Interviews With Andy Powell

ANDY POWELL INTERVIEW'S JOSHUA OF MEGA RETAIL GIANT
DELUXE DISTRIBUTORS
EXCLUSIVELY ON JRL - 2-20-09 - 9:30 a.m. PDT
JRL Fans, with the economy in disaster mode, the Gay Adult Film Industry along with the Heterosexual Adult Film Industry, has for the first time, felt the effects of this recession.Ten Years ago, you had adult bookstores in every major city around the county. Now, they have been replaced by boutiques and mainstream DVD retail store locations with populations of 500,000 or more. It's a new era!
You have more boutiques than you do Adult bookstores with preview booths and full-on theaters.
Now a days, people with stream their porn online, purchase their porn online or will visit their favorite land based retailer because of the customer service they receive when shopping.
Today, I bring you one of the experts in retail sales. Joshua is the Retail Buyer for Elmira, NY based Deluxe Distributors. Parent company of the retail chain Deluxe Books. I spoke with Josh and you'll see for yourself distributors, producers and online retailers, what land based retailers are dealing with.
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Andy: Thank you Josh for taking out the time to this interview with us here on JRL.
Joshua: Thanks for the invitation. I check the charts here on JRL weekly, and when I have time read a few of the articles. It's a great website.
Andy: Thank you Joshua, .....the market has been hit the hardest it's ever been. I can't remember when I've heard retailers seriously nervous. How are things on the eastcoast for Deluxe Books?
Joshua: Well sales are down, but compared to other retail businesses, we are doing good. Customers are not buying as much product as they have in years past.

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Andy: Sales are down as much as 37% but...rentals are up this week 16%. Preview booths were up 4% while novelty sales increased by as much as 48%. Are consumers being picky or are they simply continuing to rent their movies instead of spending that hefty $ 49.95 - 79.95 price tag?
Joshua: Customers are absolutely pickier then ever, they have to make their dollar stretched farther than ever before. Our sales are not down that much, but our rentals are not that high either. What customers are buying (when they are buying) are lower priced merchandise, which in some cases are just as good as the higher end product.
Andy: Bareback features have seen a serious dive in sales and rentals. What do you attribute it to?
Joshua: It's just like it in the straight market, you have "niches". I remeber when Interracial was the must have/must put out release, but when the market became saturated, it no longer was the "hot" thing. Same could be said for "MILF" lines as well.
Andy: Do you think it's because of political pressure on consumers or do you feel that the product that has been coming out lately, frankly has been poor?
Joshua: I think a little bit of both. I'd like to see less releases & more quality put into the releases that do come out. Frankly, a title needs to have legs to do well. Whether it be via promotion, advertising, etc. ; at our stores the titles that do well are the ones that have posters, t-shirts, etc. helping to promote the given title. It's one thing to advertise within the adult community, it's another thing to promote outside of the adult community.

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Andy: Have you experienced distributors offering deals to move their product to retailers because of the economy status? Which of course, they would normally not even offer?
Joshua: I have seen price reductions in certain product lines, but if I can't use the product, I simply can't take it just based upon deals.
Andy: The latest retail numbers on Wall Street (weekeing Friday February 13, 2009), showed that retail sails were up in mainstream by 6%. How long do you anticipate that it will trickle down to the Gay and Heterosexual Adult Marketplace?
Joshua: It would depend on what how the projections have matched up in the past. I look at the sales as a whole, because our stores carry a variety of adult product (DVD's, novelties, magazines, etc.). I generally match overall general retail sales vs. overall store sales.
Andy: Tell us about Deluxe Books Joshua..? What do your customers count on from your clerks?
Joshua: Well, in the adult marketplace, some people feel uncomfortable with "HI! How may I help you?" approach, but our clerks are always there for any questions & if they know what they want and they do not see it there, they never hesitate to call me to fulfill any/& all special order requests.
Andy: Will we see Deluxe Book Stores coming to Southern California or Northern California anytime soon?
Joshua: lol..no, we like our neck of the woods..we enjoy the trees here.
Andy: How many retail locations do Deluxe Distributors have nationwide?
Joshua: 36 retail store locations.
(Click Here for A Location Near You (mysexystore.com/locator.html).
Andy: I had to ask you this one Joshua...For years, as you know, we've heard that the internet was going to drive the retail store outlet out of business.....It hasn't happened!....Then we heard, Video on Demand was going to put both online retailers and land based outlets out of business....Didn't Happen!...Why do you think people put these negative vibes out there in the marketplace for distributors, your competitors, and online merchants to hear and to get nervous over?
Joshua: well, 1st I do believe the internet is hurting business, but not from online sales vs. in-store sales, but from all the free websites out there that give away films..in this economy, people are looking for every coner to cut that they can, so why pay for something when you can watch it for free. 2nd, we do not have an online prescence, but it would interesting to see on the Video ON Demand numbers have been affected by the free websites, because it definately appeals to the same sort of consumer. They're will always be a customer that prefers to have product in-hand & at the moment that they want it.

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Andy: That's my feeling as well Joshua. As a buyer who goes by numbers and numbers only!..What's sizzling in hot in Deluxe Books nationwide this week?
Joshua: not one particular title is sizziling hot this week, but we have such a wide demographic, that various product does better in certain areas than others.
Andy: Tell us your thoughts on the 2009 GayVN Awards Show this year. They have added a lot of new categories. Do you think it's a good thing to give more people exposure or, do you think it takes away from the art craft that the GayVN Awards was created for?
Joshua: It depends, if a film is good, a customer will by it regardless of awards won. I can honestly say I've never had a customer call and ask for a title based upon the tile being awarded an award from GayVN, Grabbys or Xbiz.

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Andy: As you know Joshua, JRL works with retailers weekly and we hear all of the headaches you guys and gals have to indure with dealing with product purchasing. What would you like to tell distributors and production studios about what retail is looking for in product for 2009?
Joshua: Good quality at an affordable price, it's what customers have always been looking for.
Deluxe Books Location #7 out of 36
Andy: There is also a question that I did want to cover. Mainly because we have heard this statement from various wholesale distributors over the past 4 years. Sales Executives feel that within the next 24 months, there will be no need for a sales rep at your wholesale distributor.
You'll be able to order everything online from their web site with membership and approval. Do you feel that this is a mistake?...And do you feel that it takes a personal/business relationship away from the vendor and their supplier? In other words, should distributors think twice about going automated?
Joshua: You will always need a sales rep, because in case of a rolling blackout, computer malfunction, etc; the business will still have to go on.
Andy: Joshua, you have just made hundreds of salesman feel extremely good with that answer. Joshua, thank you again for hanging out with us on JRL.
Joshua: My pleasure. Have a great day
Andy: There you go JRL fans, right from the words of one of the major players in the Retail Gay and Heterosexual Adult Marketplace. Special thanks to Joshua for taking the time out to do this interview with us. A big plug to all of the clerks and managers at the Deluxe Book stores nationwide.
Stay tuned to JRL for the latest Info and Entertainment on the Gay Adult Film Industry JRL.
