I just received a check in the mail today from Lee Valley Tools. It was a rebate of $11.40 against the purchase of my #4 smoother. The reason being that the price has dropped for 2006. What a great company. Why wouldn’t you buy from them. They have the mentality of a neighborhood store with the products of a world wide company. Good on you, Robin and the rest of the staff.
Derek
Replies
I just met Rob Lee at MontanaFest. I can assure you he is a very nice gentleman and not half bad at horseshoes either! It's nice to know your money is going to someone who is trying his best to provide a quality product AND good customer service.
Smitty
Amen!
They sent me a check too as the price of the Forrest chopmaster blade I bought had dropped. What a great company.
Andrew
Sounds like they are astute observers of human behavior as well; since it probably cost them as much to cut an $11 check as the value of the check itself, I wonder if they're posting the cost of these rebates directly to their marketing department? It's a savvy PR move, to be sure.
-Jazzdogg-
"Don't ask yourself what the world needs. Ask yourself what makes you come alive, and go do that, because what the world needs is people who have come alive." Gil Bailie
"probably cost them as much to cut an $11 check as the value of the check itself" JD, that might be over-reaching just a bit dontcha think?
I had an uncle who obviously wasn't very happy with his extended family. He left us each $1 -- now that was a case of the process costing more than the check (I think it was a money order even). So sad.
PS, to "all": Super-kudos to Lee Valley. They never cease to amaze me.
forestgirl -- you can take the girl out of the forest, but you can't take the forest out of the girl ;-)Another proud member of the "I Rocked With ToolDoc Club" .... :>)
Edited 8/16/2005 12:51 pm ET by forestgirl
"JD, that might be over-reaching just a bit dontcha think?"
FG,
Not a bit, actually. Back when I was a CFO, we completed detailed flow-charting and process cost documentation. As I recall, by the time we figured out the impact check writing had on each of our business cycles, the cumulative value exceeded $8.00 per check, and that was at least ten years ago.
When I went to work for a certain well-known luxury hotel chain in the last decade of my hotel career, we used the same process analysis and improvement protocols to improve profitability by more $2m in the first year - without effecting the guest experience.
For the ultimate in this kind of process analysis and cost control, look at one of the outfits like Pepsi/Taco Bell, who measure cost and profit per item to the nth degree. Why do you think the paper wrappers on drinking straws are wrapped so tightly these days? LOL
-Jazzdogg-
"Don't ask yourself what the world needs. Ask yourself what makes you come alive, and go do that, because what the world needs is people who have come alive." Gil Bailie
"...and that was at least ten years ago." Do you think costs would be higher now due to whatever inflation we've had, or is there a chance they might be lower due to more integration of computers and databases and such? I'm just curious. I'm impressed you reached CFO status -- that's heavy duty stuff! Balancing my checkbook gives me a headache, LOL!forestgirl -- you can take the girl out of the forest, but you can't take the forest out of the girl ;-)Another proud member of the "I Rocked With ToolDoc Club" .... :>)
"Do you think costs would be higher now due to whatever inflation we've had, or is there a chance they might be lower due to more integration of computers and databases and such? I'm just curious. I'm impressed you reached CFO status -- that's heavy duty stuff! Balancing my checkbook gives me a headache, LOL!"
FG,
To succeed in accounting, all you really have to do is remember: debits on the left, credits on the right ; - )
It's amazing to think about all of the people, institutions, and processes that are affected by an act as simple as writing a check. If you take the time to complete accurate flow charts that document these kinds of transactions, it can be quite revealing. Considering the increases in virtually every cost factor, from the cost of printing checks and envelopes, to wages, to computer processing, to bank surcharges, to CPA audits, etc., it seems quite unlikely that costs would have done anything but increase.
The paperless office envisioned by the optimists who launched the computer revolution never came to fruition during my business career; in fact, the introduction of computerization increased the need for storage of hard copies by leaps and bounds, increasing exponentially as the credibility and sanctity of source documents became vague memories, and people failed to percieve a need for succinctness and brevity when recording transactions. Heck, banks have only recently ceased returning checks with bank statements, and the pundits said that was supposed to have happened sometime during the 1990s.
To this day, I still use elements of process review, transaction flow, forced rankings, and cost:benefit analysis, but I'm applying them to woodworking and education - thank goodness!
Sawdust in your shoes,
-Jazzdogg-
"Don't ask yourself what the world needs. Ask yourself what makes you come alive, and go do that, because what the world needs is people who have come alive." Gil Bailie
I don't think the rebate was intended to be a savy PR move at all. To say that would imply the real intent was to draw you in for the up sell, or the old bait and switch.
Anyone who shops Lee Valley regularly, comes to realize their success is based on consumer trust, which they've earned, and working hard to consistently deliver quality products, at fair prices.
While it might be rare in this day and age, I believe integrity exists at Lee Valley.
People with vision build successful businesses.
Walker1
Edited 8/17/2005 4:29 pm ET by Walker1
"While it might be rare in this day and age, I believe integrity exists at Lee Valley.
People with vision build successful businesses, not bean counters."
While I might phrase the second sentance slightly differently ;-) , I agree totally with the intent. There are a lot of businesses that would do well to emulate Lee Valley.
You are correct.
That second line was, disrespectful, and uncalled for. I,ve amended it.
I suppose I let the arrogant tone of that post get the better of me.
Cheers. Walker1
"I don't think the rebate was intended to be a savy [sic] PR move at all. To say that would imply the real intent was to draw you in for the up sell, or the old bait and switch."
Walker,
Whoa, big fella! You drew that inference, not me. Furthermore, I don't believe that understanding customer psychographics, being PR savvy, and having integrity are mutually exclusive.
Doing the right thing, even when it cost more than is apparent to your customers, is as honorable as it is rare. In this day and age, when a company is savvy enough to realize the goodwill such acts generate, while recognizing the true cost, is the act of a savvy business - one with great public relations skills.
I applaud Lee Valley/Veritas for their ability to balance short- and long-term objectives, apparently measuring the validity of their corporate behavior against well-established values. It takes wisdom, courage, and PR savvy to make the kinds of sacrifices they routinely make to keep their faithful customer base coming back for more.
-Jazzdogg-
"Don't ask yourself what the world needs. Ask yourself what makes you come alive, and go do that, because what the world needs is people who have come alive." Gil Bailie
I use Lee Valley for some things and really like them.
The accounting dept of the company that I worked for when I retired was taking months to pay invoices and each check was estimated to cost $15 to cut. My dept took over that job from them in the last few years I was there and we got the cost down to about 50 cents a check and most were paid within 2 weeks of being received.
Walmart is the champion however. Each of their invoices are said to cost an average of 11 cents (1999 money) to process. While lot of people don't like Walmart, they are the most efficient company in the country and probably the world.
PlaneWood by Mike_in_Katy (maker of fine sawdust!)
PlaneWood
"My dept took over that job from them in the last few years I was there and we got the cost down to about 50 cents a check and most were paid within 2 weeks of being received."
Planewood,
I won't attempt to dispute your numbers. I do wonder exactly what expenses you included in the numerator, however, as the real cost of generating a check includes far more than the cost of the check itself and the labor required to generate it. The postage to mail a check is more than $0.11!
-Jazzdogg-
"Don't ask yourself what the world needs. Ask yourself what makes you come alive, and go do that, because what the world needs is people who have come alive." Gil Bailie
I believe those numbers were just for people costs. Anyway, the 11 cent figure for Walmart came from the Wall Street Journal about 7 years ago. We used that as a leverage to break away from our accounting dept.
PlaneWood by Mike_in_Katy (maker of fine sawdust!)PlaneWood
Leonard Lee is the founder of the company that his son currently runs as preident
About 2 weeks ago the local paper ' tHE oTTAWA cITIZEN " RAN A ARTICLE ON lEONARD lEE WHICH WAS VERY INFORMATIVE AS TO HIS BUSINESS PHILOSIPHLY IT WAS EXTRIMELY GOOD READING FOR ANY BUSINESS PERSON.
This forum post is now archived. Commenting has been disabled