EP 055 | How Interior Designers Stay Profitable as Product Margins Shrink with Leslie Carothers

April 9, 2018

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What happens when manufacturers start selling directly to consumers and product margins continue to shrink?

In this episode, Kimberley Seldon speaks with Leslie Carothers about one of the biggest challenges facing interior designers: changing product distribution models. While direct-to-consumer sales may seem threatening, Leslie explains why designers who clearly define their value and market their expertise can continue to thrive.

For interior designers looking to protect profitability and differentiate themselves in a competitive marketplace, this conversation offers practical strategies for adapting to industry changes.

In this episode, we learn:
• Why manufacturers must continue evolving their sales strategies to remain competitive
• How strategic purchasing decisions can help improve profitability
• Why designers must focus on selling expertise, not just products
• How clear positioning helps attract clients who value professional guidance
• Why marketing is an essential responsibility for every design business owner
• How service, experience, and project management create value beyond product margins

 

Take Aways

To maintain product revenue stream, consider:

  1. selling more antiques and vintage.
  2. private label design (custom furniture).
  3. supporting small shops and makers of goods.

Consider defining multiple levels of service that you provide to clients. Full design-build. Only consultation. Project management.

 

Design Intervention

Own your niche. Own all of your content around that tight focus in order to build a reputation for the one thing you are really good at.

Google Maps If you have a retail location or outside office, make sure to help people find you by optimizing your position on google maps. Maps come up first in any search.

Leslie Carothers, CEO of The Kaleidoscope Partnership and co-founder of Savour Partnership, pioneered the use of social media and influencer marketing within the home furnishings and interior design industry.

With her 37+ years of experience within these two industries, her company, The Kaleidoscope Partnership, has, for the last 15 years, assisted over 35 manufacturers, retailers, publications, tradeshows and interior designers build brand recognition, generate leads, sales, national publication and PR opportunities.

Her new company, Savour Partnership, co-owned with Sam Henderson, helps brands generate passive income 24-7, in the short term, and build sellable media assets, in the long term, through the production of magazine quality, custom branded e-publications, embedded with video and affiliate product links, including email opt in mini-magazines, catalogs, online magazines, e-books, etc.

Ms. Carothers is a well-known speaker and has spoken or keynoted at over 25 different national venues and is frequently quoted as an expert resource in national publications. For 9 years, she wrote the Retail Ideas column for Furniture Today magazine and her micro-blog, @tkpleslie, where she has 36,000+ followers, was named by Decorex as one of The Top 100 most influential interior design blogs in the world.

She currently serves on the board of directors for the Bienenstock Furniture Library and is also active in several charitable initiatives.

Kaleidoscope Partnership – digital marketing for designers and brands.

Savour Partnership with partner Sam Henderson – producing e-publications that live on the websites of the brands and designers. Sometimes contains ecommerce links.

Facebook Group – All Things Passive Income + Top Tips For Driving Traffic To Your Site/Blog.

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Legal Disclosure | This podcast is for educational purposes only and provides general business advice for interior designers and design professionals. It is not intended as individual legal, accounting, or professional guidance. Kimberley Seldon and Business of Design® make no guarantees regarding accuracy and are not liable for how information is used. Strategies shared may not apply to every situation—listeners should seek qualified legal, financial, or professional advice before making business decisions. References and resources mentioned may change over time.

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