS

Christian retailers are paying more attention than ever to the business side of their operation. Four out of five (81%) are working harder this year to reduce expenses, and three-quarters (77%) are looking more closely at inventory control.

Greater effort is being applied in six of eight key operational areas, including product selection, price competition and customer relations.

The only areas not posting increased attention are church relationships, where 48% are sticking with last year’s level of focus, and employee training, where 60% are doing the same as in 2008 and 5% are doing less.

ECONOMIC EXPECTATIONS

Industry members were more hopeful about their economic futures than they had been on New Year’s Day and in mid-February. In our latest poll, in mid-April, 48% of suppliers said they were more hopeful about the economy, compared to 37% who felt the same in February.

Retailers were not as upbeat, with 38% acknowledging higher hopes in April. However, fewer of them were less hopeful than they had been in previous months. In mid-April only 19% said they were less hopeful, compared to 26% in February.

QUESTIONS

The objective of our Vital Signs project is to act as a catalyst for meaningful dialogue. As you consider the new business models needed in the wake of the economic “re-setting,” use these questions as a starting point:

How could the Christian retail industry answer consumer desire for more coupons?

What might be the result of shoppers wanting more sale-priced items?

Are you doing more, or less, to build relations with local churches? Why?

Jim Seybert is an author and consultant living in Arroyo Grande, Calif. He can be reached at This email address is being protected from spambots. You need JavaScript enabled to view it..

MORE COMMENTS: Hear more from those who took part in our survey. Read individual comments online at: www.christianretailing.com/index.php/retail-focus/vital-signs.

WHAT DO YOU THINK? ...of the findings and comments? Write to Vital Signs at: Christian Retailing, 600 Rinehart Road, Lake Mary, FL 32746, or e-mail This email address is being protected from spambots. You need JavaScript enabled to view it..

Graph information courtesy The Jim Seybert Co. This Vital Signs survey was conducted online in April 2009 among readers of Christian Retailing’s Christian Retailing Update news service. Of 323 respondents, 178 were retailers. Vital Signs is a joint project of Christian Retailing and Jim Seybert, who are solely responsible for its content.

A reformed shoplifter’s personal guide to loss prevention

My palms were sweaty, my heart was racing, and my conscience was already killing me. But, tantalized by the potential spoils of shoplifting, I was ready to take the plunge.

The Christian retailer seemed an easy mark, and a new collection of Christian rock was sure to impress my youth group, who were unaware of my escapades.

And so, with a few quick casual moves, I relieved a Christian bookstore of a cache of products and slipped out the exit. It’s hard to believe that I wasn’t caught, while stuffing enough merchandise under my jacket to weigh down a small horse.

My shoplifting years are long past, yet Christian retailers still face the challenge of preventing theft while making their stores as inviting as possible. Some prefer tough tactics, but I believe that a fresh customer service philosophy may actually be the most effective way to prevent shoplifting.

These suggestions could help make Christian stores a better place to shop, while sending shoplifters packing—without unpaid-for products in their pockets.

RUN THE STORE, NOT THE DOOR

When a shoplifter reaches the security gate, if there is one, it’s too late. Giving chase is a risky endeavor, even for the clerk who is a track star with biceps the size of a professional wrestler. The result may be a confrontation involving a weapon, or with a gang around the corner.

Other considerations include falls, collisions and accidents. Tackling someone may result in liability concerns.

Tip: If your store utilizes a security sensor, don’t ignore a customer who “beeps” upon entry. Savvy shoplifters use devices to buzz the alarm on the way in. That way, after packing unpaid merchandise, they walk out casually—because when the alarm sounds again, nobody bats an eye.

FIRE THE FLOOR-WALKER

Leave the suspicious behavior to criminals. Having someone pretend to shop while scanning for thieves is a ridiculous undertaking. In the movies, the fugitive criminal can always spot the federal agent. It’s no different for staff members playing the “undercover security” role. Anyone experienced at getting the “five finger discount” can pick them out.

Smaller stores: Scrap the spy games. Surveillance comes naturally during organizational and service-related activities.

WATCH THE RESTROOM

Shoplifters love bathrooms because they provide concealment for removing security devices or packaging. Unpaid merchandise is not allowed inside, but criminals don’t follow the rules.

The answer? Keep eyes and ears in the bathrooms while beautifying them. Service these areas at frequent, random intervals to prevent criminals from making use of the stall to transfer stolen items. If a suspicious shopper visits the bathroom, immediately afterward be sure to check the stall and garbage bin for packaging or security tags.

SERVE WITH SINCERITY

Innocent shoppers may understandably be offended by overly suspicious store clerks, so check your attitude. Forget the stale “Can I help you with anything?” approach. Highly thoughtful queries are more effective. Relate to people in a friendly conversational way, no matter what your suspicions are.

Don’t offer people too much unsolicited assistance. Engage, and then move along. Allow someone else to follow up. Employees should share information about suspicious activity casually, such as while stocking a shelf. If needed, re-group briefly at the front counter or staff room to avoid pointing and whispering.

FIND COMMON GROUND

If someone struts in sporting trendy gear and listening to an iPod, send a young staff member over if possible. When a couple enters with a new baby, the expectant or young mother on staff should greet them. This is called “peer matching,” and it is an excellent approach. Why? Commonality.

The more connected patrons feel, the less likely they are to consider ripping you off. Stores with few staff can still make an effort to connect. Review trade publications or Christian magazines to stay in the know, helping to bridge any gaps between you and your shoppers.

DON’T PROFILE YOUR PATRONS

Not all shoplifters are teens with baggy clothes and a bad attitude. A young mother of twins or a man who just parked his Porsche may be trying to pull a fast one. Even senior citizens have been known to help themselves.

The notion that church people never steal is a myth. Don’t watch for suspicious types. Rather, have an eye out for suspicious behavior.

REMEMBER LOVE

Treating customers as you would like to be treated will foster feelings of friendship and loyalty toward your business. Even a kleptomaniac is less comfortable stealing from a friend. Showing respect and love to people who may be out to take advantage of you is in harmony with Christ’s commandment to “ … do good to those who spitefully use or persecute you” (Luke 6:27).

Aim to provide creative services that will benefit your customers, while simplifying store security. Try approaching shoppers with a special discount coupon when the store is busy. Stores that have a coffee stand or kiosk can open dialogue with folks by offering a certificate for a complimentary treat with purchase. With a parent’s permission, a fun freebie for the kids can go a long way in making their experience in your store more memorable.

Personally, I’m grateful that God helped me to learn the lesson of honesty the easy way. I never got into trouble with the law. However, confessing my crimes to store owners was no easy task.

Today, as a Christian businessperson and family man, I still have “radar” for criminal activity, and I have helped prevent several crimes, without the use of force. Becoming more aware and prepared to deal with this issue may be a way of heeding Christ’s admonition to “be as wise as serpents, and as innocent as doves” (Matt. 10:16).

LOSS PREVENTION

Almost half of retail “shrinkage”—the total of which was nearly $35 billion in 2007—is due to theft.

The University of Florida, in conjunction with various sponsors including the National Retail Federation, reported on retail loss and its prevention in the 2007 National Retail Security Survey. The survey found that the average inventory shrinkage (shortage) rate, 1.44% of total annual sales, was down significantly from the previous year, but the dollar value of the loss, approximately $34.8 billion, continued at record levels. Inventory shrinkage encompasses loss from sources such as employee theft, shoplifting, administrative error and vendor fraud.

Retailers surveyed attributed 44% of their losses to employee theft, making it the single most significant source of shrinkage, followed by shoplifting at 34%.

High staff turnover and heavy reliance on a part-time store workforce can lead to inventory shrinkage, as “the part-time worker is less committed to the overall success of the company and is, therefore, more likely to allow shoplifting to occur and to participate in or ignore incidents of employee theft,” the study said.

Trent Halverson is a business owner and freelance writer in Saskatchewan, Canada.

How the audiobook market is changing

While many in the publishing world are talking about non-print content as though it’s a hot new concept, others are quick to point out that the field is actually long-established in one form, at least—audiobooks.

But as the direct-to-consumer digital download revolution threatens to cut stores out of the loop in the same way it has for the music industry, Christian audio suppliers caution retailers against conceding defeat too quickly.

They maintain that the category—the Audio Publishers Association (APA) reported a $1 billion-plus market overall in 2007, 12% up on the previous year—remains a strong Christian retail niche for two reasons.

First, while the personal download trend is accelerating, that pace is slower in the audiobook world according to Dan Balow, publisher at Oasis Audio. He predicts that CD sales of audiobooks will continue to be significant for at least another five to seven years, pointing to APA research for 2004 that found 30% of all audio sales were then still on cassette ... ,” a format that was supposed to die off a decade before it actually did.”

Balow’s point was echoed by Todd Hoyt, president of Christianaudio, who observed that the “CD is still king. As the primary user of audio is still a commuter listening on their car CD player, I would not discount the fact millions of consumers do visit bookstores and look for physical products on shelves they can use immediately.”

In-store burning

David Amster, president of Integra Interactive, admitted to having been “totally caught off guard by the overwhelming interest by stores to burn all audiobook titles in standard CD play.” From next month the company plans to be offering more than 500 audiobooks in three formats—CD, MP3 burned to disc and MP3 download—on its myMEDIA BurnBar digital kiosks.

That and other in-store digital options offer further opportunities for brick-and-mortar retailers once the audio CD does wane, suppliers said. Todd Niemeyer, vice president of Global CBA Sales for Zondervan, said that his company’s Symtio program—cards sold in-store that give access to digital content downloads—has “been very successful in helping retailers be a part of this transaction.”

At Thomas Nelson, Senior Vice President of Christian Retail Sales and Ministry Development Gary Davidson, noted that Symtio was “making an impact into the perception of audio product in the Christian retail market.” Earlier this year Davidson’s company launched NelsonFree, which gives purchasers of select print title editions—currently just business-related—free online access to e-book and audio versions.

At retail, audiobooks demand a good understanding of a store’s customer base, such as at Jireh’s Christian Bookstore in Placerville, Calif. Though women are typically the main shoppers at Christian stores, Jireh’s owner, Bryan Gutierrez, skews his audio fiction selections toward men—because they are his heaviest purchasers, as commuter listeners.

He also incorporates some of the APA’s recommended best practices—presenting audiobooks face-out, on three endcaps bracketing the regular print section, and offering good discounts.

Good visibility

One of the keys to good audiobook sales is visibility. Suppliers advocate moving them from their own section to the general book area. And “don’t worry about depth,” Balow added. “Stock the best of the best ... if that means the top 100 titles and that is all, then focus on that and do it well. Carry the audio edition of the best-selling books.”

If some retailers have been cautious about audiobooks because of what Hoyt acknowledged to be the “suspect quality” of some titles in the past, that is no longer a concern. Zondervan’s Inspired by ... The Bible Experience: Old Testament won the APA Audies awards last year for best Inspirational/Spiritual and Multi-Voiced Performance of 2008. The New Testament edition was overall Audiobook of the Year in 2007.

Along with Christmas, summer is typically the busier selling season for audio, as many people shop for something to listen to when they head out on road trips. But sales of the Zondervan audio Bible and Thomas Nelson’s rival Word of Promise remained strong throughout the last year. Audio editions of William P. Young’s best-selling novel The Shack and the audio novelization of the hit film Fireproof have also been doing well for Oasis.

Balow sees the gap between stores that are making a go of audio and those that are not widening. “When you see some stores giving up on the category and then others viewing it as a solid segment, you have to wonder whether a store is missing something,” he said.

For his part, Hoyt sees Christian retail “embracing audiobooks more than ever.” He attributes that to demand for products not previously available and, in part, to his company’s aggressive pricing—an additionally important aspect for a category where typical $20-plus-range purchases are under scrutiny in the current economic climate.

KEY AUDIO RELEASES

Popular novelist Ted Dekker sees Christianaudio bring Nos. 5 and 6 in his “The Lost Books” fantasy series (Thomas Nelson) to listeners, this month. Each title is read on five CDs by Tim Gregory, and retails for $22.99. In Lunatic, hero Thomas is in hiding with other members of the Forest Guard, while Elyon finds the Chosen Ones facing their greatest threat.

Josh McDowell teamed up with son Sean McDowell to revise his classic apologetic work More Than a Carpenter, which has more than 15 million copies in print. Tyndale House Publishers releases the abridged audio edition, narrated by the younger McDowell, this month, on one CD. It retails for $6.99.

FOX News legal correspondent Lis Wiehl’s first novel, Face of Betrayal (Thomas Nelson), introducing readers to the Triple Threat, a trio of women crime fighters, is narrated by Pam Turlow, whose voicework includes characters in the “Left Behind” audio series. Released last month on seven CDs by Oasis Audio, it retails for $27.99.

“Left Behind” co-author Tim LaHaye’s Jesus: Why the World Is Still Fascinated by Him (David C. Cook) looks at the enduring interest in the figure of Christ. Released next month by Oasis Audio, the book is narrated by the author on six CDs and retails for $25.99.

The audio edition of Karen Kingsbury’s Take Two, second in her “Above the Line” series for Zondervan about Christian filmmakers, will include a cast of voices. Released next month on eight CDs, it retails for $19.99.

Best-selling author Stormie Omartian narrates her own The Power of Praying for Your Adult Children, which Harvest House Publishers releases next month. On five CDs, the title retails for $18.99.

For a more detailed list of new audiobook titles, see the New Releases listing on our Web site, www.christianretailing.com.

We need to close the gap between what we sell and how we really live

Something churned inside me recently when I came across this advice to churches considering opening a bookstore: “If the area’s already well-served by a Christian retailer, the church should give prayerful consideration … to the possible impact on the Christian businessperson who owns the local store.”

I felt the stress faced by local store owners and the church leaders as they seek to be on the front line of ministry together while balancing the budget.

A competitive spirit is just one loathsome foe in the menagerie of diabolical imps you and I fight against as we—the members of the Christian retail industry—desperately seek to live the messages we hope will sell.

I know about the competitive spirit. If I’m brutally honest, I have to admit that I’ve gotten caught up in the industry as I watch my fellow best-selling authors for teen girls progress with rapt self- consciousness.

Though I love them dearly, I am in a constant battle with my flesh.

Today I blasted off a flow-of-consciousness e-mail to a list of best-selling co-laborers. “Frankly, girls … you and I teach teens to avoid being mean girls, but in my heart is always a competitive spirit,” I wrote.

“(There, I said it!) Either I am feeling like I’m ‘not enough’ because you are outselling me or I am feeling like I’m ‘all that’ because I’m at an event with teen girls squashing me to get an autograph.”

I spilled my guts.

I was overwhelmed by the outpouring of honesty that flowed into my inbox.

Vicki Courtney, winner of the 2008 Evangelical Christian Publishers Association’s Christian Book Award (Children & Youth) for Teen Virtue: Confidential (B&H Books/B&H Publishing Group), wrote back: “Even as someone who writes and speaks on this topic, I struggle with my own ‘inner mean girl’ rearing her ugly head from time to time.”

I had to ask if she ever struggled with jealousy in the industry. She was candid in her answer: “Ouch! Absolutely! God spoke truth into my heart through a friend of mine.

“She was speaking on Matthew 9:37—The harvest is plentiful but the workers are few.’ She made the simple statement that there are ‘many rows to hoe in the harvest.’ And then she said, ‘Hoe your own row and quit worrying about the person in the row next to you!’ ”

I don’t know about you, but it gets hard for me to remember that whole “same team” thing when I’m worrying about making payroll for my staff. I can’t tell if I’m the valiant warrior of God who serves beside my sisters, or if I’m the fearful, territorial wimp worried about the bottom line.

I end up sometimes crying out in my spirit: “Will the real Dannah Gresh please stand up?”

Best-selling author Susie Shellenberger, former editor of Brio magazine, who is currently launching a new teen girls magazine called SUSIE Mag, admitted to the same struggle to live what she teaches.

“My greatest area of being un-Christlike is my impatience,” she told me. “I’ve called my accountability partner on the way to a speaking engagement and said: ‘I’m really angry right now, and I’m on my way to speak to teens about holiness. I need to confess this and pray through it before I get behind the microphone.’ ”

I cannot tell you how it made me feel OK to have Susie speak with such transparency. Apparently the real Dannah Gresh is the one who wants to serve God beside her sister, but often needs to call her accountability partner.

Can you identify?

Shaunti Feldhahn can. She’s sold more than 1 million copies of her books and speaks to our shared audience of teen girls through For Young Women Only (Multnomah Books).

She candidly piped in: “I don’t have to be told that ‘the human heart is deceitfully wicked’—I recognize it every day in myself in this industry! I recognize it when I find myself getting a bit jealous over the fact that someone else got that speaking engagement I would have loved, or see that someone else’s ‘competing’ book has sold a zillion more copies.

“I have to instantly and sincerely pray for blessing and favor for anyone I might have those feelings about, since I know that God will use that in their life and my heart!”

Oh, the juicy stuff that transpired in our little best-selling “inner mean girls” e-mail forum. We took time to cleanse our hearts and got things right in this little corner of the Christian retail industry.

I guess what I’m trying to say is that this whole Christian retail thing just works better if we live it better than we sell it.

For example:

As we share Dave Ramsey’s books on biblical finances, can we say with certainty that we are living above the weight of debt in our ministry finances?

When we encourage a weepy wife with a copy of The Love Dare, can we say that we’ve been protecting our own marriages?

Romans 2:21-24 admonishes us with no amount of tenderness: “You, then, who teach others, do you not teach yourself? You who preach against stealing, do you steal? You who say that people should not commit adultery, do you commit adultery? …

“You who brag about the law, do you dishonor God by breaking the law? As it is written: ‘God’s name is blasphemed among the Gentiles because of you.’ ”

We have to be willing to examine our lives to see if there is any potential for hypocrisy. If there is a disconnect between what we are selling and how we are living, our best contribution to the body of Christ is sitting on the sidelines for some rest or restoration.

Leslie Ludy, who penned When God Writes Your Love Story (Multnomah Books) with her husband, Eric, weighed in on this.

When I asked if they ever struggled with living out what they write about, she replied: “A few years ago, Eric and I decided to pull away from full-time touring and speaking.

“We knew that so much speaking was causing our marriage and relationship with Christ to get a second-place focus, and we were beginning to feel the results of burnout.

“It was hard to walk away, but it established a very important principle—if the Truth is not first real in our own lives, we have no business teaching it to someone else.”

If you ask me, that’s living out the message.

Now that you’ve read these confessions of best-selling inner mean girls gone mild, let me ask you something with an extra dose of tenderness:

What does your corner of the industry look like?

International Christian Retail Show: 2009 exhibitor listing

Plan your floor time with this guide to the book, music, gift and service suppliers at the show

See our upcoming July 6 issue for show specials from the 2009 ICRS exhibitors.

3 Arches, #335

AMG Publishers, #1211

Abbey Press, #533

Abbott Hall/Sudbury Brass, #1534

Abingdon Press, #1823

African American Expressions, #2144

Alpha Omega Publications, #1508

Ambassador International, #1452

American Bible Society, #1831

American Church Lists, #825

Amity Printing Company Nanjing, #1751

Anchor Distributors/Whitaker House, #1500

Anchor Wallace Publishers, #2138

Art & SoulWorks, #505

Artistic Manufacturing Corp., #1732

B&H Publishing Group, #1645

BJU Press, #1900

Baker Publishing Group, #1933

Barbour Publishing, #1923

Bardin & Marsee Publishing, #1930

Bargain Books Wholesale, #2130

Beyond Digital Imaging, #745

Black Family Press, #1932

Bob Siemon Designs, #523

Book Depot, #2127

Booklog, #926

Bookstore Manager Software, #723

BounceBack from Cash Flow Solutions, #1247

Bridge-Logos Publishers, #1653

Bridgestone Multimedia Group, #1106

Brownlow Gifts, #717

CASI/QLT, #736

CLC Publications, #1755

CTA (Christian Tools of Affirmation), #710

Carpentree, #400

Casscom Media, #811-813

Cathedral Art Metal, #515

Catholic Book Publishing Corp., #2039

CNI Distribution, #905

Charles Capps Ministries, #1530

Christ for the Nations, #2052

Christian Art Gifts, #750

Christian Focus, #1908

Christian Liberty Press, #2035

Christian Oil Co., #322

Christian Small Publishers Association, #1948

Christian World, #916

Christianaudio, #1624

Christianity Today International, #1433

ClearPlay, #1007

Cliff Weil, #621

Concordia Publishing House, #1815

Cosmos Gifts Corp., #631

Creation By Design, #502

Crocus Art Designs, #500

Crossway, #2000

Crown Financial Ministries, #2009

Dake Publishing, #1714

Dantek Group, #1423

David C. Cook, #1445

DaySpring, #601

Dear Cards, #845

Design Identity, #928

Destiny Image Publishers, #2223

Dexsa Co., #609

Dicksons, #438

Divinity Boutique, #644

EMI CMG Distribution, #913

ERJ Publicaciones, #1531

Editorial Patmos, #2150

Emkay Candle Co., #614

Eternal Pictures, #906

Evangelical Press, #1838

Evergreen Press, #1538

Every Good Gift, #313

Faith Library Publications, #1301

Faith One Publishing, #2238

FaithWords, #1945

Fireside Catholic Publishing, #1545

First National Merchant Solutions, #1244

Foundation Publications, #1601

Franklin Electronic Publishers, #1306

Fun Express, #410

G.T. Luscombe Co., #512

Gale Cengage Learning, #1904

The GoBible, #1532

God’s World Publications, #2144

Gospel Light/Regal Books, #1312

Gratefulimages, #503

Gray Communications (Freedom Begins Here), #1551

Gregg Gift Co./Enesco, #423

Grizzly Adams Productions, #TBD

Group Publishing, #1535

Guideposts/Ideals Publications, #1427

HJ Sherman Co., #314

Hannibal Books, #2135

Harrison House, #2053

Harvest House Publishers, #1203

Heartfelt, #639

HeartSteps, #509

Hebrew World/Century One Books, #2239

Hendrickson Publishers, #1745

Herald Press, #1622

Hermitage Art Co., #1717

Heroes Cross, #3105

His GEM, #613

Holy Land Gifts, #1853

Hope for the Heart, #2227

Howard Books, #2123

Howard Imprinting Machine Co., #823

Howard’s Jewelry, #739

Innovative, #932

Inspirational Closeout Solutions, #2031

Integra Interactive, #922

Intercontinental Greetings, #338

InterVarsity Press, #1409

Ironfish, #309

J.M.S. Marketing & Sales, #1851

James Lawrence Co., #611

Jason Imprinting Systems, #1310

Judson Press, #1302

Kerusso, #530

Kirkbride Bible Co., #1412

Know Him, #944

Korean Bible Society, #2005

Kregel Publications, #1733

Kurt S. Adler Inc., #300

Legacy Publishing Group, #426

Lighthouse Christian Products Co., #430

Lion Hudson, #1637

G.T. Luscombe Co., #512

Meadowbrook Insurance Group, #1246

Mediak, #814

Merry Christmas From Heaven, #513

Moody Publishers, #1913

Munce Marketing Group, #1603

Murphy Cap & Gown Co, #1514

Music Missions International, #1009

Music Wizard Group, #910

NOTW, #807

Nation Promotions/Jerusalem Artists’ Co., #635

NavPress, TBD

New Day Christian Distributors, #1013

New Hope Publishers, #1849

New Leaf Publishing Group, #2023

No Greater Joy Ministries, #1829

Noah’s Ark Distribution, #711

The Northampton Press, #1635

Northwestern Products, #602

Oasis Audio, #1628

Outreach, #1000

Oxford University Press, #1816

P&R Publishing, #1737

P. Graham Dunn, #317

Pacom/Sung In, #1950

Pathway Press, #2049

PlastiCard + Plus, #1248

Praiz POS/Extreme POS, #831

Premier Christian Cruises, #1108

Provident-Integrity Distribution, #817

QuickVerse, #1928

Rainbow Publishers/Legacy Press, #1615

Renaissance Design, #832

Revival Literature/Russian Bible Society, #1633

Rhythm Band Instruments, #501

Robert Spooner Galerie, #623

Rose Publishing, #1609

Ruth Doron Designs, #510

STL Distribution North America, #1700

SW Press Co., #2013

Scripture Candy, #708

Servant Marketing, #306

Shepherd Press, #1353

Singer Co., #712

Siriani & Associates, #839, #1245

Six & Geving Insurance, #1249

Slingshot Publishing (formerly World Christian Posters), #446

Solid Rock Jewelry, #408

Song Garden Music Group, #914

Spirit and Truth Christian Jewelry Designs, #730

Spoken Word of God Ministries, #2045

Spring Arbor, #1435

Standard Publishing, #1522

Strang Communications, #2226

Sudbury Brass Goods Co., #1534

Swanson Christian Products, #945

TAM Retail, #838

TBN The Holy Land Experience, #800

Tabbies (Xertrex International), #1217

Talicor, #606

Tandy Brands Accessories, #733

Thomas Nelson Bargain Books, #1348

Thomson Press, #1953

Trends International, #615

Trinitarian Bible Society, #1304

Truebite, #327

Tyndale House Publishers, #1837

Universal Designs, #411

Warner Press, #1511

Wesleyan Publishing House, #2145

Wholesale Christian Books, #2235

WinePress Publishing, #1345

WingSpread Publishers, #2001

Word Distribution, #1100

Word to World, #2051

WORDsearch Corp., #1850

World Wide Printing, #2017

Xulon Press, #1555

Your Story Hour, #2244

Zondervan, #1623

A life-giving but demanding category needs special care and attention for best results

At a time when every category in the Christian retail market is under scrutiny to ensure that it is performing at a level that warrants the store space it occupies, many have looked to gifts as their saving grace—and rightly so.

With book sales increasingly spread across various retail sectors and music sales taking a heavy hit from online purchasers, gifts have helped many Christian retailers keep their doors open by providing products with the potential for big returns from little investment, and which have not yet been cornered by mainstream retail.

But as the retail market continues to change, so too do the best practices required of Christian stores. Although there are many similarities between Bibles, books and gifts, producers, distributors and retailers also note that there are significant different demands in selling gifts.

Among the challenges: domestic/overseas sourcing, packaging, returns, margins, merchandising, product life spans.

“Not recognizing these differences can be fatal for a business,” said Gary Foster, founder of Gary D. Foster Consulting, and a longtime industry adviser. “This has a lot to do with why publishers seldom produce gifts, and gift companies rarely publish books. However, retailers don’t have the luxury of neglecting either. They need to offer both to their customers.”

For stores where gifts are doing well, dedicating more space and dollars to the category is a given. But as gifts get more attention, some wonder if losing an emphasis on books is ultimately detrimental to their store and its ministry.

“It’s hard to say where the tipping point is, but I don’t feel the majority of my stores are pushing the envelope yet,” said Matt Dickerson, a sales rep for Dicksons. “Everything we do is to bring us to the Word of God, and if a store dilutes its ministry by having too many gifts, then we are failing as sales representatives and buyers.”

Dickerson encourages stores to create a synergy between categories. “I find most of my stores are cross-merchandising well, thus bringing books/Bibles and gifts together,” he said. “This makes for attractive displays and helps get the customer looking for gift ideas to consider books as well.”

The debate regarding which category in the Christian bookstore has more ministry value—and therefore warrants better positioning in store—is not a new one. “It has gone on for at least 35 years that I am aware of,” Foster said. “Frankly, many bookstores have been able to remain in the ministry/business of selling books and Bibles because they also sold gifts. It’s not a matter of either/or, but one of balance and meeting the needs and desires of customers.”

Although books and gifts need to be viewed and handled differently, Foster said those involved with the creation, distribution and sale of Christian products tend to not have the “front of mind” perspective that books are gifts, too. “We typically view books as books first and not as gifts first. Shoppers do not make this distinction,” he observed. “Frankly, they view virtually everything in a Christian bookstore as a potential gift.”

According to industry research, 61% of Bible buyers purchase them as gifts, while 32% of Christian shoppers give books as gifts—compared with 28% of the general population.

“All of these categories are vital and well-shopped in our stores,” said Michael Hupp, who has spent more than 30 years directing retail merchandise teams with Family Christian, LifeWay and Berean stores as well as Kirlin’s Hallmark stores.

MINISTRY EMPHASIS

Now leading Christian Market Consultants, Hupp noted that the ministry value of items like jewelry, home décor, apparel and decorative accessories is “not only underrated in our industry but relegated as inconsequential to a Christian life,” when nothing could be further from the truth. More people are blessed by greeting cards each year, on a case-by-case basis, than by a book because of the volume that is purchased and sent every year, he said.

Of the 7 billion greeting cards sent by Americans a year, DaySpring estimates are that more than 5% have a religious or inspirational message.

Bible, book and music items come in only so many variations, but the non-uniform sizes and compositions of gifts make them unique in their marketing, ordering and merchandising demands. Gifts are very subjective in their appeal, while books and music are usually generic, according to Ken Shirek, sales rep for Magi Marketing, one of the leading Christian gift rep groups.

“Books are almost always driven by advanced marketing—the best-sellers are promoted before release, which generates a desire to buy,” he said. “Gifts are not so driven publicly. We throw them out there and hope they catch on.”

That’s a little unnerving when most gift vendors maintain a “you buy it, you own it” philosophy, Shirek said. While most publishers allow returns of product unsold, most gift companies do not allow returns, making the buying/inventory process for gifts a “roll of the dice.”

Among the reasons that gifts can’t be returned is that re-stocking is labor-intensive. Also, most gift items are packaged in boxes, often with protective wrapping or tissues covering the product inside. Packaging and boxes are often damaged or destroyed by the retailer when removing the product for store display.

“To then send a product to another store after it has been returned and resold but with inferior packaging wouldn’t be acceptable,” Shirek said.

Vendors accept returns of product that is damaged or defective and not the fault of the retailer, and they take back products shipped in error, also paying for return shipping. Meanwhile, vendors who do accept general returns may charge a re-stocking fee of up to 20% of the wholesale value of the items to help cover the labor cost.

Non-returnability is only one in a list of possible reasons that most gifts in the Christian industry come directly from the manufacturer and not—unlike books and music—distributors.

Although STL Distribution North America carries more gifts than other distributors, Rick Regenfuss, vice president of sales there and a former independent retailer for nine years, admits that gifts are not the company’s sweet spot.

“The complexity of gifts—think nonstandardized categories, wide variety of sizes and shapes making bin locations tough, no industry-wide ONIX-type data communication or bar-coding—make it a different ballgame than good old books and Bibles,” he said.

REGIONAL DIFFERENCES

Regional differences in consumer tastes also mean that gift inventories vary more between Christian stores than do books. That there is less uniformity in what gifts retailers need probably also makes it harder for distributors to know what to stock, observed Rick Lewis, owner of Logos of Dallas with his wife, Susan.

While it might appear to be more labor-intensive to have to order direct from suppliers, many retailers don’t see it that way. “This is not a problem to us, it’s just how it’s done,” Susan Lewis said. “Gifts are time-consuming, but I think they are worth it.”

Customer preference makes gifts a hard category to manage for Marilyn Hood, owner of two Sweet Spirit Christian Bookstores in Marietta, Ga., with her husband, Frank.

“Knowing how many of a particular size and color to stock is a shot in the dark,” she said. “How do I tell my customer who wants a different color tote that it may take a month to get the order when people are used to waiting two to three days for a book?”

But despite being a challenging category, gifts are doing well at Sweet Spirit. The reason—more flexibility with pricing.

“We have the highly recognizable things such as books and music at a normal suggested retail,” Hood said. “But we’ve found that with gifts outside of the Christian market, there is some margin to play with.”

General market gift companies frequently offer closeouts in order to bring in new lines. Hood recently bought plaques for 50% off the wholesale price. She paid $2.50 for a $5 wholesale plaque, retailing it for $9.99, or $10.99 to cover freight.

The key, Hood offered, is to shop trade shows and develop good relationships with sales reps to get knowledge of specials. She also networks with stores in different states to find out what’s selling for them. Many secular companies sell Christian items that general market stores might not be interested in stocking. “The downside of that is that you have to order often to get the deals,” Hood said.

Improving margin is a must, and gifts are a good way to accomplish this. “Someone taught me years ago, to take your mark-ups where you can,” Susan Lewis said. “For me, it’s all about ‘perceived value.’ Sometimes we use keystone, sometimes we add 50 cents above keystone, or occasionally we take a more generous mark-up. You need to consider your freight costs, gift boxes, damages, theft and many other factors.”

Lewis also countered a common argument that gift orders often come with errors. “We have more errors on book orders than we do on gift orders,” she said.

At Dicksons, after backorders are filled, the company has a fill rate in excess of 95%, Dickerson said. A more common problem is damage in shipment, with vendors usually quick to offer a credit.

When Lewis orders seasonal product at gift markets, the companies combine orders to be shipped from their country of origin. “When they can do their orders in bulk, they often pass on free freight as an incentive,” Lewis said. “Some will also give December dating for Christmas product purchased at the January or June markets.”

Gifts are one category where two heads—or companies—are better than one. Gift sales reps can prove to be a store’s greatest ally—especially at a time when trade shows are waning. “Sales reps are an invaluable resource with gifts,” said Jan Stanley, gift buyer for Sonshine Book & Gift Shop in Lake Jackson, Texas. In addition to product knowledge, “they also tell how other stores have done with it, what the sell-through is and suggest alternatives if something that you need is not available to fill the need.”

As a result of rep help, Stanley said, “we haven’t been to a trade show in years. We just don’t need to.”

EFFECTIVE DISPLAYS

Making gifts a successful category requires a store to “make a commitment when buying,” Dickerson said. “Dabbling with a little of this or a little of that makes it hard to display and oftentimes the product just gets ‘lost’ on the shelves. I like to see a buyer get excited about a product category or design and buy in depth, so that the display makes a statement.”

Like other categories, the gift department has been impacted by the downturn in the economy. At Sonshine Book & Gift Shop, where gifts—not including wall décor, cards, jewelry and apparel—occupy 60% of the floor space, overall sales thus far in 2009 are comparable to those in 2008, but gift purchases were down 7% from between February this year and last.

“Our merchandise at Christmas was second to none among home décor stores in our county, and at the end of the season our shelves were bare,” Stanley said. “These are very uncertain times and what people see on TV makes them nervous. People are holding onto their money.”

Gifts—with the exception of dishes, platters and candles—often fall into that category.

“Eighteen months to two years ago, customers were very loose with what they bought and picked up odds and ends,” Hood said. “People are coming with specific needs today. ‘I need a birthday gift for my friend,’ or they have a coupon. People are still buying, but where they were spending $50 for a wedding gift, now it’s $25.”

Donna Baker, gift buyer for Dightman’s Bible Book Center in Tacoma, Wash., reported gift sales holding steady, but said the economy has forced her to tweak her sales strategy. “Gifts that sell are in the reasonable-to-inexpensive price range. I am staying away from large, expensive wall art.”

Bucking this trend is Robert Spooner Galerie, whose average selling price has gone up a net 15% since the start of the recession.

“The higher end is selling the best for us even in this downturned economy,” said Bob Spooner Jr., adding that “gift” or “gallery” in a store name goes a long way in making customers shopping for fine products feel like they’ve come to the right place.

“(Customers) want to spend their money on something lasting, rather than smaller ‘gifty’ items that will possibly end up in a garage sale later,” he said.

MAINSTREAM CHOICES

Christian stores willing to try mainstream products have been finding success. Keith Schwartz, owner of Divinity Boutique, told of a mall-based store operator who became a distributor for Ganz’s “Webkinz” plush pets when his business was down.

“He created revenue, increased store traffic and created a reason for consumers to enter his store,” Schwartz said. “Many of these people were new customers who would not shop in a Christian bookstore.”

In similar vein, last year New Day Christian Distributors began building relationships with mainstream suppliers such as Fisher-Price, Mattel, View-Master, Crocs and Jibbitz. “(What) we have found, through working with these companies, is that there are Christians who work with these companies who want to see the Christian marketplace succeed and want their products to be a part of that market,” said Michael Turner, New Day’s director of special products and markets. “These companies are willing to design new products specifically for the Christian marketplace.”

Christian stores must look for avenues that will set them apart from mass merchants as well as other secular stores, according to Peter Trovato, vice president of sales and marketing for Kurt S. Adler.

“An important way to do this is to create unique displays,” Trovato said. “Mass merchants have many stores to deal with, and each store within the chain must look the same, thus they use plan-o-grams and templates. Independent Christian stores have the advantage of being able to spend time and effort on creating beautiful and inviting displays that are unique to their store.”

Logos’ Susan Lewis said individuality means keeping your community in mind. “Shop for items which fit your community,” she said. Her customers enjoy products made by community artists with unique gifts, especially crosses and jewelry.

Knowing the customer also requires stores to anticipate their needs. Divinity Boutique is offering ream rolls of Christian-themed gift-wrap in the hope that stores will want to wrap items as a free service. Divinity’s Schwartz said gifts are the only category where a consumer cannot get the breadth of assortment online or at a big-box retailer. “In my opinion, the stores that will survive in this economy will be changing their product assortment to 50% gift product,” he said.

“The complexity of gifts ... make it a different ballgame than good old books and Bibles.”

—Rick Regenfuss, vice president of sales, STL Distribution North America

GIFT TOP SELLERS FOR 2008

From church supplies to gourmet to stationery, the inspirational gift market opens up wide-ranging possibilities for today’s Christian retailer to increase store traffic, deliver add-on sales and support church ministries. Take a moment to consider the possibilities by examining some of last year’s best-selling $10-$30 gifts in the broad categories below.

Albums

Baby Girl baptism aluminum album (Dicksons) $13.99

Apparel

2008 VBS Power Lab iron-on transfers (Group Publishing) $12.99

Book & Bible Accessories

Bible highlighting kit (G.T. Luscombe Co.) $12.99

Church Supplies

Communion cups (Standard) $19.99

Games/Toys

VeggieTales steadfast pirate ship (Dicksons) $29.99

Gourmet

2008 VBS Jerusalem Marketplace large herb and spice kit (Group Publishing) $12.99

Home Décor

Reusable plastic candle holder (Emkay Candle Co.) $22

Jewelry

Christ’s Story beaded bracelet (Roman) $15

Kitchen & Dining

Parable custom tea for one (Brownlow Gifts) $25.94

Miscellaneous Gift

Sparkle dome holy family with angel (Dicksons) $12

Stationery/Cards

LuxLeather memo block (Christian Art Gifts) $12.99

Wall Décor

Nativity cross (Dicksons) $10

Lists based on sales data for Jan. 1-Dec. 31, 2008, provided by Christian Books & More Gold and used with permission.

Type: Chain

Region: Northeast

Location: At the end of strip mall across parking lot from mall, next to empty store.

Appearance:

Inventory:

Staff:

External appearance: The large purple sign with white letters on the store front were clearly visible. The store name on the back of the building was also clearly visible, even from inside the food court of the nearby mall-excellent use of that blank space on the store back.

Type: independent

Region: Northwest

Location: back corner of a strip center in a middle-class suburb

Appearance:

Inventory

Staff

External appearance: The phone-book ad promised "over 7,000 square feet of Christian products," but even anticipating a large store at a specific address, extensive sign clutter in front of the horseshoe-shaped strip made it difficult to find the store.

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In our first "Retailer Roundtable," Editor Andy Butcher chats with Janet McKinley, assistant manager and gift buyer at Lakewood Church Bookstore at Lakewood Church in Houston, and Sara Peters, manager of The Living Word bookstore at Southeast Christian Church in Louisville, Ky.

Editor's note: Please be patient as this MP3 loads.

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Let’s be Frank. As in, Sinatra. It’s time we started singing a new song in our industry. Let’s replace the “My Way” solo with a lesser-known number from the man’s catalog that could feature a choir—such as, “Together.”

Tough times can make us open to new ideas, and I wonder if the day hasn’t come for a whole new level of cooperation to be pursued in our Christian products world—started and modeled by our three trade associations.