A Heart for Retail: Supporting Stores in Times of Crisis

Foreign. Business can be a lonely game, but it doesn't have to be. Welcome to Boutique Chat where we explore community over competition and how to scale your company with the balance and the happiness that we all seek. We'll hear from product based businesses of all types, retailers, e commerce and wholesale brands, along with industry experts shaping the future of our industry. 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 am so pumped. I'm so, I was going to say excited and pumped and then I put those two things into one word. I'm ex pumped for you to be here today, Patrick. Thanks for joining me on the podcast, Ashley.

Thank you so much for having me. I'm such a big fan. So I'm so excited to talk with you today.

Well, likewise. When I first got to hear about what you were doing with Heart on Main Street, I felt like, man, are our missions so aligned in just being in service to others and really wanting to see the best for the future of this industry? So before we get into all the nitty gritty details of what you're working on and where this is all headed, take me back. You've got some family legacy in this industry. Tell me about growing up in this industry and then we can talk about how Hard on Main street really came about.

Yeah, so I've really grown up around wholesale Geez. For a long time, we'll say. But you know, some of my first jobs were in showrooms and painting and setting up and getting things ready for, for trade shows. And I took a hiatus, kind of went off to college. I did, I had a teaching career and really kind of thought that was my, my path. And I loved teaching, I loved being part of helping communities grow and eventually left teaching and came back to the wholesale side to One coast. And from a training and recruiting perspective is, you know, so that really kind of fit right in with the education. And I've fell in love with independent retail. I fell in love with how retailers are part of their community. And yeah, it's really, you know, I've been since 2016 part of the wholesale side and then more recently getting more and much more involved with helping independent retailers.

That's incredible. I'm sure there's lots of lessons you've learned on the wholesale side of things that we could dive into. But how did you, you know, how did this idea of Hard on Main street come about? So being with One coast and having this relationship with so many Great retailers. What was really the foundation and the spark that got this started?

Yeah. So honestly, it happened. I was talking to a retailer, right. And this was mid to late 2021 and is kind of of think back to those times. It was, there's a lot going on with retail and having to make changes and how many people could be in your store and just kind of. There's a lot, a lot going on. And I was talking with a retailer, a friend of mine, and they were talking about, you know, that they wanted to make changes in their store, they wanted to upgrade themselves. They needed help with things and didn't necessarily know where to go. And unfortunately, they hadn't found something like boutique Hub. So I just started talking to them about, like, what. What resources do you need and how can. How, how. I have lots of connections within the industry. How can I help you grow your business the way that you want to? And start in that conversation was, you know, how many other retailers are part of that, that they want to grow their business, that they want to make changes, and how can we help connect them to more educational resources? How can we help connect them to help other resources to improve their business and really become that, you know, the dream that they have for their. Their retail store, make that come to fruition.

Yeah. That's incredible. So you got to work right away, Main street, right away. And I love that you have the nonprofit aspect of what you're doing as well, that you baked that into what you were creating. So what did it first look like? Who told me about, like, your first couple of retailers that came on board and how is the mission really expanded since then?

Yeah. And so. Well, I have to give you credit, in some of the formation, one of the. Were one of the first people we talked to about Hard on Main Street. It was backwards at the conference in Tampa. And at that time, really kind of a couple weeks either. I don't. I'm forgetting the timeline, but Hurricane Ian had hit Florida at that point, and you were talking about, well, with, you know, raising money, what are your intentions of it? And we're still trying to figure that out. But, you know, it was a. At that point, it was a really perfect time to be like, actually this would be a really good thing for our. Our nonprofit to do in our fundraising efforts to go towards helping out independent retailers that have been impacted by natural disasters and helping them recover after the event, rebuild their stores, and remain a part of their community. And so from a, you know, the nonprofit part, you know, we focus a lot on Education. We focus a lot on helping connect to resources. But from a fundraising standpoint, helping areas get back on their fe. Their retailers are such a huge part of their community. And if you can get retail stores back in, especially after disaster, that's hope. Right? You see that people are excited that these things are coming back, and to help provide hope to the community is so important. So, yeah, really how we've kind of evolved. The first retailer we really helped out was a retailer in Fort Myers beach, and she had three stores. All three were two of them completely wiped out along with her home as well. The third one able to rebuild and so able to help her out with providing funds to help her keep going. And then also to help her with. We've started what we call a jumpstart program, working on the wholesale side to get products to retailers. So basically providing a coupon code or a credit so that they. When they are able to open their doors, they can cash in these coupon codes and restock their shelves and have that not be another expense. So we've helped out a couple retailers with our jump start program. We've helped. Last year, we donated over $60,000 to retailers that have been impacted by. By natural disasters. So just a great, great program.

It's such a great program. And I don't know how you and I haven't even got to talk about this in great detail yet, but back. I'll say back in the day because it feels like probably, I'll say 28, 2018, 2019, somewhere in there. Hurricane Harvey.

Yeah. Houston, right.

Yeah. We had so many retailers that were impacted, and, you know, we're not set up with a nonprofit arm at the Hub. People have asked us about it, but it just hasn't been something that we've, you know, really pushed on. And so we were finding so many ways, like, how can we help? I mean, it was. It was hundreds of retailers that were impacted, and it was tough, you know, to really find a. A way that was not tax imperative to really help them. So when I first heard what you were doing, I was like, man, like, what a huge benefit. Because so many of these retailers, there's insurance not covering what's happening. I mean, they just. It's a complete and total loss. And like you said, like, they are the heart of Main Street. They are the core of what's happening in so many of these communities. So what a huge.

To that point of the insurance. There's just been so much that has changed over the past couple of years with insurance. I'm finding out more about insurance issues with retailers than I ever think I wanted to know. But it's, you know, what, you know, a million dollars worth of coverage five years ago doesn't go as far now. And so if you had that million dollar, you know, inflation and cost of construction has risen. And so, you know, if you had that million dollar coverage that would have covered you five years ago, now it only goes part of the way. And so things like that, just trying to help fill the gap for them.

Yeah. What other, I mean, speak to that a little bit more in terms of insurance or lessons you've learned in working with some of these stores who have walked through natural disasters. What are the things that you're commonly hearing from them saying like, oh, I wish I would have known or I wish I would have had this in place. Are there other commonalities?

Yeah, I mean, so in some areas it's the coverage that they elect. Right. Go back to the Florida example. Flood insurance in Florida is crazy expensive. So retailers, businesses of all types, homeowners even often elect to not have it because it's just another expense. And if we're trying to kind of, you know, create a larger margin, we maybe we opt to not have, have the, the flood insurance. Well, in a hurricane, as much as we can talk that that's wind and that's rain and other things the insurance companies go into. Well, you know, the flood waters came in and it flooded your store and that's what caused all the damage. So I mean, several retailers that we worked with that was a, you know, they weren't covered for it. They just elected to not have it and crossed their fingers that it wouldn't ever be an impact. And yeah, that's, I mean, such a. So knowing kind of some of those disasters that could happen in your area, fire in some areas, floods and in flood zones, while it is maybe more expensive, it's something that, you know, think about the worst case scenario. Is that something that you want to completely do out of pocket or is that something that you want to be covered for?

Yeah. So, so critical. I would also say we just had someone in the hub that lost the Texas wildfires. They lost their entire warehouse as a part of Texas wildfires. And I was talking to her and she was talking about just the importance of making sure on a regular basis you go through and you're videoing the contents of your store, your warehouse, your home, so you have a current record of what's there. Because once it's burnt up and gone or it's flooded, you don't always know was there. So it's really hard to really verify with your insurance company.

Yes, that's a great point. I was just talking to a insurance company about, you know, how can we protect retailers more and that was a recommendation of theirs. You know, once a month go through and do a video around your store so that you can go back and you know, you probably have inventory written down or on a computer somewhere. Worst case scenario, again, computers gone too. So you know, having a video storing that in a cloud somewhere so that you can go back and say, all right, this is what we had in our store and you know, either actual value or approximate the value that you had.

Yeah. Are there other big lessons you would say you've heard from these retailers that have walked through these situations?

You know, just I think, you know, being, being on top of it, having a good relationship with your insurance provider and either the broker or your agent that you understand you have that you can reach out to them when something happens that can help expediate that. Yeah, I think that's a big, big learning as well. Just, you know, understanding what coverage, having that good relationship that they can update you on anything that might be changing or that they might make recommendations for you based on how your business is growing or just having those check ins.

Yeah, unfortunately Patrick, my insurance agent is my father in law and so I'm a little too close to my insurance agent. Let me tell you. We talk about risk all the time and you can only handle it so much, I'm sure.

But so that's close. But you know, you know, others probably good to have that check in every once in a while.

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Yeah, in some ways we're, we kind of hear about it organically. We are a newer nonprofit that we started at beginning of 2023 and so still, you know, fundraising and working to really kind of grow ourselves so that we can. But we do have contact forms through our website. You can email me directly@contactartonmainstreet.org and kind of let me. But yeah we do through heartonmainstreet.org our website we do have areas where you can reach out and let us know that you know, hey, we need help. There's been something that's happened with our store from a tax purposes and things. Natural disasters are a little bit a. So if a fire or a flood happened in the town because of a water main break money and funds provided we would. You'd still have to pay taxes on that which is a weird thing. But from a natural disaster then that becomes from the recipient tax tax free. But Jumpstart program we can work with wholesalers to help provide coupon codes. You know we'll try and do whatever we can to, to help you get back on your feet because that's again what is so important is is helping your business get get up and going again.

Yeah, that's so good. We'll link all of that up in the show notes today and make sure everybody has access to that. Tell me more about the Jumpstart program because part of you know our community at the hub is we have almost a thousand wholesale brands now that we work with. So how can brands who hear this mission and they're like you know what I want to support this cause. How can brands be involved in that Jumpstart program?

Yeah, I mean it's. We're pretty easy going to work with. We try and basically we create a relationship with them do have talk through how much they would be able to, to donate. You know, it's something obviously from the wholesale side that they would be comfortable with. And whether it's, we have some that are donating $5,000 worth of wholesale product, some that are donating 500. You know, really just whatever, whatever that company is comfortable with. And when we find a good candidate for that, we reach out to that company and ask if they would like to participate. And it's a completely optional, you know, there's no forced requirement to this. Sometimes it's already a customer of theirs. Sometimes that wholesale company is already doing something. Sometimes they're, yeah, that's a customer of ours. We would love to help you out. Sometimes it's a brand new customer, someone that they don't have a relationship with already. And so, you know, being able to help out a new customer, a new, a new store for them is, is a great relationship builder. And yeah, it's, yeah, fairly, you know, I reach out, say, hey, this is the store that we would like, that we would like to help out. If you're able to, Would love for you to be able to help. If not, you know, we'll, we'll, we'll talk to you the next time.

Yeah, you know, it's interesting. I mean, obviously it's the goodwill of I want to help someone because I really want to help someone. But as you mentioned, there is a secondary benefit of if this story has not been familiar with my brand, has not carried my brand, like that's a pretty warm introduction to an opportunity to work together in the future, but basically out of goodwill.

So that's, you know, sometimes it's easier for a company to be able to provide product than it is money. And yeah, certainly there is kind of that, that secondary element of helping them grow their, their customer base too.

So absolutely are there. So I know everything is relatively new and you're still building this out. Perhaps there's a great way we can work together to do this even more. But do you have any big annual fundraisers or is there big like events or how do you attract most of your donations?

Yeah, so we've been working with other wholesale companies about providing, providing donations, getting the others. Sometimes in especially economic climate, that can be more difficult than times than others. We do a lot through grants and individual donations. So people just wanting to donate, you know, 10, 15amonth or just at all just to help and kind of mass numbers, that's, that's really been successful for us. We are looking at having some larger events. We're partnering with Dallas Market center to do something there. And having a kind of a Dallas Market center has its Heart on Main street event and really hoping to grow that and hoping to do some things with other trade shows as well. So, you know, it's wide variety of. Of different things, but fundraising is tough. I think we got in a little optimistic and thinking, you know, this is something that people will rally behind and want to. Won't really want to help, see succeed. And it's tough. You know, it's. You're asking for. For money and. But yeah, we've. We've done a pretty good job and just, you know, trying to every. Every door that closes looking for another opportunity and how can we continue to. To raise money?

Well, I think it's still so new. It's still so early. There's so much opportunity going forward and, and that's why I'm really glad that we get to have this opportunity here today on the podcast. Hopefully everyone listening, you know, finds value in it too. And I love that this is also an opportunity to really bridge the gap between doesn't matter if you're in home and gift, it doesn't matter if you're in apparel, it doesn't matter if you're a western store. You know, retail stores are the heart of Main street, of all types of. And online stores with warehouses that, you know, employ people in communities as well. So definitely a worthy conversation. Are there other pieces of heart on Main street that you want others to know about that we haven't already hit?

You know, some things. You know, every Monday, I go out to a different town and I explore those towns and I. We feature the town through our social media. We call it a Main Street Monday, which a little bit of is awareness growing, trying to get our name out there so that retailers understand resources that we provide. But also, you know, I love meeting with retailers. I love talking to people. And I also kind of have this secondary. I want to see, like, what makes a great Main street, what makes a great community, and what can towns do in order to help those. Those communities. And so, you know, for your audience, if you'd like your town to be part of a Main Street Monday, if you'd like your store to be featured on that, I would love to see where you live. I would love to.

To.

To come to your town. So, you know, shoot me an email and. And we can organize that.

Yeah. How involved do you get when you go to these Main Street Mondays with the local chamber of commerce or economic development or Main Street Association? Like, are they a big partner of yours yet or is that another opportunity as well?

Yeah, we're kind of doing a little one on one and building that. So some areas. Yeah, like when I was at just this previous week it was actually not necessarily a formalized group. It was a downt merchants group that they've formed themselves really getting together and I worked closely with them. We kind of walked along with their president all, all day and meeting with the stores. Other times we'll, I'll sit down, I'll have an interview with them so we can talk and I can find out what's going on in the town, what events are they doing, how do they bring tourism into the area or you know, how do they bring other members of the community be to be part of the, of of the downtown community and help their stores. So you know, kind of from a one on one I love to, to talk to people from that organization just so I can learn those things and see what they're doing. And you know, sometimes it's a. Have you thought about this? Just I learned this from another community that's very similar to yours and something that I could see you doing too.

Yeah, such an opportunity there. When I think about community over competition right across, you know, across from retailer to retailer that I think even involving chambers of commerce and EDC and Main street associations in that conversation, there's so much they all can learn and implement from one another. That's incredible.

That is one thing I've seen, you know, with those communities, the ones that actually that they. Your community over competition is so true. The ones that work together as a community to help each other out are so much more successful than if they're, you know, I'm going to hide my secrets from you. I'm not going to share my new ideas. You know, if they are doing that, I've always said, you know, be a part of those downtown, the business development or the, the Main street organizations. Someone in your town is making decisions about how business is going to run. It might as well be you and you might as well be part of that.

Yeah, I totally agree. I'm so blessed to have come from a, you know, super small town but with very active small business owners and so that's so true. You can be a part of that, that decision making process in your Main Street Mondays and you're visiting with all these retailers and also in the showroom because I know when you're in Dallas Market center you get a chance to visit with them as well. What do you feel like your most successful Retailers right now all have in common. Ooh.

Most successful ones, I would say, you know, a lot of them are. They're scouting trends, they're on top of. Of what's going on in the marketplace. They. They're doing inventive things within their store. And one great thing about the independent retail is you can be flexible, you can change on a dime. You're not beholden to a larger company that's making decisions for you so that they, you know, bringing in new product or bringing in something trendy, something that they. And just experimenting with different things, whether it's, you know, creating a kind of visual piece within their store that's really exciting or they're having an event that's different, you know, multiple events to really bring in different groups of people. That kind of fluid, flexible mindset I think is really important and, and really powerful for independent retailers.

Yeah, that's so true. I, I love the event aspect of it, but what I'm hearing you say with trying new things and, and leaning on trends is you have to be a little bit comfortable being uncomfortable.

Yeah.

And testing what you don't yet know. Right. The same old is not going to get you any new result. It's going to get you the same old result.

Same things, Right. Yeah.

Yeah. What about. What are some of the most common struggles you're seeing from retailers across the board right now?

Yeah, I think, you know, there is part of a. It's a tougher economic climate. So, you know, in areas getting. Getting people to want to come into a downtown or coming to. To the independent retailer, there's, you know, an aspect of that, but from a larger standpoint, I think, you know, some of the struggles are having kind of an. Maybe an older model, maybe not wanting to, to change or adapt that, as you said, doing the same old thing just because it's, you know, that's. The store's been there for a long time and trying to really adapt themselves and grow as a business is challenging, and it does make people uncomfortable. And, you know.

Yeah, that's so. It's so true. Okay, so I have to push on this a little bit further. I've got to ask you this next question because I think to your point, like, I love that you and I come from different ends of this industry. Like, I started in apparel, and now we bridge apparel and home and gift. And I know you really started on the home and gift side of things. What do you think those two different types of stores can really learn from one another? Where are they similar? But where are they different and where's the opportunity from one to grow because of the other?

You know, I've always seen like gift stores can be. You could carry so many different things in, in fashion as well, and that there's almost a, a blending of categories now that, you know, there's, we think of it in these buckets, right, that there's, there's the gift store, there's the, the hardware store, there's the, the fashion boutique. But all of these things really do blend together and they can work together within a town, they can share events with each other, they can kind of cross promote each other really well. So yeah, I think there's, there's a lot of growth in all of those areas. They, they can all see it.

Yeah, absolutely. They all can. They all can learn. And both brick and mortar and online. Right. Like I know you were talking about like the old tried and true, like this store's been here forever, but I think there's also like a blend of what can I learn from those who are. Are going online and vice versa. Those who are going online. What can I learn from those who have been here forever? Like, one perspective I see is on the home and gift side of things. I see stores who are, are much better with inventory management, maybe numbers or buying. Like they've been around the block that social media is a little foreign to them. Where sometimes on apparel they're much more like trend driven when it comes to technology and social media, but maybe struggle a little bit more with their numbers. So I love that you talk about just the opportunity for community and really understanding one another because there is something that, that they each can learn and take away from you.

Absolutely. Yeah. I was talking with a retailer relatively recently. They were completely online for eight years and they just opened up their brick and mortar. And so from an online perspective and Facebook lives and they've got that nailed. They down. They are great at that. But then there's other aspects of a, you know, even visual merchandising within their store. I've never had to do this before. I've never needed to know how to display things in order to get people to explore my store. And so there's. Yeah, it's a really interesting learnings from each other.

Yeah, absolutely. Well, Patrick, this has been incredible. One last question for you. Take me on a journey. It's 30 years from now and you're looking back at just this incredible opportunity that you had to be the grassroots of something that was so needed in our industry. And.