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FAIRLY TRADING WHOLESALE GIFTS SINCE 1995

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Crazy Crazy times
Fri May 27 2022 21:20:00 GMT+0800 (Malaysia Time)

Greetings from the pretty town of Trnava, Slovakia.

Last week we were in Istanbul on the edge of Europe, checking out the giftware buying opportunities there. Which I have to say was way beyond my expectation (details below).
I was telling you about all the flags in town and how Istanbul was nothing at all like we expected, if you missed it you can catch up here.
We soon bailed out of the trade show when we discovered that you could find things cheaper in the retail shops than the tradeshow and started making contact with local family businesses. Originally we planned to stay 3 days but extended another 3 to try and make some deals...
But we had to go... Slovakia calling, they had just finished making an epic move from our modest warehouse to a brand new custom built massive crazy big shed. This will be our home for the next 15 years. So we took Turkish airlines from Istanbul to Vienna and from there by car across the border into Slovakia and to Trnava.


I love Trnava - it's nice to be back.

Although Turkey is not that far from Slovakia, culturally it is a different world. For example in the tradeshow the booths were a cross between showroom and a cafe, some even had apron clad baristas on hand serving Turkish tea or coffee. In Europe we get down to business quickly, but here doing business and establishing a level of trust is an elaborate courtship. The way it works is they are not going to wheel out the best deals to strangers (who might be spies) first you have to drink tea and sound each other out, eventually when you have been forced to consume platefuls of baklava - massive overload of delicious honey pastry and sugar snacks -  eventually when you have bonded, only then will the best prices emerge slowly. 

So we were a little shocked to find that in the Grand Bazaar - a tourist trap if there ever was - the price before negotiations was cheaper than in the tradeshow. Wow.. this is a topsy turvy crazy world. It can partly be explained by the massive financial crisis that Turkey is going through right now. The value of the currency has collapsed in the last year, so this in theory should make exports cheap. Turkey is running out of reserves and ever more extreme extreme measures are been taken by the government. I'm not sure what I expected but what we found was a boom town, traffic jams, cafes and restaurants full, hotels expensive and fully booked, streets crammed with shoppers. The only cracks on view where rumours of protests downtown, taxi drivers telling us it was impossible to go to such and such an area right now. Lots of foreign exchange booths had been converted to cryptocurrency shops and seemed to be busy. The ATM offered USD and EURO as well as local currency. A city on the edge..

But we made a few friends and discovered nice people willing to help us find the genuine family businesses we like..  Turkey has a hammams, Turkish baths.. and so a cotton textile industry.. so spa towels, robes, bath towels etc. Lots of craft soap and cosmetic preparations.. Also wonderful tea mixes and other exotic herbs. Actually lots that fit in with existing AW ranges and I feel could bring a breath of fresh air to your stores and online shops. We will be back to finalise some deals soon.

Here in Slovakia we found a team slightly bewildered by what they had just done.. led by Tomas - often at a distance - they have achieved miracles, and managed to move from our warehouse of five years into this big mega shed - it's a bit crazy. The old warehouse cleaned repainted and handed back to our lovely landlord with no drama, a French company are already moving in.. the new place is almost finished - workmen are still working around us fixing windows and the finishing touches. No drama.

I have to say I'm so proud of the team here.. they are a little serious in that Eastern Europe kind of way, but super professional and hard working. Definitely my favourite team in the way they cope with any challenge without drama and just make it happen.  We left our original home and moved to the next stage of growth, it's like AW Gifts has grown up. From a warehouse that became way too small for our level of trade to one.. we are rattling about in..  and at this moment in time when sales are a bit subdued, (although we are still up on last year), it's easy to think "have we done the right thing?" 
Even I look at it and think OMG.. this is crazy, I have to go and check the sums again.



Yes! I tell them of course we have! We got a fantastic deal on this super shed.. it will enable us to be Europe's top giftware wholesaler and open up a world of opportunities - I make a speech that would have had the Spanish or UK guys bouncing off the walls and whooping with joy.. here they just nod seriously and scratch their chins. There are things to be worried about these days.

And I guess many of you will be feeling it also. Maybe it is the looming cost of living crisis but I think it is something else, more like a shift in focus. Tourist shops are doing good.. 

What is hot right now?
So somethings are selling well, notably bags, backpacks, wearables like bangles etc (because people are out and about). And for some reason anything gemstone related is selling very well indeed. Here is Slovaka by far the best seller is the Craft Soap Flowers..  as I guess shops get creative and make their own products in response to the cost of living crisis.

Meanwhile..
In the UK great excitement at the Jubilee celebrations, which should be a right royal knees-up and lighten the mood. Also not far away is Father's Day.. 
In Turkey where inflation is off the scale and everything is going pear-shaped, they are in the next stage.. where folk suddenly realise that it's better to spend money now whilst you still can because later it will buy you even less than today. Crazy no?

So cheer up.. Crazy times but at least we have some great deals and opportunities for you - see below..

More news next week.

David
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