Business Tips

The Ten-to-One rule of thumb.
Do you use it?

By Diane P. Illis

The ten to one rule of thumb: all exhibitors have heard of it although no one is quite sure who made up the rule. The rule states that the booth fee an exhibitor pays to get into a show should work out to be 10% of what the exhibitor sells. Even though all of the exhibitors know this rule, are they really using it? Let's hear what some veterans have to say.
"For a show to be successful, I should make nine to ten times my booth fee. Of course, I'm always hoping to make more than that," according to Diane Keen. She adds, however, that the figure often works out to be seven or eight times the booth fee.
Diane does determine whether or not to return to the show based on how close she comes to that ideal figure. She does, however, take "unusual circumstances" into account when making the decision whether or not to return - inclement weather or a change in location, for example. She also likes to talk to other exhibitors about their experiences at the show. How was the organization of the set up? How much advertising actually went out about the show? Based on what other exhibitors tell her, she can determine whether her experience was show-wide, or particular to her booth.
Diane Keen
Howling Moon Creations
Front Royal, VA

Karen Crouse also loosely follows this rule of thumb, simply because it's the only one she has ever heard. "I've never found anyone that has gone by a different ratio. All the craft magazines give the same percentage, so we all use it," Karen stated. Then, laughing, "I wonder who came up with it?" Although Karen uses it as a base to work from, the figures don't tell the whole story. Judging solely by the numbers just doesnÕt work, according to Karen. "We've been doing shows for five years and there are so many variables to consider - weather, travel distance, amount of time away." Karen owns a shop, so every day she takes off to attend a show is a day that someone has to be paid to work at her store. These are some of the details that go into a decision of whether or not to return to a particular show. Karen explains it this way. If she attends a local show, she may only have to make two to three times the booth fee for it to be considered a success. If she travels further afield, the percentage will have to be higher to make up for the travel and time away from work. This spring, Karen experimented with some shows in Pennsylvania and Maryland. She will return to the same shows in the fall, and based on the combined experience of two shows will make her final decision.
Karen Crouse
AK Designs
Kingfield, ME

According to Nina Christman, the ten to one ratio "sounds about right - but not all shows work out that way." There are just so many other factors to consider, the biggest problem being the weather. "We did an outdoor show last weekend and it rained all day. Nobody came, and they would have been crazy if they did!" There are other factors to consider, which are a little more reliable than the weather. The time of year, for one. For Nina, and many of her associates, spring and summer shows are never as successful as those that are in the fall. At these shows "people are more into decorating, and the closer it gets to Christmas, they more interested they are in buying."
Nina Christman
Country Folk Crafts
Barnesville, OH

Diane Hoyt uses this rule of thumb - some of the time. "It works for smaller shows. You have to make (that ratio) for it to be worth your while." The ratio doesn't work out, according to Diane, when you start dealing with the larger shows; ones where exhibitors pay $500-600 for a booth. "You're looking at 5 or 6 times your booth fee to be doing O.K." Another difference that Diane discussed is that between a spring and fall show. "You can't expect to do in the spring what you do in the fall," she states. To combat this, Country Carousel has developed two completely different lines - one for the spring and another for the fall. They have been much more successful at their spring shows since the inception of the separate lines.
Diane Hoyt
Country Carousel
Effort, PA

When Sherry Crunkleton was asked is she used this rule of thumb, her response was simply, "Not really." For Sherry, it just isn't an accurate way to measure success. "I do some shows where the sales surpass that ratio," she states. The one time she does employ the ten to one ratio is when she doing an indoor show. "It works out for an indoor show that is high priced," Sherry concluded.
Sherry Crunkleton
Goldilocks & The Bears
Greencastle, PA

Jane Ingram doesn't use this rule of thumb. Instead, she has devised her own, which works much better for Jane. For her, a show is considered a good show if she clears $1,000 a day for a spring show, and $1,500 a day for a fall show. The difference is, according to Jane, "In the fall you can expect a large gate and a larger take." When Jane does her figures, she does it on a show by show basis. She takes the total profit from a show, then subtracts lodging, food and travel expenses, which vary widely depending on the show's location. This figure, divided by the number of days to a show, reveals whether or not Jane has achieved the figure she was striving for.
Jane Ingram
Little Wood Works
Greenville, SC

Mary Clemson also does not use this rule, although she is familiar with it. Mary only started doing shows a year ago, so this year is the first time she's gotten into any of the big shows. She chooses by the location of a show, focusing on area where she feels shoppers are more likely to buy.
Mary Clemson
Peach Hill Designs
Keedysville, MA

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