How Retailers Survive
The reason: Because you cannot count on tomorrow making up for today. That’s a kind of psychology we’ve employed. Another psychology we’ve employed is that we have a lower tolerance for poor performance. At this critical point, our company needs to be very focused on success, and what produces money for the company. Overall, the company’s tolerance for non-performance has definitely been affected and we have to make hard decisions quicker.
We have limited what we would call some experimental marketing tactics, or experiments we do in the marketplace. For example, maybe some sponsorships, such as including a new charity this year that we might have normally included, or we might cut out one of the media we may have been experimenting with in print or billboards. We’re staying to our tried-and-true, which has been our existing media base. There has been no curtailing of existing or what we’d call our backbone media purchases.
Manlove: Inventory management is critical right now. We’re looking at our open buy on a daily basis now. We’ve never looked at it on a micro level like that before. We’re making sure our inventory position is sound, and we are adjusting inventory budgets on a daily basis, based on current business trending.