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HomeMy WebLinkAboutBids - Landmarks Visitor Center Retail and MerchandisingCITY OF PALM DESERT STAFF REPORT REQUEST: SUPPORT THE IMPLEMENTATION OF LANDMARK'S VISITOR CENTER RETAIL AND MERCHANDISING RECOMMENDATIONS AND AUTHORIZE STAFF TO PROCEED WITH OBTAINING BIDS FOR RETAIL DISPLAYS SUBMITTED BY: Donna Gomez, Tourism & Marketing Manager DATE: July 12, 2012 CONTENT: Landmark Retail & Merchandising Report Recommendation By Minute Motion: Support the implementation of Landmark's retail and merchandising recommendations for the Palm Desert Visitor Center; and 2. Authorize staff to proceed with obtaining bids for retail displays. Executive Summary In an overall effort to ensure the Palm Desert Visitor Center is operating in an effective and efficient manner, several new programs and organizational changes have been implemented. Staff restructuring has already occurred and will serve to reduce operational costs. Another goal for the Visitor Center is to create a more profitable retail program that will continue to offset operational costs. In September 2011, City Council approved contracting with Landmark Golf to provide consulting services related to the Visitor Center retail and merchandising program. At that time Visitor Center staff limited its buying activity in anticipation of receiving Landmark's recommendations. Landmark's final report has been received and several relevant recommendations have already been implemented by staff. Attached is a copy of that report which provides a full analysis of the Visitor Center retail and merchandising program. Staff Report Visitor Center Retail & Merchandising Report July 12, 2012 Background The Visitor Center implemented a retail program in 1999 in order to provide a source for visitors to our area to purchase Palm Desert logo merchandise. The goal was to increase awareness and strengthen the Palm Desert brand through the sale of souvenir items. Since that time sales have grown and proven to be a mechanism to increase revenue to the City's general fund and off -setting operational costs of the Visitor Center. The Landmark retail and merchandising report is very comprehensive and is organized into four main sections which are summarized below. Inventory Analysis and Buying Strategies An initial inventory analysis and buying recommendations report was received in early December. This report included suggested items for purchase for the 2012 season as well as recommended vendors. Center staff established accounts with many of the suggested vendors as well as placed orders based on Landmark's recommendations. The final report also included recommendations and instructions for the following: • Providing balanced inventory levels based on sales history • Seasonal purchasing patterns • New merchandise recommendations • Implementation of an open -to -buy program: a basic calculation that ultimately directs your buying patterns and controls your budget Buying Recommendations, Suggested Retail Strategies & Merchandising Procedures Landmark provided realistic recommendations on stock to sales ratios. Most of these recommendations can be implemented with only one issue preventing this. The reason we are "over -stocked" on souvenirs items is that minimum quantity orders are required and unfortunately make it difficult to reduce numbers to the recommended ratios. Our hope is that some of the vendors recommended by Landmark will provide opportunities for the purchase of smaller quantities on some of these souvenir items. Landmark recommends maintaining a gross margin of 50%. We have typically followed this strategy by using keystone (100% markup) and even higher when warranted. Private labeling was also recommended and can be researched in the months to come. Recommendations for retail items were included and will be considered. Staff doesn't support all recommendations and specifically would not recommend including framed artwork for sale on consignment. I believe any available wall space should be utilized to help promote Palm Desert and its brand as opposed to selling artwork. History has shown that artwork (Desert Willow prints) is not a typical souvenir or gift item for a Visitor Center to carry. Gift items such as disposable cameras, candy, sun tan lotion G'\Donna\Staf£Reports\2012\Landmark - VC Retail Recommendations 7-12-2012 FINAL.doc Staff Report Visitor Center Retail & Merchandising Report July 12, 2012 and bottled water can be explored. We previously carried Palm Desert labeled bottled water which ran the risk of expiring due to large minimum quantities being required. Attendance at the California Gift Show is recommended. I attended some years ago and found it beneficial in finding new vendors and products. The Visitor Center Coordinator is scheduled to attend the July 2012 event. Specific recommendations for stock turnover, markups, markdowns, display, and discounts can be considered and incorporated. Landmark recommends offering staff and volunteer discounts as well as resident discounts to make the product more visible. Staff will suggest a program that includes this idea as well as uniforms for staff and volunteers. Due to the limited space within the Center it would be difficult to implement Landmark's recommendation of hosting guest speakers and various activities. Floor Plan and Fixtures Landmark is recommending a remodel of the existing Center lobby. Staff agrees that assistance in this area is needed and would recommend we implement a revised and reduced version of their recommendations. Landmark is estimating $35,000 - $45,000 for a complete remodel of the lobby display area including free-standing and built-in displays. Staff would recommend altering the design to accommodate its suggested changes and going out to bid to acquire more precise costs. In -Store Signage Proqram Sign program recommendations can easily be implemented. Staff will prepare a standard signage design which will serve to strengthen the brand and provide a consistent message. Staff suggests that in lieu of Landmarks' recommendation of selling local artwork on consignment, we utilize any unused wall space to incorporate our existing ad campaign and the Feel the Warmth theme to, once again, strengthen the Palm Desert message throughout the Visitor Center. I have requested pricing from our ad campaign designer for preparing templates for merchandise signage as well as production of our ad campaign for display within the Center. Recommendations Although the Palm Desert Visitor Center is a small operation and some of the recommendations seem extensive for this level of service, staff believes there are many valuable recommendations within the report that will assist with planning, budgeting, merchandising, pricing, timing, and inventory balancing which can ultimately lead to increased revenue. G:\Donna\StaffReports\2012\Landmark - VC Retail Recommendations 7-12-2012 FINAL.doc Staff Report Visitor Center Retail & Merchandising Report July 12, 2012 Many of the recommendations have been and can be implemented with no further action or funding. Staff recommends the following: 1) Approve the implementation of various aspects of the Landmark Retail and Merchandising Report as noted above; and 2) Obtaining pricing for proposed merchandising display units. Fiscal Analysis No fiscal impact will be experienced at this time. Ten thousand dollars ($10,000.00) has been included within the FY 2012/13 Visitor Center budget, Account No. 110-4419-453- 4040, for capital office equipment. If required, staff will return to City Council for any additional funding requests that may be required to implement retail display upgrades. Submitted By: CTTY COUNCILA ' fON APPROVED ._.._._DENIED RECEIVED OTHER -- Donna Gomez, MEETTI1�NG DATE Tourism & Marketing Manager AVIM/4 m -_/ NOES:q 4Cierk's ABSENABSTAVERIFIED BY:Paul S. Gibson, Director of Finance Original on File witOffice Approved: M. Wohlmuth, City Manager G:\Donna\StaffReports\2012\Lmdmark - VC Retail Recommendations 7-12-2012 FINAL.doc TABLE OF CONTENTS SECTION 1— INVENTORY ANALYSIS AND BUYING STRATEGIES.......... I Inventory Review...............................................................I Open -To -Buy Plan..............................................................2 SECTION 2 — BUYING RECOMMENDATIONS, SUGGESTED RETAIL SALES STRATEGIES AND MERCHANDISING PROCEDURES..............................................................8 Stock To Sales Ratio..........................................................8 Buying Recommendations / Selection......................................9 Suggested Retail Sales Strategies & Merchandising Procedures ....... 12 SECTION 3 — REVIEW OF EXISITNG FLOOR PLAN AND FIXTURES AND LANDMARK'S RECOMMENDED FLOOR PLAN AND FIXTURES............................................................15 Existing Floor Plan and Fixtures Review...................................15 Landmark's Recommended Floor Plan and Fixtures.....................15 Cost and Applicable Vendors................................................17 "Exhibit A" — Photos of Existing Fixtures.................................19 "Exhibit B" — Landmark's Recommended Floor Plan and Fixtures .... 21 SECTION 4 — IN-STORE SIGNAGE PROGRAM.....................................27 SECTION 5 — SALES REPORT (JULY 1, 2011— FEBRUARY 29, 2012).........29 Section 1 Palm Desert Visitor Center - Retail/Merchandising Consultant Services Section 1 - Inventory Analysis and Buying Strategies Landmark Golf Limited Partnership ("Landmark") officially began working with the City of Palm Desert's ("City") Staff regarding the Palm Desert Visitor Center ("Visitor Center") on November 16, 2011. Landmark was provided summaries of recent sales activity and began to review inventory levels as well as the history of past sales at the Visitor Center. Through the initial process and review, Landmark has developed several strategies for the City to consider regarding the Visitor Center's effort to achieve proper inventory levels and types of inventory. Based on information received from the City, the Visitor Center's inventory as of February 29, 2012 was as follows: Category Inventory Amount Inventory % to Total Mens Apparel $ 3,546.00 16.13% Womens Apparel $ 1,965.00 8.94% Childrens Apparel $ 410.00 1.87% Souvenirs $ 6,857.00 31.19% Passes $ 2,710.00 12.32% Accessories/Hats $ 1,287.00 5.85% Discount Cards $ 689.00 3.14% Media - Books & Maps $ 4,519.00 20.56% Total $ 21983.00 100.00% When analyzing the above inventory levels, it appears that Souvenirs would be the best selling category in the Visitor Center, making up almost 31% of the Total Inventory value. However, when looking at actual sales for the Visitor Center, Souvenirs rank as the #5 category in actual sales volume. What this shows is that there is an imbalance of inventory levels through the sales category's based on actual sales history. The Stock to Sales Ratio guidelines will be addressed later in this report. While reviewing the current inventory, it became rather clear there are considerable amounts of voids in the current inventory, which should be addressed in order to increase sales. The Visitor Center's sales history and inventory levels show there are classifications of retail items that are not in stock that would enhance the inventory balance. While it may take a year or two (2) to achieve a balanced inventory, the proper inventory balance is very important because one (1) certain item can lead to the sale of numerous items. Additional items that should be considered include but are not limited to: ■ Tote Bags: All sizes and colors ■ Glassware: Shot, Pilsner, Cocktail Glasses ■ Coasters • License Plate Frames ■ Mens Polo Shirts ■ Ladies Polo Shirts Landmark Golf, LP Palm Desert Visitor Center — Retail/Merchandising Consultant Services ■ Ladies Tops (Tanks, Tees, Novelties) • Mens Outerwear Ladies Outerwear • Mens Straw Headwear ■ Photos/Posters ■ Sun Glasses ■ Sun Tan Lotion • High Margin Souvenirs, Such as Logo Poker Chips • Logo Bottled Water The above -mentioned items should be reviewed and when purchased, must be at affordable price points for gift giving or take home souvenirs. Open -To -Buy In successful retail merchandise operations, it is very important to develop an Open -To -Buy Plan ("OTB") that will assist the operator to determine proper inventory levels and monthly/annual merchandise purchase budget. When beginning an OTB, the following considerations should be given in order to plan the various sales levels the Visitor Center expects to attain on a month -by -month basis. 1. What have been the historical results of the sales activities over the last few seasons, and what are the indicated trends? Working with the sales history will determine what increases and decreases in sales might be expected to occur. The Visitor Center has seen an increase in sales in 2011-2012 since the move to the new location. This trend should continue as more individuals become familiar with the new location, along with an improved merchandise floor plan and fixtures. 2. What impact will increased prices and inflation have on the overall sales plan? As this question is answered, an increased dollar value of inventory purchased may be required at least for some portion of this year. Based on the goods purchased and sold at the Visitor Center, this should have little to no impact on the overall sales plan at this time. Prices and inflation should be looked at carefully on a quarterly basis to ensure that the OTB is in line. 3. What business trends are anticipated in the coming year? Is the local tourist economy on the upswing or downswing? Will there be more or fewer customers? Based on the results so far in 2011-2012, Landmark believes that the Visitor Center should anticipate an upward trend in merchandise sales in the next 2-3 years. It is the feeling around the Coachella Valley that the tourist economy is remaining fairly flat and it is hoped there will be an increase in the upcoming years. With the new location still relatively new, an increase in customers can be expected as more locals and tourists become more familiar with this new location. 2 Landmark Golf, LP Palm Desert Visitor Center - Retail/Merchandising Consultant Services 4. What changes should be anticipated in the customer profile? Is the average age of the Palm Desert visitor or tourist decreasing or increasing? The average age and profile of the Visitor Center's main customer, tourists, will remain relatively consistent for the next few years. However, based on some of Landmark's recommendations the hope is for more locals to come to the Visitor Center. This increase will hopefully shift the customer profile and provide the Visitor Center with a more diverse customer base. This will allow the Visitor Center to purchase and sell a wide range of goods and at different price points to maximize revenue. 5. What new products and styles are anticipated and how much will they increase sales? This is an unknown for the Visitor Center at this point in time. It is Landmark's recommendation to purchase new products with a wide range of style to help increase revenue. This approach is anticipated to increase sales, but by exactly how much is a relative unknown at this point. Once the Visitor Center's projected sales on a month -by -month basis have been determined it becomes possible to begin establishing proper inventory levels. Planning Inventory Levels: The main method of planning inventory is to look at the stock to sales ratio that the Visitor Center would expect to maintain during each of the sale months. For example, at the beginning of the season when sales are projected to be high, the stock to sales ratio should be high and as the end of the season approaches the stock to sales ratio should be decreasing. For instance, the Visitor Center could have a stock to sales ratio of six (6) or seven (7) times at the beginning of the season, but at the end of the season it should be as close to one (1) as possible, meaning the merchandise available for sale is fairly well depleted by the end of each season. Budgeting/Open-To-Buy Plan: As the Visitor Center determines the method by which it will record and track inventories, it is necessary to look at the most important aspect of the entire merchandising cycle, which is to develop an OTB or merchandise purchasing budget. Simply, OTB is calculated as follows: + Ending Inventory Desired + Planned Sales + Planned Markdowns (if on Retail Method) Merchandise on Order Beginning Inventory Open -To -Buy (This is the amount of funds available to purchase new merchandise items for inventory) Planning: Since the Visitor Center's peak season is much like most of the retail stores in the Coachella Valley, the main season is January through April, with Stock levels to peak in November to 3 Landmark Golf, LP Palm Desert Visitor Center - Retail/Merchandising Consultant Services be ready for the main season. Annual merchandise planning should be accomplished each June or July. In planning sales and inventory levels, the Visitor Center will rely on the control and information provided by the Visitor Center's current inventory control software (IBS), which provides both dollar and unit inventory information. The existing software is adequate to do the preferred type of inventory planning in the Visitor Center. Once stock levels and the sales levels are established, the Visitor Center can plan the purchases for an entire year, year after year. Open -to -Buy Plan: Below is an example of an OTB for the Visitor Center. As the operator of the Visitor Center becomes more familiar with the facility a detailed OTB will evolve. This inventory method, when executed properly, will cause inventory to turn approximately four (4) times a year. Formula: • To calculate the OTB an assumption of annual retail sales in the amount of $200,000 for the year is used. • The related retail cost is approximately 60% of the sales amount. This is a general percentage • Thus, average Sales at Cost of $100,000 divided by average inventory of $25,000 = 4 turns per year. • This plan can vary month to month, yet the ultimate goal is to have an annual sales volume of $200,000 with a monthly flow of new inventory, not to exceed the planned monthly inventory level. This proven purchase planning process creates fewer markdowns and better gross margins. • This buying approach enables a buyer to easily adjust to the achieved monthly sales; thus, keeping inventories in balance going forward for the coming months. Month Retail Sales Plan Sales At Cost B.O.M. Inventory Plan At Co t January $ 30,000 $ 15,000 $ 37,000 February $ 32,000 $ 16,000 $ 33,000 March $ 30,000 $ 15,000 $ 30,000 April $ 22,800 $ 11,400 $ 28,000 May $ 12,800 $ 6,400 $ 25,000 June $ 4,000 $ 2,000 $ 22,000 Jul $ 3,200 $ 1,600 $ 15,000 August $ 6,000 $ 3,000 $ 15,000 September $ 8,000 $ 4,000 $ 15,000 October $ 8,400 $ 4,200 $ 22,000 Landmark Golf, LP Palm Desert Visitor Center — Retail/Merchandising Consultant Services November $ 20,800 $ 10,400 $ 25,000 December $ 22,000 $ 11,000 $ 33,000 Total $ 200 000 $ 100,000s 300,000 Divided by 12 - $25,000 avg. stock The schedule above is an example; however, following this method monthly the Visitor Center will most likely be in an excellent inventory position going into and out of seasons. Again, above is only an example and is approximate. As soft goods, in some cases, can reach a 60% markup and other goods can only achieve a 40% markup. When using the format below the flow of inventory will adjust to increases or decreases in the Visitor Center's monthly sales volume. Example: () = Over Bought January B.O.M. (Beginning of Month) Stock O.O. (On Order) Sales at Cost E.O.M. (End of Month) January B.O.M. for February OTB (Open -to -Buy) February B.O.M. (Beginning of Month) Stock O.O. (On Order) Sales at Cost E.O.M. (End of Month) February B.O.M. for March OTB (Open -to -Buy) March B.O.M. (Beginning of Month) Stock O.O. (On Order) Sales at Cost E.O.M. (End of Month) March B.O.M. for April OTB (Open -to -Buy) Landmark Golf, LP 5 + 37,000 + 0 15,000 22,000 33,000 11,000 + 33,000 + 11,000 16,000 28,000 30,000 2,000 + 30,000 + 2,000 15,000 17,000 28,000 Palm Desert Visitor Center - Retail/Merchandising Consultant Services Apia B.O.M. (Beginning of Month) Stock O.O. (On Order) Sales at Cost E.O.M. (End of Month) April B.O.M. for May OTB (Open -to -Buy) May B.O.M. (Beginning of Month) Stock O.O. (On Order) Sales at Cost E.O.M. (End of Month) May B.O.M. for June OTB (Open -to -Buy) June B.O.M. (Beginning of Month) Stock O.O. (On Order) Sales at Cost E.O.M. (End of Month) June B.O.M. for July OTB (Open -to -Buy) July B.O.M. (Beginning of Month) Stock O.O. (On Order) Sales at Cost E.O.M. (End of Month) July B.O.M. for August OTB (Open -to -Buy) August B.O.M. (Beginning of Month) Stock O.O. (On Order) Sales at Cost E.O.M. (End of Month) August B.O.M. for September OTB (Open -to -Buy) Aidldk �Tw- - - , . — - -- - - Landmark Golf, LP 6 + 28,000 + 11,000 11,400 27,600 25,000 (2,600) + 25,000 + 0 6,400 18,600 22,000 3,400 + 22,000 + 3,400 2,000 23,400 15,000 (8,400) + 15,000 + 0 1,600 13,400 15,000 1,600 + 15,000 + 1,600 3,000 13,600 = 15,000 1,400 Palm Desert Visitor Center — Retail/Merchandising Consultant Services September B.O.M. (Beginning of Month) Stock + 15,000 O.O. (On Order) + 1,400 Sales at Cost - 4,000 E.O.M. (End of Month) September = 12,400 B.O.M. for October = 22,000 OTB (Open -to -Buy) 9,600 October B.O.M. (Beginning of Month) Stock + 22,000 O.O. (On Order) + 9,600 Sales at Cost - 4,200 E.O.M. (End of Month) October = 27,400 B.O.M. for November = 25,000 OTB (Open -to -Buy) (2,400) November B.O.M. (Beginning of Month) Stock + 25,000 O.O. (On Order) + 0 Sales at Cost - 10,400 E.O.M. (End of Month) November = 14,600 B.O.M. for December = 33,000 OTB (Open -to -Buy) 18,400 December B.O.M. (Beginning of Month) Stock + 33,000 O.O. (On Order) + 18,400 Sales at Cost - 11,000 E.O.M. (End of Month) December = 40,400 B.O.M. for January = 37,000 OTB (Open -to -Buy) (3,400) Landmark Golf, LP ' Section 2 Palm Desert Visitor Center — Retail/Merchandising Consultant Services Section 2 — Buying Recommendations, Suggested Retail Sales Strategies and Merchandising Procedures The first thing that Landmark wants to look at when determining product buying recommendations is to review the Stock to Sales Ratio report based on the Visitor Center's current sales history. This report will provide detailed information as to what type of items are most popular and also to find out if the inventory levels are correct based on sales history. Below is the current Stock to Sales Ratio report for the Visitor Center based on actual information through February 29, 2012. The Sales figures are from the 2011-2012 Fiscal Year actuals from July 1, 2011 through February 29, 2012. Please see Section 5 for a detailed Sales Report breakdown for this time period provided by the Visitor Center staff. In this Stock to Sales Ratio report, Landmark removed the categories of Discount Cards and Passes, as these categories are more service based rather than retail merchandise. Although these categories do provide a significant amount of revenue to the Visitor Center, when looking at the preferred merchandise buying recommendations for the retail merchandise portion of the operation it is important to review only the categories that are relative. This reporting provides the most accurate breakdown of best selling categories and inventory ratios. Palm Desert Visitor Center Stock To Sales Ratio (July 1, 2011 — February 29, 2012) Cateaory Sales Sales % To Gross Margin Sales Rank Inventory Stock Stock % To Total Total Mens Apparel $ 8,500 24.67% 52.5% 2 $ 3,546 19.08% Womens Apparel $ 3,715 10.78% 50.8% 4 $ 1,965 10.57% ChildrensApparel $ 1,524 4.42% 53.0% 6 $ 410 2.21% Souvenirs $ 3,179 9.23% 41.2% 5 $ 6,857 36.90% Accessories/Hats $ 4,970 14.42% 53.3% 3 $ 1,287 6.93% Media - Books & Maps $ 12,570 36.48% 48.1% 1 $ 4,519 24.32% Total $ 34,468 1 100.00%, $ 18,584 100.00% When reviewing the above Stock To Sales Ratio report there are several key items that stand out. It is necessary to have a good handle on what the best selling categories are in a shop and then coincide the sales with the inventory stock percentage, in order to avoid a stock imbalance in the shop. The following are items based on the above Stock To Sales Ratio that show a stock imbalance based on actual sales: 1. Souvenirs — This category is ranked number 5 out of 6 in actual sales with 9.2% of the sales total. However, the stock to total stock percentage for this category is 36.9%. This is a very large imbalance and shows that the inventory is too heavy with souvenirs based on Souvenir sale results. Landmark Golf, LP 8 Palm Desert Visitor Center — Retail/Merchandising Consultant Services 2. Accessories/Hats - This category is ranked number 3 out of 6 in actual sales with 14.42% of the sales total. However, the stock to total stock percentage for this category is very low at 6.9%. This imbalance shows that the inventory level is too low for Accessories/Hats since this is a good selling category in the Visitor Center. In addition, Accessories/Hats as a rule are the highest gross margin items, so the Visitor Center will realize more gross revenue from these items. 3. Mens Apparel- This category is ranked number 2 out of 6 in actual sales with 24.7% of the sales total. However, the stock to total stock percentage for this category is lower than it should at 19%. This is not a large imbalance but it does show that the inventory level is slightly too low in Mens Apparel. Again, this is a high gross margin category. 4. The remainder of the categories (womens apparel, childrens apparel and media) are in line or show a very slight imbalance based on actual sales and inventory to total inventory percentage. With Media (books, maps, etc) being the number 1 seller in the Visitor Center a larger inventory should be carried, however at roughly 25% of the total inventory the current level for this type of category is acceptable. The Stock To Sales Ratio is a great tool to see if there are any stock imbalances at the Visitor Center. This report should be updated monthly in order to track the imbalances and focus on balancing the inventory percentages based on actual sales. The Stock To Sales Ratio report leads Landmark to its buying recommendations for the Visitor Center in an effort to balance the inventory levels and fill in the voids of missing or varying items. Buying Recommendations for the Palm Desert Visitor Center After Landmark's review of the existing inventory and past sales history at the Visitor Center, there are several items that should be additions to the current inventory. Below, Landmark lists items that should be additions to the Visitor Center's inventory for upcoming seasons. It is imperative to experiment with various levels of items (high and low price points) to determine the right kind of inventory for the Visitor Center. Landmark will demonstrate later in this report strategies to sell these items and markdown items if necessary. Some of the items below have been previously addressed and were purchased for the 2011-2012 season; these items should also be considered for future buying. Past sales history indicate that Media, Mens Apparel and Accessories/Hats have been the top sellers in the Visitor Center, these three (3) classifications alone produce roughly 75% of the total sales, however only represent 50% of total inventory. Landmark recommends that these two percentages become more balanced and to take advantage of the higher selling categories at the Visitor Center. In addition, these three (3) categories also produce higher gross margins, which is typical for these types of products. Gross Margin — One of the most important aspects to retail merchandising is Gross Margin. Gross Margin is the sale price minus cost of goods, the higher the Gross Margin percentage Landmark Golf, LP s Palm Desert Visitor Center — Retail/Merchandising Consultant Services the better. The key is to always maintain a 50% cost of sales or Gross Margin, the higher the Gross Margin the higher the profit. Gross Margins typically vary depending on categories. Souvenirs are generally likely to produce a lower Gross Margin and the opposite of that would be Accessories/Hats, which typically realize the highest Gross Margins. This is a key when stocking the Visitor Center. Looking at the current inventory levels, Souvenir items are currently the highest category in terms of inventory levels with 36.9% of the total inventory level. Souvenirs also generate the lowest Gross Margin being approximately 41%, which is on the low end of profit margins. The good news is that there is an opportunity within this category to increase the profit margin with some additional inventory that will create a different merchandise mix within this category. The other positive about Souvenirs is they typically have a much longer shelf life compared to apparel, hats, etc. Souvenirs can stay in stock for 2-3 years and not risk "going out of style", so there is no need to be overly concerned about the high level of inventory currently on hand. Books and Maps are the top selling items in the Visitor Center. This category's volume could be increased even more with better and proper display fixtures, which Landmark recommends in this report. Landmark recommends a level inventory approach that balances inventory percentages. Both Mens and Womens Apparel are currently well understated. Landmark's experience is these two (2) categories produce the highest gross margin levels, in some cases reaching 60%. By further expanding these two (2) classifications, it is believed that both sales volume and Gross Margin will increase. Determining the proper Mens and Womens inventory is very important, as the clientele that frequents the Visitor Center will be different than that of high -end shops on El Paseo. However, this should not be a concern for the Visitor Center in experimenting with a very small line of "brand" or higher priced items. If purchased at the right price, these items could produce a rather large Gross Margin and if needed to be markdown could be done so and still achieve good margins. Private labeling is another strategy that should be considered and tested. With private label products, a shop can achieve margins of 70% or more; this is especially true in a resort community such as Palm Desert. Only a portion of the inventory should be considered for private labeling, which should be directed at Ready to Wear items, such as Mens Apparel, Womens Apparel, Childrens Apparel, Hats and Outerwear. A small portion of other classifications could be explored, such as Bottled Water or Special Candies. Emphasis on private labeling will also reflect pride in the merchandise sold in the Visitor Center; these sales become part of the City of Palm Desert's brand. Items to be reviewed and considered for purchase for the upcoming seasons, along with recommended vendors: ■ Tote Bags — Made up of different sizes and colors ■ Vendors: The Gift Counselor 10 Landmark Golf, LP Palm Desert Visitor Center — Retail/Merchandising Consultant Services ■ Glassware — Includes shot glasses, pilsner and cocktail glasses • Vendors: The Gift Counselor ■ License Plate Frames - Includes different colors and styles ■ Vendors: The Gift Counselor • Mens Polo Shirts — Includes different colors, styles, sizes ■ Vendors: Desert Golf Sales / Cutter & Buck / Antigua / Nike / adidas ■ Mens Straw Headwear — Includes different colors and styles ■ Vendors: Imperial / Dorfman Pacific ■ Mens Outerwear — includes jackets and sweatshirts ■ Vendors: Cutter & Buck / Gear For Sport / Nike • Womens Polo Shirts — Includes different colors, styles, sizes • Vendors: Desert Golf Sales / Cutter & Buck / Antigua / Nike / adidas ■ Womens Outerwear — Includes jackets and sweatshirts • Vendors: Gear For Sport • Hats — Includes ball caps for both men and women ■ Vendors: Imperial / Ahead / Legendary ■ Posters/Photos • Vendors: The Gift Counselor ■ Framed Pictures/Art Work — Should be on consignment, can also serve as wall decoration. ■ Vendors: Ross McAlister • Picture Frames — Assorted sizes and price points ■ Vendors: The Gift Counselor ■ Logo Golf Balls — Palm Desert logo, order small quantity to test the market. ■ Vendors: Acushnet (Title ist/Pi n nacle) / Nike ■ Logo Poker Chips — Palm Desert logo, order small quantity to test the market. ■ Vendors: Logo Golf Chips Inc. ■ Logo Value Pouch Bags — For Hikers, Golfers, Walkers, etc. ■ Vendors: Desert Golf Sales • Gift Items — Includes a larger assortment of key chains, sunglasses, sun tan lotion, disposable cameras, special candy, and bottle water. These items should include the Palm Desert logo. W. Landmark Golf, LP Palm Desert Visitor Center — Retail/Merchandising Consultant Services ■ Vendors: The Gift Counselor • Living Desert Consignment Items - Living Desert should be approached about consignment items being sold in the Visitor Center • Vendors: Living Desert The listing above makes up items that should be considered as additions to the inventory in the Visitor Center. These items, if bought at the right price point, will add variety and balance the inventory levels by classification in an effort to increase gross margin and revenue at the Visitor Center. Landmark recommends that for future buying, representatives of the Visitor Center attend the Gift Show in Los Angeles. This show typically takes place in January at the Los Angeles Convention Center. The show provides an opportunity to see new products and visit with vendors in person, which will assist in the purchase of inventory for the Visitor Center. Overall, Landmark believes that the merchandise could be turning four (4) times provided that a better inventory selection is provided. In addition, displaying the product is very important and currently the Visitor Center is lacking in attractive functional displays. The recommended floor plan and fixtures detailed later in this report is key to higher sales at the Visitor Center. Suggested Retail Sales Strategies and Merchandising Procedures The first step in a successful retail merchandise operation is purchasing the right categories and amounts of inventory. With the tools and recommendations already stated in this report, the Visitor Center should be able to achieve the right mixture and levels of inventory. The next step is displaying products and more importantly SELLING the products, at the highest possible margin achievable. Stock Turnover — Turnover is essential to a healthy and profitable business. The Visitor Center should incur a turnover of four (4) times per year. This turnover rate will always keep the inventory fresh and marketable. Inventory turnover is the cost of goods sold divided by the average inventory. Average inventory equals beginning inventory plus ending inventory divided by two (2). A low inventory turnover rate may be due to overstocking, obsolescence, or deficiencies in certain categories. Markups — What is the right price point for a specific item? This is always the number one question when operating a retail merchandise operation and although there are a few rules to follow, the most important aspect is understanding who the customers are and getting a "good buy". This means buying a product at a very competitive price and being able to mark it up higher and produce a large Gross Margin on the item. 12 Landmark Golf, LP Palm Desert Visitor Center - Retail/Merchandising Consultant Services There are several policies/rules pertaining to Markup pricing of merchandise. Depending on the retail mix pricing strategies should be compatible. The highest markups are usually water, private label items, branded items and jewelry. As a rule, retail is established by keystone or double the cost price of the item. This should also include freight. Below is a list of categories and the general rule in markups for each category. Apparel — With apparel the formula of keystone or double the cost should always apply. In addition, always include the logo charge and freight. However, if the product is a shirt or outerwear and was purchased at an excellent price, the pricing should be at the perceived (suggested retail) price it would have been if not purchased with the discount. Example — If a shirt or item was purchased at $10.00, the retail should be at the comparable retail of the exiting inventory. By working backwards, if the shirts in the inventory are selling for $55.00, then this should be roughly the retail price of the shirt you just bought for $10.00. Adjustments in pricing can always be done later and will be addressed in the Markdowns section below. Gift Items — This includes items such as mugs, glassware, ceramics, tote bags, etc. These items can usually be marked up by doubling the cost. Jewelry — The items in most case are triple the cost. Headwear — This is also a category, which can be marked up at triple the cost. This should include the logo and freight as well. A factor to consider is that markups help control markdowns, employee discounts and damaged goods through out the store. The key is to always maintain a 50% cost of sales or gross margin as a benchmark. Markdowns — Markdowns or "sales" come with the nature of doing business. The primary goal is to sell the merchandise at the first retail price and liquidate the products going through a progressive markdown process. The progressive markdown or graduated reduction should be done on a monthly basis. Carryover products should be reviewed carefully; this is very sensitive to a successful retail business as shelf life is very critical. Some products have a longer shelf life than others. Souvenirs have the longest shelf life, as key chains, license plate frames, picture frames, etc. do not typically go out of style very quickly. Other categories, such as apparel have a short shelf life. These items can go out of style fast and should be monitored closely. Usually after 90 days of being on display, apparel items, such as shirts and outerwear should begin the progressive markdown process. Markdowns can be a good tool to turnover merchandise quickly. Customers always enjoy a "good deal" or a perceived discount. A sale area should be maintained within the Visitor Center to help promote turnover and potential sales to certain types of clientele. W a¢ .. Landmark Golf, LP 13 Palm Desert Visitor Center - Retail/Merchandising Consultant Services Location of Merchandise - When displaying merchandise it is important to designate areas of the shop for classifications of merchandise. This makes it easier for the customer to shop and provides an easier traffic flow through the retail displays. Special Discounts - The Visitor Center should consider discounts to certain groups that will help promote sales and also the City of Palm Desert. Staff members and volunteers should be given a discount on merchandise items as a way to promote the City of Palm Desert. It becomes easier to sell a product if those who are selling the products are also wearing or using the products. It can be looked at as if the staff members and volunteers are walking models for the products. In addition to staff members and volunteers, it may be beneficial for the Visitor Center to offer a discount to residents of Palm Desert. This will provide three (3) separate benefits to the Visitor Center. The first benefit is the promotion of Palm Desert. By offering a discount on merchandise more residents will visit the Visitor Center and are more likely to refer or bring a visitor in the future. In addition, residents would purchase Palm Desert items and not only wear the items themselves but also give the items as gifts to visitors, friends and family. Lastly, this will increase sales and add another customer base to the Visitor Center. Special Palm Desert Business Functions/Activities — The Visitor Center should explore the possibility of having local Palm Desert business' utilize the Visitor Center for a display or information session. Not only is this promoting Palm Desert business' it is also bringing in people to the Visitor Center. Ideas such as having the Living Desert come to the Visitor Center on a bi-monthly basis to talk about "What's new at the Zoo", have a local author have a book signing, etc. This will promote traffic and expand the knowledge about the Visitor Center along with potential retail sales. Overall, the success of retail sales is traffic. By offering special incentives, guest speakers, discounts, etc. the goal is to produce traffic to and within the Visitor Center. The main objective of the Visitor Center is promoting the wonderful City of Palm Desert, but the opportunity to capture retail sales should not be forgotten. With enhanced displays that are both well placed and eye appealing along with the right blend of inventory levels and mixture, the Visitor Center should be able to double revenue in the upcoming years. The tools as presented in this report should help as a guideline in order to produce the highest retail merchandising results as possible. I-andmark Golf, LP14 Section 3 Palm Desert Visitor Center - Retail/Merchandising Consultant Services Section 3 - Review of Existing Floor Plan and Fixtures and Landmark's Recommended Floor Plan and Fixtures The Visitor Center has been studied and the current floor plan and fixtures at the Visitor Center have been analyzed by Landmark. The retail portion of the Visitor Center is a large area and is currently somewhat under utilized, which can restrict potential merchandise sales. Photos of the existing fixtures and space usage are attached hereto as "Exhibit A". The rear or "south" wall is large, covering roughly 492 square feet of potential retail space. The south wall is currently being used to display visitor brochures/rack cards on one side and select merchandise on a "grid" type fixture on the reverse side. Landmark recommends the south wall be fully utilized as a significant retail display area, such as mens apparel, ladies apparel, childrens apparel, headwear, etc. The current usage of the south wall does not have the eye appeal that is desired for a retail shop appealing to tourists and resort traffic. There is plenty of available retail space that is currently not being used as well as it should be. There is a mixture of display fixtures on the floor in the Visitor Center today. These fixtures have been brought together from previous locations and utilized the best way possible. The fixtures are of a good quality, however inconsistent in appearance. Books and maps are high volume sellers for the Visitor Center and Landmark recommends highlighting these items through fixtures that better display books, souvenirs and maps. Overall, the Visitor Center floor plan has a lot of potential for both providing guest information and merchandise exposure. The office, counter space and restrooms are done very nicely and it is Landmark's recommendation that nothing be changed in those areas. Landmark believes that with a better use of the floor space for retail merchandise and dedicating an area for information, such as brochures, rack cards, etc. the space of the Visitor Center will be fully utilized and produce increased merchandise sales. When Landmark reviews the best possible floor space use plan for a retail shop, we develop smaller shops within a shop. This is done to assist, appeal and guide the customers through the setting. Currently, the retail and informational areas in the Visitor Center are mixed together and done in a fashion where the guests are not directed in any defined way, thus limiting the potential of possible transactions. By appealing to the eye and creating shops within a shop, guests will be more likely to browse the entire shop and make an impulse buy. Landmark's Recommended Floor Plan and Fixtures To further expand upon Landmark's strategy of developing shops within a shop, the Visitor Center provides an excellent opportunity to achieve this. Separating the informational service portion of the Visitor Center and retail merchandise portion will give the Visitor Center an attractive appeal that will not only increase merchandise sales but also help serve the visitors. AMU Landmark Golf, LP 15 Palm Desert Visitor Center — Retail/Merchandising Consultant Services Attached hereto as "Exhibit B" is Landmark's recommended floor plan and fixture layout for the Visitor Center. The recommended plan has been thoroughly reviewed and each function of the Visitor Center has been considered in this floor plan. Below is a breakdown of each area within the Visitor Center: South Wall - Landmark recommends installing slat wall cabinets, canopied with lights to enhance the retail merchandise opportunities on this wall. The south wall will be mostly dedicated to mens apparel, womens apparel, childrens apparel and headwear. The headwear display is recommended to be in the middle of the south wall where the wall angles out. This space is a little less than four (4) feet in length and will be an ideal area for headwear to be displayed as a way to break up the other merchandise displays. On the west portion of the wall is a display area for small retail pictures, posters and other "pamphlet" size items to be displayed for sale. This area will be four (4) feet in length and the fixture will have adjustable holders to fit various sized pictures, posters, pamphlets, etc. to give flexibility to the display area. The main feature of the fixtures that are recommended is to have flexibility as the Visitor Center will need to have flexibility in the future while determining the appropriate merchandise for its clientele. Floor Space — There is a nice amount of floor space to be utilized within the Visitor Center. It is Landmark's recommendation that souvenirs, books, maps, etc. be highlighted on these floor fixtures. These fixtures can also be used for folded merchandise, headwear and other displays. The 3-tier tables and nesting tables were selected to provide a low profile for the displays allowing site to the slatwalls, while also providing more flexibility for the use of each fixture. A nesting table (2 in total) at each entrance to the Visitor Center will provide a uniform, balanced and appealing look as tourists, resort guest and visitors enter the entrance doors. The placement of the nesting tables and the 3-tier tables will provide an attractive appeal to the center of the retail portion of the Visitor Center, in essence funneling the guests to the middle from either entrance. The idea is to draw the guests through the entire Visitor Center. West Wall - There is a small wall space south of the entrance door on the west side of the Visitor Center. Landmark recommends that a flat screen television ("TV") be mounted on this wall, which will provide an informational video loop of Palm Desert and the amenities and features of the City (or various videos, promotional, etc). Just below the TV would be a small table, which can be used for various displays information and video equipment. Two (2) chairs are to be placed in front of the TV located on the west wall, this area will provide guests with a place to sit, read brochures, books and watch what is being shown on the TV. It is Landmark's intention to use the west wall of the Visitor Center as an informational area for tourists, resort guests and visitors. North of the door, will be a brochure rack, six (6) and a half feet in length, that will display rack cards, brochures and other informational items available in the Visitor Center. In addition on this wall and the adjoining wall, pictures for sale by consignment will be placed in these areas as well as displayed on the walls throughout the Visitor Center. Based on Landmark's conversation with Visitor Center staff members, it was stated that both entrance doors to the Visitor Center are used equally, with more walking traffic (from El 16 Landmark Golf, LP Palm Desert Visitor Center — Retail/Merchandising Consultant Services Paseo) coming through the east door. With this information in mind, it was decided that the best area for informational material will be the west portion of the building, this separates the informational function of the Visitor Center from the retail merchandise function. Also, as an added bonus, the informational section is closer to the enter/exit area of the counter, which will allow staff quicker and easier access to serve visitors having questions about informational items. Photos and specifications of the recommended fixtures can be found attached hereto as "Exhibit B". The color of the fixtures is open for discussion. For this rendering, Landmark matched the color of the floor fixtures and cabinets with the dark brown color of the existing counter base and cabinets that are currently in the Visitor Center. This will provide a rich, appealing look to the retail displays and match the existing color design of the Visitor Center. The slat walls within the cabinets will be the same color of the existing wall to allow for the merchandise to be enhanced ("pop") and provide additional light to the retail area. The lights in the canopies above the slatwalls will also provide lighting to enhance the merchandise products. Cost and Applicable Vendors The cost of the fixtures as detailed in "Exhibit B" will be between $35,000 - $45,000, which includes tax, delivery, installation and extra parts such as shelves, brackets and hooks for merchandising. The cost above represents an estimate for the recommended floor plan and fixture usage as presented herein. The range in cost is due to variables such as vendor selection, final design, wood type, fixture types, number of fixtures, etc. This is an estimate based on the input and cost estimates from two (2) vendors Landmark contacted to help produce the recommended plan. A firm cost will be established as the City determines a final plan. The vendors Landmark recommends and has previously worked with are: C&H Store Equipment Company 2530 S. Broadway Los Angeles, CA, 90007 (213) 748-7165 R&D Store Fixtures 160 E. Montecito Ave. #E Sierra Madre, CA 91024 (626) 355-0322 Both vendors visited the Visitor Center and provided input and cost estimates to Landmark. Both companies have done many retail store designs and fixture installations throughout Southern California and are both reputable companies. In summary, the City of Palm Desert would have an upfront cost for the purchase and installation of the fixtures as recommended by Landmark. It is Landmark's estimate that the I - Landmark Golf, LP " Palm Desert Visitor Center - Retail/Merchand!sing Consultant Services increased retail merchandise sales realized by the enhanced floor plan and fixtures will more than offset the cost of the fixtures in 2-3 years if not sooner. Landmark estimates a 15% increase in retail sales with the new layout and fixtures, which will roughly equate to $15,000 per year in additional merchandise revenue. '$ Landmark Golf, LP N a c� a N C N C O U Im c .N c cc Z ca i a i a c a O a ql a _E co a t LlJ M d v d C _Sm to C O U co c .0 'O C eat Z d Cf m Z X W I t0 " d d w+ ,d V 0 .M 0 E I� I���. .�. V- 3 f V1 E d m t X W I co r- .1 a 1 t s 40 T- ---------------Y Y-------------------- - --- --------------- Section 4 Palm Desert Visitor Center — Retail/Merchandising Consultant Services Section 4 — In -Store Signage Program In-store signage is an important part of retail merchandising, especially an operation geared toward service, providing information and retail sales. Landmark has reviewed and analyzed the current in-store signage at the Visitor Center. There are several recommendations that Landmark has that will increase the effectiveness and appeal of the signage inside the Visitor Center. The signage program should be developed in conjunction with a professional sign layout and manufacturing company. Signage utilized inside the Visitor Center should be consistent, not only in appearance but also in language and size. In addition, most if not all the signage should have the ability to be changed. For example, retail merchandise signage should have an element to it where the sign can be changed and adjusted for different reasons such as sales, specials and product identification. The retail merchandise portion of the store should be rearranged/displayed several times per year to remain fresh and new. Based on that that, the retail signage should be able to change as well. Below is a list of different categories of signage that Landmark envisions being utilized in the Visitor Center: Merchandise Signage: a. Sales — These signs should display sale information such as: i. Discount percentage off ("30% off") ii. "Buy 1 Item Get 1 Free". As mentioned above, these signs need to have the ability to be changed and adjusted based on the products and sale program. b. Specials — These signs should be used to point out special products or new arrivals. i. New Arrivals ii. Holiday Specials c. Identification — Signs to identify the merchandise can be used. This also includes branding signs. This creates the small shops within the shop and gives the customer more eye appealing information on the items. i. Mens Apparel ii. Womens Apparel iii. Books iv. Special Brand Signs ("Nike") 2. Informational Signage: a. Special Events — Special upcoming events, both Palm Desert and desert wide could be displayed on an Easel. Based on space and retail displays and fixtures. This information would be best displayed on an Easel that can be relocated and easily changed. b. Holidays — Promote Holidays, both events and retail sales specials ("St. Patrick's Day — Anything green is 20% off from March Vt — March 17th") Could also promote City and Community Holiday events. 27 Landmark Golf, LP Palm Desert Visitor Center — Retail/Merchandising Consultant Services c. City Events — A sign that can be easily changed promoting upcoming City events. Include date, location and a brief description of the event. 3. Bulletin Board: A bulletin board should be utilized to promote events and local Palm Desert Business' and activities. The board should be placed in the informational section of the Visitor Center. 4. Weather: Landmark recommends displaying a Weather sign during the peak season. It would include the weather in Palm Desert (Sunny - 850). Below that would be a comparison City, such as Chicago (Snow - 200). An example of this sign is below. This sign would be become a novelty item and something people can talk about. It also solidifies one of the many great reasons why visitors come to Palm Desert. A stock of 6-10 cities could be used, with the "worst" current weather being displayed as the comparison. (Note: Landmark suggests taking this sign down during the summer months). TODAY'S WEATHER March 16, 2012 PALM DESERT, CA SUNNY - 800/580 SEA TTLE, WA 4 RAIN - 500/380 T__1*.-_L_and_m_._a_rk-. Golf, LP 28 Section 5 Date 3/10/2012 Palm Desert Visitor Center Time 10:54:13 Sales Account, Stat, & Class Report Page 1 Golf Shop From 7/1/2011 Through 2/29/2012 Report On: All Account Code / Vendors: All / Report Type: All / Tax Type: All / Z Number: All Item Description Size Qty Amount Cost Margin 1000266003` Chisel Palm Men's Polo Navy MD 2 44.34 34.00 23.32 1000266007• Chisel Palm Men's Polo Coffee MD 2 4.4.34 34.00 23.32 1000270006' PO Men's Polo Navy SM 1 18.47 17.15 7.15 1004220056 Pep Cap Men's Tee Black SM 1 11.37 7.85 30.96 1004220088 Script Men's Tee White LG 4 39.80 13.00 67.34 1004220089 Script Men's Tee White XL 12 110.44 39.00 64.69 1004220090 Script Men's Tee White 2X 4 37.81 17.00 55.04 1004220106 Saguaro Men's Tee Copper MD 2 25.12 12.70 49.44 1004220107 Saguaro Men's Tee Copper LG 6 80.75 38.10 52.82 1004220108 Saguaro Men's Tee Copper XL 6 86.14 38.10 55.77 1004220109 Saguaro Men's Tee Copper 2X 2 25.12 14.70 41.48 1004220110 Saguaro Men's Tee Midnight MD 3 43.07 19.05 55.77 1004220111 Saguaro Men's Tee Midnight LG 4 50.24 25.40 49.44 1004220112 Saguaro Men's Tee Midnight XL 6 75.36 38.10 49.44 1004220113 Saguaro Men's Tee Midnight 2X 2 35.90 14.70 59.05 1004220114 Saguaro Men's Tee Forest MD 3 37.68 19.05 49.44 1004220115 Saguaro Men's Tee Forest LG 4 50.24 25.40 49.44 1004220116 Saguaro Men's Tee Forest XL 7 87.92 44.45 49.44 1004220117 Saguaro Men's Tee Forest 2X 3 48.46 22.05 54.50 1004220118 Curved Base Tee Choc MD 4 50.28 39.40 21.64 1004220119 Curved Base Tee Choc LG 4 50.28 39.40 21.64 1004220120 Curved Base Tee Choc XL 8 100.56 78.80 21.64 1004220121 Curved Base Tee Choc 2X 4 66.55 43.40 23.25 1004220122 Curved Base Tee Green MD 5 62.85 49.25 21.64 1004220123 Curved Base Tee Green LG 4 50.28 39.40 21.64 1004220124 Curved Base Tee Green XL 2 29.33 19.70 32.83 1004220125 Curved Base Tee Green 2X 3 37.71 32.55 13.68 1004220126 Curved Base Tee Blue MD 4 52.37 39.40 24.77 1004220127 Curved Base Tee Blue LG 5 67.04 49.25 26.54 1004220128 Curved Base Tee Blue XL 5 64.63 49.25 23.80 1004220129 Curved Base Tee Blue 2X 3 37.71 32.55 13.68 1004220130 Side Script Palm Tee White SM 9 84.57 35.55 57.96 1004220131 Side Script Palm Tee While MD 23 228.85 90.85 60.30 1004220132 Side Script Palm Tee White LG 34 338.30 134.30 60.30 1004220133 Side Script Palm Tee White XL 31 308.45 122.45 60.30 1004220134 Side Script Palm Tee White 2X 16 159.20 79.20 50.25 1004250001• PD Greetings Tee Tan SM 2 18.94 18.00 4.96 1004267002 Desert Paradise Tee Blue LG 4 83.80 37.00 55.85 1004267003 Desert Paradise Tee Blue XL 7 146.65 64.75 55.85 29 1004267004 Desert Paradise Tee Blue 2X 7 146.65 71.25 51.41 Date 3/10/2012 Palm Desert Visitor Center Time 10:54:13 Sales Account, Stat, & Class Report Page 2 Golf Shop From 7/1/2011 Through 2/29/2012 Item Description Size Qty Amount Cost Margin 1004267005 Desert Paradise Tee Sage MD 3 62.85 27.75 55.85 1004267006 Desert Paradise Tee Sage LG 10 208.50 92.50 55.64 1004267007 Desert Paradise Tee Sage XL 5 104.75 46.25 55.85 1004267008 Desert Paradise Tee Sage 2X 2 41.90 20.50 51.07 1004267013 Desert Paradise Tee Blue SM 1 20.95 9.00 57.04 1004267015 Desert Paradise Tee Sage SM 1 20.95 9.25 55.85 1004267016 Desert Paradise Tee Gray SM 4 58.64 35.00 40.31 1 OD4267017 Desert Paradise Tee Gray MD 5 85.88 43.75 49.06 1004267018 Desert Paradise Tee Gray LG 4 64.93 35.00 46.10 1004267019 Desert Paradise Tee Gray XL 7 111.01 61.25 44.82 1004267021 Paradise Found Tee Gold MD 4 83.80 37.68 55.04 1004267022 Paradise Found Tee Gold LG 11 219.97 103.16 53.10 1004267023 Paradise Found Tee Gold XL 8 167.60 75.25 55.10 I OD4267024 Paradise Found Tee Gold 2X 3 62.85 31.50 49.88 1D04267025 Paradise Found Tee Brown MD 3 62.85 27.45 56.32 1004267026 Paradise Found Tee Brown LG 2 41.90 18.38 56.13 1004267027 Paradise Found Tee Brown XL 5 104.75 47.50 54.65 1004267028 Paradise Found Tee Brown 2X 2 41.90 21.00 49.88 1004340004 Planet Men's Tee Smoke 2X 2 32.34 31.50 2.60 1004340028 Planet Recycle Tee Green LG 1 15.57 14.50 6.87 1004340042 1973 Men's Tee White SM 1 11.97 7.25 39.43 1004340044 1973 Men's Tee White LG 1 11.97 7.25 39.43 1004340048 1973 Men's Tee Oxford MD 3 35.91 21.75 39.43 1004340074 Estab 73 Men's Tee Fatigue SM 1 11.97 7.25 39.43 1004415001 Palm Tee/Hat Combo SM 8 126.91 92.00 27.51 1004415002 Palm Tee/Hat Combo MD 2 33.52 22.92 31.60 1004415005 Palm Tee/Hat Combo Blue SM 5 119.75 31.85 73.40 1004415006 Palm Tee/Hat Combo Blue MD 12 287.40 76.44 73.40 1004415007 Palm Tee/Hat Combo Blue LG 31 747.86 218.71 70.76 1004415008 Palm Tee/Hat Combo Blue XL 26 634.70 193.94 69.44 IOD4515001 Twin Palm Mens Tee Charcoal MD 3 53.85 17.85 66.85 1004515002 Twin Palm Mens Tee Charcoal LG 4 71.80 23.80 66.85 IOD4515003 Twin Palm Mens Tee Charcoal XL 2 35.90 11.90 66.85 1 OD4515004 Twin Palm Mens Tee Charcoal 2X 2 35.90 11.90 66.85 lDD4515005 Twin Palm Mens Tee Navy MD 1 17.95 5.95 66.85 1 DO4515006 Twin Palm Mens Tee Navy LG 5 89.75 29.75 66.85 1004515007 Twin Palm Mens Tee Navy XL 4 71.80 23.80 66.85 1016220003 Tried & True Hoody Navy LG 3 89.85 44.85 50.08 1016220004 Tried & True Hoody Navy XL 4 119.80 59.80 50.08 1016220005 Tried & True Hoody Navy 2X 1 29.95 16.95 43.41 1016220007 Tried & True Hoody Gray MD 5 149.75 74.75 50.08 30 1016220008 Tried & True Hoody Gray LG 5 149.75 74.75 50.08 Date 3/10/2012 Palm Desert Visitor Center Time 10:54:13 Sales Account, Stat, & Class Report Page 3 Golf Shop From 7/1/2011 Through 2/29/2012 Item Description Size Qty Amount Cost Margin 1016220009 Tried & True Hoody Gray XL 5 149.75 74.75 50.08 1016220010 Tried & True Hoody Gray 2X 2 59.90 33.90 43.41 1016220011 Tried & True Hoody Kiwi SM 2 59.90 29.90 50.08 1016220012 Tried & True Hoody Kiwi MD 4 119.80 59.80 50.08 1016220013 Tried & True Hoody Kiwi LG 2 59.90 29.90 50.08 1016220014 Tried & True Hoody Kiwi XL 1 29.95 14.95 50.08 1016415001 Ballpark Sweatshirt Maroon SM 1 17.97 14.50 19.31 1016415003 Ballpark Sweatshirt Maroon LG 5 89.85 72.50 19.31 1016415005 Ballpark Sweatshirt Maroon 2X 3 53.91 49.50 8.18 1016415008 Ballpark Sweatshirt Oxford LG 2 35.94 29.00 19.31 1016415009 Ballpark Sweatshirt Oxford XL 3 53.91 43.50 19.31 1016415010 Ballpark Sweatshirt Oxford 2X 2 35.94 33.00 8.18 1016415012 Ballpark Sweatshirt Navy MD 1 17.97 14.50 19.31 1016415015 Ballpark Sweatshirt Navy 2X 2 35.94 33.00 8.18 1136220016 Floral Ladies Tee Lavender SM 4 83.80 36.16 56.85 1136220017 Floral Ladies Tee Lavender MD 3 62.85 29.10 53.70 1136220018 Floral Ladies Tee Lavender LG 5 104.75 47.00 55.13 1136220019 Floral Ladies Tee Lavender XL 2 41.90 18.54 55.75 1136220020 Floral Ladies Tee Lavender 2X 1 20.95 10.04 52.08 1136220021 Floral Ladies Tee Green SM 2 41.90 17.90 57.28 1136220022 Floral Ladies Tee Green MD 8 167.60 76.64 54.27 1136220023 Floral Ladies Tee Green LG 4 83.80 38.62 53.90 1136220024 Floral Ladies Tee Green XL 4 83.80 39.40 52.98 1136220025 Floral Ladies Tee Green 2X 1 20.95 10.85 48.21 1136220026 Floral Ladies Tee Blue SM 2 41.90 17.00 59.43 1136220027 Floral Ladies Tee Blue MD 4 83.80 39.40 52.98 1136220028 Floral Ladies Tee Blue LG 5 104.75 49.25 52.98 1136220029 Floral Ladies Tee Blue XL 2 41.90 18.35 56.21 1136220030 Floral Ladies Tee Blue 2X 3 62.85 30.12 52.08 1136220038 Flight Ladies Tee Purple MD 3 45.47 24.00 47.22 1136220039 Flight Ladies Tee Purple LG 1 18.95 8.00 57.78 1136220041 Flight Ladies Tee Purple 2X 5 71.99 45.00 3749 1136220042 Flight Ladies Tee Teal SM 1 18.95 8.00 5778 1136220043 Flight Ladies Tee Teal MD 3 39.78 24.00 3967 1136220045 Flight Ladies Tee Teal XL 1 18.95 8.00 57.78 1136220046 Flight Ladies Tee Teal 2X 3 45.47 27.00 40.62 1136220048 Flight Ladies Tee Black MD 1 18.95 8.00 57.78 1136220049 Flight Ladies Tee Black LG 3 45.47 24.00 47.22 1136220050 Flight Ladies Tee Black XL 5 66.30 40.00 39.67 1136220051 Flight Ladies Tee Black 2X 4 53.04 36.00 32.13 1136220063 Frontscript Ladies Tee Pink MD 2 39.90 17.00 57.39 31 1136220054 Frontscript Ladies Tee Pink LG 3 53.86 25.50 52.66 Date 3/10/2012 Palm Desert Visitor Center Time 10:54:13 Sales Account, Stat, & Class Report Page 4 Golf Shop From 7/1/2011 Through 2/29/2012 Item Description Size Qty Amount Cost Margin 1136220056 Frontscrip Ladies Tee Pink 2X 2 39.90 19.00 52.38 1136220059 Frontscript Ladies Tee Blue LG 1 19.95 8.50 57.39 1136220060 Frontscript Ladies Tee Blue XL 4 56.84 34.00 39.11 1136220061 Frontscript Ladies Tee Blue 2X 2 33.91 19.00 43.97 1136220063 Frontscript Ladies Tee MD 2 33.91 17.00 49.87 1136220064 Frontscript Ladies Tee Black LG 3 59.85 25.50 57.39 1136220065 Frontscript Ladies Tee Black XL 6 95.74 51.00 46.73 1136220066 Frontscript Ladies Tee Black 2X 1 19.95 9.50 52.38 1136330095' Block Palm V-Neck Black SM 2 34.92 22.00 37.00 1136330098' Block Palm V-Neck Black XL 2 34.92 22.00 37.00 1136330106' Block Palm V-Neck Teal MD 1 17.46 11.00 37.00 1136330107' Block Palm V-Neck Teal LG 1 17.46 11.00 37.00 1136330108' Block Palm V-Neck Teal XL 1 17A6 11.00 37.00 1136415002 Faded Script Tee Melon MO 4 70.11 35.40 49.51 1136415003 Faded Script Tee Melon LG 3 45.47 26.55 41.61 1136415004 Faded Script Tee Melon XL 3 51.16 26.55 48.10 1136415005 Faded Script Melon Tee 2X 1 18.95 8.85 53.30 1136415006 Faded Script Tee Green SM 1 18.95 8.85 53.30 1136415007 Faded Script Tee Green MD 1 18.95 8.85 53.30 1136415012 Faded Script Tee Blue MD 1 18.95 8.85 53.30 1136415013 Faded Script Tee Blue LG 1 13.26 8.85 33.26 1136415015 Faded Script Tee Blue 2X 1 18.95 8.85 53.30 1136432001 Sun Ladies Tee Yellow MD 4 80.32 44.00 45.22 1136432002 Sun Ladies Tee Yellow LG 3 68.85 33.00 52.07 1136432003 Sun Ladies Tee Yellow XL 4 91.80 44.00 52.07 1136432004 Sun Ladies Tee Yellow 2X 1 22.95 12.00 47.71 1136432005 Sun Ladies Tee Kiwi MD 3 68.85 33.00 52.07 1136432006 Sun Ladies Tee Kiwi LG 3 57.37 33.00 42.48 1136432007 Sun Ladies Tee Kiwi XL 5 114.75 55.00 52.07 1136432008 Sun Ladies Tee Kiwi 2X 1 22.95 12.00 47.71 1136432009 Sun Ladies Tee Lagoon MO 3 68.85 33.00 52.07 1136432010 Sun Ladies Tee Lagoon LG 3 68.85 33.00 52,07 1136432011 Sun Ladies Tee Lagoon XL 5 114.75 55.00 52.07 1136432012 Sun Ladies Tee Lagoon 2X 2 45.90 24.00 47.71 1136432014 Hibiscus Tee Raspberry MD 1 21.95 10.00 54.44 1136432015 Hibiscus Tee Raspberry LG 2 43.90 20.00 54.44 1136432016 Hibiscus Tee Raspberry XL 2 43.90 20.00 54.44 1136432019 Hibiscus Tee Seafoam MD 3 65.85 30.00 54.44 1136432020 Hibiscus Tee Seafoam LG 4 87.80 40.00 54.44 1136432021 Hibiscus Tee Seafoam XL 1 21.95 10.00 54.44 1136432024 Hibiscus Tee Blue MD 1 21.95 10.00 54.44 32 1136432025 Hibiscus Tee Blue LG 1 21.95 10.00 54.44 Date 3/10/2012 Palm Desert Visitor Center Time 10:54:13 Sales Account, Stat, & Class Report Page 5 Golf Shop From 7/1/2011 Through 2/29/2012 Item Description Size Qty Amount Cost Margin 1136555002 Tiny Palm Tee Hot Aqua MD 1 19.95 8.55 57.14 1136555003 Tiny Palm Tee Hot Aqua LG 1 19.95 8.55 57.14 1136555006 Tiny Palm Tee Hot Purple SM 1 19.95 8.55 57.14 1136555007 Tiny Palm Tee Hot Purple MD 1 19.95 8.55 57.14 1136555008 Tiny Palm Tee Hot Purple LG 2 39.90 17.10 57.14 1136555009 Tiny Palm Tee Hot Purple XL 1 19.95 8.55 57.14 1136555011 Tiny Palm Tee Black SM 1 19.95 8.55 57.14 1136555012 Tiny Palm Tee Black MD 1 19.95 8.55 57.14 1136555013 Tiny Palm Tee Black LG 2 39.90 17.10 57.14 1268220005 Wild Coyote Youth Tee Orange XS 3 27.18 14.55 46.47 1268220006 Wild Coyote Youth Tee Orange SM 1 9.06 4.85 46.47 1268220007 Wild Coyote Youth Tee Orange MD 3 27.18 14.94 45.00 1268220008 Wild Coyote Youth Tee Orange LG 4 40.14 20.20 49.68 1268220017 Gecko Youth Tee Orange XS 10 108.78 52.50 51.74 1268220018 Gecko Youth Tee Orange SM 10 108.78 52.50 51.74 1268220019 Gecko Youth Tee Orange MD 3 33.67 15.75 53.22 1268220021 Gecko Youth Tee Blue XS 6 69.93 31.50 54.95 1268220022 Gecko Youth Tee Blue SM 5 62.16 26.25 57.77 1268220023 Gecko Youth Tee Blue MD 5 56.98 26.25 53.93 1268220024 Gecko Youth Tee Blue LG 2 23.31 10.50 54.95 1268220025 Wild World Tee Blue XS 6 77.70 35.70 54.05 1268220026 Wild World Tee Blue SM 4 51.80 23.80 54.05 1268220027 Wild World Tee Blue MD 1 12.95 5.95 54.05 1268220028 Wild World Tee Blue LG 3 38.85 17.85 54.05 1268220029 Wild World Tee Orange XS 2 25.90 11.90 54.05 1268220030 Wild World Tee Orange SM 5 64.75 29.75 54.05 1268220031 Wild World Tee Orange MD 2 25.90 11.90 54.05 1268220032 Wild World Tee Orange LG 2 25.90 11.90 54.05 1276220011 Frilly Palm Youth Tee Turq MD 1 6.47 5.25 18.86 1276220013 Horses Youth Tee Pink XS 6 67.34 31.50 53.22 1276220014 Horses Youth Tee Pink SM 4 44.03 21.00 52.31 1276220015 Horses Youth Tee Pink MD 3 33.67 15.75 53.22 1276220016 Horses Youth Tee Pink LG 3 31.08 15.75 49.32 1276220017 Horses Youth Tee Violet XS 7 75.11 36.75 51.07 1276220018 Horses Youth Tee Violet SM 3 31.08 15.75 49.32 1276220019 Horses Youth Tee Violet MD 2 23.31 10.50 54.95 12,76220020 Horses Youth Tee Violet LG 4 49.21 21.00 57.33 12:76220022 Palm Crackle Tee Pink SM 2 25.90 11.90 54.05 1276220023 Palm Crackle Tee Pink MD 6 77.70 35.70 54.05 1276220024 Palm Crackle Tee Pink LG 2 25.90 11.90 54.05 1276220025 Palm Crackle Tee Purple XS 4 51.80 23.80 54.05 33 1276220026 Palm Crackle Tee Purple SM 1 12.95 5.95 54.05 Date 3/10/2012 Palm Desert Visitor Center Time 10:54:13 Sales Account, Stat, & Class Report Page 6 Golf Shop From 7/1/2011 Through 2/29/2012 Item Description size Qty Amount Cost Margin 1276220027 Palm Crackle Tee Purple MD 4 51.80 23.80 54.05 1276220028 Palm Cradle Tee Purple LG 2 25.90 11.90 54.05 1300230002 Ornament PD Illuminated Asst. 14 137.54 105.00 23.66 1304215004 Mtn. Sun Ceramic Mug Cobalt 17 132.76 50.83 61.71 1304215006 Stainless Water Bottle Flowers 5 74.75 34.95 53.24 1304215007 Palm Travel Mug Orange 2 30.51 17.98 41.07 1304215008 Palm Travel Mug Aqua Blue 2 30.51 17.98 41.07 1304215009 Palm Travel Mug Lime Green 3 48.46 26.97 44.35 1304230019 Stacked PD Logo Mug Black 16 143.20 58.24 59.33 1308250001 Photos Matted 6z8 1 19.95 7.00 64.91 1308353001 Kirk Owens Mini Prints 2 39.90 35.00 12.28 1308487001 Photos, Palm Desert 8z10 1 20.95 12.00 42.72 1312001001 Post Card Single 541 135.25 81.15 40.00 1312001002 Post Cards (5) 722 722.00 433.20 40.00 1312120001 Atwood 8-pack Asst. Greeting Cards 49 296.51 269.50 9.11 1312160002 Post Card PD Collection 1 1.00 0.00 100.00 1312215001 Recycled Journal Palm Desert 29 242.73 178.93 26.28 1312470001 Joshua Tree Notecards 4 23.88 20.00 16.25 1320215001 Nike Par Pack Palm Desert 16 176.86 103.52 41.47 1324160001 City of Palm Desert Flag 2 50.00 0.00 100.00 1324230002 Sun Pens Asst. 33 81.50 41.91 48.58 1324230003 Car Decal Palm Desert 40 41.00 40.00 2.44 1324230004 CD Case Asst. 15 69.30 33.75 51.30 1324268001 Hiking Medallion Palm Desert 22 86.90 40.70 53.16 1324268006 Hiking Medallion California 1 3.95 1.85 53.16 1324560001 Seeds of California Postcards 86 205.54 103.20 49.79 1392215001 Crank Light Keychain 14 97.30 45.50 53.24 1392230003 Oval Key Ring Asst. 16 63.20 30.40 51.90 1392250001 Photo Keychain PD Asst. 15 89.25 44.25 50.42 1392430001 Palm Desert Boot Keychain 10 39.50 19.00 51.90 1396489002 Palm Desert Picture Magnet 19 75.05 15.20 79.75 1428370001 Living Desert Adult Pass 686 8232.00 5666.00 31.17 1428370002 Living Desert Children's Pass 90 540.00 450.00 16.67 1432510001 Adult Monthly Pass 69 2346.00 2259.75 3.68 1432510002 Senior/Special Monthly Pass 117 1989.00 1842.75 7.35 1432510003 Youth Monthly Pass 25 600.00 568.75 5.21 1432510004 Adult10-Ride 25 250.00 237.50 5.00 1432510005 Youth 10-Ride 8 68.00 64.00 5.88 1432510006 Senior 10-Ride 2 10.00 9.00 10.00 14.32510010 Adult Day Pass 18 54.00 49.50 8.33 1432510011 Youth Day Pass 3 6.00 5.25 12.50 34 1432510012 Senior Day Pass 29 43.50 36.25 16.67 Date 3/10/2012 Palm Desert Visitor Center Time 10:54:13 Sales Account, Stat, & Class Report Page 7 Golf Shop From 7/1/2011 Through 2/29/2012 Item Description Size Qly Amount Coat Margin 1536140001 Safari Hatbandoo Natural SM/MD 3 83.85 41.85 50.09 1536140002 Safari Hatbandoo Natural LG/XL 8 201.24 111.60 44.54 1536140003 Safari Hatbandoo Moss SM/MD 2 55.90 27.90 50.09 1536140004 Safari Hatbandoo Moss LG/XL 6 156.52 83.70 46.52 1536140005 Safari Hatbandoo Camo SM/MD 2 55.90 29.90 46.51 1536217001 Sandwich Brim Sun Cap Asst 5 74.75 33.75 54.85 1536217002 Twill Sun Cap Asst. 10 149.50 62.50 58.19 1536217003 Mesh Back Sun Cap Putty 12 179.40 66.00 63.21 1636217005 Big Brim Cotton Hat Black 1 27.95 13.50 51.70 1536217006 Big Brim Cotton Hat Yellow 1 27.95 13.50 51.70 1536217007 Big Brim Cotton Hat White 3 83.85 40.50 51.70 1536217008 Big Brim Cotton Hat Pink 2 55.90 27.00 51.70 1536217010 Big Brim Cotton Hat Oatmeal 3 83.85 40.50 51.70 1S36217011 Braided Straw Ladies Visor 5 99.75 50.00 49.87 1536217012 Rip Stop Cargo Cap Asst. 12 179.40 90.00 49.83 1536217013 Flex Mtn Cap Navy 8 127.60 66.00 48.28 1536217015 Supplex Brimmed Hat White 5 135.56 67.50 50.21 1536217017 Twill/Mesh Safari Hat Putty 8 239.60 118.00 50.75 1536217018 Mesh Soaker Hat Tan 6 167.70 82.50 50.81 1536217019 Raffia Panama Hat 2 69.90 34.50 50.64 1536230010 Zipper Cap Men's Khaki/Navy 1 6.47 5.50 14.99 1536230011 Zipper Cap Men's White/Black 25 290.08 137.50 52.60 1536230012 Zipper Cap Men's Olive 5 64.75 27.50 57.53 1536230013 Zipper Cap Men's Denim 5 64.75 27.50 57.53 1536230051 Mesh Back Men's Olive Hat 7 97.65 34.94 64.22 1536230052 Mesh Bads Men's Navy Hat 16 223.20 79.72 64.28 1536230075 PET Spun Hat Stone 15 209.25 90.00 56.99 1536230086 PET Spun Hat Black 19 265.05 114.00 56.99 1536230088 PET Spun Hat Navy 25 348.75 150.00 56.99 1536230090 PET Spun Hat WhRe 11 153.45 66.00 56.99 1540215002 On the Move Backpack Royal 1 16.95 7.98 52.92 1540230005 Organic Cotton PD Tote Brown 4 38.85 24.72 36.37 1640230006 Organic Cotton PD Tote Pink 2 25.90 12.36 52.28 1548140002 Blubandoo Neckbandoo Prints 95 752.86 356.25 52.68 1548310003' Luggage Tags, Black 8 55.71 40.00 28.20 1656200001 Desert Dining Club Card Regular 7 279.65 237.65 15.02 1656200002 Desert Dining Club Discount 1 20 699.00 605.66 13.36 1656200003 Desert Dining Club Discount 2 8 239.60 191.60 20.03 1701010001 Shipping 1 4.75 0.00 100.00 1703010001 Open Price Item 38 18.50 0.00 100.00 1860117001 Images of America: Palm Desert 20 439.80 255.00 42.02 35 1860160001 Landscape Palette Book 7 105.00 0.00 100.00 Date 3/10/2012 Palm Desert Visitor Center Time 10:54:13 Sales Account, Stat, & Class Report Page 8 Golf Shop From 7/1/2011 Through 2/29t2012 Item inscription size Qty Amount Cost Margin 1860160002 Landscape Maintenance Book 2 20.00 0.00 100.00 1860160003 Palm Desert Soft Cover Book 20 539.10 0.00 100.00 1860160004 Palm Desert Hardcover Book 6 239.70 0.00 100.00 1860160005 Art & Architecture Book 16 288.00 172.80 40.00 1860250001 Note Cards, Palm Desert Photo 13 38.61 35.75 7.41 1860263001 Monument Field Guide 7 41.65 23.10 44.54 1860263002 Golf Course Wildlife Guide 4 23.80 14.00 41.18 1860287001 Cacti, Agave & Yucca Softcover 2 51.90 31.14 40.00 1860390008 Wonders of the Coachella Valley 41 612.95 367.77 40.00 1860420001 Monument Book 5 99.75 60.00 39.85 1860500003 Peaks, Palms and Picnics 10 189.50 109.90 42.01 1860500007 Palm Springs Legends 24 430.80 249.84 42.01 1860500008 California Byways Book 18 341.10 197.82 42.01 1860500011 AAA San Diego Region Map 2 9.90 5.74 42.02 1660500020 Cycling Palm Springs 32 574.40 333.12 42.01 18605N023 Way Out West/Coyote Named Frank 5 34.95 20.25 42.06 1860500026 Palm Springs Holiday/Vintage Tour 2 60.00 34.80 42.00 1860500027 Why Oh Why Are Deserts Dry 2 17.98 10.42 42.05 1860520005 The Roadrunner 4 79.80 46.22 42.08 1860520006 Joshua Tree Complete Guide 33 658.35 375.21 43.01 1860520008 Wild Desert Coloring Book (TC) 18 89.10 50.76 43.03 1860520009 1 Howl, I Growl (TC) 27 214.65 122.31 43.02 1860520010 101 Questions Desert Life (TC) 51 405.45 224.02 44.75 1860520012 SW Desert Birds (TC) 25 148,75 84.80 42.99 1860520013 SW Desert Plants (TC) 25 148.75 85.05 42.82 1860520015 SW Desert Life (TC) 18 107.10 61.18 42.87 1860520016 Lizards for Lunch (TC) 57 396.15 225.72 43.02 1860520018 One Small Square Desert (rC) 8 71.60 40.80 43.02 1860520019 Nature's Yucky 2 Desert SW (TC) 13 156.00 88.92 43.00 1860520020 Bedtime in the Southwest (TC) 15 224.25 128.02 42.91 1860520021 Coyote Who Swallowed Flea (TC) 47 749.65 427.23 43.01 1860520022 Desert Night Shift 42 291.90 166.32 43.02 1860520023 Night of Las Posadas 6 27.94 23.88 14.53 1860520024 Twelve Days of Christmas Pinata 5 50.95 48.40 5.00 1860520026 Wildflowers of the Desert SW 1 12.95 7.38 43.01 1860520027 Way Out West/Coyote (TC) 31 216.69 123.38 43.06 1860520028 Why Oh Why/Deserts Dry (TC) 80 719.20 409.60 43.05 1860548001 140 Great Hikes (Westcliffe) 119 2731.05 1366.12 49.98 1864420001 Monument DVD 4 99.80 59.88 40.00 1868263001 Monument Trail Map 10 89.50 65.00 27.37 1868380001 Map of the Stars' Homes 26 130.00 65.00 50.00 36 1868417001 Palm Desert Chamber Map 74 137.64 55.50 59.68 Palm Desert Visitor Center Sales Account, Stat, & Class Report Golf Shop From 7/1/2011 Through 2/29/2012 Item Dtscription 1868422001 Modem Palm Springs Map 1868445001 Palm Springs Desert Cities Map 1868480001 California Map Totals For 1000 Cost of Goods Sold Report Totals Deleted Items Size Qty 11 74 11 5088 5088 Date 3/10/2012 Time 10:54:13 Page 9 Amount Cost Margin 55.00 33.00 40.00 366.30 199.06 45.66 32.45 25.04 22.81 49738.61 29478.21 40.73 49738.61 29478.21 40.73 37 The City of Palm Desert Palm Desert Visitor Center Contract No. C31200 — Retail/Merchandising Consultant Services at the Palm Desert Visitor Center March 19,2012 Submitted by Landmark