Focused on the "Wow" Factor

Jonathan Shapiro has his sights set on re-energizing Lillian Vernon Corp.

By Donna Loyle

Why he went to work at Lillian Vernon Corp.: Shapiro says it's been great to be able to follow through on an idea he had in 1996 when he worked for United Media. While there, he developed the Dilbert Zone Web site based on Dilbert the cartoon character. "We started Dilbert-branded products as a small business, used direct marketing and advertising, and grew it into a $1 million a year property in 1996. We figured if with the direct marketing knowledge we had we could turn out a successful product line right out of the gate, that was great. We decided this 'Internet thing' was an ideal direct marketing vehicle."

Shapiro recalls thinking it would be a good idea to buy catalogs and drive their sales to the Web, turning them into multichannel powerhouses. He believes Lillian Vernon is just such a company. "Last year, 25 percent of Lillian Vernon's sales were via the Web," he notes. "This year it's 35 percent, and we want to grow it to 50 percent."

Previous work with Lillian Vernon's parent company, ZelnickMedia: He joined ZelnickMedia in January 2003 as an entrepreneur in residence, focused on the Lillian Vernon acquisition, which took place last July.

Education: He studied finance at the University of Pennsylvania, and received an MBA from Stanford.

Role models: Teddy Roosevelt, Ross Perot and Winston Churchill. "Each overcame great adversity. Roosevelt had many health illnesses; Perot overcame poverty. Churchill overcame the Axis power and was a war hero, prolific writer, brilliant guy, one of the last Renaissance men."

Management philosophy: Find the best people, give them responsibility and authority to get things done, and then hold them accountable. "As a former analyst and strategist, I

learned to avoid analysis paralysis. The best analysis comes from trying your ideas."

Hobbies: woodworking, skiing, films, tennis and cooking

Favorite ski destination: Alta, Utah

Primary characteristics: "I'm a dyed-in-the-wool optimist, a bit of a ham and a determined guy with a lot of energy."

Greatest business challenges in the years ahead: Fine-tuning the company's product portfolio. "We want to deliver that 'wow' factor, but in a differentiated way. I want customers to order from us, open the box and say, 'This is much better than I thought it would be.' I'm working with our chief merchant, Alyce Goodman, to make that happen."

And he wants to turn the company into a multichannel dynamo. "When people point out great multichannel retailers, I want Lillian Vernon to be one of them."

About Lillian Vernon

Established: 1951

Headquarters: Rye, N.Y.

Offerings: general merchandise

Annual circulation: 100+ million catalogs

Number of SKUs: 6,000

Number of employees: 750 year-round; 3,500 during peak season

Sales channels: 60-percent print catalog; 35-percent Web; and 5-percent retail and business-to-business