NOR T H A ME RIC A N F UR AUC T IONS
NAFA NEWS
september 2013
MARKETING WITH NAFA
A WINNING STRATEGY
65 Skyway Ave. Toronto, ON M9W 6C7 Canada | tel: +1.416.675.9320 | fax: +1.416.675.6865 | www.nafa.ca
P resi dent 's message Dear Rancher, As you know, American Legend has announced that they will be selling their shippers’ 2014 mink consignments in Finland in conjunction with Saga Furs and Fur Harvesters of North Bay, Canada. While American Legend’s 2014 overseas selling strategy may be an exciting opportunity for that company, I would like to take a moment of your time to tell you about NAFA’s vision of the future for our company and its implications for the fur industry in North America. NAFA’s mission statement states that “we will be the premium seller and cost efficient consignor service provider of the highest quality and broadest selection of fur pelts globally.” To us, these are more than just simple words. In fact, I believe that NAFA’s basic adherence to the principles and values underlying this statement are the very reason that NAFA is, without doubt, the premier auction house in North America today. For example, the word “premium” means that we will deliver greater value and better sales results than our competition and for the last few years, our sales results have more than been able to speak for themselves! Next, “cost efficient” means that we will deliver the most customer service for the least amount of money and once again, this is what you have come to expect from NAFA. Our net selling commissions are the lowest in the industry and the dedication of our staff to ensuring that we provide you with the most complete range and highest quality services all year long is unparalleled. This is who we are and this is what we do! NAFA has kept its focus on the core business of selling the fur that you labor upon every day to the broadest audience of the world’s buyers, while not allowing ourselves to become side-tracked in other product or subsidiary ventures. NAFA has dedicated itself to building a growing global fur business that brings European mink to North America where it can be combined with our domestic consignments, thereby creating a total fur offering that is the most comprehensive, highest quality and complete in the world. This is what primarily attracts a large international audience of enthusiastic buyers to come to Toronto each year to buy a quality fur collection that is available nowhere else in the world. In conjunction with growing our volume, the ongoing promotional efforts of NAFA’s global marketing team have continued to pay off handsomely in our auction room for all NAFA shippers. Today, NAFA is investing more marketing funds in China than any other auction company in promoting your fur. At our May auction this year, the value of all these years of investment and effort were clearly demonstrated when China was the lead buyer of quality Black female mink. Over the last 5 years, NAFA has been able to return to our shippers over $46 million in cash profit rebates. Yet, this has not prevented us from reinvesting in the company to ensure NAFA’s leadership position in the global and North American fur industry for years to come. This year alone, NAFA is spending over $10 million to expand our auction room by 50%; buy a second warehouse in Toronto to expand our cold storage and shipping/receiving department; add grading and storage space in Stoughton, along with the addition of a second floor to our Polish facility. Profit rebates combined with significant capital investments clearly speak to a strategy that is working for both NAFA and our shippers. These impressive accomplishments are what drive NAFA’s vision of the future of the North American mink industry. We also strongly believe in working to ensure that North American mink ranching is a sustainable industry, both now and into the future. That is why we are so pleased that all the efforts that we are putting into continuing to develop a strong North American based industry is also creating the opportunity for a new and younger generation of North American mink ranchers to come into and invest in the business. As the fastest growing auction house in the industry, NAFA firmly believes that we are on the right track by working with our shippers to continually build, grow and improve what has become a truly vibrant and global fur business here in North America. This is why we share the opinion of many ranchers that bringing mink from North America to be sold overseas is not a winning long term strategy for North American ranchers. We at NAFA fully understand that our greatest asset is indeed our consignments and for that, we would like to thank our loyal supporters and ask the rest of you, where do you see your future?
Sincerely,
Michael Mengar, President & CEO
TEN SOLID REASONS TO SELL WITH NAFA 1. NAFA is the premier auction house in North America –our sales results have consistently earned our consignors the top dollar for their pelts. 2. NAFA has the most experienced, dedicated and consistent management and staff of all of the auction companies. 3. $46 million in profit rebates have been returned to you in cash over the last 5 years. 4. The 2013 profit selling rebate is 5 percent – the dream of selling commission-free has been met and exceeded. 5. We attract the largest pool of world-wide buyers to our auctions – over 700 at each auction in 2013. 6. We are the dominant wild fur auction house in the world, which attracts more buyers to our auctions. 7. NAFA has consistently brought new and better value-added services to benefit our ranchers - NAFPRO, our state of the art pelting facility in Stoughton and our new live mink insurance, just to name two. 8. NAFA is consistently reinvesting in the future of all North American ranchers. This year alone we are expanding our auction room by 50% for the 2014 selling season; a second warehouse has been bought in Toronto to expand our cold storage and shipping/receiving department; we’ve added space in Stoughton; and a second floor to our Polish facility. 9. NAFA’s global marketing team is the best in the business and NAFA is investing more than any other auction company in China. Our marketing department works with international designers, manufacturers and fashion magazines to create a demand for your product at the consumer level. 10. NAFA has maintained focus on our core business - selling your fur for the highest return.
NAFA is expanding auction room by 50% to accommodate the significant increase in buyer attendance.
NAFA MOSCOW GALA
A NIGHT TO REMEMBER
By Diane Benedetti Over 500 people gathered at the historic Metropol Hotel on Moscow’s Red Square on August 21st, 2013 for the annual NAFA Fur Fashion Gala. There was much anticipation surrounding this year’s event as it marked the 10th anniversary of the debut of the Black NAFA label and signaled the start of the fall season in what has come to be the most successful year in NAFA history. The VIP guests, including local celebrities, government officials and members of the fur trade, found themselves surrounded by media cameras from the moment they entered the luxuriously appointed reception hall. Local news organizations, top fashion magazines and international trade publications had photographers snapping endless photos whilst television cameras zoomed in on fashion show hosts interviewing many of the celebrities and fashion designers in attendance. Following the champagne reception, guests entered the grand hall of the Metropol for commencement of the evening’s activities. Diane Benedetti, Sr. VP-Marketing, welcomed all to this special NAFA event themed “Moments to Remember” in honor of the many milestones that NAFA has achieved in 2013. A presentation of awards was held to acknowledge those who had purchased Top Lots at the NAFA auctions. Assisting in the presentation were Bobby Poulios, VP-Buyer Relations; Oksana Moroz, Marketing Director-Russia & Eastern Europe; and Svetlana Kruglikova, Marketing RepresentativeRussia. As the lights dimmed, a short video recaptured scenes from Beijing, Hong Kong, Milan and Athens where NAFA began the celebration for the 10th anniversary of the Black NAFA label earlier in the year. It also recalled the memorable moments from the February sale in Toronto when 10 Anniversary Lots of Black NAFA Mink were sold at record prices. The fashion show that followed opened with a captivating scene featuring magnificent Mutation Mink. NAFA Mink in shades of Sapphire, Blue Iris, Violet, White, Pearl and Pastel were seen in designs by Fokos Furs, Mehiko, Panafics, Prima Donna and Vtoroy Mekhovoy. Collections of leading international fur brands highlighted in the gala included: Abel, Avenue, Braschi, DiCara, Ego, Luxor and Manzari. Guests were quick to note the fine quality of NAFA Mink that each chose to use in designs that were tailored to perfection. A most fitting finale to the show was the Anniversary Collection of Black NAFA Mink. This is an extraordinary compilation featuring ten unique garments created by ten international prêt-a-porter designers from ten different countries. As the music slowly faded away and the lights softly closed on this splendid presentation it was clear that this would truly be a “Moment to Remember” for each and every guest.
2014 Auction Dates:
February 17 – 23, 2014 ( on show feb. 12 – 16) April 25 – 30, 2014 ( on show A pril 21 – 24) June 27 – 30, 2014 ( on show June 22 – 26) NAFA NEWS is published by
North American Fur Auctions 65 Skyway Avenue, Toronto, ON, M9W 6C7, Canada www.nafa.ca
Toronto, ON Tel : 1.416.675.9320 Toll Free : 1.800.745.0693 Fax : 1.416.675.6865
Stoughton, WI Tel : 1.608.205.9200 Toll Free : 1.800.872.3877 Fax : 1.608.205.9210