Exotic hardwoods offer high profits

FIETURN on investment or inrI creased profits per foot of space utilized are concepts which attract a great deal of attention whenever dealers meet to discuss the state of today's business.

Yet, one subject seldom mentioned is the high profits which can be made with a minimal amount of space devoted to exotic hardwoods. In most instances, it only requires creating an attractive visual display area for various species and informing customers about the availability of the woods. While you may not sell large quantities, exotic hardwoods are a quality product which can command high prices because they are unique. Regardless of how distressed the economy, there are always prospective buyers who have money to spend on products which are considered exclusive.

In certain parts of the country, for example, homes in the million dollar plus category are finding a good

Story at a Glance

High return on investment market strong inspite of economy . wholesalers provide support.. abundant possibil. ities.

market, and these are the types of structures for which exotic hardwoods are a natural. Many of the commercial projects now under construction can also warrant the cost of exotic hardwoods for paneling, special furniture, entrance ways, accent areas and exterior siding. While most dealers do not solicit business from producers of end products, oftentimes these manufacturers would prefer to work with a local source rather than some distant supplier. This is also true of industrial users such as railroads, mining companies, steel mills and foundries. Local schools with woodworking classes are another source for sales.

To take advantage of this opportunity for additional business, it does require the dealer to devote a certain amount of time to analyzing exotic hardwoods available, their characteristics and applications. It is usually best to appoint one individual in the organization to become the resident "expert." For example, a wood such as teak has a wide variety of uses for furniture, boats, mouldings and paneling. Apitong, a heavy, dense wood, is used for pilings, mine shaft supports, truck floors and similar applications.

But, this is just scratching the surface. There are hundreds ofdifferent hardwoods with different uses and having someone know just a few can generate business which may be right in your own back yard. Since you will normally realize a 50s/o profit on the sale of these woods, it certainly seems worthwhile to investigate the possibilities.

The big question to most dealers is how to accomplish this? Fortunately, you do not have to spend years getting an education. Several large hardwood wholesalers located in various parts of the country are more than willing to help you get started and provide the technical assistance to answer virtually any question. They will also supply literature for use with your customers, advertising materials, display samples and will back you up with inventory when you get an order. Several make their sales people available for seminars and calls on customers who require special attention.

One dealer, who has had notable success, displays a large map of the world which calls out where various species are harvested and shows samples of how these woods look in

Special lssue: Hardwood

finished form. By becoming a specialist, he has gained the confidence of customers, and they solicit information on other high-end products which he can supply. While this information did involve searching out the sources of supply and learning some pretty unusual names, the enthusiastic reception from customers has made the effort worthwhile. Since exotic hardwoods arc sold on special order, the only investment besides time has been the map, a small amount of counter area for literature and samples and a brief mention in local newspaper advertising.

At a time when everyone seems to be scratching his head to find ways of improving business, perhaps a phone call or two will open up a whole new range of exotic possibilities for you.