Christian Retailing December 7, 2009 : Page 1
STRANG MEDIA GROUP The industry at your fingertips at www.christianretailing.com CHRISTIAN RETAILING ® READ BY THE SUPPLIERS AND RETAILERS OF THE $4.6 BILLION CHRISTIAN PRODUCTS INDUSTRY New consumer focus drives company’s gift market expansion, page 23 ‘Looking for basics ... at affordable prices’ 3 INDUSTRY NEWS 8 VITAL SIGNS 11 BOOK NEWS 14 BOOK REVIEWS 16 TOP CBA/ECPA BOOKS 18 BEST-SELLERS 21 MUSIC NEWS 23 INSPIRATIONAL GIFTWARE 25 CHILDREN 27 DVD/VIDEO 28 TRADE SHOWS 30 VIEWPOINT Wedded blitz In their new book, best-selling husband- and-wife team John and Stasi Eldredge discuss how to fight for and fight fair in marriage, page 11 DECEMBER 7, 2009 • $7.00 Show time! Details of the four big industry events in January, from international buyers to bargain book hunters, page 28 Longtime CBA head steps down Board search begins for replacement for 24-year retail leader Bill Anderson ›» BY ANDY BUTCHER Longtime President and CEO Bill Anderson celebrated CBA’s 60th anniversary during the International Christian Retail Show in Denver this summer. Second remainders show added as supplier plans expansion ›» BY ERIC TIANSAY A Christian remainder house based in the Midwest—which has a permanent show- room in New York City—plans to construct a multimillion- dollar distribution center to meet growing demand. Jerry Bloom, president of Treasures Media—comprised of a 500-square-foot store, online business and wholesale arm—said he expects to break ground on the new facility in Racine, Wis., in March 2010. To be located in an industrial park, the 80,000-square-foot distribution center—expected to cost $3 million to $4 Bargain book business continues to grow million—should be constructed by October 2010, he said. “We are expanding our operation be- cause our business is currently growing at 40% per year,” Bloom told Christian Retailing. “We des- perately need more space to continue to accommodate our growth.” Jerry Bloom Despite a still weak econo- my that continues to cut into consumer spending, bargain books have become even more attractive to retailers and distributors. “One of the few burgeoning areas of the book business not in the digital do- BARGAIN BOOKS, page 6 Stores overlook church business link Most retailers not tapping into congregational opportunities Many Christian retail stores are missing out on an opportunity to develop business links with local churches. Almost two-thirds of stores with no known church-based retail operations in their area seldom or never supply local pastors with product samples, accord- ing to the latest Christian Retailing Vital Signs survey. Meanwhile, with the church store movement widely expected to continue to grow, 85% of church-based stores re- ported that they were the main purchase point for church small group materials. 0 MAIN PURCHASES BY CHURCH STAFF Small group studies (90%) Pastor’s resources (61%) Adult curric. (40%) 50 100 FULL REPORT, page 8 PERSPECTIVE Transition, a time to agree not argue ›» BY ANDY BUTCHER, Christian Retailing EDITOR Transition is usually uncomfortable, but it’s also a fact of life. There comes a point when a leader can go no further. We see that clearly in the Bible. When we reach that place we can be grate- ful for what they have done, but also be clear about what still needs to be achieved. PERSPECTIVE, page 30 His resignation as president and CEO of CBA after almost a quarter -century caught many by surprise when it was announced by the Colorado Springs, Colo.-based group Oct. 30. No reason was given for his leaving. CBA Chairman-elect George Thomsen said that Anderson’s “vision, statesmanship and Christian witness” had been “key components in the growth of Christian retail.” A ANDERSON, page 7 major era in the Christian products industry has ended with the sudden departure of the longtime head of the Christian retailers organization, Bill Anderson. INDEX
Longtime CBA Head Steps Down
ANDY BUTCHER
Board search begins for replacement for 24-year retail leader Bill Anderson
A major era in the Christian products industry has ended with the sudden departure of the longtime head of the Christian retailers organization, Bill Anderson.
His resignation as president and CEO of CBA after almost a quarter
- century caught many by surprise when it was announced by the Colorado Springs, Colo.-based group Oct. 30. No reason was given for his leaving.
CBA Chairman-elect George Thomsen said that Anderson’s “vision, statesmanship and Christian witness” had been “key components in the growth of Christian retail.”
Jim Whitaker, CBA board chairman and owner of New Life Christian Stores in Lynchburg, Va., resigned at the same time, citing the increased time demands that would come along with managing the transition process.
In its formal statement announcing the changes, CBA said that Anderson’s successor would be named “at a later time,” with the association’s work continuing under the leadership of Thomsen, the board executive committee and the staff leadership team.
Joining CBA in 1978 as the association’s fi rst full-time convention manager, Anderson became president in 1985 and led the association through Christian retailing’s boom years, which saw attendance for the organization’s summer show peak at almost 15,000 in 1999.
Since then, with increased competition from multiple channels, CBA has seen a slew of member-store closures and falling attendance at the International Christian Retail Show (ICRS). CBA replaced its dwindling winter trade show in 2006 with an industry conference, ending that this year.
At its peak, CBA had a staff of around
50. The organization has cut its workforce twice this year, losing longtime Chief Financial Offi cer Dorothy Gore in May and more recently trimming its full-time staff to 10. ICRS 2010 is due to be in St. Louis, June 27-30.
Thomsen welcomed prayer for the association as the search began for a replacement for Anderson, aged 61. “I have been hearing from people that are behind CBA and actively praying for us,” he told Christian Retailing. “I really think that is the call to our industry—that we work together as stewards of what is God’s industry.” Thomsen said that no timeline had been set for the appointment. “That is something we need to look at, but we want to make sure that we don’t rush.” He said that the CBA board would be reviewing its ownership of the association’s headquarters in Colorado Springs, Colo., as part of its deliberations. “We are looking into our options there,” he said of the facility into which CBA moved in 2000.
“We do have tenants that rent space, but we are looking at the options that we have before us,” said Thomsen. “We are looking at anything and everything that makes sense to make sure that we are effi cient in providing the space we need to operate our staff.” Additionally, he said further consideration might be given to possibly working more closely with other trade organizations such as the Gospel Music Association (GMA), where former President John Styll recently stepped down as part of a cost-cutting effort to keep the group alive.
“The consortium could be a good thing if we can fi gure out if there are ways we can do things as different organizations more effi ciently and still maintain our identities and serve our constituencies,” Thomsen said. “People might be open to that.” Thomsen said that Anderson had “left the association with a strong staff” and was “assisting us with the transition.” CBA was “a fi nancially viable organization,” he said.
“We are solvent and we have made adjustments as most people have in our industry to keep things that way.” Ed Leonard, GMA board chairman and Daywind Music Group president, said the organization “is always looking for ways to work closely with CBA.” “As an organization, we are currently working with them on Christian Store Day to be held in October 2010 as well as being their source for great music talent at ICRS through our Power of Music event,” he said.
“Several of our members are participating in their frontliner training platform and on CBA-exclusive product, which is a proven traffi c-driver to the stores.”
Bargain Book Business Continues To Grow
ERIC TIANSAY
Second remainders show added as supplier plans expansion
A Christian remainder house based in the Midwest—which has a permanent showroom in New York City—plans to construct a multimilliondollar distribution center to meet growing demand.
Jerry Bloom, president of Treasures Media—comprised of a 500-square-foot store, online business and wholesale arm—said he expects to break ground on the new facility in Racine, Wis., in March 2010.
To be located in an industrial park, the 80,000-square-foot distribution center—expected to cost $3 million to $4 million—should be constructed by October 2010, he said.
“We are expanding our operation because our business is currently growing at 40% per year,” Bloom told Christian Retailing. “We desperately need more space to continue to accommodate our growth.” Despite a still weak economy that continues to cut into consumer spending, bargain books have become even more attractive to retailers and distributors. “One of the few burgeoning areas of the book business not in the digital do Main is the remainder market,” according to Bargain Book News.
Bloom’s major expansion comes as interest in Christian bargain books grows.
The third annual Inspirational Value Book Show (IVBS)—the largest bargain show for the Christian book industry—is set for Jan. 13-14 at the Downtown Doubletree Hotel in Nashville. IVBS is patterned after the Chicago International Remainder and Overstock Book Expo (CIROBE), which was held Nov 5-8 in Chicago.
Meanwhile, a second Christian remainders show has been added next month to tap into the market. Set for Jan. 10-12 at the Atlanta Airport Marriott in Atlanta, Christian Trade Association International’s Marketsquare International 2010 will feature America’s Christian Remainder Show, which was added in response to feedback from international buyers.
Bloom said Treasures Media is currently in a 50,000-square-foot facility, employing 30 people. “Our inventory continues to grow at a fervent pace,” he said. “I estimate that we will have no fewer than 1.5 million items in stock when we move in. We expect to add a second shift in the warehouse. I estimate that we will have approximately 40 to 45 employees when we open the new facility.” Additionally, Wholesale Christian Books, a division of Treasures Media, launched a 600-square-foot showroom in May, featuring approximately 2,000 titles, in New York City. “Sales are fantastic in New York,” Bloom said. “We have one staff member on site, and our independent reps and myself make trips to the offi ce when needed.” Bloom, though, has been scrutinized online for his expansion plans in Racine because of his checkered past—which included his arrest at age 19 for shooting a gun from his house that shattered a church window during a service.
“God has spoken to me that I should not acknowledge, explain or defend myself with regards to what the accusations of my misguided life as a 19-year-old,” Bloom, 40, said. “I grew up in a pretty tough environment that resulted in me living a very rough life as a young man. My choices resulted in a life of violence and addiction.
“It wasn’t until I was 30 when my wife and I were on the verge of divorce that I surrendered what little I had before the throne of grace,” added Bloom, who has fi ve children. “I have been amazed at what God can do through a changed man.” After his conversion, Bloom opened a Christian retail store in Kenosha, Wis., about eight years ago. He later moved the store to Racine, and his business has been growing ever since.
“I think that we are doing well because we are feeding that ‘value’ segment of the market,” he said. “We believe that consumers still want to buy in this economy, but they are looking for really good deals. Many of our wholesale customers are catching this vision, which is helping Treasures sell them more books.” Bloom added that he was looking forward to exhibiting for the second year in a row at IVBS. “We expect that it will be as good as last year or better,” he said. “We had better than expected results at last year’s show.” IVBS drew 20 exhibitors—up from 16 vendors who participated at the inaugural show in 2008, according to organizers.
Meanwhile, the event attracted 65 stores and 106 representatives, compared to 41 stores and 65 representatives from last year’s show.
“We have most all of our vendors returning with a few that have been picked up by Inspirational Closeout Solutions, which should bring eight to 10 additional vendors for us, so the product offering at IVBS should be better than ever,” said Steve Slack Jr., who organizes IVBS. “The expanded product offering is the biggest change for us. We hope to attract buyers and vendors alike who are ready to offer and take advantage of after-Christmas deals.”
Stores Overlook Church Business Link
Most retailers not tapping into congregational opportunities
Many Christian retail stores are missing out on an opportunity to develop business links with local churches.
Almost two-thirds of stores with no known church-based retail operations in their area seldom or never supply local pastors with product samples, according to the latest Christian Retailing Vital Signs survey.
Meanwhile, with the church store movement widely expected to continue to grow, 85% of church-based stores reported that they were the main purchase point for church small group materials.
Transition, A Time To Agree Not Argue
ANDY BUTCHER
Transition is usually uncomfortable, but it’s also a fact of life. There comes a point when a leader can go no further. We see that clearly in the Bible. When we reach that place we can be grateful for what they have done, but also be clear about what still needs to be achieved.
That does not diminish accomplishments, it just keeps them in their proper perspective. Such is the case with the recent departure of longtime CBA President and CEO Bill Anderson.
The Christian retail world is not going to be the same without him—and that’s a refl ection of both all he did helping to bring the industry to where it is, and all that yet needs to be done to lead it into the future.
For many, Anderson was the face of Christian retailing as long as they have been a part of the industry, if not longer. Through his near-25 years as president of CBA, he represented Christian retailing to the wider world with grace and skill.
He will be remembered and appreciated for his enduring passion for Christian retail, not because it was a business, but because it was about the business of the kingdom of God, which at one time he thought he might serve on the foreign mission fi eld.
Instead he found himself serving the church through Christian publishing, fi rst at Moody Press from where he joined CBA in 1978. Taking over the reins of the organization in 1985 from John Bass, he brought similar strong personal leadership to the role.
Anderson presided during the glory days of Christian retailing, as independents enjoyed their most fruitful years during the 1980s and 1990s. The association bloomed, too, at one time employing more than 50, and in 2000 moving into a grand new headquarters in Colorado Springs, Colo.
Many in the industry have spoken of their appreciation and gratitude for Anderson’s commitment and loyalty to the distribution of Christian resources.
But privately a good number have felt for some time that change at CBA was overdue.
The world is very different now than when Anderson took over. Consider, Ronald Reagan was then the other president of note, and the computer world was still in its infancy. Internet business was unknown, independent store owners were the dominant force in Christian retail, the chains were pretty much still in their infancy, and you’d be lucky to fi nd more than the occasional Bible in a general market store.
CBA long acted as if it were the center of the Christian products universe, but, as we have noted before, the constellations have shifted. CBA is still in orbit, but not everything and everyone else revolves around it anymore.
There are a variety of factors for that change, including the rise of the buying groups that provide some of the services CBA used to handle. And while the organization’s summer show was once on everyone’s “must” list, that is no longer the case. Suppliers have seen the event as too expensive and found other ways to reach buyers. As a result, attendance has dwindled in recent years.
The last big industry-wide CBA initiative, launched to fanfare in 2007, was More From The Core, a three-year drive intended to invigorate core inventory, partnerships and staff. Not much has been heard of it since, and you’ll be hard pressed even to fi nd any reference to it at the CBA Web site.
Though our industry is more fragmented and diverse than it was, we still need a way in which we can come together and not just do business, but also unite around the business of the kingdom. CBA can still provide some of that, but it will need to be more from a place of equals than a lofty perch.
Whoever inherits Anderson’s title will be taking on a different role in a different world. But we believe that the board is up to the challenge of repositioning CBA. And it’s indicative of the changing times that helping to lead the process as chairman-elect is George Thomsen, director of a church bookstore—a part of the Christian retail community once viewed somewhat askance by many. Thomsen brings business excellence and a passion for the mission of Christian bookstores to the role.
Though many will welcome new leadership at CBA, change after such a long time is still unsettling.
That behooves those steering the process to communicate clearly and well about what is happening, and the announcement of Anderson’s departure had an unfortunate air of haste about it.
The news went out on a Friday evening, with no reason given for his departure and only a couple of sentences from Anderson himself in the offi cial announcement. It was rather an abrupt end to a 31-year career.
While the CBA board may not want to go public with all its deliberations, members might be forgiven for wanting to know a bit more about what was behind it all.
Above all, such a signifi cant time of change can drive people apart, arguing about the past, or draw them closer, agreeing on the future.
May it be a season that brings the industry together in a new way. Let’s all pray for wisdom for all those involved in the process of better shaping CBA for its valuable role in the future of our industry.
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