3 Ways to Make 2023 Your Best Year Yet

Let's talk about your business strategy and the juicy details of what actually works, from mainstream fashion to fashion on Main street and the entire ecosystem behind it. How do we scale your company and do it with the balance and the happiness that we all seek? Let's hear from those insiders, experts and strategists that actually make it happen. I'm your host, Ashley Alderson from the Boutique Hub and I can't wait to chat. Hey guys, welcome back to the podcast this week. I know we talked about this last week, but truly this is my favorite time of the year and I'm sure it's many of your favorite times of the year as well, because it's a time to refresh and to look back and ask yourself questions about what really worked in the last year, what didn't, what do you want to do better, how do you want to feel, and what are your plans going forward? So I know as many of you are wrapping up all of your year end to do's and planning out your beginning of the year goals, dreams, plans, wishes, resolutions, whatever you want to call it. I want to come back this week with a couple more ideas just to put a bug in your ear. So last week we talked about the best of 22. What worked, what lessons did we learn, right? Where are things going from here? And this week I wanted to bring you three predictions and takeaways that I have for 2023 as you start to map out your year ahead. All right, so I'm going to keep this short and sweet because you guys, you've got some notes to take, some journaling to do, some budgets to put together, all the unsexy side of business, but I want to lay out just some fresh ideas. All right, first prediction for 2023. I don't know that this is really that new, but it's more important than ever and that is that multiple revenue streams are number one, you are a personal brand and you are living in the creator economy. You're no longer a retailer, you're no longer just a product based business, but you're somebody who has built a brand on social media. You personally, you, your business account, you may have a third account, right? With totally unrelated, you're a brand. And so as you go about your weeks creating content, it's not just about selling one particular product, but building a lifestyle and a community around who you are and why people trust you. And if people trust you and your product recommendations, whether it's Judy Blues or Kendra Scott or leather jackets, whatever it is, you're selling, chances are they're also looking to trust you when it comes to you talking about building out your office and what desk and what chair you used or what you're cooking for dinner. And you just happen to have that Referral link for HelloFresh. There's ways to encompass your entire life, your lifestyle, into what you're doing and then to monetize that. And when I say monetize that, I don't just mean monetize it through affiliate links, right? You could do those for Amazon or again, any of these accounts. But you could also set up a separate LLC as an influencer yourself. So, so you as your boutique, right, you have your LLC or S Corp, however it is your setup. But another way to think about tax efficiency is if you have a separate business model for you as a brand and you as an influencer, what does that look like to come back and then hire yourself or pay yourself out of a second business for you and all of the lifestyle influencing that you're actually also taking part in. So they're two separate businesses. They aren't necessarily just one. So I would sit down, talk to your accountant, make sure your accountant is familiar with this creator economy, with what it means to be an influencer, and then talk about ways that you can actually set your taxes up efficiently to find some financial gain in that new business that you're creating. And it's not just about, again, linking from your own company and promoting your own company, but it's all the other things you're using in your lifestyle. Or maybe you've got a great group of boutique besties that have influencer and ambassador programs. And when you're not promoting that your customers shop with you, you're promoting that your customers shop with your friends at these other boutiques. Maybe they're similar stores. Maybe it's a gift and home store, maybe it's a children's store, maybe it's a formal prom and bridal shop. There's lots of those inside the boutique hub as well. But find someone else you can run with, collaborate with, and really use to promote with your personal brand for their gain as well as yours. So the year of the creator is here. How are we really creating content that attracts and builds relationships, communities, more than just sells a product? Huge prediction for 2023. All right, second prediction for 2023. This might be a painful one, but we've got to talk about it. And it goes back to this, the saying that what got you here may not get you there. Someone once told Me this maybe like a year and a half ago. And it stopped me dead in my tracks and I had to really think about what does that mean for me? And it's not even just what got you here may not get you there, but it's also who got you here may not get you there. So when you're thinking about your plans for the year ahead, it's really easy to fall into the trap of this is how I've always done it. This is my technology stack, this is how I launch new arrivals, this is where my storefront is. And I've always had a storefront or I've always wanted to be just online. I don't want a storefront. Maybe this is the time to really think about the future of your brand, where it's headed, what you want it to be in accordance with your long term vision, right? Your five year plan, your one year goals and ask if you are still on the right track. Technology, people, employment, everything has changed so much in the last year. So where are there areas of your life and your business where you're at least willing to test out something new? Is it a new app? Is it new technology? Is it a new way of operating with your team? Is it a new way of showing up for yourself, your work hours, your boundaries that you set for yourself? What is it that really needs to be turned on its head in the next year to test out something new? What got you here may not get you there. So what's going to be new in the year ahead? Alright, third prediction for 2023, man, this is the top of everyone's mind, right? This third prediction is tough times create tougher men. And weak times, easy times make weak men. So what does that mean for us? I have heard so much negativity, you guys, so much negativity about the last year and I've talked about this openly in a couple of lives that I've done recently, right? I would call the last year weird, was weird for a lot of people. But here's the thing, we can dwell on that and we can stay stuck in that, or we can say, you know what, tough times do create tough men. If it was tough, so be it. I'm tougher now because of what I just walked through. Let's go 2023, let's go. This is my time. So from this vantage point of what's happened in our industry over the last three years, I would say being in retail, I'm going to speak super blunt, you guys, don't, don't kill me for saying this, but I'm going to say this. This industry is a really easy entry industry, right? I can go create a tax ID number, I can get my sales tax permit, I can hop on fashion, go and order something tomorrow or fair or wherever, and pretty soon I'm a boutique. And a lot of you have done that, right? And there's nothing wrong with it. You've done it successfully and you've got big dreams and you're hustling and you're making plans and you are in this, right? You're in this because this is truly what you want. I think that because it's so easy, sometimes there's people who saw this and it looked great across social media, but then maybe got in and said, ooh, this is a little harder than I thought it was going to be, and maybe I don't want to commit to this lifestyle, right? It is a lot of hard work. I almost think in the last year I should have created a blog post about why not to start a boutique. Because there's things people just don't know about that suck sometimes, right? So I think because there was such a surge in our economy in. In the boutique industry, right, of new people starting boutiques, I think that the tough times that we have walked through and are walking through will change that. There's a lot of people who will actually move out of this industry. I know that a lot of you who are wholesale brands, you're battling this right now. You're battling the wholesale brands right now. So many of them are struggling because they're trying to figure out, where do I order, where do I cut, where do I manufacture, what is happening? Because orders have gone up and down and up and down. And where is this new normal we keep hearing about? It's not here yet. There's a lot of uncertainty. So all of that said, right, tough times make tough men, if you choose. If you choose to see it that way. So for you and your business, whether you're wholesale, retail, new, old, experienced, living high on the hog, or just trying to make ends meet, my question to you is, where do you want your business to go in the next year? And you decide that that is where it's going to go. Because no matter where you turn, there's going to be uncertainty and doubt and drama and negativity, right? But it's up to you to block it out and say, no, no, this is the vision I'm casting and this is where I'm committed to going. And despite all of this uncertainty around me, because this cleansing is happening. This is where I'm going anyway. So I want to encourage you. I hope that wasn't too negative, but I think that there's just a lot of change and there's nothing wrong with that. And if you happen to be someone in this industry who's decided, you know what, this isn't for me anymore, man, more power to you. So be it. I am here, like from, from me, Ashley, who works with boutiques every day. I am here for the good of you, the individual. Whether you have a boutique or not, I want you to win. I want you to wake up as a human being with a life that you want to live and excitement about what you're doing every single day. And I'm just here to tell you I will be here to support you whether you have that boutique or not. I will be here to be a cheerleader of you as a human being. So wherever you are, I cheer you on. In the next year ahead, good, bad, there's opportunity. Because tough times do make tough men. And that is what's happening to so many of you. Hey, friends, it's almost that time of year where we all get to gather together in person for the largest business conference for boutique retailers in the world. It's our very own Boutique Summit and it's coming to Dallas March 19th and 20th. And I can't wait to see you guys there. You guys, this year we have over 16 breakout sessions and some really amazing keynote speakers led by Jenna Kutcher and many experts on our team, including our very own Jeff Fenn, Shannon Gordon, Sarah Burks and myself. Also speaking on the main stage, you're going to hear from the founders of Buddy Love and the CIS Kiss, talking all about working with influencers and building a personal brand. And then we're going to break down inventory strategy, content strategy and everything you need to know to grow your business in the year to come. I hope you guys have an opportunity to join US in Dallas March 19th and 20th for the boutique Summit. Make sure to check out the link inside of today's show notes to get the details and the tickets so we can see there. So those were three super quick suggestions, ideas about what's going to happen in the next year. Three seems like too few, right? Let me suggest a couple more. One thing, I'll add a fourth one. One thing that I think is going to happen in the next year, predictions for 2023 that I'm really excited about is also a change in inventory management. I've heard from so Many stores who have found ways to operate leaner and more profitable in the last year than they've ever had to before. And that' they've taken time to really boil down what's working, what's bare bones, what's simplified in my business. They've cut out a lot of extra fluff and they've gotten down to the core of what does it take to turn this inventory and maximize my profit margin? So comes down to a couple of things, I think if you're really going to hone in on this in 2023, number one is my IMU, right? Is my initial markup where it needs to be? Am I pricing for profit or my pricing just to be affordable? I hate that word. I'm over that word in 2023 because affordability really just means cheap. Am I pricing my products just to be cheap? Because I think that's what my customer wants, when in reality my customer just wants me to demonstrate the value of why should I pay this much money for this item? Is it worth it? My marketing will demonstrate to my customer if it's worth it or not. And if my customer truly is just price centric and they want something cheap and affordable, they can go to Walmart. But when it comes down to it, cheap isn't loyal, right? Going to Walmart, like doesn't necessarily make them loyal. They're loyal to the price, not loyal to you, the brand. So you have to ask yourself, is that the customer you want? Is that the customer that you're attracting with the marketing and the brand that you've built? Or do you need to focus on being value centric over price centric? And is your IMU reflective of that? Huge question. So if you've priced for profit with that right imu, the second area I would look in my business if I'm thinking about maintaining that margin, is my discount schedule. So what is the life cycle of the inventory that I'm bringing in? Am I marking down too soon? Am I not marking down enough making the first cut the deepest? Or am I actually running too many sales and I need to slow down and think about my marketing in terms of promotions which get people in the door, bogo bonus bucks, spin the wheel at checkout, free shipping, over $100 promotions, or am I coming in with a red pen and just marking things on sale and training my customers that they can come in and always find a good deal with me and my business? So definitely some things to think about. Now the fourth area I would say when it comes to maintaining More profitability and running lean in the next year is thinking about where your inventory is coming from. So I think core number one for pretty much every business in this industry, going to market, meeting vendors, touching and feeling inventory. Ordering inventory ahead of time will always remain central to a strategy. Right? Because you as the buyer, you have to have the eye, you have to have the merchandising, you have to understand the brand, you have to understand the customer. And going to market to me is irreplaceable in order to do that. But on top of that, inventory, when you're looking for filler, yes, you can order immediates in any online marketplace, hubventory, especially. Especially, right? But on top of that, there's new ways that have emerged in the last year that have helped many stores run lean with inventory. Live sale boxes being one of them, right? Getting a box of goods from a vendor that you can sell, you can show, you can put online and basically run a pre order of here's this item, how many do you want? And then place a secure order with that brand who's either going to shop it to you, ship it to you, or drop ship it directly to your customer. Those live sale boxes have been a huge game changer in the last year. Another is live sale takeovers. There's a number of great brands right now who are doing live sale takeovers with boutiques literally coming on, going live on the boutique social media themselves, talking about the product and the order, and then again having that secure order placed, shipping it to the boutique or drop shipping it to the customer, that's been a great opportunity. And the third, I would say is just drop shipping in general. That's been a great place for a lot of fillers. There's a number of brands who are now offering dropshipping as a great way just to make that site of yours feel fuller than it may be on its own, especially when cash runs tight. Now any of those three strategies that I just mentioned, I just want to caution you on that. To me, in my opinion, none of those are sustainable on their own. Running a pre order only or a drop shipping only or a live takeover only business isn't a way to build raving fans, to build your brand, to build trust and to build a community. It really comes down to you as a boutique owner or a home and gift store owner, as a curator of unique things, building trust around your taste and how you find those vendors, how you pull those pieces together, how you merchandise them, and how you solve a need for your customers. So what am I saying at the end of the day it's you can run a lot leaner, right with your inventory, you can price a lot more effectively for profit and you can be wise about when you're using promotions versus sales to maintain more of that margin in your inventory at the end of the day, ultimately hopefully making you more profitable at the end of the day as well. All right, so those were four predictions for 2023. I have a bunch more, but here's the teaser. I'm going to bring them to you during the Best Year yet challenge, which I talked about last week on the podcast as well. January 3rd, 4th and 5th, if you can catch it live, great. There will also be a replay just for members of the Boutique Hub inside of our training library, but for three days at 10am Central Time. On those days, we're going to start the year fresh together. And during the Best Year Yet Challenge, we're going to do a couple of important things. Number one, we're going to map out if you have a boutique calendar, boutique boss planner. If you're looking at your schedule for the next year, we're going to lay all of that out together. We're going to look at the year in review, what worked and what didn't. We're going to talk about goal setting for the year ahead and we're literally going to plan out all of those to do's in the very beginning of your boutique boss planner together on day number one. On day number two, we're going to talk about your inventory strategy for the year ahead. We're going to map out some of those things. I was just talking about drop shipping versus pre orders versus live takeovers. We're going to talk about how to plan your open to buy for the year ahead and get you really excited about where you're going to market or how you're buying online so that you know you're bringing your customer the best pieces in the new year and then on the third day together. This is such a nerdy area for me. I love it. We're going to map out all of your content for at least the next quarter and I'm going to show you how to do it for the next year. We're going to talk about 2023 being the year of the creator, the creator economy and you across your brand on social, no matter how many channels that might be and how to effectively plan out all of that content so you're not chasing your tail. At the end of the day, of course our team is going to be joining us on the Best Area Challenge. So it'll be myself and Sarah Burks, who is our Retail Professor. It'll be Shannon Gordon, who's our Queen of content, and Jeff Benn, who is our digital marketing unicorn. He's probably going to be dropping some hints about what's coming in terms of SEO, Google Ads, Facebook ads, and driving more digital traffic Inside of the New Year. So I hope you guys can join us January 3rd, 4th and 5th through the best Year Yet Challenge. If not, you guys, I will be back every single week on the podcast in the New year, with the exception of this next week we're going to be wrapping up season four of this podcast. We're going to take a slight break in January and then we're going to come back and launch Season five together. So get ready for some fun giveaways, some collaborations, and some fun surprises with things that are going to come in the New year. So I'll see you back next week as we wrap up this season together. I know I'll see you January 3rd, 4th and 5th, you guys. And I am wishing you the merriest of Christmases, the happiest of holidays. I truly hope for the next couple of weeks, you guys, enjoy this time off, enjoy this time with your family. Enjoy this time reflecting on why you're here, what your goals are in business and where you want to go next, and wherever that is. You guys, I'm pumped to be on this journey with you. So thanks for listening to the show all year long. Thanks for being here with me. I'm humbled to get to be a part of this with you. You guys. Happy holidays. I'll see you next week. Hey guys, thank you so much for listening to this episode. Episode. We hope that you loved it. Don't forget to hit subscribe and leave a rating and review down below for a chance to be one of our featured listeners each and every week. For more information on our spirit of community over competition and how to access complete show notes and bonus downloads from our guests, head on over to the boutiquehub.com and join the community. We'll see you next week. Sam.