OTM DALLAS

Let me start by saying that I have really good Disty, that I'm happy with. Now on to the complaint; My Dist. ownes some tanning salons, they do not compete with me yet, but it does bother me and here are just a few reasons why:
1. If I plan to move into those markets they are there and I don't want to compete with my dist.
2. Most dist. have a hard time with the mere mention of you goining direct to the manufactuer.

I don't know if this should bother me or not, but it does; I have even offered to buy one of the tanning salons, when it probably would have been a bad decision. Just looking for a liitle feed back.

TanningEmporium

Yes it should find a new one.

tanu01

OTM, I'm a disty and own 4 salons. After 15 years I could have had lots lots more, But I choose not to go into an area where there is a salon doing well and keeping their units cared for and updated.
I cant say that others feel the same way,But I wish they would. I know of one disty that took over so many markets that they finally got rid of there disty contracts.
There is now a salon owner about to pay them back. I think its great.
As far a salon moving into an area controlled by a disty,I fine that really foolish. I only have like a 60min area,Do you think I would not defend it?

There are good area's around yet with no full time salons yet. Why would anyone go into an area where it will be a constant fight??

Dont get me wrong,I'm sure there are some that only care for the $$$$$$$
Bob

tanu01

And I might add,My very first dist. customer is only 30 min from me and has been a customer of mine for over 14 years.
She knows that I respect her area.
Bob

OTM DALLAS

Thanks for the input Tanu01, Going head to head with a legit disty is probably not a smart idea, they of course have more capitol, and better pricing, but if you wanting to grow and they are in the markets you want to go into, what do you do? My first solution I thought was a good idea, but they did not want to sell that store and it's not that great of a store, and it has horrible numbers. I don't know what area you are in but there is enough population to build stores around them. Here are some of the scenarios 65k with in 3 miles 1 location, 125k with in 3 miles of the other; worst problem with those areas, is best problem to have, too much traffic. I would just think that if I were a larger disty with an exclusivity on equipment and was trying to compete with the largest distys, that I would focus on my dist. and do everything to not cause any conflict with a salon owner anywhere.

hockey92

Its too bad that others do not feel that way tanu.... I agree it comes down to respect.. Respect for yourself and others in this business...Cut throating may be a quick fix, but once you have stabbed everyone in the back, who do you think will want to do any kind of business with you...Respect is something you earn, not something you can buy or scare into someone...

tanu01

I may be wrong,but now with the sell out at 4 seasons,I dont think there are any really large disty's with salons.
If so their really keeping it quiet.
In my case its a trade off. I extend line of credits to my wholesale clients at the same time mine are all coming due.
My salons bale me and my clients out persay.
Bob

OTM DALLAS

Tanu, What is the name of your disty? I went to your web site and it is your stores do you have another for your dist.? If you had a client that you knew was wanting to grow, did a good job of keeping up on equipment, and all the other things it takes to be a successful tanning salon wanted in one of your markets, would you sell that store to them? Keep in mind you've been losing money on that store.

I think maybe smaller than you any disty doing $5mill+ a year I would consider larger.

tanu01

It wouldnt matter to me, I have beaten my clients til blue in the face about growing,its the only way to protect your area.
Now if someone wanted to buy my first store,that would be rough, The customers at that store are family in a sence,been with me since I started.
You a person could go on forever on this topic, 1 of the trade mags stated at one time you could put a salon every 15 min. And they all would survive.
5M not that much smaller, I just dont throw myself out there.