Floor To Ceiling Stressing ‘Operational excellence’
Article Number : 1844
Article Detail
  
Date 3/21/2007 9:13:26 AM
Written By LGM & Associates Technical Flooring Services
View this article at: //floorbiz.com/BizResources/NPViewArticle.asp?ArticleID=1844
Abstract By Matthew Spieler
LAS VEGAS—There is no denying business conditions have been tough for the past nine months. Despite the myriad of factors affecting this, Floor To Ceiling believes it is the perfect time for members to strive for “Operational Excellence...
Article By Matthew Spieler
LAS VEGAS—There is no denying business conditions have been tough for the past nine months. Despite the myriad of factors affecting this, Floor To Ceiling believes it is the perfect time for members to strive for “Operational Excellence.”

Using that as its convention theme, Steve Sindlinger, president, noted how this is the first time in many years that some businesses had negative sales. “The whole industry has had a hard time.” To break out of this, he challenged both the membership and management to reinvent themselves.

Sindlinger feels people need to look in the mirror to find the answer. “We control our own destiny. If you take care of your own the rest comes around.” He noted some of the many moves and initiatives Floor To Ceiling has undertaken in recent months are meant to make the group the preferred place for both members and suppliers.

“We’ve put a great deal of emphasis to bring resources for our members to be the number one provider in their marketplace,” he explained.

One of the things that separates Floor To Ceiling from other groups is how the various services and programs are presented to members. “We don’t want to dictate,” Sindlinger noted. “It’s their business, their neck is on the line and we feel its better to show them a program they can’t say no to.”

That program is also a key element in what separates Floor To Ceiling from other groups. As its name implies, the franchise is more than just a buying group for floor coverings—it offers a complete assortment of kitchen and bath products as well as other home furnishings such as wall coverings, lighting and a wide array of novelties. “We never wanted to be a flooring group,” he said. “We prefer to be a home decorating group.”

By offering so much, the goal is to make members a one-stop shop “but with a trust factor,” Sindlinger added. “Nowadays, her time is limited and we want her to feel comfortable with the dealer knowing that this store will provide all her home decorating needs in a professional atmosphere.”

Michael Vickers, consultant with Coreworks, a company dedicated to helping dealers optimize all areas of their business, pointed out, “It’s all about ‘brand experience.’ Brand equity is no longer enough; you need to create a brand experience. “Starbucks is not about the coffee,” he explained, “it’s about the experience; it’s a meeting place, a place where all five senses are working. Companies that can apply all five in their selling do well.”

During a special presentation, he gave members numerous tips on how to incorporate this experience into their selling environments.

Beyond the basics, Vickers told dealers “to move out of the realm of commodity and into unique and precious. You can easily raise your margins by 10% by making your store the place people want to shop when redecorating their homes and one they will recommend to friends and neighbors.”

Floor To Ceiling has partnered with Coreworks to help dealers analyze and transform all parts of their business to improve both sales and profitability.

“We challenged our members to get better,” Sindlinger said. “Members were asking for a heavy consulting program and Coreworks specializes in just that. They go to each store for two to four weeks and micro manage on how to improve every aspect of the dealers’ business.”

One of the main ways for members to reinvent themselves is to embrace the total Floor To Ceiling home decorating concept, Sindlinger noted. “Stores that have embraced everything exploded in sales and profit. There is a direct correlation.”

He pointed out how members in California understand this. “Our concept is very well received there. They get it— California is very style and design oriented.”

The kitchen and bath category is important because when a homeowner is replacing her cabinets or adding a whirlpool bathtub, for example, that this is just the start. “If you sell her these items,” Sindlinger said, “you can sell the entire project.”

Beyond just creating more business, he believes the day of the independent retailer selling just one product category will soon be an anomaly. “I feel we will be the norm, and our members will be that much further ahead of the curve. “We want to be a progressive organization,” Sindlinger continued, “not a follower.”

This means giving members products, programs and services that go beyond differentiating them from their competitors and put them at the forefront of innovation and fashion.

“We want to have high-quality products that are not offered in the big box stores,” said Jill Noetzelman of Floor To Ceiling in Phoenix. She noted how Danze, a manufacturer of kitchen and bath faucets, “was of particular interest.”

Tiffany Gomes, president of Classic Design Floor To Ceiling in Lodi, Calif., agreed. “I’m very excited that they are now a core vendor. Also, The Masterbrand display system, Mannequin, is a great concept.”

The one initiative that received a great deal of attention was the new Green Collection, a line of environmentally friendly carpets from Mohawk Industries. This will be one component of Floor To Ceiling’s total green concept.

“Our members are asking for it,” Sindlinger said. “Our suppliers are saying it and, as a company, we believe it is the right thing to do. My one frustration is that it is not moving fast enough.”

By that he means the kitchen and bath companies have yet to embrace the green movement like the flooring industry. That is changing as “our suppliers say they are close to offering products that have a green story behind them.”

As for the Green Collection, it is an all polyester line of carpets made from recycled plastic bottles. Bill Chandler, Mohawk’s director of national accounts, said, “The group has most everything covered but not a dedicated PET display. We felt we could do something meaningful while tying it into the hot eco-movement. “Floor To Ceiling really got behind the concept,” he added.

“This group is very good at looking at what it can do to help members—it’s a very progressive organization—and the reaction by the membership has been fantastic.”

Noetzelman, who said she was going to purchase the Green Collection, noted, “I think it’s important for us to be at the forefront of what is happening globally and also pay attention to what is in the media —and the Oscars.”

Gomes said that even though the green movement has not yet exploded in her part of California, “It’s just a matter of time. Within a year people will be coming in asking for these types of products.”