16 minute read
Talking Shop
Support network
This month, we spoke to members of Associated Independent Stores (AIS) to hear more about their stores, what they value about membership of the group and what they hope to get out of the upcoming INDX show.
Grahame Hook - Morleys Department Store, various locations around the UK
Morleys Group comprises eight stores: Morleys Brixton, Morleys Bexleyheath, Morleys Tooting, Elys Wimbledon, Camp Hopson, Pearsons Enfield, Roomes Fashion & Home and James Selbys and is independently owned. Most recently, the group expanded Camp Hopson with an additional 20,000 sq ft of trading space, which opened at the end of April. The group’s ultimate aim is to be the leading independent department store group in the UK.
I’ve been with Morleys just shy of three months now and, so far, our AIS membership has been a very useful tool to get in touch with the right people within the supply chain. The FOB lines the AIS team puts forward are great – really strong selections followed by a smooth ordering process. The fantastic head office team is always willing to talk, and they go out of their way to get answers for you.
Thanks to AIS supporting myself and the Morleys toy department through the FOB programme, we've now got a strong selection of products that we would not necessarily have access to or be able to purchase otherwise. Another advantage of AIS membership is that we get better margins, as membership gives us smaller retailers buying power as a group.
The retail market is tough overall, but our toy departments are performing very well. We’re actually seeing sales numbers that are slightly better than last year, which we are very pleased with. Outdoor toys has been up and down due to the weather, but even so this is currently one of our best performing ranges due to the AIS FOB programme, which includes a great outdoor toy selection. Our diecast car range also performs strongly, mainly with the Simba Smoby lines.
I’m excited to visit my first INDX Toy and Gift show this September, as it promises to be a great opportunity to source the latest introductions for autumn/winter and offers us the opportunity to negotiate directly with suppliers. We’ll be looking out for anything that's going to be a top toy for Christmas, as well as volume drivers and ranges where we can offer a point of difference – anything that we can jump on to that the bigger chains maybe haven’t got in stock yet. As an independent, family run business, we're able to react very quickly to trends.
Another reason it's good to be an AIS member is being able to collaborate with the other partners, for example visiting previews from the big suppliers. We have previews lined up with Hasbro, Mattel, MGA, Spin Master and Lego, which I’m really looking forward to.
Most of our suppliers are very supportive with what we do as a bricks and mortar store and are keen to help us present their products in the best way possible. We've got collaborations this year, for example, with new in store POS support from a selection of suppliers, including Lego, Mattel, Clementoni, Learning Resources and One For Fun.
We’re always looking to develop our toy department; one of the ways we’re currently looking to do this is to build on our kids’ stationery offering, as well as kids’ cosmetics and books. We’re going to extend our Science and STEM offering as well, as this is an area that has proved very popular with customers, We’re in talks with Learning Resources, Clementoni and Thames and Kosmos.
We’re currently focusing on the Paddington brand to support the upcoming movie launch. We're working with Rainbow Designs on licensed toy products, and Paddington will also be found in a mixture of departments throughout the store – we’ll be offering everything from mugs to marmalade! Having a strong theme throughout all departments helps to bring everything in the store together - and also guide people to the toy department. It’s a great way to make the store a fun place to visit, and we also host location-specific events, such as our Wimbledon store getting behind tennis related product.
We're looking at other launches; for example, we’re working with Aardman for a Wallace and Gromit event at Christmas. We work with publishers too to support book releases with in-store events; we’re planning a Tiger Came to Tea theme with HarperCollins. We can also work in conjunction with our in-store restaurants as part of an overall store takeover, offering a special menu to fit the theme. We host amazing store events with complimentary food, drink and activity in-store for every department. We even have Father Christmas attend our Christmas Shopping Party! Our stores are family friendly with the cafes, baby changing areas, dog friendly and have helpful staff.
We’re working hard on the eCommerce side of things, getting emails out and using social media to tell people about our events, activities and product launches. We’re using Instagram and TikTok to highlight trends that will increase footfall in store. We’re making things more exciting on social media with in-store content, as this will attract customers and increase familiarity to mirror their wonderful experience in store – to view their shopping trip more like a day out than a chore. We also have a rewards programme which rewards our customers for every purchase with points they can redeem against a purchase, and we gift them 500 points (£5 equivalent) for their birthday month. People can probably buy 90% of the products we stock online, but what we can offer is in store theatre: activities and events, beautiful displays and personal customer service.
Andrew Addley - SMF Toytown, Northern Ireland
I personally find the INDX Toy & Gift Show very beneficial. It’s a once-a-year opportunity to meet all the company principals in one place for a couple of days. Currently, especially post-Covid, interaction mainly happens online over Microsoft Teams or Zoom, so it’s good to have face-to-face meetings as these can’t fully be replaced by technology. While it’s sometimes convenient to have meetings online, face-to-face conversations enable toy trade members to discuss important business matters in more depth – and at the INDX show, they can also look at deals that are on offer for AIS members exclusively.
AIS supports its members with plenty of advice, as well as in-store promotional material. The organisation is very skilled at working with suppliers, finding out which items are selling and making sure that members are aware of the top sellers and what’s out there in the market. Here at SMF Toys, we are fortunate to have a good relationship with suppliers directly, and they provide immense support for us that way too.
We are delighted to be trading up on sales from last year, as we’ve noticed from talking to other retailers and suppliers that the current situation for the market is tough. The cost-of-living crisis has affected everybody and had a noticeable impact on lot of businesses. Everybody knows that April is a difficult month. May was a bit better, and we finally saw things picking up in June. We’re hoping that better weather will increase sales and we’re waiting to see what the rest of the summer holds.
Customers are coming to stores looking for bargains and that is where we must make sure that we have the right products on offer, at the right prices. Everybody in the trade is talking about how there isn’t a craze in the toy sector at the minute. However, what we’re finding is that there are a lot of key ranges that have been seeing plenty of success – we’re doing well at keeping up with current trends and meeting consumer demand. Lego Icons, Lego Speed Champions and Lego Flowers are all selling well, while Mattel’s Hot Wheels has also been excellent. Funko has been another great addition to our shelves because it covers the teenage and kidult market, and WWE, along with Squishmallows, is still very strong. Topps’ football cards have been highly popular thanks to the Euros 2024, and we’ve also seen an increase in sales in the TCG category.
We’re also seeing nostalgic ranges such as Bandai’s Littlest Pet Shop and Hello Kitty making a huge comeback with very strong sales. We not only try to make sure that we’ve got stock of what customers are looking for, but we also aim to provide the best value products. In-store promotions are offered whenever possible; whether it’s a gift with a purchase or just making sure that we have good value items on promotion, and this has helped us maximise sales.
Julie Sharred - Planters Garden Centre, Tamworth
Being an AIS member is a huge benefit, especially being able to attend the INDX Toy Fair and take advantage of offers on products we like. Suppliers we have gained through AIS include Gibsons, and we already carry ranges from several other AIS suppliers, such as plush from Rainbow Designs as well as Lego, Playmobil and Epoch, who we’ll be able to catch up with at the show.
As a garden centre, the majority of our customers are focused on their gardens during the summer and gifts aren’t a priority, so we cut back on bigger ticket items and keep a good stock of pick-up lines and special offers. We offer a range of Lego – mainly the smaller sets up to £30, but the exception to this is the Lego Botanical sets, which are slightly more expensive but very strong sellers. We also carry a collection of plush from Keel Toys, and puzzles continue to sell well – especially Ravensburger’s Disney Fantasia puzzles at the moment.
Outdoor toy sales always pick up when the kids break up from school: products such as bats and balls, bubbles and footballs are popular year in, year out. We stock an extensive range of cheaper outdoor toys that customers can add to their trolley as they visit us for other things.
Situated on the main pathway of the garden centre, our toy and gift area will always be directly in front of customers – they can’t miss it and we hope to attract customers who came for other things but saw some good deals, or a child who spotted a toy they like. We have engaging displays; mainly created in-house but sometimes with supplier-provided POS solutions. If there is a nice FSDU being offered to show off a promotion, we’ll use that.
The INDX Toy and Gift show is very convenient for us as we’re located close to Cranmore Park where it takes place. It’s always worth attending to check out the offers or extra discounts that you can only get at the show. This year, we just want to see what’s new or what’s different at the show. Our toy area isn’t very large, and we don’t have much flexibility to expand. It’s important therefore for us to source the right mix of products that will make the best use of the space and sell at attractive prices for our customers – ideally with an attractive margin for us too.
Emma Gray - Toll Clock Toys, Bolt’s Shetland
An AIS membership offers numerous benefits, with the primary advantage being centralised invoicing. This system simplifies administration, meaning we can manage our time more effectively and ensure quicker payments to suppliers. The AIS Hub is another invaluable resource, providing a comprehensive list of member suppliers, their contact information and invoicing data, allowing us to identify successful suppliers for collaboration.
AIS membership also offers settlement discounts on timely invoice payments and access to supplier promotions. The AIS group is incredibly supportive; following a recent management change, we received a visit from Andrew, an AIS representative, here in the Shetland Islands. His visit demonstrated AIS’ commitment to independent retailers and helped him understand our setup better.
Rosie from AIS helped put us in contact with the suppliers we missed at the Toymaster show in May, enabling us to place orders with them. AIS staff can also recommend suitable suppliers for new product ranges, saving us significant research time.
After a quiet spell in May, the children are now on their summer holidays here, so business is picking up again and we’re seeing an increase in customers. Our store, which is located in a prime spot in Lerwick’s shopping centre, benefits from increased footfall during the tourist season, especially from cruise ship visitors. This is when we can tap into that market and sell souvenirs such as puffins, Shetland ponies and highland cows in large quantities, as well as treats for the kids from our core toy range.
Bolt’s Shetland has been established for over 30 years and Toll Clock Toys moved in five years ago. We use social media and Amazon to engage customers, an approach which is reflected in our increased in-store and online traffic. Having moved into the new premises during covid, we still have customers saying they didn’t know there was a toy shop here, so as well as social media we also rely on word of mouth. Sales figures have increased significantly since last year, which demonstrates that we are fulfilling our customers’ needs, making sure we are well stocked, and keeping up to date with the latest trends. It is really important for us to offer an enjoyable customer experience, giving shoppers a good choice of products when they visit the shop. Offering an extensive range of toys/games, combined with our personal service, gives us the opportunity to compete with any online retailer.
Since taking on this role, I’ve revamped the shop, dedicating a popular area to Lego, which is our top seller, particularly the Harry Potter sets. Within this area, we also created an area solely for affordable sets priced up to £20, which continues to be extremely popular among customers buying birthday presents and children spending their pocket money. Hot Wheels and Squishmallows also dominate sales. In games, Battle Ships, Uno No Mercy and Cluedo are best-sellers, and collectibles such as Pokémon, Putty Pals by Slime Party, Aphmau from Character Options and Eugy from Brainstorm are performing well too.
We have excellent relationships with suppliers, with Mattel, Big Potato Games and Character Options standing out for their exceptional customer service. We look forward to working with new suppliers including Funko. With exciting plans for the shop, we anticipate a busy Halloween and Christmas season which will bring in significant trade.
indie viewpoint
The highs and the lows
We sit here writing this column the day after we found out that football was still not coming home! Although in the end this wasn’t really a surprise, the feelgood factor of a run to the final of Euro 2024 did help boost spirits and has certainly helped with sales of football related merchandise over the past month.
Trade has been mixed, although overall we are happy with the past few months. We have fallen into a pattern of having several good weeks of trade, followed by a couple of tough weeks. However, so far, things have balanced out – and we hope that continues. June was a flat month for us, whilst July has been a bit tougher, albeit against strong figures from last year.
That said, there are signs of new lines starting to gain some traction. The 5 Surprise My Mini Baby range has sold extremely well over the past month, and we are waiting for more stock to arrive. The latest Pokémon TCG launch, Twilight Masquerade, has been the best in a while and has boosted sales of trading cards. Some of the latest Lego launch lines have proved extremely popular, including the Lego Star Wars Captain Rex Y-wing Microfighter and Lego Simba the Lion King Cub. Film releases have helped sales this summer; so far, we’ve had Inside Out 2 and then Minions, and early signs on both are strong.
Plush has been a big growth category for us, increasing by 50% over the last five years. Collectability has been one of the major features of this growth, and it’s no surprise that the standout brand is Squishmallows. The collectability factor has greatly increased sales to teenagers and the kidult market. This is the first year where we have seen a decline in plush, although it remains one of our biggest categories, second only to Lego.
Squishmallows has slowed down slightly in the generic options, but the licensed SKUs are proving very popular. Stitch, Harry Potter and Sonic have all been in demand, and there are plenty more exciting new licences being released over the coming months. A new plush range that has proven especially popular recently is Food Bobballs from Keel Toys. These have only been in store for a couple of months, but are very well priced and tapping into the mini food collectible craze this is very on trend at the moment. Ty remains a major supplier, and as prices have come down on many lines, this has really helped sales. We have large Ty branded stands in several of our stores and they really stand out as a feature – and hold a lot of cuddly toys. STEM and Educational toys is another category that has grown for us over the past few years, as parents look to help support their children’s learning in fun ways. We have increased the range of products we carry in this area. The Numberblocks range from Learning Resources is particularly popular – a strong licensed range that is very focused on learning, whilst providing fun at the same time. We carry a range of science and learning kits from suppliers like Galt and Clementoni, along with microscopes, telescopes and globes. These are core evergreen bestseller lines that we keep in all year round.
Let’s see what the school summer holidays bring – hopefully another uplift in footfall and sales.
