National Pawnbroker Summer 2011 by National Pawnbrokers Association

Official publication of the National Pawnbrokers Association

Pawn Store Image –

You Never Get a Second Chance to Make a First Impression

Message from new NPA President – 2011 Pawn Expo Complimentary with Paid Membership to NPA

AUGUST 2011

New York Pawnbroker Achieves Landmark Victory

L E T TER FR OM THE PRESIDENT

he 24th Annual National Pawnbrokers Association Convention & Tradeshow had over 1,300 attendees from all over the world. The trade show floor was the largest it has ever been with a recordbreaking number of exhibitors registered. by Kevin Prochaska

The National Pawnbrokers Association held its annual convention in Las Vegas June 14-16, 2011. The professionalism of pawnbrokers was the primary topic at this year’s Pawn Expo held at Caesars Palace. The first-season winner of Donald Trump’s The Apprentice, Bill Rancic, spoke about being a successful entrepreneur and how to capitalize on the ever growing popularity of the Pawn brokering industry. Rancic spoke of the risks that he took early in his career and offered creative ideas to grow entrepreneurial businesses. With reality television shining a more positive light on our industry and educating consumers, it’s a great time to be a pawnbroker. The comprehensive educational seminars included risk management and federal requirements of pawnbrokers. The ATF&E educated pawnbrokers on how to identify straw purchases. Other educational speakers included Donna Geary, founder and Executive Director of Impact Visual Merchandising, whose presentation shed light on the pawn store image including branding and ways to attract consumers to particular merchandise. Kit Goldman and Memo Mendez from Workplace Training Network, Inc. provided an entertaining, yet comprehensive, overview on employment practices for small businesses. NPA Board Member, David Johns of Family Financial, provided a comprehensive look at how to develop a pawnbroker skill set including how to qualify your customers, qualify loans, and improve redemption rates. The 24th Annual National Pawnbrokers Association Convention & Tradeshow had over 1,300 attendees from all over the world. The trade show floor was the largest it has ever been with a record-breaking number of exhibitors registered. Tuesday evening, Members and Exhibitors entered on the red carpet for a Hollywoodthemed Welcome Reception and Auction where there was even an appearance by Marilyn Monroe! During the Annual Membership Meeting,

new Officers were announced which included: Kevin Prochaska - President Ben Levinson - Vice President Robert Anderson - Treasurer Kathy Pierce - Secretary The 2011-2012 Committees are now in place and include: Kevin MacDonald – Membership Chair David Crume –Past President Government Relations Committee Chair Greg Geile –Convention Chair Roger Loder –Strategic Planning Chair Tom Howard –Communications Chair Steve Rogers – Awards and Qualifications Chair Kathy Pierce – Longstanding Chair of the FBL

In addition to new members and officers, the NPA acknowledged the retirement of Fran Bishop of Dollar Pawn, Inc, in Haleyville, AL, and Dave Adelman of Jerry’s Pawn Shop, Inc. in Atlanta, GA. Both were awarded the Charles R. Jones Lifetime Achievement Award for their long-term service to the industry. Bob Moulton, CEO of National Pawn & Jewelry in Raleigh, NC, received the 2011 NPA Pawnbroker of the Year Award. Over the last couple of years, NPA members have seen great successes in legislative efforts and improvement in our industry perception as a result of the NPA’s efforts on their behalf. The Board will continue these efforts in the coming years by placing importance in staying in front of emerging legislative issues. We will be proactive in the education of our legislators and regulators instead of finding ourselves in a reactive mode because we haven’t been active enough. Our public relations efforts have done many positive things for our industry. We are looking for new ways to employ more of the new media techniques to serve as useful tools and information sources for

our current members. In the coming year, the NPA will continue to seek ways to reach out to non-members encouraging them to join the Association. The NPA relies on its existing members to encourage and educate non-members on the benefits of becoming a member and the ability for members to utilize the united force of an organization seeking positive results for our industry. Acquiring new members is essential in making the NPA a fresh and effective organization. As an organization, we have made it through tough times and have worked diligently to get the organization more financially stable than it has been in the past. The NPA will continue to invest our reserves for our future so that, in coming years, the organization can become an even more viable organization protecting our members’ rights to do business without increased legislative and regulative burdens. I’m confident in the progress the organization has made and look forward to being a part of the continued growth of our industry. On behalf of the Board, I encourage current members to get actively involved and look forward to seeing each of you at next year’s convention and celebration of the NPA’s 25th Anniversary which will be held at Las Vegas’ newest addition, the Cosmopolitan Hotel of Las Vegas. With 52 stories, the chic Cosmopolitan has almost 3,000 eclectic and unique guest rooms and seven restaurants. Next year’s Convention is sure to be our best event yet - full of ongoing education from our seminars and Expo and fun-filled fellowship among our industry. We all look forward to seeing you then! Kevin Prochaska, President

AUGUST 2011

TABLE OF CONTENTS

AUGUST 2011 COVER STORY

NPA Pawn Expo 2011 Photo and Awards Recap

p.34

Pawn Expo 2011, held June 14-16 at Caesars Palace in Las Vegas, was a resounding success. Starry-eyed attendees walked the huge tradeshow floor, listened to top-quality speakers, and did some high-powered networking. See who won an award and where next year’s event will be. Cover image provided by Ken Smith

p.22

F eature article

Workplace Romance: A Slippery Slope

p.34

It happens every day – a workplace romance begins and turns into happily every after. Well, maybe not. Kit Goldman and Memo Mendez of Workplace Training Network discuss the key points in training employees about personal relationships on the job.

p.20

F E AT U R E A R T I C L E Time To Buy

Increased demand, new markets, and a weak U.S. dollar mean many things for a storefront willing to strategically go after opportunities to buy and sell watches. What are you doing to buy and sell more watches?

p.08

F E AT U R E A R T I C L E Pawn Store Image

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Image can be described as the overall look of a store and the series of mental pictures and feelings it evokes within the beholder. For the retailer, developing a powerful image provides the opportunity to embody a single message, stand out from the competition and be remembered.

cover story

New York Pawnbroker Achieves Victory

p.12

p.22

DEPARTMENTS Letter from the President........ 01 Executive Director Report....... 04 GRC Update.............................. 06 Vendor Spotlight..................... 16 State News................................ 50 Calendar of Events................... 59 Index Of Advertisers................ 60

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F E AT U R E A R T I C L E

NSSF’s Next 50 Years

The big question for the next decade seems obvious: How can all of us make sure willing new participants have places to safely shoot and hunt for their lifetime? Without opportunities to practice our sports, we may find our traditions, way of life, and support for lawful firearms ownership stand a very good chance of flickering out.

www.nationalpawnbrokers.org

NATIONAL PAWNBROKER • PO Box 508 • Keller, Texas 76244 OFFICE: 817.337.8830 • FAX: 817.337.8875 • EMAIL: info@nationalpawnbrokers.org

National Pawnbroker is the official publication of the National Pawnbrokers Association and is published quarterly. No part of this publication may be reproduced without the written consent of Dana Meinecke, Executive Director, National Pawnbrokers Association. Sale or distribution of any or all of the contents of this magazine is prohibited. All rights reserved.

To obtain additional copies of National Pawnbroker, call 817-337-8830 or send email to the National Pawnbrokers Association at info@nationalpawnbrokers.org. For membership information, see the NPA application form in this issue or download an application from the NPA website. Editor’s Note: This publication is designed

Magazine Layout & Design: TMG, Dallas, TX

to provide accurate and authoritative information on the subject matter covered. It is provided and disseminated with the understanding that the publisher is not engaged in rendering legal or other professional services. If legal advice is required, the services of a competent professional should be sought.

E XECUTIVE DIREC TOR REPOR T

Pawn Expo by Dana Meinecke

special thank you to all members who attended our 2011 Pawn Expo! It was a resounding success. We also thank the Sponsors and Exhibitors who truly make this event happen for us. I also would like to thank our NPA staff who work throughout the year to bring this event to the pawn industry and do a fabulous job - Erika Brooks, Margie Swoyer, Terri Congelton and Sandi Wachsmann. We are also very fortunate to have volunteers each year who take a week out of their lives to assist us - Wendy Carmichael, Sharon Blake, Thomas Kennedy, Scott and Mitzi Keller, and our spouses Peggy Crume, Jon Brooks and Juergen Meinecke. Our NPA board members and member volunteers are always ready and willing to help with the seminars, photos, and anything else that just happens on the spot. This is truly a Team effort! I would like to take this opportunity to highlight our NPA Affinity Partner members. For those of you who attended Pawn Expo, you probably had the opportunity to meet directly with these companies. If you weren’t able to meet them, I would like to take this opportunity to highlight three companies.

• Aggressive discounts on Office Depot’s already low prices for copy paper and toner • Dedicated account management and exceptional customer service

How To Save Money Doing What You’re Already Doing!

NPA is proud to announce a new Affinity Partner, Equitable Payments, LLC, who along with our other capable partners, is joining the NPA family to provide the very best of merchant services. The NPA leadership is confident that when you look at the credit card processing services Equitable Payments is providing our membership, you too will want to sign up.

Professional Texas Insurance Agency provides Guaranteed Issue Group Health Insurance. You design your plan to fit your needs. affinity partner

Affinity Partner’s are companies who have developed special programs specifically for NPA members. All of these partners, in addition to providing you with excellent programs and discounts, also contribute to the NPA by providing non-dues revenue to the NPA. By supporting these companies, you are also supporting the NPA. I would encourage you to contact them and let them tell you what they can do for you!

• Major Medical plans with known carriers Drug Cards Doctor Office Co-pays ER Co-pays • Dental & Vision • Group Term Life

Office Depot has partnered with the NPA to provide a national office supply solution. Shop online at NPA’s custom Office Depot website or register your company credit card to receive your contract pricing in Office Depot stores. Some of the benefits include:

• Long Term Disability • Short Term Disability Medical Benefit Plans:

• Savings up to 86% on 200+ frequently ordered items

• RX Co-pay

• Discounts ranging from 20-50% on most Office Depot Copy and Print services, including promotional products, customized stationery items, and special orders placed online or in stores

• Office Co-pay

• 5% off the current retail web price for the most frequently ordered items in the Office Depot Business Solutions Division catalog

• HIPAA/COBRA compliant

AUGUST 2011

• 2 plan design options • Guaranteed Issue • Hospital, Chiropractic, ER, and Ambulance included • Optional Maternity Benefit

, GOVERNMENT RELATIONS

NPA Legislative Update David Crume, GRC Chair

irst and foremost, I want to thank all those who stopped by the booth at NPA Pawn Expo 2011! Itâ&#x20AC;&#x2122;s always great to visit directly with the members who support our Association and share the concerns for our great industry. We have come so far and yet our journey is far from ending.

Our list of accomplishments continues to grow as we learn more about the legislative world we live in. The challenges weâ&#x20AC;&#x2122;ll face in the near future though seem to grow equally as fast. Weâ&#x20AC;&#x2122;ll be paying special attention to the formation and direction of the new Consumer Financial Protection Bureau. While our industry remains low on the list of agenda items, we must not become collateral damage for new regulations that are intended for other non-bank lenders. Electronic reporting, data security, and customer privacy are three separate, yet intertwined areas of concern. For years we have tried to establish that our customers deserve the same privacy with regards to their financial transactions as any other customer of a financial institution. Due to a bad Federal Court ruling, pawnshops were not declared a financial institution under the Right to Financial Privacy Act because we were not specifically mentioned. This requires a fix at the federal level and a direction we are currently pursuing. While we support the efficiencies offered by electronic reporting of pawn data, we have to concern ourselves with the broader picture. Where is this data going, who has access and when, and what protections are in place for the customer, the pawnbroker, and law enforcement? We currently have way more questions than we do answers. New Bankruptcy issues continue to rise from time to time. We made great strides in 2005 with the new Bankruptcy Act, but whenever there are lengthy laws in place, there is room for different interpretations. Unless we defend our position and the intent of the law, we stand to lose valuable ground gained.

permits. Many municipalities are ignoring the new business models of our industry and the need for access to credit for our customers. This will be a central issue in our struggle for parity with gold buyers, and secondhand dealers. Friends, these are just a few of the key issues your Association and Government Relations Committee have targeted. We are fortunate to be blessed with talented and committed members. We have members who are willing to donate countless hours of time, and who financially support our efforts year upon year. The names are too numerous to mention, but those that are among this group know who you are and I cannot thank you enough. Our team is here to help you and protect our industry.

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AUGUST 2011

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COVER STORY

Pawn Store Image By: Donna Geary

We’ve heard it again and again -

“You never get a second chance to make a first impression”.

ven though there are many influences at work in the shopping experience, the look of a store holds the most sway in enticing us through the doors. We even tend to sum up that initial in-store encounter in visual terms: a store is exciting, clean or well-organized or, at the other end of the scale, boring, messy, or overwhelming. It is not enough anymore for a store to just look good from a merchandising or display standpoint. Who can afford to spend quantum amounts of time or money on improving a store’s look without being assured of a healthy return on investment? Today, a store not only must perform by exciting and encouraging the customer to buy, but from the retailer’s point of view, it must perform profitably. Visual merchandising is comprised of six components: image, layout, presentation, signing, display and events. Each of these are touchpoints in the customer experience of your store. This article will focus on the component that lays the groundwork for all the other components -- image. Everything you do within the store -- how you develop your layout, your presentation, your signing, your displays and your events -must fit into the image you choose to create. More on those components in upcoming articles…

Why Start With Store Image? Image can be described as the overall look of a store and the series of mental pictures and feelings it evokes within the beholder. For the retailer, developing a powerful image provides the opportunity to embody a single message, stand out from the competition and be remembered. As a rule, image is the foundation of all retailing efforts. While store layout, presentation, signing, displays and events can all change to reflect newness and excitement from week to week, season to season, they must always remain true to the underlying store image. Studies indicate that a retailer has roughly seven seconds to capture the attention of a passing customer. The following elements combine to form a distinctive image that not only reaches out and grabs the customer’s attention, but makes a positive impression within those precious few seconds. The Image-makers: 1. An Identifiable Store Name 2. A Powerful Visual Trademark

3. An Unmistakable Storefront 4. An Inviting Entrance 5. A Consistent and Compelling Store Look and Hook 1. Identifiable Store Names What’s in a Name? An effective store name sets the tone and provides a store’s identification by conjuring up an image in the customer’s mind. A store name should be easy to say and remember, indicative of the images and feelings you want the customer to retain and unlikely to sound dated in a few years. 2. Powerful Visual Trademarks An identifiable trademark adds a visual image to the memory recall of a store name, by combining words and pictures, colour, shape, typeface, texture and/or style to make it stand out. Identifiable even in the absence of the store name, a successful trademark should be unique to you, indicative of your products and services, consistent with the overall impression you want to leave customers and be professional and well-designed. 3. Unmistakable Storefronts Traffic-Stoppers Customers simply don’t have the time to “read” into the store, so just as your store name and trademark -- the title of your “book” -- must provide instant recognition and recall, your exterior storefront -- the cover of your “book” -- must project a welcoming, clear and concise image of what’ s instore. Traffic-stopping storefronts use a thoughtful combination of exterior architecture, signing and window displays to ensure a powerful first impression. Exterior Architecture A store’s exterior look is often referred to as the architecture, and comprises aspects such as building materials, architectural style and detail, colors and textures. A store in a Victorian brownstone building, for example, will exude images associated with the building’s architectural era, such as cozy, tastefully cluttered and comfortable. If your exterior architecture is not projecting the right image, consider painting or re-facing the storefront, adding First Impression...Continued on page 10

AUGUST 2011

COVER STORY First Impression...Continued from page 08

or removing some architectural elements in keeping with your image, or consulting a designer to totally re-engineer the storefront. The Store Sign The store sign is a vital element of the storefront, identifying your store and beckoning the customer to take notice and stop. In realizing the value of a strong storefront sign, many retailers are employing new design techniques which include projecting or cantilevering the store sign beyond the lease line, adding motion, or using three-dimensional lettering and unique lighting applications to add depth to the sign. If your storefront sign is losing the battle for visual dominance among neighboring stores, consider re-painting it or adding more color, making it bigger and bolder, incorporating your trademark, using new, more contemporary materials to create your sign, and/or adding motion or lighting. Store Windows A store’s exterior windows, or glass storefront, provide an additional opportunity to reach out and grab the passing customer. Windows are integral in creating a positive impression since they offer an opportunity to begin telling your store’s unique merchandise story immediately. Many retailers underestimate the powerful pull of an effective window, treating the area more as additional stock space than the true image-maker and magnet it can be. This prime real estate should be approached as a showcase for the newest seasonal merchandise dramatized with props and themes in keeping with your store image. Consider adding motion to your window with animated displays, turntables, fans, video screens or motorized pulleys. The Customer’s Vantage Point In planning your storefront, utmost consideration must be given to the customer’s vantage point. Place yourself in the customer’s shoes in considering their reverie -- the speed at which they are traveling, their preoccupation-levels and the chances of getting them to stop. The more hurried and distracted a customer is, the less chance there is of getting their attention. Often, plans that look good on paper fail miserably because they are developed from the retailer’s vantage point, not the customer’s. Many retailers plan their storefronts based on a “head-on” perspective, which entails a direct 90 degree-angle approach. But is that the customer’s vantage? Not typically. Usually, the direction of customer traffic flow is influenced by the location of a parking lot, a public transportation terminus or some other physical feature. Therefore you can increase the effectiveness of your window displays by angling or slanting them to that dominant direction of traffic. To increase the chances of customers noticing your store, consider the following : What direction and angle is the customer

coming from? Is your exterior sign visible and legible from a distance? Is the traffic predominantly drive by or walk by? Are there any discernible traffic patterns and at what speed are they moving at various times of the day? Are your store windows easy to read from the distance the customer will first notice them? One brilliant pet retailer made sure that dog-walkers didn’t pass by his store -- he placed an antique fire hydrant right beside his entrance! 4. The Store Entrance The entrance to the store is the division between the outside and inside environments. Pawn retailers who require portals due to climate control and a need for security have less opportunity to give customers a tantalizing taste of the interior, therefore have a greater challenge of persuading them through the door. For pawn retailers, an unobstructed and welcoming doorway combined with a great window display can provide the lure. Customer’s need to get the impression that they (and their children) will be comfortable and welcome. Obstacle courses, visual clutter and “Do Not” signs on the doors are negative turn-offs that often result in a negative first impression and a lost customer. Multiplying Positive Impressions Creating a consistent positive impression is important -particularly so if you have more than one store. Customers should be able to recognize and identify with your store, whether it is in Los Angeles or Bar Harbor. Even if your multiple locations differ in size, shape, design and even merchandise mix, you can create continuity of image by having common elements throughout the chain. Consider applying the same store trademark to all of your marketing, storefront and in-store applications, extending some common exterior elements to all of your stores and/or using similar branding, treatments and themes in your store windows. 5. By Look or by Hook Getting the Customer Within the first few seconds of catching their interest, the customer’s focus moves beyond the store’s exterior for a visual scan of the interior while they mull over whether to enter or not. Getting a customer through the door is indeed a victory. In most instances, customers are either on a mission to make a planned purchase (the Seekers), or are shopping for amusement, entertainment or ideas (the Browsers). Seekers may plan a trip to your store to make a premeditated purchase or may decide to enter because they are comparison shopping for something specific. For the seeker, a deeper look into the store must reinforce their confidence that the store will have what they are seeking and that they can get in and out easily and quickly. Browsers are more inclined to enter a store impulsively, drawn First Impression...Continued on Page 42

AUGUST 2011

COVER STORY

New York Pawnbroker Achieves Landmark Victory

Borough Pawn LLC has been a family owned and operated business for 6 years. We have always complied with administrative inspections from either Consumer Affairs or the New York Police Department. I, Brian J. Cabrera, the majority owner of 5 Borough Pawn LLC, had never had any problems with local law enforcement until NYPD Sgt. Ron Marti, of the 102 precinct, visited our 104th Street Ozone Park, Queens location in January 2008. January 10, 2008 was the initial visit by Sgt. Marti. The officer entered the store and asked for entrance to the back of the store which is behind a bulletproof locked door. I asked him if he had a search warrant to enter the premises and he said he did not need one. I then asked him if he wanted to inspect my books and records. He declined and demanded he had the right to search the entire premises including a locked safe, the computers, and all employees. He also wanted a copy of all the records so he could take them off the premises. If I did not comply with his every demand, he issued threats of arrest.

from the 102 precinct to do an administrative inspection of my books and records. But this time it was no visit at all. The Sergeant was accompanied by ESU (Emergency Services Unit) to bust down my door. He had a search warrant. But again, instead of following correct police procedure, he arrested my employee, Ryan Ali, and me before the execution of the search warrant. Sgt. Marti was able to obtain a search warrant as part of a reverse sting operation he conducted with his fellow officers and the help of a CI (confidential informant). My employee and I were later released from jail with no charges being brought against us. All the charges were dropped.

During the next visit by Sgt. Marti on January 20, 2008, he again demanded to search the premises. This time he pulled at a locked door and threatened to lock up my parents (who are minority owners of 5 Borough Pawn, LLC) and me if I did not comply with his demands. I again asked Sgt. Marti, “Are you here to inspect my books? If so, what range of dates do you want to look at?” Sgt. Marti again rejected to do an administrative inspection. He wanted us to comply with all his original demands.

Between the time of the first arrest on January 23, 2008, and the second arrest on May 15, 2008, 5 Borough Pawn decided to file a notice of claim against the NYPD for unlawful arrests and violation of section 1983 of the U.S. Code for civil rights. Since the date of my last arrest on May 15, 2008, not one officer from the 102 Precinct (the Precinct Sgt. Ron Marti is a part of ) has come to do any administrative inspections on my Queens location of 5 Borough Pawn.

On his third visit on January 23, 2008, Sgt. Marti again made the same demands as his first two visits. Again, I proceeded to ask, “Are you here to inspect my books?” But instead of all of his huffing, puffing and threats, he decided to go a step further and violated my constitutional rights by arresting me. His reason for the arrest was for failure to comply with Charter 436 (failure to produce books and records). As pawnbrokers, we all know that Charter 436 has been deemed unconstitutional in the case People vs. Keta.

3 years, 2 depositions, and numerous amounts of time and money have been spent leading up to the start of my trial on April 11, 2011. After a weeklong trial, a Southern District jury on Friday, April 15, 2011, found New York City police Sergeant Ron Marti liable for violating my constitutional rights based on the first arrest of January 23, 2008. Since the jury was convinced that the police Sergeant was not the senior officer on duty at the time of my second arrest, I lost the claim based on my second arrest dated May 15, 2008. (*)

The next time the Sergeant visited was on February 5, 2008. But I was prepared for him this time because I had retained Paul Solda as my lawyer. This day was no different than the first three visits in which he demanded to search the entire premises. Since I was arrested on his last visit, Sgt. Marti used the unlawful arrest as leverage and said, “Do you want me to arrest you again?” Once I heard this threat, I immediately called Mr. Solda who was able to defuse the escalating situation. But before the Officer left my store he said, “I will be back the legal way.”

There has never been a pawnbroker in U.S. history who has ever won a case against any law enforcement under section 1983 of the U.S. Code for civil rights. It took a determined pawnshop and its owners to stop a rogue Sergeant of the NYPD from using the law as his personal tool to threaten and harass 5 Borough Pawn LLC. We, as pawnbrokers, demand the same respect, rights and privileges as any other business in America gets when dealing with law enforcement or any other government official.

On his fifth visit to my store on February 20, 2008, he entered the store with the same aggressive and threatening attitude as his previous four visits. I decided to avoid another arrest and complied with his request to provide copies of records from a specific date range and gave the copies to the Sergeant to take off the premises. May 15, 2008 was his sixth visit to my store and the final visit by any police officer

AUGUST 2011

(*) For further information about the Jury decision please read the article titled Jury Faults Police for Arresting Pawnbroker in Search Dispute on the front page of the New York Law Journal on April 19, 2011 by Mark Hamblett. Also reference Judge Colleen McMahon’s decision for granting summary judgment please see 5 Borough Pawn, LLC., Plaintiff v. Sergeant Ron Marti, Defendant, 08 cv 3837 (CM).

FEATURE AR TICLE

NSSF’s Next

50 YEARS

By reaching the half-century milestone we next face the challenges of the ensuing 50 years By Steve Sanetti, NSSF President and C.E.O.

s we celebrate all the amazing accomplishments of so many hard-working and dedicated staffers of the National Shooting Sports Foundation—the trade association of the firearms, ammunition, hunting and shooting sports industry--to successfully grow hunting and the shooting sports during the last 50 years, we pause to contemplate the challenges that surely await us. We know the nation’s population is growing, and much of this growth will occur among demographic groups who settle in our cities and likely do not share our traditions of responsible firearms ownership, wholesome outdoor recreation or enjoyment of the shooting sports. We also know that available lands for such pursuits will shrink in the face of increased urbanization. Yet the spark of appreciation for all that we have built burns bright. Hunting and shooting are now more widely accepted by the American public than they have been in decades. Firearms, ammunition, and related accessory sales have increased sharply during the last few years. Apprentice license programs are exposing more young people to supervised hunting, and First Shots programs to supervised shooting, than ever before. The big question for the next decades seems obvious: How can all of us make sure these willing new participants have places to safely shoot and hunt for their lifetime? Without opportunities to practice our sports, we may find our traditions, way of life and support for lawful firearms ownership stand a very good chance of flickering out. We may only have a tenuous hold on novice hunters and shooters, raised on a diet of indoor recreation in crowded venues, in front of a computer terminal or I-phone, tweeting their friends far away from forest or fields. Yet these new forms of communication and social media can become our friends, valuable tools to interest newcomers of all ages to the shooting sports. We are just now beginning the age of instantaneous transmission of vast bodies of information on any topic at the touch of a button. The NSSF has embraced these extraordinary tools to successfully introduce thousands of people to basic hunting and shooting skills, with shooting blogs and our “Pull The Trigger” program inaugurated in 2010. A curious truth is apparent in this form of communication: Going back to cave dwellers, people best learn about hunting from a trusted adult mentor. We will use these new media as an electronic mentor, equally trusted, far more knowledgeable than any one friend or relative is likely to be, and accessible in the way that today’s younger participants want their information.

AUGUST 2011

Once they begin, the NSSF will continually revise its programs to reflect changing tastes and lifestyles, not only to capitalize on the way shooters obtain information, but also to mirror the ever-faster changes in technology that are reflected in the guns, ammunition, and gear themselves. Just look at the polymer revolution and the amazing advances in electronic sighting systems we have seen. They are just the beginning! As we have done in serving you—on Capitol Hill and in state capitals, and with seminars, literature and videos on improving your business and complying with governing laws and regulations—we will continue to serve those in our industry. Throughout the next half-century, the NSSF will be there, seeking continuous improvement in all that we do to fulfill and advance our historic mission—“To Promote, Protect, and Preserve Hunting and The Shooting Sports.” Though the methods and programs we use to accomplish this mission as the industry’s trade association will change, our commitment will never falter, and our resolve will never diminish. Our mission is too important to fail. Those men of vision such as John Olin, Bill Ruger and Warren Page who founded the NSSF in 1961 recognized that hunting and the shooting sports cannot survive in the face of changing social pressures without a strong coalition of industry groups universally dedicated to our mutual success. That is why the next 50 years of the NSSF are critical—and why, with your help, we will continue to be successful!

Award-Winning Video Presents a Walk through NSSF’s History A Telly and APEX award-winning video engagingly reviewing the first 50 years of the National Shooting Sports Foundation is available on the NSSF website. Visit www.nssf. org/50 to be part of NSSF’s golden anniversary and to view the video. To get more information on the benefits of membership in NSSF, contact Samantha Hughes, NSSF coordinator, member services, at 203-426-1320, email shughes@nssf.org.

VENDOR SPOTLIGHT Compliance

PawnSearcher

awnSearcher is a new concept designed to link together pawn shops and buyers. In today’s economy, Pawn shops consistently say they are having difficulty selling hard goods and the hassle of listing goods on auction sites such as eBay is time consuming and expensive. NPA: What exactly is PawnSearcher and how does it work? PawnSearcher is a newly developed web site at pawnsearcher.com that allows buyers looking for quality used merchandise, such as iPads, guitars, jewelry, etc., to search pawn shops nationwide. The buyer simply enters a detailed description of the item requested. Upon submitting the request, the site promptly sends an email to all participating pawn shops. The request contains the item detail along with the buyer’s email address. A pawn shop simply has to spend a few seconds quoting a price by email if they have the particular item. NPA: That is a novel concept. How did it originate? Our company’s founder and President, Jeff Epstein, batted the idea around for about a year before acting upon it. According to Epstein, “My family was in the pawn business for several generations starting with my grandparents. I grew up going to my father’s pawn shop, located in downtown Houston, and watched my father buy and sell varying goods. I thought of the PawnSearcher concept; what better way to get buyers to pawn shops and not have pawn shops dependent on walk-in traffic. It’s a great way to help increase pawn shop sales.” NPA: How do pawn shops list their inventories to let buyers know what is for sale? That is the beauty and simplicity of PawnSearcher. There are no inventory listings. Buyers just enter details about the item they are trying to find and wait for pawn shops to send a reply email with a price. Pawn shops need only to sit back and wait for PawnSearcher to send them sales leads. NPA: Oh, so it is more like a lead generation service? That’s right! PawnSearcher is like a lead generation service for pawn shops. We send constant sales leads to pawn shops. In the end, it is all about increasing sales. NPA: Won’t your service cause an influx of emails getting sent to pawn shops? Actually, that is our mission. There are many worse

AUGUST 2011

things to get via email than a bunch of sales leads! If desired, a pawn shop can actually limit the emails sent to it either by proximity or by item category. For example, a pawn shop specializing in guns may want to restrict sales leads to just those requesting guns. A shop specializing in quality diamonds may want to restrict leads to just those originating within 25 miles from their store allowing the potential buyer to visit the store in person. NPA: How does PawnSearcher find the potential buyers? We are currently using social media marketing to a great extent. Through Facebook, Twitter, blogs, etc., we are getting the word out about PawnSearcher. Our marketing efforts are proving to be successful because we have noticed a continued increase in requests flowing through our site. NPA: If buyers and sellers communicate directly, how does PawnSearcher obtain transaction fees? Simply put -- it doesn’t. We do not charge any transaction fees and hope pawn shops can sell a lot of goods through our leads. We charge pawn shops a nominal monthly fee of $60.00 which allows them to participate in receiving all of the sales leads. For a limited time, though, we are offering our service to pawn shops for free. We are asking pawn shops to grow with us and tell their friends and customers to use our site if their store doesn’t have a particular item. NPA: How can a pawn shop interested in PawnSearcher sign up for your service? Pawn shops interested in our service can send us an email at info@pawnsearcher.com and ask to sign up. We also welcome all feedback from pawn shops and have actually received quite a bit so far which has helped us tweak our service accordingly. NPA: We thank you for being a member of NPA. We are glad to be members of NPA and think PawnSearcher can be a great asset to the industry to increase pawn shop sales.

Payment in Full Within 24 Hours!!

AUGUST 2011

FEATURE AR TICLE

Watch Certification Service

TIME TO BUY By Anthony Fabiano, Watch Certification Services Anti-counterfeiting & Watch Sales Consulting www.watchcsa.com

eading into 2009, the Swiss watch manufacturers, including worldwide watch dealers, brokers and supply houses fell into a state of absolute uncertainty. No one knew where the solid footing in the watch market would develop. Many would err on the side of conservative liquidity due to the vast range of heavy discounting that matrixed itself into the market. However, following the sharpest decline in a generation, 2010 resulted in a surge of exports totaling approximately 26.1 million Swiss watches, over a +20% increase year over year. While many authorized dealers, and brokers made an exodus from the watch market, those who remained focused on the rebound in global exports and were repaid with opportunities that robustly added to their bottom line.

With demand overseas, and a weak U.S. dollar, we have seen a rush of international buyers at U.S. trade shows acquiring domestic product to meet demand in their country’s market. What once use to flow into the USA is now flowing into markets in Asia. According to the Federation of Swiss Watch Industry, Hong Kong is now ranked #1 in Swiss watch imports, surpassing the United States by approximately 1.5 million watches, a 46% increase from the previous year. All of these factors: increased demand, new markets, and a weak U.S. dollar; mean many things for a storefront willing to strategically go after opportunities to buy and sell watches. Ask yourself, what are you doing to buy and sell more watches? Are you investing in training your staff to take advantage of watch buying opportunities? The truth is that many pawnbrokers are passing on watches. During last month’s convention, we asked the audience at our seminar, “How many of you are buying watches?” To our amazement, less than 15% of the audience claimed to actively welcome opportunities to purchase timepieces. One of the fundamental reasons why you need to be buying and selling watches is simple: you need to keep that customer from going to the competition. Obviously, there are reservations that lead up to the decision to let the client walk. You or

your staff may not feel confident in the buy price, the liquidity of the brand you are buying/loaning on, or you just can’t be 100% sure of its authenticity. These are valid concerns but with a clear policy, you can easily reduce risk and exponentially grow your revenues. By investing in the purchase of Swiss watches, you not only receive the immediate profit stream that comes with the purchase of a top tier brand, but you open the door to additional revenue opportunities that lend themselves nicely to customer relationship building. It is not uncommon to sell a timepiece to a client, only to have an opportunity to trade that timepiece “up” towards a higher priced model in the brand. Or, trade that timepiece in and “across” a brand spectrum i.e. from Omega to Breitling. And, you can’t overlook add on sales i.e. selling a Rolex, and adding diamond accessories at a later date, generating keystone profits. All the more reason to keep the client from entering a competitor’s door. Seize the opportunities without hesitation and you will happily see the returns from a commitment made by strategically delving into the watch business. Understand, there is safety in owning highly sellable product. Especially in a market that is in short product supply and experiencing retail prices increases at an astounding 10%20% per year. Take advantage of this potential revenue stream by developing loyal clientele that will lead to repeat business. Your newly found awareness Watch Certification Svc...Continued on Page 46

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FEATURE AR TICLE

By Kit Goldman, President of Workplace Training Network (WTN)

www.workplacetrainingnetwork.com

Goldman and WTN partner, Memo Mendez, presented a seminar on Harassment/ Discrimination/Wrong ful Termination at the NPA on June 16, 2011

Memo Mendez & Kit Goldman

orkplace romance is a fact of life, right? After all, many of us spend more time at work than at home. We meet, we get attracted, we get together. On rare occasions, it’s happily ever after. More often, it’s not.

Can workplace romance be a legal issue for employers? Yes! Between co-workers with equal power and authority it’s less problematic if conduct at work stays professional. However, between a manager or supervisor and an employee -- very risky! To explore this vital issue, let’s peek in on some juicy happenings at a fictional pawn company with multiple stores! David, a store manager, and Sheila an employee at another location, have a “thing” going. Sheila’s store manager, Stan, is one of David’s best friends. Perhaps you think since there’s no actual reporting relationship between David and Sheila, no problem. See if you still think that after hearing about this meeting between David and Sheila at their favorite watering hole. Sheila’s waiting in their special booth with a Long Island Ice Tea when David arrives. He’s stressed. “What can I do to put a smile on that handsome face?”, she purrs. “I wish it were that simple”, he says, pulling away. “What’s so complicated?”, she asks. “Oh, speaking of complications, you need to call your buddy, Stan. He told me Sandy is going to Vegas with you

guys next month instead of me. He said if I go again it would look like favoritism. I told him you need me there – you know, for “staff support” – and you’d call him. David’s upset. “Why did you do that? That’s his decision. You want everyone knowing our little secret?” She laughs. “Secret? Get real The rumor mill’s the most efficient system in the place!”. He’s not amused. “Listen to me”, he says. “This morning, before the manager’s meeting, I’m in a stall in the men’s room. Larry comes in with the owner. They don’t know I’m there. I hold my feet up. Larry’s talking about this married manager who’s having a fling with an employee at another store, getting her perks, taking her on trips, putting himself and the company at risk. I’m thinking, “who is this idiot”? Larry says his name. It’s me. Sheila, we have to stop”. “I know you don’t mean that!”, she says. Tries to laugh it off. David has three kids and a decade of college tuition ahead. That morning, his career flashed before his eyes. “Things are out of control”, he tells her. “I cashed in favors with Stan to get you those trips, the bonus, the days off. Stan’s taken heat over it. I can’t call him about Vegas! What happens when another employee goes

AUGUST 2011

to H.R. or the owner and asks what or who they have to do to get perks and points right at me? That could be sexual harassment, Sheila. That stuff is all over the news! I have to think about my career. Sheila cries, swears she’ll never ask for anything again, “…so the problem’s solved”. He reminds her they agreed if it ever got uncomfortable for either of them, they’d call it quits with no bitterness, no anger, still friends, even have lunch sometimes. Sheila’s upset, humiliated, crying, doesn’t think she can handle seeing him at company functions after what they’ve been to each other. She says she needs to “explore her options”, talk with someone -- maybe H.R., maybe the owner, maybe an attorney. Workplace Romance...Continued on Page 56

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MEMBERSHIP

NPA MEMBER BENEFIT: Discount Savings on Hertz Car Rentals

Making the MOST of Your Membership As an NPA member, you already know what your membership provides. But are you really using it to its fullest potential? Review the steps below to be sure you are getting the full benefit of your membership.

eet your key congressional leaders by attending the Legislative Conference in March. Let them know your views on the issues at hand and find out what they are doing to help the pawn industry. A strong showing of NPA members is vital to be sure your voice is heard.

pen your mind to other ways of doing business. The NPA Member Forum contains numerous discussions on a variety of topics from members all over the country. Learn how they handle the same situations you are dealing with or how the economy is doing in their area. Chime in with your views during these information exchanges and see what they can learn from you as well.

can all the communications sent to you by the NPA. Whether it’s the quarterly magazine, National Pawnbroker, the weekly electronic newsletter, NPA NewsBrief, or a legislative alert emailed directly from Dana, the information is sent to keep you up-to-date on what is going on in the industry. You never know when that simple 2-line sentence is going to save you hundreds of dollars.

ake heed of the latest technology by downloading the iPhone app, visiting NPA on Facebook or Twitter, or navigating the Members Only section of the NPA website (www.nationalpawnbrokers.org ). Be the first to hear about new trends and take advantage of them.

Take time now to make sure you are getting the MOST from your membership! For information on membership, contact Margie Swoyer, Director of Membership. Margie can be reached at (817) 337-8830 or via email at Margie@NationalPawnbrokers.org.

AUGUST 2011

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AUGUST 2011

2 0 11 NPA BOARD OF DIREC TORS

NPA OFFICERS

Kevin Prochaska NPA President

Ben Levinson NPA Vice –President

Lombard Financial Services 800 West Loop 281 Longview, TX 75604 (903) 759-7296 Fax: (903) 295-7017 kevin.prochaska@lombard-financial.com

Robert Anderson NPA Treasurer

Kathy Pierce NPA Secretary

Dynasty Jewelry & Loan LTD 5059 Jimmy Carter Blvd. Norcross, GA 30093 (770) 300-0099 Fax: (770) 300-0706 ben_dynasty@comcast.net

David Crume NPA Past President

Pawn Mart Monster Pawn Corp. 2711 E. Michigan St. 1610 R.T. Dunn Dr. Indianapolis, IN 46201 Bloomington, IL 61701 (317) 634-0684 (309) 823-9115 Fax: (317) 624-2504 Fax: (309) 823-8804 robanderson@vandiviergroup.com eversonann@aol.com

Tim Collier

Janis W. Feazelle Pacer, LTD. 1123 S. University Ave. Ste. 101 Little Rock, AR 72204 (501) 666-2883 Fax: (501) 666-2377 hogtim@windstream.net

Pawn Partners Franchises 7070 East 22nd St. Tucson, AZ 85710 (520) 747-7301 Fax: (520) 747-7299 ppyuma@aol.com

David Johns Worldwide Jewelry & Pawn 1072 Lincolnway E South Bend, IN 46601 (574) 968-0619 Fax: (574) 234-7337 Thoward@wwjpawn.com

A-OK, Inc. 1223 North Rock Rd. Bldg. G, Ste. 300 Wichita, KS 67206 (316) 440-5900 Fax: (316) 440-5901 bharris@aokpawn.com

Roger Loder

Kevin Macdonald Mister Empeno Otatal 15, Col. El Carrizal Queretaro, QRO, 76030 Mexico Ofc: (011) 52-442-215-9022 (011) 52-442-186—7721 (cell) rwloder@gmail.com

Greg Geile

1st Lugoff Pawn & Loan PO Box 1107 Lugoff, SC 29078 (803) 438-5079 Fax: (803) 438-8432 pawnpeople@aol.com

Tom Howard

Bruce Harris

AUGUST 2011

Big Daddy’s, Inc. 1425 Terry Rd. Jackson, MS 39204 (601) 352-5252 Fax: (601) 355-2001 sterryroadpawn@comcast.net

A-OK, Inc. 1223 North Rock Rd. Building G, Ste. 300 Wichita, KS 67206 (316) 440-5900 Fax: (316) 440-5901 dcrume@aokpawn.com

Family Financial 1085 W. Morse Rd. Winter Park, FL 32789 (407) 478-7296 Fax: (407) 637-8744 johnsd@familyfco.com

Craig McCall Pawn Shop Management, LLC 6859 S. Eastern Ave., Ste. 101 Las Vegas, NV 89119 (702) 851-8155 Fax: (702) 248-9087 craig@asappawn.com

2 0 11 NPA BOARD OF DIREC TORS Eric Modell

Bob Moulton Modell Collateral Loans, Inc. 21 W. 47th St., Ste 500 New York, NY 10036 (212) 354-4444 Fax: (212) 764-0019 eric@gmodell.com

Mona Prestigiacomo

Craig Rabiner

Kohn’s Loan Co. 126 W. High St. Lima, OH 45801 (419) 224-1796 Fax: (419) 224-2415 thedog@bizwoh.rr.com

Bill’s Jewelry & Pawn 10213 Dixie Hwy. Valley Station, KY 40272 (502) 933-0848 Fax: (502) 937-3776 mojopresto@yahoo.com

Ken Smith

Ramona Thompson

Larry Nuckols Pawn Management, Inc. 2502 Harry Wurzbach Rd. San Antonio, TX 78209 (210) 826-8033 Fax: (210) 826-5733 larry@pmibiz.com

Steve Rogers Wellston Pawn, Inc. 2000 Moody Rd. Warner Robins, GA 31088 (478) 922-4549 Fax: (478) 922-8566 Stevieray32@hotmail.com

Diane Taylor

Jordan Tabach-Bank Beverly Loan Company 9440 Santa Monica Blvd. Ste. 301 Beverly Hills, CA 90210 (310) 275-2555 Fax: (310) 275-6609 Jordan@beverlyloan.com

Cindy’s Pawn 400 E. Florida Ave. Hemet, CA 92543 (951) 652-1720 Fax: (951) 925-6080 ksmith@airenetworks.com

Chuck Williams

Bill’s Jewelry & Pawn 10213 Dixie Hwy. Valley Station, KY 40272 (502) 933-0848 Fax: (502) 937-3776 mssramona@yahoo.com

National Jewelry & Pawn, Inc. #1 2334 Guess Rd. Durham, NC 27705 (919) 286-3333 Fax: (919) 286-3244 moultonbob@yahoo.com

Traders Loan & Jewelry 18505 Sherman Way Reseda, CA 91335 (818) 345-8696 Fax: (818) 345-8574 dtaylor393@aol.com

Legislative Resources

Chuck’s Gun & Pawn Shop 603 Watson Blvd. Warner Robins, GA 31093 (478) 922-9851 Fax: (478) 922-9677 cgpcw3@aol com

Sarah Jane Hughes

LEGAL COUNSEL grc@nationalpawnbrokers.org

NPA STAFF

Dana Meinecke Erika Brooks NPA Executive Director Director of Meetings dana@nationalpawnbrokers.org & Publications

margie@nationalpawnbrokers.org

NPA Executive Office

| 891 Keller Prky, Ste. 220

LOBBYIST grc@nationalpawnbrokers.org

erika@nationalpawnbrokers.org

Margie Swoyer Terri Congleton Director of Membership

Cliff Andrews

Administrative Assistant

Sandi Wachsmann

terri@nationalpawnbrokers.org

| Keller, Texas 76248

| (817) 337-8830 AUGUST 2011

Accounting

sandi@nationalpawnbrokers.org

| Fax: (817) 337-8875

2011 PAWN EXPO

PAWN EXPO 2011 Awards

Lifetime Achievement Award

Pawnbroker of the Year

Industry Partner of the Year

David Adelman

Bob Moulton

Fran Bishop

Union Life & Casualty

Reach for the Stars AUGUST 2011

www.PawnExpo.com

2011 PAWN EXPO

PAWN EXPO 2011 Awards

Committee of the Year

Special Recognition

Convention Chair Lee Amberg

Prof. Sarah Jane Hughes, Regulatory Counsel

Cliff Andrews, Cap City Advocates

Best Booth CompuPawn

Emmett Murphy, 3 CLiCK Media

Most Imaginative Booth Central Refining

Reach for the Stars

Rookie of the Year Security Source

www.PawnExpo.com AUGUST 2011

2011 PAWN EXPO

PAWN PAWN EXPO EXPO 2011 2011 Highlights Highlights

Reach for the Stars AUGUST 2011

www.PawnExpo.com

2011 PAWN EXPO

PAWN EXPO 2011 Highlights

Reach for the Stars

www.PawnExpo.com AUGUST 2011

2011 PAWN EXPO

PAWN PAWN EXPO EXPO 2011 2011 Highlights Highlights

Reach for the Stars AUGUST 2011

www.PawnExpo.com

2011 PAWN EXPO

PAWN EXPO 2011 Highlights Golf Tournament Winners 1st Place – Nick Fulton, Jack Hartsoe, Craig McCall, and Jim Fisher 2nd Place - Seth Ward, Theo Spyer, Shawn Keep, Ralph Ray 3rd Place – Ed Bean, Greg Geile, Eric Geile, Robert Geile Longest Drive – Nick Fulton Closest to the Pin – Carl Balderson

PMS 282

PMS 1255

Thank you to our Sponsors

Unique Diamond International

Reach for the Stars

www.PawnExpo.com AUGUST 2011

2011 PAWN EXPO

PAWN EXPO Highlights Save 2011 the Date Pawn Expo 2012 July 17-19, 2012 PAWN EXPO continues to evolve to keep pace with the industry and deliver you a new experience each year. In celebration of our amazing new venue, the award-winning Cosmopolitan of Las Vegas, and the NPA’s 25th Anniversary, we have designed an Expo to help our attendees maximize their return in cash as well as knowledge.

Professional Speakers from the Top Institutes in the Country The 2012 Anniversary Pawn Expo will celebrate our past by preparing us for the future of the pawn industry. A few of the topics that top-notch professional speakers will present to you include:

• Providing top notch customer service and salesmanship • Hiring, managing and developing your team • Marketing to your rapidly expanding customer base Introducing the Diamond District…The Destination Where Buyer Meets Seller Imagine an entire city block inside Pawn Expo where buyers will be competing for your diamonds and you can shop your diamonds with or without appointments. The time has never been better to sell ALL of your diamonds. We have developed the perfect venue to allow you to maximize your returns in a competitive and secure environment. Start saving up your diamonds and stay tuned for more information. The 2012 Pawn Expo exhibit hall is already 60% sold and we are currently interviewing new exhibitors to further enhance you experience. In addition, we will be featuring a Diamond Sponsor “Dash for the Cash” with free progressive drawings of $500 up to $5,000. We encourage any exhibitor who is interested to contact Erika Brooks immediately as space is limited for this amazing Diamond Sponsor opportunity. Please stay tuned for more information and highlights on the 25th Anniversary Pawn Expo.

Missing it will cost you money……

AUGUST 2011

CLARITY ENHANCED DIAMONDS

ALTA DIAMONDS LLC 62 W 47th Street, Ste 302 Ph: 212 221 9808 Fax: 212 221 9809 www.altadiamonds.net

AUGUST 2011

COVER STORY First Impression...Continued from Page 10

by the overall impression that a store has something they should check out. For the browser, a further look into the store must plant a seed of interest and hook them in. For both seekers and browsers, the deeper glance into the store and the resulting decision -- to enter, or not -- is often attributed to the overall store look and a compelling hook. A Visual Look An inviting entrance is crucial in stopping the customer and establishing a positive first impression, but if the inside store messages create feelings of inconsistency or confusion, all is lost. For example, a clear and well-articulated store entrance that is followed up with a barrage of inconsistent aisle patterns, sloppy merchandising and confusing signs signals to the customer that the exterior image will not be fulfilled on the inside. Truly impressive stores are consistent in all efforts from the storefront right through to the stockroom. A Visual Hook A visual hook is a call to action that diverts a customer’s attention to your store with a “Stop! There’s something here for you!” Powerful visual hooks are created by marrying other visual merchandising components for a more memorable first impression. An exciting entrance presentation, an effectively signed promotional offering, a powerful interior display, instore animation or events all serve as magnets to draw the customer in. Successful hooks ensure that the impressions they project are consistent with the store’s overall image. Well-executed hooks hold tremendous appeal for the customer, particularly the browser and include the sense of sight, touch, sound and smell. But to ensure the result is appropriate, you need to understand the psychological effect of sensory stimuli on consumers. We will explore those topics in upcoming articles. About the Author: Donna Geary, MBA, CAE Donna is the founder and Executive Director of Impact Visual Merchandising. For the past 20 years, Donna has consulted with clients in the retail, tourism, museum, attraction, service, wholesale, associations and banking sectors. Donna is the author of Maximizing Store Impact: A Retailer’s Guide to Profitable Visual Merchandising, published by Ryerson Polytechnic University. She is also an award-winning contributing writer for numerous B2B trade publications. She was the seminar leader of “Pawn Store Image” at the 2011 NPA Pawn Expo in Las Vegas and is currently assisting pawn retailers across the country to maximize their store’s impact. You can contact Donna via her website: www.impactvisual.com, by email donna@impactvisual.com or by calling 705-749-8651.

AUGUST 2011

COMMUNIT Y

Chad Olsen, son of Mary and Lou Tansky, is a Chief Warrant officer 2 (CW2) Blackhawk pilot serving just outside Fullusia near the Pakistani border in Afghanistan. Mary is an officer in the local chapter of Blue Star Mothers, a support group of moms with children in the service. There are local chapters of Blue Star Mothers all across the country who donate items to these fine young men and women who serve our country. They are always looking for donations of anything that the service men and women could use. If anyone is interested in donating to a very worthy cause, please contact Mary Tansky at mary@unclebenspawnshop.com

Chad Olsen,son of Mary and Lou Tansky (front row, 1st person on the left) with the 10th Mountain Division A company, 2-10 Aviation Unit Task Force Shooter, Voo Doo Strike Force.

AUGUST 2011

FEATURE AR TICLE Watch Certification Svc...Continued from Page 20

only needs a fine tuned focus to get started. If you’re sold on the idea, create the platform for growth. A common misconception is that to be successful buying and selling Swiss timepieces, you have to be a horologist or historian in order to qualify every aspect of the watch. This is far from the truth. It can be as simple as the training and buying policy you put in place to buy gold. Having a system of verification can be straight forward and highly affective for reducing risk with counterfeits. Furthermore, having tools for price valuations and following a strict guide for buying the brand (you will find liquidity and significant profits investing in brand recognized timepieces) will help you enter the market with minimal knowledge to get up and running. When laying out a strategic plan, a minimal investment in staff training will benefit your operation greatly. A simple approach to learning the basic terminology, components, and brand identification will allow your staff to represent themselves as the “expert”, instilling confidence in your clients and greatly increasing your opportunities. In addition, when a client is looking to sell, you can imagine how they view you as a strong buyer when you can properly handle their item.

NU A OG VU EM S TB E2R0 1210 1 0

Once you have structured a buying policy, implementing a system that reduces your risk, trains and empowers your staff, you will see a significant increase in opportunities. And, as you experience the benefits, you will find a need to add additional levels to your watch buying platform. Aside from retailing product, research additional selling channels such as flipping wholesale, choosing to reach new markets via auction selling, or develop your business online with niche branding. The fact is that creating a watch buying policy or improving an existing platform will exponentially increase your opportunities to buy and sell high grade Swiss watches. You can easily add 10-15% to your company’s revenues with a simple commitment for entering into the highly lucrative timepiece market.

What are you waiting for? It’s time to buy!

AUGUST 2011

We do not criticize your goods and never try to low-ball you. Guaranteed better prices paid than your current vendor. Member of Diamond Dealer Club, N.Y., NPA, JBT, Gem & Jewelry Council, India AUGUST 2011

STATE NE WS Georgia Congratulations are in order to Georgia Pawnbrokers: Ben Levinson, Norcross, for being elected NPA Vice President; returning NPA Board Member, Steve Rogers and new NPA Board Member, Chuck Williams, both from Warner Robbins. Georgia was well represented at the NPA PAWN EXPO in June. The seminars, trade show, and trading program provided valuable information to all, but the networking with fellow pawnbrokers from all over the world continues to be most valuable and helpful to the attendees. Concerned Georgia Pawnbrokers have met several times recently and decided we need to reorganize to face the issues that are troubling our industry in the state. We have initiated a Georgia Google Groups to keep you informed. If you are not signed on to the Georgia Google Groups, please contact one of the following and get involved: Ben Levinson at 770-300- 0099 or email ben_dynasty@comcast.net Neal Castleberry at 678-445-5455 or email neal@cashmax.com

new stores or changed ownership. That includes an EZPawn (a half block) and a Cash America (2 blocks) from my store. That is almost a 15% increase so far this year alone and itâ&#x20AC;&#x2122;s only mid-July! Last year, we had 42 new stores or changes in ownership in Illinois. Almost a 20% increase!!! The Illinois Pawnbrokers Association has set a record with 103 members and more to come. Does it mean that we are the only state with a growing pawn industry? I think not. Our customer base is growing daily and we need to be prepared to service that growth. You have all heard the same story time and time again. Keep your store clean and inviting. Have enough cash on hand to write loans. Smile and treat your customers well or someone else will. Our next meeting will be September 11th at the I-Hotel in Champaign, Illinois. Brunch will be at 11:00 a.m. with the general meeting to follow at Noon. This year is an election, folks, so please attend and have your voice heard when we tabulate the votes.

Indiana

Dave Adelman at 404-525-0270 or email dave@Jerryspawn.com REMINDER: Southeastern Regional Pawnbrokers Convention and Tradeshow September 23rd-25th Hyatt Greenville at Downtown Greenville, SC 800-233-1234 Please plan on attending. There will be an IMPORTANT state association meeting on Sunday, September 25th.

Illinois At the Midwest Pawnbrokers Convention, we reestablished our dominance and brought home the Medici Cup awarded to the state with the greatest attendance. Tom Brown IV and Frank Ingram are both beaming smiles down on us. Maybe that accounts for the heat. As I write this, we are in the midst of several days near or over 90 degrees. The pawn climate in Illinois is blisteringly hot too. Now pay close attention to this.

The Indiana Pawnbrokers Association had a booth at the Chiefs of Police Association Convention and also one at the Sheriff â&#x20AC;&#x2122;s Convention this summer. The IPA members were concerned about some of the misinformation with law enforcement and several board members attended with amazing reviews from the law enforcement community. We were really surprised by their responses. Questions about how a pawnshop worked were eye opening. It was a terrific learning experience for all. The Midwest Convention that was held in Chicago was a huge success with a packed exhibit hall and standing room only in the seminars. Attendees from 18 states and 2 countries were very happy with their experiences. Next year the convention will be in Indianapolis, and the exhibit hall is nearly sold out already. Again, lower attendee costs will bring the convention to near capacity early. Plan on attending and booking hotel rooms early in 2012. The Indiana Association has had to deal with more legislative issues and some changes to the statutes regulating licensees along with proposed legislation regulating the gold/diamond/jewelry buyers (that are not pawn shops). This legislation failed as there was a long walk-out in chambers, but will most likely be brought back in one form or another. The association is working and supporting some of these efforts.

So far this year, there have been over 29 pawn shops opened as

State News...Continued on Page 52 AUGUST 2011

Secure your place in the pawn revolution today. First 1000 stores receive Bravo Store Systems for just $149.00 per month. Early adaptors, secure your place in the revolution changing the way pawn business is done. One look, and youâ&#x20AC;&#x2122;ll wonder how you ever did business without it. Call 888.407.6287 for a FREE demonstration. To reserve your price and boarding date email us at info@BravoRevolution.com Bravo Store Systems is the most advanced pawn store systems software - ever. Advanced, yet so incredibly simple to install and operate, Bravo software will facilitate lowering costs, raising revenue, while increasing productivity. And your employees will love it too!

See you at Pawn Expo: Booth # 802 Visit BravoRevolution.com or call 888.407.6287

AUGUST 2011

STATE NE WS State News...Continued from Page 50

The Indiana Association is hosting the GIA Diamond Grading Lab course this November in Indianapolis. There is a limit of 30 attendees for this 5-day course. Contact Executive Director, Ron Stempkowski, at (219) 261-3173, or 1ipa@comcast.net for more information.

Mississippi House Bill 1195 went into effect July 1st in Mississippi which makes it illegal to set up in hotels, department stores, or any place other than a permanent location, and buy precious metals. It also sets forth reporting and holding requirements for brick and mortar locations. There is no regulatory agency so Mississippi Pawnbrokers have been busy contacting their local law enforcement officials to make them aware of the law and also letting them know of any ads in the paper, or otherwise, promoting a gold show in their area. We had one such group that was ushered out of town on the 1st by police department from a neighboring town. We have two classes remaining this year for our Pawnbroker’s continuing education requirements - one in Jackson on July 23rd and the other in Hattiesburg on October 15th. We are pleased to have David Johns and Jerry Whitehead presenting at both classes. Both are great speakers and bring a wealth of knowledge with them. Plans are already in the works for our next Dixie Pawnbroker’s Educational Conference and Trade Show. Butch Tinker, President of the Louisiana Pawnbroker’s Association, and his folks are trying very hard to have it in New Orleans and we should know very soon if that works out. We had about 200 pawnbroker attendees and 40 vendors in Tunica at our April Trade Show and requests are coming in already this year for exhibit space. It’s a great time to be a Pawnbroker! Kevin Macdonald President, Mississippi Pawnbroker’s Association

Ohio Dear Ohio Pawnbrokers Association members; A drastic overhaul to the Ohio Pawnbrokers Act has been proposed by a Texas-based multinational corporation, Cash America, which operates numerous pawn licensed operations throughout Ohio. This legislation, if passed in its proposed form, will limit competition and potentially make your business worthless to any entity except Cash America should you ever decide to sell or retire. Your Ohio Pawnbroker Association has been on top of this issue since the beginning, is strongly opposed to this legislation in its current form, and we have indicated such to Cash America. They have informed us and the media that they intend to pursue this proposal with full knowledge of the potential for damage to our industry. At this time, we are asking you to do nothing, but remain vigilant to the fact that our industry is under attack. There will be a time in

AUGUST 2011

the future where we will need your assistance to help educate your legislators and the public as to the valuable services our industry provides and how this proposal would drastically hinder our ability to provide that. A recent article was written by consumer affairs reporter Sheryl Harris of the Cleveland Plain Dealer which very accurately lays out the potential harm in this legislation. http://www.cleveland.com/consumeraffairs/index.ssf/2011/06/ payday_lender_seeks_changes_to.html As always, your OPA officers remain committed to protecting your industry and businesses. Please do not hesitate to contact me or any officer or board member with questions, comments or concerns. Best Regards Lou Tansky, President Uncle Ben’s Pawn Shop Ohio Pawnbrokers Association 2600 St. Clair Ave Cleveland, OH 44114 216-325-5626

2011 SOUTHEASTERN REGIONAL PAWNBROKERS CONVENTION & TRADESHOW September 23rd-25th, 2011 THE HYATT REGENCY, Greenville, SC Registration Form: Company_____________________________________________Contact______________________________ Address______________________________________City______________________State______Zip______ Phone____________________Fax________________________Email_________________________________ Names as they will appear on badge please print clearly: ___________________________________________

___________________________________________

REGISTRATION FEES: Includes all meals, entertainment functions, seminars & admittance to Exhibit Hall at Tradeshow. Registration deadline is August 17, 2011. Late registration fees are $50 per person. Member.........................................$125.00 X______ Additional Attendees...................$ 75.00 X ______ Non-Members...............................$175.00 X______ Member One Day Pass................$100.00 X______ (Friday or saturday) Total registration enclosed $_________

Greenville is set among the foothills of the Blue ridge Mountains, in the northwest corner of South Carolina. the Hyatt regency is located in the heart of downtown, offering the ideal location for shopping and entertainment; within walking distance to over 70 restaurants, clubs, newly constructed river walk w/ trails & specialty shops. the spacious guest rooms feature a 42â&#x20AC;? flat-panel HD tV, signature Hyatt Grand Bed & free Wi-fi internet access. the Hyatt is conveniently located along the i-85 corridor with easy access to i-26 & i-385.

Reservations may be made directly with the hotel. Room rates are $109.00 per night until our room block is filled and are available 3 days prior or post convention. Space is limited so register early!!!!!!!

HOTEL INFORMATION HYATT REGENCY GREENVILLE 220 NORTH MAIN STREET GREENVILLE, SC 29601 800-233-1234 https://resweb.passkey.com/go/scpawnbrokers REGISTRANTS MAIL COMPLETED FORM AND PAYMENT TO: NORTH CAROLINA: NCPBA, PO BOX 41368, RALEIGH, NC 27629 GEORGIA: PBAG, 4981 HWY. 20, SUGAR HILL, GA 30518 SOUTH CAROLINA & ALL OTHERS: SCPA, PO BOX 601, LUGOFF, SC 29078 FOR FURTHER INFORMATION CALL JANIS FEAZELLE 866-438-7296 SC ONLY, ALL OTHERS 803-438-7686

NU A OG VU EM S TB E2R0 1210 1 0

AUGUST 2011

FEATURE AR TICLE Workplace Romance...Continued from Page 22

He coaxes her with sweet talk and threats, but she’s having none of it. Steamy enough for you? Memo Mendez and I, “recovering” professional actors who have been workplace training experts for 15+ years, often perform this powerful scene in our interactive Sexual Harassment training. At the end, “David” interacts with the audience re: the learning points in the scene and asks “What should I do now ?” The most common suggestion: update your resume! David’s conduct creates risk and makes him a liability. Most participants agree that while it may be too late, David should go to H.R. or the owner, tell the truth, and see if there’s any way to get things back on track. His efforts to sweet talk Sheila and any threats of retaliation only dig his hole deeper. It is wise to have a clear policy in place re: personal relationships and make sure your team is educated about it!

HERE ARE SOME KEY POINTS IN ADDRESSING THIS ISSUE WITH YOUR TEAM: • Sexual harassment claims may arise from co-workers who do not get perks but are equally or more deserving of them. • Favoritism is illegal and devastating to morale, teamwork and productivity. Under some state laws, even the perception of pervasive favoritism can constitute harassment. • While “Sheila” consented, she may claim the relationship wasn’t welcome, that she was intimidated and fearful of refusing. If managers have the power to get perks, they have the power to take them away. • Power abuse by members of management is indefensible. • “David” and “Stan” may have personal liability for engaging in illegal favoritism. • Employees as well as managers should exercise personal responsibility re: accepting perks they may not have earned. “Sheila” put her professional reputation and credibility in question by her actions. • Personal relationships when there is NOT equal power and authority are fraught with peril and should be avoided! • Personal relationships between managers and direct reports

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are against the policy at many companies. If that occurs, managers should advise H.R. or ownership so the situation can be resolved, often by transferring the senior person. WTN delivers powerful, effective “edutainment” style training on employment practices: • On-site custom seminars • Online programs and DVDs • In English and Spanish

www.workplacetrainingnetwork.com 619-794-2718 kit@workplacetrainingnetwork.com

AUGUST 2011

C A L E N DA R O F E VENTS SEPTEMBER 2011

23 24 25

Southeast Regional Conference Friday, September 23 – Sunday, September 25 Hyatt Regency, Greenville, SC Contact: Janis Feazelle / 803-438-7686

OCTOBER 2011

21 22 21 22 23 28 29 30

NPA Fall Board Meeting Friday, October 21 - Saturday, October 22 Embassy Suites DFW Airport North ~ 972-724-2600 Contact: Erika Brooks 817-337-8830 erika@nationalpawnbrokers.org

Texas Association of Pawnbrokers Convention Friday, October 21 – Sunday, October 23

$199.00

CLSDA 55th Annual Convention and Exposition Friday, October 28 – Sunday, October 30 Location Long Beach, CA Contact: Kim Andosca / 209-786-5115

JANUARY 2012

17 18 19 20

Sale Price

Embassy Suites DFW Airport North ~ 972-724-2600 Contact: Peggy Roden / 972-506-0203

SHOT Show Tuesday, January 17 - Friday, january 20 Las Vegas, NV www.shotshow.org

456 W. Columbus Dr. Tampa FL 33602 Phone: (800) 476-2715 Fax: (800) 476-8016

Email: info@LivesaysInc.com www.LivesaysInc.com

MARCH 2012

2012 Legislative Conference Thursday, March 8

The Liaison Hotel, Washington DC ~ 202-638-1616 Group Rate: $269.00 Contact: Dana Meinecke / 817-337-8830

NPA Spring Board Meeting Friday, March 9

The Liaison Hotel, Washington DC ~ 202-638-1616 Contact: Dana Meinecke / 817-337-8830

17 18 19

Dixie Convention Saturday, March 17 - Monday, March 19 New Orleans, LA Contact: TBA

MAY 2012

18 19 20

2012 Midwest Pawnbrokers Convention Friday, May 18 - Sunday, May 20 Wyndham Hotel, Indianapolis, IN Contact: Ron Stempkowski / 219-261-3173

Mark your calendar today. Classified Ads Available $3.00 per word • Minimum $30.00

Contact NPA office to reserve your ad spot 817-337-8830 erika@nationalpawnbrokers.org AUGUST 2011

INDEX OF ADVER TISERS ADVERTISER

PG.

ADVERTISER

ABC Jewelry Inc. (586) 354-7274 www.ABCDiamondBuyer.com

Garrett Metal Detectors (972) 494-6151 www.Garrett.com

Alta Diamonds, LLC (212) 221-9808 www.altadiamonds.net

Bluestone Trading (888) 800-BLUE (2583) www.Bluestone-Trading.com

Bravo Software www.bravorevolution.com

Burrell Printing & Promotions (800) 531-5234 www.BurrellPrinting.com

The Buyers (562) 945-7276 www.TheBuyers.com

Cash America (866) 291-8110 www.pawnshopbuyer.com

CashPass Network (877) 505-6600 www.CashPass.com

ChampionshipRings.net (949) 713-2890 www.ChampionshipRings.net

Geib Refining Corp (800) 228-4653 www.GeibRefining.com

Rapaport (212) 354-9800 www.rapaportauctions.com

The Ring Man (215) 677-2440

58 56

Hi-Tech Precious Metals & Refinery (866) 950-7528 www.HiTechPMR.com

Hoover & Strong (800) 759-9997 www.hooverandstrong.com

Rolland Safe Co (800) 225-2984 www.rslc.net

Stallcup Group, Inc (817) 723-3323

Houston Precious Metals (713) 228-3931

International Gemological Institute www.igionline.com

IFC

Stebgo Metals (800) 289-0138 www.stebgo.com The Trendz (866) 337-7464 www.thetrendz.biz

Data Age/PawnMaster (888) 949-7296 www.DataAge.com

Professional Texas Insurance (800) 742-6240

RMF Consulting Group (702) 596-8370 www.checkcashingcompliance.com

Manhattan Gold & Silver (212) 398-1454 www.mgsrefining.com/npa

Garfield Refining (800) 523-0968 www.GarfieldRefining.com

CR Jewelers (800) 574-8820 www.nationalmeleebuyers.com

Palak Diam Inc (213) 268-8485 www.PalakDiam.com

GunBroker.com (720) 223-0164 www.GunBroker.com

M & M Merchandisers (800) 299-9035 www.MMWholesale.com

Equitable Payments (866) 489-0270

30 31

Office Depot (817) 304-3275 lisa.bustamante@officedepot.com

Golden Opportunities (888) 387-6017 www.GoldenOppUSA.com

CompuPawn (954) 545-9868 www.CompuPawn.com

Dillon Gage (888) 436-3489 www.dillongage.com

PG.

ADVERTISER

Gemological Institute of America (800) 421-7250 www.gia.edu

3 CLiCk Media www.3ClickMedia.com em@3CLiCkMedia.com

Diamonds by Gemasia, Inc. (917) 941-1279 cash4diamond@aol.com

PG.

Livesays (813) 229-2715 www.Livesaysinc.com

Umicore

(877) 795-5060 www.umicore.com Union Life & Casualty Insurance Agency

(800) 545-5624 www.PawnInsurance.com Unique Diamond International

Mid-States Recycling & Refining (847) 298-0010 www.midstatesrecycling.com

National Jewelers Supplies (888) 657-8665 www.NationalJewelersSupplies.com

North American Metals (800) 773-1626 www.NorthAmericanMetals.com

NTR Metals (800) 889-0396 www.NorthTexasRefining.com

(877) 700-DIAMOND 700DIAMOND@gmail.com United Precious Metals

(800) 999-3463 www.UnitedPMR.com

Wexler Insurance Agency (800) 432-1853 www.WexlerInsurance.com

IBC

White Pine (646) 758-0292 www.whitepinediamonds.com

Worldwide Diamond Co (213) 622-2191 www.WWDiamond.com

The NPA does not specifically endorse any entity and makes no representations, warranties or guarantees, and assumes no responsibility for, the products or services provided by these entities. The NPA expressly disclaims all liability for damages of any kind arising from the use or the performance of the products or services provided by these entities

AUGUST 2011

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