I am in Wisconsin right now for the L&NW Symposium. I flew in late Sunday night because I wanted to go and visit a client today up past Green Bay in northern Wisconsin. This client makes a range of herbal body products and sells them through spas and natural food stores. As I was driving up this morning I was struck by this interesting juxtaposition. Here I am driving through dairy country and the land of cheeseheads, to visit someone selling high end body products to spas. When we talked about this at lunch the owner of the company agreed it was an unusual place for her business. She started in San Francisco, but she is from Wisconsin and wanted to return to her family. The wonderful thing about business today is that geographic location is becoming less relevant. The main markets for these body products are Manhattan and San Francisco, so she focuses her sales efforts here. She is hiring a sales manager who is based in San Francisco to start pushing her products there. By basing herself in a place where many of her business costs are less than a third of what they would be in the big cities, she is able to keep her prices down. The additional cost of a few plane trips and extra freight are nothing compared to just the extra rent she would have to pay. By using technology and the UPS delivery system this company is enjoying success at some of the most competitive high-end markets on earth. And she is doing this from a small town in Wisconsin. Of course, I like to think our labels also have something to do with it!
Location, Location, Location ... Is it Important?
This entry was posted on May 15, 2006.