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Feb/ Mar 2009

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Greg ascribes their success to:
  • As a small family-owned business they can adapt quickly to changing economic conditions — for example, by changing their marketing focus when higher mortgage and interest rates cut the income of the 40-year-old with kids, but higher fixed interest rates puts more money into the retired person’s pocket, or vice versa. They also have more control on curbing spending, when necessary;

  • Motivated staff because there is mutual respect and they feel part of the family;

  • They are able to adapt to new trends in the local market because the management are on the floor and can hear and see what is currently popular — like pink shirts;

  • Customers know that when they complain they can expect the managers to deal with it fairly and efficiently;

  • Their product range is very diverse, supplemented by four big buy-ins per year: after the May Madness sale, the Octoberfest, the January end of summer sale and the end of winter sale in July;

  • Make the most of your advantages. For example, Fish Hoek attracts many visitors from England, especially when the exchange rate drops, and overseas customers are offered a free breakfast at the local hotel.

  • Bucking the trend for 80 years

    AP Jones in Fish Hoek has been bucking all trends over the past 80 years by growing sales and expanding merchandise as an independent high street store. While many retailers battle to beat the economic downturn, they have been experiencing excellent sales. What is the secret of their success?

    AP Jones is a family store in the true sense of the word. It is not only run by the third generation of founder Albert Pascoe (AP) Jones’ family, but the staff members, many who have been there several decades, are considered to be part of the family. They also cater for the whole family, from grandchildren to grandparents, in a community where many residents regard them as “part of the family”.

    After all, AP Jones grew and changed with Fish Hoek. When Cornish immigrant AP Jones first settled there in 1920 (he worked for Garlicks and Stuttafords in Cape Town), there were about 80 residents. In 1928, when he opened a grocery store as forerunner to what has become a Fish Hoek main street landmark, the population was not that much bigger. The grocery store soon grew into a general store, and later expanded into a separate ladies store run by his wife, Flo, which offered a wide selection of everything from cotton to camisoles.

    The business grew, survived the 1933 depression, and in 1952 moved to the present premises where the general and ladies departments were incorporated in a department store. Although the store grew in size, the personal attention to customers’ needs is still evident.

    AP retired in 1978 and left the business to his son Geoff and son-in-law Fritz Bing. When Geoff retired in 1984, Fritz and his wife Jenny bought the family business, now managed by sons Greg and Rick, although Fritz still comes to the office daily, where he keeps an eye on the finances.

    AP was a founder member of the Fish Hoek cricket as well as bowling clubs — he played bowls until shortly before his death, aged 94. Fritz, renowned as a provincial cricketer in the 1950’s and later as selector and long-time president of WP cricket, played a major role in the unification of the SA Cricket Union and the SA Cricket Board to form the United Cricket Board of SA. He was also manager of the first cricket team (in 1994) to tour England since 1967.

    His sons share his cricket passion and followed in his footsteps to lead the Wynberg Boys’ XI in 1976 (Rick), 1978 (Greg) and 1981 (Brad). Greg captained the WP Nuffield team in 1978 and Brad coached for the union in the 1980’s before he founded Sporting Chance, a youth sport development agency.

    After Fritz joined the business in 1965, it was a natural progression to introduce a sports department. Although the sport-loving Bings would have loved to fill the store with sporting goods, retail sense dictated that they diversify and concentrate on the clothing and footwear brands and styles that would keep a department store of this size profitable — and therefore the ladieswear department remains a main feature. The comprehensive swimwear department boasts a wide range for every age and size, not readily available elsewhere.

    Greg’s wife Lynn is now in charge of the ladies and swimwear departments, previously the domain of her mother-in-law, who in turn took over from her mother.

    As the store is across the road from the sea, Fritz’s decision to introduce surf brand Hang Ten in the mid-1970’s was a great success — even though the “surf baggies” and clothing range with the feet logo was a relatively new concept for surfers used to wearing any old cut-off jeans or swim trunks. Today, well-known surf brand names like Lizzard, Lizzy, Rip Curl, Volcom, Island Style and O’Neill attract customers — by no means all surfers — to the store.

    The shoe department is the fastest growing section in the store, with a wide selection of brands where the likes of Hi-Tec, Olympic and New Balance do particularly well among their price-conscious customers who still want good value, says Greg. “One can only stock so much,” he says. “Space is always a problem.”

    They rather concentrate on giving greater exposure to brands that might not get that much exposure in sport chains or mall stores. They are, for example, one of the most comprehensive stockists of Pringle in the Cape, as they try to do justice to the diversity of the range, says Greg. Especially overseas visitors stock up on this international brand sold here at very competitive prices.

    Casual lifestyle brands Jeep and Wrangler are also popular among their customers. Their Wrangler range is especially large as it appeals to all sizes — up to 50 — and ages.

    AP Jones have always made a point of supporting SA manufacturers, as is evident from the many SA footwear and clothing brands they stock.

    Even though they are aware that they cannot compete with discounters, the price difference on many items is small enough to convince customers to buy where they get advice based on long years’ experience, as part of the deal.

    That is why they could survive the first five tough years after a shopping mall housing the main chain stores opened in the area: they kept a tight rein on expenses until customers once again turned to them for their wide product offering, personalised and experienced service and the convenience of parking close to the store.

    “An American visitor said our high street store is ahead of the rest of the world, as the US trend is now to move out of malls and back to the high street,” says Greg, who also considers it significant that Pick ‘n Pay recently opened a store along the high street.

    He also believes that they managed to survive by making changes to the store layout and stock. “Our older customers know the store very well and know what merchandise they can find here and there is therefore no need to advertise to them,” says Greg. “But to keep the younger customers we had to change with the times and adapt our image.”

    The challenge was to attract young people, without alienating older customers. For example, while the walls are festooned with surfbrand posters, there is no blaring music to irritate more mature customers.

    They gradually introduced the changes that today results in an open, spacious, department store with clearly branded sections catering for different consumer groups — teenagers can browse their favourite brands in a different area to where their mothers are fitted for swimwear, their fathers are measured for blazers and trousers, their grandmothers buy dresses and younger siblings try on school clothes.

    “Back to school” time is a fun-filled period at AP Jones, with balloons and a festive atmosphere, punctuated by the ringing of bells and serving of fudge to Gr 1’s who come to buy their first sets of schoolwear.

    Another reason why they could survive is because they are conservative with granting credit. Greg checks the accounts on a daily basis so that there is little chance for unpleasant surprises from debt defaulters.

    But, in the end, it is the acronym that became a business philosophy that explains their amazing survival record: Y(ou) C(an’t) D(o) B(usiness) S(itting) O(n) Y(our) A(r… ). As any customer knows, Greg and Rick are always on the floor, where they can be seen directing staff to customers needing assistance, while chatting to familiar customers.

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