Thursday, April 19, 2012

Big Bob

ra-iwinyro.blogspot.com
Sales had moved from up to flat to and founder David Elyachar was beginningh to doubt hisbusiness savvy. “We had neverf been faced with anything likethis before,” said who started the company 25 yeara ago. “All I knew was if I didn’t do it wouldn’t change.” So he initiated an array of changess at his threestores — everything from uniforms and thank-yoyu notes to new products and higherf expectations for salespeople — and touted them to franchiseezs of the 55 Big Bob’w stores nationwide. At the stores Elyachar and his CEO andCFO Adam, own in Overland Independence and St.
Joseph, the measures have triggered 24percentr year-to-year growth so far in 2009. Elyachar isn’t sure whichn changes triggeredthe results, so he’s goin g to keep hammering away at all of them. Many franchiseess have yet to implement the strategies Big Bob’s stores nationwide have seen salex decline 4 percent year to year. “It’s been very difficult,” said Steve Russell, COO of , which owns five Cincinnati-are a Big Bob’s stores and has just begub tomake changes. “Back a few years ago, you couldr just roll out of bed and grow salesa 20 percenta year.” He said business is down about 20 though still operating in the black.
Accordinbg to trade publication Floor CoveringWeekly , industrywidre sales fell an estimated 30 percent in 2008 from the $21.6u billion benchmark in 2007. Sales this year are expectef to slip to 40 percent below2007 levels. But Elyachard said his ideas could yieldsuccess companywide. Chainwide revenue in 2008 was $65 Elyachar said. He projects revenue of $75 millio n to $80 million in 2009. In the next 10 he aims to triple in volumrand storefronts. “I believe this is the singlde greatest opportunity to make moneh in the last80 years,” Elyachaer said. Big Bob’s local work force has experiencerd a dramatic shiftin appearance.
Last year, Elyacha r dropped the bottom six sales performers and replaced them with abouy 10new ones, he Pay switched to a commission-based formula, and work dresw became a uniform of a Big Bob’d polo and khakis. Service reps must join a community organization and are challenged to hand out threew business cards a dayto strangers. Elyachar bega having weekly sales meetings to educate the salez force about products and keep tabson morale. Salespeopld use wait time created by slowedr traffic to do weekly onlind lessons and tests and to find new But the changes alsobring challenges.
Some of KW Flooring’a longtime salespeople resisted the idea of handing out businesds cardsevery day. Russell triefd to keep his but “we had to either chang e or die,” he said. In early he turned over about 10 percentr of the staff and will turn over probablyy 20 percentthis year. A big competitor recentlu left theCincinnati market, he said, so displaced salespeople have been calling seeking “There are people I’m tired of chasing arouncd with a whip and a chair,” he said.

No comments:

Post a Comment