Showing posts with label economic slowdown of 2008. Show all posts
Showing posts with label economic slowdown of 2008. Show all posts

Sunday, December 14, 2008

That dude who got elected president is right. Change IS coming!

Permit me to lapse into the introspective, self-absorbed mode of blogging that was discussed a bit in last week's post. No, I'm not going to show you a picture of a super clean toilet. But I will bare my soul to the world just a bit.

The topic for this week's post is, "How is the current world economic crisis affecting Wallyware Pottery?" The short answer here is, "A whole lot". Ever since the mid 1980s, I've been selling the majority of my work through fine craft galleries. Since then, the fourth quarter of the year has always been the pleasantly busy time of year with each kiln load filled with wholesale orders that get shipped out of the studio the day the pots are unloaded from the kiln. In our heyday in the late 1980s, I had a potter working for me and two decorators painting for me during the holiday season to meet the demand. We had clipboards filled with orders and at times the galleries had to wait up to six weeks to receive their orders. My overhead was a lot lower then, and the cost of everything has gone up significantly for a number of reasons. Needless to say, I used to make a darn good income when we lived in Los Angeles! But this year, the majority of my steady accounts didn't even place their regular holiday orders, and the ones that did sent us much smaller orders than in the past. So I have a lot of pots in my stock room right now and I'm looking at next year realizing that I need to find some new ways to make money. And I'm not alone, am I?

The one bright spot in all of this is that it has inspired me to be more creative. My online webstore was languishing for a number of years and I'm putting more energy into it now and it's paying off. Thank goodness that my fans are still buying my pots! I'm actually getting more orders than last year through the webstore right now, but the size of the average order is significantly smaller than it was just a year ago. As Bill Clinton would say, "It's the economy, stupid." So with the slower sales, I've been more inspired to come up with new designs. My "What's New" section is a real testament to the fact that I'm trying hard to keep this business from going under. The new 401K mug and that Obama ornament are selling pretty well. This blog and the spin off "Stump the Sage" blog have been wonderfully fun to write, but I'm not sure if the time spent on them has been worth it in terms of sales. I'll probably have the imaginary monkey that writes the "Stump the Sage" blog get lost in a plane crash in the jungle in January. Things either wax or wane, and that project should start to wane soon. But it was wonderfully fun to create and it was nice to get a "thumbs up" from Bret Saunders on the radio last week. So the exercise of writing once a week has been a good challenge for me and I'm glad I took it on.

The other thing that is going to make my business change a lot in the new year is the fact that my assistant, Kelly is leaving in mid-January for a four month semester at sea program. Kelly has been working for me for over a year now and she is an absolutely perfect person to work with. She's great at the details of painting and shipping pots, and she is a true friend who is very easy to get along with. To top it off, she is a distance runner with amazingly similar tastes in music, movies, etc. Having her work for me is like having another way-cool daughter!

So rather than hire someone new right off the bat, I'm going to grind out a couple more kiln loads before Kelly takes off and put the pottery studio in a dormant mode if the orders don't come in next month. And I'm guessing that this is going to be the case, considering my orders have been slow the past few months. We will still have pots for sale in the webstore, of course, and I'll be putting a lot of energy into trying new marketing strategies via the web. But I'm preparing for the worst, and to meet my financial obligations to my family, I'll probably have to look for a paying job. This is a bit daunting as, in all honesty, the only things I'm really exceptional at are making pots, running long distance and rock trivia. One of my goals with all this is not to be a disgruntled middle-aged man who feels sorry for himself. I love a good challenge! But it's going to be damn weird as I haven't had a "real" job since 1978, my senior year in college.

So how do I end this post? How about some nice pictures from earlier this week. On Thursday morning I sent Robin an email and invited her to come up to paint pots for holiday gifts. It's something she and Monica have been doing ever since they can remember. She brought her boyfriend, Noah and they had a nice afternoon raiding the refrigerator and painting pots. Noah is carving out more and more notoriety in the local cartooning scene, and I like his work a lot. It was really fun to see what he came up with for the pots. He's got a comic talk/book signing with John Porcellino coming up on 12/20 at Kilgore Books. If you live in the Denver area, check it out!

Saturday, November 22, 2008

My Thanksgiving Rant

I have never liked the adage, "Money can't buy you happiness". It's so absolute and authoritarian. Yes, I understand its intent: to explain why Howard Hughes' immense wealth couldn't save him from his agoraphobia, for instance. But I really think that this phrase is incorrectly worded. Don't you think "Money can't guarantee you happiness" or "Just because you are rich, it doesn't mean you are happy!" would convey the concept a lot better? I suspect that "Money can't buy you happiness" was created when a medieval king commissioned his slogan maker to come up with some effective propaganda to keep the poor folk from staging a revolution. The peasants were getting increasingly pissed off about their standard of living being so much lower than that of the king, so the king used a slick advertising campaign to secure his place on top of the totem pole. With these grand words plus the zinger, "Money is the root of all evil", a peasant uprising was cleverly avoided.

Unfortunately, the economic news of the last two months has gotten all of us a lot more focused on things like money and potential peasant uprisings. Like most of us, I am totally appalled at the sight of some of the richest men on the planet coming to the American taxpayers with their hats in their hands asking for handouts the size of a small country's annual GNP. Suffice to say, things are definitely weird these days. And I'm really feeling it in this year's holiday orders. I sell over 90% of what I produce to a group of less than a hundred fine craft galleries throughout the United States. Every fourth quarter of the year has been roughly the same for me: we get a steady stream of orders in September and October, and we ship them all out by Thanksgiving. Then we get a bunch of re-orders the first three weeks in December and hopefully we have a really low inventory by the end of the year. This year things are way off. A lot of stores that regularly order with us haven't done so, and the ones that have placed orders are down by about half as much as usual. I feel a bit like a canary in a coal mine.... cough! cough!

The main reason I started this blog is to liven up my presence on the web. The sales in my webstore were phenomenally low in September and October, and I attributed it to the economic crisis. This month, my webstore sales have picked up pretty well up due to an email I sent out to all of my online customers. I'm hoping that the next few weeks will see a lot more sales for us through the internet. But the real question is, what is it going to be like in January? If my accounts are laying low during the holiday season, they surely won't order much at all after New Years. By coincidence, my assistant is leaving for a three month "semester at sea" program the second week of 2009. Kelly is an absolutely perfect co-worker, and she will be hard to replace. So if we have a lot of pots still in our stockroom at this time, I probably won't hire anyone new and I will look for other employment. Sounds like fun, huh? I just contacted an incense distributor in Boulder who is looking for massive quantities of hand-thrown incense bowls. This could be a good fall back situation for me and I'm hoping that it works out. I'll still be producing Wallyware, but only to meet demand. You can only have so many pots in your stock room, right? I'm fortunate that my business is out of my house, because if I was renting a warehouse, this would be an entirely different situation. Rest assured, fans of Wallyware. We are far from throwing in the towel at this stage.

OK... that's enough ranting. Now for the things to be thankful for. While my lack of money does make me somewhat unhappy these days, the big things in my life are good. My family is doing really well. I'm married to a wonderful woman who is doing quite well in her career. Lori's job is a lot more stable than mine: she is a tenured professor at CU Heath Sciences and her career continues to thrive. Our teenagers are quite successful, too. Robin is an English major at CU Denver, and she is the editor of the arts and entertainment section of the school newspaper, "The Advocate". She has a host of side projects in other media, as well. This week she got promoted from intern to freelance writer for the print and online version of the A/V section of "The Onion". Check out her latest article. And Monica is having a very nice year senior year in high school. She has excellent grades and test scores, and she has a really great group of friends. It's fun watching her turn into an adult. So we all have our good health and our varying degrees of success, but it would just be nice to get some more pottery sales right now. Because if I'm working at Wal-Mart a year from now, I don't think I'm going to be quite so happy about the state of things.