American Drycleaner - June 2014

© Copyright 2014 American Trade Magazines All rights reserved.

® June 2014

Customer Claims

Listen, listen, and listen some more —and then respond immediately

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drycleaner drycleaner A M E R I C A N

June 2014

Vol. 81, No. 3

FE A T U R E S

D EP A R TMENTS

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(Cover Photo: ©iStockphoto/toddmedia)

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Customer Claims Each claim is unique, but every claim can be addressed with a system of guidelines that can direct your team to a reasonable accommodation for the customer.

Diana Vollmer

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Attitude Check Every business has some employees who tend to look on the dark side of things, and even the sunniest workers have bad days.

Act fast to turn negative workers into positive performers.

Phillip M. Perry

36

Plant Leasing Tips ... and Traps to Avoid Look before you lease—it’s all subject to negotiation.

Lloyd R. Manning

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American Drycleaner, June 2014

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Pre-Inspection Talk of The Trade The Numbers Upcoming Events Other Side of the Counter The Best Kept Secret Carolyn Nankervis Spotting Tips Lot of Little Things Martin Young Energy Report Hits the Spot Jimmy Barry Jr. Industry Observations Spot-Check Your Counter Staff Howard Scott Education & Training Calendar Product News Your Money The Beauty of Dividends Bill Lynott Around the Industry Classified Advertising Advertiser Index Wrinkle in Time

4 6 10 12 22

25

34

44

48 50 52

54 58 62 64

N E ED H ELP FI ND I NG T HE H ID D EN H A NG ER ?

Scan this QR Code for help in finding the hidden hanger on this month’s cover.

Good luck!

www.americandrycleaner.com

5/21/14 4:55 PM

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Page 1

“Business has never been better.”

“We’re moving faster. We’re moving better. We’re moving more efficiently. That means profitability” Phil Landauer, Owner of Pierce Cleaners

We Speak Cleaner 800.406.9649

sales@cleanerbusiness.com

www.cleanerbusiness.com

PR E-I N S P EC T I O N

Hear Me Out

A

s much as you and I may want it, no one, and no one’s business, is perfect. We’re all human, and we all make mistakes.

Amongst the work that a typical dry cleaner is called on to return to like-new condition, a share will fall victim to human error of some kind.

But while the percentage of lost or damaged items may be small, the garment’s owner Bruce Beggs doesn’t consider his or her item to be expendable.

My wife, a talented seamstress, created her wedding dress. She didn’t Publisher Charles Thompson

National Sales Director Donald Feinstein

cthompson@american trademagazines.com

dfeinstein@american trademagazines.com

Editorial Director Bruce Beggs

Digital Media Director Nathan Frerichs

bbeggs@american trademagazines.com

nfrerichs@american trademagazines.com

Production Manager Roger Napiwocki

Main: 312-361-1700 Fax: 312-361-1685

312-361-1680

312-361-1683

312-361-1682

312-361-1681

see it as an acceptable loss when it came back with grease-like stains it didn’t have before dry cleaning. I wasn’t present for her conversation at the counter but I’m sure Sandy eloquently expressed her desire to have her one-of-a-kind dress cleaned properly days before our ceremony. (It was, and Sandy and I are celebrating our 23rd anniversary this month.)

This month, columnist Diana Vollmer breaks down the dynamic of customer claims and how important it is to hear out an unhappy customer and act quickly to accommodate them.

Listening to a customer’s woe won’t automatically satisfy them but it’ll pave the way for you to do so. O Contributing Editors Howard Kaschyk Carolyn Nankervis Howard Scott John Spomar Jr. Jean Teller Diana Vollmer Martin Young

SUBSCRIPTIONS 630-739-0900 x100 www.american drycleaner.com

Editorial Assistant Carlo Calma

American Drycleaner (ISSN 0002-8258) is published monthly except Nov/Dec combined. Subscription prices, payment in advance: U.S., 1 year $39.00; 2 years $73.00. Foreign, 1 year $89.00; 2 years $166.00. Single copies $7.00 for U.S., $14.00 for all other countries. Published by American Trade Magazines LLC, 566 West Lake Street, Suite 420, Chicago, IL 60661. Periodicals postage paid at Chicago, IL and at additional mailing offices.

POSTMASTER, Send changes of address and form 3579 to American Drycleaner, Subscription Dept., 440 Quadrangle Drive, Suite E, Bolingbrook, IL 60440. Volume 81, number 3. Editorial, executive and advertising offices are at 566 West Lake Street, Suite 420, Chicago, IL 60661. Charles Thompson, President and Publisher. American Drycleaner is distributed selectively to: qualified dry cleaning plants and distributors in the United States. No material appearing in American Drycleaner may be reprinted without written permission. The publisher reserves the right to reject any advertising for any reason. © Copyright AMERICAN TRADE MAGAZINES LLC, 2014. Printed in U.S.A.

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TALK OF THE TRADE

Survey: Majority of dry cleaners ‘immersed’ in wetcleaning process

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CHICAGO — More and more dry cleaners are using professional wetcleaning techniques in their plants, with the majority (26.4%) saying they use the process on as much as 20% of the volume they clean, according to results from May’s American Drycleaner Your Views survey.

Roughly 19% of respondents say they use wet cleaning on more than 40% of their plant’s volume. Approximately 18% use it on 21-30% of garments they process, and 15.3% use it on 31-40% of garments. Close to 21% say they wet clean “less than 10%” of their overall volume.

Wet cleaning has become the go-to process for dry cleaners when cleaning casual clothing and sportswear (74.7% of respondents use the process for this category); specialty items, like draperies and gowns (42.3%); “business casual” or softly tailored clothing (38%); restoration work (25.4%); and tailored workwear (16.9%).

Roughly 6% of respondents say they do “nothing but wet cleaning,” while 16.9% listed “other” items they primarily wet clean, such as polyester suits, down comforters and “items with heavy water-soluble stains.”

Utilizing wetcleaning techniques is not easy on all types of fabrics. Cashmere, silk, rayon and wool present 6

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some difficulty when doing so, according to the dry cleaners polled.

“We tend to only dry clean [silk and wool] as we have a drycleaning machine, and they require less work this way,” says one respondent.

“Wool and the mix textiles [are difficult to process because] the texture or feel of fabrics change,” says another. “Wear and tear are accelerated since water is [harsher] on fabrics.”

“As the state of Illinois has a solvent tax and license fee, using less solvent is essential,” says one dry cleaner. “Also, water is included in my lease [so] wet cleaning saves my business money.”

Others echo this sentiment, lauding the benefits of the process.

“Wet cleaning has reduced our costs as we purchase less solvent, less filters and all other costs associated with dry cleaning,” a respondent says.

While some respondents say they strictly process garments through wetcleaning techniques, others countered by saying that it should only be used as an alternative. “I do not believe that wet cleaning is the best method for all garments,” one says. “Some fabrics and fibers need to be dry cleaned.”

While American Drycleaner’s Your Views survey presents a snapshot of the trade audience’s viewpoints, it should not be considered scientific. Due to rounding, percentages may not add up to 100%.

Subscribers to American Drycleaner emails are invited each month to participate in a brief industry survey they can complete anonymously. The entire trade audience is encouraged to participate, as a greater number of responses will help to better define owner/operator opinions and industry trends. O 8

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Top stories @ www.AmericanDrycleaner.com for the 30 days ending May 15

TOP NEWS STORIES 1. With New Charlotte Location, Tide Dry Cleaners Opens 20th Store 2. DLI Helps Cleaners Focus on Positives Following ABC News Coverage 3. EXPOdetergo Reports 85% of Exhibit Space Already Booked

TOP COLUMNS & FEATURES 1. Ten Things Your Lawyer May Not Tell You 2. One Dry Cleaner’s Off-Main-Street Thinking 3. Changes in Repair-or-Replace Tax Rules 4. Market Positioning: Winning the Battle for Your Customer’s Mind 5. StatShot: West Leads in March, FirstQuarter Drycleaning Sales... WEB EXCLUSIVE!

TOP STORIES @ OUR SISTER SITES www.AmericanCoinOp.com: 1. CLA Finalizes Schedule for Excellence in Laundry Conference WEB EXCLUSIVE! 2. Laundromats in the Digital Age 3. U.S. Mint Requests Stakeholders Comment on Changing Coinage

www.AmericanLaundryNews.com: 1. OPL 101: The Benefits of Using Multi-Par Linen System 2. Choosing Wash Formulas 3. Staying ‘On Par’ Presents Ongoing Challenge

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THE NUMBERS

APRIL 2014 SHOWED an unexpected upswing with 288,000 jobs added to the U.S. economy, dropping the unemployment rate to 6.3%. After several months of static figures, the number of unemployed dropped by 733,000, the U.S. Bureau of Labor reports. The yearly numbers show a 1.9 million decrease in those people classified as unemployed.

Survey Committee, “The April PMI registered 54.9%, an increase of 1.2 percentage points from March’s reading of 53.7%.”

Secretary of Commerce Penny Pritzker commented in an early May statement that U.S. exports rose to $193.9 billion in March, an increase of $3.9 billion over February. First-quarter figures total $576.3 billion.

THE APRIL BEIGE BOOK

THE NATIONAL ASSOCIATION OF REALTORS, despite

from the Federal Reserve Districts’ Board of Governors reported increased economic growth across most of the nation. The increases were due mainly to an upswing in consumer spending as the weather improved and foot traffic increased.

The Institute for Supply Management also reported increased economic activity, with manufacturing expanding in April for the 11th straight month. Supply executives reported that overall economic growth was up for the 59th consecutive month. Says Bradley Holcomb, chair of the ISM Manufacturing Business 10

lower-than-expected activity in the housing market, predicts sales of existing homes to increase in 2015.

The market saw a 9% increase in 2013, to nearly 5.1 million homes sold. The past six months have seen the numbers remain static, but the NAR sees a slight decrease of 3% for the rest of 2014—to about 4.9 million homes sold—and projects an upswing to 5.2 million homes sold in 2015.

RealtyTrac’s statistics show the number of properties in foreclosure was down by 1% from March, and down 20% from April 2013.

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CONSUMER CONFIDENCE

improved in April, according to the Surveys of Consumers by Thomson Reuters and the University of Michigan, to its highest level since 2007. Consumers have a more positive outlook on their current financial picture as well as renewed optimism about the country’s economy.

“The most important issue is whether consumers will show greater resistance to the backslides that have repeatedly occurred in the past few years,” says Richard Curtin, Surveys of Consumers chief economist. “While near-term expectations have improved substantially, longer-term expectations for personal finances as well as the overall economy have remained unchanged from a year ago.

“Hopefully, as the pace of economic growth springs ahead in the coming months, the main beneficiary will be an improvement in long-term economic expectations for personal finances as well as the overall economy.” O —Jean Teller www.americandrycleaner.com

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UP C O M I N G E VEN T S

This month’s SEFA show to feature 125-plus booths

T

he South Eastern Fabricare Association’s Southern DryCleaners and Launderers Show, coming up on June 20-22 in Jacksonville, Fla., will feature more than 125 exhibitor booths representing more than 70 companies, show organizers report.

Admission to the exhibit hall at the Prime F. Osborn III Convention Center is free this year.

A cocktail reception and special preview will kick off the event at 6 p.m. Friday, June 20. Earlier that day, Christopher White, executive director of America’s Best Cleaners, will present a special educational program, Capitalizing on Human Interaction, at the Hyatt Regency Riverfront hotel.

The session will emphasize how cleaners can build a profitable brand through strong human interactions in all aspects of their business.

Several other seminars are planned at the convention center on Saturday and Sunday, June 21-22.

Visit www.sefa.org for more details and/or to register for the show.

Event information is also available by calling 215-830-8467. O 12

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C A LEND A R June 6-7 Ontario Fabricare Association & Eastern Canadian Launderers & Dry Cleaners Association Convention. To be held in Toronto, Ont. Call 416-733-2111.

June 11 North East Fabricare Association Brad Friel Memorial Clean Classic. To be held in Sutton, Mass. Call 800-442-6848.

June 20 Drycleaning & Laundry Institute Annual Membership Meeting. To be held in Jacksonville, Fla. Call 800-638-2627.

June 20-22 South Eastern Fabricare Association Southern Drycleaners and Launderers Show. To be held in Jacksonville, Fla. Call 215-830-8467.

June 25-26 Wisconsin Fabricare Institute Annual Convention. To be held in Mequon, Wis. Call 414-529-4707.

July 25-26 Michigan Institute of Laundering & Drycleaning Summer Convention. To be held in Gaylord, Mich. Call 877-3906453.

August 22-24 California Cleaners Association Fabricare 2014 trade show and convention. To be held in Long Beach, Calif.

Call 916-239-4070.

Oct. 3-6 EXPOdetergo Intl. To be held in Milan, Italy. Visit www.expodetergo.com.

Oct. 18-19 Pennsylvania and Delaware Cleaners Association Drycleaning & Laundry EXPO. To be held in Atlantic City, N.J. Call 215-830-8495.

April 16-19, 2015 Clean Show. To be held in Atlanta. Visit www.cleanshow.com. O Post notices of your organization’s events on www.AmericanDrycleaner.com

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Customer Claims

Listen, listen, and listen some more—and then respond immediately

By Diana Vollmer

D

espite the generally low claim rates in the fabricare industry, customer claims seem to be one of the favorite topics of discussion for cleaners, thereby capturing a disproportionate share of business-focused conversations.

Everyone has a horror story about their most outrageous customer demand or their most expensive customer claim.

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perpetually trying to get something for nothing, generally customers are sincere in their belief that their claims are legitimate. They truly do think that they are correct in making a claim. They are simply too busy to take precious time to complain for their own amusement or to torment you.

CUSTOMERS WANT TO BE HEARD. Since the claimant truly does believe they have a valid claim, their primary goal is to be heard. They want you to acknowledge

▲

CUSTOMERS ARE SINCERE IN BELIEVING THEIR CLAIM TO BE VALID. With the exception of a few individuals that are

(Photo: ©iStockphoto/IPGGutenbergUKLtd)

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their grievance and listen to their reason(s) for being unhappy with the work that was done on their behalf.

LISTEN CAREFULLY AND THEN LISTEN SOME MORE. Let them tell their story, and listen intently while they make their case for the legitimacy of the claim.

Empathetic listening is the best way to take control of a potentially volatile situation and keep it from escalating.

Let them talk themselves out before responding, and always be attentive to not only the words they use but also to the attitude and body language. Hear them out and let them wind down. Once they have told their entire story, most customers are reasonable and can be guided toward a reasonable outcome.

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percent said that a simple apology would have prevented them from moving to the competition.”

MISTAKES HAPPEN – OWN UP TO THEM. Despite best efforts and multiple checkpoints, sometimes mistakes happen. Usually these mistakes will be addressed before the item reaches the customer. If, in fact, a damaged article did reach the customer without an explanation or notice of prior damage, the internal process did fail and you owe the customer an apology at the very least.

You also owe them a thank-you for bringing the claim to your attention so you can address it now and so you can avoid similar failures in the system in the future as well.

According to Lee Resource Inc., “for every customer who bothers to complain, 26 other customers remain silent.” They vote with their feet by walking away to the competition.

If, in fact, the damage was the result of a mistake during processing, accept responsibility and make it right. This might be accomplished by a re-do, a repair, a replacement or another accommodation.

ACCOMMODATING THE UNHAPPY CUSTOMER. Each claim is unique, but every claim can be addressed with a system of guidelines that can direct your team to a reasonable accommodation.

Don’t set policy based on the lowest common denominator using the standard of the customer claim that made your blood boil because it was unjustified. Set policies

▲

RESPOND WITH AN APOLOGY. Although an apology might sound like a surrender, it is a good first step in regaining the customer’s confidence in your professionalism.

Even if you are confident that no mistake was made, you can still sincerely say that you are sorry for their disappointment or unhappiness with their experience. In fact, you are sorry that they are dissatisfied. That does not mean you are taking responsibility for the claim, but it allows you to sympathize with their situation and acknowledge that you did listen to them and their concerns. When an apology is appropriate, it is occasionally enough to appease the unhappy customer because they just wanted to be heard.

According to NOP research, “Thirty-five

Let the customer tell their story, and listen intently while they make their case for the legitimacy of the claim.

Empathetic listening is the best way to take control of a potentially volatile situation...

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based on the perception of the majority of your loyal and realistic clients.

THE EARLIEST SOLUTION IS ALMOST ALWAYS THE LEAST EXPENSIVE. Retailers have found repeatedly that the earlier a claim is addressed, the less expensive it is to arrive at a satisfactory solution for the customer and the company.

The longer the customer has to wait for an accommodation, the more “valuable” both the item and their time become in their minds. They also have additional time to tell their story outside the company and get more feedback and suggestions from friends and family as to what is “fair.”

Additional external input will only work against you, so settle early as a form of selfdefense. Get the issue resolved so you can retain the customer and so you can move on to more important projects.

ALWAYS THEIR ‘FAVORITE.’ The longer the delay of resolution the more precious, sentimental and valued the item becomes. The damaged blouse becomes their favorite blouse or the tablecloth becomes an irreplaceable, priceless heirloom with incalculable sentimental value.

“Ninety-five percent of complaining customers will do business with you again if you resolve the complaint instantly,” according to Lee Resource Inc.

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EMPOWER YOUR TEAM. Many owners are concerned that if the sales team has the authority to address customer claims on the spot that they will “give away the store.” In fact, historical data shows that employees are likely to be much more protective of the company and your funds than you are.

Statistics show that a manager/owner with the facts of the claim in hand will be far more generous to the customer than the customer sales representative would be in handling a claim. You will generally have to encourage them toward a higher value solution.

Since the customer will be happy with less on an immediate resolution, and since the sales rep is likely to offer less if given the immediate authority, it is to the company’s advantage to empower the team to settle claims immediately.

▲

EDUCATE YOUR TEAM. Active listening is an acquired skill that can be greatly enhanced with training and practice. The normal human reaction to criticism is defensiveness, which leads to escalation of a problem if the customer is interrupted in their explanation of the claim issues.

Training your team to actively and

empathetically listen until the customer has finished talking will improve the customer satisfaction and retention rate as well as reduce the cost of addressing claims.

Practice and role playing will demonstrate to your salespeople the improved outcomes when they control the situation calmly and let the customer agitation diffuse.

Educating them on the statistics will also show the importance and value of empathetic listening.

According to Michael Leboeuf, in How to Win Customers and Keep Them for Life, of the customers who leave a business: “68% quit because of indifferent attitude towards the customer by the staff.”

Of those customers who leave, only “14% are dissatisfied with the product. 9% leave because of competitive reasons.”

Active listening will reverse the customers’ impression of indifference projected by the staff.

www.americandrycleaner.com

5/21/14 4:31 PM

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To work up to a comfort level with this process, you may want to ease into this system by authorizing a maximum amount to resolve a claim immediately. For example, if you set that limit at $50, it will always cost you less than getting involved yourself because your lost time alone will be worth more than that $50. You will also retain more customers because their concerns were addressed by the person they first encountered.

The customer’s confidence in your counter staff will be enhanced because they see that the team with whom they interact regularly also has knowledge and authority. The staff’s self-confidence will also improve, and members will be more comfortable and competent in dealing with unhappy customers themselves instead of passing the problems up the line of management.

SATISFIED CUSTOMERS ARE GOOD FOR BUSINESS. According to NOP, satisfying customers at the earliest point is good business and necessary to offset human nature of sharing bad experiences with many people and good experiences with very few.

• A dissatisfied customer will tell 9-15 people about it. And approximately 13% of your dissatisfied customers will tell more than 20 people about their problem.

• Happy customers who have their problems resolved will tell four to six people about their positive experience.

• Reducing customer defections can boost profits by 25-85%.

• In 73% of cases, the organization made no attempt to persuade dissatisfied customers to stay.

WHEN DELAY IS NECESSARY. If a claim is large (insert your definition of “large”), it may be 20

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necessary to delay a solution, but keep the customer informed and resolve the claim at the earliest possible date. No claim should drag on and on—it will only make the customer angrier, and he/she will complain to more people.

“PROVING” THAT A CLAIM IS NOT YOUR FAULT. Testing by a reputable source such as the Drycleaning & Laundry Institute (DLI) or National Cleaners Association (NCA) can give you peace of mind that you didn’t cause a problem (or it can show you where your process went astray). However, customers are seldom convinced by these tests and reports. They tend to believe that they are run “by the industry for the industry” to enable cleaners to refuse a claim.

Manufacturers, on the other hand, have a history of accepting these test results. They probably already know there is a problem in cleaning a particular item because yours is likely not the first one they have had returned.

MAKING IT EASY FOR YOUR CUSTOMER. If there is legitimate doubt about the cause of a claim and you want to have it tested, go ahead and do it, but make the process seamless to your customer. Let them know your plan but also assume the role of solving the problem with the retailer or manufacturer of the garment.

If you contact a store about a problem for your “mutual client,” it is more likely to cooperate instead of blaming you for any damage. The store can easily contact the vendor and possibly obtain a replacement garment. Even if you did cause the damage, this is a potential source of a replacement at wholesale or a discount as opposed to full retail price.

If the retailer is not cooperative, go direct to the manufacturer (see the label for conwww.americandrycleaner.com

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tact information) No claim should and attempt a drag on and on— resolution for the it will only make customer. Taking the customer on this role will angrier, and set you apart from he/she will your competicomplain to tion and will earn more people. loyalty from your clients and your retailer partners.

They in turn will tell their friends and customers about your excellent service.

INSURANCE. With the large number of items processed, it is inevitable that at some point there will be a large claim, whether through a mistake, mislabeling or another cause. The reason for buying insurance is to protect against significant unforeseen losses.

Although most owners are reluctant to make an insurance claim, insurance is designed to cover claims resulting in a large expenditure, such as replacement of a unique item. If the situation exceeds your comfortable financial threshold, use your insurance policy and its resources to address the problem as soon as possible and keep the customer.

FIRING A CUSTOMER (PROFESSIONALLY). Occasionally, you may encounter a customer who simply cannot be satisfied regardless of your sincere attempts to appease his/her multiple unjustified claims. At some point, you may reasonably choose to “fire” that customer.

Do it professionally!

Remember that the tyrannical customer will broadcast perceived ill treatment to a large audience, so help them go quietly by firing them professionally. You can encourwww.americandrycleaner.com

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age their departure nicely by saying that you are sorry that you are unable to please them with your service and you will miss their business. Many times these customers will eventually return and be much more reasonable in the future because you are the best at what you do and they will learn to better appreciate your expertise.

WHAT WOULD NORDSTROM DO? Since Nordstrom is generally considered the standard of customer service, you might consider using its liberal policy as a guideline. It has found that giving the customer more than they expect pays off in loyalty and raving fans that send a steady stream of referrals to Nordstrom stores.

Regardless of the tendency toward fairness of the customer involved, a good rule of thumb to consider is “What would Nordstrom do?”

Before you get overly agitated about paying claims, take a moment to review your P&Ls and remember what a small percentage of your total expense it represents. Then use the situation as a marketing opportunity to expand your band of loyal, raving fans. O Diana Vollmer is managing director at Methods for Management (MfM) Inc., which has served the drycleaning and laundry industry with affordable management expertise for improved profitability since 1953. For assistance with customer claims strategy and training needs, contact Vollmer at dvollmer@mfmi.com, 415-577-6544.

American Drycleaner, June 2014

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OT H ER S I D E OF T HE C O U N T E R

The Best Kept Secret

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s I travel around the country speaking to owners, it is apparent that dry cleaners measure nearly everything … except for customer service.

Ask about any esoteric part of the plant’s equipment, profit or costs and most owners can rattle off years worth of detailed data. In my world, if I ask about customer service, usually the best answer I receive from an owner is, “Well, yeah, that’s something we should look into.”

As I have often stated, customers are coming to the cleaners for a reason. It’s usually to get items clean. So, if equipment isn’t up to par, it is important that time, money Carolyn Nankervis and effort are allocated and spent to improve equipment, staffing and training to do a better job.

I can’t say the same for customer service at the counter. If customer service isn’t up to par, I have seen some cleaners go to great lengths to spend money on anything but the customer’s experience.

Spending money on marketing is not going to help customer service.

Marketing alone can’t create someone who is loyal. In my view, the only way to create a loyal customer is to deliver great customer service.

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important, but a mute counter person, or a delivery driver who ignores dropoff instructions, will harm a customer relationship far more quickly than bad dry cleaning.

So, what’s a concerned dry cleaner to do? I say measure the counter performance—just like everything else.

Improvement only comes after identifying what needs to be improved, developing a plan and following through.

Here’s an idea for a customer service measurement plan: 1. Inform front-line staff, including managers, that they will be measured on the criteria that form the backbone of good customer service: • Pleasant greeting with personal connection: “Hello, how are you?”

• A smile.

• Clean, pressed and appropriate clothing.

• Good personal grooming (appropriate piercings and tattoos).

• Use of the customer’s name.

• Use of full sentences; “What do you have to be cleaned today” is good, “Dropping off?” is bad.

• Inquiry about spots, stains, and special instructions.

• Information about promotion or services.

• Positive closing remark.

2. Develop a training program www.americandrycleaner.com

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with a focus on three areas: empathy toward the customer; knowledge of fabrics and cleaning processes; and problem resolution.

3. Pick a topic and decide who/how/ when to train.

4. Do it. Expect everyone to participate.

Those who don’t are given a written reprimand and shortened hours.

5. Explain that they will be tested in real situations at the counter, so practicing beforehand is the only way to be sure they know their stuff.

6. Repeat the process.

We all know some managers and customer service reps will be better at this than others. Pair up those who are less adept at serving customers with those who are grade-A customer service players.

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Finally, measure the results: • Fewer processing issues • Fewer customer claims • Increased sales • Higher mystery shopping scores All owners have CSRs and managers.

Measure their effectiveness! They are the key to improving and growing a drycleaning business.

The “best kept secret” is in reference to Dorothy in The Wizard of Oz. She had the ruby slippers all along. All she had to do was use them. O Carolyn B. Nankervis is president of MarketWise Consulting Group, Appleton, Wis. A former director of marketing, sports writer, radio announcer and TV producer, she is a frequent speaker on customer service and marketing topics. She can be reached at carolyn.nankervis@marketwi.com, 920-735-4970.

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SP O T T I N G T I P S

Lot of Little Things

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that allows for free movement. Saturate the garment for about a minute and then extract lightly. Dry as normal.

Allowing the fabric to soak for longer periods may allow the mineral oil to accumulate in the seams, which will result in them looking darker than the garment. Mineral oil can be applied to small areas with a powder puff, then feathered to the outside to level the color intensity. Diluted mineral oil works well on any fabric in which chafing has occurred.

The solution of another problem in stain removal is much simpler but must be taken quickly. There are times when the dye will be sensitive to the pH of the chemical tool used in stain removal, and this sensitivity will result in localized color change. Many inexperienced cleaners have allowed garments to go out after they thought they had “knocked out the color.”

When faced with this reaction, immediately flush the area with steam while applying the opposite chemical: neutralize tannin with a protein, neutralize protein with tannin. This is the reason that chemical tools must be flushed out before proceeding to the next chemical tool; leaving tannin in the garment and applying protein because it is the next thing to try only reduces the effect of both chemical tools.

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here is going to come a time when a cleaner/spotter will get themselves into a difficult situation. It may be through aggressive stain removal, a mistake by another employee, poor classification, or poor maintenance.

There is going to come a time when the short-term goal is to get the garment back to its condition when you began the cleaning process. That can be a sickening feeling, accepting that the problem occurred after the garment was in your custody and control. It is your responsibility.

It is your potential claim.

When attempting supplemental stain removal, it is easy to temporarily lose sight of the sensitivity of the fabric and dye. This sensitivity varMartin Young ies from garment to garment, depending on the fiber content and construction.

The tensile strength of a silk fabric, for example, is greatly reduced by moisture. Mechanical action applied to the stain must be drastically reduced to avoid chafing the area. Chafing is the breaking of the small fibers in the yarn resulting in the area appearing lighter than the original color.

Many times, this chafing can be camouflaged by making up a mineral oil bath—10 ounces of mineral oil to a gallon of hydrocarbon—in a container

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(Photo: © iStockphoto/Romanchuck)

The No. 1 problem caused by cleaners is redeposition.

It is also the easiest to prevent.

Whether it is lipstick or ink, the same sinking feeling occurs when you open the door of the machine and see the marks on a load of customer’s clothes. Look over the garments, and hope that the damage is isolated.

Reclean the garments to remove as much of the stain as possible. If you have the capability, add a quart of POG to the wheel and run for at least 15 minutes, without circulating the solvent. This “batching” should reduce the number of damaged garments.

Treat the remaining spots on the dry side with POG, then reclean. The remaining damaged garments should be spotted on the wet side, first with NSD, then tannin, then protein and, finally, spotbleached with sodium perborate. At this point, any remaining damaged garment that can tolerate water should be soaked in a sodium perborate bath. It comes down to doing what is necessary to prevent a claim.

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bulkier item will take longer to dry than a sheer silk or rayon. The result is usually a lightweight item with streaks and swales from rubbing against the still-damp garment. This can be corrected by spraying the streaked item with a leveling agent to break down the streaks and swales in recleaning.

Even more serious is the dark item that makes its way into a light or pastel run and leaves dye streaks on some of the garments. Recleaning the damaged items will help significantly but some may require a reducing bleach to remove the last traces of fugitive dye.

The No. 1 problem caused by cleaners is redeposition. It is also the easiest to prevent.

Do not introduce garments to the drycleaning system when they are still damp from wet-side spotting. Maintain solvent clarity by properly caring for the filtration on the machine and by adequately distilling your solvent. A new problem I am seeing is choosing to keep the base tank at less than 50% of capacity, which only allows the concentration of NVR in the solvent to rise.

Redeposition can usually be corrected by the use of POG at the spotting board, or by batching POG in the drycleaning wheel.

This is not a good situation, but it comes down to doing what is necessary to prevent a claim.

Good, consistent cleaning is not one particular thing. It is a lot of little things that string together to form an effective system. O Martin L. Young Jr. has been an industry consultant and trainer for almost 20 years, and a member of various stakeholder groups on environmental issues. He grew up in his parents’ plant in Concord, N.C., Young Cleaners, which he operates to this day. Contact him by phone at 704-786-3011, e-mail mayoung@vnet.net. www.americandrycleaner.com

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Hercules Machinery, Inc. 21 Alabama Avenue Island Park, NY 11558 Phone: 516-889-0088 Fax: 516-889-7161 Email: joepres21@aol.com

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Attitude

(Images licensed by Ingram Publishing)

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Check How to turn negative workers into positive performers

By Phillip M. Perry

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ACT QUICKLY. All of those events—and others like them—can alienate customers and dent your bottom line. That’s why it’s important to take action before matters get worse.

“Quick attention is essential in dealing with negative behavior,” says Ian Jacobsen, a management consultant based in Morgan Hill, Calif. “Issues that are allowed to fester can grow out of proportion and become the impetus for still more negative behavior.”

An employee who is not confronted about undesirable workplace activity will assume the practice is acceptable, notes Jacobsen.

Moreover, because “one bad apple spoils the bunch,” destructive behavior can spread to other workers. Soon, your highperforming employees will start to get frustrated because they have to pick up the work left by the slackers.

Finally, as destructive attitudes spread, you may start to be viewed as a manager or owner who cannot handle challenging employees.

GATHER DATA. Acting fast is one thing. But just what should you do? Start by engaging with the employee involved. “Take the employee aside and describe exactly what you have seen or heard,” says Jacobsen.

Here’s an example of such a description, based on a supervisory response to the first of this article’s opening scenarios: “James, I heard you talking with Amy about one of our customers who had just left the store. You stated that the

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o your employees play well with customers? Do they engage with the public in ways that spark business and promote loyalty to your dry cleaner?

In the best of worlds, you would always answer “Yes.” Fact is, though, every business has some employees who have a tendency to look on the dark side of things—a habit that can create negative interactions with customers. And even the sunniest workers have bad days. The cause might be a perceived snub from a supervisor. Or maybe it’s a marital crisis or a financial issue.

Whatever the reason, the result is the same: a grumpy employee who alienates customers. And that means lost sales and lower profits.

Negativity can take many forms, such as these examples: • James speaks to another employee, bad-mouthing a customer who just left the store. (Worse still, another customer overhears his remarks.)

• You overhear Margareta say to a customer, “Management really stinks here.”

• Andre says, “It’s not my job,” when asked to help out a customer who needs a special service.

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customer was ‘a pain in the neck.’ This is inconsistent with what I would expect from you. What was that about?”

Notice that the words reflect the position of an observer who is simply gathering data. Avoid using terms that suggest a value judgment or cast a bad light on the employee’s intentions or motivation.

Terms such as “bad-mouthing,” “rudeness” or “negative behavior” can quickly backfire by putting the employee on the defensive. And an employee who is trying to defend actions is not in the right mindset to work with you to resolve behavior issues. “Think of yourself as being like a newspaper reporter just reporting the

facts,” advises Jacobsen.

Once you have stated what you observed, listen to the employee’s response.

“Don’t interrupt,” says Jacobsen. “Instead, wait for a break in the answer and then ask any further questions you need to understand the situation.”

To continue our example, James might offer the information that a few days earlier the customer had changed his mind several times in stating what he wanted from a service the store was offering. The frustration in dealing with the customer had angered James. As a result, he found himself letting off steam when dealing with that customer again.

GOING POSIT IVE Smart supervisors work quickly to address negative employee behavior. Smarter ones create workplaces where negative behavior doesn’t occur in the first place.

“Most employees start the day with good intentions,” says Richard Avdoian, an employee development consultant from St. Louis. “They don’t get out of bed asking, ‘How am I going to be abusive with customers?’”

Too often, something happens to change that.

Your job is to find out what it is, then take steps to resolve the issue so employees become effective agents.

If you take time to communicate with them, your best employees will inform you about any workplace

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issue that is affecting performance. Sometimes, it’s a new policy. Other times, it’s inaction on a chronic problem. Or maybe a miscommunication about an important topic.

Supervisory sessions are critical, says Avdoian. “Meet regularly with employees to touch base.”

Ask questions such as these: “What is working in the workplace for you?

What isn’t? Are you struggling with anything? Do you need additional training?”

These questions communicate that you are here to guide and mentor the employee—not just to discipline, says Avdoian. “You can be a parent, mentor, or just a wise person who can shed light on problems.”

Some supervisors resist such meetings because

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they think they take up too much time, but they can be as short as 15 minutes.

Avdoian also suggests holding periodic “best practices” meetings, during which employees share with others what works and what doesn’t in their daily interaction with your drycleaning customers.

In all cases, value employees who speak up.

“Courageous employees will express what is bothering them in an effort to make life better,” says Ian Jacobsen, a management consultant based in Morgan Hill, Calif. “Others are afraid to say anything. They just stew and express their frustrations to anyone they don’t consider a threat. So treasure those who express their concerns in a spirit of problem-solving.” O

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better way, then Upon learnGet the employee invested in a self-generated solution explain how ing this, you so any unacceptable behavior you would like have already does not recur. the situation gone a long way handled in the toward resolvfuture and ask ing the problem. if he or she can do Your data gathering that. In the example with has uncovered what is afJames, you might suggest that the fecting James’s behavior: a short individual speak with you or a supervisor fuse when it comes to difficult customers. after dealing with a difficult customer, Once the employee has explained what happened, summarize what you have heard because talking about bad experiences can reduce their negative effects. to demonstrate that you understand. Then If an employee’s behavior has been ask if your summary is accurate. If not, ask serious enough, you may wish to confirm for further clarification. what has transpired in writing and provide The next step is to get the employee a copy to the worker. invested in a self-generated solution so And don’t forget your follow-through. the behavior does not recur. “Once the “There is an old adage: ‘If you expect, employee affirms that your summary is you’ve got to inspect,’” says Jacobsen. accurate, ask how the situation could have “Check back from time to time to see if the been handled better,” advises Jacobsen. employee has adopted the desired behavUsing this example, you might say ior. If so, commendation is in order. If not, something like this: take the person aside again and repeat the “James, I realize that some of our above process.” customers can be demanding in terms You might also agree with the emof service and time. It’s not OK to say ployee on a day to follow up, and mark something like what you said about them, your calendar so it doesn’t fall through the and the matter was made worse because another customer overheard what you said. cracks.

How could you have handled this better?”

James might come up with a solution COACH, NOT DICTATOR. Notice an important like counting to 10 or taking a quick walk characteristic about the above approach? around the store when feeling the urge to It represents the work of a coach, not a blow off steam. dictator.

“If the employee suggests a better way, “Do not be heavy-handed; do not use and it is acceptable, go for it,” says Jacobmore muscle than necessary,” says Dr. sen. “He has come up with a way to solve Lois P. Frankel, a partner at Corporate the problem.” And that’s good—compliCoaching International, Los Angeles. “In ance will be better if the employee agrees the old days, managers would say someto a self-generated solution rather than one thing like this: ‘I have to tell you that if I imposed by the boss. hear of this behavior again, your employIf the employee can’t think of a ment may be jeopardized.’ That was www.americandrycleaner.com

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Helping people improve thing like this: considered protheir performance can also “I kind of gressive. But not make the corrective process feel the same; anymore. Today, more palatable for the boss.

I wish that had you want to turn not gone away. around the situaBut let’s talk tion with the least about how your needs disruption.” can be met.”

Helping people improve While your workplace might not be their performance can also make the able to offer flextime, it might be able to corrective process more palatable for the offer individuals a little more leeway in boss.

“Too many bosses don’t have these dif- adjusting schedules to meet family needs.

Changes that arise from coaching sessions ficult conversations because they are seen as confrontational,” says Frankel. “Replace can modify the workplace in ways that benefit all employees and result in great that confrontational cap with a coach cap. customer satisfaction.

Tell yourself this: ‘My job is to bring out the best in people and make a company that is well functioning.’”

TOUGHER ACTION. Of course, this article has been examining the occasional negative actions of good employees. Persistent negIMPROVE CONDITIONS. Your data-gathering ative behavior requires tougher action. “If activity may uncover a surprising fact: the behavior is persistent, then there must an underlying problem in the workplace be accountability,” says Avdoian. needs to be addressed. This issue may be Consider the third entry in this article’s causing negative feelings on the part of opening scenarios. Andre, who said that a other employees as well. requested service was “not my job,” needs “When the performance or attitude to be reminded that “We’re all in this toof a good employee starts to deteriorate, gether” and that every employee has to be that can be a sign that something is going ready to pitch in with duties that may well wrong in the workplace,” says Richard be outside of the parameters outlined in a Avdoian, an employee development conjob description. sultant from St. Louis. “You want to find The coaching procedure outlined in this out what it is—and nip it in the bud.” article should help Andre come around to a Let’s take our second scenario from better attitude. If not, then the only remainthis article’s opening. Why did Margareta ing option is to refer to your organization’s say what she did about management? progressive disciplinary measures that lead During your data-gathering discussion to termination. O described earlier, Margareta may tell you something like this: “We used to have flextime and they took that away last month.”

Award-winning journalist Phillip M. Perry, who resides in New York City, is published widely in the Your response should acknowledge fields of business management, workplace psycholboth the issue and your desire to meet the ogy and employment law, and his work is syndiemployee’s needs. You might say somecated in scores of magazines nationwide.

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EN E R G Y R EP OR T

Hits the Spot KC dry cleaner believes climate is right for spot cooling

By Jimmy Barry Jr.

“H

igh energy” is a great trait in our colleagues and ourselves, but bad news for our balance sheets.

After managing drycleaning operations these past 25 years in the Midwest, South Carolina and Florida, I’ve learned that utilities are typically our third highest expense behind labor and rent. With summer here, it’s a perfect time to share how we reduced our cooling costs nearly 50% while gaining happier, more productive team members.

First, some history. My grandfather opened his first dry cleaner in Kansas City in 1967 and added nine more stores.

My father acquired them in 1982 and sold them to a larger company before helping run their 470 North America stores. In 1999, Dad started GreenEarth Cleaning, which created groundbreaking technology that Procter & Gamble used to open its first Tide Dry Cleaners store near Kansas City in 2008. I bought it in 2010 and now own four franchise stores.

Two of the stores came with conventional HVAC (heating, ventilation and air conditioning) systems that have extensive ductwork and large compressors. They’re similar to the AC systems in many homes.

In the two newest facilities, I installed spot cooling systems that use

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aquatic chillers; this makes the technology extremely efficient. A decade ago in Florida, I used an earlier version of this system, and the American-made technology has improved since then.

To simplify financial comparisons, let’s look at two of my plants that are similar in size and function. One has HVAC cooling the entire building. The other has spot cooling that blows dehumidified, filtered air where employees want it at their workstations.

Savings from spot cooling ranges from $1,000 to $1,300 each month. Plus, my team members are happier and more productive (which I’ll detail later).

Energy bills are only part of the cost related to a cooling system. There are also hardware acquisition, installation and maintenance costs. In our first store, cooling 3,500 square feet with HVAC required 35 tons of compressor capacity and extensive ductwork. Including installation, the system cost approximately $100,000.

Our spot cooling system uses 20 tons of compressor capacity, although 10 tons would have been sufficient. We doubled that capacity because we’re running two 80-pound cleaning machines that each require 10 tons of chiller capacity to operate. If their chillers ever go down, we flip four ball valves so chilled water from our spot cooling system keeps www.americandrycleaner.com

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workplace performance work flowing. It’s a increases with temperagreat backup that entures between 69.8 and sures 100% uptime for Experience, numerous studies 71.6 F. our drycleaning operaand common sense prove that The Occupational tions. Installed cost for comfortable colleagues are Safety and Health Adthe spot cooling system more productive and stable. ministration’s (OSHA) was roughly $48,000.

Technical Manual Unlike HVAC recommends workplace systems that recycle temperatures between air, our system continu- (Image licensed by Ingram Publishing) 68 to 76 F, and humidity between 20% and ously brings in outside air, even during the 60%. Temperatures higher or lower than hottest days of summer. The air is filtered, those ranges hamper productivity. dehumidified and cooled or warmed as necHiring, training and retaining team essary by the large, high-efficiency water members is a significant expense. Yet even cooler on our roof. Team members have though experience, numerous studies and complete control over the air’s direction, vecommon sense prove comfortable colleagues locity and temperature at their workstations. are more productive and stable, the majority We can even use the condensate from the of drycleaning plants still have little more chiller to water our lawn. than exhaust fans.

The bottom line is, spot cooling only It’s difficult working in a sauna, yet that’s cools team members at their workstations, whereas HVAC systems cool an entire build- what it’s like in many plants, particularly during summer. In our plants with spot cooling. The latter requires a lot more capacity, ing systems, we have had zero employee energy and maintenance since compressors turnover in 31/2 years, saving us thousands are constantly turning on and off to regulate temperature and humidity. of dollars and hundreds of man-hours. Plus, Think of it this way: A nice jacket comes everyone’s a lot happier. into your store with a single spot that needs Because many drycleaning operators to be cleaned. It’s less expensive and more have no ductwork to remove or equipment efficient to fix that spot instead of the entire to replace, installing a spot cooling system garment. would be relatively easy.

Do team members care? When I ran Although my fellow Missourian Mark stores in Florida, it was common for emTwain wrote, “Climate is what we expect, ployees to start disappearing at the height of weather is what we get,” spot cooling has summer. After installing a spot cooling sysenabled us to control the climate around our tem, that was no longer a problem. Scientific team members, which they love. Lower enresearch helps explain why. ergy bills and extra backup for our drycleanPublished studies from Finland’s Laboraing machines haven’t been bad, either. O tory for Heating Ventilating and Air CondiJimmy Barry Jr. employs 50 full-time team memtioning, and the Lawrence Berkeley National bers as owner/operator of TDC of Kansas City. He Laboratory, Environmental Energy Techcan be reached at JamesBarryJRTDC@yahoo.com, 913-905-9429. nologies Division, in California have shown www.americandrycleaner.com

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(Photo: © iStockphoto/leminuit)

Plant

Leasing

Tips...

and Traps to Avoid Look before you lease—it’s all subject to negotiation

By Lloyd R. Manning

W

hen drycleaning plant owner/ operators rent their store-plant space, the haunting questions focus on the considerations that should be taken into account prior to entering into a longer-term rental

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agreement or perhaps renewing an existing lease.

Selecting an appropriate space from which to profitably conduct business should be a meticulous procedure, far more than just finding an empty spot where the rent is cheap, signing a lease agreement, making a www.americandrycleaner.com

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few improvements and then moving in.

Overlooking seemingly insignificant considerations could spell disaster.

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THE LEASE—ASSET OR LIABILITY? The wellnegotiated space lease is a valuable asset while one that contains negative clauses could be a liability.

Many entrepreneurs have signed rental agreements for terms longer than they thought they had. The watchword is: “Look before you lease.” Look at the location, the amenities, the neighbors, the covenants and, most importantly, the rental in relation to the business and profit you can generate from this location. Do they work for you, or only the landlord?

Not every for-rent commercial space, no matter how attractive or economical, is suitable for a drycleaning plant. Determin-

ing whether you are location-dependent or -independent is important.

If location-dependent, you rely on the immediate neighborhood for patronage.

If location-independent, as say for a plant that draws its customers from pickup and carryout depots, you rely on a larger market base, not a specific neighborhood. In the first instance, location, visibility and accessibility are ultra-important. With the location-independent, although accessibility is important, location for itself means little.

Before signing, examine your potential market, its source and whether the location of your plant is better here rather than there. Consider your neighbors and if they generate patronage for you. Compare various locations, their estimated drawing power, and your total occupancy cost

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for each as a percentage of the projected gross income.

KNOW YOUR ECONOMIC RENT. A common opinion is that rental agreements are presented with most terms and conditions spelled out and offers one of two choices: take it or leave it. Not true!

Everything is subject to negotiation.

The most important rental factor is not the asking price, but the potential patronage you can generate from the location, which denotes what you can afford to pay and be profitable.

Low-rent spaces may not be that cheap when you look at the bottom line. Alternatively, a high rent may not be exorbitant if your net profit can be increased pro rata.

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MAKE COMPARISONS. Determine how much space you really need. Although you do not wish to be crowded, there is no point in paying for excess space. The object is to attract the largest patronage at the lowest cost.

It may only be a choice of this or that, but best as possible project your income and expenses—including rent and profitability—for alternative locations. Include the cost of any improvements you must make. Then compare.

Low-rent spaces may not be that cheap when you look at the bottom line. Alternatively, a high rent may not be exorbitant if your net profit can be increased pro rata. Perform a sensitivity analysis: project both income and expenses at varying levels—optimistic, most probable and pessimistic—for different locations with differing lease rates. Determine your breakeven point for each potential location. The “optimistic” is hoped for, “most probable” should support the rental rate, and “pessimistic” is the worst-case scenario.

TYPES OF LEASES. There are usually three types of leases with which to be concerned: the “gross lease,” the “net lease” and the “parol lease.”

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Always, the first price is what the property owner would like to have. This leaves you to determine what he/she will settle for. There are two considerations to be taken into account: “market rent” and “economic rent.”

Market rent is based on what similar rental spaces were recently leased for, or their asking price, your rental rate adjusted for its superiorities or inferiorities, such as location, amenities, condition, utility, lease terms, etc. To determine market rent, you need to find similar “For Rent” spaces and make comparisons.

Economic rent, the more important criterion, is a fair and reasonable rental amount that is based on your projected income and profit margin. Unfortunately, industry statistics that will provide

guidelines and benchmarks are skinny and unreliable.

The best procedure is to estimate your income for each location being considered, individually, then deduct all expenses except rent but including a fair wage for yourself. From the remainder, deduct what you believe would be a fair rental amount and compare it with your net profit hurdle rate (this is the minimum acceptable percentage) and the landlord’s asking price.

How do they stack up?

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repairs, utilities, etc., are added to the rent; if a multi-tenancy property, it is your share based on your occupancy percentage of the whole.

A trap for the unwary: gross leases

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With the gross lease, the only additional occupancy cost is utilities, and perhaps maintenance. With the net lease (aka “triple net”), all property operating costs, such as building insurance, taxes,

LEASING COM M ERCIAL S P A CE Leasing commercial office space is one of the largest expenses incurred by new and expanding businesses, says the U.S. Small Business Administration, so it is important to do your due diligence.

Here are some tips from the SBA for negotiating a commercial lease for your small business: LEASE AGREEMENT. Lease term and rent are your first negotiation points. It is generally recommended that small businesses negotiate one- to twoyear leases with the option to renew. You will also want to factor in rent increases over the term, and renewal options so you are not charged with an unexpected rent increase without warning.

Consider working with a broker to help you negotiate with the landlord. It is also important to consult a knowledgeable real estate lawyer; they can often recommend the right choice for you and protect your interests as you negotiate your lease through the broker.

EXPENSES. In addition to your monthly lease payment, find out what expenses you may incur beyond rent.

Commercial real estate landlords often incorporate extra expenses such as maintenance fees, upkeep

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for shared facilities (Common Area Maintenance, or CAM), etc. Other expenses to consider are utilities. These charges are usually the responsibility of the tenant, so find out how these are measured. Are they individually metered or apportioned by square footage? Ask to see these “hidden fees” and policies as well as examples of costs that are typically incurred by tenants.

MAINTENANCE AND REPAIR. While residential leasing often places the burden of maintenance and upkeep on the shoulders of the landlord, commercial leases are different. Commercial leases vary regarding maintenance and repair – some stipulate that the tenant is responsible for all property upkeep and repairs while others specify that the tenant is responsible for systems like air conditioning, plumbing, etc.

READ THE LEASE. Be sure to read over your lease in detail and hire an attorney who specializes in commercial real estate to walk you through the clauses and fine print.

PROTECT YOUR BUSINESS. To protect your investment and long-term business interests, it is worth investigating and negotiating some potential

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add-on clauses to your lease.

These might include: • Sublease – This builds in some flexibility, allowing you to sublet your space to another business.

• Exclusivity clause – Prevents the landlord from leasing other spaces on the property to a direct competitor of yours.

• Co-tenancy – If the property’s anchor tenant closes business, a co-tenancy agreement can protect you from a potential loss of customers, allowing you to break the lease if the landlord does not replace the anchor tenant in a specified time period.

WHAT IF YOU DEFAULT? Should you default on your lease payments, there are steps you can take during the lease negotiation process to protect yourself. Find out what the lease agreement states. Will you be locked out immediately? Will the landlord initiate eviction proceedings? Can you negotiate more time?

Could you pay only the current month’s rent instead of the remaining amount owed on the lease? O Source: U.S. Small Business Administration (www.sba.gov)

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Art contact: Shelley Timm-Thompson, 708-771-9948 Insertion Date: Ongoing

There’s more than one way to access the industry’s number one magazine.

Website

Tablet

Mobile ...

Besides our print edition, don’t forget that our tablet and mobile versions and website are great ways to stay on top of the latest industry news and updates. www.americandrycleaner.com

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rights ines All

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and Print! ®

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Negotiate the length of lease based on your comfort level.

If your drycleaning plant is a sure winner at a low rental cost, go for a longer term...

often contain escalator clauses whereby as the cost of taxes, insurance, etc., increase, your rent also increases proportionately.

The parol lease (an oral lease that is legally enforceable) is usually a gross lease with a month-to-month tenancy. That is, you could be out at the end of the next month. Percentage leases are rare in drycleaning plants, but a landlord may try you on for size. By this, after a stated annual revenue is obtained, the landlord receives a percentage of all additional income.

HERE’S WHAT’S COMING UP IN AMERICAN DRYCLEANER...

Want to send a press release or submit a story?

Contact Bruce Beggs, editorial director, today!

Phone: 312-361-1683 E-mail: bbeggs@american trademagazines.com

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JULY Feature: Plant Automation Bar codes, RFID chips and automated conveyor systems are taking the hassles out of inventory control and assembly. Here’s how today’s plants are using these innovations to cut labor and maximize efficiency.

Editorial Submission Deadline — May 15 AUGUST Feature: Distributors Directory Continuously updated, our easy-to-use annual directory issue lists distributors of equipment and supplies nationwide.

Editorial Submission Deadline — June 15 SEPTEMBER Feature: Marketing: Back to Basics How to attract more customers using some tried-and-true promotional strategies.

Editorial Submission Deadline — July 15

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OTHER CLAUSES. Be certain that the right to transfer or assign the lease is contained in the agreement, and, if the lease is assigned, any prepaid rent is yours, not retained by the landlord. This is a common trap. Many leases contain the clause by which prepaid rent is the landlord’s to keep.

Most leases contain a clause by which all interior improvements become a part of the building. Although installed at your expense, as title passes to the lessor, you cannot remove them; if selling your plant, expect a purchaser to buy these improvements. Although you paid for them, they are not yours to sell. Haggle over this one to your benefit. (A point in passing: If you cannot amortize the cost of the improvements during the first lease term, either their cost or the rent is too high.)

Start-up rental holidays, fixture and

...and much more! www.americandrycleaner.com

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move-in allowances are common. Most property owners expect to contribute two or three months’ rent to induce a tenant. So much depends on how badly he/she wants you in and how long the property has been vacant. A step-up clause that provides for a low initial rent, then periodic increases, may seem benevolent. Most only let the tenant in gently, then soak it later.

Negotiate the length of lease based on your comfort level. If your drycleaning plant is a sure winner at a low rental cost, go for a longer term; if uncertain, the shorter. Either way, always include one or two renewal options.

Remaining are several standard and specific-to-a-particular tenancy clauses.

The point is, before signing, pore over and negotiate each separately, considering its effect on your plant’s operation, income

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and profitability. Never assume that, when first presented, all terms and conditions are engraved in stone. So much depends on the negotiating skill of the parties.

Finally, look before you lease. You must live with it for a long time. If the terms do not work for your benefit, your troubles may have just begun. O Information in this article is provided for educational and reference purposes only. It is not intended to provide specific advice or individual recommendations. Consult an attorney or real estate professional for advice regarding your particular situation.

Lloyd R. Manning is a semi-retired commercial real estate and business appraiser, and a freelance writer based in Lloydminster, Saskatchewan. He is the author of Winning With Commercial Real Estate – The Ins and Outs of Making Money in Investment Properties.

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IN D U S T R Y O BS E RV A T I O N S

Spot-Check Your Counter Staff

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hree recent incidents lead me to believe that you are losing money at the counter.

A friend and I have breakfast every week at a coffee shop and the bill comes to $12. One week when we ate there, the waitress handed us a bill for $6.50. After trying to figure out what she did, we finally paid our bill and walked out.

At a “big box” store, I purchased an item for $11.42.

I handed the clerk a $10 bill and a $5 bill and dug out of my pocket 42 cents, expecting to receive an even $4. Instead he handed me a $5, thinking that the change meant he Howard Scott owed me a fiver.

At a dry cleaner, I handed the counter staffer a $20 bill to pay a $14.25 invoice, and she refunded me $8.75.

Must be the new math. Maybe it’s that some high school graduates never really learned basic arithmetic and can’t count. Or maybe it’s that these employees just don’t care, and are going through the motions of doing their job. “What’s the big deal? Hand out a ten, hand out a five, hand out a one—it To find past columns from Howard Scott or share this month’s with your colleagues, visit www.americandrycleaner.com.

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means nothing to me. Besides, the boss is a real jerk,” goes the mindset.

Whatever the reason, watch out.

You might be losing money out of your front counter.

This is unfortunate, because there’s no reason there should be an unwarranted outflow. You have proper procedures. You have an up-to-date computerized register. You have checks and balances. But, you also have staffers who just aren’t paying attention.

When I owned a business, often at the end of the workday, around 7 or 8 p.m., I would review my 150 invoices and wonder if and where money was trickling out unintentionally. It was all paper I was dealing with, and I made sure enough stuck so I was able to pay the bills and pay my 17 employees their salaries, but I felt that there could be leakages.

So I sat there, in the semi-darkness, thinking about leakages in the system.

If an invoice was lost, money was out the window. If items weren’t included in the billing, money was out the window. If there were arithmetic mistakes, money was out the window.

If an employee was taking cash out of the register, money was out the window. If a staffer was stealing stock, money was out the window. I would www.americandrycleaner.com

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envision my business as a Rube Goldberg contraption from which money could be dripping out of any of a half-dozen points or more.

If you do not use a computerized system that provides complete control, be especially vigilant.

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A year after I sold my business (and was relieved of the constant worrying), a former supplier of mine declared bankruptcy. He told me his bookkeeper had bled him dry, stealing $4 million over 10 years. While I’d like to think I would have caught that one, I understand how unwarranted outflows occur and are often aren’t detected until it’s too late. All this was be-

fore the computer, but leakages are a fact of life in American businesses even now.

So watch out. Spot-check your staffers.

Without being obvious, observe the money transactions over the counter. When you hire a newcomer, review his/her math skills. If there is some deficiency, provide a remedial course to improve skills. Never, ever assume it is being done correctly. As the examples I’ve described show, there will be surprises.

If you do not use a computerized system that provides complete control, be especially vigilant. There is little control that the staffer is charging correctly, taking in the money accurately, and handing out the correct change. There is little control between staffers. There is little backup documentation to make a case against pilferage. At the end of the day, you

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IN D U S T R Y O BS E RV A T I O N S have some money in the till, a tape, and you pretty much assume accuracy.

But even if you have a fully computerized system that tells the staffer how much to give the customer, there could be mistakes. At the end of the day, if there is a $25 discrepancy between the computerized figure and the actual tally, most dry cleaners would ignore the discrepancy. This is a mistake. When you find a discrepancy, spend the time to figure out what went wrong and who did it and why. Certainly, $25 won’t break the bank, but by being vigilant, it shows your staffers that you are serious about wanting to preserve the integrity of the company’s cash flow. It shows that you won’t tolerate leakages.

One dry cleaner employs a “shopper

spy” to go to his six stores, where she makes transactions and files reports on the findings. On these visits, the mystery shopper deliberately tries to trip up the counter person by handing the staffer paper plus change, trying to make conversation, and questioning invoices.

Another dry cleaner employs cameras trained to go close up to the transaction.

From his office, the dry cleaner can beam in on the transaction and see that it was done right. He can check the counter staffer anytime he is in his office working on paperwork.

When you discover a mistake, don’t rush out while the customer is there. Rather, wait until the counter person is free to explain what you saw and let him/her give

(Image licensed by Ingram Publishing)

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You can’t tolerate theft in your business. But inattention, sloppiness, lack of focus, and carelessness are also unacceptable.

his/her side of the transaction. Maybe the staffer did hand the customer a $1 instead of a $5 as you perceived. If you can do a register spot-check, do so. The first check is not to scold the counter staffer but to show that you are watching, that you are paying attention to every transaction. But if this becomes habitual practice, then you must take action.

Of course, if you find a staffer who has pilfered register money, you have no option but to dismiss the person. Giving a second chance will not change human nature. Overlooking the theft because of the person’s other contributions shows

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your too-lax management style. Setting up stronger controls will only encourage the offending employee to be clever in his deceptions. Above all, remember that dishonesty is a lack of character, and it is hard to break that weakness.

You can’t tolerate theft in your business. But inattention, sloppiness, lack of focus, and carelessness are also unacceptable. Insist that your people handle each transaction accurately, and spot-check to make sure that they are doing so. It might be only $5 a day in mistakes, but that amounts to $1,500 a year you didn’t receive. That’s a serious leakage. O Howard Scott is a longtime industry writer and drycleaning consultant, and an H&R Block tax preparer specializing in small businesses. He welcomes questions and comments, and can be reached by writing Howard Scott, Dancing Hill, Pembroke, MA 02359, by calling 781-293-9027 or via e-mail at dancinghill@gmail.com.

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E DU C A T I O N & T R A I NING Avoiding Claims: What You Need to Know About Fabrics & Stain Removal. NCA course, to be held June 7 in Dallas. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Basic Spotting. NCA course, to be held June 22 in Bronx, N.Y. Call 212-967-3002 or e-mail ncaiclean@aol.com.

One-Day Stain Removal with Introduction to Bleaching. NCA course, to be held June 29 in Miami. Call 212-9673002 or e-mail ncaiclean@aol.com.

Avoiding Claims: What You Need to Know About Fabrics & Stain Removal. NCA course, to be held July 13 in Seattle. Call 212-967-3002 or e-mail ncaiclean@aol.com.

(Image licensed by Ingram Publishing)

DEC Certification. Two-day NCA course, to be held July 13 and July 20 in Nanuet, N.Y. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Introduction to Drycleaning. DLI course, to be held July 14-18 in Laurel, Md. Call 800-638-2627 or visit www. dlionline.org.

Wet Cleaning. NCA course, to be held July 20 in Ohio. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Advanced Drycleaning. DLI course, to be held July 21-Aug. 1 in Laurel, Md. Call 800-638-2627 or visit www.dlionline.org.

Finishing with Tensioning Equipment. NCA course, to be held July 27 in Secaucus, N.J. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Wet Cleaning. NCA course, to be held Aug. 3 in Tampa. Call 212-967-3002 or e-mail ncaiclean@aol.com.

Radical Drycleaning/Stain Removal.

NCA course, to be held Aug. 4-8 in Northvale, N.J. Call 212-967-3002 or e-mail ncaiclean@aol.com. O

Post your organization’s education and training course announcements (subject to approval) on www.AmericanDrycleaner.com in four easy steps: 1. On the home page, click “Calendar” 2. Click “Add an Event” 3. Type details into form (must be a registered user; site registration is free) 4. Click “Save”

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www.americandrycleaner.com

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Download Magazine Central and read American Drycleaner on your iPad or Android Tablet Step 1: Go to your App Store and type Magazine Central into search bar

Step 2: Click the

box to install the app (you won’t have to do this again)

Step 3: Open the Magazine Central App Step 4: Type American Drycleaner into the search bar

Step 5: Click Download Step 6: Click View Step 7: Read & enjoy!

The app stays on your tablet.

Check back monthly to download the latest issue.

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12/9/13 10:57 AM

PR O D U C T N E W S Caddy Corner A product for sorting hangers developed by Dura-Cast Products is now available as part of the company’s laundry and linens line of products.

The Dura Hanger Caddy was originally a hanger-sorting solution for a major theme park and resort, but Dura-Cast is now looking to expand distribution to any industry that works with hangers, including hotels and dry cleaners.

The hanger caddy was designed to contribute to safer work environments by preventing hanger tangling and protrusion, and other causes of snags and cuts.

Available configurations include storage for 500 to 2,000 hangers, and the company says it can customize the product for larger, more recognized chains. www.duracast.com | 800-683-4116

Under Control Continental Girbau has unveiled the new ProfitPlus™ vended control—now standard on all ExpressWash™, MG- and M-Series Washer-Extractors. The ProfitPlus Control is also available as an upgrade kit for older-model ExpressWash, MG- and M-Series Washers.

The ProfitPlus Control—which works seamlessly with card technology or coins—brings more washing options and cycle features to the customer, along with added programmability, the company says.

ProfitPlus offers primary cycle options for heavy soils; whites; colorfast and permanent press items; and colors. It also allows the customer to add an extra wash, rinse and/or delicate cycle.

It features graphic icons, accompanied by English and Spanish text, that clearly indicate operational instructions. Customers simply load washers, select the cycle, select extra optional cycles, add detergent and insert a card or coins.

It offers four individually modifiable programs that allow programmability of G-force extract, mechanical action, wash temperature (by degree), water levels and wash/rinse/extract time in each phase. The control’s flexibility allows multi-level vend pricing on the same machine depending on the wash program selected, time of day, or day of the week. www.continentalgirbau.com | 800-256-1073 50

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Looking for Companionship?

Hamilton Engineering believes its EVO Companion water heaters offer the ideal water-heating solution for any laundry.

The compact water heaters require a minimal footprint, the company says, and are ultra-efficient, at more than 99%. There is no flow restriction, and the heaters will not limit the hot water supplied as tankless water heaters do, according to Hamilton Engineering.

The EVO water heaters feature a 10-year warranty that includes the heat exchanger and tank.

If a business is in an area of poor water quality, and suffers from scale build-up, the Indirect Companion may be the ideal solution, the company says, because the machine heats scale-forming water without the risk of developing scale build-up and the loss of efficiency that comes with it. www.hamiltonengineering.com | 800-968-5530

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YO U R M O N E Y

The Beauty of Dividends

F

or many stock market investors, the rise and fall of stock prices is their primary concern—a narrow viewpoint that overlooks the all-important overall performance. In order to determine the true yield of an equity investment, the effects of dividends must be included, and this is where many investors miss the boat.

Dividends are an extremely important part of equity investing; they can make the difference between merely doing well and building true wealth. When analyzing investment returns on equities, one oft-overlooked factor is the amount of overall performance attributable to dividends. According to registered Bill Lynott investment advisers Ibbotson Associates, more than 40% of the stock market’s total return of an annualized 9.9% since 1926 is attributable to dividends. Remove dividends, and the return falls to 5.5%. In 2013, dividends paid by companies included in the S&P 500 index increased returns by more than 19%.

Obviously, the extra returns generated by high-dividend yields amounts to a lot of money over a period of time.

That’s why the beauty of dividends should be an important part of your approach to equity investment. A dividend yield is the percentage that a stock yields in dividends per year. You can calculate 52

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this yield by dividing the total dividend paid per year by the stock price. As stock prices fluctuate, so will the dividend yield.

WHAT ARE DIVIDENDS? When a publicly traded company earns a profit, it must decide what to do with that money. In general, it has three choices: 1. Reinvest the money in the company to promote growth.

2. Offer to buy back shares on the open market.

3. Share the profits with investors by declaring a dividend payable on a quarterly basis.

Often, the management of companies whose philosophy is based on rapid growth will decide to keep the money and use it to promote growth. Others prefer to share the profits with their investors by declaring a dividend.

DIVIDENDS INCREASE OVERALL STOCK RETURNS. It is these dividends that must be taken into consideration when considering stock investments. Of course, dividends alone, as with stock price alone, are only a part of a stock’s value as an investment. Before investing in any stock, it’s important to do your research.

Look for stocks that are fundamentally sound, generate positive cash flow and offer the possibility of higher prices and higher dividends in the future. www.americandrycleaner.com

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THE POWER OF DIVIDENDS. Shrewd dividend investors are well aware of the easy-to-overlook power of dividends: • Unfortunately, history has shown us that behind-the-scenes manipulations such as questionable accounting methods can be used to falsely increase the market price of a stock, but a dividend can’t be faked. Dividends are real money, and a company cannot pay out money that it doesn’t have.

• Dividends offer some protection in a down market. When stock prices are falling, dividend-paying stocks become more attractive. As a stock price falls, the dividend yield effectively increases.

This can result in a sort of floor in the stock price, which in turn can help to avoid panic selling and the resulting capital losses.

• Dividends suggest a friendly attitude on the part of company executives toward shareholders. Once a company develops a record of regular dividend payments, management will be reluctant to cut or eliminate it.

• Dividends are often a signal into how company management expects the future of the company to look like.

Of course, building a portfolio solely around the highest-yield stocks would be a poor investment strategy. Not all high-yielding stocks make good investments. That’s why it’s so important to examine the fundamentals of each company before you make a decision to buy or sell a stock.

The most important factors in evaluating a company’s potential are: • Its long-term growth and financial prospects.

• • Apparent ability to increase its dividend www.americandrycleaner.com

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(Photo: © iStockphoto/Gunnar Pippel )

payments over time.

• Management’s relationships with investors.

Unusually high yields are usually the result of a perception on the part of investors of unusually high risk. A 7% yield would be of no value if the price of the stock drops by 20%. What matters is the change in price plus dividends received, not the dividend alone.

Dividend investing is a strategy for investors, not traders. Long-term dividend investing can be an excellent choice if you are a conservative investor looking for excellent growth over the long term. While it doesn’t necessarily provide the instant excitement of short-term investing and day trading, it does provide for a more stable investment strategy.

When it comes to long-term investing, Warren Buffett is arguably its most successful proponent. When asked how long he expects to hold a stock once he has bought it, Buffett replied: “Forever.” O

Information in this article is provided for educational and reference purposes only. It is not intended to provide specific advice or individual recommendations. Consult an accountant or tax adviser for advice regarding your particular situation.

Bill Lynott is a freelance writer whose work appears in leading trade publications and newspapers, as well as consumer magazines including Reader’s Digest and Family Circle. Visit his website at www. blynott.com or e-mail blynott@comcast.net.

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AR O U N D T H E IN DU S T RY In Memoriam

Albert “Al” Jordan, Fabritec International Albert “Al” Jordan, founder of Fabritec International, died May 5 in Naples, Fla., reports his son, John, president of the company.

After serving in the U.S. Navy in World War II and returning to earn his bachelor’s degree from M iami U n iv er s ity , Jordan was hired as Sanitone junior engineer in 1951. (Emery Al Jordan Industries was the parent company of Sanitone, located in Cincinnati.) He was given territories servicing dry cleaners in Tennessee and later Chicago. He earned the position of sales promotion manager in the “heyday” of Sanitone National Advertising, later becoming general manager of the division and, finally, vice president of the Drycleaning Products Division.

As business turned down sharply in the 1970s, Jordan guided his division through difficult times to be spun off as Fabritec International. He bought the company in 1980 and constructed a brand-new headquarters and laboratory research facility to keep Sanitone innovative and unique.

“Al loved his industry friends and some competition,” son John recalls.

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“He enjoyed the trade shows and seminars, especially the New England Sanitone meeting. He was proud of his Japanese friends at the Hakuyosha Co. Always a great storyteller, Al had anecdotes and motivational talks for his employees, especially the new hires.

Stemming from his love of football and coaching, he always had words of encouragement for customers, and was a mentor for younger generations.”

John Jordan called his father “the leader in defending our industry and promoting the value of dry cleaning and ‘protecting your wardrobe investment.’”

Al Jordan is survived by his wife of 38 years, Marcia; three children, Carolyn, Deborah and John, and their spouses; six grandchildren; and two great-grandchildren. The family planned a private service.

An obituary published in The Cincinnati Enquirer indicates memorials may be made to the Salvation Army, 114 East Central Parkway, Cincinnati, OH 45202, or to the Wounded Warrior Project, P.O. Box 758517, Topeka, KS 66675.

FRSTeam recognizes top performers at annual awards gala FRSTeam recently named its 2013 top performers at its Recognition Awards Gala, presenting the Licensee Leader www.americandrycleaner.com

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The President’s Award to Tom and SanAward honors lidy Ustanik of FRSTeam censees who exemby Lansing Cleaners, plify passion for, Lansing, Ill.; and the and support of, the President’s Award to company’s brand and Ron Patrie of FRSTeam ideals, according to of North and Central FRSTeam.

Georgia, the company “I’m honored to reports. accept the PresiThe Licensee Leader dent’s Award,” Award recognizes “allsays Patrie. “It bearound excellence and longs to everyone at performance” among FRSTeam by Lansing Cleaners ownFRSTeam of North FRSTeam licensees, the ers Tom and Sandy Ustanik won the Licensee Leader and Top and Central Georgia. company says, select- franchisor’s Sales Leader awards for 2013.

What our team does ing the Ustaniks and FRSTeam by Lansing Cleaners for the best is love customers. FRSTeam’s value system and our success come from putting award for its “exceptional service record.”

A member of the FRSTeam system that into action every day.”

Other 2013 top performers recognized since 2006, FRSTeam by Lansing Cleaners also received the Top Sales Leader distinc- at FRSTeam’s awards gala include: • Top Jobs Growth Award – FRSTeam tion for “having the highest sales volume”

by Westbank Dry Cleaning, Austin, in 2013, the company adds.

Texas “We take great pride in providing the • Top Jobs Leader – FRSTeam by Cushighest level of service to our customtom Commercial, Hayward, Calif. ers across all of our stores,” says Sandy • Sales Growth Award – FRSTeam by Ustanik. “It’s gratifying to be part of the Custom Commercial, Denver FRSTeam family and to be recognized • Top Sales Growth Percentage Award with this year’s top honor.”

– FRSTeam of Houston, Houston “We congratulate this year’s Licensee • Operations Superstar – Teddy Aspros Award recipient team for their outstandof FRSTeam of New England, ing demonstration of excellence in textile Stoughton, Mass. restoration, as well as their unwavering • Service Superstar – Christian Cook of commitment to FRSTeam core values,” FRSTeam by Paris Cleaners, Portage, says Jim Nicholas, president of FRSTeam.

Mich.

In selecting Patrie and FRSTeam of • Sales Superstar co-winners – Tyler North and Central Georgia for the PresiMartin of FRSTeam by Custom Comdent’s Award, the company praised the mercial, and Logan Blackburn of team’s “continued commitment to, and FRSTeam by Westbank Dry Cleaning practice of, the FRSTeam tenets of family, • FRSTaid Survey Superstars – integrity, responsibility, satisfaction and FRSTeam by DKS Dry Cleaning technology.” www.americandrycleaner.com

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Restoration, Parma, Ohio, and FRSTeam by Rogers Orlando, Orlando, Fla.

Generational Expert headlines CRDN International convention Nearly 300 attendees from the U.S., Canada and the U.K. convened recently for the Certified Restoration Drycleaning Network’s (CRDN) biennial International Convention at the Arizona Grand Resort & Spa in Phoenix, matching the organization’s record attendance, CRDN reports.

Educational sessions and social events filled the three-day convention, featuring “generational expert” Cam Marston, president of Generational Insights, who spoke on the impact that the baby boomer generation has in today’s workforce.

“The baby boomers are now the parents of the youngest members of our workplace, born since 1980,” says Marston.

“The boomers changed parenting methods and added Amber Alerts, No Child Left Behind, and began spending ‘quality time’ with their children. Has this change impacted the way our workplaces function?

Yes, in so many ways.”

Wayne Wudyka, CRDN founder and CEO, says Marston’s presentation “strengthened” the educational materials showcased during the convention. “We were very pleased to host Cam as an integral part of our convention. He brought tremendous value and had a significant impact on how we view those inside our business, as well as our clients.”

A black tie awards gala capped the event, where the organization’s leading 56

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FRSTeam President Jim Nicholas (left) presents the President’s Award to FRSTeam of North and Central Georgia owner Ron Patrie (right) and sales representative Joshua Campbell.

franchisees and sales professionals were honored for their accomplishments in 2013, according to CRDN. “It’s personally rewarding to see the hard work of our dedicated members acknowledged in front of their peers,” says Wudyka. “Saluting the achievements of these premier dry cleaners and their teams is a fitting conclusion to a memorable and meaningful time together.”

Feelin’ Great earns $5,000 grand prize in DLI video contest Feelin’ Great (Dry Cleaning Song), featuring two well-dressed young men rapping, dancing, and extolling the benefits of having their clothes professionally cleaned by a member of the Drycleaning & Laundry Institute, was the $5,000 grand prizewinner in DLI’s recent video contest, the Institute reports.

In all, 23 entries were received from cleaning professionals, students, and memwww.americandrycleaner.com

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bers of the general public. Entries were capped at two minutes and could not promote a specific business; to qualify for the contest, each video had to log at least 100 views. DLI members voted on their favorite videos, and the Board of Directors selected the winner from finalists suggested by the membership vote.

Second place went to The Magical Dry Cleaners, and #FreshPress finished third, with each earning $100.

“This program improves the image of our member dry cleaners because it show us as a modern service that is an important part of people’s lives and a necessary component to leading a happy and successful life,” says contest creator Dave Beatty, owner of Murrysville (Pa.) Cleaners, and DLI’s District 2 director.

“The more cleaners who embrace these videos and put them on their websites, Facebook, Twitter, Pinterest, and e-mails, etc., the more successful the program will become,” Beatty says. “We have more than 20 videos so everyone can find something they like and share.”

At press time, the winning videos and other entries could be found at www.dli online.org/contest.

A screen capture from The Magical Dry Cleaners, which finished second in DLI’s video contest promoting dry cleaning. www.americandrycleaner.com

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Cleaner’s Supply taps NetSuite for e-commerce support Cleaner’s Supply, a distributor of drycleaning supplies, has selected NetSuite SuiteCommerce to “manage and streamline its core business processes and operations across multiple channels, including a call center of 46 sales representatives as well as B2B and B2C e-commerce sites,” NetSuite reports.

The e-commerce sites include www. cleanersupply.com, which sells drycleaning supplies, and www.wawak.com, which sells tailoring and sewing supplies.

Cleaner’s Supply also plans to rely on NetSuite for sales force automation, customer support, customer service and marketing automation, NetSuite says. The Conklin, N.Y.-based company realized that its old commerce system couldn’t support its business growth.

“NetSuite is unique in offering integrated e-commerce and CRM that can give us new insights into customer interactions over our websites and call center for better service, targeting and promotions,” says Joseph Dunne, president of Cleaner’s Supply. “We’ll be able to tie our call center sales reps into e-commerce, and rather than having content and pictures in multiple places, be it the back end, catalog or the website, we want the website to be our single repository. Additionally, our agents can experience what our web customers are every minute of every day, telling us how we can improve that overall customer experience.”

Mobile support was a primary driver in the decision to select NetSuite, he says. O American Drycleaner, June 2014

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CONTACT classifieds@ americantrademagazines.com TO PLACE YOUR AD

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EQUIPMENT FOR SALE

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& Restoration 1

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www.americandrycleaner.com

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American Drycleaner and AmericanDrycleaner.com

A WINNING TEAM

Print

Web

E-News

American Drycleaner

AmericanDrycleaner.com

is the industry’s premier publication for news relating to drycleaning plants. In it, you’ll find profiles of successful businesses and their owners, tips for running your operation more successfully, expert advice, and much more.

is your one-click site for all of the most up-to-date information on the industry today. Stories are updated daily to ensure you’re always informed.

Plus, online tools such as the Distributors Directory and Buyer’s Guide will fulfill all of your plant’s needs.

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Advertiser

Page No.

Advertiser

Page No.

A.L. Wilson Chemical Co. . . . . . . . . . . . . . . . 1

Firbimatic. . . . . . . . . . . . . . . . . . . . . . . . . . . . 27

Ally Equipment Co. . . . . . . . . . . . . . . . . . . . 47

Global Business Systems . . . . . . . . . . . . . . . . 43

Aqua Products . . . . . . . . . . . . . . . . . . . . . . . . 37

Iowa Techniques . . . . . . . . . . . . . . . . . . . . . . . 5

Arrow Leathercare Services . . . . . . . . . . . . . 60

Irving Weber Associates . . . . . . . . . . . . . . . . 17

bizzie . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33

Luetzow Industries. . . . . . . . . . . . . . . . . . . . . 60

Cleaner Business Systems . . . . . . . . . . . . . . . . 3

Maineline Computer Systems . . . . . . . . . . .IFC

Cleaner’s Supply . . . . . . . . . . . . . . . . . . . . . . 60

Mustang Enterprises. . . . . . . . . . . . . . . . . . . . 39

Columbia/ILSA . . . . . . . . . . . . . . . . . . . . . . BC

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Computer Connections. . . . . . . . . . . . . . . . . . 24

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Consorzio Renzacci . . . . . . . . . . . . . . . . . 19, 51

Rennco . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 59

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Royal Basket Trucks . . . . . . . . . . . . . . . . . . . 45

EZ Products . . . . . . . . . . . . . . . . . . . . . . . . . . 23

Scan Q . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15

Fabricare Management Systems . . . . . . . . . . . 9

SPOT Business Systems . . . . . . . . . . . . . . . . . 7

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Suit-and-Tie...

Continued from page 64

ads could be successful for another. …

Various companies are capitalizing on the warmer summer weather, as two are on the move with new locations and expansions.

Ideal Chemical & Supply Co. has opened a branch in Baton Rouge, La., to better serve laundry and textile customers in the area, while R.S. Resource is expanding its facilities in Los Angeles. The additional space will be used to increase equipment and parts inventory, and feature a fully operational laundry and drycleaning plant.

50 YEARS AGO. Ken Faulkner of Faulkner’s Cleaning, Melrose, Mass., has taken his drycleaning services outside the confines of his plant and into customers’ homes, recently making separate trips to help two brides-to-be clean their wedding dresses.

One bride had her gown damaged by a greasy iron, while the other’s was met with a spilled bottle of ink. Faulkner worked to make the gowns presentable just in time for the wedding. … Dry cleaners claiming they deal with heavily soiled garments have nothing on what cleaners near the Appalachian coal fields encounter, as many in the area have to run items through one cycle before they can even classify it as a “light” or “dark” garment. While this may seem like a bit of an exaggeration, salesman Ed Martin acknowledges that soil problems in the area are “more aggravated” than elsewhere. … The SlaterWhite plant in San Antonio, Texas, had a presidential duty to uphold, recently pressing President Lyndon B. Johnson’s monogrammed shirts. The shirts were pressed using Ajax presses recently installed at www.americandrycleaner.com

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the plant. Slater-White Supervisor Tom Stuebben says that the President’s shirts were given no special touch-ups and were finished on the same equipment and in the same way all customers’ garments are processed.

75 YEARS AGO. The saying goes that invention is the mother of necessity, and while he may not have invented the common stapling machine, Oscar Churchwell of Yakima Steam Laundry, Yakima, Wash., has a found a new way to use the device in his plant. “To mark pleats on articles requiring wet cleaning, I staple each pleat at the hemline. After drying, all that is necessary is steaming and stretching,” he says, and, of course, to remove the staples and set the marked pleats. … Cleaners processing slacks this summer should take a closer look, as more and more slacks are expected to have zippered flies. Jammed and broken zippers in the cleaning process mean only one thing—the loss of a customer. Before washing, make sure to zip up all zippers, and make note of any broken zippers that come into the shop to avoid facing a claim. Open and close zippers using only the pull-tab, never by pulling the sides apart. Another best practice—do not press the slider, and avoid applying too much pressure, as doing so will leave a shiny line at the left side of the fly. … Enrollment is up at the National Association and Institute of Dry Cleaners, as its 44th class, numbering 25 students, has become the largest since 1930. Students came from all over the country, from California to Delaware, with one student coming in from Sweden. In age, the students range from 19 to 40 years old. O — Compiled by Carlo Calma American Drycleaner, June 2014

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W R I N K LE I N T I M E

Suit-and-Tie Tuesdays

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Maytag Commercial Laundry as its 2003 Marketing Excellence and Top Quota award recipient. “We are flattered to be honored by Maytag and hope it will lead to new partnership opportunities to grow our companies in 2004 and beyond,” says Kevin Fahey, Mac-Gray vice president of sales.

25 YEARS AGO. Attendees at this year’s Clean Show in Dallas may have spotted a futuristic-looking guest roaming the convention floor, as American Permac’s robot, Robot Max, made a special appearance. In addition to wowing guests at the trade show, William Hayday, Permac president, brought Max along with some of the Permac/Bowe team to visit the Children’s Medical Center Hospital in Dallas, bringing gifts to distribute among the children. … The concept of “less is more” rings true for American Drycleaner’s Carter Thurk. Among the reasons why advertising efforts fail for dry cleaners, he says, is that their message is spread over too many outlets. “Your message doesn’t have to be heard by everyone in your market, only those who are really potential customers for your service,” he says, adding that a direct mail campaign, interspersed with radio commercials between mailings, could yield good results for one cleaner, while weekly newspaper 63 ▲

10 YEARS AGO. After 30 years at its present location in Silver Springs, Md., the International Fabricare Institute (IFI) is on the move, as the organization has made plans to relocate its offices to a new facility in Laurel, Md. IFI CEO Bill Fisher says members will be “excited” to see the group’s new base of operations, which he says will include the “most advanced drycleaning training facility in the world.” Set to take place over the summer, Fisher adds that the process will be a “smooth transition,” and that IFI’s services will be fully active during the move. … Jeans and a comfortable sweater have become go-to options for many on “casual Fridays,” but Jerry Keene, president June 2004 of Band Box Cleaners & Laundry, hopes to buck the trend by establishing “Dress-Up Tuesday” in Tomah, Wis. To promote the event, Keene placed a newspaper ad featuring himself and a 50% off coupon at any of the company’s four locations.

“I hope it sends a wake-up call to corporate America,” he says. …The beginning of the summer is sunny and bright for Mac-Gray Corp., as the company was recently honored by

www.americandrycleaner.com

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4 REASONS TO CHOOSE PARKER BOILER

BETTER ENGINEERED

1

3

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Since 1919 Parker boilers have been engineered for more efficient operation (whether gas, oil, or combination gas/oil fired) for delivery of hot, dry steam in less than 10 minutes. And Parker boilers have a longer service life for a greater return on your investment.

2

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Parker boilers are designed for ease of routine maintenance, annual inspections, and on site repairs, so there is less down time, more reliability.

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Steam Boilers

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4 Better Value All of Parker’s superior quality boilers are available at competitive prices and have been distributed through our regional representatives for over 60 years.

Indirect Water Heaters

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Steam Boiler Accessories

Feed Systems, Blow Off Tanks, Water Softeners & Chemical Feeders Parker boilers are UL or ETL listed and ASME and NB registered. All our Low

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Parker Boiler Company • 5930 Bandini Boulevard, Los Angeles CA 90040 Phone (323) 727-9800 • Fax (323) 722-2848 • www.parkerboiler.com For more data circle 65 on Fact Finder Card

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American Drycleaner_Aug13:Layout 1 8/13/13 9:35 AM Page 1

The Ev luti n Hydrocarbon

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231 Edison Ave • West Babylon, NY 11704

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FM

Approved

8/13/13 9:24 AM