Big !!Raleigh Woodcraft Sale!!! Closeout!!

[rickc]

Tom - I too wish to extend my regrets. Anytime I went in, I was always warmly greeted and had all of my questions answered. This is disappointing.

Rick

 

[NCPete]

.

In an area that that has a population of over a million, there is not enough of a base to support a store like this?

No, in fact, what I recall from conversation with Tom and with a gentleman from Franchise Relations, a million is kind of on the small side for ideal markets for a store like this. Witness the fact that Rockler has closed many of its stores in similar sized markets, we may see others, too. I think outfits designed like the Woodworking Shop and other's may have more of an ability to run successfully, albeit also with fairly marginal profits.

My concern is what implications does this have for other, smaller operations? Woodcraft has a reasonably large advertising budget compared to others, and word of mouth may be cheap, but how do woodworkers without a network know about these other places????

I would expect that a Woodcraft-type store in a market like Raleigh could thrive if associated with something like ACE Hardware, but that probably raises various franchising issues. I am sure that in the Raleigh location, there are two things that negatively affect the ability to make a profit: Location. That is an incredibly nice little shopping center. rent and all its associated costs (common area maintenance, insurance, taxes, lease hold improvement) probably top $10-12000, maybe more. some of that can be recovered from the fact that it is a good location - lots of traffic, and numerous other things to draw people to the shopping center.
Payroll. Often the largest cost associated with any retail concern, right after product costs... My guess is that this store had monthly payroll costs approaching $20,000, perhaps more, considering that Raleigh is not a low-income city.

My guess is that product costs would run this store in excess of $60,000 monthly, to keep those toys in stock we all like so much. Maybe that is more, maybe less, but either way they have to make up for 40-45,000 in overhead costs (assuming franchise fees, advertising fees, utilities, fixed asset costs and depreciation, in addition to the above listed guesses) so this means to even make a solid run of things, the store revenues need to approach $100,000 monthly, before the first dollar of profit is reflected. Even if product costs are on the order of $40,000 monthly, it takes an awful lot of customers to generate $80,000 monthly - consider that that is nearly $1Million in annual sales. Have any of us bought enough pen kits, sanding kits, mobile bases or whatever to begin to support that?

I enjoy 'group buys' as much as the next guy for savings on big product, but when we do that, we commoditize the product, taking a very real portion of much needed income away from the store and the small businessmen taking the risk on their own to provide a product and service to us. Commoditization (making a product like a commodity) in the business place is only good for the buyers, never for the middlemen that get squeezed between the buyer and manufacturer. This is why many of our machines are being produced in China - the manufacturer is trying to get a profit out of the equipment, and will do it any way possible, even when having lower prices demanded by their retailers and other distributors.... This is why Grizzly handles their own distribution. They control the production and resale, thus the profit.

 

[Robert Arrowood]

I'm sorry to hear the store is closing.How about the Charlotte store?And are the discounts good off the web site?

 

[cpowell]

That is sad news. :-( For me, a trip to Raleigh always included a trip to Woodcraft. :-D

Chuck

 

[Canuck]

This is terrible news, Tom!!!:crybaby2::crybaby2::crybaby2::crybaby2::crybaby2::crybaby2::crybaby2:

Just yesterday I was out hunting for a small piece of 4/4 maple. Went to Capital City and nothin'!!!!! Auh, ha!!! Off to Woodcraft to see Tom and the guys! Walked in, got a great greeting from J.Lord and off to the stack of lumber. You had exactly what I was looking for and at a fair price, based upon the quality!!! Off I went, another very happy customer!!!

And............I didn't have to drive from Cary all the way up to Capital Blvd!

You and the rest if the team will be sorely missed! Whenever and whatever I ever needed....advice from John, good humor from Joe and his interesting carvings and of course your great sense of Customer Service!!!!!

I am sure that a great bunch like you guys will land on your feet and keep on running at no matter what you do!!!:eusa_clap:eusa_clap:eusa_clap:eusa_clap:eusa_clap

Wishing you and The Team all of the very best!!!

Wayne

 

[JRD]

Tom,

This news is breaking my heart!

Oh where, oh where, will I be able to run for a few woodturning supplies and not have to wait a week for the big brown truck.

Woodcraft has been my life line.

Jim

 

[jeff...]

Tom best of luck to you, sorry to hear Raleigh Woodcraft is closing. I have never been in the store but it looks like a lot of folks here have and are going to miss it.

 

[Alan in Little Washington]

Best of luck Tom. Maybe you can come work at the new Woodcraft that I'm sure will soon be opening in Little Washington- yeh, right, did I see a flying pig out my window?

 

[toolferone]

And are the discounts good off the web site?

The whole company is having a sale that day, but we will be offering deeper discounts then the others.

 

[Eaglesc]

Tom I am sorry to hear about this.
Due to distance I am not able to shop at your store physically but there have been times when I phoned a request to you and your service was always above and beyond.
I know with your knowledge and expertise you will wind up somewhere that will appreciate you.
"One door never closes where another doesn't open"
Good Luck!

 

[Bryan S]

I really hate to hear this Tom even though I did'nt go there much I enjoyed the welcome when I walked in. I had heard you lease was soon going to be up but hoped they would renew or relocate.

 

[Ray Martin]

This is really bad news:crybaby2::crybaby2::crybaby2: Tom, John, all of you there, we're going to miss you... a lot. I know we'll all run into you guys from time to time, maybe at a TWA meeting, but it's not going to be the same without the store.

I wish all of you the best for the future.

Ray

 

[TV]

Sorry to hear this, Tom and John. It's an inconvenient for those of us that shopped there but that is insignificant in comparison to those of you that are loosing a livelihood. Best wishes to you both as you move on.

tv

 

[junquecol]

We're having a family reunion on the 28th. Maybe I could go over to Woodcraft and be reunited with some of my money also. Tom, you know that this means you will have to go get a "real job". Just don't wear or mention the kilt in your interview. If you need some charactor references, just put us all down. We can testify that you are a charactor. With a little one on the way, loss of income is especially hard. Best of luck and ours prayers are with you and all the other guys at WC. It has been FUN! Just didn't last long enough.

 

[DavidF]

That's a real bummer Tom. Best of luck to you and all the guys as you try and find a new career. I'll miss having the shop there even though I didn't use it very often - EEk! am I part of the down fall?

 

[bman]

HEY Tom so sorry to hear of the closing :crybaby2::crybaby2::crybaby2:i work just up the street used to come in at lunch a lot to drool over all the equipment and pick up some odds and ends ...will miss it greatly :--(

good luck maybe you would do some classes in your shop :eusa_thin


Barry

 

[Tar Heel]

Like so many others have said, "you guys will be missed". I wish the best for all of you and hope that all of you find other employment quickly.