Then & Now: Abraham Hatoum

Every edition Ragtrader talks to a previously profiled brand about how it has developed in the intervening years. This week, Tracey Porter caught up with LookSmart Alterations founder Abraham Hatoum.

COMPANY LookSmart Alterations
FOUNDER Abraham Hatoum

What were the key issues or challenges for your company five years ago? What are they now?
Setting up in major shopping centres alongside the fashion retailers and finding tailors whose skills were as broad as our service list. Right now it is finding quality franchisees that will run the business to its full potential.

How has the company changed?
Rebranding from City Wide to LookSmart Alterations took us from a one shop wonder to the largest tailoring franchise in the nation. Five years ago our stores were predominantly over the counter services with very little room to fit customers. The stores now look and feel like grand walk in wardrobes. With chandeliers, marble floors and granite tops customers can relax while they are measured and fitted by their personal tailor. One thing that hasn't changed is the brilliant service we provide to all our customers and our tight partnerships with fashion stores across the country.

How many stores and retail accounts did you have five years ago? How many do you have now?
It started with one - Country Road and now we service more than 2,000 retail stores including David Jones, Gianni Versace and Lisa Ho. Most recently we have opened the first tailoring concession in Myer Melbourne, and this will follow with openings in Myer City Adelaide and Sydney.

What was the retail climate like for your business five years ago? How has it changed?
I believe the beauty of alterations is that it is recession-proof. In desperate times people will repair old clothes rather than just throw them out and buy new items. In financially better times we see the shift from general alterations to complete restyling, resizing and tailoring of new garments. One thing remains - the need for alterations is always there so taking garments in or up are pretty constant, regardless.

What was your approach to marketing and promotions five years ago? What is it now?
Five years ago our approach to marketing and promotions was to focus on local area marketing. This was predominantly through promotions and advertising. We were concerned with getting people through the door. Now we focus more on generating brand awareness without losing sight of local area markets. This approach ensures people understand the integrity of our brand and the value of our service. 

What was your approach to staff training five years ago? How has it changed?
Five years ago, training was limited to the induction period for franchisees or employees. Today, with significant focus on putting our employees first, we have a more regular training program which encompasses customer service and even style consulting.

How many staff did you employ five years ago? Now?
In 2003 we had 80 people in our team. Today we have over 375 with LookSmart and its franchisees.
 
Approach to retail technology (either POS or security) five years ago? Now?
Our approach with most of our efforts years ago, were very store focused. Today, we use a sophisticated POS system which gives our national support office real time visibility to how each store is performing independently and comparatively. This allows us to monitor performance and ensure LookSmart delivers a high level of service that is consistent across all locations. 

What was your greatest moment/most significant development in the past five years?
Easy - our rebrand. This new brand name demolished all geographical boundaries that we once felt bound to when our name was City Wide. It was an opportunity to reassess our strengths and weaknesses and develop services and values that would build on what our loyal customers had come to know. Now, we have expanded into New Zealand and will be exploring options beyond the Tasman in the near future.

What has been the worst experience of the past five years?
Not having the right franchisee selection criteria. Giving the wrong people the opportunity to join our company has cost the business a painful amount of time and money. Today the selection process is a lot more thorough. We want people who are motivated and determined to succeed - because attitude is one skill we can't teach people ourselves.

By Tracey Porter