Smashing boulders, building brands
Ray Allegrezza, Editor in Chief -- Furniture Today, April 16, 2006
I've come to the conclusion that successful companies have at least three things in common: They constantly improve, they continually find new ways to better understand the needs of their customers and they never think good enough is remotely good enough.
Texas-based Four Hands, a successful importer of case goods led by Brett Hatton, is one of those companies.
In a conversation with me last week, Brett told how he and his team had grown the business from first-year sales of $380,000 in 1996 to some $42 million this year. Before I could compliment him on that achievement, he went on to tell me how he's "taking the business apart, piece by piece, to make it more efficient."
Some people might wonder if the guy has rocks in his head to mess with an obviously winning strategy.
Brett would be the first to admit to the rocks — big boulders, in fact. Each year, he and the team identify a boulder, defined by Hatton as "any obstacle to our business." Then, they map out a strategy to smash it.
This year, the company has been working on being far more responsive to customers. "We are on a mission to do everything faster and more efficiently," he said.
Additionally, as part of the effort to better understand its customers, which range from Z Gallerie, Storehouse and Pier 1 Imports to Robb & Stucky and Gabberts, the company asked dealers a simple but revealing question: Why do you buy from us?
Brett admits to being surprised by the responses. "I expected to hear that we had good products and good prices," Hatton said. "That came up, but what was most important to them was our ability, via unique products, to help build their brand, not ours."
Unique designs, retailers told him, minimize complaints from consumers who've spotted identical items on the Internet, frequently for less money.
The dialog with customers also helped the company identify its three brand promises: award-winning design, volume pricing and immediate delivery.
So what's the take-away here? Take time not only to manage the business, but also to improve it.
See you at market!
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Smashing boulders, building brands
Apr 18, 2006
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