The last 2 years, our regulatory risk has reached an all time high. Many of you have engaged actively with our Federal Congressional Representatives. This translates into one-on-one discussions and the development of long-term educational programs. Many of you should be aware that our Industry is at risk if the Federal Government passes laws. This is nothing new. Our business is actively regulated on local levels, but the Federal Government is raising its head. So what can we do? We need to perform at a higher level as an Industry. We know that our business is a necessity to the public. We need to shift the perception of our services from a burden on the public to a supportive participant. We cannot remain viewed as a pariah taking advantage of the unfortunate. We know that this is not true, but in many circles this is a perceptual fact.
I mentioned in my article about store appearance and the simple things we can do. Our stores need to become more main-stream. We can't compare ourselves to other pawnshops. We must compete with the best retailers. We need to look at mature successful businesses as the model to emulate. We are not Nordstrom or Neiman Marcus, but we can look at Wal-Mart or Target. I prefer Target's merchandising. I look to GameStop to get merchandising tips for video games business. Jewelry stores are a great place to learn how to display. When was the last time you looked at your pawnshop competitors and retailers?
We spent a lot of time trying to figure out what advertising worked. Our focus group study revealed that 80% of our business was drive-by. It was our storefront that left an impression. Clean up your storefront and become a part of the business community. Your customers prefer a higher level of experience.
My personal goal with Bravo and Maxpawn.com is to create an Industry solution from perception as well. We have seen software vendors APS and LEADS create a portal for law enforcement integration. This has been a public relations boost, but there are some vendors introducing legislation with fee incentives. In Phoenix the pawn transaction charges are as high as $3.00. This is an attractive method for Municipalities and State legislatures to increase revenues. Read about Flagstaff Arizona.
Bravo will offer a law enforcement portal for FREE. Along with effortless connectivity to law enforcement agencies in all 50 states, Bravo will automatically download your store’s data to your required agencies automatically. As a subscriber to Bravo, your store becomes a proactive participant in the pursuit in fighting crime. But it works both ways? Bravo will import lists of stolen items to advance warning of unwanted property. The community of Bravo participants will also flag undesirable customers. Now we can actively communicate to the pubic about our advanced effort of deterring individuals from pawning in our stores.
Steve Mack
