LJ LJ-Bar Tack & Saddlery

1. LJLJ-Bar Tack & Saddlery By Loncey Johnson

2. LJ-Bar’s Employees • Owner operator = Loncey Johnson • Web design/accountant= Jessie Jo Witte The purpose of LJ-Bar Tack and Saddlery is to perform the construction or reconstruction of good looking and quality cowboy products. There is a need for custom orders along with having the right product on hand when it is called upon for a quick pick up.

3. LJ-Bar’s CustomerRelations Management system • The CRM system in which has been integrated into LJ-Bar is the OnContact software. • This software adds just the right edge to help create a success story and a great relationship amongst the customers.

4. The Use of OnContact • The use of OnContact can be of great use to the shop. • It can be used to track customers ( there phone numbers, addresses, amounts in which they spend at the shop, and what they order) • When tracking there order I could keep track of what they ordered, what finish I put on it and the sort of tooling along with the hardwares used • This could allow me to look back and throw a sales pitch to them on a product I could build before it was ever ordered from them. As well as match products as they are ordered from them.

5. Porter’s Model Suggests • The buyer power is high for the shop and by having a good CRM could help lower this situation • Supplier Power is fairly low which would be good to be able to track suppliers information and the good that they provide • The threat of Substitute Products or Services is very high. There are many of the same products offered at different qualities, looks and prices as well as customer relations.

6. Porter’s Model Suggests cont. • The Threat of New Entrants is also high. It is not to hard to get a leather shop started. The most difficult is having the patients and the talent and a few funds. By having a good customer relations base you can beat out the new competition by not running of the customers you have to the new guy. • Rivalry Among Existing Competitors is mediocre as long as you make what the people want at a good price and respect them. In other word have a good CRM and it will help dwindle the existing competitors.

7. The Features of OnContact • One of the main features of OnContact that makes it stand out is that the fact that it conforms to you. • LJ-Bar is rather small now so a system that adapts to the shop and then grows with it is essential. • It is fully customizable, this allows for a program in which needs no updates. • Also with this great system you can take it anywhere (web based) with you, and not be stationed. With this I can go to events with my product and build a customer relation at these events.

8. The Challenges for the Year • Challenges for the year can be to get the system up and running as well as figure out the best way to manage the program and incorporate it in a manner that is useful. • Another issue that may come of an issue is gathering all the information from the clientele without being pushy or over bearing.

9. The Initial Cost • As far as the initial cost goes it is said to actually be free!!! for the first 30 days. • After that the system is $59.95 per user per a month. • It seems a little on the expensive side however there are no updates acquiring an additional fortune.

10. Long Term Cost of OnContact • On a yearly basis OnContact cost a total of $1438.80 on a normal year for two people to run it. • After three years this total comes to $4316.40 for two people to be able to run the system. • However in LJ-Bar’s status I think one person can manage on this system dropping it to $719.40 a year or $2158.20 for a three year period.