On the 29th March the Mafia held our very first Trade Secrets event where some crafty types got together and shared information and tips about running our craft businesses.  It was a resounding success and we hope to do it again soon, but for those of you who didn’t make it along on the night and for those of you who did but need a reminder – here are the notes from the evening, enjoy! x

How many websites do you sell on?  Is it better to sell on many or few?

The general consensus was that fewer were easier to keep track of and those which you can control yourself like Folksy and Etsy are more flexible as far as stock control and new products are concerned.  If you have your own online shop this is the easiest to control, but you need to advertise it much more.  If you want to use lots of online selling places then you need to be very organised with your stock control, this may not work so well with one-off pieces.

How do you drive traffic to your website?

Google Analytics is a very important tool and easy to set up, it’s already built into Etsy and Folksy in the tags and titles, so it’s vital that you give your products correct titles and tags and descriptions – think about how potential customers might describe your work, often simple obvious titles will come to the top of Google searches.

Have a blog, link to other blogs on your Blogroll list, advertise on blogs – think about which blogs your customers are reading and target them, don’t always target the crafty/design blogs not all your customers will be reading those.  Tutorials on your blog can be very effective to keep people coming back, and giveaways and swaps have been very useful for some in building up interest and gaining followers.  Google Stats is a very useful piece of code to add to your website or blog to see who’s looking at the site and what they are looking at, and where they are linking from – it’s always helpful to know how people are finding your site.

How do you work out what your turnover is in relation to the VAT allowance?

Turnover is all the money that you take in for your business, at the moment you only have to register for VAT when your ‘taxable turnover’ is more than £68,000 a year.  The VAT you would then charge is known as the output tax, there is also the input tax which is the VAT you pay on goods and services purchased for your business.  It’s the difference between the two (output minus input) that you pay to HM Revenue and Customs.  (via HMRC guide ‘Working for Yourself’)

How long does it take to become a member of the Craft Mafia and when can you take part in markets?

If you meet all the requirements for joining then it would only really take a few weeks to process your application – as long as you give us all your details for the website and payment etc.  You don’t have to be a member to take part in our craft markets though, we always have spaces for non-members.
- How to join the GCM

I’d like to take credit and debit card payments via my website – how do I do this without sacrificing my profits?

The easiest way to take payments via your own website is by using Paypal, they do have a minimal fee, but if you don’t want to pay for it all with your profits then build it into your prices.

How do you approach shops or galleries?

Everyone seemed to have tried different approaches to this, although it was generally agreed that when contacting galleries in particular it was always best to either write, email or phone first to make an appointment.  Shops may not be quite so formal, and people have had success when just turning up and asking to see the manager to show them some of their work.  Having some sort of ‘portfolio’ of your work (handmade or off the shelf, photos or drawings will all work well if they show your personality and style) is a great way to show people what you do without having to take half of your stock with you!  (you may also find this useful)

Marketing – how do you get your name out there?

By blogging, business cards with pictures of your work, leave public computers with your website on, flyers left in pubs and venues around the city.

As crafters, are there any pots of money we can apply to for funding?

The Craftscotland website has a good list of funding options for crafters and designers, there is also the Scottish Arts Council.  It was suggested that we should also think about social and re-generation funds in the community.  The Scottish Government has a Community Education Fund, the Re-generation Agency gives out funding according to your postcode.  Women Into Business has Training Funds.  Some Universities have graduate endowment schemes.  Learning Teaching Scotland occasionally have funding available also.

Where is the best place to get business cards, greetings cards etc printed?

Vistaprint have low prices – always use Paypal though.  Moo.com are a bit more expensive, but you can have a different picture/design on each individual card so they are very flexible and great quality.
Printcarrier.com – fairly cheap and good quality.

It was also suggested that the Print Department at the Art School were very helpful and willing to print stuff up for people.
Glasgow Print Shop?
Goodprint.com

DIY ideas – Use a custom made stamp and print your own on old odd bits of card, great way to be unique and unusual (get stamps made at Bagnboxman.co.uk or Etsy or Ebay).  You can also use labels on one side of a printed business card so you can offer discount codes or advertise sales etc.  Using codes unique to a particular venue would help you keep track of where people found you.

Best Blogs to advertise on or get editorial?

www.craftyblogs.co.uk is a great directory of the most popular UK craft blogs.  Ask on Twitter and other social networking sites you use.  Think about what your customers are reading – it’s not always going to be the craft and design blogs that you are reading!  Find out which blogs get most traffic – they often have a site counter.  Indiefixx, Neet magazine, Indiequarter, Bugs and Fishes.

Is it worth hanging up clothes for sale on a rail?

It was generally agreed that having clothes hanging up is a much better way for customers to see and interact with the stock – people are much more comfortable handling clothes in this way.  Coat stands were also suggested and clothes driers!

General Discussion:

Do you need Public Liability Insurance? – some venues and organisers insist that you do, but not all.  It’s worth getting if you are going to do a lot of markets and fairs though.  The Scottish Artist’s Union offers it free to all members (as long as you qualify to be a member).

Some useful links:

- www.hmrc.gov.uk
- www.bgateway.com
- www.culturalenterpriseoffice.co.uk
- www.glasgowcraftmafia.com
- www.craftscotland.org.uk
- www.vistaprint.com
- www.goodprint.com
- www.bagnboxman.co.uk
- www.etsy.com
- www.folksy.com
- www.craftyblogs.co.uk
- www.neetmagazine.com
- www.indiefixx.com
- www.indiequarter.com/blog
- bugsandfishes.blogspot.com
- www.sau.org.uk
- www.moo.com
- www.printcarrier.com
- www.paypal.com

(artwork by Showpony)

You might remember, back in September, that some of the Glasgow Craft Mafia were interviewed for the Enterprise Nation Home Business Road Trip documentary. That’s still being edited but I was lucky enough to attend the recent Enterprise Nation conference in London on behalf of the Glasgow Craft Mafia. Here’s my report back.

20th November was the very first Home Enterprise Day with an aim of raising awareness about the huge number of home businesses in the UK. Home businesses are largely ignored by the government, despite their contribution to the economy.

These issues were raised in the 2009 Home Business Report published by Enterprise Nation, which includes the following key points:

• 2.8 million home businesses contributing £284bn to the annual UK economy
• Over 60% of small businesses started in the UK are started at home
• 89% of home businesses expect to increase turnover in the next 12 months
• The majority of businesses will grow by outsourcing and sub-contracting, as opposed to taking on staff
• ‘Working 5 to 9′ is on the rise as people hold down a day job and build a business at nights and weekends
• Home business is bringing families together and contributing to the local economy and environment

You can download the full report here, which includes a little interview with our own Miso Funky!

The report was launched at the Enterprise Nation conference. All the panels were really interesting and though-provoking but I’ve picked out some of the most relevant parts for crafters like us.

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Doug Richard (former Dragon & CEO, School for Startups)

A great way to start the day as Doug was extremely entertaining and a natural speaker – he had no notes or slides and constantly interacted with the audience. As a web designer, I spend a lot of time trying to break down myths about Search Engine Optimisation, social networking etc. and was completely delighted to discover Doug talking 100% total sense about these subjects. I couldn’t have agreed with him more. Here are a few of his main points:

Get rid of costs to make more profit

So simple but so easy to forget. If you quit your day job you learn this very fast – if you can’t make money, then spending less money is almost as good. Do you need an office/studio? If you need extra staff, can they work at their own homes etc.

Don’t be shy

If there’s one thing about entrepreneurs and business owners, it’s that we love taking about our businesses. So talk about what you love on your blog, Twitter etc. and that enthusiasm will help promote you and your business, honestly. Customers love a peek into how the magic happens.

Target your potential customers

Figure out what the target group is for your products, find them on blogs, forums, Twitter etc, and talk to them. They may not buy now but they might remember you in future,

SEO

Use SEO to intercept your potential customers’ desires. Find out how your target audience or strangers would describe your products and build your SEO around that, not around what YOU think your products are. The majority of Google users click on the 1st-3rd organic result, not sponsored links or ads, so make sure you’re there when they decide they want a wool scarf or a bunny necklace (as opposed to a hand-knitted cowl or a rabbit pendant).

Use word of mouth

Word of mouth is the most trusted recommendation but don’t fake it. Try things like video testimonials from happy customers. Keep them honest and real for trust – don’t worry about being professional or hi-tech. The less professional it is, the most trustworthy it will seem.

Be shameless

Get the best deal any way you can. Doug actually suggested pretending your husband just died in order to get a cheaper stand at trade shows!

Know what you do

Make sure you’re able to describe what you do and what the benefits are in a single sentence and use that at all times, whether in person or online.

Doug’s SEO tips were fantastic but, as I say, they match mine exactly, so I’m going to write another post on SEO soon.

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Sites that changed the home business world

A panel discussion chaired by Dan Wagner (Venda.com) with eBay UK (Mark Lewis), MyEhive.com (Louise Campbell) and BT Tradespace (Ivan Croxford)

This would probably have been the most relevant panel for crafters, except that the speakers were very much talking from a business perspective. I couldn’t help wondering how much more interesting this could have been if someone from Folksy had been invited, to talk more about the community aspects.

Product photography

Both Louise and Mark picked good product photography as the most important thing to get right with online marketplaces. It’s a vital link to sales, features and opportunities. Second most important is product descriptions, which need to be well written but also include keywords for SEO.

Feedback builds trust

A lot of discussion was about the feedback system pioneered by sites like eBay and which is now such an important way for buyers to find trustworthy sellers. If you have your own shop, can you incorporate a feedback system or testimonials page? eBay are even planning to highlight and promote sellers by their feedback ratings and good service record rather than the number of sales.

Stand out through customer service

With thousands of other sellers on marketplace sites, you need to use customer service to get yourself noticed. Good service leads to good feedback and repeat buyers.

Use Video

Apparently video is the next big thing – can you use video to show how your products work, or to showcase happy customers?

Use your individuality

People buy from a person not a company. Use your unique voice and a personal service to set you apart and build trust and word of mouth recommendations.

Build your network

Recommend other small businesses outside your scope, especially on business networking sites. Are there products or services that compliment your own? Can you refer your customers or collaborate? Help build a sense of community outside of big business.

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Building a global business from my home

Christian Arno (Founder, lingo24.com) and Mike Hollands (Founder, Toniks)

A short discussion, as the previous panel ran over. Translation is something I’ve only recently given any thought to, having set up on DaWanda so I did find this very interesting.

Expansion through translation

Expand your customer base by translating your site into multiple languages,  but be prepared for enquiries in those languages. Translated sites also do well on foreign search engines as there’s not as much competition.

Take advantage of free technology

Similar to Doug Richard’s point – Mike talked about how they use Skype for global language classes – since Skype is free, they remove costs and instead can market a value for money premium service.

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Make Me Famous!

A panel discussion on the media with Daryl Willcox (DW Publishing), Jenny Culshaw (Working Lunch) Lisa Sykes (Features Editor, Country Living) and Jimmy Leach (Head of Digital, Independent)

Another great panel for crafters – most of the advice here is common sense but so easy to get wrong. Also, the room was asked who did want to be famous and only 1 person raised their hand!

Stand out

Find a story about yourself and your business that makes you stand out. Your story should highlight your Unique Selling Point but, despite the name, you should also have more than one USP! Editors like jeopardy and life changes and want to know about the individual, not the company.

Target your promotion

Make sure you’re contacting the right person in the right way, otherwise don’t bother. Do your research to find the relevant person at a magazine or TV show that fits your target audience. Show you know what they do and why you’re a good fit.

Paper press releases are dead

Always use email – never send anything in the mail unless you have a unique idea or samples that will catch someone’s eye.

Why should someone open your email?

Journalists are busy and won’t read every email – you’ve got just the subject line to convince them it’s something worth opening.

Provide all the information they need

Once they’ve opened it, get it right. Give them all the information they need – don’t expect them to go to a website. On the other hand, don’t send attachments – send links to images and PDFs.

Make it personal

Include photos of yourself and where you work as well as your products. Quality is not that important – if they want to feature you, they’ll arrange to take their own photographs.

Are you ready?

Most importantly, are you ready for fame? Can you handle a sudden influx of orders, appearing on television or being recognised in the street? If not, approach the press at a level you’re comfortable with – try a local paper instead of an international magazine.

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Interview with Mark Dixon (CEO, Regus) by David Parsley, Parsley Media

I admit I had never heard of Regus before this interview and spent the first half wondering what on earth his businesses actually did. While being way above most of our ambitions, being someone who has established global companies, gone public and sold off businesses, Mark Dixon was extremely interesting and I could have listened to him for a few hours more.

Not a huge amount I can pass on from this – you might not think of yourself as an entrepreneur but a few things really stuck out.

Drive to do better

Despite multiple successful global companies, Mark mentioned that he is only ever satisfied for a few minutes then wants to go on and do better.

Stay excited

Mark advised to sell a company once you’re no longer excited about it, or have nothing more you personally want to try with it. On a smaller scale, this could apply to giving up a product, range or style if it no longer gets you excited. Don’t just make things because they sell, or because no-one else does.

Most of the interview was personal experiences but he also mentioned a couple of Regus services that intrigued me. Regus own flexible use buildings throughout the globe. Coming soon they will be offering swipe cards for pay as you go office space worldwide so if you’re visiting stockists or manufacturers you can have a short term office space anywhere in the world, 24/7. Also access cards for business hubs where home workers and freelancers can meet for networking and socialising.

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The future of business support

Panel discussion with Patrick Elliott (Business Link for London), Professor Colin Mason (Hunter Centre for Entrepreneurship, University of Strathclyde), Dawn Whiteley (National Federation of Enterprise Agencies) and Andy Hudson (BT Local Business)

This sadly got bogged down in broadband availability issues but Colin Mason in particular raised two excellent points.

• The majority of businesses that close did not fail, nor were financial disasters
• Risk takers aren’t more successful

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Mr Motivator aka Mike Finnigan

The final session was with ‘Mr Motivator’, though sadly not THE Mr Motivator. It was a little too cheesy for me but it was good to be reminded of a few motivational thoughts, e.g.

- Love what you do, so it’s never work
- Never be embarrassed about what you do – promote yourself at all times
- It takes a certain type of person to be an entrepreneur or start a business. Remember it’s you and your attitude who drives the business.

And a final word from, Scott Cain of Enterprise UK who had the sweetest point of the day, that however bad you might think you are doing, to some people, who’ve tried and failed at business, you’re a hero! Aww.

==

If you’ve found this advice helpful then make sure you check out the Enterprise Nation blog, for lots more tips and interviews. We’ll keep you posted when the documentary is available.

(All photos by Enterprise Nation – see more on Flickr)

Did you see mafia member Katy Penman, from Girl Industries, on STV’s The Hour last week?  She was talking about upcycling, and crafty ways to dress your gifts this Christmas.  UK-based readers can watch here again (part 3) at the STV website until the end of the month, but here she shares her top ten tips to make the outside of your presents as thoughtful and unique as what’s inside!

1) Do your maths!

If you measure the longest side of your parcel, you need seven times this measurement in ribbon to create that wrapped finish – measuring before you start means you only cut off what you need each time.

2)  Use your odds and ends

You can dress a plain box with that annoying last strip of paper from the roll that otherwise would go straight into the recycling.  Or use your odds and ends, a couple of dabs of glue and some plain card to make a co-ordinating gift tag.

3) Think outside the box

Present too difficult/fiddly/awkward a shape to wrap?  Stick it in a bag, pop a glittery bow on top, job done.  Life’s too short to wrestle sticky tape.

4)  Raid your tree

A teeny little bauble, felt stocking or even a handknit ornament look cute and pretty on top of your packages.  And the recipient can pop them on their own tree, instead of in the bin, once the presents are all opened on Christmas morning.  Or how about using mini tinsel instead of ribbon?

5)  If you aren’t artistic – cheat!

There’s no shame in not being able to draw – I was kicked out of art classes at school and still managed to make a bit of a career of it!  My top tip for Christmassy themed tags is to use Christmas cookie cutters as a template – just draw the outline onto a sheet of double-sided card (plain one side, patterned the other), cut out, punch a hole and you’re away.

6)  You don’t need to buy fancy materials

See those cookie cutter tags I just mentioned – you don’t even need to buy the card.  Use pretty packaging from toiletries or chocolates, pick up some vintage packaging from eBay, or do what we all did when we were little, use last years Christmas cards!

7)  Shop from your sewing box

Great alternatives to ribbon can be found in your sewing box, or your local haberdashers.  Lace trim, embroidery thread, bakers twine, even fancy yarn can make a cost-effective and visually interesting alternative to expensive glossy ribbon.

8) Use what you have

As well as re-purposing or upcycling other materials, don’t forget all those bits and pieces you have stashed away from last year.  A fresh glance might inspire you to add a different type of ribbon, trim down your tags into another shape, or pop your gifts straight into the kids’ stockings, to cut down on the sheer amount of waste Christmas time can generate.

9)  Do away with gift tags

You can pick up loads of letter stickers and other embellishments from shops which specialize in scrapbooking, card making or journaling.  Think about adding the gift recipient name to the side of your package in stickers, or you can even cut letters out of the paper and stick them to the side of your gift.  This is especially good for Secret Santa presents, where no-one needs to know who it’s from!

10)  Have fun

Get together with friends for a gift wrapping party – a couple of glasses of something merry, a cheesy Christmas soundtrack, enough scissors and tape to go around and all your crafty ideas for making your presents stand out should make for a very festive evening.  Pooling your resources will help your supplies (and your money) go a lot further!

As well as featuring Girl Industries’ festive products on TV last week, Katy also managed to show off a selection of gifts from Craft Mafia members and local crafty friends, including a hot water bottle cover from Sarey Poppins, upcycled matchbox gift tags from Miso Funky, cute tags from Asking for Trouble, notebooks by Pumpkinsputnik, Rab C Nesbitt portrait cushion from Angharad Jefferson, and a dinky cute dinosaur brooch from Madness of Many.

Anna at Mochimochi Land makes all kinds of cute and crazy knitted things. These sweet hearts are a free pattern so get your yarn out and go download it.

The Long Thread is a lovely blog about handmade things. These Lovebird cards are a free download but if they’re not quite what you’re after, there’s also a HUGE list of other free Valentine’s cards to print as well. Check it out!

Amy Karol is one of the better-known US crafters and seems to be able to turn her hand to anything with amazing results. These paper cut designs are available in her latest Mailorder issue and would make lovely cards. It’s $8 to download but it includes full instructions and bonus recipe!

Lupin is pretty much the Queen of Felt on these shores and has a bazillion clever tutorials on her blog. These lavender sachets would make a sweet Valentine gift.

And of course, there’s my Book Heart tutorial where I show you how to make my cute washi covered bookmarks. Perfect for a book lover.

Happy crafting!

I’m going to cover 4 different levels of online shops, and give you the rundown on how they compare and who they’re best suited for.

Glossary:
Listing fee – payment to list an item regardless of whether it sells
Transaction fee – payment after an item sells (usually a percentage of the sale price)
Merchant fees – transaction fees to whoever collects purchase payments (PayPal etc.)

* * * * *

Individual Sales

eBay

eBay is probably the best known online marketplace on the internet. Everyone knows about eBay. Although billed as an auction site, Buy It Now listings are becoming more and more popular.

Best For: one of a kind, high priced items
Pros: you can be selling in minutes, as there’s nothing to style or set up after your initial profile
Cons: Difficult to assert your personality and be remembered for return buyers. Lots of competition. No differentiation between handmade/artisan items and random junk.
Technical Knowhow: low. Some knowledge of html can help you improve the look of your listings but it’s not necessary.
Expansion possibilities: you can open a store for a monthly fee.
Cost: listing fee and transaction fee, based on item price, plus merchant fees.
More info: www.ebay.co.uk

PayPal

You probably have a PayPal account already but did you know you can also user their Merchant Tools to create quick sales buttons and shopping cart solutions for an existing website?

Best for: people with an existing website who want to try out online selling without any commitments
Pros: no listing fees; complete control over your listings and page layout.
Cons: Lack of basic features such as regional shipping, variations etc.
Technical Knowhow: Medium. You need your own blog or website and you need some basic html skills
Expansion possibilities: there are various merchant services available but nothing like a real shop.
Cost: transaction fee of 1.4%-3.4%+20p
More info: www.paypal.com

* * * * *

Marketplaces

Etsy

Etsy is fast becoming a household name as the place to buy handmade – it’s almost expected that if you’re making handmade products, you must be on Etsy.

Best for: crafters who like to get involved in a community
Pros: readymade audience, huge resource of information and help, easy to use, good widgets to use on your blog or website.
Cons: Lots of competition, prices are in dollars, lots of rules about what you can and can’t sell.
Technical knowhow: Low. No html is allowed so you just need to be able to create a banner image.
Expansion possibilities: None.
Cost: 20c per listing, 3.5% transaction fee, plus PayPal fees
More info: www.etsy.com

DaWanda

The European answer to Etsy isn’t really any competition at the moment but you could be getting in on a good thing right at the beginning.

Best for: people who want to take things slowly while they figure out their niche.
Pros: Free to set up and free to list, nice community aspects, language conversion.
Cons: not well known, prices listed in Euros.
Technical knowhow: Low
Expansion possibilities: None
Cost: 5% transaction fee. Listing fees set to arrive sometime this year.
More info: en.dawanda.com

* * * * *

Hosted shops

BigCartel

Intended for bands and artists, BigCartel is a clean and easy hosted web shop.

Best for: New crafters with a small range
Pros: easy to set up and use, free to start up, no transaction fees.
Cons: Lots of limitations depending on your payment plan.
Technical knowhow: Low.
Expansion possibilities: 3 plans available, ceiling of 100 products.
Cost: PayPal fees only for up to 5 products, then a monthly fee applies. No transaction fee.
More info: bigcartel.com

Shopify

Shopify is a templated web shop which is hosted on their servers. They also have a built-in marketplace where buyers can search through all Shopify shops.

Best for: Established crafters and multi-artist shops with a stock of items and a brand
Pros: style it to match your website exactly and arrange your products and pages how you like. Easy to use admin panel. Lots of neat features including discount codes and abandoned orders page. Free to set up.
Cons: Needs a lot of technical knowledge (or outside help) to make a template really your own. Initial costs can add up until you make regular sales. No control over shop downtime for upgrades/maintenance by Shopify.
Technical knowhow: Medium to High. You can get started with a minimum of knowledge but you’ll need some programming experience to make something truly original.
Expansion possibilities: Pretty much limitless. Shopify really can grow with you, as your business does.
Cost: Depends on your plan. Basic is $24 pm plus 2% transaction fee, plus merchant fees.
More info: www.shopify.info

* * * * *

Custom install shops (CubeCart, ZenCart)

If you’re planning on installing an e-commerce shop on your own webspace then you’re going to have to do the research yourself. To install, set up and style one of these packages needs technical knowledge, design and programming skills and a clear plan of your requirements.

Best for: Established businesses, control freaks
Pros: complete control of everything, from the look and feel to the payment method. No third party fees unless you choose to use them.
Cons: Lots of work to set up. Your responsibility if anything goes wrong or your site goes down. Control panel is quite technical/unfriendly.
Technical knowhow: High. Will look terrible if you don’t know what you’re doing.
Expansion possibilities: Pretty much limitless. Your next stage after this would be a custom built ecommerce solution.
Cost: Some are free and some cost money. You’ll also need your own web hosting.
More info: Start with www.cubecart.com and www.zen-cart.com and then do some Googling.

Full disclosure: I am a happy customer of both Shopify and Etsy.