So, What would you do?

OB1

Joanne Plummer AIFD,CAFA
Apr 11, 2007
1,047
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Manotick
www.millstreetflorist.com
State / Prov
Ontario
So I hired a keen 17 year old many moons ago, and invested years of training time, pre paid educational courses etc., into her. She turned into a rel gem..talented, poised , and professional. ( or so I thought)
Coles notes version for those who don't remember all the drama from a year ago....
She ended up marrying my brother, and I had high hopes of selling her my business...she said that's all she wanted all her life etc.......keep it in the family and all that. However, 15 years after all the this and that, when it came time to sign the papers, she opted to steal merch from me, start her own business out of her house offering her services to my customers, putting up a website with Mill Street photos etc., and I ended up having no choice but to fire her.

Obviously it has been an awkward situation. Heartbreaking, actually, but let's leave emotion out of it for now.
Haven't seen my brother, or my nephews since.

For the most part, her efforts have not resulted in a difference from a business point of view.
However, over the last couple of months, she has made an all out effort to break into my trading area, and has broken into my local market by having her business cards and brochures displayed in 2 local businesses within 1 block of my shop.
Now, fair is fair, and I must give her credit for her efforts, and her successes.

But what bugs me most about this is that I am in a Business Improvement Area, (which, for those of you are not familiar with the governance, is a designated physical area, that by democratic vote, is a collection of businesses who agree to augment their annual business taxes by an agreed percentage of property tax, from which all funds collected go to further the beautification, and marketing efforts of only those assciated businesses within the geographic boundry).
I am quite active in my BIA, and, on top of the mandated few thousand extra dollars per year I pay to be a member, I also donate about a thousand hours a year of my time, plus a couple more thousand dollars a year in related marketing efforts and dollars, to introduce our area to customers beyond our little village, through advertising in various publications, and hosting various events meant to encourage new visitors to our area.
(And, by the way, it works really great, for the most part)

Now, my question.

What would you do about those fellow members who are devoting their space to advertise a business outside the BIA area who do not chip in to pay, who are in direct competition with those of us who do pay and contribute?

I feel a bit betrayed...after all, if someone asks what restaurant to eat at, I reccomend 2 or 3 within our area.
If someone askes about a dress shop, I reccommend a few within my BIA area.
Same with car dealerships, insurers, gift shop, grocers, etc.

And I am not lying when I give my reccomendations, we have everything here that one would need, and they are all staffed by the owners and their staff, and we are all working hard to be the best we can be to serve our community, and charge the same as, if not less than, our big city competitors, while giving much better, "small town" service.

This past employee ( and sister-in-law) lives 35 minutes from our village, works out of her basement ( and therefore submits no provincial, federal, payroll or business taxes), but is a personal friend of the children who own the businesses in question.

So, do I rock the boat even more, based on principle? Or do I let it go?
Do I remind the business owners that, as a matter of principle, the marketing of a competitor based outside of our BIA trading area is untoward, and really shouldn't be done?
And, because that is what I really want to do, then how do I do that without coming across like a whining @@@@@?

I really feel that I am correct in my wishes to stop the promotion of someone outside of my area, but because she is my sister in law, and used to work for me, and I fired her, and then things went south after that, I want to be careful not to be seen as the meany older sister-in law competitor. That certainly won't help anything, for her, for me, or for either of our busineses.

Truth is, I think she has a great carreer ahead of her in her own area, which is not currently served by a florist, and I have offered my help to set her up in that demographic, but I think she is too frightened to grasp the ring and make a go of it, so she has instead opted to go after my clients located 30-60 miles away.

WOW, this turned out to be an essay question!

Anyway, any and all advise greatfully recieved, reviewed, and considered.
This is definately one of those times when many minds will make my desicion easier to come to, because right now, I am confused.
Thanks for all your differing opinions,
JP
 
I have to be honest - the first thing that comes to my mind is that you need a "CHR" on your team!

Those who've been around here for a time know that despite my best efforts at tact, it's not my strong suit (my wife can attest that subtly just doesn't occur naturally in my family :)). Thankfully, whenever I'm about to (or have just recently) put my foot in it, Cathy has an amazingly elegant and efficient way of speaking to the issue at hand.

I would look to your BIA and local community and see if you can identify someone with similar traits who is well respected, level-headed, and who has a knack for speaking calmly and wisely in difficult situations.

You just can't have CHR - I saw her first!
 
I am quite active in my BIA, and, on top of the mandated few thousand extra dollars per year I pay to be a member, I also donate about a thousand hours a year of my time, plus a couple more thousand dollars a year in related marketing efforts and dollars, to introduce our area to customers beyond our little village, through advertising in various publications, and hosting various events meant to encourage new visitors to our area. JP

My heart goes out to you, I've had 2 similar situations (one with family and one my wife's best friend) and both did not end so well. But the good news is that time will heal the wounds for the family. By nature, most of us allow water under the bridge and you will get to see your brother and his kids.

From a business standpoint: I would fight like crazy. I would remind all of my firends (business people) that they are part of a group and that you and them spend alot of money (helping each other). Florist have to "fight" for their territory from "outsiders" (not legally in business in your area). I've had to do the above several times and my fellow people either respect what the gorup stands for or tell me to pack sand.............you will be respected for holding people accountable..................
Those who don't say anything, people will see that and then others might attempt a "coup" in your area. If people want to be competition then follow all the rules, get legal and spend the same money you spend.
 
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I would imagine jo that this girl is too far away for the business cards to do any good. Do you display their cards at all? If not, you could pretend to call in with the premise of swapping cards and see what happens, then they would perhaps just put hers away.

If they say they already display another florist's cards you could then say that you were disappointed they did not want to do the exchange with a more local business. They possibly are doing this out of obligation to their children???

Anyway, I think the way you hold yourself in here is fantastic and if you are the same in "real life", then I am sure you will be diplomatic. Forget she is your sister in law, the same would apply if it were another florist.

Oh, and she is so petty doing what she is doing incidentally.... she should play her own game!!
 
Nothing personal- really nothing personal.... But SINCE she is your sister in law and a former employee, I don't see how you can approach this with out sounding like as you stated a 'whining b*tch' in THEIR mind. I'm sure she has a different version of events and the "friends" who own the business where she is advertising has heard it.

If there has been no effect to your business why even focus on it?

I've always been a person who is all about the 'rules'. Everything was black and white. The older I get the more I see the vast array of gray.
You can say it's a principal matter all day long to this other business and all they will see is sour grapes.

But it is a sticky situation. good luck.
 
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Joanne,

This is certainly a sticky situation. Above all you do not want to do any damage to your business.

Do you have meetings with the other businesses in this group? Do you each display marketing materials for ALL businesses included in the group? Could you have a meeting, as Paula suggested, and do an exchange of materials?

I think that this would be the approach to take, rather than going and causing a stink at those few who have chosen to display her materials.

I would doubt that any meaness was being attempted through these other businesses. They probably really did not think about it and just agreed to display those pieces out of friendliness to her.

If you found out about it a couple of months ago, and you are still stewing about it, you obviously need to do something about it.

I think an agreement between all businesses to display marketing materials for all of the businesses is the group could get the point across and help you feel less upset.

The thing to remember is that you cannot expect to regulate who chooses to promote who, it simply is not your place in a free market society.
 
Let me ask you this....if this person was NOT related to you, what would you do then? I personally think that you ARE allowing emotions to cloud your judgement only in a different direction.

If you belong to a group that has agreed by vote to promote each others business, you certainly have a right to speak up. I think that as florists, we tend to be kinda wishy washy about this stuff because we want to be nice and liked.

A similar situation happened to me at David's Bridal. We were their preferred florist when they were having a Saturday vendor day. The other vendors were asked to be there free of charge while we pay our $200 a month. Anyone, one of the vendors had business cards from another florist. This florist made arrangements for her table display and in exchange, was to give out their business cards. Happens to be one that I respect and admire and have a great business relationship. However, we had a written contract that stated they were not to have any other florist literature there and I had to be the one to point it out.

Did I feel like an a$$, yes....but its about standing up for my business. Business isn't for the faint of heart, that is for sure. :)
 
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Joanne, first you are within your rights to feel betrayed. You are also within your rights to approach your BIA... they are there to support you and the local businesses.

May I suggest you talk to an ally in your group so they can broach the subject at the meeting. I suggest that so it doesn't appear like sour grapes.

The whole thing is such a shame.

V
 
We have a Business Improvement District (BID) that I am very involved with in our small town so I know exactly what you mean. For the most part we promote the businesses within the BID as much as possible but that doesn't mean we never promote any business that's outside of it. We also belong to larger groups such as the Chamber of Commerce, County Economic Development Group, etc. The truth is, we may on occasion partner with another business for some specific reason even if they may compete with another business within our BID....it's really just one criteria we would look at in a partnering situation. Sometimes it's just a matter of another business coming to us and asking. Have you ever asked them to display your cards in the past?

I think if you directly say something about the business cards, it will sound like sour grapes. I do agree with Victoria, however, in that you may be able to discuss it with someone else in the BIA whom you trust that may be able to bring it up on your behalf.

If it isn't really affecting your business too much, I don't think I would make much of it.

Instead of feeling defensive about the situation maybe you should go on the offense and step up some of your local marketing. Perhaps that would be a reminder to others in the BIA to support one another.

HTH
 
Joanne, first you are within your rights to feel betrayed. You are also within your rights to approach your BIA... they are there to support you and the local businesses.

May I suggest you talk to an ally in your group so they can broach the subject at the meeting. I suggest that so it doesn't appear like sour grapes.

The whole thing is such a shame.

V

I don't know if it's a shame, but, if I re-collect correctly, MANY shops opened, and some are still around, by those that worked for someone else for a long time, and took all the same "advantages" that to speak of Joanne......
This is the time, where you'll find out how loyal YOUR clients are, you ALREADY "know" how loyal SHE is, and fight fire, with gasoline!
 
Thanks, all.
I have learned alot from your responses. I think my emotions have gotten into my head, and I need to look at this differently.
True enough, I may not be as irritated if it were not one of my previous staffers., let alone a relative. However, I must let that go.
True enough, I must alert the tax people about a person who is not submitting the proper taxes.
True enough, I need to be more pro-active, and less re-active in my direct marketing efforts with-in my BIA.
I'll get on that tomorrow.
Thanks, I needed that hit against the head, I appreciate your honesty.
JP