Originally published April 17, 2009 at 12:00 AM | Page modified April 17, 2009 at 9:10 AM
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Retail Report
Compendium finds success in feel-good cards, books, journals
Compendium in Fremont sells most products through about 4,000 independent gift shops, spas, yoga studios, grocers and book stores, as well as large chains, including Starbucks.
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Seattle Times business reporters
When former teacher Dan Zadra started Compendium in 1985, he could not have known how much of a need there would be for its feel-good products in 2009. Amid all the economic doom and gloom, the Seattle gift company is on track to do a little more than $7 million worth of business worldwide this year, up 15 percent from 2008.
Zadra suggests people increasingly are buying Compendium's greeting cards, books, journals and stationery because of the recession, not despite it.
"People need to be reminded of the better parts of the human spirit in good times and bad, but right now, I think it's especially important," he said. "The messages inside are very, very important to people."
Top sellers include a quotation-filled book titled "5 — Where Will You Be Five Years from Today?" for $14.95, as well as flip-up notebooks with such sayings as "Trust Your Crazy Ideas, Crazy Might Just Work," and "All the Flowers of Tomorrow Are in the Seeds of Today," each for $2.95.
Zadra, 62, still works for Compendium as editorial director but long ago turned over day-to-day management to Kobi Yamada, 41, who joined the company in 1992 after graduating from San Diego State University. At the time, Compendium made inspiring pop-open notecards for corporate clients to give their employees.
Today, most products are sold to consumers through about 4,000 independent gift shops, spas, yoga studios, grocers and book stores, as well as large chains, including Starbucks, Papyrus and Target. Compendium also sells directly to consumers on its Web site, www.live-inspired.com.
Yamada, the company's president and chief executive, attributes its current sales growth to a product mix that is both "hopeful and affordable — a great combination right now."
"People want to connect with their friends and family. They just need to do it a little less expensively," said Yamada, who is married to former Seattle City Councilmember Heidi Wills.
Before the recession, "people probably would have given a sweater and then one of our books," he said. "These days, they might just give our book."
Compendium employs 18 people in Seattle's Fremont neighborhood, plus seven people at a distribution warehouse in Everett. Its fourth-floor offices in the Fremont Space Building off North 36th Street include a large kitchen, pool table, swing and pair of beach bikes.
Last year, the company introduced a new line of eco-friendly greeting cards called Positively Green, promising to donate 10 percent of the profits to Conservation International and Climate Solutions.
"So far, we're probably at a place where we can donate something in the range of $60,000 to $80,000 to these two organizations," Yamada said.
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The cards are made of post-consumer recycled fiber at Printing Control in Tukwila, an EnviroStar printer that uses soy-based ink and renewable energy.
Each card offers a different tip under the heading "Do Something Green," such as No. 98: "Simply wiping the dust off your refrigerator coils with a damp rag can reduce energy use by 30%."
It's not as if Compendium is immune from the recession, though. Yamada noted that the company has lost some of its wholesale accounts to store closings.
Hoping to prevent more closings, Compendium recently offered to pick up shipping costs for retailers once their 2009 orders add up to at least $750.
"Does it cost us a little bit of (profit) margin? Yeah," Yamada said. "But it's important that they keep their doors open. People are spending less money, and their overhead doesn't change."
— Amy Martinez
TidbitsThe Piano Nobile art gallery in Ballard and Dao Jewelry have introduced a new collection called the Positivity Project. The collection's necklaces, rings, bags and organic T-shirts feature a mathematical plus-sign logo, "to carry a positive message in response to the turbulent times we live in." Piano Nobile said it will donate 5 percent of the retail price from the collection's sales to Nest, a nonprofit that supports women artists and artisans in developing countries by helping them build businesses. — AM
Seattle-based Tommy Bahama has signed a two-year licensing deal with New York's Yankee Stadium. The deal, which includes an option to renew for a third year, allows the stadium to operate a Tommy Bahama Bar near the main entrance. A wholly owned subsidiary of Oxford Industries in Atlanta, Tommy Bahama has about 80 U.S. stores where it sells clothing and swimwear. Of those, 12 include a Tommy Bahama restaurant and bar. — AM
Retail Report appears Fridays. Melissa Allison covers the food and beverage industry. She can be reached at 206-464-3312 or mallison@seattletimes.com. Amy Martinez covers goods, services and online retail. She can be reached at 206-464-2923 or amartinez@seattletimes.com
Copyright © 2009 The Seattle Times Company
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Retail Report is a look at the trends, issues and people who makeup the dynamic and versatile retail sector throughout the Puget Sound region. Every Friday with Melissa Allison and Amy Martinez. Send tips or comments to mallison@seattletimes.com or amartinez@seattletimes.com.
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