Monday, August 13, 2007

AT-43 Availability

Rackham continues to deny any problems and blames distribution in this email:

I know that all the distributors got their books, in the numbers they ordered. I also know I have no restock order from them on these products. I finally know they don't stock our products, but prefer to order the amounts they got in preorder.

We'd like to be able to give you a better answer, but sadly, the distribution system in the US doesn't give us any control on what the distributors want to order. I have heard many times of one or two of them who voluntarily order lesser quantities than they need on our products, because they don't want to spend too much money at the same time. Then, they split the quantities they have between the customers, and blame it all on us. Sadly, we cannot do anything against that.

Distribution has some choice words for Rackham, but lets say they feel Rackham is being less than truthful.

Sunday, August 12, 2007

XM

I bought the XM Satellite receiver today. It was an Audiovox XMCK-10A. I'm meeting with my electrical contractor tomorrow and I wanted a clearer understanding of what he had to do with this thing to get it working. Apparently not much.


I decided not to get a car kit, realizing that I would never be able to actually take the receiver home because of the new store hours. However, I discovered that they now sell all receivers as car kits. It's the home kit that's the option. So now I've got a car kit I'll probably never use.


Installation was very easy and straightforward. I was pleasantly surprised that I didn't have to be too exact in antenna placement. With satellite TV, even an inch or two can make a big difference with dish placement. With the radio antenna, you could be five feet away from a window with the receiver behind a piece of furniture and it works fine. That should make store installation easy.
I also bought my wife a portable DVD player. She'll be spending a lot of time in the hospital over the next couple of months and this should help pass the time. I got a Toshiba SD-P1900SN. It's pretty impressive. The nine inch screen is clear without any jitter like I expect from running DVD's on my laptop. It's got adequate sound, although I bought her some noise cancelling head phones as well. This particular model has two headphone jacks, so we can watch and listen to movies together on trips. At 4-5 hours, the battery life is also impressive.





So how were the electronics stores? If I wasn't concerned about the project timeline, I would have ordered online in disgust. The sales people were MIA at Circuit City and it took two visits to finally figure out what I needed (three if you count the failed attempt at Best Buy). This is the kind of store where there are two guys who know what they're doing and a bunch of young kids running around in confusion, hoping to find those two guys when a customer has a question.

Best Buy had helpful sales people, but a messed up sales floor. They had one of those portable staircases parked in front of the DVD players. I had to climb inside the metal frame of this thing to get to the DVD players. I ended up buying one there anyway, again because I had a deadline of sorts. Another disincentive to buy brick-and-mortar was a $6 California recycling fee because of the flat panel display on the DVD player. That and sales tax and it's hard to justify not buying online. If I believed that $6 was going to recycling efforts, I wouldn't mind.

I could have a whole post about game store owners who lament that their customers buy games online while being the first one to post an Internet link for cheaper sources. I think there's some responsibility for local stores to shop locally. I try to give my store related business to customers if I can. My insurance agent, real-estate broker, bathroom supply guy and electrical contractor are regular customers. I also do a lot of business using referrals from my business partner or other helpful folks. My bank manager turned me on to my payroll people (my business partner turned me on to the bank). I think it's so cool that I know my bank manager. It feels respectable.

Sales

It sounds dumb and I've said it before, but I never expected to actually be working in sales when I planned to open a game store. Things were bought. Sales were made. It was all passive tense. These were things that happened without my involvement, kind of like shopping in a 7-11. If you need help finding the milk, the clerk can tell you where it's at, but he's unlikely to sell you the merits of 2% versus whole milk. I figured I would work in the back a lot, probably on a computer, unseen, feeding the bottles of milk onto those racks from the back.

I had this strange idea because of the lack of sales going on in the stores I used to shop. The owners of the stores where I shopped were always hidden away somewhere. It turns out this is why they had bad stores and why I thought I could do better. So what I discovered when I opened my store was that I kind of had to be there to sell things. People needed help and there was clearly no money to hire a sales person (there still isn't and you wouldn't want that anyway).

Stepping up to the task, I discovered I was an abysmal sales person. I was the worst, with no knowledge of sales and pitiful levels of product knowledge beyond what I played as a hobbyist. My first few months open I was coaxed into learning the board game Carcassonne, so my first Christmas, two months into the store, I sold a metric buttload of Carcassonne and nothing else. It was all I knew unless you wanted Risk or Stratego. It was sad. An elderly woman scolded me for being so bad at my job. I'll never forget that.

Luckily I've had a number of different careers. I've gone from studying Buddhism academically to running a magazine to a career in Information Technology before, during and after the dot-com boom, and now the store. On the way I've had a huge number of different jobs, including chauffeur, security guard, long distance driver, and almost as a special agent with the DEA (I dropped out of the interview process to study Buddhism - those guys were dicks). I've gained one minor skill along the way: accepting I have no idea what the hell I'm doing... and then figuring out what to do.

This is a very important skill in starting your own business. Most people fail in business because they came from somewhere too similar, burdened with pre-conceived ideas. They worked in sales in a game store and therefore they thought they could run a game store, or their spouse ran a store, or maybe they sold used cars, or they have insane amounts of game knowledge. In other words, they thought they knew what they were doing. Big problem. It's best to have no clue, like in my case.

The other factor for starting your own business is that you're usually someone who is difficult to employ otherwise. Maybe you're a maverick, a pain in the ass, a visionary, or someone who can't stick to one thing. That's the definition of an entrepreneur. It's a fine line between entrepreneur and loser. This attribute is important because anyone with half a brain would realize they could work a lot less hard for a lot more money for someone else. Not the entrepreneur. They're the type that would rather rule in hell than serve in heaven.

In my case, I thought of myself as an IT ronin, never staying at one job more than a couple years at most. To penalize me for my behavior, I averaged a 20% pay increase each time I pulled this stunt. I was mostly just bored and irritated with management because, get this, I could do it better, right? (I had a clue, very bad). Now I could never go back to IT and if I had to, I would be working towards my next business. My three years at Black Diamond Games is the longest time I've held a single job - and look, I'm moving!

So I think I had two important factors going for me: I accepted I had no idea what I was doing AND I was only marginally employable. These qualities and a bucket full of money and you too can have a game store (we'll be taking that bucket, thank you).

What I learned right away was that salesmanship was about people (duh). That could have been the end of me because I thought I didn't like people. However, I was really just an introvert and I didn't like being around people I didn't know. In sales, you also don't want to be around people you don't know, so you're taught how to get to know them better. Like saying hello. How many stores don't do that?

I listened to people who taught me about sales, read some books, went to seminars and suddenly I liked people, especially if they said hello back to me. Sales turns out to be an awful lot of fun, especially if you're making some money at it. It sucks if a) you don't have what the customer wants, or b) they can't afford it, or c) you can't tell if it's a or b.

Saturday, August 11, 2007

More Move Stuff

  • Truck. Reserved the biggest U-Haul I could find for the move day. I also picked up a big roll of pallet wrap with the delusion that I can wrap up various racks and fixtures and not have to unpack them. We'll see how that works.
  • Work Begins. 8:30am Monday morning I'll be meeting with my electrical contractor and my building contractors at the new space. The building contractor will get the key and begin work. I had to go to the local Motel 6 this afternoon to reserve their room for a week, since they're driving up from Orange County. My brother is managing the build-out and saving me about 50% (minus hotel expenses). The wife is sick and needs some quiet time, which is why they're not staying with us. Paying for the motel reminded me how much we could use a vacation about now. The motel wouldn't allow me to pay over the phone, in case you were wondering why I went personally.
  • Games Workshop store. I stopped by today to drop off some new store flyers at the GW store in the mall. They close on the 13th of September and they were handing out flyers with other stores names on them, excluding us, probably because we don't currently have any organized play. I wonder if the mall management would allow me to advertise with a poster on the boarded up shop when they leave?

Summer Winners & Losers

Based on what's hot now and what was hot last Summer, we have some clear winners and losers at the store. This is all very regional and other stores, even close by, might have dramatically different results. I also don't want to make light of all the effort these various companies put into their games. This is just what's going on with us. If there are trends, it's that organized play really matters, customer service is essential, and that licensed products and historical games have a limited shelf-life.

Winners
Warmachine and Hordes sales are up over 300% from a year ago, thanks to a loyal group of weekly players. Privateer Press gets a lot of credit for creating a strong league system. If you're ever free on a Sunday, stop by and see the group in action.

Magic the Gathering is on fire thanks to 10th edition and Wizards of the Coast experimenting with their DCI program. Sales are up 250% from last Summer. They bent the rules for us and others to give us a taste of DCI sanctioned events, and for us it catapulted our Magic sales. Now they hope we continue with the program, which we're trying to do (if we can get our DCI report submitted). The new store will definitely have a Friday Night Magic program. As a side note, the World of Warcraft CCG had a huge blip from November-February and disappeared down into Yu-Gi-Oh sales territory this Summer (low).

Dungeons & Dragons minis was added to or ailing Friday Night Star Wars program. Star Wars was our number one game last Summer, but sales are off by about 50%. The game is down to the core customer base, with very few new starter sets being sold. I think the Alliance & Empire release was pretty tired, but where else were they to go? Adding D&D minis to Star Wars night helped increase D&D mini sales by about 20%. For the first time since opening, we sell more D&D mini starter sets than Star Wars sets.

AT-43 has jumped onto the scene, but barely hangs on due to product availability. It takes the place of Perplexcity when we compare top 10 lists. Hopefully it won't suffer the same fate. Rackham has the attitude that everything is fine. Oh the French.

Also coming up the list is Warhammer Fantasy Battles, due primarily to our upcoming campaign. GW has been very supportive of our new Mighty Empires campaign, even sending us a box of terrain for the event. They're also putting in a free notice about our upcoming move in a future issue of White Dwarf. Warhammer 40K is up 30% from last Summer, but we had only just started stocking it back then. Our local GW mall store is closing on September 13th and we're debating about how deeply we'll be supporting these games (quite a bit more than now, that's for sure!).

Losers
As mentioned, Star Wars miniatures has toppled from the place of honor to number six. It's tired, and the new Star Wars RPG suffers from no new releases for quite a while.

Flames of War is down about 50% from a year ago. Most customers are happy to play mid-war and have little interest in late war releases. This is a company in disarray, with their head US person leaving for Privateer Press, their offices moving to Delaware, of all places, a new website that barely functions and a tendency to act like the old Games Workshop at every turn. They should take some lessons from the new Games Workshop.

Pirates of the Spanish Main has lost it's way. It took advantage of the movie last Summer with some good success, but this Summer found us with few takers. Most regular players have found it's inclusion of sea monsters and the supernatural an escalation into absurdity. Hopefully a change to the PocketModel system will invigorate the game. The Star Wars PocketModel game is doing alright. My alpha gamers have taken an interest in it (along with AT-43).

As mentioned, Perplexcity has died. It was my #10 game last Summer. I think it had potential to be a very good game, without all the alternate reality intrigue. Now it's absolutely and utterly dead, like so many other card games (Naruto, The Spoils, Bleach). I just wish I was out of it.

Pavilion (final)

My ogre pavilion is done. As before, the flash washes a lot of stuff out and shows stuff that normally would be in shadows.



Friday, August 10, 2007

Build-Out Update

Construction begins next week, the week of August 12th. This includes demolition, building of about 75 feet of walls with several doors, and hanging some slatwall. It should take a week.

The week of August 19th we'll be doing some electrical work: moving light switches, pulling power to the cash wrap and drink cooler, CAT5 for the network, telephone to the office (3 lines), 8 speakers with wiring for the game room and retail space, satellite radio, and installing track lighting.

The week of August 26th the property management company comes in and paints the place and lays carpet, preferably in that order.

The week of September 2nd, fixtures start arriving.

The week of September 9th, product starts arriving (it mostly goes on those fixtures). I estimate it will take approximately 40 hours to process all the new stuff, mostly toys. I'm giving it two weeks for things to settle.

The week of September 23rd we're moving!

The week of September 30th we'll be filming the new TV commercial, so things should be in place by then.