All in the OxFam

Oxfam, Broadway.  On Sunday, this store was by far the busiest, as measured by shoppers per square metre.   Could well have been due to the type of customers attracted to the Glebe Street Fair.  Good to see.

Is Charity for Sale ?

Oxfam, Broadway.  Oxfam have been running a sale with 'over 1500 lines to clear'.  Now for the typical size of their store, 1500 lines is a lot. For a 'for-profit' retailer this is just the pain you take for having  mis-read demand - either in terms of volumes, or preferences.  It is a truism of retail that you need to move slow-moving stock (SLOBS - slow obsolescent lines)  to free up cashflow to replace it with stuff that shoppers DO want.  

However, this raises some interesting questions about how a Not For Profit (NFP) entity operates in the retail space.  Let me say that I have no idea how Oxfam have structured their retail operation, and that I applaud the way in which they been able to distribute product from suppliers who would normally not have had access to the retail channel.

Ok, so caveats aside, here are some of the questions:

1. Is the retail entity expected to do more than simply break-even ? Who pays the cost of capital ?

2. Who carries the pain for markdowns ?  presumably suppliers have been paid a fixed price ?

3. Does the scale of these markdowns suggest a broader problem with this type of business model ? In other words are shoppers only prepared to do so much 'ethical' purchasing ?

4. How aggressive should they be with the markdowns before it impacts on the perceived quality of their offering ? Do they then negotiate tougher trading terms with their suppliers (as most retailers would) ?

5. As a donor to Oxfam, would you be comfortable with the idea that your dollars might (I say this advisedly) be cross-subsidising their retail activity ? I would guess most donors would not. So, if not, what is the situation ?

6. As a donor to Oxfam, would you buy some of the 'distressed' merchandise ? Or would that make you feel slightly guilty ?

7. As a shopper, you can probably find similar 'ethnic' merchandise in other stores ? Does this influence your perception of price and value ?

I would be most interested to hear some perspectives, including from Oxfam.

Tacky promotion undermines good cause

YouSave pharmacy, Warringah.  Now hear this: the McGrath Foundation does great work.  My question is whether the execution of this appeal and promotion was well considered.  Somehow I can't reconcile the orange and blue of YouSave with the pink ribbons and crinkle paper, and then Blackmore's own brand colours.  Not to mention the blue skin suit.....  I am not sure the parties have done themselves any favours with this. It just looks tacky. A case of more is less ?   

Christmas cards from the world

Oxfam, Broadway.  Christmas cards from the world for the world and some interesting decorations :) Do you think Pepsi know or care ?  Or is this line extension by stealth ?

CELEBRATING COMMUNITY TRADE

The Body Shop, QVB.  Positioning for the growing interest in fair trade.  Perhaps not communicated as clearly as it could be for a cluttered mall environment,  a complex issue.  This would perhaps have been better served with a clear retail offer, to draw attention to this issue in today's trading environment.

CHARITY THAT SELLS

Charity store, Oxfam, clearly starting to up its standards - as it needs to, to compete in today's marketplace. Broadway mall, lunch time, Thursday.