Craftsman House

Jeff and Stephanie Schorr, co-owners
St. Petersburg, Fla.

Have you reduced your inventory levels? What needs to happen before you will feel comfortable increasing your inventory levels?

We decreased our open-to-buy dollars in 2008. As a relatively new gallery, we did not have to reduce our inventory. More important, we shifted away from higher-ticket items. Most of our artists have worked with us even more in this economy. They have offered increased terms, and most jewelry artists are willing to trade out slow-moving inventory.

We can react quickly. We closely monitor our monthly numbers and adjust immediately. Rather than cancel orders from artists, we pre-book less, and anticipate ordering ‘at-once’ inventory if needed.

What indicators do you need to see before you’ve decided that the economy is indeed improving?

Before we decide that the economy is improving here in Florida, we need to see our same-month comps consistently increase from the previous year.  We are also watching the high-ticket items.

Are you advertising consistently?

We do not do a lot of traditional advertising. We do advertise in our downtown map and guide. With St. Petersburg being such a strong arts destination, this outlet is geared towards the large tourist market that we have here in Florida. We also partner with local galleries in our downtown arts association. The increased traffic from this group brochure, website and monthly gallery walk more than pays for itself.

We have started the St. Petersburg Independent Network (SPIN), an organization that unites local businesses to educate the community on the benefits of supporting their locally owned, independent businesses.

What are a few other ways you’re preparing for the rebound?

We are looking for incentives from our artists.  Some offer free shipping or show specials. We are also looking for great-quality, higher-margin items.

We constantly re-merchandise, rearrange and freshen up old inventory with new products.

We stress geographic exclusivity from our artists.  This keeps our product mix unique in our local market.

What have you noticed in terms of consumer confidence?

So far our customers are still being cautious, drawn to more reasonably priced items.