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Unfortunately, the tabletop category is often an afterthought for specialty gourmet retailers who focus on providing the best in kitchen tools, equipment, and accessories for their customers. All too frequently, tabletop departments become a hodgepodge of elements that meet a few scattered desires, but don't completely fill your customers' tables.

Renew your tabletop department by establishing your goals for the category and illustrating to your customers exactly what services you aim to provide.

Tabletop Identity

What should comprise a tabletop department? Is it everything that graces a table? Where do you begin? How deep should you stock? And even more to the point, how broad should you extend each line?

Inventory is obviously limited to square footage, but not always. With virtual stores a booming reality these days, you can extend your tabletop offerings to cyberspace by providing special-order service on particular pieces you don't stock. While this type of service can work well, it also has disadvantages for customers who desire instant gratification.

Terry Monroe, partner in Stillwater, Okla.-based Murphy's Department Store explained, "Our approach is unusual in that we show over 500 china patterns in a town of less than 40,000 population. The fact that we sell a fair amount of china on the Internet allows us to stock a wider selection of things and more price points than if we just sold to our in-store customers."

Monroe continued, "We are what used to be called a 'stocking dealer,' which means that we intend to have some stock of the popular patterns that customers can actually buy and walk away with. Many smaller stores have pretty much just put samples out and then they order what the customer wants. Showing and not stocking is less risky, but it also loses sales, as a certain percentage of people need to see before they buy, and want the item at the time of purchase, not weeks later."

The trick to establishing the right mix is to buy deep enough or wide enough so that a customer can call you at four o'clock in the afternoon for eight place settings of your best-selling dinnerware lines and you're able to step up to the plate and meet their needs.

Willard Doxey, buyer for Charlotte, N.C.-based specialty gourmet store A Southern Season, suggests selecting one or two vendors to start, and developing a good relationship with them. Be sure the companies you select have a wide range of styles from which to choose.

"Show a broad range of patterns and stock them shallow. Most major purchasers or brides are fine with having to wait for a special order. Also committing to the inventory after the bride has registered is almost a guaranteed sale," Doxey continued. "Pay close attention to what works and which vendors are the most helpful and soon you will have great confidence in buying and committing to inventory levels that will turn."

Casual mix-and-match selections sold open stock are particularly successful for smaller specialty retailers dedicated to completing the gourmet-entertainment story for their customers. And while you can't provide all tabletop to all consumers, you may want to select specialized service items for customers who are planning those last-minute dinner parties.

Big splashes of style are delivered by small accessories. Butter dishes, creamer-and-sugar sets, punch ladles, and candleholders are a small example of tabletop accessories that customers can use to reinvent their tables. Colorful dessert plate sets, candles, and even dinner-party invitation kits are more examples of items that can make your tabletop department stand out from the competition.

A Tough Nut

Tabletop can be a category that is as fragile as its product. If you haven't yet established a tabletop department, truly understanding what type of service you want to provide by stocking these items is essential. If you already have a department that might be in need of some direction, carefully canvass the items you're stocking and how you're currently telling the tabletop story in your store.

Our experts recommend you first assess your store to determine your look, your personality, and your draw. Then build a tabletop department that reinforces why your customers come to your store. If you own or manage a gourmet store, consider stocking dinnerware lines that offer great accessories and oven-to-table pieces. If you operate a specialty food store, address the entertainment lifestyle with great serving platters and serving utensils.

Also, be sure to shop at competitors' stores to ascertain what they are not doing that you can do well. Find your market niche. If dinnerware place settings are covered entirely by competitors, perhaps you can create a market niche by selling the most fascinating accessories, gifty tabletop products, or stainless steel flatware.

Manager Tracee Clepper and her team at Carlisle, Penn.-based The Kitchen Shoppe make an annual trek in which they visit stores within a 50-mile radius of their location to detect what the competition is and isn't doing.

"Our success today comes from years of experience," she explained. "We still take road trips to see what other stores in the area are doing. We want to be sure we don't lose out on what's hot at the moment, and in many cases, we're able to see what doesn't work."

That's not to say Clepper doesn't try things that don't work. Indeed, the tabletop category is one of those areas where The Kitchen Shoppe has struggled to find its place.

"We reviewed this category about a year ago and decided to show more lines instead of having people go through catalogs to order. We extended our collection by dedicating an area on the wall 20 feet by 10 feet to show place settings. It's a really beautiful section without really going into expensive sets. We had featured Royal Worcester, Spode, Villeroy & Boch, and a few Rosenthal patterns," Clepper explained. "We gave it a really good go, but found that it wasn't working, so we sold off all the place settings and selected a few established lines that worked well."

What worked for The Kitchen Shoppe was well-established patterns, such as Portmeirion's Botanic Garden and Denby Pottery. In addition, select patterns of Villeroy & Boch found their own niche in the store, complemented by Lindt-Stymeist solid designs.

"We stock the full range of Botanic Garden from place settings through tureens through canisters. We carry far more than a department store and are established as a Portmeirion representative. Our customers know us for that," Clepper noted. "What we're also looking for with these companies is consistency. Our customers have enough trouble making up their minds about a pattern. Once they decide to make the investment, they need to know they can continue to find pieces in that collection."

Terry Monroe knows the business' fragility all too well. His independent department store has reinvented its tabletop department with the help of the Internet, saving both space on the store floor and the storage room.

"You have to be very sure that you really want to be in that business, because as opposed to gift or decorative accessories or even housewares, it is a really difficult business to do in a profitable way. Even the largest tabletop retailers have a tough time making the china department pay off and many are not getting sales increases in this area. So it is difficult for us smaller retailers to enter this market with enough volume to make the tabletop department work," Monroe explained. "In our store, we have replaced generally weaker in-store china department sales with Internet china sales, which have continued to increase. Depending on the month, our Internet china sales sometimes generate more china sales than we do in the retail store."

Dianna Burke, owner of gourmet kitchenware store Someone's in the Kitchen in Libertyville, Ill., just began developing her tabletop department. Her first foray began with linens to which she's dedicated considerable time, space, and money. This past year, she began investing in tableware, focusing first on accessory items.

"I am just starting out with adding tabletop to my inventory. We are experimenting with serving pieces first. Over the Christmas holiday, I brought in some beautiful trays, plates, bowls, and candlesticks by artist Gail Pittman," she explained. "These items were a little more expensive, but they were signed and individually made. I think that individual quality is important for a specialty store like mine. I am continuing with serving pieces and am looking into starting with some table settings. If my investment can be minimal and I am able to display what can be special ordered, then I will be on my way to building a successful tabletop department."

Know Your Customers

To determine your inventory mix, you've got to evaluate both your existing customer base and your community. Knowing your customer demographics is essential in identifying the styles of tabletop you should stock. Your customers determine whether your inventory should center on high-quality casual settings, specialty artisan concepts, or high-end formal dinnerware. Burke began experimenting with high-quality artisan products since they fit the vision her customers have of her store and its products.

Monroe said, "We must continually check to be sure that the stock is fresh, and we also have a lot of pressure to get rid of things that aren't selling well. Some shop owners have trouble closing out something at $9.99 that they paid maybe $50.00 a place setting for, but we have to do that all the time as things get older and don't generate interest."

Balancing trendy items with customer demands is another trick needed for success in this fashion-oriented category. Doxey recommends that buyers pay attention to color but experiment with less expensive accessories.

"Salad/dessert plates, linens, or serving pieces that add that seasonal or trend color mixed with a neutral, plain dinnerware are a safe way to expand the look and still not break the bank," Doxey said.

"We do delve into some of the trends, but only as an accessory," Clepper explained. "We'll bring in new placemats and trivets, but we won't follow short-term trends in place settings. We do have to pay attention though because much of our clientele is accessorizing a second home by the shore or in the mountains. So while we may not associate palm trees or monkeys with central Pennsylvania, our customers still may want to see those trendy designs. So our philosophy is to buy those items to complement the department, not define it."

Burke uses trend reports and fashion magazines to help select her seasonal colors. She explained, "When I chose colors for this spring, I researched what the 'hot' color would be for this year. I did this by reading my Gourmet Retailer, attending the shows, following the housewares news, and perusing a variety of other publications, such as food and decorating magazines."

Inside Influences

Other important factors you should consider when reviewing your existing or potential tabletop departments are pricing, margins, and vendor relations. Our buyers agreed these are the significant factors that can make or break the department.

Retailers are more than familiar with terms like: "Lowest Suggested Selling Price," or "Retail Pricing," or "Minimum Advertised Price." These terms mean for many patterns there exists a price below which you can't sell the china and remain an authorized dealer. The lowest-cost operators are going to sell at this "lowest suggested selling price."

"To generate volume, all except the most exclusive stores are going to be selling at or close to this price to remain competitive. The lowest price in many cases yields about a 40-percent markup, if the freight is not too high. We are in a low-cost environment, so we can do this in the store and on the Internet. However, I would guess that many small retailers can't make it on a 35- to 40-percent markup, and some would prefer not to. If the markup is low, the volume has to be fairly good," Monroe explained.

The third factor influencing a tabletop department's success is vendor relationships. Doxey, Monroe, and Clepper all stressed the importance of working with salespeople that you not only trust, but also with ones with which you have established long-term relationships.

"Trust is not hard to build, but it takes some time, and actions must be consistent with what is said on both sides. If I could pick out one reason we have done well in the china area, it would be the relationship we enjoy with the great people we work with at each company. I would not say this about either our housewares department, where we do alright, sometimes in spite of the sales efforts of suppliers, or the gift department, where there is a great deal of turnover and we are not a major part of most suppliers' business," Monroe said. "At this point, when retailing is pretty rough, a lot of our success is due to the fact that we have strong, established relationships with our suppliers. They are always thinking of things from our point of view, and they can be sure that we understand their interests and positions."

Monroe continued, "In china, the compositions of the sets are complicated, customer service and special orders are complex, and you have to have an excellent relationship with the vendors to accomplish things. The nature of the business is that things are going to be tense at times, but the relationship must be there to carry through the understanding that whatever happens, we will be working through things together."

Table Dressings

A magnificent table begins with the linens. So those are what Burke chose to begin dressing her tabletop department.

"I started with linens. I met with one of my reps, Diane Baker, who first introduced me to some nice hand-painted towels. I then decided to add table linens, starting with a beautifully made, expensive one from Karen Lee Ballard and a more affordable line from Pomegrante. I also carry kitchen textiles and table lines from Tag, which range from casual to slightly formal," Burke continued. "Another line that does wonderfully is Pimpernel. They have beautiful cork-backed and wipeable placemats. They also make trays and coasters. This line does extremely well for us and is a great entertaining vehicle as well."

Murphy's supports its tabletop lines with accessories, from housewares and serveware items that coordinate to placemats and tablecloths.

"Placemats and napkins can be tricky. In my opinion, many stores carry too many placemats with designs and too few solids. If the china or stoneware has a pattern, people are going to be most successful with solid placemats," Monroe explained. "Also, although customers may not be thinking practically when they select placemats, napkins, and tablecloths, retailers should be. We need to watch how these products will look after being cleaned or laundered. Customers are not going to be happy if they try to wash their new placemats a month later and they pucker up or fade. Also, with some suppliers, you need to be careful about dye lots."

Clepper carries a basic assortment of linens, dedicating as much space as possible to U.S. manufacturers. Everything that goes into setting the table complements each other at The Kitchen Shoppe, a concept well planned by Clepper.

"Once we determined the patterns we would be stocking, we went to our linen suppliers and searched for items that cross-merchandised well," she explained. "We have a selection of tablecloths in a casual woven line and a nice imported line of finer tablecloths with matching napkins. We've cut way back on napkins because we discovered our customers are just as happy with beautiful, high-quality paper napkins to coordinate with their settings."

Clepper augments the limited in-stock linen selection with special orders. Customers can choose designs from a selection of swatches available at The Kitchen Shoppe, purchasing tablecloths, runners, and accessories that suit their individual needs.

"We sell many unique items and that's what we pay attention to — butter dishes, egg plates, and mugs. We have a narrow assortment of glassware and flatware. It's been hard to find a consistent design. In flatware, we do well with WMF's open-stock CombiNation line. They have unique items like egg spoons, long cocktail spoons, and pasta spoons. We also do well with boxed sets from WMF and J.A. Henckels."

Merchandising Sells

When you've determined the lines and styles you want to carry, be sure to buy wide enough and deep enough to make great displays. If you buy dinnerware, consider some accessory lines that will build colorful, eye-catching, lifestyle-rich displays. What the customers see is what they'll buy.

Merchandising differs greatly from that of years past. Today's trends are all about lifestyle, so be sure to cross-merchandise tabletop with other categories in your store's displays.

"In merchandising, we devote quite a bit of space to the china department as you would expect with 500 china patterns. We show china, crystal, and flatware together in displays. We also show accent plates and more pieces where the shapes are particularly interesting," Monroe explained. "We normally feature two or three display tables with seasonally popular patterns, and we show bridal selections on glass display shelves along with a card."

Since at 850-square-foot Someone's In The Kitchen space is a rare commodity, how products and categories are merchandised is critical. Burke dedicates a large portion at the store's front to the linen department with two racks (one with angled shelving for placemats) and a wooden double ladder for hanging runners, table squares, and designs.

Burke explained, "We also have the linens displayed throughout the store with other hard goods. I do have to devote the majority of my space to the quick return-on-investment lines and since linens fell into the top of my sales this past year, I am devoting more space to them."

Today's customers are attracted to items for many different occasions and home settings that fit their personalities and décors, so balance your displays and inventory with transitions between the traditional and modern. Glass and crystal also are critical components and again you must balance the trend toward both formal/traditional and casual/modern designs in your assortment. The trend to clear stems and barware is a great crossover to both formal and casual table settings. Also, in this time of strong demand for wine tasting and wine presentation, clear stemware with barware accessories like decanters, carafes, and mixers/shakers can expand your store's choice of product and increase average sales/multiple sales opportunities.

Clepper explained, "I think that tabletop is really place settings and all the essentials that someone needs to sit down and have a meal. It's all necessary; they really need to see a few of those pieces to determine whether they like the shape. If they don't like the shape of an item in the pattern they've selected, we cross-merchandise a bit to give them alternatives."

Burke created an innovative way to market her tabletop program, beginning with her linens. "Table Art: Creating the Perfect Table Setting" is a twice-annual event that Burke cosponsors with Diane Baker of Diane Baker & Co. Baker is a table linen expert who helps customers reinvent their dining rooms by helping them match their existing china patterns with the right linens. Burke announces the event in local newspapers and magazines, urging guests to bring existing china patterns to the store so Baker can guide them. The event, complete with complimentary wine and hors d'oeuvres, allows Burke to not only showcase linens and entertainment accessories, but also to establish her store as a local resource for home-entertainment trends. She offers guests a 10-percent discount on any purchases made during the event.

"The customers seem to truly want beautiful linens for their homes and they are coming back to my store to purchase the linens for themselves or for family and friends. It's nice to have them come into the store and tell me how everyone loves their new linens or that their friend loves her new placemats," Burke explained. "The promotional support of the event helps not only with sales for the store, but also generates awareness to new customers that I am not just a cookware store. We also find out at these events what the customers want."

As a newcomer to the category, Burke is making sure she's done her homework and continues to do so. This way, she not only determines what's working in her store today, but also learns from her customers what might just work tomorrow. You can do the same.