my name is – I have a good offer
Transcription
my name is – I have a good offer
Hello my name is Lars Larsen – I have a good offer An autobiography by Lars Larsen I have a good offer Hello My name is Lars Larsen I have a good offer An autobiography by Lars Larsen Graphic layout: RMB, Århus, Denmark Production: Contigo Print Group and Nørhaven Book A/S Viborg, Denmark Impression: 2.000 copies The book has been translated to Swedish, Norwegian, Finnish and German by SprogNet ApS, Århus, Denmark, www.sprognet.dk The book has also been translated to Danish, English, Polish and Czech. © JYSK 2004 Publishers Hansen Mejlgade – www.hansen-mejlgade.dk ISBN: 87-91532-03-5 All rights are reserved. All mechanical, electronic or photographic reproduction of this book or parts there of is not permitted without the author’s written approval. I HAVE A GOOD OFFER Dear employees, suppliers, family, friends, collaborators and everybody else who receive this book It’s now 25 years since I had the ”crazy” idea of starting up a chain of bedding shops – based on the concept of giving customers a good offer. Many people thought this was a bit naive. Especially when you hardly had a penny to your name. But now, 25 years later, I can conclude that I succeeded. In 2005 JYSK will reach 1000 shops – distributed in 18 countries and with a turnover of more than DKK 10,000 million… and still going strong, attempting to find even better offers… And, indeed, with a new international name. As of 2nd April 2004 we will simply be called JYSK – although Germany and Austria will continue with their popular name: Dänisches Bettenlager. To me our jubilee is such a red-letter day that I have chosen to celebrate it with all of Denmark. All households – about 2.4 million – are to be sent this book as a greeting – and as a thank you for their help. After all it is them who have helped realise this fairy-tale and, So, everybody should have a chance to read about it. Many people might think that now he is certainly suffering from delusions of grandeur – the dear Mr Lars Larsen – and that may be the case. However, I do hope and believe that most people will read the book because they are interested in a piece of the history of the Danish retail trade. In order to give everybody an insight in JYSK’s history, and mine I have chosen to publish it in 8 languages: Danish, English, German, Swedish, Norwegian, Finnish, Polish and Czech. Throughout the years the press has described Lars Larsen, JYSK and Larsen Travel for ”better and for worse” – although mainly for the better – and I have felt fine about that. However, on the occasion of this silver jubilee I have chosen to write my own version – for ”better and for worse” – although mainly for the better… Many people will probably also conclude that Lars Larsen seems to have had more failures than successes. And that is probably true. However, as long as the failures are smaller than the successes, it is not all that bad. In my 25 years as an independent businessman I have always lived by the philosophy that if you do not dare to take any chances, you will also not have any chance of making a name for yourself. Or as a wise man once said: ”Nothing ventured, nothing gained”. Lars Larsen 5 HELLO MY NAME IS LARS LARSEN Arnborg, 6 th August 1948, 1.08 pm I, ”Quilt Larsen”, come into this world – small and slight, but in good spirits. This happened in spite of my father dying only a few months earlier. My mother was now on her own with 4 small children aged 0-5 and a big farm with 218 acres of land. Its name was ”Nygård” and it was located on barren and sandy soil far out on the moors of the peninsula of Jutland, which was no good for anything but growing potatoes. She did this as well as she possibly could, having begun to suffer from poor health. My father – Lars Kristinus Larsen – was a reputable, respected, hard-working and distinguished potato grower in Arnborg, a small village between Herning and Brande. Here he took active part in life in the small society, as a chairman for the parochial church council and as a treasurer for the health insurance society and much more. My mother – Signe Vera Kirstine Hansen – grew up in the Djursland area in poverty. She later came to Århus, where she became a matron at Hotel Ansgar and was involved in, among other things, the Church Army for many years. Vera and Lars met each other late in life and quickly married. It seemed as if they knew that they were short of time, so they brought us four children into the world in the course of only 5 years before my father had to give in to his disease – only 55 years old. My father Lars Kristinus Larsen My mother Signe Vera Kristine Larsen 6 I HAVE A GOOD OFFER It was a tough time for my mother, 43 years old and with 4 small children and a relatively big farm to run. In spite of my mother being a stubborn and persevering woman it did not take more than 4 years before she had to give up and sell the farm. We then moved to the Thy area where my mother bought a small farm in Vestervig. But her health had deteriorated and we children were not old enough to relieve her. So this proud woman once again had to give up and sell the farm after only a couple of years. But Signe Vera Kirstine Larsen would not give up. After careful consideration she worked out that perhaps she could run a small hotel, where we kids could lend her a helping hand. No sooner thought than done – my mother bought the Gudenå hotel in Bjerringbro. ”Young Lars” is now 6 years old and can start remembering more and more of his life. I even have memories from back when as a 3-year old I had my first haircut on the kitchen table. A strange man with mysterious instruments. ”Young Lars” squealed like a stuck pig, although I did survive. I also remember as a 4-year old when we gathered in the potatoes from the fields and boiled them – so that they could later be used for silage, i.e. to feed the animals in the winter. Often a potato was dropped here The farm where I was born and there and I ate them with relish. When we later had a proper meal, I was never hungry. My mother was very worried that her ”young Lars” was sick – until the truth came out. Farmer’s Life among Beets, Eggs and Mice I also remember when we moved from Arnborg to Thy. There was not enough room for us children in the cab of the removal van, so they made a small cave at the very bottom of the van. Here we had to sit for the 6 hours it took us to drive from Arnborg to Thy… It was a very long ride with plenty of screaming. However, in the wall between the body of the van and the cab a small shutter was made, so that we were able to communicate and could have food and drinks on the way. The shutter was also sufficiently big for us to crawl through one at a time when we had a break. But this was probably where I got my first predisposition for claustrophobia. 7 HELLO MY NAME IS LARS LARSEN We were among the first in Denmark to have a nice red David Brown tractor. It followed us along with the rest of our furniture, but it probably took somewhat longer for it to get there. I remember our time as farmers in Thy as a major nightmare. It started somewhat in the same way as my claustrophobia, only in this case it was ”mouse phobia” (I’ll come back to that). Being a 4-5-year old kid with a sick mother, you conscientiously had to help out the best you could – and that was no problem in most cases. This involved things like the thinning-out of beets – which was my first chance in life to make money. I was paid 25 øre for a row. It was so long that I could not see from one end to the other and it could take me up to a couple of days to work my way through it – but that was okay as long as I got my reward. I was rarely paid the whole 25 øre, though, because I also had to learn about accuracy and quality. When I had finished an endless row, the quality was checked. This was done by carefully checking the row for errors. For every serious error 5 øre was deducted. Now, it may not be every reader that knows what was considered a serious error when thinning-out beets in the beginning of the fifties. I will try to explain. Nowadays beet growing is done with machines that plant a seed with sufficient space – about one every 20 cm. Once the seed has sprouted and gained a foothold, the field is weeded and sprayed with modern machinery to give the beet optimum conditions for growth. Back then, the sowing machines weren’t too accurate – the seeds just came out in one stream only a few centimetres apart from each other and there were no crop sprays to remove the weeds. Once the beet and the weeds had started sprouting, ”young Lars” aged 5, brother Knud aged 7, sister Inge aged 8, brother Hans aged 9 and mother Vera aged 48 went into action with the hoe – a sharp blade of about 20 cm mounted on a handle. We now had to remove superfluous beets as well as all the weeds in between and surrounding every single little beet. After that the beets would be left about 20 cm apart in endless straight rows. They now had the space to grow big and strong. Now, let me explain what a serious error is when you are thinning-out beets… That means having 1 metre between the beets instead of 20 cm and when what is left isn’t a beet, but some kind of weed or other. My mother and I quickly agreed that ”young Lars” probably wouldn’t be making his first money in the art of thinning-out beets. But in the fine world of farming there are a host of other duties – including several that a 5-year old can handle – or so my mother thought. After my somewhat less fortunate career in the art of thinning-out beets, I started collecting eggs instead. That went better. Each day I was to collect eggs from the hen house – an easy job, I thought. But no, this also involved quality control. Once the eggs had been collected in baskets, they had to be cleaned using a wet cloth and put into egg cartons – and then it was time for the check. There could 8 I HAVE A GOOD OFFER The Hotel ”Gudenaa” – at the bank of the Mississippi! not be any dirty eggs or cracked eggs. The dirty ones were a piece of cake because all I had to do was clean them again with the wet cloth. Cracked eggs were an entirely different matter. It was money right out the window. I did not find the problem as bad as my mother thought as we could just eat them ourselves. Right, my mother said – but I only have 4 children, not 14. For a while she tried using a sort of punishment for each cracked egg – namely for me to eat it raw. That is no favourite for a 5-year old kid, so it did help considerably – but not enough. I quickly realised that a raw egg yolk could be mixed with sugar and then it suddenly became a real treat. That was the end of that job. That brings us back to the ”mouse phobia”. I now had to help with harvesting. I had to carry sheaves. That worked out fine. However, if you have corn, you also have mice – plenty of mice. One day when we had our lunch break, I could suddenly feel something tickling in one of my trouser legs. ”Sit still, kid”, they said. That was easier said than done. Then my big brother Hans took charge: ”Stand up”. And then he slapped me – not on my cheek but on the thigh. Hey presto – out of one trouser leg came a small dead mouse. Everybody laughed – except for ”young Lars”. I was screaming. 9 HELLO MY NAME IS LARS LARSEN That day I decided that I would never again be involved in harvest work at any cost. It is always a good thing when people make a decision and stand by it – for better and for worse. However, it can be hard to carry through for a 5-year old living at a farm and who has to help in one way or another. Probably mainly by merely being present – after all, nannies weren’t a high priority on a small farm in the 50’ies. But I was very determined. In future, when we were asked to help with the harvest work, I had vanished from the face of earth. The whole family could now spend its precious time looking for me instead of getting any work done. And they did spend a lot of time on it because I had many interesting and efficient hiding-places. Sometimes it was in the hen house and at other times it would be on my back in the beet field. Here I could lie for hours dreaming about the most fabulous animals in the clouds. All along I could hear my family shouting ”Lars, where are you”, ”Laaaaaars, come on out” and finally the words I had been waiting for: ”You don’t have to help with the harvest work”. Foray Along the Mississippi I do not know whether this was when my mother decided to change career. However, the fact remains that now we were going to run a hotel. I had turned 6 and was about to ”run” the Hotel Gudenå in Bjerringbro. As the name suggests, it was located right down by the river called the Gudenåen. There were canoes in the garden that we hired out. I remember my time in Bjerringbro as an incredibly delightful and eventful part of my childhood and with fewer problematic tasks, fewer mice (although perhaps a couple of water rats), fewer cracked eggs and no beets, but instead with plenty of water. I know that the Gudenåen is the biggest river in Denmark, but back then it felt like the biggest river in the world. It went on forever in both directions, where we kids could romp about swimming, fishing and not least canoeing. I felt more free – probably mainly because my mother left it increasingly to her older children to look after me, although they were in fact no more than 8-10 years old. But the hotel had to be run, so a lot of the time we were left on our own to take care of ourselves, and so we did. We went swimming, fishing and sailing. I remember the sailing as one of the most exciting things from my entire childhood. The most exciting thing was probably when we went looting and invaded the orchards and gardens from the riverside. A tactically clever manoeuvre, as the fruit trees often stretched all the way down to the Gudenåen, whereas the ”farms” were often located further inland. With the agility of an Indian in his canoe on the Mississippi river, we silently glided in to the ”river bank”. Pulled up the canoe – sneaked into 10 I HAVE A GOOD OFFER ”enemy territory” and looted everything within our reach. There were apples, pears, plums, strawberries, gooseberries, redcurrants and much more. Nothing was too big – nothing was too small. Pockets were filled and shirts tucked in under belts and filled. Then we quickly went back to the boat and silently slipped back into the ”river” – and gone we were – before anybody suspected anything. However, such expeditions rarely go well in the long run. A couple of times we were caught in the act. We then had to escape to the boats without booty and the ”farmers” shot at us with rifles from the ”river bank”. After that we found cover at the bottom of the canoe and let it flow down the ”river” as it chose. I know you think I’m losing it. But no – it is the absolute truth, at least according to the older boys who were there. They told me that the fruit growers had the right to shoot anything alive on their land – no matter whether it was animals or small human robbers. Of course, it was not normal ammunition but small balls of grease mixed with salt and pepper. Sufficiently hard to penetrate the skin and make any robber scream from pain once the salt and pepper started working. Luckily I never heard of anybody being hit in the eyes. And yet – because a few years later this type of hunting was prohibited. That is if it ever existed, but I still believe it. However, it wasn’t all about looting. We also did a lot of fishing and brought the catch home for the day-to-day running of the hotel. My mother had some people boarding with us – and fortunately they liked fish, because they had it 2-3 times a week. It was less successful for the boarders when, out of necessity, we had to use less attractive fishing spots. That was at the slaughterhouse’s sewage discharge. Back then there was no such thing as sewage treatment plants, so they let all the sewage straight into the Gudenåen and certain species of fish found it very attractive. Especially roaches, as they were called. But the boarders refused to eat them, so mother had to serve expensive steaks or meatballs and we were asked to find more tasty fishing sites – far away from the slaughterhouse. But of course it was not all about playing. My siblings had started going to school, and while they were away all the work of the hotel becamemy nanny. I set the table, cleaned, made the beds – everything within mother’s sight. But when my siblings came home from school and had done their work, the adventures at and on the Mississippi river started. The Kid from the Sweetshop with Reddish Hair and Freckles A couple of years later it was time to move again. Mother sold the hotel and we moved back to Thy. This time to Hurup, where my mother bought a small sweetshop with the last of her money from the potato farm in Arnborg. 11 HELLO MY NAME IS LARS LARSEN On an outing to the amusement park Tivoli Friheden in Århus. Inge, Lars, Knud and Hans 12 I HAVE A GOOD OFFER If running a hotel by the Gudenåen had been an adventure for a kid of 6-7 years, this had to be paradise. Imagine your mother owning the local sweetshop – then you could probably have all the sweets you could possibly eat… and yet… In August 1956 I started in the first form at Hurup Kommuneskole and was the smallest but also the oldest in my class. Just like when I was born, I was still below standard height, shorter by half a head to a head than the others in my class. Reddish spiky hair and freckles and dressed in my brothers’ cast-off clothes – nicely washed and neatly mended due to various holes and wear and tear. The perfect candidate for bullying. And there was a fair amount of bullying, but not as bad as could be feared. After all, my mother did own a sweetshop… and I was also the oldest in my class. Not because I was backward and therefore started school later. No, it was merely due to the fact that a new school year back then – as now – started in the first week of August. It was laid down that you had to start school in your seventh year. I started school on August 5th when I was 7 years old - but already the very next day I turned 8 – one year older than everybody else in class. It made a certain impression, even on the taller and tougher kids. Oh yes, ”young Lars” with the freckles and the reddish spiky hair and the stocky legs and whose mother owned the local sweetshop was, in fact, rather interesting. He was not to be bullied and was acceptable in the more fashionable circles. I was invited home to visit the middle classes: The solicitor, Mr Lind, the butcher, Mr Kristensen, the baker, Mr Andersen, the vet, Mr Jørgensen, the Ford dealer, Mr Mortensen, the Borough treasurer, Mr Andersen, Doctor Belter, the dairy manager, Mr Westergaard, etc. However, I also liked visiting the workhouse to play with Svend with whom I shared a desk The kid from the sweetshop at school. Along with the sweetshop came a rather big house with a big basement and first floor. More than we needed – or could afford. So 2 rooms in the basement and all of the first floor were let out. The tenants in the basement were particularly interesting. They were 2 bachelors who were rather fond of drinking, but otherwise quite peaceful. I spent a lot of time with one of them – Mr Kirkensgaard was his name. Our tenants were always addressed formally. 13 HELLO MY NAME IS LARS LARSEN The kids always called him ”Little man”. The two of us had many talks, especially about his past as a postman. This was a job he still had when he was sober – his title was now a reserve postman. Perhaps I also came to see him a lot because good tips could be made – especially when all his friends came to visit and they were drinking, often much more than they had expected themselves. That meant they often needed new supplies – mostly beer and ”Klostertonic”, which was a sort of dessert wine. I remember the taste as a mixture of cherry wine and port. Tips were best at weekends when the grocers had closed down, because it was much harder work finding somebody who would sell illegally from the back door. The lads accepted that. There were about 7-8 grocers in town, but I quickly managed to find one who could supply me 24 hours a day – all year round. I also got a bit of secret commission in the form of one or two sodas or some fruit that was past its sell-by date. Things also went well with the other tenant in the basement, at least at first. Then some of the older kids ”did a big job” – literally speaking. A couple of hours before he came home from work, they sneaked into his room, took his frying pan and ”did a big job in it”, turned on the gas ring and heated the pan and its contents… That was the end of our peace and quiet – not just for him but for the whole house – from top to bottom. Climbing Wall in Hurup as early as the ’50s A lot of exciting things certainly took place at the ”Knophuset”, as our house was called because it was built with red burnt bricks. Some bricks were placed crosswise, so that half of the brick was sticking outside of the wall. They were placed regularly all over the house about 1 metre apart, both crosswise and lengthwise. Probably done in order to give the house some character – but probably not for what us kids used it for, i.e. to play tag. We climbed on the small pieces of bricks to catch each other. So the climbing walls of today also existed in Hurup in the 50’s – but without any safety line. Looking back, this was a rather risky game. It was about 6 metres up to the uppermost brick. It was incredible that nobody got seriously hurt and that nobody stopped us. But it was a house where we were given rather a free rein… When we came home from school, mother had long since gone to the sweetshop and she did not return until 10.00 pm. So it was our big brother Hans who was ”lord of the house”. He could be strict sometimes, but being a 12-13-year old kid he also wanted to have a life of his own. He was also always up to some tricks himself, like the trick with the frying pan… I did well at school. I was not among the best, but I worked hard. I tried to do my homework every day and felt very guilty if I came to school unprepared. This occasionally happened, when playing took away my time. 14 I HAVE A GOOD OFFER Hurup Realskole (Upper Secondary School However, we children were not simply left to our own devices all the time, although I may have given that impression. Almost every day, Dagny – a member of the family – came around for a few hours to do the cooking and help with the cleaning. We also had to help out with the odd jobs in the sweetshop. My favourite job was to whip egg whites for the ice-cream cones, because then I was allowed to lick the bowl afterwards. It doesn’t sound like much, but this was not a case of us kids just having whatever we pleased. No, we could graciously scrape empty cans and have the damaged sweets. Only very damaged ones, though – because even though sweets had been broken into pieces or pieces of liquorice had melted into each other, that was not sufficient for us to get it. No, it was carefully weighed and mixed in cornets and sold under the name of ”lucky bags”. These were highly popular. In fact so popular that mother was forced to damage sweets herself as well as sort out sweets that were probably a little past the sell-by date (if there had in fact been such a thing) to meet the demand. 15 HELLO MYNAME IS L ARS L ARSEN There was certainly no lack of creativity in my mother. She was also the first in Hurup to invest in the big wonder of the time – a soft ice-cream machine. It was a major success. People often queued up to taste this new wonder – 25 ø re for a shell, i.e. 2 small cones shaped like oyster shells with soft -cream inside and 35 ø re for a cone. Her turnover boomed – from about DKK 6 0a day to up to just under DKK 10 0on a good day. Now that was progress. The Start of a Slightly Criminal Career As previously mentioned, mother was very reluctant to give us kids sweets, but I did have my obligations towards my friends at school. After all, the very reason for me being part of the gang was my status as the son of the owner of the local sweetshop. This is where I have to humble myself and admit that I started on a slightly criminal career. By now my mother could hardly walk and So she did not follow me out from the back of the shop when I left. I always went through the shop instead of the back door as my bike was outside. On the way through the shop my hand would slip into a couple of cans with sweets. ”Hurup United” – with me on the left wing 16 I HAVE A GOOD OFFER I doubt that my pilfering was the reason that my mother had to sell the sweetshop and the ”Knophuset”. The main cause was probably more likely to be her health, which by now was rather hopeless, and an equally hopeless economy. Ever since I was only a few years old mother had suffered from sciatica, which caused her terrible pains, especially when she was doing physical work – and there was a lot of that for a single mother with 4 small children and a farm or a hotel to take care of. We Did not Want to Go to a Children’s Home Later she began to have migraines and to make things worse, she ended up having bad nerves. By the time I had turned 12, my mother was a total invalid. A very ill and worn-out woman who could only move around by using a stick and dragging her feet and she had constant pains in her head, body and even her soul. It often happened during my childhood that one of us kids woke up at night and mother was gone. We quickly got dressed and went searching for her in the dark. Sometimes we found her up to her neck in water in Nessund, which is about 5 km from Hurup. It is incredible how she managed to make it that far. Other times we would find her on the rails – waiting for a train - thank God they were not running at that time of day. Often we found her ourselves – and then we kept our mouths shut. We were certain that we would be sent to a children’s home. We were very determined to stick together, at no matter what cost. However, at other times we did not wake up until the police brought her home, and then off we went to the hospital in Thisted. If it was really bad, she was taken to the psychiatric department in Viborg –better known at school as the mental hospital. When mother was in hospital, which in fact happened a lot in the period when I was 11 to 14 years old, we always managed to keep on living at home. Family, neighbours and friends helped us out and promised to take care of us. For 3 hard years we had to take care of our mother, clean and go to school. At the same time I had to pretend to have plenty of time for my friends as well as take care of my job as an errand boy at the grocers next door. So it was late by the time my homework was done, but I always did it. Mother had allowed me to go to secondary school. Hans, Inge and Knud had to leave school after 7th grade to start working at a factory so that they could help pay the bills. Hans and Inge started working at the local shoe factory, N.K.P. Sko, while Knud started at the mattress factory HUMA in Hurup. He still works there today and sells mattresses to his little brother, both in Denmark and abroad, for huge sums of money every year. This has made the mattress factory the biggest workplace in Hurup. 17 HELLO MY NAME IS LARS LARSEN Tips and Collecting Bottles Anyway, let’s get back on track. By selling the ”Knophuset” and the sweetshop my mother just about made enough money for the deposit on a small house in the outskirts of town that had an apple orchard. Yes, that’s right. Now we children no longer had to steal from ”enemy territory”. Now we had tons of apples just outside the door. Perhaps the irony of fate, because it was our job to take care of them and harvest them – lawfully. Mother thought we had a certain amount of experience in this from the ”Mississippi river”, so now it was up to us to guard the precious harvest. Mother was a proud woman, who was determined to take care of herself and her children - without any help from social services. However, when her last source of income – the sweetshop – was gone, she had to give in and apply for a widow’s pension. She had in, fact, been entitled to it for many years. She could have applied for invalidity pension, which would have been much more, but she would not hear of it. She did not want to burden the system more than absolutely necessary, but would rather pinch and scrape and so we did. We children had to help as much as we could. I found a job at one of the grocers in town as an errand boy and earned DKK 20 a week. Of this I would hand in DKK 15 for the household and I was then allowed to spend the remaining DKK 5 on myself. However, I did earn more than that because when I provided a good service, I was usually paid tips. 5 øre here and 10 øre there, and around Christmas the good places paid a whole crown. There was one place where I got a crown, but only when he was home. It did not take me long to figure out when he was working so that I would come, when I was certain he was home. He was the borough treasurer and the grocer’s best customer. It did not last forever, though, because suddenly he went to jail, caught in the act of swindling at the Municipal Treasurer’s Department. From one day to the next I lost a good income - and so did the grocer. Then I had to find new sources of income, and so I did. Every Saturday night there was a dance at the Kjeld and I as boy scouts Skovpavillonen, and Hurup was a 18 I HAVE A GOOD OFFER teetotal town without any public houses. Therefore all the young people brought along plenty of supplies that they hid in the woods. Then they went there for a drink – and as the evening progressed, we were able to find one 10 øre after the other on the woodland floor (the deposit on bottles). On a good night we could find 100 empty bottles and on a really good night some of them were still full. Then we could sell them the next Saturday and earn good money. We Caught Flatfish and Collected Sea Gull Eggs Hurup is situated about 12 km from the North Sea. At certain times a year the mackerels came close to the offshore bar Agger Tange, and word of this quickly spread to Hurup. Off we went with our fishing rods on bikes and a couple of big jute bags on the luggage carrier. Then we would fish for the rest of the day on the piers at Agger. Back then there were no fishing quotas, fishing licenses or any lack of fish. We had three to four hooks on the same line, and often there would be 2 or 3 mackerels on the line when we pulled it in. Sometimes there would even be 2 on the same hook. Those were the days. Often we caught so many that we had to wheel the bicycles home. Then we sold the catch to neighbours and friends. But if we did not manage to sell all the fish while they were fresh, that could also be remedied. We built a small smokehouse at home in the garden, and then off we went again to sell smoked mackerels. We certainly had a busy time when the mackerels got close to the offshore bar. Unfortunately, they didn’t all year round, so we had to find other fishing methods. There were flounders and plaice, which we caught at the low stagnant water in Krik Vig, only a few hundred metres from the North Sea, sheltered by the dunes. We put a nail on the end of a stick and then walked around in the low stagnant water. Our trained eagle eyes were able to register from a distance where the flatfish were hiding in the sand. Then all we needed to do was to stalk them, thrust our homemade efficient fishing tackles in them and then down in the bag they went. However, this method was forbidden for being cruelty to animals. We quickly found another method of catching them. We merely left the stick with the nail at home and quickly trained ourselves to step on them with our bare feet and then down they went into the bag and home for dinner. It was not only for ourselves, but also for all our acquaintances to whom we delivered regularly. We also collected eggs, and it wasn’t like back in my time in the countryside. No, this we also did by the North Sea at Agger Tange. Here there were huge gulleries and when they were brooding, we quickly learned which nests had new-laid eggs. Then all we had to do was to chase the sea gull away from the nest and put the fresh new-laid eggs in the egg box. 19 HELLO MY NAME IS LARS LARSEN It all sounds very easy but it wasn’t. A giant sea gull was quite capable of defending itself against us kids. Often we also ended up being pecked by the birds, but we always got some eggs and sometimes we even caught a couple of sea gulls to bring home. Mother had found a way to cook them. She soaked them in buttermilk for a couple of days to get rid of the rancid taste. After that she prepared them in the same way as game. I remember the taste as somewhat similar to roast hare – which isn’t bad at all. We sold the eggs to the local baker for 10 øre a piece. He thought they were at least equally tasty as chicken eggs, only cheaper. By supplementing with mackerels, plaice, flounders and sea gulls, we did manage to get food on the table every day. A couple of times a week we supplemented our catch at the butchers. I was sent to buy ” DKK 2 worth of lean streaky bacon, finely sliced”. Later in life I have done some calculations. Either Butcher Hummelshøj was not very good at maths or else he was generous. There was always enough meat for 5 people, not much but we filled up on plenty of gravy and potatoes. To take the edge off our appetites, we were always served some stewed rhubarb or something similar in the summertime. In the winter the starter was various types of porridge or elderberry syrup with rusks. We always had enough to eat. One of the World’s First ”Manned” Space Rockets I remember my first 3-4 years at school as good, harmonious years with plenty of interesting friends, like Ulrik Jørgensen, the vet’s son. Actually, it was completely against the unwritten laws in town that I played with somebody from the wrong side of the railway. However, I could not resist the temptation because there was always plenty of action wherever Ulrik went. Often action that were near the track, but it was always exciting. An example was when when he and I were among the first people in the world to send a living being into space. We caught a mouse, put it into one of the vet’s test tubes with some cheese and put in a cork with a breathing hole. After that we used some twine to tie it to the biggest New Year rocket we could find in Hurup. The vet just happened to have one! Down we went to the park and invited spectators, and at exactly sunset on December th 30 , 1959, the world’s – or at least Denmark’s - first ”manned” space rocket was launched from Hurup park. The Russians were first with the dog Leika in 1957, and later Gagarin and the other astronauts followed. I do not know whether the mouse survived, but later the remains of the ”spaceship” were found elsewhere in the park - without the mouse. 20 I HAVE A GOOD OFFER School picture from Hurup Realskole Another good friend of mine was the dairy manager’s son Theil. From my time with him I mainly remember a cold winter day where we cycled a couple of kilometres outside of town to go skating on a small pond Dangerous Games on the Ice and with Bow and Arrows As fate would have it, I did not have any skates. So we were going to take turns using Theil’s. I had to slide on my boots, while Theil elegantly slid on his skates. Then the plan was for me to try them on later. However, we never made it that far. Suddenly the ice broke and Theil was gone. This was in the middle of the countryside and there was no help to be found, although of course we were screaming like stuck pigs. The hole was probably about a couple of metres wide. Theil tried repeatedly to get up onto the ice, but each time even more ice broke of. I tried to crawl to him, but when I got close the ice creaked threateningly, so I backed off again. I instinctively knew that if I also fell in, we would both drown. 21 HELLO MY NAME IS LARS LARSEN I rushed to a tree close by, broke off a long branch and managed to reach it out to Theil. He almost gave up but I miraculously managed to pull him in. I wrapped him in my jacket and off we went back to the dairy where he had to go to bed with pneumonia. I think they gave me a couple of extra pints of junket or buttermilk in the milk can in future, when I went to pick up dairy products. Another episode I remember clearly is a day where we were playing at the sawmill, which was close to our home. We were shooting with bows and arrows, which we made from various materials from the sawmill. We painted the target on a silo, which back then was made from wood. Perhaps it was because I was the smallest, but my siblings gave me what they considered to be by far the most important job – to stand behind the target and collect the arrows once everybody had had their shot. But I got impatient so when I thought they had fired off all the arrows, I raised my head from the target - just to see whether I was right - I wasn’t. Before I knew it, I was hit by an arrow one centimetre under my left eye. I panicked and wanted to pull it out, but instead broke it so that the point was still stuck. I ran home to my mother screaming and was sent on to the doctor who cut it out and gave me some stitches. I can still feel a “dead” area under my left eye. Ever since that day I have not been very interested in archery. Memorial Award of DKK 500 and ”Tailored” Clothes for my Confirmation At school it was time to ”separate the sheep from the goats”. The best students went to secondary school and the others went on to 8th form and perhaps later continued onto 9th and even 10th form. This all depended on their financial situation, wishes and skills. I desperately wanted to go to secondary school and begged my mother for several months to let me. . My class teacher came to visit mother several times to persuade her. I do not know exactly what he told her, but he knew her well and also knew her pride. I dare say it helped somewhat when he mentioned that only the best students would get the chance. But the biggest influence was probably when he whispered in mother’s ear that her ”young Lars” had been nominated for a memorial award of DKK 500. However, the money would only be paid if I went to secondary school. I do not know from where he got the money, but the money was paid when mother surrendered. Of course another major reason was that my siblings all had a job and supported me. One of the ways in which they did this was by still living at home and being able to contribute. 22 I HAVE A GOOD OFFER Now it was also time for me to be confirmed and this was expensive. More money than mother could raise, so she and I had to take the train to Holstebro, where you could buy all kinds of clothes and shoes at ”Monopol” - including clothes to wear the day after the confirmation. You could then pay it little by little in instalments. I was embarrassed that we had done our shopping at such a place. So, when the others asked me where I had bought my clothes, I told them a little white lie. I told them that because of my height my mother had chosen to have it tailored so that it would have a perfect fit. After that I removed all ”Monopol” tags from the clothes. On my big day I was the big shot with ”tailored” clothes. I also had a big party with all of the family. No expenses were spared in the Larsen home, least of all when it could be compared to other DKK 500 for conduct, diligence and skills! people. Nobody was to say that Vera Larsen’s confirmation was inferior to that of other people. I also got presents. I wanted money, money, money. So I got, about DKK 180 in total. Of this I got to keep DKK 30 myself for celebrating. Mother wanted to put the remaining DKK 150 in the bank, to help me with my studies. However, I think she spent it all on June 11th for the half-yearly payment on our house. However, that did not matter much. In any case, they helped me graduate from secondary school, and without us being thrown out of our home. However – another three years had passed and it was time to move again. My sister Inge had moved back to Bjerringbro and my ”step-dad” Hans was in the army. So we did not need the same amount of space. Mother sold the house and the apple orchard and bought a small house down in the town. It was a small house with a small kitchen, a small toilet, a tiny bedroom, where you could only fit in mother’s single bed, as well as a small living room. Upstairs there was a small room, which you accessed by crawling up a narrow ladder. I slept on the sofa in the living room and either Knud or Hans, depending on who was home from the army, had the room upstairs. 23 HELLO MY NAME IS LARS LARSEN Knud, Hans, mother, I and Inge at my confirmation Painter and Decorator and Butcher Larsen I think mother bought the house very cheap. It was absolutely impossible to sell because of a terrible smell of camphor, which I can still smell today. Mother bought the house from the local quack. People from all over the country came to see him to be cured of all the infirmities that the Danish hospital service had given up trying to cure. Or perhaps people simply thought he was better. His name was Baun and somehow we were probably a bit proud. Proud to be living in the very house where the quack had cured thousands of people from both Denmark and abroad. Even people from America, the magazines said. He was not allowed to charge money for his work as the authorities probably considered it to be some sort of quackery. But people were allowed to give a bit of money if they had been pleased with the treatment. A lot of people must have been pleased. Before we took over his old camphor-scented consultation, he had built one of the biggest and most grand villas in town. All we could do was to make the best of it. And so I did. I write “I” because there was nobody else to do it. Inge was living in Bjerringbro and Knud and Hans were working and in the army respectively. Both of them were actually stationed, one in Gasa and one in Cyprus. As for mother, she was unable to walk anymore. I tore off all the old wallpaper and put up a new and pleasant-smelling one. Cleaned and painted the floors, skirtings, windows and ceilings. We could even afford a new carpet in the living room. It did help with the camphor smell, although we never got quite rid of it. 24 I HAVE A GOOD OFFER After having redecorated the house both inside and outside, I was ready to start on other jobs in town. After all, we needed money for the mortgage and food on the table. Our previously mentioned butcher Hummelshøj, the guy who wasn’t very good at calculating how much meat you could buy for DKK 2, asked me if I wanted a job in the afternoons and on Saturdays. That was how my career as a butcher started. I got to do a bit of everything, e.g. deliver groceries and clean the frozen food counters every night and Saturday afternoon. Gradually I got to do more important jobs such as cut out pork strips and later make the very best pork rind. This is in fact still one of my favourites. I also trimmed all types of bones for even the tiniest pieces of meat and afterwards put it through the mincing machine for nice mixed mincemeat. The bones were then sawn into pieces and were sold as bones to be used for cooking. I used the guts for mettwurst and the blood was used for black pudding. The pig’s feet, tail and head were either sold as they were or were made into a nice brawn. There wasn’t much left of the pig once ”Butcher Larsen” had finished his work. When I became a dab hand at dealing with all parts of the pig, I was promoted to ”home butcher”. This was an extra job the butcher had when the farmers needed meat in the freezer. We were paid DKK 30 per pig, DKK 20 for him and DKK 10 for me. Once again, I do not think he did his calculations right, because his DKK 20 had to pay for the car and the equipment etc. He was pleased and so was I. Things were busiest before Christmas and for confirmations. We could make it to 3-4 farms in one day, but that was thanks to teamwork. Out of the car came the vat and in went the boiling water in the scullery. Then we got the pig, stuck the knife in its neck so that all the blood could run into a bowl and later be used for things like black pudding. The pig went down into the boiling water and then we started scraping off the bristles. It hurt terribly the first few times as you had to get used to the scalding hot water. After that the pig was cut up and hung from the ceiling in 2 equally big parts. Then our My report from 6.b., 1962 part of the work was usually over. However, 25 HELLO MY NAME IS LARS LARSEN we also offered an extra service for DKK 20 - a full cutting up of the pig. Everything was made full use of, the vital parts such as the heart, the guts for black pudding and mettwurst, trimming of the tenderloin etc. However, many farmers took care of this themselves to save the DKK 20. After a couple of years it was prohibited to stick the pig. In future it had to be shot. It was more humane, but when it is shot, the heart immediately stops pumping blood and there is far less blood for the black pudding. I don’t know whether it was an excuse to save the black pudding, but people also claimed that the meat wasn’t quite as good when there was too much blood in it. The fact is that many farmers refused to have the animal shot and demanded that we continued sticking them in the neck. However, we were law-abiding citizens and scaled down little by little, as the law came into effect. I do not know where the ”bloodthirsty” farmers had their pigs butchered in future, but they certainly could not use us fools who had to use a pistol to kill a pig. Artist and Forger While I was working at the butchers, it also got about that I was rather good and cheap at painting and hanging wallpaper. The butcher also helped spread the rumour among his customers, so my Sundays and many evenings were spent on this job. If there was a lack of work, I painted paintings of waving cornfields and churches covered in snow from various post cards. The materials cost me about DKK 20 – and the selling price was DKK 50. (If only I could have such a profit at JYSK). In between working I also earned my leaving certificate from secondary school – with slightly above average grades. I also found time to play with my friends and check out the girls. Probably not as much as I would have liked to, but my mother was very strict. When I came home from work I had to do my homework. She also did not want to spend every evening alone, so I often had to stay at home with her while the other teenagers went out on dates. But of course I sometimes sneaked out when mother had fallen asleep in front of the TV. Then I just needed to be home before the evening’s programmes ended. She always woke up at the howling sound of the test pattern. If I went to a dance and she hadn’t allowed me to go, I got a dressing-down the next day. The biggest dressing-down didn’t come from my mother, though, but from my big brother Hans. He was an apprentice at Ole’s Herremagasin in Hurup. After several years he had saved enough money for the down payment for a car. Perhaps car is putting it a bit far – it was a small three-wheeled vehicle. You entered it by lifting up all of the front part with the window and all., and then 2 people could crawl inside and slam it down again. No expensive vehicle, but it was capable of transporting 2 people at a time. Each month he then paid an 26 I HAVE A GOOD OFFER Waving corn fields signed L.L. instalment of DKK 100 and often he sent me to the car dealer to hand in the money. For some inexplicable reason I had the crazy idea that maybe I could increase the DKK 100 by trying my luck on the gambling machine at Hotel Hurup. Perhaps get myself an income here – but no – it did not work that way… I gambled away one coin after the other. I did not stop until I only had DKK 10 left. Now the situation was desperate… But I did think out a clever plan – or so I thought. I took the DKK 10 to the car dealer and explained to them that my big brother’s finances were somewhat tight this month. However, to prove his good will regarding the current instalment, he would like to pay DKK 10. I do not know whether the secretary believed the story, but she gave me a handwritten receipt for DKK 10. Then I started counterfeiting the receipt so that it said DKK 100. It must have been some masterpiece because Hans did not notice. So I hoped that nobody would notice until they’d disagree on the remainder a couple of years later. But that was not the case. I had no idea that there was such a thing as monthly statements of account and least of all that Hans studied them closely. He beat me up and I had to start paying monthly instalments of DKK 10 from my limited funds. Today everything is fully paid back, and I certainly learned that honesty is the best policy. 27 HELLO MY NAME IS LARS LARSEN Big Brother Hans Was in Charge of My Career In my days at Hurup Realskole I often dreamt about becoming a schoolteacher but my big brother Hans put a stop to that. There was no future in it. He was in business himself and thought I was highly talented in that field. Then I wanted to become a butcher and have my own shop, I said. Once again this was a definite no – butcher’s shops were on the point of extinction. In future all meat products would be sold from supermarkets. So, once my school-leaving certificate was in the bag, he put me into his small threewheeled vehicle and drove off to Thisted. Here he had made an appointment with Ove Hupfeldt, who had just started a brand new type of specialist shop together with the leading department store for ladies in town, ”Lorentzen”. Previously quilts, curtains, mattresses, dress materials, towels and bed linen had been sold together with the women’s wear. But now the manager Ove Hupfeldt had persuaded Lorentzen that it was time to specialise. They then started Magasin H & L, which was of course short for Hupfeldt and Lorentzen. Now they were looking for an apprentice, and the manager had graciously agreed to meet me at his home on a Sunday, as this was the only day my brother could drive me there. This was not entirely true, though. Hans had told me that your chances were much better if you could talk to the manager on your own instead of talking to him at the shop where you could guarantee that there would be no more than half an hour between each interview. He was right…14 days later a letter arrived which informed me that I had been chosen from among 84 applicants (back then there were plenty of young people who wanted to work in a shop). I had finished school in June and then started in my new apprenticeship on August 1st, 1966, and I turned 18 on August 6 th. It was an exciting time with plenty of good colleagues. We were no less than 14 employees in a shop of approximately 200 m2, which consisted of a ground floor and a basement with quilts and mattresses. During the first year I drove around with the curtain bus to mount curtains in all types of homes. My brother Hans as a UN soldier From large farms to traditional standard 28 I HAVE A GOOD OFFER houses, especially in Hanstholm where the big, new harbour meant an incredibly growth in the town. One big area after another with detached houses cropped up and the fishermen had plenty of money. No expense was spared - the wife could have the best of everything. It seemed as if the fishermen needed to make up for the long periods of time they spent at sea. Those were certainly the days for the fishing industry. For the first year of my apprenticeship I was living at home. I took the first morning train at 6.30 am and came back home around 7.30 pm. A long day but it did not bother me because it was no longer than what I was used to. A monthly season ticket cost me DKK 100 and mother charged me DKK 100 for lodgings, so that left DKK 80 to spend on myself. That was After my lower secondary school okay, but of course a young kid of 18 could leaving examination I was ready for selling quilts easily use some more. So, after some months, I decided to save the DKK 100 I spent on the train. I had realised that I was not the only one from Hurup who commuted the 30 km to Thisted every day, so I started hitchhiking. I cycled to the main road to Thisted, dumped my bike in the ditch and found a lift. It went relatively easy, but some days I was late, so something had to be done about that. I figured out who drove the stretch every day and made arrangements with them. Usually only in the morning, though, as almost all of them worked at a factory and so they got off work a long time before a draper like me. But that was okay, as I did not have to be home for any particular time. Sensational Advertisement That Was Almost True However, after a turbulent year doing nothing but driving, working and sleeping, it got too much and I moved to Thisted. I had negotiated my way into a room above the shop. After yet another year of my highly interesting apprenticeship where, apart from curtains, I also worked with fabrics, towels, bed linen, quilts and mattresses, I was appointed head of section in the quilt and mattress department, even though I was still an apprentice. A highly educational time where I was in charge of all the articles myself. I visited factories to fi nd special offers 29 HELLO MY NAME IS LARS LARSEN The Sensational Advertisement that created long queues and drafted the advertisements for the newspaper Thisted Dagblad myself. An incredibly interesting and educational time. I will never forget my first homemade advertisement. I made it after having visited various factories where I had found a host of fantastic offers, which I just could not turn down. So I ended up having enough goods not just for 100 m2 but for 1000 m2. Among these was a load of spring mattresses that had become slightly dirty in a traffic accident. Now we had to draw on our imaginations – goods were pouring in from the factories. So basements and lofts were filled up and even my own room above the shop was filled from floor to ceiling. That meant I had to move back to my mother again. I put the advertisement in the newspaper on a Thursday and then all the articles had to be sold by Friday and Saturday, so that the nice specialist shop could be ready again by Monday morning instead of looking like the warehouse-like building I had turned it into. A brave boss, you could say. I set up the advertisement as the biggest sensation in Thisted Dagblad within living memory: TRUCK OVERTURNED – goods worth DKK 100,000 damaged. We have bought everything at half price – so can you. EVERYTHING MUST GO – FRIDAY and SATURDAY – at any price” 30 I HAVE A GOOD OFFER The advertisement was filled with offers for of course mattresses, but also quilts, towels, bed linen, curtains and much more. In fact, there was practically no limit to what that truck had been responsible for. And it was, in fact, almost true. A truck had crashed and many goods had been damaged. Best of all was that the customers got the message. By noon on Saturday the goods were gone and Magasin H & L had experienced its biggest sales success ever. I don’t know whether it was this that gave me the idea for Jysk Sengetøjslager, but it’s quite likely… As of that day I had very a free rein to explore my business talents and was also offered a job as a manager after my apprenticeship was over. However, shortly after that I had to move to Aalborg because my wife had found a job at an institution for the mentally retarded in Vodskov – north of Aalborg in North Jutland. The Hashish Pipe Was Passed Round in the Frøstrup Camp Speaking of my wife Kristine – better known as Kris - I met her at a dance at Ydby Inn shortly after having started as an apprentice in Thisted. We immediately fell deeply in love – and still are today. It must have been fate that brought us together, because Ydby is south of Hurup, and Kris comes from Snedsted which is north of Hurup – much closer to Thisted, where youngsters from Snedsted normally went dancing. But on this very Boxing Day, in 1966 she had strayed to a dance south of Hurup. Somewhat illicitly, as she was in fact attending a christening in Snedsted for her sister’s son, who was christened Jens Henrik Jensby – and who today works as head of logistics in JYSK’s purchasing department. Incidentally, Kris was only home on Christmas holiday from a job in Norway and had to return right after New Year. But as previously mentioned, we fell for each other in a big way. She had to go back to Norway – to quit her job, so that we could be close to each other – preferably all the time. However, she also had to work so she found a job at ”Gl. Skovriddergården” in Silkeborg – a spa where she would pamper famous and flush Danes – such as the actors Hans Kurt and Poul Bundgaard. So I spent all my spare time on stays of various lengths in Silkeborg, which we both thought was one of the most beautiful cities in Denmark – and we still think so. That is why we have now lived there for the past 20 years and want to stay there for the rest of our lives. I have, for obvious reasons, travelled all over the world and have seen a lot of beautiful places. It is good to be away, but always best to be at home in Silkeborg. After about six months Kris then moved to Thisted and became a student nurse at Thisted county hospital. This meant she had to go to Copenhagen for a long stay – at the nursing school. I spent that time with my friends – among these the grocer, Rysgaard, who had a small grocer’s shop in Thisted. This was also when ”Christiania” and hashish came to Thy – that 31 HELLO MY NAME IS LARS LARSEN We immediately fell deeply in love is to say, to Frøstrup, just north of Thisted. Here hundreds of hashish-smoking, longhaired hippies from Denmark and from abroad settled down to build a so-called new society. It was the Frøstrup camp– also known as the Thy camp. Some culture shock for us people from Thy – but also a time of great opportunities for we businessmen. Grocer Rysgaard and I attached the trailer to the car and filled it up with beer and sodas and other daily necessities such as cheese. Then off we went to the Frøstrup camp to do business. Things were a bit slack over the first couple of days – we had to size each other up. But eventually we gained their trust and were invited to their ”camp council” in the big tent, where we sat around the fire. While the hashish pipe was passed round, we negotiated for regular deliveries a couple of times a week. But even though they were constantly high from the hashish, they were still sufficiently resourceful to negotiate a discount. That upset our plans, as we also needed a good profit for spending our evenings on them. However, we ended up finding a satisfying compromise for both parties. It involved them getting 10 kg of free cheese per week, a very special ”Thybo cheese”, which had a bitter taste that they loved. In return we got the exclusive sale of all groceries. A good deal for us as we got the cheese for free at the dairies when they sorted out cheese that had gone bitter. Everybody was pleased – we made good money from it and they got a lovely bitter ”Thybo cheese” totally free – and had all their groceries delivered straight to the door, at a good price too. But 32 I HAVE A GOOD OFFER – of course, one fine day the camp was visited by a wise man who knew a bit more about cheese than the other residents in the Frøstrup camp had in general – and that was the end of our business there. Took my New-born baby Along to Card Games When we didn’t do business in the evening, we were playing cards – often until late at night. The card games also continued after I moved to Aalborg and had started a family. Our son Jacob had just been born and Kris worked nights from 8 pm until 8 am, so I had to be the ”nanny”. But of course I could not neglect the card games, and trying to tell my wife that I could not be a ”nanny” because I had to play cards did seem a bit far-fetched. It was a desperate situation – but I managed to find a solution. As soon as Kris left home at around half past eight, I put Jacob in his carrycot and into the back of the car. Then off we went from Aalborg to Thisted – a stretch of 110 km. The card game could then start at around 9 pm and my friends’ wives were good at taking over the nanny job - so that the game would not be disturbed unnecessarily. Later at night it was back to the car with the carrycot and back to Aalborg, and both Jacob and I went to bed. When Kris unsuspectingly came home in the morning, we were lying in bed fast asleep. I did not dare tell her anything as I was certain that there would be a lack of understanding, so I chose to apply the expression, ”what you don’t know won’t hurt you”… It was not until 20 years later that she discovered Jacob and I’s small secret from the first years of his life. We went to a party in Thy and Kris got talking to a lady who asked how 20-year old ”baby” Jacob was doing. She had often been a nanny for him when he was a baby… You what??????????? Then the lady told Kris about the many evenings where she was lulling baby Jacob when he was screaming, so that Lars would not have his card game disturbed… This is where another expression came into play: ”Time heals all wounds”. This, combined with a fair amount of forgiveness on the part of my loving wife meant that our marriage survived - although Kris added that it probably would not have if she had been told about it 19 years ago. As I mentioned, Kris had started training as a nurse, but unfortunately she had to stop midway. Not because she was not up to the job, but because she was not - and still is not - like the most other people. She was not afraid to express her candid opinion of the state of affairs at a Danish hospital in the late sixties. The old autocratic head nurses did not like this – so they had to get rid of her – and so they did. ”By chance” she was offered a job as a trainee, caring for mentally retarded people in Vodskov, where a head nurse from the Thisted hospital knew somebody who could get her in. The problem child had been put away in Thisted and 33 HELLO MY NAME IS LARS LARSEN Mette, Jacob and the curtain fitter care for the mentally retarded had got a much needed and promising trainee. Everybody was pleased – including Kris, who had always shown an interest in the underprivileged. So I suddenly ended up in Aalborg and had to find a place to live and a job. Accommodation was probably the trickiest part as an inhabitant of Thy will not just move into a big impersonal block of flats in the city. Having no money and wanting our own place, we had to be creative. Outside of Aalborg – in Vejgaard, to be more precise - we found a nice big allotment with a lovely small house. Hollyhocks on the gable and almost no neighbours - and far away from the noise of the city. It felt almost like being back home in Thy again. We immediately fell in love with the place. Now we only had a couple of small problems to solve… First of all, it was not legal to have a permanent address on an allotment. We solved that by talking to some of the few neighbours who were there. They had lived there for several years without any problems and had even heard that the area would possibly be turned into a 34 I HAVE A GOOD OFFER residential area in a few years time. So the authorities turned a blind eye to people living there all year… Oh well, we thought – if they can, so can we. As a future businessman I thought that if the area was parcelled out for detached houses, the land was bound to increase in value. I Felt I Was Taken for a Ride by the Bank Our second problem was the money… DKK 34,500. It does not sound like much but it was, especially for a trainee and a shop assistant who had only just finished his apprenticeship. It was a desperate situation – where on earth would we get the money? Kris’ father could possibly have helped us as he worked for the bank Snedsted-Nørhå Savings Bank. But we did not want to ask him – we did not want to involve the family in our fragile economy. Least of all when it involved such a risky thing as an allotment, Our first home. which would possibly become developed Price DKK 34,500 later and only then become legal. Then I remembered a loan offer that I had received from one of the big banks in Thisted when I was an apprentice. The bank had an arrangement that meant that, if you had shown the ability to save regularly for a minimum of 3 years, you could then borrow three times the saved amount on reasonable terms. I fulfilled these conditions to the letter. So I happily went down to my bank in Thisted. I told them about my situation, about starting a family and buying a house and therefore wanting to take advantage of their favourable loan offer. Well, that was certainly no problem. All I had to do was to find 2 solid guarantors who would guarantee the loan. Then what was the point of it all? For 3 years I had pinched and scraped to fulfil the bank’s terms, so that I wouldn’t have to beg my family when I needed money. Now it was all in vain, and I truly felt the bank had taken me for a ride. Today they still do not understand that I do not want to do business with them. Just because they took a young naive inhabitant of Thy for a ride 35 years ago. But personally I feel splendid every time I turn them down. However, I angrily left the bank in Thisted and drove to Vodskov Bank, which is a branch of Nørresundby Bank. I told them about their ”fantastic” opportunity of having both Kris and I as their customers, if they could lend us the money for the house of our dreams – and so they did. Some years later we legally became owners of a detached house – instead of 35 HELLO MY NAME IS LARS LARSEN being owners of an allotment - and wanted to build a new house on the plot. By then bank manager Balleby was also ready with a helping loan. Even when I wanted to borrow DKK 200,000 to start up a small bedding shop named Jysk Sengetøjslager, Nørresundby Bank also found a solution for this – no doubt risky - arrangement. As I had built a big part of the house myself, with help from friends and work colleagues, the bank worked out that there was equity in the house, so they could lend me the money. When I later wanted to borrow money to import goods from abroad – instead of paying about 30% extra when I bought it from Danish wholesalers, the bank and I also found a solution. However, the bank manager told me that you could not raise a loan on stock as you kept on drawing from it, and so the value changed all the time. As he said: ”If only it had been a cow – then it could be earmarked and the bank would have some security”. I thought about it for a few days and then went back to the bank. I jubilantly told him that I had now ”earmarked” my stock. All imported goods were now locked away at a warehouse that had been set up for the purpose. The bank could then have the key and even seal the warehouse, so that only they had access to it. I could then buy the goods as and when I needed them. The bank thought it over for a few days, after which they accepted it, even though they had never previously tried such an arrangement. That way I could keep on opening new branches of Jysk Sengetøjslager. For that very reason Nørresundby Bank still remains my bank today. The big bank from my apprenticeship in Thisted still does not understand how come I don’t want to do business with them. Banks Have No Sense of Business Sense What I mean to say with all this talk about banks is that many banks ought to consider if it would not be worth it to throw some of their cautiousness overboard and participate a bit more actively in those thousands of exciting projects that are created every year and be willing to take a risk. Unfortunately, most of these projects die at birth – among other things due to the banks’ eternal over-carefulness, and so tens of thousands of new exciting workplaces are lost. I know what I’m talking about as each year I am introduced to hundreds of projects, which the banks have rejected, as there isn’t enough security. Some people may ask why I do not invest in these promising companies… But the fact is that I run bedding shops, not a bank. I am convinced that there is more money to be made from such bank businesses than their constantly increasing fees. In my opinion there ought to be a law requiring that, for example, 25% of the banks’ profit is spent on venture financing and that the state joins in with a similar amount. Then I am sure that unemployment will be history in a few years time and our exports will boom. In this way Denmark can get rid of the huge debt we have created for the young people, who are 36 I HAVE A GOOD OFFER innocently stuck with the borrowing of the last generations. That it simply not good enough – neither on the part of the banks or the state… So - get moving. Anyway, enough about the banks’ lack of business abilities. We can only hope that they will learn. But imagine if JYSK and other shops only bought goods where no risk was involved… Let’s Go Over the Name Once More Back on track. We bought the allotment – painted the house and wallpapered it and created the house of our dreams in the countryside. We got married and had baby Jacob 5 months later – not because he was born prematurely, but because we did not plan on getting married at all – just because we were about to have a baby. But we were to learn otherwise. We went home to Kris’ parents beaming with joy ”Then you’ll have to get married and told them about the big event. and it will have to be soon, before it shows”. ”We are going to have a baby”, and expected them to congratulate us. But no, they were not happy at all – on the contrary. they told us: ”Then you’ll have to get married and it will have to be soon, before it shows”. So we did, on December 27th, 1971, with a big fancy church wedding in the church in Snedsted. I was dressed provocatively in a black and white chequered jacket and Kris was dressed in a white loose dress. At the end of May we then had Jacob and 3 years later Mette was born. After that we were content with our 2 lovely kids, who are now 28 and 31. Jacob was trained at JYSK and is busy trying to convince his dad that he is a better businessman. Mette trained as a farmer and has bought her own farm in Himmerland. They are both married (before they started having children), Jacob is married to Helle and their son Christian is 4 and their daughter Christine is 3. Mette is married to Jørgen and her son Søren is 3. That means that the next generation is safe. However, it will not carry the name Larsen. Everybody including Kris has the surname Brunsborg and why is that??? Now I may as well – once and for all - explain it – so that the press will also get it. Over the past 20 years the press has poked its nose into the names Larsen and Brunsborg, and some people even think 37 HELLO MY NAME IS LARS LARSEN I bought the name Larsen – because the name Lars Larsen has a more common touch than Lars Brunsborg. I understand that they are confused, but here’s the full story. I was christened Lars Kristinus Larsen and Kris was christened Kristine Brunsborg. I am sure that everybody is aware that there are plenty of people named Larsen – but only a few people named Brunsborg. Among Kris’ closest relatives she was the only one with children. When we married, she took the name Larsen, as is right and proper. However, after some years Kris realised that her family name could die with her and so she decided to take some action. The first step was convincing me that my children and my wife should no longer bear the legendary name, Larsen – and be named Brunsborg instead. Once she had succeeded in doing that and the papers were due to be sent to various authorities, I have to admit that I felt left out of the family. It meant that my children’s mother was named Brunsborg and their father Larsen – a terrible mess that I was not prepared to live with back then. Then it happened… The ”world famous” arch-Dane Lars Larsen – famous throughout the media in Jutland and the surrounding area – suddenly became Lars Brunsborg. It went well with Kris and the children – and me as well for that matter – at least as regards the authorities, the children’s school, etc. But none of the Danish press ever understood it – even though I tried year in and year out. They never understood it. Were they stupid?? No, I knew that they weren’t. Could they not remember? There is no doubt that they could. Did Here’s the proof 38 I HAVE A GOOD OFFER My daughter Mette trained as a farmer and has a farm in Himmerland they not want to remember? Now, that is probably closer to the truth. I had spent millions on telling of the whole of Denmark that my name was Lars Larsen. They had spent millions writing about the same subject, and then I suddenly change my name. I even chose a name that was difficult to spell as well as difficult to remember… For several years, the press tried a host of varieties: Brunsgård – Bromborg – Brunsberg, etc. They tried to analyse the reason why I had changed my name. Some people thought that my name had always been Brunsborg or something like that and that I had changed my name to use in on TV. Lars Larsen had a more Danish and common sound to it etc. Others thought I had become somewhat stuck-up and that’s why wanted a more unusual name. I believe a few people got the picture, but in any case it was a troublesome time of my life. I also tried to use the name Lars Larsen – even though my name was actually Lars Brunsborg. That did not work out either: ”Isn’t it true that you’re not even named Larsen but merely use it as a stage name”? In the end it got too much for my lovely wife Kris. When I turned 40, she gave me back my family name. She had arranged all the paperwork, so that I only had to sign it. Now I was once again a real Lars Larsen – and so I will remain for the rest of my life… I prefer that, and I imagine the press does too. 39 HELLO MY NAME IS LARS LARSEN ”Mr Larsen, You Are not Supposed to Have an Opinion, Just Get On with your Work…!” We had moved into the small garden house and Kris had found an interesting trainee job caring for the mentally retarded in Vodskov. But I also had to move on in my career. It was not difficult finding a job in Aalborg, especially not when you came from Thy. It was same kind of situation as when a Jutlander is looking for a job in Copenhagen. I could start the day after I applied for a job and even as a supervisor in a curtain shop. A somewhat different working climate to what I was used to in Thisted. The manager was in charge of everything – and what he couldn’t be bothered to do, he delegated to me as his senior employee and then expected me to delegate the tasks to the rest of the staff. In Thisted everybody was on equal terms. That was certainly not the case here. We were 6 employees – with me as no. 1. This applied to all areas – even the coffee mugs were numbered 1 to 6. No. 2 could not have any coffee until no. 1 had had his share - and no. 6 did the washing up. If I was busy in the shop and had to skip the coffee, my colleagues could not have any coffee either. The only good thing about that system was that then no. 6 did not have to do the washing up… I quickly realised that this was not the place for me. One day I proudly came to work in brand new clothes – a blue blazer and a light purple shirt, which was the latest fashion that year. My boss took one terrified look at me and then sent me home to change my shirt. In his shop you could only wear a white or pale blue shirt. After some months of faithful service it got too much… One quiet morning when my boss and I were being shown new interesting curtains from one of our main suppliers, I dared to express my opinion. I thought we should try some of those brand new fabrics… After that my boss explained to me in no uncertain manner: ”Mr Larsen, you are not supposed to have an opinion – I will take care of that… Just you get on with your work”. However, I took the liberty of adding that I I was quitting the job there and then. So I did and the next morning I started at the competitor ”THUEN”, which was the finest soft furnishings shop in town. This was a place where they still opened the door for the customers. The gentleman was escorted to the soft chairs and had a nice cigar, while his wife did her shopping… Perhaps not quite what a staid inhabitant of Thy would want. But I had applied for a job here as they had started an innovation – separating the curtains from the other soft furnishings. Just as in Thisted the supervisor had taken over part of the shop, and I liked this concept. So I started working for ”DRESAGER CURTAINS” as a curtain fitter. An incredibly interesting job with plenty of innovation in an otherwise languishing trade. Dresager was of the new school and wanted to move fast. Aalborg was way too small for him. So he made bid for all major building contracts all over the country and got plenty of them, such as Risø National Laboratory, Odense University, one of the hospitals in Aalborg, Sygehus Syd, and 40 I HAVE A GOOD OFFER not least Aalborg University. The latter was built a few hundred metres from our allotment and it contributed to rapid development in the area, such as and our neighbourhood being developed and named ”Esbjergparken”. We curtain fitters then gave Dresager a “quote” – not in money but in hours. Depending on how fast the work needed to be done, there could be 2-3 people involved. They were big buildings that were often finished in stages and it could take up to a year to fit the curtains. Once we had reached an agreement with our boss, it was up to us to decide how many hours we wanted to work each day. When we were working far away from home – i.e. on the islands of Funen or Zealand – we would work almost 24 hours a day – with just a couple of hours’ sleep in a sleeping bag. That way we built up long periods of time, where we could have some time off. I spent this built up time transforming our small allotment house into a big detached house with a big basement underneath. As previously mentioned, I also got the job at Aalborg University. In order to have as much time as possible for building my house, I had Kris and the neighbours’ wives fit the curtain hooks and gather the curtains. The men fitted the curtain rods. All carefully supervised and controlled by me. My good friend Berthel Jespersen, who was a building technician, designed the house and helped me with everything I did not know about building houses – which was just about everything. It was a stressful time, working 18 hours a day, 7 days a week, for a whole year, and it gave me an ulcer. However, it also gave me a house with a lot of equity, which would later turn out to give me the opportunity to start Jysk Sengetøjslager. In retrospect it was worth all the trouble. A Good Offer: 51% for My Manpower With a lovely house, a beautiful wife and a lovely boy I felt it was time to move on in my career. It is now 1974 and Ulf Bolighus in Aalborg is looking for a manager for their discount store, ”MinusService”, which sells curtains, bed linen and bathroom textiles – a bit cheaper than others because service is poor. I apply for the job and get it. A big task for a guy of only 25. However, I managed to turn it into a healthy business. So therefore let me open yet another branch in Skalborg The MinusService shop in Skalborg 41 HELLO MY NAME IS LARS LARSEN – just outside Aalborg, where Bilka was also located. This shop also turned out to be successful. That whetted my appetite and I wanted to move on with more shops. After a lot of discussion I was allowed to open shop no. 3 in Århus – in a new shopping centre in Brabrand to be exact – called Gellerup Centret (today it is called City Vest). A fantastic time where my skills were really tested – and also a time where I got to see other parts of the world. I went to Canada and the USA on a study tour to see how they were running their shopping centres. I also went to Germany and France to study the newest concepts within the commercial world – discount shops. They had a limited selection of foodstuffs, took the goods directly to the shop on pallets and sold them 10-20% cheaper due to limited costs and a fast rate of turnover. All 3 shops went well and I wanted to continue building a chain of discount soft furnishings shops – just like ALDI and the others were doing with foodstuffs. ALDI had even opened up their first shops in Denmark. I could see plenty of advantages in the discount system, which could also be used in my trade. It was important to move on before others overtook us. But my employers at Ulf Bolighus wanted to do things differently. They thought I was too fast and ought to slow down, so that they could look at a shop’s results for at least a full financial year before opening the next one. However, this was no good when I knew that it took at least 40 shops to run an efficient chain of shops. At their speed, I could tell that I would be retired by the time the chain was built-up. It would no doubt also long since be bankrupt due to a lack of purchase capacity, which was necessary to get the goods at the right price – by avoiding wholesalers who charged 25-30%. You had to be sufficiently big to buy directly from the factories and thereby be able to sell the articles cheaper. But no – they did not want such a rash speed. Finally I suggested buying 51% of the shares. “For what?” they asked. “My manpower and my ideas”, I said. After a month of consideration they turned me down. I quit my job after 5 interesting and educational years, and a new era was about to begin. 42 I HAVE A GOOD OFFER Viggo Iversen and Jørgen Rødhus were my partners when I started up And Then It Started - using Borrowed Money This was not a case of me quitting my job without any preparation and being entirely without means. For a couple of years many business connections had regularly suggested that I might as well start up on my own, as I was running the 3 shops anyway. Of course, I had asked them whether they were willing to give me long period of credit while I was starting up. Most of them were. I had also asked the best employees whether they wanted to join me in starting up a new company – and they accepted. 2 employees, Viggo Iversen and Jørgen Rødhus, who worked as my managers, were even willing to put money into the company. So they did. We set up a limited company with capital of DKK 200,000 – which was the minimum amount needed to start a limited company. They each contributed DKK 49,500 and I contributed DKK 101,000. This split was not a coincidence. I had pulled the strings and so, of course, I wanted to have the controlling interest. However, none of us had that kind of money and all 3 of us had to go to the bank to borrow money, which we fortunately succeeded in doing. I even managed to borrow an extra DKK 100,000 for an overdraft facility, as I had equity in the house, which I had built myself. We could have chosen to start up as a partnership where you only needed to contribute DKK 30,000. However, I thought a limited company where we contributed more money would send out better signals as back then partnerships didn’t have the best of reputations, to say the least. 43 HELLO MY NAME IS LARS LARSEN The capital was sorted out, so was our credit from the suppliers and we had found our staff. Now we only needed the premises and a company name. We found the premises on Silkeborgvej in Århus – 500 m2 – back then those were huge premises and we were worried that we would not be able to get enough goods to fill up the shop. This was no problem, though. On the contrary it turned out to be necessary for some factories to leave their trucks outside the shop on Fridays and Saturdays, as there was no room for the goods. Fortunately, there was by Saturday afternoon. I had given the product line and the company name quite a lot of thought over several months. I wanted to create a collection of products the likes of which had never before been seen. Back then you had soft furnishings shops and furniture shops - and a strict definition of who sold what. I had always wondered why this strict division existed – perhaps it was due to physical restrictions – as soft furnishings shops were located in the city centre in relatively small premises. So there was no room for furniture – such as beds, bedside tables etc. - which I felt was a natural part of a bedding shop. So I wanted to see whether it was possible to move bedding and soft furnishings out of the city centre - where rent was cheaper – so that we could afford more square metres. That meant we would have room for a bigger selection of space-consuming beds and mattresses etc., and there would also be easy access to parking. So what was needed was big premises with the emphasis on quilts, mattresses, beds, bed linen and blankets peppered with various other soft furnishings - served on some of the terms of the discount industry, although not all of them. I felt, for example that with such a selection you still needed to have the specialist knowledge of the specialist shops, but not need the nice expensive fixtures and fitting. You could save money on staff, as the items were transported straight to the shop on pallets – without any price marking and other time-consuming work. A Ridiculous Name – and Far too Long Now we had our idea and all that was left was finding the right name. As it was a brand new homemade concept, I felt that it was essential that the name and logo expressed who we were. After several weeks of pondering I ended up with the ”short” and accurate name ”Jysk Sengetøjslager”. Why? Well, we all came from the Jutland peninsula and I had heard that even people from Copenhagen considered things from Jutland to be trustworthy and solid, and not too expensive. This was definitely one of the signals I wanted to give out – as the majority of the items, such as quilts, pillows and mattresses, were based on reliability. It was impossible to see what was inside and so people had to trust information from the company to a great extent. The word sengetøj (bedding) had to be part of the name to signal what we did best. The word 44 I HAVE A GOOD OFFER lager (warehouse) signalled that we did not have any fancy fixtures and fittings, but that people were able to buy straight from a warehouse – without any expensive middleman. That is to say a Jutland version of the word, discount. That was the company name worked out, but we also needed a logo that expressed the same values. The result was a goose to indicate down quilts and a bed headboard to announce to people that you could now buy beds in a soft furnishings shop. Everything was carefully thought out. All I needed now was an advertising agency to combine everything into a nice logo. A piece of cake, I thought – but no. The advertising industry claimed they had never heard of anything so ridiculous. A company name had to be short and to the point and could not consist of more than 4-5 letters. All I needed to do was look around and see what others did: IKEA, BILKA, FØTEX, ALDI etc. That was how it was and nothing else would do. However, I stuck to my home-made name with 18 letters and also managed to find an advertising agency that thought this sounded like an interesting challenge. Their name was, in fact Reklame og Marketing Butikken – a name that happened to be no less than 8 letters longer than Jysk Sengetøjslager. This had to be just the job for them. They found the perfect solution and have in fact been working for me for the entire 25 years. They have always found a solution for all my crazy ideas – no matter whether the advertising industry liked them or not. I have always felt that this trade worked more on the basis of what was best for its own reputation – rather than what the customers needed. When prizes are awarded in the advertising industry, it is always themselves assessing what is best. How about letting consumers chose what they think is best – after all, they are the ones they make a living from. But this was actually an agency that wanted to do what I thought was best for my company: Unusual advertisements that dominated a whole page but only took up half the page – ½-yearly birthday advertisements, me as the front figure, big advertisements in four colours packed with offers and text, cheap TV commercials in black and white telling about a businessman and his offers, advertising papers in all sorts of sizes and colours and dashing special catalogues which show the big selection JYSK has of quilts, mattresses, bed linen, My first lease curtains, furniture and garden furniture. Lately they have 45 HELLO MY NAME IS LARS LARSEN helped renew Jysk Sengetøjslager’s name and logo, so that today we are merely called JYSK – although it has the indicative caption: Sengetøj – Bad – Bolig (Furnishings – Bath – Home). In fact, they have also changed their own name to RMB – with the caption: Reklame og Marketing Butikken. I guess that the ”clever” advertising agencies were right after all – after 25 years. But we’ll get back to that later in the book. Now I only needed to sort out the financial management. I believed I was a good businessman – i.e. for buying and selling goods. However, I knew that bookkeeping was my weak point. So I had to get that sorted before starting up. Chance had it that there was a small accounting company in the same building as the Reklame og Marketing Butikken. The owner was called Erik Bredahl. A few years earlier he had come up with the brilliant idea that many small companies did not have the ability or the finance to run this part of the company themselves. So he started up the ”Økonomicentret” (Financial Centre), and this took care of bookkeeping and accounting for a couple of dozens of small companies. Just what I needed. That meant I could concentrate on what I did best, and Økonomicentret was paid at an hourly rate to do the accounts. I did not have to hire expensive personnel that I could not afford and did not have sufficient work for – a unique solution. Then we were nearly ready: Signs on the shop front, goods stacked from floor to ceiling and even more goods ready in trucks outside. We put big advertisements in the newspaper Aarhus Stiftstidende and hired personnel. Apart from we 3 owners we had hired the best employees from MinusService. That meant everybody knew everything there was to know about the products. The First Day of Jysk Sengetøjslager We all meet up at 6.00 am to finalise the last details. At around 7 am friends, family and suppliers arrive to lend a helping hand. At 8.00 am sharp I open the doors to the world’s first Jysk Sengetøjslager. There’s a long queue of people down Silkeborgvej, a total of 122 expectant customers are waiting to enter this huge El Dorado. We cannot fit all the customers into the shop at once, so we have to let in 40-50 people at a time. Happily, this continues until the doors close at 8.00 pm. The customers are pleased – we are pleased – and it seems that the rejoicing will never end when we count the money, DKK 220,844.30 in one day – we had not even dared dream of that. Our success was in the bag and it continued over the following days, weeks, months, years and quarter or a century. We still have a shop there. But there was no time to rest on our laurels. 14 days later we had an opening in Hadsund and 14 days after that in Aalborg. After 8 days of tremendous opening sales we left shop no. 1 to my partner Viggo Iversen, who had been a manager at MinusService in Århus. Now it was up to him and his staff to take care of day-to-day business, while the rest moved on to Hadsund, which opened a few days later. Why Hadsund? At MinusService in Aalborg one of my employees has been an incredibly 46 I HAVE A GOOD OFFER competent lady – Kirsten Holst - who came from Hadsund. So it was only natural to open a branch there. The first 3 branches were planned a long time before no. 1 opened. My plan was to open 3 completely different shops, so that we could test the concept. Nobody knew which size and location would be best until we had tried everything. No. 1 was in a big city in big premises in the outskirts of the city. No. 2 was located in a small town in small premises in the centre of town. No. 3 was located in a big city in mediumsized premises. On the basis of this we could then assess which type was the most profitable. No. 2 in Hadsund was quite an alternative to our big shop in Århus, which was 500 m2. Hadsund was 40 m2, and no, this is not a typing error. We wanted to test out a shop with minimal costs and a smaller assortment. Kirsten was the only employee and when she went for lunch or out to do her shopping, she put a sign on the door: ”Be right back”. However, this was after a tremendous opening period where we had a turnover of more than DKK 70,000 on the first day. All this with just 40 m2. The shop was packed with goods from floor to ceiling – literally speaking. We only let in 4-5 customers at a time, and we had to let them out of the back door as the front door was packed with expectant customers. But after some weeks things got back to normal in Hadsund, so that Kirsten could easily handle things on her own – although her husband Kjeld did help her out a bit. He helped me carry our goods in and out from the street and did all the odd jobs. After some months Kirsten wanted a day off each week – very unreasonably, I joked – after all, she only worked 48 hours a week…We then agreed that she could have Tuesdays off. That was the day where I had most time to take over. So I would sit there and draw up some advertisements and do some purchasing and a lot of other things – like taking care of customers if anybody showed up. Hadsund is not a very big 47 HELLO MY NAME IS LARS LARSEN place, which means that everybody knows each other. Everybody knew that Kirsten had Tuesday off, so nobody did their shopping on Tuesdays. The Customers Only Wanted to Do Business with Kirsten However, there was one Tuesday where an old married couple had forgotten that it was Tuesday and I happily jumped into the shop when the doorbell sounded. How may I help you?…Well – we need some quilts… but isn’t Kirsten here? Unfortunately she’s got Tuesday off… But I am sure I can take care of it… Well… We’ll probably come back some other day… when Kirsten is around. On the whole, we did not have many customers in Hadsund that first year – they had all done their shopping in the first week after the opening. So there was often not a single customer in sight in the shop. However, this was not a problem. Kirsten brought along her sewing machine and made baby bed linen at the back of the shop. Those were the days. Kirsten is still there, but now she has got some more space and a little more help. Today the shop covers 1200 m2 and has 7 employees + her husband Kjeld… who still lends a hand… We even had a queue in the morning in Hadsund Jysk Sengetøjslager’s first advertisement. Århus Stiftstidende April 1st 1979 48 J E G H A R E T GO D T T I L B UD 49 HELLO MY NAME IS LARS LARSEN Back on track… After Hadsund it was time for our home town, Aalborg. I had found some good premises at the best location in town in the pedestrian street, Bredgade, right in the city centre. About 200 m2, not a lot, but in an area that was packed with potential customers, only a few metres from my old employer, MinusService. The main problem was that we could not get access to the shop until Saturday afternoon when the existing clothes shop had closed down and packed up its goods. We were due to open on Monday morning… We did not have much time – we had exactly 2 nights and one Sunday to make everything ready. So it We were also received well at Bredegade in Aalborg was necessary to call in all available personnel from Århus and Hadsund as well as family, neighbours and friends, and we did not sleep a single hour for 2 days. But on Monday April 30th, 1979 at 8.00 am we were ready to open branch no. 3. We also had a queue all day here. Success no. 3 was now a reality. This branch would then be run by my other partner – Jørgen Rødhus – who had been a manger at one of the MinusService shops in Aalborg. He had chosen the best of his employees who also wanted to join us. So far, so good – up to now we only had good employees that we had previously worked with and who we trusted. This was a major strength when starting up in such a hurried manner. Branch 4 in Skalborg came along a few months later in an old shack behind Dreisler Storkøb and only 1 km from the leading department store in town, Bilka. An area with plenty of shoppers, and in premises that we got almost for free. It was an old ramshackle 50 I HAVE A GOOD OFFER derelict building that we redecorated ourselves and painted in pretty blue and white colours. It actually ended up looking rather nice and had a strategically good location and plenty of room. In fact, so much room that I could also start up branch no. 5 in the same building. That was the beginning of our mail order department, which we advertised in national magazines such as IdeNyt and various weekly magazines. A form of business that gave a big turnover and national marketing, which meant that when we started up in a new town, people already partly knew us and so we found it easier to establish ourselves. However, after only a few years it all burned down and we chose to move the shop to a location next to Bilka. Branch no. 6 was located in Århus as we had previously been successful with 2 shops in Aalborg. So it had to be possible to use the same strategy. As no. 1 was located outside the city centre, we chose to locate this shop in the centre of Århus – on Store Torv, close to the cathedral. Another advantage in having 2 shops in the same town was marketing. After all, it did not cost us anything extra to put 2 addresses in the advertisement. We could also save money on staff as it was possible to move people around when others were sick or on holiday. This was in fact the first signs of the savings in having several shops – in having a chain of shops. They were not very big yet, but they were there. We could also start moving goods from one shop to another – instead of buying more and spend unnecessary money on it. The Suppliers Gave Good Credit We did not really have any capital. So we had to sell the goods before they had to be paid for. Otherwise we would have no money to pay our suppliers. When I opened the first shop, I made an agreement with my suppliers for a good long credit – some accepted as long as 6 months – others only 3. But I had also told them about my plans to open many shops and told them that I needed the same conditions for branches 2-3-4 etc. They then agreed to accept these terms for the first delivery to each shop and additional goods would be paid for after 60 days. In this way the suppliers helped establish a new shop, and I then had to prove my ability to pay by paying at more normal terms afterwards. I have to admit that I did a bit of extra purchasing for each new shop – on 6 months credit – and moved some of the goods to the other shops, where I only had 2 months to pay. However, it wasn’t on too large a scale and the suppliers tacitly accepted it as long as I kept to the terms of payment. I managed keep this going for the first 10 shops, and then it started getting difficult because the extra supplies of goods from the opening of a new shop became smaller and there were more shops they needed to be distributed to. So I decided to have a talk with all the suppliers and explain my situation to them – which was that the individual shops were doing well, but that it was not possible to sell the entire stock 6 times a year, which was necessary when I ”only” had 2 51 HELLO MY NAME IS LARS LARSEN The first time 1 (9 )I appear in an advertisement 7 52 I HAVE A GOOD OFFER months’; credit. I actually succeeded in making most of them accept 3 months, so that I only needed to sell the stock 4 times a year. This extra month of credit made all the difference. New shops were no problem, as I had the 6 months of credit and limited start-up costs – just a cash register costing DKK 5000. There were no other costs for fixtures and fittings – all the goods were stacked on pallets and on the beds. But of course I had all those fi xed costs such as wages, rent, lighting, heating and, not least, advertising. Being a businessman, I knew perfectly well that it was not enough to have good products at cheap prices – because this was no good if nobody knew about it. So I spent a lot of money on telling people about Jysk Sengetøjslager. I had trouble finding that money as neither advertising agencies nor newspapers had heard of the idea of several months of credit. It was a desperate situation – either I had to stop marketing my shops – which would be suicide – or else I would have to find the money for it. My bank was understanding and did help as much as they felt was safe but they were, understandably, somewhat anxious about financing the marketing etc. of 6 shops – and 10 new ones in the budget - for a young kid with no money whatsoever. Borrowed Money in London at an Interest Rate of 25% So I eventually had to make the difficult decision to go to London to present the accounts and budgets to some venture capital investment trusts that charged a lot of money for lending money to people like me. But I did not have a choice. Either I would have to accept an interest rate of 25% or else I had to watch my dream disappear over the horizon… So I decided to accept it – DKK 4 million for the further expansion was in the bag and I ”only” had to pay interest of DKK 1 million per year. I think it was at this stage that I realised that we needed to move fast – and work 24 hours a day to work our way out of such heavy interest charges. And so we did – all the employees pulled together. Not just at their own branches. When their shops closed in the evening, people were always ready to work 6-8 hours extra until late at night decorating a new shop – and then be ready the next morning at their respective shops. Many brought along the rest of their family, who would also help – without being paid for it. A fantastic time for which I am grateful to a lot of people. Without their help JYSK would not have existed today. We were one big family who worked ourselves to the bone for a common cause… to create a brand new chain of shops. Shop no. 6 in the centre of Århus was the first shop where I had to find a manager that I did not know. I had previously been able to pick and choose from my old colleagues from MinusService. But this source was now exhausted and a new era started where we had to train new personnel and familiarise them with the spirit of JYSK. We solved this by stationing personnel from the old shops in the new shops until they could stand on their own feet. It 53 H E L L O M Y NA M E I S L A R S L A R S E N Jysk Sengetøjslager’s first paper 54 I HAVE A GOOD OFFER was also at this stage that a new concept was introduced – an area manager, i.e. a person who regularly visited the shops and checked that everything was okay - that the shop had stocked up on all articles, that everything was nice and clean, that lights were working, that all articles had signs, that the personnel were well-dressed and provided a good service, etc. In total, they checked about 40 items and bonus points were given according to how well they did. At first my partners took care of this job – and at the same time they also helped establish new shops. Today we have about 50 people, who are each responsible for about 12 shops. They are called regional managers. The Mattress Supplier Made his Choice Clear When I quit my job at MinusService, Ulf Bolighus, who owned the 3 shops, had to find a new manager. He chose a manager from Salling in Aalborg – his name was Jørgen Olsen. A clever man who knew the trade and fought hard for it. But it was a hard battle. Those upstarts from Jysk Sengetøjslager had opened shops close to the 3 MinusService shops. They had taken along all the best employees and were conducting ruthless marketing with prices never before seen in the market. One of the ways in which he tried to combat us was to make suppliers doubt our solvency and our chances of survival – compared to the good old reliable Ulf Bolighus. After I had opened shop no. 3 in Aalborg, he called our supplier HUMA-LAMA - who had all along been MinusService’s biggest supplier of mattresses, quilts, sleeping bags etc. – for a meeting. He wanted to find out who they wanted to do business with in future. Hans Oluf Thøgersen, who was the owner of the factory, insisted that I should also participate in the meeting and so I did. Jørgen Olsen from MinusService explained his views and told us about their many years of working together and security of payment and said that now Mr Thøgersen had to make a choice. Either he could stick to what was safe, i.e. MinusService and stop all deliveries to Jysk Sengetøjslager, or else there would be no more working together. The manufacturer from Thy – a man of few words – thought it over for a couple of minutes while I sat terrified of losing my biggest and best supplier. Then he got up, shook hands with Jørgen Olsen and said: ”Thank you for having done business with me” and after another couple of minutes of silence he continued: ”And if you ever have any regrets, you’re always welcome to do business with me again”. After that he elaborated on his decision by explaining that he could not run his factory under conditions where his customers decided with whom he could do business. “You may be the biggest and the financially strongest today – but what about tomorrow! By then you may not be around anymore, and Jysk Sengetøjslager will have found another supplier – then who will be left holding the baby!” He was right – shortly after 55 H E LLO M Y NAM E I S LA R S LA R S E N 2 kids who can now celebrate their JYSK silver jubilee. Jacob is busy on the platform and eMtte is patiently waiting for more goods for shop no. 4 in Skalborg – the whole family helped out this, lUf Bolighus decided to close the 3M inusService shops. Today JYSK makes purchases amounting to more than DKK 100 million a year from HU M A-LAM A. Incidentally, Jørgen Olsen started working for JYSK shortly after this, and he’s still here. But Purchasing Is Done By the Dozen…! This sort of blackmail of our suppliers was not an isolated case- on the contrary. All our competitors tried to employ heavy-handed methods and, in several cases, they managed to scare them away so that we had to find other suppliers – often abroad. It was hard, but at the same time it also made us strong – we found brand new sources to purchase from. Often far better and cheaper than what Denmark could offer. I will never forget my first shopping trip abroad – in o P rtugal. I bought towels for 6 shops and I bought plenty of them as they 56 I HAVE A GOOD OFFER were much cheaper than in Denmark. I splashed out and bought 6,000 bath towels and 12,000 towels. That was a lot – a huge amount – for so few shops. But… this was not the end of my first shopping trip abroad… When they were delivered and I was to pay for them, there were suddenly 12 times as many – i.e. 72,000 bath towels and 144.000 towels… They explained to me that it was common practice to use dozens in the wholesale industry and not, as I thought, individual itemss. This was the first time I needed my bank’s understanding of the necessity to borrow money on my goods. It was also at this point that I realised that I’d need many more shops – very fast – and that’s what I got. I also managed to sell the towels – it took me about a year… New Employee Did not Have Time to Come for an Interview At the same time I came up with the idea of giving my customers a free Christmas present – a towel. We also gave these to our customers when we opened a new shop. For the opening of the shop on Store Torv in Århus I hired a small young man from Videbæk in Western Jutland. One of my suppliers had told me that a bright kid was working at a soft furnishings shop in Ringkøbing. I gave him a call and asked if he could come to Aalborg for an interview. ”No, I don’t have time for that – and since you’re the one who wants to talk to me, how about if we meet in Ringkøbing”. So we did. Even though I was short of time, I still felt that I had to spend half a day on this selfassured kid. It did not take us many minutes to find out that we got on well together and, just over a month later, 21-year old Åge Nielsen started at shop no. 6 in Århus. When I was about to start up in Zealand, I asked him if he could come along for a few weeks to help with the opening. He accepted that – and never returned to Århus. He agreed to stay there and help teach my Zealand personnel to work in the JYSK way. He did it so well that he later became a regional manager for Zealand. Åge Nielsen from Videbæk via Århus to Germany 57 HELLO MY NAME IS LARS LARSEN Was in Charge of Germany – Without Speaking any German Later he was also sent to Germany to start up Jysk Sengetøjslager down there. He did tell me that that he did not speak any German – but I though he could learn it as he went along. Oh well, he said – it wasn’t as if they understood me when I started working in Zealand. Åge came from Western Jutland and people there often had problems understanding his dialect. In Germany he also had major language problems at first. There was no time for intensive language training, so he had to so some hands-on private studying. For instance, he became cross at an employee and told him somewhat exasperatedly: ”Günther – du bist ein Voll”. What does that mean, Günther asked. Then Åge showed him a milk carton, which was on the table and pointed to a cow, which was shown on the carton. Åge did not know what a fool or idiot was called in German, so he chose to call him a cow. However, Vollmilch doesn’t mean cow’s milk but whole milk, and that all added to the misunderstanding. But Åge has learned German and he has opened 450 shops in Germany. Over the next 5 years he is to open another 450. It was probably a good thing that I was not too proud to spend half a day in Ringkøbing. Anyway, with all those towels in stock and a huge foreign debt at pretty much extortionate rates of interest, we hastily had to move on. However, we only opened those 6 shops in the first year. Christmas Party with Partners and Big Names We finished off the first year with a big Christmas party at St. Binderup Hotel. A convenient location right between Aalborg and Århus, so that everybody had to travel the same distance to get there. To save money on transport costs, everybody filled up their cars with quilts, pillows and many other things (see photo) that one shop perhaps needed and another was able to spare. It was a, nice, big Christmas party, and I had invited partners along and provided accommodation. I felt that this was the least I could do for all these wonderful employees, who were working hard, day and night, to make the company work. In this way I could show them my gratitude. This was in 1979 and there were 38 of us. I have continued this tradition ever since. In 2003 we will be about 8000 people – about 1500 in Denmark, 4000 in Germany, 1000 in Sweden, 600 in Norway, 400 in Finland etc. Everybody stays the night at a hotel and we have a big gala party in the evening with the biggest names in music for entertainment. In Denmark, for example, we have had bands like Bamses Venner, Kim Larsen, Shu Bi Dua, Sanne Salomonsen, Poul Krebs, Sweethearts, Big Fat Snake, Thomas Helmig, Michael Learns To Rock, Lars Lilholt, D.A.D. etc. In Norway, Sweden 58 I HAVE A GOOD OFFER and Finland distances are so great that many people have to be flown in for the party… a costly affair – but, of course, everybody should get the chance to participate. All in all the party costs me many millions. However, just as I did in 1979 with 38 people, I still feel that it is money well spent. It is, in fact, my only chance of meeting all my lovely employees and thanking them for their hard work through the year. Unfortunately, I do not have time to go to the party in every country, but my capable managers take over instead. Native Help with Starting up n Zealand It’s now 1980 and we need to get all my towels sold. So we open branch 7 in Kolding in May and, soon afterwards, branches 8 and 9 in Hjørring – a bit of an experiment with a shop in the centre of town and a shop outside of town. It had worked out well in Aalborg and Århus. Now I wanted to try the same in a smaller town. However, it was never successful and after a couple of years I closed the shop in the centre and expanded the other one by several square metres, and that improved business immensely in Hjørring. We also opened up no. 10 in Viborg and no. 11 in Frederikshavn in 1980, after which we took a deep breath and prepared to conquer Copenhagen. Frederikshavn was in fact an existing shop that I bought and carried on – although I changed the name. This was yet another experiment to test different types of expansion. But it was to be an isolated 59 HELLO MY NAME IS LARS LARSEN occurrence. Since then I have never spent money on taking over existing shops. It was much cheaper to set them up myself. At the end of 1980 I started preparing for our biggest venture by far – the opening of the first Jysk Sengetøjslager in Zealand – and in Copenhagen itself at that. I did not know the Danish capital very well and therefore chose to employ someone who was born and bred in Copenhagen… I had previously met Mads Jul at a purchasing fair in Cologne while I was still working for MinusService, and he wanted to be part of this exciting adventure. First he had to learn the Jutland dialect. So he helped open Viborg and Frederikshavn, before he was to stand on his own feet in Copenhagen. I have to admit that I was somewhat uneasy at the thought of having a Zealander run a JYSK shop. After all they were not quite like us – they did many things faster than us – they made decisions faster and even spoke faster. I just hoped he wouldn’t get carried away. However, I was willing to give it a chance. At this point I had realised that I could not look after all the shops myself anyway – no matter how badly I wanted to. Of course, I also contemplated sending a true Jutlander there – but after careful consideration I decided that it probably would be wisest to use a native Copenhagener. After all, they probably knew better how things worked there, and so I hired Mads – with all the joy and sorrow that it brought along – but mainly joy, though. Mads Jul quickly found some nice premises on the road to Roskilde, Roskildevej, in Valby. I asked him to measure the shop front, so that we could get some quotes. To avoid standing on a ladder for hours, Mads thought he could do the measuring from the pavement – instead of crawling up high – practical, easy and convenient… So he crawled down the pavement on Roskildevej and turned the folding ruler over and over again, until another Copenhagener passed him, stopped and looked at Mads, and then said: ”That’s a waste of time, mate – it’s exactly 32.6 km to Roskilde”. I needed quotes for the signs – and to be certain to get the right price, I asked for prices from both Zealand and Jutland sign companies. Quite contrary to my expectations, a Zealander was the cheapest. 60 I HAVE A GOOD OFFER Professional Sign Writer with His Wife’s Hairdryer So I had a talk with HL Skilte and explained to Henning Larsen about our quality demands. Back then we painted the Jysk Sengetøjslager logo on the inside of the windows and I was somewhat uneasy about it as it was to be done in January – with frost outside and heating inside – and there was no double glazing. So there was lots of condensation on the windows, ”Oh, no problem at all” Henning Larsen answered, ”we’ll just put up plenty of heating guns next to the windows while we paint and leave them there until the paint is totally dry”. Brilliant, I thought – I’ll give the job to him, even though it did sound a touch too cheap… A few days before the opening I then came to Copenhagen, to check up on the sign writer, among other things. I was met by quite a sight – the paint was running down the windows and the sign writer was running about frantically with his wife’s hairdryer – the so-called heating guns. However, there wasn’t time to find either heating guns or a new sign writer, so we agreed that it would have to be fixed once the weather got warmer. He did fix it to my What do you give a good friend who has everything? In my time as a tour operator, I chose to give Henning Larsen a plane – I was certain he did not have one of those. On the way down the street one of the wings hit a parked car. The car owner later told me that it caused him quite a lot of trouble to fill out the claims form for the insurance company – in a credible and convincing way 61 HELLO MY NAME IS LARS LARSEN complete satisfaction and he has in fact made all the signs for my shop fronts ever since. That means several thousands of them – and without any paint running…So I guess this is a case of ”practice makes perfect” and by now he can probably afford a couple of heating guns… and his wife has got her hairdryer back. And We Had a Queue – Almost All the Way to Roskilde So on January 28th, 1981 at 1.00 pm we had a reception at Jysk Sengetøjslager, Roskildevej 152, 2500 Valby. This was a concept I did not really know from Jutland. However, it was common practice here in Zealand, Mads Jul assured me. Oh well, I thought, if that’s what it takes, we had better do it. So all our friends, family and suppliers as well as all the staff we could spare from Jutland were invited. Since they were in the capital anyway, they might as well stay for a few days and lend a hand with the opening. And we certainly needed that. On Thursday January 29th, 1981 at 8.00 am we opened the world’s first Jysk Sengetøjslager in Zealand. You could certainly say that we packed them in. It seemed as if all of Copenhagen and the surrounding areas had never been able to buy furnishings before. There were thousands of people queuing up on Roskildevej – as far as you could see – but possibly not the entire 32.6 km to Roskilde. However, there were so many people that we had to let people in in shifts all day – and the next day – and the next week. In fact, we had a queue for the whole of the first month. Fortunately, I had covered myself with regard to goods, as I had rented a multi-storey car park under the building and filled it up with goods from floor to ceiling… Our success was in the bag. We had taken Zealand by storm. So once things had calmed down a bit, we continued conquering other towns in Zealand. First it was no. 13 in Køge – then no. 15 in Holbæk – nr. 16 in Lyngby etc. and in between that we also found the time to expand the chain in Jutland and Funen. No. 14 was in Esbjerg, no. 17 in Silkeborg, no. 18 in Støvring, no. 19 at Østerbro in Copenhagen, no. 20 in Fredericia, and then it was Funen with a big shop right next to Bilka in Odense. After that came Roskilde and another couple of shops in Odense before we opened shop no. 25 in Vejle on 1st April 1982. Exactly 3 years after opening the first shop. A tremendous pace that would take most people’s breath away – but not us – we had a great time. Even though we worked 18 hours a day – and slept the other 6 hours – usually in a shop as it was the most convenient – there were plenty of beds, mattresses and quilts. There was no point in wasting time going somewhere else to spend the night – and last but not least, it was by far the cheapest. 62 I HAVE A GOOD OFFER Gunner NU between the quilts at the opening in Valby Gunnar NU Commented on Me and My Wife in the Double Bed On the opening day in Copenhagen I made a deal with the famous Danish sports reporter Gunnar Nu Hansen. He came early in the morning to entertain all the customers who queued up. This turned out to be so popular that I continued this tradition for as long as his health allowed. I especially remember opening no. 25 in Vejle, where we had had a small ”jubilee celebration” the previous evening. It was shop no. 25 and 3 years since it all started. I thought it was time to celebrate. So we did – probably a bit too much, because when Gunnar Nu turned up at 7.00 am to tell all the waiting customers about his life in the world of sport, my wife Kris and I were sleeping in a show bed, right in front of all the expectant and somewhat surprised customers who probably thought it was a rather untraditional type of marketing. However, Gunnar Nu made a joke of it, so that everybody had a great time and were fully convinced that it was all staged for their sake. 63 HELLO MY NAME IS LARS LARSEN After opening the first 25 shops we had a break to have the whole organisation adjusted and streamlined. We really needed that, as all our systems were lagging behind because we had concentrated all our energy on opening shops. The more shops we had, the more systems we needed. In Viborg I had a competent mature manager and I quickly realised there was a lot more to him than that – Kaj Larsen – former air traffic controller and independent shop keeper. I put him in charge of getting things into shape. He set himself up at home in his private villa in Viborg. From there he made information cards for all products – and gave them consecutive numbers. One card per article with all information: the name of the supplier, the quality of the article, cost price and retail price etc. Basically everything about the articles, so that all our employees could look things up and get all the information they needed. Until then all our information pretty much only existed in my head, which was rather impractical, when 100 other employees needed it. Kaj Larsen also organised an in-house weekly newspaper, so that all our employees were kept informed about what was happening in the rapidly growing company. The Building Up of the Warehouse – and the Fire Jørgen Olsen – my old rival from MinusService – was appointed warehouse manager. This was another post that we had not had before. Until then we only had various small warehouses here and there. Now everything was brought together in Støvring for North Jutland, in Vejle for the rest of Jutland and Funen and in the multi-storey car park under the shop in Valby for Zealand. I hired an old colleague from my days as a curtain fitter to help me with this big job – Hans Jørgen Jensen, who I had in fact asked if he wanted to open a bedding shop while we were still working as curtain fitters. He was very interested and we also went to look at premises, but when it came close to reality he backed out and instead started up his own little curtain shop, ”Jensen Gardiner”, in Aalborg. He had this for a few years while I was working for MinusService and he then closed it a year after I started up Jysk Sengetøjslager. I then asked him if he wanted to become a warehouse manager – and he has been one ever since. Now he would like to buy half of JYSK – but he has some difficulty raising the money for it. The job of warehouse manager quickly turned out to be a bit of a challenge. It was time for Jørgen Olsen to move on within the system and he was promoted to regional manager for Central and North Jutland. Hans Jørgen Jensen then took over as a warehouse manager and was to find room and systems for more and more goods – in fact almost a doubling – every single year. With the heavy expansion in Zealand, the multi-storey car park soon became too small, so I had to find bigger premises. So I bought a huge 5000 m2 warehouse in Copenhagen – close to HC Ørstedsværket. Now we thought that we had plenty of space 64 I HAVE A GOOD OFFER A sad sight from the fire at our central warehouse in Vejle for many years ahead. But no, crazy Larsen continued opening new shops at a tremendous speed and purchasing more and more goods. We quickly filled up the 5000 m2 – and then experienced one of the biggest disasters in the company’s history. In the middle of the night of 6-7 April 1986 I was woken up by a phone call from the police in Vejle: ”You have to come straight away, your shop and central warehouse are on fire”. Kris and I rushed from Silkeborg to Vejle and were praying that the damage would be limited. But we were soon to find out otherwise – 20 km from Vejle we could see the fire lighting up the sky – and most of Vejle and the surrounding area. When we got there, only the ruins were left – everything had burned down – the shop, the central warehouse and all the goods. The total value was about DKK 20 million – a major shock. But JYSK had to go on, so we had to come up with an emergency plan along with warehouse manager Hans Jørgen Jensen. By this time our central warehouse in Støvring had been closed down and Hans Jørgen was now convinced that it was better to live in Vejle than in North Jutland, so that he could direct all our troops in Jutland and Funen from there. Now everything was gone – all we had left was our warehouse in Copenhagen. So there was no other way – Hans Jørgen and his colleagues had to go to Copenhagen to pack goods for the shops in Jutland and Funen. This was not just for a short period of time - it lasted for almost a year while we were building a new and much bigger central warehouse in Vejle. 65 HELLO MY NAME IS LARS LARSEN A relaxed warehouse manager - Hans Jørgen Jensen A year where our work ethic was really tested – and it passed the test. Almost everybody agreed to work almost 24 hours a day, 4 days a week, and then have 3 days off. A major disruption to the daily lives of many families. A time that none of us will ever forget. But neither will we forget the following year when we were able to start using a brand new warehouse. We had a total of 8000 m2. Now we had plenty of space – we thought. However, it did not take more than 2 years before we had to triple the warehouse. It has been like that ever since and today we have 2.6 million m3 of warehouses all over Europe. Signwriting, Shoplifter and Shared Shower I helped set up the first 50 shops myself – everything from renting the premises to purchasing and decorating the shop – I even wrote the signs. Not very nice ones, but they were legible. It was most practical for me to do that because I knew every single item as I had bought it myself. There were a number of funny episodes during that time. For instance when Yrsa, a manager in Århus, chased after a shoplifter and caught him in the big square, Store Torv. She knocked him over and sat on him, while she was shouting out for help. He tried to escape, but Yrsa would not let him so she beat him until the police arrived and arrested him. They then informed Yrsa that she was not allowed to beat up shoplifters, as she could be charged with assault… When we opened the shop in Viborg, we had also been working all night and only just managed to have a shower and some coffee before opening the doors at 9.00 am. We talked about the customers in Viborg being more impatient than anywhere else as they were knocking on the doors and windows. We had never experienced anything like that before… It was not until around 8.30 when we went outside to serve coffee and Danish pastry – as we always did when we opened a new shop – that we discovered the reason for their impatience. We had forgotten that the advertisement said we opened at 8.00 am. We thought it was 9.00 am… In Holbæk there were 12 of us who decorated the shop in the course of 3 days, and I quickly realised that it would be a rather costly affair if everybody lived at a hotel. So we decided that we could easily stay at the shop, even though there were no bathing facilities 66 I HAVE A GOOD OFFER just a toilet and a washbasin. It went well for the 3 days while we worked ourselves to the bone 18 hours a day. However, the evening before opening the shop I decided that we ought to have a bath the next morning before opening. So I went to a hotel close by and booked one hotel room and asked carefully at the reception whether it would be possible for ”a few” friends to come in the next morning and have a bath in my room… Yes, of course they can, the friendly receptionist said. Early the next morning the first person arrived with a toilet bag and a towel under their arm to see Lars Larsen, a little later the next person – and the next – and the next – and it continued like that for a couple of hours… Along the way the nice receptionist became increasingly annoyed and after a while she called my room to ask me how many friends I had… As far as I remember, I got carried away and I promised her some extra money for using up so much hot water… That way everybody was clean and newly washed for the opening of branch 14 in Holbæk. The Moneybag Disappeared – Again and Again We went out for dinner on Vesterbrogade in Copenhagen in the evening after a good opening. We partied until late in the night and as usual I paid for it all and so I brought along a small leather bag – filled with nice Danish bank notes – about DKK 25,000 in cash. It was before debit cards came along. The money was not just for partying, but was used for paying all the expenses that occurred in connection with opening up a new shop, even though we did not live at a hotel. When I woke up the next morning, the leather bag and the money Today JYSK has 2.6 million cubic metres of storage space in Europe 67 HELLO MY NAME IS LARS LARSEN was gone… At first I thought that I had misplaced it in the shop when we came back late at night. So all our employees started looking for it – at the office – under the quilts – etc. – etc. – without any result. In the end somebody suggested that perhaps I had forgotten it at one of the pubs we had visited over the evening… Unthinkable, I thought, but he still managed to persuade me to come along down to the small side streets in the Vesterbro area to ask if anybody had found a small grey leather bag… I felt it was a waste of time as the places we had visited the previous night did not exactly have the best of reputations. However, the sceptical Jutlander realised that, even in the darkest part of Vesterbro, honest people could be found. At the fourth or fifth place we visited, a cleaning lady was getting things ready for the next crowd. We asked after the infamous bag, somewhat resignedly, and then she pulled it out from behind the counter and asked if this was the one. I jubilantly confirmed that it was. I also told her that my driving license was in there – along with a lot of receipts for all the things I had bought over the past couple of days – and hopefully a big wad of bank notes… She opened it and confirmed that it was mine… and that all the money was there. She had found it under a table while she was cleaning. I asked her what she wanted as her reward… Nothing, she said, with a smile… However, I would not accept that and put some nice big bank notes on the counter. After that I went happily back to the shop and told them that they could stop looking… In fact I had a lot of trouble with that bag… In 1988 I was with a bunch of colleagues who went to Germany for Euro 1988. Our bus pulled in at a big service area so that we could get some food, and there were at least 100 people in the cafeteria. When we were full up, I went to the counter to pay for our food and then we continued south… After half an hour of driving I discovered that my bag was gone… And after having checked the bus systematically, I realised that I must have forgotten it at the cafeteria. Then I had to make the sad journey to the driver and explain the situation to him. Here is the microphone – so you can try and see if you can persuade the majority of the passengers to accept turning back and driving back for half an hour – and then another half an hour of driving to get back to where we are now… I managed to persuade them by buttering them up with a few cases of beer. When we made it back, I ran into the cafeteria, and contrary to reason my bag was still on the counter – and the contents certainly matched those from Vesterbro. That meant a couple of cases of extra beer for my patient fellow passengers… But Denmark lost the preliminary games… In spite of losing I felt fine for the rest of the trip, though. 68 I HAVE A GOOD OFFER The Jutlanders Didn’t Know Where They Were Then there’s the story of the opening in Slagelse. We finished decorating the shop early for a change. So Åge Nielsen and I went to Copenhagen to take care of some business. We did not finish until late at night and so we decided to take the first hotel we passed and then get up early to drive to Slagelse, so that we could be there early before opening. We must have worked too hard, because we did not wake up until an hour before the shop was due to open. First of all needed a taxi to go to our car, which was parked somewhere else in Copenhagen. Åge jumped out of bed and immediately called a taxi – not via the reception, as he was worried it would take too long. Instead he called a taxi driver he knew. He quickly got through on the phone, but then his problems started… He took the phone to the window, opened it and leaned out so far that I was worried he’d fall out of the window – and this was the fourth floor. He looked right and then left and then he came back in from the window again and said, ”one moment”. He jumped into his trousers and shirt, ran out the door and ran down and back up four floors in 30 seconds. Then he jubilantly told the taxi driver where we were. It turned out that during the night we had just taken the first hotel to hand 69 HELLO MY NAME IS LARS LARSEN – without knowing where we were – so it was a bit difficult for a taxi to pick us up… We did not make it to the opening, but fortunately we had some competent people who were able to take over… They had tried it before… In Randers the customers were very impatient. They simply could not wait until 8.00 in the morning, so they took what they needed themselves – in the middle of the night while we were sleeping in the shop… They had taken out a window and sneaked around between us while we were sleeping… Without a single one of us waking up… I guess you can say that when we weren’t working – we were sleeping… and very heavily… Did Her Shopping on a Trolley It was also in Randers that we had a hencoop ladder down to a storeroom in the basement. While decorating the shop, a young employee had stacked pillows and quilts in high piles around the drop – without anybody noticing. The first person to notice it was a customer who leaned too far in over the pile to get the best quilt – and suddenly she found herself in the basement… Fortunately with a stack of quilts underneath. We immediately called an ambulance. They got her up and put her on a trolley, but on the way to the ambulance it was confirmed just how attractive our offers at JYSK are. The customer insisted on taking along her quilt… The paramedics had to wait with the lady on the trolley until we had wrapped the quilt… In fact I don’t think we made her pay for it. At Amagerbrogade in Copenhagen we finished early for a change and our dear sign writer - the guy with the heating guns - invited us home to his place for dinner. Later in the evening my man in Zealand got tired and fell asleep. One of my employees from JYSK, Erik Hyllested, thought we should have a little fun at Mads’ expense. Now, this was a sign writer we were visiting, so he found some pens in different colours and painted Mads’ face. When we went back to the shop later in the evening, we took away all the mirrors without him noticing. Next morning he washed and probably wondered why there was no mirror in the bathroom. Before the opening he went for a little walk down Amagerbrogade. Perhaps he should have wondered about all the attention he was getting, and especially when he met the caretaker of the property, who instantly asked him: ”Why on earth does your face look like that?” To this Mads Jul answered: ”Oh well – perhaps we overdid the partying a bit last night”. ”Yes – you could certainly say so. Your face is all blue, yellow, green, red and black”. ”Is it really that bad?” Mads asked – and then went back to the shop and eventually managed to find a mirror. So someone had to get busy scrubbing his face, before he started selling quilts. The plan was for him to inaugurate the shop and welcome all the expectant customers. After all he was in charge of Zealand. But, unfortunately, the customers missed out on this colourful feature. 70 I HAVE A GOOD OFFER Sweet Revenge When we opened the shop in Nykøbing, Falster, I did not have time to help with the decorating and had left this job to the colourful Mads Jul and Åge Nielsen – the guy with the homemade German. They did not quite agree on how to do things, as this was the first time we had decorated a shop over 3 floors. So, when I arrived the day before the opening and they showed me the result, we had to redo it all. So it looked like there would be no sleep that night… And yet… We did get a couple of hours’ sleep in the beds on the second floor. I dare say it was revenge on the part of Mads Jul when he did not wake Åge and I up – and he had made the rest of the staff play along. They opened the doors fifteen minutes early and sent the customers to the second floor – no matter what they actually wanted to buy… And here they were met by 2 drowsy shop assistants who were still in bed – wearing only their underwear. But, of course, weren’t going to let someone from Copenhagen get away with that. When it was time to open the shop in Ballerup and we finished the shop around 8 pm the day before, we went to Copenhagen to have dinner and a good time before the big opening the next morning. I do no know whether the long working days were too hard for Mads Jul, because once again he fell asleep – in the restaurant. That’s It took a long time before IT made it to JYSK. when Åge and I decided to revenge ourselves Until 1998 all products were ordered using a telephone and these cards. for his stunt in Nykøbing Falster. We paid the bill and quietly left – without waking Mads up. Being Jutlanders who had finally made it to Copenhagen, we also wanted to see a bit of the nightlife. So we did not return to the shop until late at night to get a couple of hours of sleep before opening at 9.00 am. The first person we met outside the shop was Mads Jul, in his shirtsleeves, blue with cold. When he woke up in the restaurant and we were gone, he became so perplexed that he forgot his coat and took a taxi to Ballerup. It dropped him off outside the shop, and it was not until after the taxi was gone that he noticed he had forgotten his coat where he had the key to the shop… There he was on a dark and cold winter night. With no coat – and this was before mobile phones came along – and the nearest house was several kilometres away as the shop was located in an uninhabited industrial area. So Mads decided to seek shelter behind a waste container and wait for us – in snow and 71 HELLO MY NAME IS LARS LARSEN frost. He did have to wait a couple of hours until we had seen enough of the capital. When we saw big, strong Mads there – totally chilled to the bone – we were fully convinced that he would beat us up. But on the contrary - Mads was wild with joy that now he could now get some heat. That ought to be the end of that story… but no. In Ballerup we tried sharing premises with another shop for the first time – and we also shared the entrance. Now when you went to bed late after having seen Copenhagen by night, you did not want to get up too early. So I crawled into one of the beds in the shop, set the alarm for 8.30 am and put my clothes next to the bed. I knew that the advertisement said we opened at 9.00 am. However, I did not realise that the shop next door opened at 8.00 am. As we shared the entrance, the customers also poured into JYSK – and there I was sleeping in the shop surrounded by customers and wearing no clothes. What’s worse - my clothes were gone, so it was a desperate situation. I dived down under the quilt and waited for one of the employees to help me out of this embarrassing episode. Finally, Claus came to the bed and I whispered to him to get my clothes at the back of the shop. Claus was only 15 and had come along from Jutland to help out, so of course I expected him to instantly go and get them. But I was soon to learn otherwise. He merely laughed and shook his head. The more I cursed, the more he laughed. He had absolutely no mercy on me. In the end I had to wrap up in the quilt and sneak out at the back of the shop, very embarrassed. I never found out whether Mads Jul was involved in this – but I think it is quite likely… It was not just when we went out that Mads would fall asleep. When we were about to open branch no. 16 in Lyngby, I was running late with the signs and so I asked Mads to help me. That went well for the first couple of hours, but later that night I could tell that Mads was getting tired. So, I kept on talking to him to keep him awake. That went well until he suddenly stopped answering my silly questions. Then I heard a great thud – and Mads, who weighted 120 kg, was lying on the floor with the pen in his hand and was fast asleep. He actually stayed there until we opened the shop – and no, we did not leave him there for the customers to wake him up, although it was very tempting. 72 I HAVE A GOOD OFFER All of the Larsen family under the quilt - Jacob, Kris, Lars and Mette The Customers in Lyngby Had a Lie in I also remember the opening in Lyngby as a disaster as there was not a single customer waiting to be let in - and we were used to several hundred customers rushing into the shop. I looked up and down Lyngby Hovedgade. There was not a single customer to be seen. I called the newspaper to make sure that it had not come out the previous day – indeed it had. It was not until around 10 am that customers started showing up, and by closing time we had had a tremendous turnover. I never found out what the reason was, but just noted that people in Lyngby will not get up early mere because a guy from Jutland offers them some bargains. No, they did not do their shopping until after 10 am when other places like Lyngby Storcenter and Magasin opened. Nor did the fine citizens like the blue and white carrier bag from JYSK. So they would bring along a yellow-striped carrier bag. They thought it looked more at home in the neighbourhood. However, all that happened 20 years ago. Today it is fashionable to be economical – even in Lyngby. 73 HELLO MY NAME IS LARS LARSEN My first cheque for more than DKK 1 million . Mr Ankerstjerne rushed to the bank the same day to cash it. ”Just in case!” he later explained Paid Taxi with Anti-asthma Quilt When it was time for Varde, some of us went to Esbjerg by taxi the evening before the opening to experience the nightlife. We must have had a good time because it did not occur to anybody to go home until our pockets were empty – and then we were in trouble. How were we going to get back to Varde – without any money? After some discussion we decided to get a taxi and find a payment solution once we got there. The lady who drove us turned out to be nice and talkative. She knew all about the bargains Jysk Sengetøjslager had, as she had been reading about them while she was waiting in the taxi. She was somewhat worried that the anti-asthma quilt she had picked out would be sold out by the time she got up after working all night. We exchanged looks and asked her how much a trip from Esbjerg to Varde would cost us – and it happened to match the price of an anti-asthma quilt. So we had our first customer in Varde at 3.30 am… People from Western Jutland are certainly easy to do business with – 24 hours a day. 74 I HAVE A GOOD OFFER In the morning, I was definitely not ready for getting up. The manager, Erling, tried to wake me up several times – all in vain. After wondering what to do, he had a brilliant idea. When we came back in the middle of the night, I had just grabbed a mattress in the mattress department and gone to sleep. So he decided to move a couple of rows of mattresses and then pushed the mattress with me on it against the wall – and then put some mattresses around the outside… So I was well hidden – he thought. However, as fate would have it, less than an hour after the opening, a customer needed a specific size and started rummaging about in the mattresses until she reached a ”dead” man… Then I was woken up by a scream that could be heard all over the shop – and the southern part of Varde. When we opened up a new shop, we always bought quite a lot of tools, lists, screws, nails etc. We also needed to do that in Bornholm. So I drove to the nearby DIY centre, found the necessary items and took them to the till. Here I explained to them who I was and said that we normally got a 20% discount as we would eventually become a big customer and would regularly be needing things from the DIY centre. So it would be easiest if we settled the “trade discount” once and for all… I talked to the boss himself, so he was probably used to such discounts… He was… ”Don’t you want 30 or 40%”? he said smiling… I suddenly looked very perplexed… ”What do you mean”? I asked carefully… ”Well, I have just built a couple of summer houses to let out and I need an awful lot of furnishings – and I assume I will get the same discount at JYSK as you get from me”… I certainly learned my lesson. I paid full price – and in fact so did he when he came to buy the furnishings… Ever since that opening in Bornholm, I have never asked for a discount in any type of retail shop. The Bookkeeper Refused to Acknowledge Larsen When I had bought the big central warehouse in Copenhagen and the warehouse in Vejle had burned down – and the employees from JYSK worked themselves to the bone round the clock – I wanted to cheer them up with a trip to Copenhagen by night. It went well, and later that night I sent them home to their shared flat and I went back to the warehouse to sleep – or so I thought. There was just one problem. I had forgotten that the warehouse was supervised. So, when I had almost fallen asleep, I was woken up by a man who was shining his torch into my face, and the cold nose of a German shepherd sniffing at me. I have to admit it was a bit of a shock. What are you doing here, the night watch asked me, while the German shepherd was growling. I had to try to explain to him who I was. Nowadays it would be a piece of cake. However, back in 1986 nobody had heard of a Mr Lars Larsen who claimed to be the owner of Jysk Sengetøjslager. Yeah right – and I’m His Royal Highness Prince Henrik, he said, and explained to me that I had to prove that I was in fact part of JYSK. It turned out to be more difficult than 75 HELLO MY NAME IS LARS LARSEN expected. I could easily prove that I was Lars Larsen, but proving my affiliation with JYSK was tricky. After some consideration - while the German shepherd continued to growl and the night watchman was starting to do so as well – I had the brilliant idea – or so I thought – of calling my financial director Erik Bredahl, who would be able to confirm my identity to the night watchman. I managed to wake him up – or so I thought – so I handed over the phone to the guard so that they could have a chat. But it was a very short conversation. The night watchman and the German shepherd started growling even more, and then he suggested that I had better accompany him while he made a call to the police. But couldn’t Mr Bredahl confirm my identity? Not exactly. His only comment before hanging up was – I’ve never heard of Erik Bredahl was my first financial director him! Bredahl was a jolly fellow who loved taking the mickey out of us, but this was getting out of hand. However, another call did help find a solution. Bought Back the Shares The very same Erik Bredahl did all the bookkeeping and financial management from day one. At first there were 12-15 small companies he was helping out. However, as JYSK grew bigger, his Økonomicenter got fewer and fewer customers, as he did not take on any new customers. JYSK alone gave him plenty of work. In 1983 I bought his company so that they only had to concentrate on JYSK. At the same time I bought out my 2 partners, so that I had all the shares. I was also fully aware that economics was not my strong side. So I decided to sell 10% of the shares to Erik Bredahl, so that I was covered on this front. I also needed more capital for our further expansion. I had paid back my debt in England and did not want to borrow money again at an interest rate of 25%. Once again I found a good solution at Nørresundby Bank. They bought 10% of the shares and we agreed that I could buy them back any time. I had made the same deal with Erik Bredahl, but I could only buy back his shares if he decided to leave the company. He did, around 1990. I have never found out why he quit. My guess is that he did not want us to get involved in the travel business, but he never told me the reason. 76 I HAVE A GOOD OFFER It came as quite a shock to me when he decided to leave the firm. Fortunately, I had made an agreement with him that he would remain at the company until he had found a suitably qualified replacement and educated him in every aspect of the company. He chose Hans Henrik Kjølby, and as he still holds the purse strings as the group finance director, I guess you can say that it was a good choice. Today I still take my hat off to Erik Bredahl’s loyalty to the company, even after he had decided to leave us. In fact, he stayed on for another year until he let Hans Henrik take over. It may have been part of our agreement, but often agreements like that crumble away, once people have decided to leave their posts. I bought back his shares and the bank’s shares when my finances allowed it. So, once again, I have 100% of all our shares – and I hope it stays that way for many more generations. A Fun Job with Billiards and Table Tennis When I started up in 1979, I decided to have the purchasing office in my basement at home in Aalborg. That meant I could spend some time with the family every now and then. When I was not away opening new shops, I spent most of the time purchasing goods. In the basement there was room for both billiards and table tennis, and when sales persons came to see me these big tables were, in fact, very handy for samples. Often when we had finished doing business at the end of the day – or early evening - and all the samples had been packed away, we had a game of billiards or table tennis. When there were no suppliers present, I relaxed on the phone – with my legs up on the desk while I was talking to shops, sales persons, banks, accountants, financial representatives and many other people. In the middle of all of this, my son Jacob would be running about and took part in his own way from when he was 5 years old. One day when he was 8 or9 years old, he told me that he wanted to do the same as his father when he grew up. Of course I was proud of that and asked him to elaborate a bit. ”Well” – he said, “It must be a fun job – all you do is play billiards and table tennis – and the rest of the time you just sit there with your legs up on the table”. Today the table tennis and billiard tables are gone, but in spite of that Jacob has stuck to his childhood dreams and has become a purchasing director at JYSK. In doing so, he has taken over a large At the office with my personal assistants Mette and Jacob 77 HELLO MY NAME IS LARS LARSEN part of his father’s job – and father and son are both pleased about that. You could say that he is well prepared for the job. As well as having familiarised himself with the purchasing job since his childhood when he was present when his father did the purchasing, he also came along when we were decorating shops. Later, he got a job as a window cleaner at our new purchasing office when he was 14. This was when he took his first marketing initiative. He thought there would still be time left to do other companies’ windows and so he made up a business card with the slogan: ”If your windows are dirty – give Jacob a call and have them cleaned”. However, he soon lost interest in cleaning windows; in fact this happened during the very first winter. It was more interesting to be inside the windows, and he has stayed there ever since. After attending My first office was in the bedroom commercial college and passing a Higher Commercial Examination he became an apprentice at Jysk Sengetøjslager in Egå. After that he went on to train as an Academy Economist, before worked in various branches of JYSK – and finally ended up in the purchasing department. Today he is in charge of all purchasing for JYSK Nordic – and, at the same time, he is involved in a radical renewal of our marketing techniques, so that we can keep up with the time in this area. The only thing at JYSK that has not kept up with the times is prices… I would even dare to say that our prices are cheaper today than they were 25 years ago. Of course, one of the reasons for that is our buying power. Nowadays JYSK is among the world’s biggest within its field – and so we also get the best prices. This is ab advantage for the consumer – and an advantage for JYSK, as this power secures us a good starting position for the future. 78 I HAVE A GOOD OFFER But the Port Was Good For the first 15 years of the company’s history I was in charge of the purchasing department and marketing. In Germany my managing director Åge Nielsen did this job (and he actually still does). I have always felt that it is important for the boss to know everything about his products – to, actually ”love” them. Through this ”love” he will then be able to market them in optimal conditions that customers are able to understand. As well as managing these increasingly bigger purchases from the basement, I also conducted many purchasing trips all over the world to find the best offers. I always brought Åge Nielsen along. He made sure that purchasing for Germany was adjusted to German taste – and he was and still is good at ”thrashing out” a good price. We have always looked after every single penny – and as quantities have become incredibly big, this is of course increasingly important. That is actually how we make a living. During the first years we travelled mostly in Denmark, Germany and Portugal. Portugal in particular was very interesting back then as they were the cheapest in Europe for towels, bed linen, blankets, bed covers and many other things. For many years Portugal was one of our most important countries for purchasing from and we visited the country several times a year – partly for trade fairs, but also to visit factories. For the first few years Åge Nielsen, my first employee from Copenhagen, Mads Jul, and I took care of this job. As previously mentioned, Mads had a tendency to get tired. It even happened once we went to visit a factory. We were well into negotiations when Mads suddenly fell asleep. The Portuguese looked somewhat astonished – but I told them that he was my ”sleeping partner”. At another factory we had purchased a lot and so the sales manager wanted to offer us a very special port, which the company had had for more than 100 years. Only very special customers were offered a glass of it. You could tell that it certainly was a very special port he brought us. The bottle had a fancy silver cork and was dated 1800 something, and it was about half full. He served us the smallest glass of port we had ever had – and it really was fantastic. In fact it was so fantastic that when the sales manager went to another room to get some samples, we poured ourselves yet another glass – and this time generously – and another couple of glasses. By the time the sales manager came back, we had finished the bottle… We realised just how expensive it was when he saw the empty bottle. He went all pale and left the room, and in fact we have never seen him again since then…I do not know whether he was fired or whether he merely did not wish to see us again. But one thing is certain - we were not very popular, even though we had purchased goods to the value of several millions… It was also in Portugal that I realised that the best business could in fact be done on a golf course… For the first time in the company’s history, we were going to Brazil to see what they had to offer us. We had purchased a lot from there, but we had never been there and so we 79 HELLO MY NAME IS LARS LARSEN did not know much about the factories in that huge country. After some days of purchasing in Portugal, we were going to Brazil on the Monday. On Sundays all factories in Portugal were closed, so we decided to treat ourselves and went to a golf course. When we were about to tee off, a man asked if he could play with us – and of course he could. It did not take long before we got into a conversation with him, and it turned out that he was Portuguese but had been living in Brazil for the past 15 years. He had made a living from checking soft furnishings before they were sent to Europe. In fact, he had also checked some of our products. We told him about our forthcoming trip to Brazil and asked him if he could help us with information about the factories. A couple of hours after arriving back at the hotel, 8 pages arrived on the fax machine, with accurate lists of all the most important factories: what each of them did best, contact persons and even various prices. Invaluable information that it could have taken us weeks or months to get hold of. So nobody will ever convince me that you can’t do business on a golf course. However, I rarely mix the two. If you did not have an order form, the supplier had to settle for what was at hand. You have to close the deal when you get the chance! 80 I HAVE A GOOD OFFER After 28 Times I Was Cured of My Fear of Flying It was also on this trip to Brazil that I was cured of my fear of flying – an annoying ”disease” to suffer from when you were forced to fly constantly. However, on this trip we spent so much time in the air that I gave up being scared. We took off and landed no less than 28 times. In fact, my advertising expert Hans Erik had the same flaw and as he always put it, he was not afraid of flying – but he was afraid of crashing… Speaking of flying, I have made several hundred trips over the years and some people may call it meanness, but all flights have been on ”Monkey class” – i.e. at the back of the plane at the cheapest price. I consider it a completely unnecessary luxury to pay 3-6 times as much to have a bigger chair on business class or for that matter first class, as many businessmen do. I have noticed that we do in fact reach the destination at the same time! Nowadays we have thousands of essential flights, so it doesn’t take much to figure out how many millions we save by doing this. Similarly, we always book a double room as that is about half price – and you get to talk to your colleague ”You don’t travel round first class, instead of being bored in your separate hotel rooms. If in order to buy at the world’s cheapest some employees insist on having a single room, that is prices.” The interior of our hotel room no problem – but it will be at a cheaper hotel, where in Frankfurt! prices are about half the price of the other room. In fact nobody wants to do that. My philosophy with these savings is that you have to be costconscious at all levels in the organisation. It is no good travelling first class and then purchasing at the world’s cheapest prices. It just doesn’t add up. If I can save money where possible, I am sure that my employees can as well… From childhood I have learnt that what you save, you earn. I would like this way of thinking to pervade the entire company. ”Like master like man”. I am convinced that this is one of the reasons why JYSK is a well-consolidated company today, and has the necessary capital to grow even bigger – and so even cheaper – and even stronger on a worldwide scale. 81 HELLO MY NAME IS LARS LARSEN Bacon with Parsley Sauce – Now We’re Talking! On our numerous purchasing trips Åge and I have always shared a room. Apart from it being cosy and cheap, it has also given us the chance to solve a number of everyday business tasks – a nice and convenient way of ”killing two birds with one stone”. It was also convenient when it was time for dinner… and you may ask why. Well, I guess you can say that we’re both particular about our food – Åge probably a bit more so than me. He always brings along a portable ”larder”, which we share at the room. There is plenty of rye bread, butter and cold cuts. It saves us many expensive visits to restaurant and we also get to eat what we like – and we even get some work done at the same time. However, over the course of time our suppliers have also learnt about our eating habits and tried to ingratiate themselves with us by serving us the very finest Danish dishes – almost just like our mothers made them. For example, I remember an episode in Portugal where a Danish agent wanted to serve us fried bacon with parsley sauce. He had personally been to the restaurant’s kitchen to teach the chef how to cook it. But either the chef did not speak any English – or else the agent was a bad teacher… When we jubilantly sat down at the table, we were served some charred pieces of fat bacon with cold white gravy and a couple of salted sardines on top. That meant zero points for both the agent and the chef… The only perfect thing was the ice-cold ”Chablis” white wine. This was shortly after Larsen Travel had started and I was not able to fill up my planes to Hawaii due to the Gulf war. So I thought that I’d try to test just how fussy Åge was, so I offered him a trip to Hawaii if he could eat the food. He couldn’t. Then I offered him 2 trips, 3 trips, and even 4 trips. But no, he did not want to go travelling. After that I offered him the trips just to eat the sardines… That was not possible either – and he was appointed the winner among us choosy eaters. It’s the Details That Count At a purchasing fair in Frankfurt I had almost agreed with a Danish agent on a lot of goods and we decided to celebrate with a nice dinner in the evening. But agent Ejstrup also knew our eating habits – and he tried to exploit this knowledge. He suggested that we doubled the order if he could serve our favourite dish – ”mock turtle with boiled eggs” - at a German restaurant in the perfect manner. Of course I was insulted that he exploited our culinary weaknesses in such a cunning way. However, on the other hand I couldn’t turn down such a feast after several days of eating German ”sauerkraut” and the like. So I accepted it – but only on the condition that everything would be absolutely perfect. Søren Ejstrup was a sly fox, so he had brought along the ready-made dish from Denmark, where he had previously served it 82 I HAVE A GOOD OFFER to us and therefore knew that it tasted just the way we wanted it. So he had in fact prepared a double order just ready to be signed once we were full. Now he only needed the restaurant to heat up the mock turtle, boil some eggs, slice them lengthwise and use them as garnish. The taste was perfect and Søren had the contract ready to be signed. However, I’m not fooled that easily – orders have to be won through normal business abilities – and not by using such dirty tricks. So I told him that the dinner was almost perfect, but there was one serious error so I could not double the order… The eggs had been sliced crosswise instead of lengthwise! That happened about 15 years ago and we still have mock turtle at the purchasing fair in Frankfurt. Ever since then the eggs have been sliced in the right way. However, one year it went all wrong. Søren wanted to do extra well and so he asked the chef to put plenty of sherry in the mock turtle. However, due to language problems the chef misunderstood the order and so he put in plenty of chilli instead… It cost us some extra bottles of red wine to wash it down… and plenty of water. Even in China they know our eating habits, so we rarely need to bring along our own ”larder”. However, we do bring a little – just in case. For example I remember once when we went to Indonesia, and a Danish agent who lived there with his family invited us home to visit him. Åge chose to play it safe and ate 3 large slices of rye bread with cold cuts before we left. He ended up regretting that. In honour of the occasion, the lady of the house had defrosted some nice Danish beef and had made a lovely goulash with gravy, beetroots and mashed potatoes. Our favourite dish – especially after having spent 10 days in the Far East. She asked Åge if he didn’t like her Danish food, and Åge said something about an upset stomach… However, the rest of us ate until we were totally full up. Where Else to Sell Condoms if not in a Bedding Shop? It was also in Indonesia that we went to visit a factory that made various rubber products – such as rug stops and oilcloth. However, they also made condoms. Being hospitable, they gave us a present when we left. The present was a selection of some of their own products – and among these was a carton of condoms. The next time we had an advertising meeting, we wanted to take the mickey out of our advertising manager. We were in the middle of showing products that were going to be in the next advertising paper. As if it were the most natural thing in the world, we also put the carton with the condoms on the table. Carl Erik studied it closely after which his face went bright red and he told us that we had purchased many idiotic things over the years, but this was the worst… We didn’t understand that… Who better to sell condoms than a bedding shop? We had a long discussion before he gave in – with the remark that perhaps it was okay, but at least we didn’t have to put it next to the 83 HELLO MY NAME IS LARS LARSEN My advertising manager Carl Erik Stubkier did not want to sell just anything till, as he had seen it in some supermarkets. There was no reason to market them. However, we purchasing agents insisted on putting them in our next paper – there was no point in buying new products if we didn’t tell our clients about them… However, he would not accept putting them on the front page… He even had a picture taken and composed a text, before we let him know that we were taking the mickey out of him… The Old Spirit and the Crazy Ideas On the whole, both purchasing and marketing was done in a more primitive way – back then in the eighties. When we made up an advertising paper of 4-8 pages, there were 8 to 10 of us who met early in the morning at the table tennis table in the basement and started showing our new exciting purchases. We spent hours debating what to put in it – and how much it could cost to make us a bit cheaper than our competitors. Last, but not least – what should go on the front page. Sometimes a sales person also showed up with a particularly good offer, which he had just found and thought would be a good offer for the paper… Often we finished off with a 84 I HAVE A GOOD OFFER game or two of billiards, and by sunrise we were ready to sleep for 2-3 hours before duty called again. Nowadays we make up the same paper in a couple of hours – everything has been plotted into a computer beforehand. Quality, colour, sizes, quantities, cost price, sales price, arrival date and even anticipated sales. The marketing department has long designed the look of the paper. Everything has been streamlined down to the smallest detail, which is certainly also necessary considering the size of the company. However, some of us ”old-timers” back from the 80’s do miss the table tennis and billiard table… We came up with a lot of crazy ideas in that smoky basement – and I got to test each employee’s strengths and weaknesses. Perhaps this was also where I decided that Hans Henrik Kjølby should be my future financial manager. In any case he showed a great ability for keeping track of the score at the billiard table… Åge Nielsen and Ole Nielsen demonstrated skills that would be right for our shops in Germany and Austria. Carl Erik Stubkier’s skills were suitable for the job as an advertising manager. Hans Jørgen Jensen was so much in control of my goods that he became a warehouse manager, and Poul Rysgård was a good solid grocer from Struer so I put him in charge of all the shops. The people at the tennis table were certainly people who wanted to get on – even my son Jacob took part in his own way… The wonderful thing about these people is that most of them are still making their mark on the company. Today this old spirit and knowledge has been thoroughly mixed with new experts within each area. I am convinced that this mixture is our strength today and also will be in the future. We have also experienced incredible changes within the area of purchasing. Right from the towels that I thought were purchased individually but turned out to come in dozens. Nowadays the purchasing department has about 50 employees who are each specialists in their area. In Germany, Fritze was my first secretary staff know all about German and Austrian tastes – and in Denmark we have people from Norway, Sweden, Finland, Poland, the Czech Republic and of course Danes. They each influence the needs of each country – and in this way we accommodate the differences that will always exist from one country to another. But we maintain our purchasing strength. Back in the eighties there was only Åge Nielsen and I, who had to be managing directors for Germany and Denmark respectively at the same time. However, eventually we splashed 85 HELLO MY NAME IS LARS LARSEN out and hired a secretary – and one we agreed had to be perfect for the job as she waited on us at the local restaurant and was always smiling and accommodating. Furthermore, Fritze – that is her name – even spoke both English and some German and could also type rather fast, – so we did not think twice about it. It worked well for several years. Rysse, the Blob and the Others In 1983 I was looking for staff in Jutland who had the courage to move to Zealand to build up JYSK. One Friday morning I was paid a visit by a true Jutlander from Struer - Poul Rysgård. He had just closed down his grocer’s shop. He needed to start on something new and thought the advertisement sounded interesting. I also thought he sounded OK, so I hired him on the spot. ”When do I start?” he asked. ”Monday morning” I said. ”Well, okay – then I’ll have to send for my wife and the children later.” And he kept on working for me in Zealand for the next 20 years. Poul Rysgård was a quick learner and was happy to work himself to the bone 18 hours a day. Just what I needed, and within a few months he advanced to become a manager in branch 12 in Valby – by far our biggest shop back then. When I brought Åge Nielsen back to Silkeborg, Poul took over the job of regional manager for Zealand. He hired many Jutlanders to work for him. Not because he did not like Zealanders, but mainly because it turned out that once a Jutlander had decided to move to the capital, he/ she was nearly always a highly reliable employee who stayed in the job - often for many years. However, Zealanders did that too. One of them was a young 15year old kid named Claus Rasmussen. His job was to carry goods to the shop from the basement and fill up while the goods were being hoarded by the customers. Sometimes Poul did not think he did it fast enough. Then he gave the kid a dressing-down in true Western Jutland style. However, the Copenhagen kid would not stand for it. So he put one on Claus Rasmussen – also known as ”the Blob”! his boss Poul and told him that if Poul 86 I HAVE A GOOD OFFER was not happy, he could do it himself! He was very close to getting fired, but Poul forgave him and later took him on as an apprentice. They ended up being good work colleagues for the next 16 year. Claus served his apprenticeship and promptly got a job as a manager and later ended up in Silkeborg as a purchasing manager. In the course of time Claus became a big heavy man - perhaps a bit too chubby. In any case he was always called ”Klumpen” (the Blob). My purchasing director Jørn Juul Petersen told him that if Klumpen had been his beach ball, he would not have blown him up as much! However, the kid from Vesterbro kept a stiff upper lip and worked hard for me for many years, until he started his own company a few years ago. Today he sells me goods. Poul Rysgård was always only called ”Rysse” and that was okay with him, even though everything certainly was not always okay. I frequently had heated discussions with him and often they ended with him quitting his job. However, he always came to work the next day. I will never forget the time he quit for the 21st time and left the meeting at my place in the middle of the night. Shortly later he came back and asked me to move my car as he was unable to get his own car out . ”Your car” I said -”But Rysse – you don’t have a car anymore. You just quit your job and lost all rights to your company car. If you start walking now, how long will it take you to get to Copenhagen?” Then we had a laugh and the meeting continued. After some years as a regional manager, he was promoted to the position of country manager – first for Denmark and, later, for Norway, Sweden and Finland. He even started up Poland for me. Paul was a very “international” inhabitant of Western Jutland, who had just about the same level of language skills as Åge Neilsen – which was not a lot. The Biker Gang Hard on His Heels However, regardless of language problems Rysse and I have had many interesting experiences together. For example one of Rysse’s first tasks as a regional manager was to get the Kalundborg shop ready for its opening. That went well. Even outside the shop things were tidied up, and in order to make the parking spaces look really nice, Rysse ordered a load of fine shingle and levelled it nicely. It looked nice and it also helped us keep the customers! In several places the layer of shingle was so deep that the cars sank so that they could not get away. Fortunately, the shop was located right next to the recovery company Falck. It was not only JYSK that had a good turnover; so had our neighbour. The next day the fine shingle was replaced with normal gravel. And then there was the opening in Nakskov when we went out to celebrate the successful opening with a nice dinner as usual. Rysse was not particular about his food, but he was incredibly careful when it came to money. So after I had given people the menus and told them 87 HELLO MY NAME IS LARS LARSEN that they could choose whatever they liked – no matter what price - Rysse put his foot down. He gathered the menus together with the words: ”Larsen, Åge and I want the meat balls with potato salad, so let’s just all have it for the sake of convenience!” It was the cheapest dish on the menu, so it turned out to be a cheap dinner! Those who had dreamed of a big juicy steak did not dare protest. Everybody was full up and they had ”almost” made their own choice from the fancy menu. But at least it meant that there was enough money for a drink at the bar afterwards. After some drinks Rysse knocked over a biker gang member’s drink by accident, but he would not buy him another drink. That was a very stupid decision. Rysse ran away with the biker gang members in close pursuit, but he was sufficiently clever not to lead them to the shop. He hid somewhere else and did not come back until the next morning. The rest of us got to know Nakskov ”by night” as we were looking for him all over town. For Rysse’s birthday, or perhaps it was his anniversary, we gave him a number plate with his pet name. As fate would have, shortly afterwards he was stopped by the police for speeding. When the policemen came to his car, one of them said: ”Well Rysse, you were in a hurry, were you not?”, to which Rysse answered: ”Yes, but where have we met?” In Norway Rysse had big problems with one of his first managers. Rysse ended up firing him and asked him to leave the shop immediately but the Norwegian manager would not hear of it. He refused to leave and in the end Rysse had to surrender and call me for help. ”What should I do? I have tried to kick him out of the shop, but he keeps on coming back again!” After listening to his problems, I suggested that he had a talk with our Norwegian solicitor. He told Rysse that employees in Norway were specially protected after turning 50. You could not even buy your way out of it. I do not know if the manager lasted longer at JYSK than Rysse – but I know that it was a great strain on Rysse. Rysse Forgot to Pay for Breakfast And then there’s the story about the time when we had all been invited to the 10-year anniversary party for my managing director in Germany, Åge Nielsen. It was a great party and it continued until the small hours. I had ”of course” gone home to sleep. However, Rysse, my wife Kris and a few of the regional managers continued partying. The party took place quite close to the tourist attraction the ”Himmelbjerget”, so Rysse suggested to the others to go there and see the beautiful scenery that not all of them had seen. So they did. Everybody was enthusiastic. The ”Hotel Himmelbjerget” is located nearby, so Rysse invited people there for breakfast. However, as fate would have it, the hotel turned them down as they only had enough bread for guests who spent the night there. Rysse went crazy and told them off while the high-spirited party had a cold morning beer. When Rysse later went to the bathroom, 88 I HAVE A GOOD OFFER the waitress jubilantly told them that she had got hold of some extra bread. One of the regional managers then had the brilliant idea of taking the mickey out of Rysse - and they hatched a plan. When Rysse came back, John told him that he had solved the problem with breakfast and Rysse even praised him for his initiative. They had breakfast and watched the sunrise until the paddle steamer ”Hjejlen” passed by and took them on a lovely sail back to Silkeborg. However, the three men never noticed that. The boat had hardly left land before they were wide asleep. Meanwhile Kris was walking about in her evening gown trying to explain to the other passengers, who were all dressed in hiking clothes and wearing rucksacks, why they suddenly had sleepy men in dinner jackets aboard. Naturally, they all Poul ”Rysse” Rysgård ended up at our place. Kris woke me up – a real Jutlander from Struer, at the opening in the USA and told me that they were taking the mickey out of Rysse. She asked me to play along and of course I accepted it. Kris then told me that during breakfast Rysse had asked how John had persuaded the waitress to serve them breakfast after all. ”Piece of cake,” John said. “I simply booked a couple of rooms. Then they could not turn us down any longer. Brilliant – don’t you think so, Rysse?” But as previously mentioned Rysse did not throw his money about. So he definitely did not think it was brilliant and explained to John in no uncertain terms that he would have to pay for it himself. And so he did – Rysse thought - but of course John had never booked any rooms! When I entered the living room where Rysse and the others were, I acted as if I was furious and really gave it to them and shouted that this was no way to behave. I explained to Rysse that I had received a call from the hotel telling me that some of my employees had skipped paying the bill for 2 nights and they had asked whether this was common practice at JYSK. In fact, they also knew that my wife had been part of the party. No matter how lively your imagination may be, I can assure you that Rysse’s reaction was 10 times worse…!! As fate would have it John and Rysse were driving back to Zealand together - but they had 89 HELLO MY NAME IS LARS LARSEN to make a stop at the hotel first! Rysse demanded that John paid the bill and gave them an unreserved apology because they had ”forgotten” to pay for the rooms. John kept the joke going until the very minute when they were taking the turn off to the hotel! John later told me that Rysse had been fairly nice about it. After all, he was more than happy that the joke was on him – so that the reputation of the company and I would not be stained. It was also Rysse who composed our theme song, which is a paraphrasing of a wellknown Danish song: ”We aren’t like the others – we’re a law unto ourselves - by the bedside we will wander– until the day we have to say farewell.” And this he did in 2002 – he bid farewell to JYSK and me. Of course I thought that he would come back to work the next day as usual. But no - the 22nd time he was serious about it. I Thought My Final Hour Was Near As previously mentioned, the purchasing job involved a lot of travelling – but it also gave me unforgettable experiences – both good ones and bad ones. Of the bad ones, I remember my travels to Pakistan. For various reasons that I will not get into here, there have always been riots in Pakistan. The first time I went to Karachi, I was met by customs officers and soldiers armed with machine guns who pushed people through the system – while they were screaming and shouting at us. A welcome I certainly did not enjoy. But this was only the beginning. From the top of the Sheraton hotel we could watch riots in the streets, where people were killed in an inferno of shootings between police, soldiers and various rebels. Often a curfew would be imposed, and when we finally got the chance to visit factories, negotiations were often interrupted by local disturbances and we had to be hastily transported back to the hotel. I will never forget one of these trips when our car was surrounded by thousands of agitated people, who were throwing bricks and shooting into the air and trying to overturn the car. I have to admit that I thought that my final hour was near. However, we miraculously made it through the crowd and made it safely back to the hotel. After that we took no chances and stayed inside the walls of the Sheraton hotel. We then told our suppliers than if they wanted to do business with us, they had to meet us at the hotel with their samples – and this they did. We got a lot of business done in the hotel’s atrium by the swimming pool – closely guarded by guards armed with machine guns. I have to admit that it took a couple of years before I was ready for another business trip to Pakistan. But there was no way getting round it. We had to go there again and again. They did have good quality products at cheap prices… There is no end to what we’ll do for our customers… Or maybe it’s for the company? I also remember another time when we arrived in the middle of the night and took a taxi to the hotel. Luckily, there was not much traffic, because the taxi driver drove like a maniac 90 I HAVE A GOOD OFFER and did not stop at the traffic lights. In fact, he did not stop for anything before reaching the hotel. Once there, he jumped out of the car and knelt down to thank Allah for getting us there alive… Afterwards he explained why he had been driving in such a crazy manner and hadn’t stopped at red lights… ”If I hadn’t done that, we would most certainly have been attacked by robbers – or even killed,” he proudly explained. We paid him a bit extra for his courage. After that we were able to check in at the hotel and get a bit of sleep before the first factory visit of the day. This was also when the war between Iran and Iraq raged. On one of our flights to Pakistan we flew across the area and actually witnessed a major battle, where the sky was lit up like on bonfire night – only with the difference that we saw it all from above. In those first few years we did not venture far into Pakistan – in fact we stayed in Karachi and the surrounding area. However, later we became more adventurous and took a plane to Lahore in northern Pakistan – close to the border with Afghanistan. Many of the biggest, best and cheapest textile factories were located here. So there was no getting round it! Getting there went well, but for some reason there were no planes going back when we wanted to fly back after a couple of days of work. So one of the factories offered to drive us to another airport a couple of hundred kilometres away. About 4 hours’ drive on bumpy unpaved roads. After driving a while, I looked out of a small rear window and saw that the car had a small platform. There were a couple of men with big machine guns placed here. They were there to protect us from highwaymen and other ”folk”. They certainly made sure they took good care of us… They did not want to lose a good customer… Asia Is Decades Ahead of the ”Long-noses” But except for all these ”minor problems”, both Pakistan and India have delivered countless beautiful and cheap soft furnishings to JYSK. I have got to know many skilful textile producers over the years. Most Europeans think that Europe is ”the centre of the world” and that all other parts of the world are less developed and can only make cheap junk. However, this is not the case at all – on the contrary. Over the past 25 years I have witnessed the 91 HELLO MY NAME IS LARS LARSEN industrial development in these countries – whether it is Pakistan, Indonesia, India, Thailand, Bangladesh, Taiwan, China, Vietnam, Egypt, or countries on the other side of the world such as Brazil. In many areas they are decades ahead of Europe technologically. I will never forget once where I visited my good friend Bashir in Pakistan and we got talking about a Danish textile factory. It was, in fact, one of the biggest factories in Scandinavia and was about to go bankrupt. I asked him whether he would be interested in buying it, so that he could get some European know-how and machinery at his factory. He then gave me a strange look and told me that it was no good to him. He had, however, considered buying it and moving some of the machinery to his factory… He was in fact contemplating setting up a textile museum so that his employees and customers could see how primitively soft furnishings were once made. He was actually absolutely right. Each day he produced what Nordisk Textil produced in a year – and this was with machinery that, in technological terms, was above the European average. As previously mentioned, I have always travelled the world to find the best deals – not with all products, but at first particularly in bed linen, towels and soft furnishings. At first Portugal – then India and Pakistan and in recent years also China and Vietnam. I started in China around 1990 when the country was opened up to Westerners, or ”long-noses”, as the Chinese called us. I will never forget the first time Åge and I went to China – that was some test. At the airports not a single word was in English – everything was written in Chinese characters. Moreover, nobody spoke any English. The first time we flew from Beijing to Canton, we nearly ended up at a mysterious place that I can’t even pronounce. We were taken to a plane at random, but fate had mercy on us as the captain spoke a bit of English and sent us back to the departure hall. We found the right plane at the very last moment. At the factories and at the trade fairs they did not speak English either, but hired young students to translate. They were not too impressive, and the interpretation was all wrong. Even though the goods were cheap, we often did not receive the goods we had ordered. But then we had to sell what we got… It was cheap and we were able to sell it. We just could not turn it down, so if anybody noticed that for a while during the 90s, JYSK looked more like a mixed general store rather than a specialist bedding and soft furnishings shop, they are not totally wrong. However, we have remedied this so that today we are once again a good old specialist. But we have kept the best elements of the Chinese gift items. Nowadays the Chinese can deliver just about everything – and a bit cheaper than the rest of the world… and of a good quality. 92 I HAVE A GOOD OFFER We Have to Take Care of the Environment instead of Just Talking about It Today we buy almost all our wooden garden furniture in Vietnam, and we have taught them that the wood needs to be FSC-certified. That means that the rain forests must be preserved for posterity so that nature, the inhabitants and threatened species can achieve optimum conditions for living and making a living from the forests. JYSK was in fact the pioneer of a brand new international organisation named TFT, which stands for Tropical Forest Trust. The idea behind this organisation was to act instead of just talking about things. As a member, you pay an amount depending on how much wood you use. The money is then spent on replanting, training and securing threatened species. We have now arranged cooperation between woodland owners, sawmills, factories and the environmental organisations as well as the local communities to protect environmental values. At the same time we have also created an opportunity to do business in a sustainable way. Acting instead of just talking has become a huge success, which has meant that colleagues from all over the world now play an active part in TFT’s work. This is, for example, the case with B&Q and Marks & Spencer from England, Castorama from France and Kwantum from Holland. Several American chains are also poised to do what politicians and environmental organisations have been talking about, but have never succeeded in doing. That is why we went to London in 2001 to be presented with the ”Gift to the earth award” from HRH HRH Prince Charles Prince Charles who is the patron of WWF – the World Wide Fund for at the presentation of the Nature. Even though I purchase a lot from the rest of the world, I have ”Gift to the Earth Award”. in fact always tried to do as much of my purchasing as possible in Denmark. Not just for nostalgic reasons, but mainly because we Danes are among the best in the world in several fields, and so I don’t see any reason why I should not buy the goods here. They are easier to control and transport is cheaper. I don’t mean towels and the like, as the last towel factory in Denmark actually closed down before I even started up. No, I’m talking about furniture, mattresses and quilts, which in fact make up the vast majority of our turnover and which Denmark is a ”world champion” in producing. With the constant technological development it is possible to produce these goods here in Denmark at competitive prices – and even make a huge export. In 2003 I was awarded ”Dansk Arbejdes FSC-wood 93 HELLO MY NAME IS LARS LARSEN Initiativpris”, the Danish Industrial Prize for Initiative, for our DKK billion exports. I am rather proud of that as it is generally claimed that there are too many costs connected with production in Denmark to have any industrial production. This is not the case. All we need to do in concentrate on what we do best – and accept the technological development. We have done that in the area of furniture, mattresses and quilts. However, we have always respected that the Germans must also be able to buy German products – the Swedes, Swedish products – the Norwegians, Norwegian products – the Finns, Finnish products – the Poles, Polish products – the Czechs, Czech products etc. But in all countries we also want to offer the possibility to buy Danish products. JYSK is 100% Danish and will remain so, and the assortment in the various countries should reflect that. Growing Pains In 1988 JYSK’s purchasing department first saw the light of day. We had outgrown the basement and rented fine new premises – only a few hundred metres from there. We started out with 200 m2 which quickly turned into 400 – and in 1996 we had to move to other premises in Silkeborg of 600 m2, which was later expanded to 800 m2. Our economy and marketing department had the same problems in Århus. Here they started with 100 m2 – then 300 – 600 – 900. In Odense we had built up the wholesale and franchise department. In Copenhagen we also had various offices Our new head office in Brabrand at Århus for regional managers as well as personnel and shop management. Everything was growing and for various reasons we were branched off all over Denmark. This was not rational and when we had various meetings – and we often did – somebody always needed to travel to get there. This takes time and time is money. Something needed to be done about this. In the late 90s I took the drastic decision to gather everybody in one building. Århus was Dänisches Bettenlager’s head office in Germany a natural choice as most people were 94 I HAVE A GOOD OFFER working there anyway. To avoid making too much of an impact on everybody who worked in Silkeborg – including me – I chose a location in Brabrand close to a new motorway to Silkeborg. For the other employees, suppliers etc. this location was also ideal as this is where all motorways meet. Then all we needed to do was to start building, but also it needed to be a project that was adapted for future requirements so there would also be room for expansion. that’s how it is. In 2002 we moved into our new domicile of no less than 5000 m2 with room for about 200 employees. Today there are about 150, but there also needs to be room for new initiatives. To be on the safe side, I have also bought land for further extension when it becomes necessary – and there is no doubt it will… With an almost parallel development, we have built a corresponding head office in Germany, and for practical reasons it is located in Flensburg. That means it’s not too far away from me – and the Danes who work there, are not far away from home when they’re feeling homesick. All Danish suppliers also have the shortest possible way to give us a good deal! In Brabrand and Flensburg we also have a specialised department that our normal customers do not really know about. This is our wholesale department that has a double figure DKK million turnover each year. This department sells in large quantities to hotels, holiday centres, relief organisations, public institutions, schools, hospitals, residential homes, nursery schools etc. as well as to anybody else who needs large quantities. JYSK Engros (Wholesale) is a specialist in delivering large quantities almost on a daily basis– and at even cheaper prices. Unfortunately, for many years our biggest customers have been the relief organisations that acutely need bedding and furniture etc., e.g. for deliveries to refugee camps in cooperation with Danish Red Cross and many other organisations. Furniture on the Internet In 2001 I bought the controlling interest in a newly started furniture company named ”Bolia.com”. This was a company that had been started up by some young furniture specialists who had the brilliant idea of combining the outstanding qualities of the Internet with those of a shop. That means you can see all the furniture on the Internet or go to the shop and see and feel the product before you order it – either on the Internet or at the shop. The furniture is ordered directly from the factory and is delivered only a few weeks later – all shiny and new – and a bit cheaper than others, as there are no costs for a warehouse. Part of the idea is also to locate the shops in the city centre, so that it’s easy to pop into the shop and assure yourself of the quality – and, if you like, you can then order the furniture at home while you’re having your evening coffee. Bolia have their very own design and have progressed further than the traditional furniture shops. Today we can be found in Århus, Copenhagen, Gothenburg, Stockholm, Oslo, Stavanger, Trondheim and Hamburg. In a few years time we will be found in most major cities in Europe – and will 95 HELLO MY NAME IS LARS LARSEN have a turnover that will be in billions. In 2003 I set up a new company called ”Interior Direct”, working alongside one of our biggest furniture suppliers. This company offers complete furnishing solutions for hotels and holiday centres all over Europe. I believe that this new company will grow very big and strong within a matter of a few years. It has every chance of doing so, as JYSK is already among the cheapest in Europe for quilts, pillows, mattresses, beds, bed linen, towels and furniture. ”Interior Direct” works out suggestions for design and furnishings along with the customer, after which we use JYSK’s purchasing strength to conjure up the best price. Dont Stand Up to Say Hello if You Aren’t Wearing any Trousers In 1982 Kris and I chose to move, as Aalborg’s location was not very central when you had shops all over the country. I simply wasted too much time on the road, and I thought I could use this time much better. Silkeborg was the natural choice as it is located almost right in the middle of Denmark – and we had many lovely memories from our youth in this lovely city. We found the perfect house, which had an extra big basement where I could fit in my purchasing office – and where there was also room for my desks – in the shape of billiards and table tennis - as well as extra space for various samples. During the first 5 years of the company’s history I sat alone in the office, but as JYSK grew big and strong I realised that I needed some assistance. My first assistant was Åge Nielsen, who was put in charge of Germany. So he was brought ”back home” from Zealand and settled down in Silkeborg. Then we could work on starting up in Germany together, and he could help me with the purchasing – a good, convenient solution for both of us. When we later started selling furniture, I moved my first Copenhagen employee Mads Jul over to this job. He kept on living in Zealand, but worked in Jutland a lot of the time, as this is where most of the furniture factories are located. So he often spent the night at our ”office” in the basement in Silkeborg. As previously mentioned, we were rather new to the furniture industry and, for that reason, also fairly unknown, so we invited some furniture factories to visit us in the basement to tell them about our new initiatives. Nowadays, JYSK can buy furniture from pretty much anyone we want to. However, things were different back then. We needed to be ”approved” before they would ”let us” do any business with them. 96 I HAVE A GOOD OFFER As previously mentioned, Mads Jul required quite a lot of sleep. As often before, we had been working until late at night and had completely forgotten that we had an appointment with a furniture manufacturer the next morning. This was when we realised that people in the furniture trade get up earlier than a tired quilt dealer. Mads slept in the ”office” and I slept in my own bed. My wife Kris heard the doorbell around seven, opened the door and asked the man to wait for a moment. After that she rushed in to wake me up and I ran down to the basement to wake up Mads who jumped out of bed and started getting dressed… However, he only just had time to button the shirt before he heard the furniture manufacturer on his way down to the basement. Mads rushed behind the desk and sat down on the office chair, grabbed the telephone and looked very active, pretending that he had already been working for several hours. However, the trouble started when the manufacturer wanted to shake hands with Mads and Mads, being a polite person, got up – and had forgotten all about his missing trousers… and was just wearing his shirt and underpants… For some reason we never got to do any business with this nice Western Jutland manufacturer… The Fisherman Became a Quilt Dealer in the Faroe Islands In 1983 a Dane who was living on Greenland asked me if he could open a Jysk Sengetøjslager in Greenland. Well, he could as long as he could pay for the goods and would treat our company name with respect. He accepted both terms– and a few more - and this was the beginning of our franchise department. His name is Svend Junge and he ran Jysk Sengetøjslager in Nuuk for many years until he sold it to KNI – formerly the Kongelige Grønlandske Handel. They opened another couple of shops and also sent goods to the local grocers in the settlements. Today the shops are owned by DAGROFA, which is the wholesale society of the Danish grocers. The following year, i.e. in 1984, a Mr Poul Jacobsen from the Faroe Islands came to see me. He had various shops in the Faroe Islands and now he also wanted to run Jysk Sengetøjslager on the wind-swept rocky islands. As I did not want to open shops there myself anyway, I made a similar deal as for Greenland. These so-called franchise deals simply meant that they were given the rights to use the name Jysk Sengetøjslager Jákup Jakobsen started in the Faroe Islands – since then he has made it to 6 countries and buy the goods from us. 97 HELLO MY NAME IS LARS LARSEN Poul Jacobsen had brought his promising son, Jákup, along as the plan was for him to run the shop. I have to admit that I was somewhat worried as his son had previously been a fisherman on a trawler – which was in fact one of the biggest in the world, but what did he know about furnishings? But fair enough, that was not my problem – as long as they paid for the goods and did not neglect my company, and it quickly turned out that I had nothing to fear. He opened a huge shop in Thorshavn and the Faroese loved Jysk Sengetøjslager. After 3 days the shop had to close… They had no more goods – everything was sold out. So they had to put up a sign on the door saying that they would open again when the next ship from Denmark arrived. The kid did incredibly well. He sold good worth many millions a year in the small community of only 50,000 inhabitants, and after a couple of tremendous years he asked me if he could open shops in Iceland. So he did – equally successfully. He managed to fit in 4 shops in a country with 250,000 inhabitants. Rather impressive considering that Iceland also had a huge IDÉ Møbler, Daells Varehus, IKEA and a host of other competitors. All 4 JYSK shops still exist today – and sell goods to a value far in excess of DKK 100 million. When Jákup and I celebrated the tenth anniversary of our working together, my wife Kris and I went there for a big party. Jákup had often talked about wanting to open more shops, 98 I HAVE A GOOD OFFER but he could not fit in any more. What do you give a man like him for his anniversary… I gave him Canada… So he could not complain about a lack of space anymore. After a year of preparations he then opened Jysk Linen’n Furniture in Vancouver, and today he has 14 shops in Canada as well as several shops in Estonia, Latvia and Lithuania. I think the conclusion is that the young fisherman was up to the job – and he has far from finished. New shops keep on coming along almost every month. In a couple of years I believe he will reach 50 shops. Then we’ll have to see whether I should give him Russia – or the United States…? One thing is certain – he wants to get on and he wants to do it fast. I think both he and I are moving fast. However, one day Jákup gave me a present that hinted that we ought to move faster at JYSK. The present was a book about the world’s biggest chain of DIY centres, the American ”HOME DEPOT”, which has a turnover of about DKK 500 billion, whereas JYSK has ”only” reached nearly DKK 10 billion – and I am in fact very proud of that. ”Well,” said Jákup. ”It is impressive, but they started in 1979 just like JYSK!” While we were opening shops in Greenland and in the Faroe Islands, we also kept on opening new shops in Denmark. A new shop was opened at least once a month – and often it was 2 or 3 shops. We opened shops from Herning and Ringkøbing in the west to Rønne in Bornholm in Greenland shop in luxuriant surroundings 99 HELLO MY NAME IS LARS LARSEN the east. In between that we also fitted in a shop in my native area. In order to make sure of a sufficient customers base – and not locate it right next to my old master – I chose to locate it in Vildsund – a small town with a couple of hundred inhabitants. Rent was cheap here and I was certain that I could attract customers from all of the Thy and Mors areas. This turned out to be the case and after several expansions, I chose to build a brand new shop. 1200 m2 in the middle of nowhere – people thought I had gone crazy. But I knew my native area – and their mentality. In this part of the country people are willing to drive a long way for a good offer. The Name Alone Is Not Enough This success was followed later by a similar location in Aggersund – between Farsø – Løgstør and Fjerritslev. All towns that were too small for a shop. But by locating the shop in the countryside – between those towns – we suddenly had the customer basis. In Himmerland and Hanherred people are also willing to drive a long way for a good offer. After Vildsund which was no. 37, it was time for Randers – and we needed to settle a score here. A few months earlier a competitor had opened a ”Jysk Sengetøjsudsalg”, with a shop front in our blue and white colours. We immediately took out an injunction, as we were sure that it was illegal to copy us in such a manner. We later won the case and ”the enemy” had to change their name – and later ended up closing down. We had many of these ”wars”. Several others had their go: ”Dansk Sengetøjslager”, even ”Sjællands Sengetøjslager” – and the very imaginative ones tried ”Sengetøjslageret”. What they all had in common was thinking that the name alone would mean success. However, they realised that it was not enough. It took a bit more, e.g. a good bargain. All the plagiarists have now closed. Now it is not the name that is fought over, but who has the best deals, and that’s the way it ought to be. The Specialist Shops Show How Cheap JYSK Is During the first years our biggest competitors were the specialist bedding, furniture and curtains shops. This is no longer the case. Today I appreciate these types of shops. They help show consumers just how cheap JYSK really is. Today our biggest competitors are, in fact, discount shops and DIY centres due to slide of the trades and the expansion of our assortment, among other things with various gift items and, not least, garden furniture. These major expansions of the assortment have never taken place at the expense of our original assortment – on the contrary, the assortment of quilts, pillows, mattresses, bed linen, towels etc. has constantly been improved and expanded with an even bigger assortment. 100 I HAVE A GOOD OFFER The bigger assortment came along as the shops became bigger – either by extending them or by moving them. During the first years of our history, a Jysk Sengetøjslager shop had an average size of 400 m2. Today they are 1200 m2 and so we are able to fit in room furniture and garden furniture. These measures were taken in order to achieve a more consistent turnover month by month. Our original assortment sold best in the cold winter months whereas business was rather limited in the spring and summer. Being experienced in curtains, I knew that they sold well in the spring and in the autumn. Similarly, room furniture sells best in the autumn and in the spring – and a lot of Christmas decorations, hardware and gift items became part of the assortment to supplement and expand Christmas trade. Now I only needed the summer months to reach the same level as the rest of the year, and garden furniture was the natural choice. This has also turned out to be one of our biggest successes. It only took us a few years to conquer 35% of this market. Now we had created an assortment that made optimal use of our premises as well as other fixed costs all year round. This optimisation of the assortment over the past 10 years has unconditionally created the basis for JYSK’s success in Europe. Of course, it has also helped that, each time a new shop is opened, the purchasing volume increases. So we are able to buy the goods cheaper and sell them cheaper and thereby continuously make JYSK even stronger compared to our competitors. Many people think that I am suffering from delusions of grandeur since I keep on opening shops (and maybe I do!). However, my competitors also keep on growing, so I am fully convinced that it’s a necessity in tomorrow’s business world. Several international giants have expressed an interest in us, but JYSK is not for sale and hopefully never will be. Knocked Out at a Football Game In between opening all the new shops we also found time for some pleasure, such as in 1983 when we went to Wembley to see the qualifying game between Denmark and England. Denmark had to win to qualify for Euro 1984. Allan Simonsen scored the winning goal from a penalty kick… We were about 50 colleagues and suppliers who went there together. An experience for life. Everybody was dressed in the Danish colours of red and white and of course we brought along our own theme song, a good old classic – slightly paraphrased: ””We aren’t like the others – we’re a law unto ourselves - by the bedside we will wander–…” A song that has followed us ever since. My wife Kris did not, and still does not, appreciate football, but she wanted to come along. She was sure that she could find something to do while we went to Wembley. However, I managed to talk her into coming along – not because of the football, but because of the atmosphere. She has never regretted that, although she witnessed her beloved husband being knocked out. 101 HELLO MY NAME IS LARS LARSEN Dressed in red and white It was on the way to the stadium that a bunch of hooligans saw red. All the red and white colours were simply too much for them. Like a bolt from the blue I was suddenly hit by a hooligan, and there I was on the ground all groggy. I did get up again and made it through the rest of the match – but without my hat and scarf. Kris thought it would be wisest for me to stay anonymous. It was also at Wembley that I considered changing career, namely to start selling beer instead of quilts. At half time I went to buy a tray with 12 beers. It took me a very long time. In the end I succeeded in buying them, but by then the match had long since started again. On my way in with the beer I saw a lot of people who had given up queuing, and when they saw me with the tray full of beer they thought that I was in fact selling beer. For the fun of it I said that they cost 5 pounds (I had paid 1 pound). Some people thought it was too expensive while others just paid the money and were happy to avoid the long queue. When I got to my seat with beer for the lads, there were only 4 beers left. I had sold 8 beers at a price of 5 pounds each! Certainly more profitable than selling quilts. Cost price 1 pound – selling price 5 pounds – meaning that I made a profit of 400%. You can’t make that kind of profit selling duvets! However, my friends thought that I was a bit tight-fisted: 4 beers for 12 people! 102 I HAVE A GOOD OFFER If entering the stadium was dangerous, it was in fact a piece of cake compared to leaving. With a fresh victory in our hand and England knocked out of Euro 1984, I suddenly appreciated my neutral colours even more. In the end we reached our bus again – with a little help from the English Bobbies. But this was not the end of it – groups of hooligans tried to overturn the bus. We escaped from Wembley unharmed, but instead of it being one big party the atmosphere was gloomy – all night and the next morning. It was not until the ship cast off with several thousands of Danish red and white football fans aboard that the atmosphere changed. The whole trip home was one big party where we had to get up and sing the Danish national anthem, ”Der er et yndigt land”, at least 20 times. Everybody present remembers it as if it was yesterday. Arrangements liked that helped create a spirit of solidarity at JYSK – and team spirit. Not just among the employees, but also among the suppliers. This trip was followed by Euro 1988 in Germany and even a trip to Euro 1992 in Gothenburg where Denmark sensationally became the European champions – with a smashing 2-0 victory over Germany in the final. This was also some experience. We were partying in Gothenburg all night, and I will never forget the confusion that arose between the languages. For example, we went to a pub and ordered beer. The waiter said grattis. In Danish gratis means free, and even though the Swedes were supporting Denmark, we had never imagined that they would serve free beer at the pubs. They didn’t. Grattis means congratulations in Swedish… However, that did not stop the party. Going Abroad In 1983 we reached 48 shops. At the same time, I started planning the first shops in Germany. There were major challenges associated with such an attempt. We had to find a name, as Jysk Sengetøjslager would probably not work. The Germans I knew felt that I definitely could not use the term, warehouse, as this would signify cheap products and the Germans would definitely not buy those. They wanted quality and quality could not be associated with cheapness… And people would certainly not shop at a warehouse… But I stuck to my concept and thought I could teach the Germans to shop at a warehouse, as long as they were quality products – a bit cheaper than others. However, the term Jysk would probably not mean much to them, whereas they associated Denmark with quality. Wee Danes were much appreciated, particularly in furniture. So I changed Jysk to Danish… so that the name became ”Danish bedding warehouse” – in German ”Dänisches Bettenlager”. In Denmark we use the slogan ”quality – a bit cheaper than others” – I also tried to use that in Germany… But it did not work. They did not want to buy cheap products, as cheap to them meant poor quality. So I quickly changed this to ”Qualität – sehr preiswert”, which means ”Quality – at 103 HELLO MY NAME IS LARS LARSEN a reasonable price”. I could not see much of a difference, but the Germans could, and so, of course, they got it their way. I also tried to find a German advertising agency as I thought they would know more about how to market in Germany. However, I had to give up after several persistent attempts. I told them about my ideas and showed them a lot of our Danish advertising papers. That would The first shop in Germany opened in Flensburg give them a feel for what I wanted them to do. But they did not want to do that style as it would not work in the German market… So I ended up having to ask my Danish advertising agency to do it. They were quite happy to help me – and a couple of years later they even opened up a Danish advertising agency in Hamburg and later we took over the task ourselves. Nowadays we have our own advertising agency – that means we can have things the way we like… The Men in Suits and the Dirty Kid from the Store Room However, it was not only the name and the advertising that needed to be sorted out. I had decided that the first test shops should be located in Northern Germany as that area had a lot of similarities to Denmark… Shop no. 101 – as we named it for practical – and possibly also optimistic reasons, as no. 50 to 100 were then set aside for even more Danish shops. So we located the first shop in Germany in Flensburg for many practical reasons. For example it was relatively close to our central warehouse in Vejle, from where they would have most of their goods delivered. It was also easy regarding staff, as we could then borrow staff from South Jutland where several people spoke German. We would probably need that as my young Western Jutland managing director did not speak any German. As the manager for the first shop we also chose a person from South Jutland – Julius Carstensen. He had previously been a regional manger in South Jutland. He was fluent in German – and he also knew all our systems and products. Speaking of products – we also needed to procure them. The vast majority of our Danish assortment was used, but there were certain articles that we were forced to have specially made for the German market. For example, German pillows are twice as big as Danish pillows. When the pillows are bigger, the pillowcases also need to be bigger. We got down to it without much adjustment and market research. Then time would tell whether the concept and the assortment would stand the test in this huge country. 104 I HAVE A GOOD OFFER The day before the opening we had a reception, and all our fine German working partners showed up in their pinstriped suits. And of course they all wanted to meet the big Danish businessman. However, they also wanted to meet my managing director for Germany, Åge Nielsen… The thing was that we had not quite finished the shop, so Åge did not have time for all that unnecessary nonsense – the shop needed to be ready before the party could begin. So he was still wearing his dirty jeans and working in the shop. However, as fate would have, the Danish consul, the accountant and bank managers and other people insisted on meeting my man in Germany… In the end I had to go and get him, and they certainly looked somewhat surprised when I brought along the young filthy kid from the storeroom. Practically the only words he knew in German were ”Guten Tag”. I do not think they gave him much chance of doing well in this huge market… However, by now they have changed their mind. 105 HELLO MY NAME IS LARS LARSEN Closed by the German Police - 100 Fines in the First Year On March 31st, 1984 at 8.00 am Germany’s first ”Dänisches Bettenlager” opened in Flensburg. We were extremely excited… What would the Germans think of shop like this… And how about the goods? But the shop was packed with people all day and many people did buy our goods. When the police arrived to close the shop at the end of the day, we had sold goods worth DEM 68,000, which is about DKK 250,000. In fact this was the same amount as shop no. 1 in Denmark. Our success was in the bag… or so we thought… But alas – we were to learn otherwise. As you may have noticed, the police closed the shop. In our advertisement we wrote that we were open from 8.00 am until 8.00 pm so that everybody could make it – even the police. In Germany they say ”Ordnung muss sein” – meaning that everything must be in its place. We quickly realised that they were serious about this. The German Shops Act did not allow shops to be open after 6.30 pm and that also applied to us, even though we were Danish. But it was certainly not just the police and the customers who were interested in the shop. In the morning, the German customs officers came to take away a lot of goods from the shop. Now, you may ask why! Well, they had been smuggled into the country… It turned out that we had bought the goods in East Germany, which was far cheaper than West Germany before the wall came down. It was entirely legal to import them from East Germany to Denmark, but it was definitely not legal to send them on to West Germany. So they had to leave the country again – and we got a considerable fine. The fines were certainly not an isolated case. We were also fined for illegal marketing and we were fined for having a sale on furniture. We had no idea that German law only allows a sale for fashion articles – and furniture is not fashion??? We were fined for writing: ”Buy 3 and save 30%”. According to German law you were not allowed to gain more than 4% from buying in bulk. It is safe to say that we were fined for just about everything. In fact we received about 100 fines in the first year. We thought that a lot of it was simply malice… and perhaps mainly on the side of our German colleagues who just saw us as a competitor who should go packing back to Denmark. We just needed to put a foot wrong, we were instantly reported to various authorities. However, they were soon to learn otherwise. It’s not that easy to scare away a Jutlander. So we just paid the fines with a smile on our lips. Meanwhile, we opened more and more shops in Kiel, Husum, Schleswig, etc. A total of 8 shops in the first year – and we needed to adjust some things there before opening more. 106 I HAVE A GOOD OFFER Crisis in Germany – Is it Time to Close down? Even though our sales were reasonable, they were not enough to cover our costs. We needed a bigger turnover. At some points we thought that perhaps it was the name. Perhaps they did not actually like us Danes as much as we thought? So we gave the said shop in Büdelsdorf a new name and black and yellow colours instead of the normal blue and white colours. The name was ”Bettenwelt” – meaning ”A world of furnishings”. The logo was a globe and it all looked very dashing. However, this did not increase turnover. So we changed the name to ”Dänisches Bettenlager” a year later. After all, it was easier to have just one company name. We did have an idea as to what was wrong – although we would not quite admit it. The products were too Danish. They had to be adjusted more to German tastes. April 1st, 1986 became a landmark day in the history of Dänisches Bettenlager. We had a crisis meeting where we discussed whether we should close down in Germany, admit defeat and go back home to our success in Denmark. We had now spent 2 years on adjusting various things to the German market. But had we done it wholeheartedly? Being a stubborn Jutlander, I decided to give it yet another chance – in spite of the large deficit. We hired a German financial director and a German purchasing agent, who would be better at making the assortment ”more German”. Our advertising agency opened a German branch – based on the philosophy that it is not possible to do German marketing from Denmark. Our managing director Åge Nielsen was sent to Germany full-time. For the first 2 years, he and I had been running the German market from Silkeborg, which was not ideal either. Many other measures and adjustments were made so that we fully matched the big German market. Now it was kill or cure – and we survived. By the end of our third year we made a profit in Germany and we could continue expansion, although we still experienced problems. We were still fined and our German purchasing agent had a hard time finding the right products. The German manufacturers would not, or rather did not, dare do business with us. If they did, all the major German chains of shops would not do business with them anymore. This was exactly the same problem as in Denmark, with the only difference being that this was a much stronger threat. So almost all manufacturers chose to turn down Danish orders. The Germans Wanted to Buy German Products But it was only almost, because there were actually a couple of Germans who dared to swim against the tide. One of them was a manufacturer of quilts, who was strategically important to us, as quilts were our main product. Of course one could ask whether they could not be made in Denmark. They could, but then the Germans would not buy them. Quilts and pillows, 107 HELLO MY NAME IS LARS LARSEN The management in Germany: Financial Director Flemming Jensen, group finance director Hans Henrik Kjølby, I, Director Ole Nielsen and Managing Director Åge Nielsen in particular, are a matter of trust, as you cannot see what’s inside them – and we had not yet built up this trust in Germany. The Germans did not want to buy products with Danish declarations of contents. They only dared buy products with the declarations of contents they knew. You cannot blame them for that. So this quilt manufacturer was strategically important to us. Hardy Wienker, as he is called, dared stand up to the pressure – and nowadays he is the biggest manufacturer of quilts in Germany. Many of the big companies from back then that did not want to do business with us do not exist anymore. The other unusual German was Aksel Berthels who dealt in things like bed linen and towels - products that German customers also wanted to be ”hergestellt in Deutschland”. Freely translated, this means that they had to be made in Germany so that they could be certain of the quality and read about it on the declarations of contents. With the help of these 2 unusual German companies our turnover was booming. We could now present ”Deutsche hergestellte Waren” i.e. goods made in Germany – and even at a slightly lower price. Now, the German consumers got that message. Mattresses were also one of our most important products, and here it was exactly the same. Nobody would let us sell the big brands. So we had to have similar mattresses made in Denmark. The ”HUMALAMA” factory in Hurup, Thy, where my brother Knud happens to work, had the courage to fight the big German factories. A hard battle in which many of the mattresses were sold at less than cost price – which was no good. Least of all when we also had to drive them from 108 I HAVE A GOOD OFFER Thy to Munich and all sorts of other places in that huge country. But we succeeded – and this has also helped make the Danish factory even more competitive in the Danish market as well. With mattresses we also managed to find a German mattress factory – ”Breckle” - who dared deliver to us. Today both factories are the biggest in Denmark and Germany respectively. In the mid-eighties we did not really deal in furniture, but we saw the potential in the German market. Almost all German furniture shops had a broad selection of Danish pine furniture – and at rather high prices. So we started seeking out Danish furniture factories to buy directly from them. Until then it was normal procedure that the furniture was sold in Germany via a wholesaler and therefore became rather expensive. If only we could avoid this expensive stage, we would become very competitive and it would give us a major boom in Germany. But this was easier said than done. The Danish furniture factories were not interested in having their good export to Europe’s biggest market destroyed, so most of them turned us down. But once again we succeeded in finding a few who had the courage to do business with us, and others who had never previously exported and now got the chance. With this furniture assortment ”Dänisches Bettenlager” suddenly became a highly interesting shop. We were able to sell Danish pine furniture 30-50% cheaper than the furniture shops. From now on we were successful and were able to open one shop after another. Soon we had opened the first 25 shops, then came 50, 100, 200, 300, and 400 and in 2004 we will have 500 shops in Germany. There is still room for many more shops – perhaps double that amount! Strong Teamwork from Two Danish ”Kids” When I started out in Germany, I did not want to mix the risky German market with our success in Denmark. So we set up a second company for the German experiment and, even today, they still remain 2 totally independent companies – each with their own economy, company structure and management. In order to support Åge Nielsen, I found a person from South Jutland, Ole Nielsen, whose strengths lay in marketing and personnel management. He also had the fantastic advantage of being fluent in German. And just like Åge he knew Jysk Sengetøjslager from several years of working in the Danish part of the organisation. These two people have now been working together for 20 years. Each has his strong side – a teamwork that, of course, I hope can continue for the next 20 years, because it is indescribable what those two kids have achieved in the German market. Of course I have not always agreed with them entirely but, in most cases, I decided that their attitudes and knowledge of the German market would stand the test. I could not pretend to know a market I only knew superficially. So they have had an incredibly free rein over the years to do what they thought best. Often, they even felt that I was not sufficiently interested in their work, which was definitely not the 109 HELLO MY NAME IS LARS LARSEN case. But it was a totally deliberate strategy on my part. After all, things went well in Germany. However, on a few occasions they became aware of my presence. This was, for example, the case when I decided that we should start selling garden furniture. Åge and Ole definitely did not agree on that at all. So they asked for a meeting in Silkeborg, where they told me in no uncertain manner that garden furniture in Germany was a hopeless market that nobody made any money from. They would not accept that such products should be part of their assortment. We had a long and sensitive dialogue about it, but I was not able to change their minds. In the end I had to explain to them that the shops were, after all, mine. Then they became all surprised – they had almost forgotten that. They ended up finding it reasonable for me to have a certain influence on the composition of the assortment. However, as fate would have it, garden furniture became a huge success – in Germany too. Perhaps they’ll give me a chance the next time I interfere in their work. A Negative Experience with Positiv Fritid In 1985 I bought the American owned mail order company ”Positiv Fritid”, (Positive Leisure), which had an annual turnover of about DKK 80 million in Denmark and Sweden. Almost from day 1 in the history of JYSK we had been selling goods by mail order and therefore had some certain experience. It was my experience from Germany and the USA that Denmark was a novice in this field. In these countries about 6-8% of all retail trade was sold by mail order. In Denmark it was less than ½%. So my conclusion was that we needed a tremendous expansion of ”Positiv 110 I HAVE A GOOD OFFER Fritid’s” assortment. Previously, they had mainly been selling hardware, but now clothes and shoes and, of course, a lot of furnishings also became part of their assortment – and then full throttle on marketing. Now Denmark was to shop by mail order. Within a couple of years we managed to double the turnover, but there were no profits and stocks increased drastically. For each new article that became part of our assortment, a certain percentage would always be in excess. Previously the company had sold so-called commission goods – meaning that what they couldn’t sell, they could send back to the dealer. That was all very well but I could tell that they paid far too much for the products in order just to have such a deal. By buying directly from the factories, I could in fact throw away the last 25% of the products, that’s how much cheaper it was. But instead of throwing it away, it could of course be sold elsewhere. The result was a small chain of shops that I called ”Positiv Fritid’s Overskudslager” (Positive Leisure’s Surplus Stores). In record time we opened shops in Aalborg, Randers, Vejle, Esbjerg, Horsens, Hundige, Nakskov, Vildsund, Skalborg, Silkeborg and Copenhagen. Here we sold everything from clothes and shoes to china, as well as all sorts of hardware and furnishings. Basically, the entire surplus from mail order sales – and a little more. I put my old partner from JYSK, Jørgen Rødhus, in charge of running this new chain of shops. He did have the experience from the start-up of JYSK. Taking over a big company like Positiv Fritid turned out to be a bigger task than I had imagined. There were major cultural differences in a Copenhagen/Swedish enterprise compared to the way we Jutlanders tackled everything. Today I have to admit that it never worked out – money was pouring out of the business. To stop the bleeding I tried to start yet another chain of shops – this time with shoes. Through our big purchases for Positiv Fritid we became acquainted with a lot of shoe manufacturers in Portugal and Italy. Here we could see that shoes could easily be sold at half the price of what the traditional shoe shops charged for them. This was the start of ”Vær’sko”. A chain of shops that sold shoes of a good quality – a bit cheaper than others. In fact they were so cheap that it was not worth cleaning the old shoes and, least of all, resoling them. At the same time, I sold Positiv Fritid to a Swedish company after which I no longer had any need for the Surplus Stores. They were closed down little by little and some of the premises were used for Vær’sko shops. I think I got up to about 15 shoe shops before realising what people meant Within a short time when they say, Cobbler, stick to your last. I was no we opened 11 ”surplus stocks” in Denmark 111 HELLO MY NAME IS LARS LARSEN shoemaker – so in 1989 I also wound up this failure – and wanted to concentrate my energies on the bedding shops. And Then on to Norway In Denmark we had reached about 70 Jysk Sengetøjslager shops by 1988 – and in Germany about 35 plus a few more in Greenland, Iceland and the Faroe Islands. I now wanted to start up in a new country – and only with bedding shops. After studying the other Nordic countries, I chose Norway – where they now had plenty of oil. The Norwegians had come into money and they had to spend it somehow. I was more than happy to help them spend it. After our experiences from Germany with much too little local knowledge, I did not want to make the same mistakes again. So I formed a partnership with 2 Norwegian businessmen, Ole Nordbo and Arnulf Tjölsen. They had a great knowledge of the Norwegian retail trade – especially of the furniture trade. As Norway loved Danish pine furniture just like Germany, the basis for success was definitely there. The first shop opened in September 1988 in Sandnes close to Stavanger. We chose to call it Jysk Sengetøjslager – just like in Denmark, as there were certain savings in using the same name. But, just as in Germany, it was not a success at first and so we quickly started adapting the assortment. Once again we changed the company name. My Norwegian colleagues believed that , since the Norwegians had such a strong sense of nationalism, the word Norwegian had to be part of the name. So we changed the name to ”Norsk Sengetøylager” after just a few months. We also moved the shop away from the town centre and located it outside of town. In so doing, we got more space and better parking facilities and there was also room for our office as well as a small central warehouse. As Norway was not part of the EU, we could not send part of our product line there from Vejle. If we did, the goods would become too expensive. We also had problems with the colours of towels, bed linen, quilts and much more. Danish quilts were blue and the Norwegians only wanted white or beige quilts. They also had to be made in Norway, i.e. more or less the same problem as in Germany. Colours in fashion in Norway did not change as quickly as in Denmark – so our towels and bed linen were the wrong colours… In Denmark quite a lot of the colours changed every year, whereas the Norwegians loved dark blue, dark green and bordeaux so much that they would not buy other new fashionable colours. It actually stayed that way for the next 10 years. You could say that it was an easy job for our buyers, but they did have to purchase separately for Norway and so we needed a central warehouse. Of course there was also the issue of pillows. New country = new size and also a new size for the pillowcases. Of course a lot of other things were also adapted, 112 I HAVE A GOOD OFFER and then we were ready to expand. We opened a shop in Kristiansand and a couple of other places. But every time we opened a new shop, more and more Norwegians started showing an overwhelming interest in the individual shops. Of course I wondered about that quite a lot, until my partners gave me an explanation. It turned out that they had not had the funds to open shops at such a speed. So, every time we started up in a new town, Ole Nordby and Arnulf Tjölsen had to find interested investors for the new shop. I had no influence on this, just as long as they delivered the necessary capital. But eventually it did get harder to find investors as results failed to materialise over the first 2-3 years. Ole Nordby, who was in charge of finances, wanted to pull out after a couple of years – and eventually Arnulf Tjölsen also had to sell his shares. It simply required too much capital to keep up with that many new shops - especially when there were no profits. Very Different Mentalities If anybody thinks it is easy to start up a business abroad, well, think again. Perhaps I kind of thought it would be easy in Norway… but I was soon to learn otherwise. Even though Norway once used to be part of Denmark and even though we almost speak the same language, the mentality is extremely different. You have to realise that, and respect it before you can be successful. So we did, and today Norway is one of our best markets. 62 shops distributed over several thousand kilometres from Kristiansand in the south to the world’s northernmost JYSK shop in Kirkenes. An incredibly distance, which is equivalent to the distance from Denmark to Africa. It also means that goods from Vejle will not reach the northern part of Norway until a week later… So here you have to be abreast of what you expect to sell the coming week. All the shops do in fact get deliveries from Vejle nowadays – not all goods – but all goods that are made in Denmark, and now all imported goods too. These goods were previously sent to Sandnes. Now they are sent to our central warehouse in Vejle, where we have a kind of duty-free area. From there we can send them on to the rest of Europe – depending on whether it’s needed in Norway or e., for example, Poland. Hello – My Name Is Lars Larsen In 1987 a brand new media arrived in Denmark – TV commercials. I had followed this abroad for many years and now it was here. At first it was only in the TV-Syd area in South Jutland, but I thought it was worth a try. When it started on October 1st, Jysk Sengetøjslager and Lars Larsen were there from day 1. We had had many long meetings discussing how to handle 113 HELLO MY NAME IS LARS LARSEN this. Since, right from the start-up of JYSK, we had used me – the businessman - in our advertisements successfully it was, in fact, rather logical to use this same concept on TV. We were convinced that everybody else would make colourful, highly professional commercials, as was the practice in other countries. We wanted to make a difference and so we did the opposite – very simple and down to earth commercials. It was not exactly what Saks Film (who produced them) was used to. I thought this ”TV stuff” was terribly expensive. In fact it cost me several thousand DKK… per second. So I could not speak too much nonsense. So we decided that it would only last 10 seconds, which was in fact the least you could buy. This meant that we could afford to show the commercial a lot of times. This is where I really learned to be brief. I had to introduce myself and tell people that I was the owner of Jysk Sengetøjslager. I also needed to give the customer a good offer, for which JYSK was already famous and I had to say goodbye and see you later – all this within 10 seconds. After discarding a lot of superfluous words, the commercial ended up having the following wording: ”Hello – my name is Lars Larsen and I’m the owner of Jysk Sengetøjslager – I have a good offer for you – 2 quilts and 2 pillows DKK 999 and the stuffing is natural – I’ll see you at Jysk Sengetøjslager”. 114 I HAVE A GOOD OFFER The advertising industry laughed at it and said that it was way too simple. But the customers flocked to my shops and bought the various offers. Lars Larsen quickly became world famous in South Jutland, which I could instantly feel as soon as I sat foot in the area. Everybody would stare at me, and many said Hello Lars Larsen – do you have a good offer. Best of all – turnover rose by 15-20% in the TV Syd area compared to the rest of the shops in Denmark. Later they started analysing which commercials people remembered the best and indeed - Jysk Sengetøjslager was among the best and often on top. The media people who at first had laughed at these amateurish commercials suddenly changed their mind and started praising them. Some even said that they were brilliant – and before long our TV commercial was nominated for TV commercial of the year and all of South Jutland was speaking about a good offer. Even at nursery schools the kids wanted to play Lars Larsen – I have a good offer for you. World Famous in Denmark – and in Paris, Miami and Thailand In 1988 TV commercials became national and I had to decide whether I wanted to become a public figure in all of Denmark. I did not like the thought of it – after all it was tiring to be From the nomination for commercial of the year together with Hans-Erik Møller-Hansen from Reklamebutikken and Hans Erik Saks from Saks Film og Video 115 HELLO MY NAME IS LARS LARSEN always recognised and spoken to. They all meant well, but it was still tiring, especially for your privacy. However, I was a businessman and with the sales figures the shops in South Jutland boasted, there was no other way. So Lars Larsen became ”world famous” in Denmark on 1st October 1988. Everybody was talking about him – everybody greeted him – and everybody turned their heads to look at him. In fact I also felt that everybody was staring at me. I could feel it, even though I turned my back on them. It was very hard getting used to. At times I was wondering whether it was all worth it. But once again the businessman got the better of me – and I also talked to several celebrities. Among these were the singers Keld and Hilda Heick who told me that you got used to it and eventually would not even notice it – and they were right. However, I did decide that this would remain a Danish phenomenon. My marketing people had already started translating to ”Guten Tag – mein Name ist Lars Larsen – Ich habe ein Gutes Angebot für Sie” etc. In Norway they were joking with ” Hei på deg! På gjensyn hos Sengetøylageret mitt.” But by keeping it in Denmark, I could always take a trip abroad, if I felt it was getting too much – or so I thought. But as they say: ”It’s a small world” – and I certainly found out that this was the case. Once, Kris and I went to Paris on holiday. Normally Danes do not notice whether there are other Danes in Paris, unless they’re carrying Danish flags. But now I was no longer a “normal” Danish tourist, and I can tell you that there are many Danes in Paris – lots of them. There were Danes everywhere I went. It is possible that I had got used to being a celebrity in Denmark – and that the Danes had got used to me. But this was not the case in Paris. ”Hello Lars Larsen – do you have a good offer”. It’s rather funny to be able to say that outside ”Notre Dame”, ”L’Arc de Triomphe”, ”Champs Elysées”, the ”Eiffel Tower”, ”Louvre”, etc… As I mentioned, there were lots of Danes in Paris. Then we tried Miami Beach – which was exactly the same - Hawaii, Thailand, New York, etc. It is actually rather fun having the “ability” to see and hear how many Danes are travelling the globe. Perhaps I can get a part-time job with Statistics Denmark. It Was Difficult to Turn Down Free Marketing But the more exposure I got on TV – the more famous I got. According to the magazines, one year I was even the second most famous person in Denmark – only surpassed by Her Majesty the Queen of Denmark. And no, His Royal Highness Prince Henrik did not complain. But I had many offers to participate in other companies’ commercials. Everything from toothpaste to washing powder and building societies, even the weekly magazines and all the TV channels and radio channels, all the Danish newspapers and magazines tried to win my favour. I have to admit that it was difficult to set a limit. After all, it all offered free advertising for Jysk 116 I HAVE A GOOD OFFER Sengetøjslager, as I was synomonous with JYSK. I drew the line at toothpaste and washing powder. It had to be about Lars Larsen in relation to Jysk Sengetøjslager. The magazine ”Billed Bladet” immediately picked up on this limitation – and I was all for it. Their idea was to increase the circulation of ”Billed Bladet” and at the same time Jysk Sengetøjslager got marketing worth millions of Danish DKK – and hundreds of thousands of potential customers into the shops to pick up a free towel of our finest quality. The whole idea was for the Danes to collect a number of stamps from ”Billed Bladet” – and then they could pick up a free towel at Jysk Sengetøjslager – which in return got innumerable free pages of free marketing. Both parties gained huge successes from the campaign. All of Denmark was collecting towels from JYSK – even the comedian Victor Borge helped market our ”Beaver” towels. As previously mentioned, the TV stations were also on the ball. They wanted Lars Larsen to participate in everything - from talk shows to all sorts of entertainment programmes. I have to admit that I found it difficult to turn down TV. I was a chef on TV along with Kurt Thorsen and Asger Aamund. Speaking of cooking, it is definitely not my strong side – in fact I consider 117 HELLO MY NAME IS LARS LARSEN it to be my weakest side. I can just about manage to fry some potatoes and eggs but that’s about the limit of my cooking skills. So suddenly having to cook on TV was certainly quite a challenge and training was necessary. I chose to make my mother-in-law Kaja’s stuffed leeks and my wife Kris was in charge of training me. I do not know whether it was due to Kris’ good advice or my hidden cooking talents, but the fact remains that Kris gave me top marks for my work. I distinguished myself by adding an extra touch to my mother-in-law’s somewhat dulllooking grey boiled minced meat with boiled carrots and fresh green parsley. This was not quite the way my mother-in-law cooked it, but it added a bit of extra colour to this wonderful dish. If any interested readers would like to try it, here’s the recipe: Recipe for My Mother-in-law Kaja’s Stuffed Leeks (Serves 4) 4 leeks 4 carrots parsley 500 g minced pork 3 tbsp flour 2 eggs 1½ tsp salt ½ tsp pepper 1½ dl milk 1 tbsp dried breadcrumbs Fat Greaseproof paper Bon appetit! Mix the minced pork with eggs, flour, breadcrumbs, salt, pepper and milk. Boil the leeks for a couple of minutes until they go soft. Grease the greaseproof paper with a bit of fat. Spread the minced pork on the paper and put a leak on top. Roll the paper around the leek and boil it (in the paper) for 20 minutes. Remember to add the carrots to the water. Keep the stock and use it for making the sauce. Take the paper off the roll, pour over the sauce and garnish with carrots and parsley. Serve it with white bread. And be sure to make plenty – it tastes great the next day breaded and fried. Bon appetit. 118 I HAVE A GOOD OFFER I also took part in the most popular programme of the time, ”Eleva2eren”, with Michael Meyerheim and many other famous TV stars. After that it was ”Vis mig dit køleskab”, (Show me your fridge), where Pernille Aalund and Henrik Boserup went through my refrigerator and the rest of my home. Then there was Johnny Reimer in the programme ”Kun for sjov”, (Just for fun), – Poul Thomsen in ”TV Quiz” – ”Jagten på den gyldne kanin”, (In search of the golden rabbit), where the boxer Jesper D. Jensen and I were competing against the TV hosts Morten Stig Christensen and Jes Dorph-Petersen. ”Wheel of Fortune” with Bengt Burg – a programme with Klaus Rifbjerg – ”Billedjagt”, (Picture Hunt), with Orla Harregaard and ”Så skaf dog en stork”, And then the stork turned up). A whole lot of entertainment programmes, talk shows and quizzes – and in between all this I also made my very own TV programme. The newspapers also needed their stories. At some point it got so bad that I almost felt I did not have time to run Jysk Sengetøjslager. However, eventually it became a bit calmer and I also learned to say no – even when it would give me free marketing… 119 HELLO MY NAME IS LARS LARSEN I have appeared in many TV programmes over the years I Am Proud to Be the Main Sponsor for Dansk Handicap Idræts-Forbund (The Danish Disabled Sports Association) But along with all this attention came disadvantages. One of them was that I actually had to hire 2 people to reply to begging letters and applications for sponsorships from all sorts of organisations. Everything from serious football clubs to organisations for the preservation of hops – and who was I to please and who to disappoint? In 1988 I read about the Danish disabled sports organisation, ”Dansk Handicaps Idræts Forbund”, which had been very successful at the Paralympics in Seoul in South Korea. They had a lot of trouble finding enough money for these big international events. People would rather sponsor the big famous sports clubs. They probably reckoned this type of sponsorship would be more profitable. I A lovely but far from unusual sight at Olympic stadiums when the Paralympics are on thought it over and then contacted Dansk 120 I HAVE A GOOD OFFER Handicap Idræts-Forbund to hear if they were interested in joining forces. They definitely were, and before the end of the year we had agreed on a four-year partnership. They got a fair amount of money for their preparations for the next Olympics, which were to take place in Barcelona, Spain in 1992. In return they would get me as much publicity as possible. This was sponsorship on the same terms as in all other sports clubs. For this amount we became the main sponsor – and it has been a source of great pleasure to us. Kris and I went to Barcelona in 1992, Atlanta in 1996 and Sydney in 2000 and of course we will also attend Athens in 2004. Every single time has been a fantastic experience that has given us memories for life. It’s one thing seeing what normal sportspeople achieve – and it is, of course, impressive to see what they can do. However, it is nothing compared to what disabled people achieve. To see these fanatics swim faster than most other people – with either no arms or legs. There is, for example the Danish swimmer who has neither arms nor legs – and is therefore nicknamed ”the whisk”. Or how about the high jumper who jumps 2 metres on one leg – or the archer who matches the best. Only, he’s only got one arm and has to use his teeth for bending the bow - etc. A world that only few people experience – and which I would like to help make more visible. The easiest way to do that is by achieving some of the best results in the world. We all like that – and Dansk Handicap Idræt is at this stage today. Not just because 121 HELLO MY NAME IS LARS LARSEN of my sponsorship, of course, but it does help provide the best training facilities. I am proud to be the main sponsor for the sports organisation in Denmark that wins the most medals at both the Olympics and world championships. I feel that I get great value for my sponsorship – and would like to continue for many years ahead. At the same time as making this agreement, I composed a standard letter to everybody else asking me for money. In this I explained that I had chosen to put all my sponsor money in one basket – namely Dansk Handicap IdrætsForbund, which was in great need of the money – and which was also represented from all over Denmark – just like Jysk Sengetøjslager – and that I hoped they would understand this. I got this understanding, and that meant I no longer needed 2 people to distribute money – to causes that might be good ones. It also saves me countless inquiries. Those who still ask are sent my standard letter. Now, that is a sponsorship that benefits both parties, and that is the way it should be. If any of you readers have any doubts as to whom it pays best to sponsor, I have a good suggestion for you. DKK 100,000 from the Spies Foundation At the same time as the attention due to the TV commercials, the business community also started paying attention to what we were doing in Denmark and Germany. In 1988 we were awarded the most distinguished business award in Denmark, ”MMM-prisen”,(the MMM prize), that is awarded to ”Companies and persons who have been of special importance to the retail trade in Denmark”, as it said. Later we got ”Erhvervsbladets pris”, (the Prize for Industry), and the ”PR prisen”, (the PR Prize), ”Årets Pjerrot”,(Pierrot of the Year), ”Global AWARD”, ”Entrepreneur of the Year”, ”Eksport prisen”(the Prize for Export), and not least ”Livsglædens pris”, (the Happiness Prize),of DKK 100,000 from the Simon Spies Foundation in 1989, which was financed by the late billionaire and tour operator Simon Spies. An award that I later joked, gave me the capital The award “Årets Pjerrot” is presented by the minister of communication and tourism then in office, Arne Melchior to start ”Larsen Travel”. 122 I HAVE A GOOD OFFER The award ”Livsglædens pris” Bitten by the Snob Sport By the mid eighties there was a lot to keep track of, and I spent more and more of my time at the office – and so less time on exercise. Kris thought something had to be done about that. She knew perfectly well that she could not make me run about in the forest without any purpose. No, it had to have a competitive edge to it. After careful consideration she dragged me along to Silkeborg Golf Club – for a trial membership. She thought that this sport, which was rapidly growing, would be just the thing for me. It had a competitive edge, you did 4-5 hours of walking with plenty of exercise – and last but not least, I could do this sport together with my family, which was a bonus as I did not spend much time with them as it was – two birds with one stone. I did think that many of them – especially the older people - were quite snobbish – and spoke in a strange – almost royal way. I did not have to spend time with them, though. My family was all I needed. After a few lessons, Hans-Erik Møller-Hansen, who owned the Reklame og Marketing Butikken which we used for our advertising, invited us to Gatten in the 123 HELLO MY NAME IS LARS LARSEN Yes – it is me together with my golf colleagues Agent 007 aka Sean Connery and the opera singer Tony Dalli. Himmerland area. He had bought a golfing house in a relatively newly built holiday paradise, ”Himmerland Golf & Country Club”. I thought it sounded somewhat snobbish, but I was willing to give it a chance. At this time we had a summerhouse in Grønhøj – in the area by the North Sea between Løkken and Blokhus. The kids had reached an age where they wanted constant action, and I did not feel that Grønhøj offered them enough challenges apart from walks by the North Sea. There was not much to do for the children, which meant that their interest was waning. When we came to Himmerland, we practically did not see them all day. There was a swimming pool, horses and much more. So I thought that it had to be just the place, where we could do our new sport and the kids also thrived. So, by the end of the day, we had bought one of the 300 houses surrounding the golf course, and we have never looked back. We became members of the golf club and Jacob, who was about 11, quickly got interested in golf and Mette, who was 8, loved the horses – an excellent way to spend time together as a family in my meagre spare time. We went to Himmerland as much as we possibly could and were quickly bitten by the golf bug, but we also loved the fantastic scenery in the area. Of course I was not able to keep 124 I HAVE A GOOD OFFER my hands off of the well-being of the golf club and the centre, which was definitely nothing to write home about. Himmerland Golf & Country Club had been designed and set up by the big building group of the ’80s, ”Flexplan”, and financed by the rising bank of the time, ”Kronebanken”. They had both got involved in a number of big building projects – both in Denmark and abroad and at great risk… Too great… In the mid ’80s the bubble burst and they both went bankrupt, and the golf centre would go down with them unless something was done – very quickly. After many long and hard negotiations, two other members of the club and I– Birdie Thinggaard and my advertising manager Hans Erik Møller Hansen – ended up buying the centre + several houses and the golf course. At the same time, all the members also bought a share at DKK 10,000, and in this way the golf centre survived an imminent bankruptcy and I was suddenly deeply involved in tourism. There were 300 houses in the area surrounding the golf course, of which the majority had been sold to private persons. But about half the houses were rented out through the centre when the owners were not using the houses themselves. There was also a big influx of new members and we quickly realised that we had to make an additional golf course to fully exploit the many facilities that were already there. Since then we have made an additional course for beginners as well as a bowling centre, squash courts, tennis, sauna, gym, spa, indoors and outdoors swimming pool Palle Hove, Hans-Erik Møller-Hansen and I in golfing outfits from eighteen something or other, together with my colleague at the golfing centre, Birdie Thinggaard, at the opening of the second course. 125 HELLO MY NAME IS LARS LARSEN and much more. There is something to suit every taste, even if you don’t play golf. In 2002 we opened a big new golf hotel with 150 beds, and today Himmerland Golf & Country Club is one of the biggest golf centres in Northern Europe. Himmerland Golf & Country Club is one of the biggest golf centres in Northern Europe today. Netto Rejser Became Larsen Travel The golf centre gave me a taste for tourism, so when, at the end of 1989, I was visited by Annelene Hein Larsen and Kurt Steffensen, 2 former employees of the travel agency Tjæreborg, , who wanted to start up a new travel agency and needed capital, I thought it sounded so interesting that I could not turn them down. The name of the company would be ”Netto Rejser” (Discount Travel), and it would sell cheap package holidays – without any guides – and no service whatsoever – and would then be sold through Jysk Sengetøjslager. I thought the idea of cheap prices sounded great and it matched Jysk Sengetøjslager’s price policy, but I did not like the thought of no service whatsoever. JYSK’s slogan was ”quality – a bit cheaper than others” – and it would be difficult to live up to that with this concept. Ever since the beginning of the package holiday industry in Denmark in the ’50s until 1990, the industry had been strongly personified – mainly by Eilif Krogager – better known as ”Tjæreborgpræsten” - and the eccentric billionaire Simon Spies. Now they were no longer part of the industry and we thought they had left a void. As I had become one of the most famous persons in Denmark, it seemed an obvious choice to use the name ”Larsen Travel” – ”quality a bit cheaper than others”. This was in fact a nice article to Annelene Hein and Kurt Steffensen stock at JYSK. It took up almost no space – in started up Larsen Travel together with me 126 I HAVE A GOOD OFFER contrast to quilts, mattresses and beds. It provided an incredible amount of media attention and attracted hundreds of thousands of happy holiday customers to an otherwise ”sleepy” shop, and there was a good chance that people would buy some furnishing articles since they were there anyway. All these were elements that appealed to me and which made me plunge headlong into an industry that I knew nothing about – except from when the little woman, the children and I occasionally went to Rhodes for a week. I knew perfectly well that it was going to be hard – and could end up costing me money – but I was willing to pay the price – based on the philosophy that the amount of attention and influx of customers it would bring would be nearly priceless. A Loss of DKK 2-300 Million or a Good Investment? We founded Larsen Travel A/S in early 1990. Annelene and Kurt each had 25% and I had 50%. They mainly paid with their ”know-how” and a bit of cash. And so it was me that had to cough up the money… and so I did… Plenty of money… The press has calculated that it was DKK 2-300 million and that is probably true… But I also feel that it has been worth it… Jysk Sengetøjslager suddenly became ”world famous” – a shop that people talked about, heard about, wrote about and read about almost every day for 10 years. Anybody who knows marketing prices will probably admit that it was ”a good offer” if they think about it. I reckon it was about half price – DKK 20-30 million a year for the marketing of 200-300 shops gives the modest sum of about DKK 100,000 per shop, which is the price of a one-page advertisement in the newspapers Jyllands-Posten and Berlingske Tidende or a couple of TV commercials. Why 2-300 shops, when there are only just under 100 shops in Denmark? Well, we also made ourselved known in Germany, Norway and Sweden… We also attracted hundreds of thousands of happy holiday guests to the shops here to pick up holiday brochures – and so they got to know some otherwise fairly unknown bedding shops… The foreign press also wrote page after page about these weird bedding people, who sold holiday trips… even radio and TV marketed us. However, there was more to it than simply setting up a limited company – we also needed some holidays to offer. We devised a strategy for the summer - which was that all holidays should cost the same – and last 14 days – in June, July and August. Irrespective of the hotel category and destination, they would all cost DKK 2995. We found 3 popular destinations: Majorca, Ibiza and the Costa Brava. Kurt Steffensen was sent to find nice middle class hotels and flats and negotiate flight prices etc. At the same time Annelene Hein Larsen started looking for suitable sales premises, hiring personnel and last, but not least – teaching the bedding personnel how to sell holidays. They only had about 2 months to get all this together. We were already running late if we were to start selling by Easter, which was the final call as regards marketing, as we had to fill up the first flight on June 3rd. 127 HELLO MY NAME IS LARS LARSEN Secretiveness and Hysterical Interest from the Media I cannot claim that we fully succeeded… But in for a penny, in for a pound… At the same time as all this, Hans-Erik Møller-Hansen from Reklame Butikken and I started developing a happy Danish logo. My idea was for Larsen Travel to signal happy Danish flights. The result became what most of you probably know: Sun – palm trees and a happy Danish flag. But everything was done in the utmost secrecy. Nobody was allowed to know anything about Larsen Travel until we were on the streets with big advertisements in 4 colours – just before and at Easter. Of course it caused certain problems to keep such a big sensation secret – not least at Reklame Butikken… Why did they need to spend their time on this nonsense – instead of making up good bedding advertisements… Hans-Erik Møller-Hansen - my partner from Himmerland Golf & Country Club - had told his staff a little white lie. When we bought the golf centre, he had a logo made for himself, just for the fun of it, with the name ”Hansen Travel” which he used, when he arranged various ”study tours” in Europe where the shareholders could see and try out various golf centres. So he told his staff that Larsen also wanted a logo like that– for any arrangements he might have to arrange. The staff understood this all right, but they did not understand why they had to come up with 20-30 different suggestions and a lot of people had to spend days and weeks on it… ”Well, Larsen can be a bit hard to please”, Hans-Erik mumbled… But they did finish the logo. We believed Opening advertisement for Larsen Travel, April 1990 128 I HAVE A GOOD OFFER that all this secrecy was necessary – so that our competitors would not have time to make a countermove. We knew that Spies had registered the name ”Netto Rejser”(Discount Travel) – and there was probably a good reason for that… But as the time came nearer, it became more and more difficult to keep it a secret. There were simply too many people who knew about it… and one fine day the bubble burst. It happened, to be precise, on Tuesday 3rd April, 1990. I had left work early to go to Himmerland to play some golf… Suddenly a lady came running across the golf course – which made us think that some disaster must have happened. This was not the case. It was merely the journalist Birgit Rostrup from the newspaper Ekstra Bladet who had heard that I wanted to start up in the travel industry – and she would like me to confirm it… That was the end of the quiet life – I knew there was a big interest in the travel industry – but it took me by surprise that things were so hysterical. Over the coming days – even weeks - I was besieged 24 hours a day. Sometimes they even rang the bell at my house – after midnight – and then I had to give interviews in my dressing gown – at my bedside. After 8 weeks I was sent the result of a market survey. It showed that Larsen Travel was now the bestknown travel agency in Denmark – a position that it would normally take years to reach… I guess you could say that the basic idea of attracting attention had gone according to plan. Larsen Travel Had Come to Stay – for the Next 10 Years Apart from directing attention to Jysk Sengetøjslager, of course I also wanted to create a new dynamic travel company… Spies and Tjæreborg had merged and now controlled 80% of the charter market – and there was talk of major price rises. This could not be true – they needed competition. Until the very last minute, the whole trade thought that the name would be ”Netto Rejser”.(Discount Travel). Everybody was very surprised when we had a press conference to introduce Denmark’s newcomer to the industry – ”Larsen Travel” – ”Quality a bit cheaper than others”, i.e. not any no-frills holiday company, but a good alternative to the colossus, Spies-Tjæreborg. In fact, they panicked and got Discount Travel together in record time – purely because of the rumours surrounding a new discount company – and had their press conference before us… and had the name Discount Travel registered before us… That was an easy task, as we never tried to. But as Annelene and Kurt had thought of this name from the beginning, we did use it as the working title – and booked hotels and planes, employees and advertisements under the name Discount Travel, only to change it at the very last minute. I am certain that Spies-Tjæreborg were convinced that they had really taken us by surprise. However, the fact remains that nothing much ever came of Discount Travel – after a year they decided to close it down… 129 HELLO MY NAME IS LARS LARSEN Some might say that I should have done the same… But that was not how it was meant to be… Larsen Travel had come to stay… For the next 10 years… To fight the giants by creating cheaper prices… I think that even the most sceptical person will acknowledge that. Over the coming years ruthless competition took place that meant increasingly cheaper package holidays – all to the vast pleasure of many Danes. In the ’90s people travelled like never before and when the charter industry was at its peak, more than 1 million package holidays were sold. Today that figure is about 30% lower - and prices about 30% higher. The sale of our holidays started officially on Maundy Thursday and over Easter we sold 5,400 holidays – a good result for a brand new company, which started selling far too late as about 70% of summer sales normally took place during January and February. We had booked planes with Sterling for about 10,000 guests. Ibiza and Majorca went well whereas the Costa Brava was a disaster… After the Easter sales we had only sold about 50 tickets, whereas lots of people wanted to go to Rhodes, which was not even in our programme. We made a quick decision, stopped selling and sent the few guests, who insisted on going to the Costa Brava, by a scheduled flight. A costly solution, but necessary unless we wanted to lose our credibility. This was the first time that Larsen Travel lost money… 130 I HAVE A GOOD OFFER Unfortunately, it was not going to be the last. Many planes weren’t full during the summer . The reason was that I did not want to sell last minute tickets at a reduced price. This had always been common practice and I had always felt that it was highly unfair to all the many faithful guests who booked early and thereby made it easier to organise everything. Once these guests met by the pool, they would sooner or later start discussing what they had each paid for the trip. I would not accept that other guests had only paid half the price… So I would rather have empty seats, until I realised that we definitely could not afford that… better half price than nothing at all. However, I stuck to my belief that a low price also meant a low standard. In order to fill our quota with Sterling we also started selling holidays to Rhodes, which was far better than the other destinations. In hindsight, my partners should probably have realised this from the beginning… Bur fair enough – everybody’s allowed one mistake… Employees Came Along on Maiden Trip We had the press conference a bit earlier than planned – due to Spies’ starting up Discount Travels. All of the Danish press was present - newspapers, magazines and the national TV stations DR1 and TV2. It gave us so much publicity that we sold the first thousands of holidays before the brochure came out for Easter, and optimism was high. Once the Easter sale was over, we had sold 2/3 of all our travels, but then it started getting difficult. We still needed to sell the off-peak season, i.e. the first 3 weeks of June and the last weeks of August. Not even our maiden trip at the beginning of June was sold out. I had reserved seats for all of the press and then also decided to invite along an employee from each of my 73 Danish bedding shops to give them a first hand impression of our new product. That would also give them a better understanding of selling holidays and they could familiarise themselves with the destinations. This strategy paid off – everybody gained a good understanding of the industry and brought it home with them to their shops where they taught their colleagues about this new ”product”… and then we were in action… There was also the charter war – which was good and bad – mainly bad… The big old established companies tried to stop the new annoying upstarts by any means. They chased us away from the hotels we had booked – with legal proceedings and the like – claiming that they had a monopoly – and the press ran a smear campaign claiming that we were not serious about it and amateurish and could not carry through our programme… There were practically no limits as to how clever they were when it came to us… But it took more than that to scare away a stubborn inhabitant of Thy… 131 HELLO MY NAME IS LARS LARSEN Hawaii and Mexico at the Same Price as Gran Canaria So while we were carrying out our summer programme, we started planning a gigantic winter programme of about 35,000 holidays… Quite a tall order for a travel agency which was only half a year old – and it also turned out to be too much… As well as the traditional Gran Canaria, we also wanted to create something new and untested in the travel industry… Package holidays to Hawaii and Mexico at the same prices as for Gran Canaria. In order to do so, we needed to find a big long-haul aircraft that could fly like a shuttle service between Copenhagen – Los Angeles and Billund – Los Angeles. The plan was for people to either choose to stay in Los Angeles and have their holiday there – or they could move on to either Hawaii or Mexico… We did find the plane at ATA – American Trans Air – and signed a contract for a double figure million Danish crown sum. A fantastic programme and probably the biggest gamble in the history of the travel industry… In order to fill up with 4-5,000 holiday guests we needed more countries to sell travels in. In record time we opened sales offices in Norway, Sweden and Germany… Then sales could begin – and things went quickly. 4000 holidays were sold in 2 months – most of them to Hawaii – in fact so many that it was equal to the number of Danes that had been to Hawaii throughout the entire history of the travel industry… We also sold a similar number to Thailand – and even more to Gran Canaria… From our silver wedding anniversary party in Thailand 132 I HAVE A GOOD OFFER Sales at Larsen Travel were certainly brisk… and I started dreaming of the day we would be the biggest in Denmark… But this was not to be… Selling the holidays was one thing – but carrying them through was an entirely different matter. As we approached the start-up of the many incredibly exciting destinations, I realised that misfortunes never come singly… We had nothing but problems. Some undeservedly – but even more were self-inflicted. It was the autumn of 1990 and the Gulf war was about to start. 133 HELLO MY NAME IS LARS LARSEN People were afraid of flying, many planes were cancelled and people did not feel like travelling. More and more people cancelled their holiday – and there I was with all my contracts worth millions and which could not be cancelled. The Gulf war had nothing to do with Hawaii and Mexico – the airline felt… So I had to swallow the bitter pill and go through with the flights with planes that were only half full. I certainly hadn’t counted on doing that… I Was About to Run Away Screaming I also have to admit that I had been too naive as regards my faith in my partners’ abilities in the travel industry. I fully trusted that, after more than 10 years in the industry, they knew what they were doing… They didn’t. We never got permission to fly from Billund to Los Angeles and so we had to divert the plane to Hamburg and then transport our guests from Jutland and Funen to Hamburg by bus. In Los Angeles a national airline refused to fly to Hawaii at the agreed prices, so I had to pay 2-3 times as much for this transport – an amount corresponding to what my guests had paid for the whole trip… So planes that were only half full and triple price from Los Angeles to Hawaii, sold at the phenomenal price of DKK 5,995 for 14 days… That would never make me rich… In fact, neither did the trips to Thailand. My colleague Kurt Steffensen claimed that he had a great contract with the world’s biggest airline… However, shortly before the guests were about to leave, it was to prove that the contract didn’t hold water. It was a desperate situation… DKK 1 million was the price I had to pay to rent a plane from SAS so that my guests got the Christmas holiday we had promised them… At the same time my guests in Mexico were freezing to death. We had promised them temperatures of 20 degrees and it was, at most, only half that. These were in fact the lowest temperatures ever in Mexican history, but my guests couldn’t care less. They just wanted a nice warm quilt and a coat until they could get back to Los Angeles, where temperatures were more humane… Oh yes, the little big travel agency did ”well”… If 1990 was bad, it was nothing compared to the beginning of 1991 when the first Gulf war started – and the travel industry collapsed… Quite a start in the travel industry… And DKK 30-40 million poorer. That later proved to be only the beginning… I have to admit that, at that point, I was just about ready to run away screaming – and leave the travel industry for good… However, that is simply not an option in my family… You have to be accountable for whatever you do… And so I was. 134 I HAVE A GOOD OFFER Jysk Sengetøjslager in Struer Has Made More Money than the entire Package Holiday Industry over the Past 15 Years In order to set up things again and get a grip of it all, I then hired Jens Veino who had previously been a managing director with Tjæreborg Travel. After studying things, he recommended letting Larsen Travel go bankrupt. That way I could save a double figure million Danish crown sum… I then had to explain to him that this was not what I had hired him for – on the contrary, he was supposed to get things into shape – and make Larsen Travel one of Denmark’s best travel agencies. I actually think he succeeded in doing that… Financially, it never became a success, but I blame that on the industry. For some reason the package holiday industry has never made any money since the days of Eilif Krogager and Simon Spies. Over the past 15 years the package holiday industry as a whole has made less money than one of my smallest bedding shops in Struer… Even after big international companies taking 135 HELLO MY NAME IS LARS LARSEN over… We Danes certainly have access to cheap package holidays… So – make sure you get out and see the world while prices remain where they are… As previously mentioned, they’re going up. As we experienced one loss after another, I had to put more and more money into the company. Annelene and Kurt were not capable of doing this. So, by 1991, I already owned 100% of the shares. . When I hired Jens Veino, I tempted him with the possibility of buying up to 30% when the company eventually started yielding a profit – which never became an issue. However, it was a major bonus for him if he succeeded. I also did it because I realised that I would never spend too much time on the travel industry… I wanted to spend most of my time on what I did best – and that is selling furnishings… and so I did… 136 I HAVE A GOOD OFFER Marketing at Full Speed in East Germany In Germany the wall was down and a big new market with 18 million potential customers was waiting with open arms and wallets filled with useless East German marks that had been exchanged for Europe’s strongest currency – the West German mark. The exchange rate was “only” in the ratio of 2-1, but it still created an amazing amount of purchasing power and that money had to be spent. One day, people had nothing and then, overnight, they suddenly became able to pick and choose among all the excellence things from the West. Many people flocked to our shops in the eastern part of West Germany and that quickly taught us what was top of their wish list. We wanted to be among the first to have shops in East Germany, but it was hard. There were no premises available – just about everything was ramshackle and therefore impossible to use for business. The few premises that were suitable had totally ridiculous prices. So we had to use untraditional methods over the first couple of years. We rented some highly peculiar premises – everything from sports halls to ramshackle factories. Advertising was also hopeless – the few newspapers around quickly learned to insert advertisements, but we never knew when it would appear in the newspaper. They could only tell us that it would be inserted when they could fit it in – not which day – in fact hardly even which week. “Of course” those who paid the most got their advertisements in first – and paying under the table often worked miracles. Everything was sellable – people had nothing. Money had to stretch as far as possible, so price was an important factor. So we decided to clear all our warehouses in Germany and Denmark of discontinued goods and goods that did not sell well and sell it in East Germany at heavily reduced prices. Everybody was happy. The East Germans got their low prices and we managed to weed out our stock thoroughly. Once these goods had been sold, we contacted our suppliers to help them get rid of all their surplus stock. Even garden furniture sold like hot cakes – even in the winter. They used it in their living rooms. When we started up in a new town and did not have a clue when our opening advertisements would appear in the newspaper, we made up leaflets and posters. My brother Knud from the mattress factory HUMALAMA then drove around in town in their big truck with stickers with our opening offers on it and sounded the horn. It attracted attention When we started out in East Germany, Åge Nielsen got a new ”company car” 137 HELLO MY NAME IS LARS LARSEN and sales were tremendous from the very first day. We weren’t always able to find a hotel in town that could fit in our staff. Then they had to live between the quilts and the mattresses. Water, lights, heating and telephones rarely worked, so it was just like coming to the Klondike during the gold rush… In fact, in some towns we had no premises at all and so we just put up some sales tables and sold the goods straight from our trucks. Even banks were a rare occurrence and sometimes we did not feel quite so safe depositing several hundred thousand DKK in what they called a bank, so often we had to drive several hundred kilometres to be able to deposit the day’s turnover in a West German bank. But we were there from the beginning and so we also learned to negotiate premises with the old Communist regime. Let me tell you - it was not easy. However, over the course of time we have succeeded in neutralising many social and cultural differences, although there is still a long way to go. Our big advantage in the first hard years was definitely being Danish. It was more acceptable doing business with Danes than West Germans. So we managed to build a big healthy chain of shops in the former East Germany in only a few years. Today we have more than 100 shops in this part of Germany – and more are on their way… 138 I HAVE A GOOD OFFER Swedish Willy Towels At about the same time as we moved into East Germany we also decided to capture IKEA’s homeland – Sweden. It was a risky business as the world’s biggest dealer in our trade – IKEA - dominated this market completely. But my philosophy was that if we could make it in the Swedish market, we could make it everywhere in Europe. No sooner said than done – In 1991 we opened the first shop in Malmö. We chose this city based on the simple philosophy that it was the closest to Denmark so that lot of potential customers would perhaps have heard of Jysk Sengetøjslager. At the same time it was also the shortest distance from our One of our newest Danish central warehouse and we could shops in Sweden borrow Danish employees during the start-up phase. Practically everything was based on the Danish model and then translated into Swedish. Even the company name was translated directly to Jysk Bäddlager. However, this direct translation from Danish into Swedish also caused some misunderstandings. For example, our opening advertisement was quite a disaster… Throughout all the years it has been our practice to give every customer a present on the opening day. Usually 3 tea towels – and so we also did this in Malmö… or so we thought… In Swedish tea towels are called ”kökshanddukar”. This was all very well – except for the minor problem that we had because the opening newspaper was printed and laid out in Denmark. For inexplicable reasons the Swedish ö became a u – a trifle that none of the Danes noticed… But our Swedish customers certainly did… Now it didn’t say tea towels… Instead it said – pardon me my language, but it did – ”WILLY TOWELS”. At the opening of a new shop we have also always advertised that our “helper” would serve coffee and a cake in the morning to those who showed up early. Naturally, we did the same in Sweden… Or so we thought… But for some inexplicable reason ”helper” had been -and one of our first in Danmark translated into ”TOMTEN” – which is an entirely 139 HELLO MY NAME IS LARS LARSEN different person… He could certainly also be useful – at a certain time a year such as December. But this was January – when ”SANTA CLAUS” does not normally serve coffee in the morning… Now We Pay our Taxes in Sweden – and Are Happy to Do so I do no know whether it was because of these exciting new initiatives – or whether it was because of ”Jysk Bäddlagers” other opening offers. But one thing is certain – the Swedes loved this strange new shop – with the somewhat advanced offers… Our success was in the bag, at least in terms of turnover and attracting customers. As regards profit, it was a disaster… Unfortunately, the Swedes devalued their currency by no less than 30% a few months before we were about to open… What was the impact of that on JYSK? Well – all the goods were delivered from Denmark which meant that our Swedish shops suddenly had to pay 30% more for the goods – without being paid a penny more for it. IKEA and the other Swedish competitors bought most of their goods in Sweden and so it did not feel for them as if the value of the Swedish crown had decreased by 30%. If I had not been so stubborn, JYSK would probably not have been what they are in Sweden today – one of Sweden’s biggest chains of shops with more than one hundred shops and a turnover of DKK 2000 million and a profit of more than 100 million a year. But before this fantastic result, it took 10 hard years with one loss after another. At its worst, we had a deficit of more than one hundred million. We have now recovered that money – and today JYSK pays large double figure million crown sums in taxes to the Swedish state… and we are happy to do so… After all, you only pay taxes if you actually make money… We have also learned the Swedish language… sort of… There was one episode some years ago when we had the Christmas party, and my Swedish employees gave me a nice leather bag. My Danish master of ceremony, Kurt Møller, delivered the bag to the reception at the hotel where my wife Kris and I were staying. He went home before us, so in order to make sure that I remembered the bag, he asked the reception to call my room and remind me to remember the bag… 140 I HAVE A GOOD OFFER The nice lady in the reception looked terrified and refused to make the call… However, after some talk they realised that it was a confusion of languages… In Danish a bag is called a taske, but in Swedish this actually means “a man’s private parts”… I guess it was no wonder that the receptionist refused to pass on the message… The American Dream Things were incredibly busy at the beginning of the ’90s. This was also when I wanted to test my strength ”over there” – in the USA. I went there several times to study the market and concluded that they definitely needed Jysk Sengetøjslager… For instance, they had no quilts… They merely slept in annoying blankets and sheets… This had to be just the market for ”THE QUILT KING”. I contacted my skilful manager Ulrik Madsen in Vildsund close to Thisted, who had previously expressed a desire to see the world and open Jysk Sengetøjslager shops. He was all for it and was sent to Sweden for training, where he could see how to tackle the task – opening shops in a new country. At the same time, some of my employees and I once again went to the USA to prepare everything. There is a lot that has to be put into place before being ready to start up in a new country – and we quickly realised that there was even more when it was in the USA. We had to find suitable premises, gain permissions from the authorities, talk to the bank, accountant, lawyer, advertising agency, etc. We also needed to find some American suppliers – which turned out to be by far the trickiest part… In Europe we had experienced how difficult it could be when we started up in a new country - the big well-known suppliers did not dare do business with us. However, if this caused us problems in Germany, Norway and Sweden, it was nothing compared to the USA. Most suppliers simply laughed at us when we wanted to buy goods for delivery 3 months later… We couldn’t just do that… They had their regular clientele and didn’t just take in new customers. However, we did find some suppliers – probably not the best – and definitely Ulrik Madsen - my man in the USA 141 HELLO MY NAME IS LARS LARSEN not at the best prices, even though I told them about our high standards in Europe – that we were among the biggest and it would provide them with big opportunities for the future. Not just in the USA, but also in the European market, which in fact they did not know at all. Swings and Roundabouts in American I will never forget a visit to one of the big manufacturers of towels, who graciously let us buy a series – consisting of facecloths, towels and bath towels. We agreed on quantity and price. They explained to me that shops sold most bath towels, which I did not understand as we sold twice the number of standard towels as bath towels in Europe – to which he replied: ”I understand – but now you are in America” – and explained to me that here in ”God’s own country” they used bath towels as special offers and so they sold twice as many of that size. I then summoned up my courage and asked him if he could help me price the series. No problem. You have paid $4.95 for the bath towel – then you have to sell it at $3.95… ??? I had to chew on that for a moment… buy at $4.95 and sell at $3.95… You would certainly never make any money from that – which I carefully tried to explain to him. To this he replied: ”You will, as long as you make enough money on facecloths and standard towels”… I thought it over, and then I told him that meant that I had to charge almost the same price for the facecloths and standard towels as for the big bath towels… ”Yes, now you’re getting the hang of it”. The next day I went to various soft furnishings shops to do some research. Very true. If a bath towel cost $3.95, a facecloth would typically cost $2.95 and the towel $3.45. That meant that a facecloth of 30x30 cm cost more than half the price of a bath towel of 70x140 cm. A quick calculation will tell you that a bath towel is about 10 times as big as a facecloth and therefore ought to cost about 10 times as much, since all sizes are bought at the same kilo price. I do know the expression that what you gain on the swings you lose on the roundabouts. We use the same principle at JYSK, but a somewhat different version. A European would never accept having to pay such a relatively high price for the facecloth and towel but would just buy the bath towel, and there wasn’t much business in that. We had to learn this kind of trick if we wanted to make it ”over there”. At first I thought that almost all Americans were more or less ”crazy” to go for such obvious advertising tricks, but they simply love shopping in this way, where they get something in return for paying too much for something else. The more insight I gained into their crazy ways of attracting customers, the more frustrated I got. It was quite common to advertise a mattress for $1 and then write underneath in small print that it was on the condition that 142 I HAVE A GOOD OFFER they bought another mattress for $199. We advertised the same mattresses for $89, but the customers were not interested. Or how about a free quilt – if you bought a pillow for $49. We sold the quilt and the pillow for $39 - unsuccessfully. Or how about a free watch – as long as you also bought bed linen for $29. We sold the watch for $5 and the bed linen for $19 - not interesting. In the US we were called Jysk Bed’n Linen The Americans Pull the Consumers’ Leg I just felt that the American marketing laws were pulling the leg of the consumer – the law could be interpreted in a few words: ”EVERYTHING IS LEGAL – but you cannot lie about your competitors”. It did not say anything about not being able to take your customers for a ride. I have to admit that it might be one of the reasons why we were never successful ”over there”. However, I refused to use this ludicrous form of marketing. Today I still wonder who is the most “crazy” – the Americans or me. They do say ”when in Rome, do as the Romans do” – and so I ”forgot”. However, we did find several suppliers – some more serious than others. I particularly remember one of the – so to speak – untraditional suppliers. We found them on 5th Avenue in a commercial house on the 5th floor – some experience. We were a whole delegation of ”silly Europeans” – I am sure that’s what they thought. And they made sure to tell us so. The company was run by a family consisting of a father and his 3 sons. I told them what we were there for and about all the European shops we had. Now we wanted to try our luck in ”God’s 143 HELLO MY NAME IS LARS LARSEN own country” and were hoping they could help us. ”We can – our first piece of advice is… forget about it… Go home and stick to your nice, healthy company in Europe… You will never make any money here”. Then I had to tell them about how stubborn Jutlanders are and asked them whether they wanted to do business or not… And they did. Then there followed something that was most reminiscent of a ”Monty Python” show. The 3 sons started digging out samples while the father sat in his office with the calculator and shouted prices to the big showroom. We also ended up finding some surplus stock we thought could be sold at just the right opening prices. At the end we discussed the terms of payment… ”We only use one type of payment… Cool cash”. That was okay, but being a businessman, I wanted a 5% cash discount… The oldest son shouted this to the father, who immediately shouted back… ”Give them 10%… They will probably never pay anyway”. That’s how it ended up… We did pay, but we got 10% when we asked for 5%. I have to admit that we were somewhat sceptical when we left and thought that the goods would never be delivered… But they were. Today I sometimes wonder if my Jutland business talents could match those of an American business family… The Shops with All the Odd Products We sent the vast majority of goods there from Denmark. A few products were successful, but the vast majority of them were impossible to sell. The customers simply did not know what to use them for. For example a customer asked me where she could find the paste for the oilcloth???? She thought it was waterproof wallpaper… Or how about the man who came to pick up a tool cupboard… He had bought the very finest wardrobe in solid lye treated pine… Or the customer who complained about the dishcloths – they were the worst facecloths she had ever tried… Or all the customers who complained about the dirty name of our very finest series of towels, ”Beaver”. We had no idea it was American slang for the female genitals… I could go on and on with stories like that. We had certainly crossed the ocean – and it was probably further away than we thought. But in for a penny, in for a pound… Reception with Hans Christian Andersen, but No Victor Borge After almost a year of preparations we were ready to open JYSK Bed’n Linen in Shrewsbury in the state of New Jersey, about 1 hour’s drive south of New York. On Friday March 13th, 1992, all of the USA and Denmark is invited to the reception. From Denmark a huge delegation of about 50 people arrives to see what Quilt Larsen is doing now - a mixed gathering of suppliers 144 I HAVE A GOOD OFFER Unfortunately Victor Borge could not make it and employees from JYSK, who are there to help with the opening. They also brought along a replica of Hans Christian Andersen and a nearly authentic Viking playing the lure. From the USA came the mayor of Shrewsbury and other prominent guests, as well as the few brave American suppliers, the accountant, lawyer, bank connections and advertising people. I had also invited along the Danish foreign minister, Uffe Ellemann, and Victor Borge. However, they did not have time for it. So they sent their apologies. However, we made it through the reception without them. The lure was sounded, Hans Christian Andersen’s poems were read and I crawled on top of a stack of mattresses with a pea underneath and gave a speech in my best school English – and the Americans really are such nice people. They claimed they understood my speech… and at the end the mayor gave a speech and wished us well in the States. 145 HELLO MY NAME IS LARS LARSEN Which we would certainly need… Already the very next morning, on the opening day, his police officers came along and took away our opening banners and goods from the street. You could not use such things in God’s own country. However, we partied all day and had plenty of Danish beer, schnapps, herring and liver pate and everybody had a great time… Some of the employees and Kris and I were staying in New York, where the party continued all night… Vikings and Hans Christian Andersen came along for the opening in the USA Two Openings and a Deficit of 50 Million On Saturday 14 th March 1992 at 8.00 am we then opened the world’s first JYSK in America. I had agreed with the mayor that he and I would inaugurate the shop at 8.00 am and a Danish TV crew would film this historic event. Fate would have it differently… The TV crew did not arrive until after 9. They got lost – or some sorry excuse. However, I did not want them to miss this world sensation. So I got on the phone, and at 10.00 am the mayor and I were ready once again… This time in the presence of the TV crew. 146 I HAVE A GOOD OFFER That’s how it came about that our first shop in the US was opened twice. Whether that was the reason for the lack of success or whether it was the Jutlanders’ lack of understanding of the Americans’ shopping habits will remain unknown. The fact remains that we never learned ”the American way of business”. It was not that we did not give it a try. In fact, we fought for eight years to make it work. We tried different locations – different company names – different assortments and different marketing strategies. But it was all in vain. At its height we had 6 shops with a, by all accounts, interesting assortment that consisted of the best from Europe and the USA. But it was impossible to make any money – on the contrary, we accumulated an increasingly bigger deficit, which in the year 2000 was almost DKK 50 million, before I put my foot down. In 2000 we decided to close down for good… and yet… The stubborn guy from Thy would not quite let go of the USA. After all, we had learned a lot about the Americans over those 8 years. When we started up in 1992, I put Ulrik Madsen in charge of the USA but also hired the young furniture expert Torben Ovesen as his right-hand man. They both thought that we had opportunities in furniture. After some market research that showed that the Americans would like to buy Scandinavian furniture, we decided to give it one last chance. The result was an interesting furniture shop of about 1000 m2 – filled with the best of Scandinavian furniture – combined with Italian leather furniture as well as smart tables and chairs. We named it ”Inspiration”… This was just the thing for the Americans… Shortly afterwards, we opened the second shop of 3000 m2 and now we have opened no. 3 – and more are still to follow. We never taught them to sleep under Danish quilts, but now we hope that, in future, they will decorate their homes with ”Danish designs”… The start-up looks promising… And who knows?… Perhaps some day they will also learn to sleep under Danish quilts… For that reason we haven’t stopped keeping an eye on the American market. As late as in 2001, a big delegation from JYSK went to the USA to see if we could learn anything from the Americans. You always can. But I have to admit that I also learned that it can be dangerous for a company to travel with so many people from the management together. On the study tour my son Jacob and I, the managing director for JYSK Nordic, Jan Bøgh, and the managing director for Germany, Åge Nielsen, as well as another handful of people from management all participated. We all went for dinner together in the restaurant on top of the World Trade Center – and we all know what happened a few months later. Larsen Travel - an Alternative to the Big Companies While I open up shops in East Germany, Sweden and the US, Jens Veino and Co. work intensely on turning Larsen Travel into an exciting alternative to the big package tour operators. As early as 1991, we launch one of Denmark’s most exciting travel programmes, which I and 147 HELLO MY NAME IS LARS LARSEN a bunch of employees introduce all over Denmark from an old English double-decker bus. Among the biggest news was New York for DKK 1998, as well as the West African state Sierra Leone – one of the poorest countries in the world but with some of the world’s most beautiful beaches. In November 1991, I invited the Danish press and a bunch of employees down there so that everybody could see what it was like… It was the experience of a lifetime… It was very poor – and it was a true paradise for us Scandinavians. I will never forget when we needed to exchange to their local currency, Leones. They were not counted, but instead the thickness of a stack of bank notes was measured. 9 cm equalled DKK 100. Every bank note had a value of about 10 øre…their biggest bank note, that is! Sierra Leone only had about 10,000 tourists a year, and now a Scandinavian they had never heard of wanted to double their tourism. That really attracted attention. In fact so much so that we were invited to an audience with President Momoh, to whom I gave 2 lovely down pillows from JYSK. I later went to visit the president’s wife for afternoon tea, where among other things we talked about disabled sports, which we were both, interested in. Before going home I gave the president and his wife a standing invitation to visit our home in Silkeborg. A few months later the president was toppled and a civil war had started – a war that is still raging. But I have to admit that for a long time, whenever the doorbell sounded I wondered if it was President Momoh and all his family waiting outside having decided to accept my invitation. Unfortunately, Sierra Leone was a brief encounter. However, I think that everybody who visited this primitive country saw it as a fantastic experience and will remember it for the rest of their lives. I also remember Sierra Leone from a visit at Jysk Sengetøjslager on Amagerbrogade in Copenhagen. I had just come back from my press trip and an elderly gentleman came to me in the shop and asked me if I could advise him where to go on holiday… Then I started on my sales speech – about all the excellences of Sierra Leone – I was virtually impossible to stop… But finally the elderly gentleman got to say something… ”I don’t like black people”… There I was with all my business talents… And after collecting my thoughts for a minute, I managed to stutter that he probably should not choose Sierra Leone… Man of the Year in London – and Dragged Through the Mire on the Radio But things were happening in Larsen Travel. At the end of the year we were able to present a world sensation in the Scandinavian travel industry – package holidays to Japan – at prices from DKK 5000. Previously the cheapest prices had been around DKK 15,000. It was also at the end of 1991 that I was elected man of the year in the Scandinavian travel industry at a big ceremony in London. The so-called ”Global Award”, which is awarded each year at the 148 I HAVE A GOOD OFFER Jens Veino and I in a promotion for Japan ”World Travel Market” to people who have helped renew the travel industry. A total of nine people from the travel industry from all over the world were given the award – and among these also the quilt dealer from Silkeborg. I was rather proud of that, but one of my arch rivals in the travel industry, Poul Erik Madsen – also known as ”Honest Madsen” – definitely wasn’t. He had been in charge of several of the big package tour operators and was clearly frustrated that a JYSK quilt deal was rubbing shoulders with people in his industry. In a radio show with Lars E. Christiansen, which many people probably remember under the name ”Trafikradioen” (Traffic Radio), he abused me, using every name under the sun. He said that I would get a ”thrashing” and told me to go back home to Jutland to my quilts that were all I knew anything about – and to leave the travel industry to the experts, etc. I then explained to him that this 149 HELLO MY NAME IS LARS LARSEN Travelling the country on the back of a camel was a free country with freedom of competition and asked him if ” it wasn’t just a case of sour grapes”. Some years later we met again… He was now the managing director for the merged Larsen Travel – Herning Charter and Simons Charterkompagni… and I was chairman of the board… Time heals all wounds, so we just laughed at our old controversies. In 1991 Larsen Travel jumped on the ”money back in 10 years” bandwagon. . This idea came from Great Britain and meant that the customers could buy a holiday trip now and then get a full refund 10 years later. We paid some percentage of the turnover to an English insurance company and then they would refund the money. However, it was quickly prohibited in Denmark – and it was just as well, because it turned out that Danes have a better memory than the British. Assisted by the press, which was good at reminding the Danes that they were owed money. After the 10 years, far more people remembered it than the British insurance companies had anticipated. It wasn’t just holiday trips that were sold in this way, but also carpets, radio, TV’s and white goods. Some insurance companies went broke – others tried to repudiate claims in one way or another – e.g. if the guarantee had as much as a tiny fold or the like. Our British company did not like the situation either and tried to drag out the payments. Of course, the customers eventually lost patience so that I had to fork out some millions to settle this affair. These were in fact the last millions I had to pay in connection with Larsen Travel… 150 I HAVE A GOOD OFFER Headman from Borneo and Quilts in Gran Canaria In 1992 Larsen Travel launched the most comprehensive programme so far – containing at least 20 destinations in Europe as well as interesting destinations such as Borneo, Sri Lanka – even travels around the world. To market this fantastic programme we had to use untraditional marketing methods. So they put me on the back of a camel and off we went with big Larsen Travel shows in sports hall – starting in Hjørring in the north to Århus in central Denmark, Åbenrå in the south, Esbjerg in the west to Odense and finally the Forum in Copenhagen where 3000 people came to hear about the excellences of Larsen Travels. In each town we started out with me on the camel surrounded by Larsen guides who were distributing holiday brochures and programmes for the evening’s big show. We had a full house in every town – which means at least 1200 people a day. On stage, in the evening, Jens Veino told people about all the excellences of Larsen Travel. I was driven to the stage and told people about all our new initiatives. We had made a ”shop in shop” at all branches of Jysk Sengetøjslager – and hey presto – suddenly we had 73 Larsen Travel shops in Denmark whereas our colleagues only had a few. We guaranteed quilts in the beds at several European destinations. The customers hated the annoying blankets and sheets, and with the connection with Jysk Sengetøjslager, it was the obvious thing to do. I also told people about initiatives like now being able to rent a coffee machine and video camera at the reception at the hotels. None of these initiatives had been seen before in the travel industry. We had procured a true headman from the rain forests of Borneo who did a rain dance. We were showing movies from the exciting destinations – and served exotic samples in the lobby, where our sales people were ready to give people further information. Naturally they could also book their trip here, if they knew where they wanted to go – and naturally people were given a small discount in honour of the occasion. On stage the evening ended with me and my employees singing a song that had been especially composed for the occasion, with the incisive lyrics ”Around the world with Larsen”. We certainly worked hard to turn Larsen Travel into a success. To market our trips around the world we arranged a world tour for the Danish group Shu Bi Dua… etc. There was no lack of creativity and over the following years we grew big and went to destinations all over the world – from Australia and South Africa to Kenya and Egypt in the south, to Greenland in the north – to Singapore, Bangkok, China, Malaysia, Borneo, Hong Kong, Vietnam, India and Nepal in the East, and to New York, Miami, Los Angeles, Canada, Cuba, Hawaii, Mexico and Venezuela in the west - and of course to about 20 destinations in Europe. An incredibly interesting time where I was constantly closely followed by the press – not least when we went on press tours all over the world. They have given me an invaluable amount of marketing. Not always in the way I wanted it – but often with a hint of sensation – and headlines I’d rather have been without. However, in retrospect I understand the thought-provoking words of the late Simon Spies: ”Bad publicity is better than no publicity”. 151 HE L L O M Y N AM E I S L ARS L ARSE N ere ahs eben o h T bthcricst m andp raise in h et rpess over h et last25 ey ars 152 I HAVE A G OOD OFFE R 153 HELLO MY NAME IS LARS LARSEN Holiday in All Sorts of Ways At the same time as I was building up Larsen Travel, I started developing alternative holiday products. In this way I felt that I became less dependent on the weather – and ups and downs in the travel industry. The first step was buying ”Difborg Tours” in 1992, which was a small travel agency that had specialised in individual holidays with scheduled flights – mainly to the USA. We renamed the company ”Larsen Special Travel”. Here we arranged holiday trips for individuals – or big and small groups who wanted a different holiday from what could be found in the traditional holiday brochures. A nice small niche production, as it was easier to calculate a price because we mainly used scheduled flights and so we knew all the fixed costs. At almost the same time, I bought a small company in Hjørring called ”Trip Away”. It had specialised in holidays at hotels and inns in a new kind of way. The idea was to make deals with Danish hotels and inns that didn’t have enough people staying overnight or customers in their restaurant. It was the latter that made many of them join us. We agreed on a price for the stay, which had to be at least as cheap as when they were running promotions themselves. The offer was that if you paid DKK 250 for the stay, you could eat for free up to a maximum value of DKK 250 if you bought a coupon for DKK 50 at Jysk Sengetøjslager. We would then earn the DKK 50 and the hotel or the inn would earn the DKK 250 as well as any money they earned from the sale of beer, soft drinks and wine which people bought to accompany the free food. Often the customer bought a slightly better wine than they normally would have done – after all, the food was free and the accommodation was cheap. When I took over the company, we changed the name to ”Larsen Hotel and Inn Holidays”. We began a tremendous expansion of the chain as well as similarly extensive marketing in national newspapers and in Jysk Sengetøjslager’s own papers. We organised it in nice big catalogue that people could pick up at JYSK. Later, North German and Swedish hotels and inns were also included so that we got up to about 150 hotels and inns. We marketed it under the slogan ”Have a cheap stay – and eat away the money”. A good product which people can still buy at JYSK, but today it’s owned by Jens Veino, to whom I sold it when I decided to end all my involvement in the holiday sector. Larsen Travel Yielded a Profit – One Year In 1992, I started in the summer house industry with ”Larsen Sommerhusferie” (Larsen Holiday Homes). After a couple of years we were among the biggest and had a huge brochure with 3-4000 summerhouses. Everything was run from Løkken, where I bought a course centre and turned it into the head office. We also opened a sales office in Flensburg under the name ”Larsen Ferienhäuser” and all my German bedding shops distributed the brochures – just like they did it in Denmark, 154 I HAVE A GOOD OFFER Norway and Sweden. A huge project with a turnover of several hundreds of millions of Danish crowns… and a huge deficit. But once again what mattered to me was to attract people to all my shops – and it worked… People flocked to the shops in hundreds of thousands to pick up holiday brochures, and brochures for hotels and inns as well as summerhouse brochures. The following year they also distributed ”Larsen Kør Selv Ferie” (Larsen Self-Drive Holidays), which was the next addition. This was a company that, in association with a big English company, offered camping holiday all over Europe – and mind you, without needing to bring along a tent or a caravan. In fact, all you needed to bring was your toothbrush – everything else was ready and waiting for you at hundreds of camping sites. In 1995, I bought a holiday centre in Gedser together with a friend – John Nissen. It consisted of 56 houses, a camping site, swimming complex, restaurant and cafeteria. Now we had a complete holiday collection that covered nearly every type of holiday so that we were no longer dependant on the weather and the customers’ financial position. We were able to offer holidays for everybody – in all price groups – and both in Denmark and abroad. Jysk Sengetøjslager could offer it all… Even Larsen Golftours was on offer… Since we were arranging holidays to all sorts of countries anyway, it did not take much to choose some of the most popular golf destinations and sell an additional package with golf – a very exciting product that we actually made money from… which was in fact very difficult – or practically impossible in the entire holiday sector. Every year I thought – possibly somewhat naively – that now I would succeed – but the fact remains that almost every year something came up which ruined my calculations… First it was the weather in Mexico, then the first Gulf war, then airlines that broke the contract or went broke, then earthquakes, revolution and war, tourists being killed in Egypt etc. However, there was one year – 1994-95 – when I did in fact succeed in making a small profit of about DKK 5 million at Larsen Travel… This was an isolated occurrence, though… 155 HELLO MY NAME IS LARS LARSEN Made up on the Quilts What We Lost on the Holiday While money was pouring out of the holiday sector, all my good bedding employees actually succeeded in making even more money than what the holiday sector consumed. In fact I have to admit that my bedding employees were incredibly patient – and gave me a very long rope. However, it could not last in the long run, of course. Even though it was my own money, meaning that I could spend it as I wanted, it was not exactly a motivating sight. So, even by the mid ’90s I had in fact started looking around for an opportunity to escape from the holiday sector in a nice balanced way, so that I did not lose customers and credibility. However, it was not that easy getting rid of it – and it turned out to take 3 years before somebody ”swallowed the bait”. I never dreamt that it would be my ”good friend” ”Honest Madsen” – the guy who rubbished me on the radio – who would become my rescuer… But I will come back to that. My partners from the beginning, Kurt Steffensen and Annelene Hein Larsen, worked for Larsen Travel for some years. However, in the mid-’90’s our ways parted. Both Jens Veino and I agreed that we needed a change. With the benefit of hindsight, their acquaintance had cost me dearly. Instead competent people from the travel industry took over and, together with Jens Veino, they actually managed to turn Larsen Travel into a good, trustworthy travel company. In 1996, some former employees of Larsen Travel started up a new travel agency – Calypso Travel – and it soon turned out that my old partner, Kurt Steffensen, was also involved in this company. Even though we knew that they would have a short life span, they destroyed the market completely with totally unrealistic prices. We were forced to either accept a heavy decline in the number of holidays – or in our earnings. Once again I had to choose between the devil and the deep blue sea – and once again I chose to lose money. By matching their prices. Another year with a deficit was a reality once again – and yet another travel agency went bankrupt – and with a big bang in the process. Probably about DKK 20-30 million in a few months – this was in fact a new record for Mr Steffensen, who ever since then seems to have vanished from the face of the earth. As far as I’m aware, nobody’s missing him…I for one certainly don’t. But he was not the only one… In the ’ 90s, bankruptcies in the travel industry were actually a monthly event. Each time we others had to pay for it. We paid an amount per each holiday we sold to the travel guarantee fund, which made certain that the customers would be indemnified. That is okay, but the problem is the incredibly small risk a new company runs. These are rules that should be changed if the industry wants a chance to develop for the better. The way rules were and still are today, it is in fact possible to start up a travel agency without having a penny. By letting the customers’ prepayments finance the company, the travel guarantee fund pays with all the millions that the serious companies pay in year after year. It’s a mystery to me that people let it continue in this way. 156 I HAVE A GOOD OFFER In 1996 it is the end of Spies and Tjæreborg. Their funds are exhausted and they are sold to a big English company. Suddenly ”Larsen Travel” is the biggest Danish owned travel agency. Not that you could make a living from it. 157 I HAVE A GOOD OFFER Alletiders Larsen Travel In 1998, I am contacted by my ”good friend” Poul Erik Madsen, who represents one of Europe’s biggest travel companies – the Swiss company, ”Kuoni”. They are interested in establishing themselves in the Scandinavian market. After months of tough negotiations, they end up buying Larsen Travel and a couple of other companies. They merge them into one big travel company named ”Alletiders Travel”. Poul Erik Madsen is appointed managing director and I become chairman of the board. My payment is some shares in the new company – as well as a lovely big sum of Swiss francs. An amount I found entirely satisfactory and that covered the majority of the losses that had accumulated in Larsen Travel throughout the years. With my retreat from the travel industry, I decided to retire completely from the holiday sector and concentrate on furnishings instead. Kuoni also bought Larsen Self-Drive holidays. Jens Veino, who stopped at the same time as Larsen Travel, bought Larsen Hotel and Inn Holidays. Dancenter bought Larsen Summer Homes, and Gedser Holiday Park was also sold. The only thing left in the holiday sector was Himmerland Golf & Country Club, which I still own together with my friends. I don’t intend to change that… Back to the Quilts As previously mentioned, it was not a case of everything else being on hold on account of the travel industry. We still opened shops non-stop in Denmark, Germany, Norway and Sweden. By 1995 we were ready to conquer Finland… we thought. But there was the issue of the language… There may be phrases in English, German, Norwegian and Swedish that I do not understand. However, it is nothing compared to Finnish – oh dear. The company name alone gives an idea of the problems - ”Jysk Vuodevarasto” – how about that. But it was like this all the way… I didn’t understand a word and the words were so long that advertisements that were translated directly from Danish took up 10-20% extra space. In TV commercials we also needed to buy extra seconds – speaking in Finnish simply takes longer than any in other language… So I decided from day 1 not to learn Finnish… Instead I chose to hire Finnish managerial staff who also spoke Swedish, and that did the trick. We opened the first shop in Turku – and had reasonable sales. Nothing extraordinary, but sufficient for me to dare move on, so that today we have more than 40 shops. I expect to reach 60 in a few years time. However, it wasn’t only the language that caused us problems. We were far away from home – and had to learn all about tastes, mentality and, not least, competition. We spent several years and a lot of money on that, and we now look set to succeed. I hope to see the first profit in Finland in 2004, so that we can also start paying taxes there, which is my favourite hobby… The travel industry was expensive – but good fun. Source: BT 159 I HAVE A GOOD OFFER 100 Dollars for a Bunch of Roses In 1996 we open the first franchise shops in Moscow, and after a couple of years we reach 12 shops and everything look promising. However, one day the Russian currency – the rouble – looses its value. From one day to the next, our goods suddenly cost 4 times as much. The people who had invested in this Russian adventure had to give up and close down all the shops. However, I am certain that in a few years time this country, with its huge potential, will once again have JYSK shops. I particularly remember a funny episode from our Russian adventure. Kris, my franchise manager Ole Poulsen, and I were in Moscow to see all the shops. In the evening we went out for dinner with the Russian management – and no expenses were spared (they were paying). There were about 20 of us – of whom 6 were ladies. At some point in the evening a flower lady came into the restaurant and I thought I would splash out a bit after the formidable dinner we had been treated to. So I called over the flower lady, who happened to have 6 long-stemmed red roses… I took them and elegantly gave them to the ladies, who bowed and thanked me and were all smiles, and probably thought that Mr Larsen was incredibly gentlemanly. However, it didn’t last long… I also had to pay for the roses… The small shy flower lady told me the price – without as much as lowering her eyes: ”100 dollars”. Everybody at the table went deadly silent… I tried to explain to the lady that I wasn’t paying for all the ladies in the restaurant but only for the 6 ladies at our table. She was fully aware of that but they still cost 100 dollars. Then I had to try to explain to her that it was much more than in Denmark, which she didn’t deny… But here they cost 100 dollars… It became increasingly embarrassing – and the ladies also became embarrassed that they had put me into this situation. I thought it over carefully. Should I pay with a smile – and, in so doing, show my staff how careless I was with money by paying the same for a rose as they were paid for several days’ work? I made a quick decision, stood up and went around the table, collected the roses and returned them to the flower lady. However, she merely turned around to the neighbouring table where 2 Russian gentlemen immediately paid 100 dollars and gave each of their ladies 3 roses… I do not know what the ladies at our table thought of the whole situation but the following day I gave them each a big bouquet of red roses, which cost me less than half of the other ones… In the space of 2 days I guess I saved the situation - or did I? In any case, my man in Ole Poulsen. The Royal Family never flies together Russia claimed that his staff learned a lot that evening… 161 HELLO MY NAME IS LARS LARSEN My franchise director, Ole Poulsen, nicknamed me the ”Rose Cavalier”. However, dear Mr Poulsen had never been one to hide his light under a bushel. Once he went with me to the Faroe Islands - and we were sitting at the airport in Torshavn waiting to fly to Iceland. We started talking about how this airport was very difficult to fly and there had previously been plane crashes, after which he remarked that we probably shouldn’t be on the same flight. Suppose we crashed… Then there would be nobody left to run the company… And it was no coincidence that the royal family never flies together… Quilts for DKK 50 I remember August 6th, 1998 better than other red-letter days. I turned 50 and I wanted to celebrate it – at any cost! It ended up costing me DKK 10-12 million + a fine of DKK 175,000. I think it was grossly unfair, but that’s an entirely different matter. I decided to give my dear customers an extra good offer on the occasion of my 50th birthday – and what was more natural for ”Quilt Larsen” than selling quilts for DKK 50 – just like for the company’s silver jubilee when I will of course sell quilts for DKK 25. I had chosen 3 different quilts – some patterned quilts, which I normally sold for DKK 99, as well as some white fibre quilts that cost DKK 148 and DKK 198 respectively – in total just over 100,000 quilts. On August 5th I then appeared on TV with this fantastic offer, where I showed the 3 quilts in question. I explained the following and it was also shown in writing: ”Quilts – regardless of the previous – now DKK 50. Take your pick.” – implying that of course it was the 3 quilts I showed… But the press and some of the customers interpreted the TV commercial in a somewhat different way, which ended up being somewhat more costly – namely that the offer included every quilt in the shop. No matter whether they were white or patterned – and no matter whether they previously cost DKK 500 or DKK 5000… ”Quilt Larsen” may be known for his good offers – and I, along with 99% of our customers, thought it was a good offer – but for me to be so generous that all quilts at Jysk Sengetøjslager would be given away for DKK 50 – that thought had not even crossed my mind even in my wildest dreams. However, with the benefit of hindsight, I am honoured that the press had such a high opinion of my offer. But saying that, I am also disappointed that the same people could in fact believe that I would have missed out on telling them that it also included quilts that cost several thousand Danish crowns. As the day progressed and the newspapers came onto the streets, and radio and TV told about the best offer of the century - the more customers became convinced that it did, in fact, include all quilts. By the end of the day it was total chaos at JYSK. We even had customers who barricaded themselves in the shop and refused to leave the ”battle field” 162 I HAVE A GOOD OFFER until they got their quilts worth DKK 5000 for DKK 50. This was, in fact, a somewhat comical situation, as the most expensive quilts would, of course, have been gone within 2 minutes of opening, if the offer really was as the press described it. Then only the cheapest quilts would have been left in the afternoon when panic was spreading. So you could ask yourself, who was actually cheated? In any case it was not those who did their shopping in the early morning, as they rightly got the best quilts. Even better than I had originally planned, as I decided to include all white and patterned quilts in the shop – no matter whether they were much more expensive than DKK 198. By doing so I took into account that there could be various misunderstandings and the customers in the afternoon got what would have been left anyway. I have to admit that, even today, I still wonder how the deuce I lost this case. However, business goes on – and it has not discouraged me from still giving a good offer. 163 GO’DAW JEG HEDDER LARS LARSEN 164 I HAVE A GOOD OFFER Oh No – Is He Dead? At around the same time I also started studying another country – Poland. Remembering Russia, I did not like the idea of making the entire investment myself. Then one of my suppliers and good friends, Søren Eistrup, suggests having a talk with a Polish businessman, whom he had heard was interested in investing in JYSK Poland. No sooner said than done – Søren Eistrup, Ole Poulsen and I go to Lodz in Poland and spend all day negotiating a partnership in this big, interesting market. It must have taken its toll on me because when we returned to the hotel in the evening to have a shower before going out for dinner, I was ready before the others and went down to the reception to wait for them. But, as fate would have it, I fell asleep. Shortly afterwards, the others come down and Søren Eistrup looked all red-eyed with crying, as he had been told that one of his dear work colleagues had just died… I have no idea about that as I am still fast asleep. But the lady in the reception notices and asks him what has happened. Then my good friend Søren sobbingly stutters: ”My friend is dead”. The receptionist takes a terror-stricken look at me… ”Oh my God – is he dead”? A scream resounds in the room as I jump up from my sleep, and the lady is all confused – and very upset at Søren who in vain tries to explain the situation to her. Meanwhile Ole Poulsen smilingly looks at the scenery and senses a certain similarity to ”Fawlty Towers”. No arrangements for working together ever came out of the meeting in Poland, but my interest in the country was aroused… In 2000 we opened the first shop in Gdansk ourselves. However, before we made it that far we had been through more than a year of preparations. Things were difficult in Finland, but here we faced a challenge of entirely different dimensions. Here it was not just the language that caused problems. Here we came across the remains of the Communist system with all the problems it implied. It involved everything from negotiating leases to various authorisations that needed to be sorted out in order to be allowed to import foreign goods into Poland, make a computer system work, train personnel etc. We found a Dane, Mogens Sass, who had helped set up other Danish companies in Poland and we also found a Pole, Piotr Padalak, who spoke Danish fluently and who had been working in Denmark for many years. A perfect combination, which in cooperation with the entire Danish organisation, solved the job in the best possible way. Today Piotr Padalak is the head of all of Poland, which now has nearly 50 shops. As the Polish economy gets better, there will be room for several hundred shops. However, first we need the first shops to become profitable before moving on. In 1998 I turned 50 and my managing director in Germany, Åge Nielsen, turned 40. So it was quite natural to combine the 2 parties into one big party - the 90th birthday. For the occasion we did the German sketch, “Dinner For One”, with Åge and I in the leading roles. 165 HELLO MY NAME IS LARS LARSEN A Blessed Shop For the opening of our first shop in Poland I invited all of the Danish and German management as well as our Danish and Polish suppliers, accountants, bank connections, etc. to a reception in Gdansk in the Northern part of Poland – just like I did in the USA. A big, exciting day for everybody. We had many fine speeches and lots of well-intentioned well wishers etc. All this wasn’t new to me. What was new was that the local priest also showed up to bless the shop in true Catholic fashion… So I dare say that everything will be successful after such a ceremony. The next morning at 7.00 am we opened the doors and expected hundreds of Poles to rush into the shop but there were only a few people. It was almost embarrassing – after a year of preparations. We had distributed hundreds of thousands of our own leaflets – great numbers of TV and radio commercials – and then we had just a handful of customers waiting to get in… The queue did not start until 8 am in Poland! 166 I HAVE A GOOD OFFER I have to admit that, at that point, I was ready to start packing and go home, but as time passed by and it got closer to 8.00 am, things started happening, and after 9.00 am we actually had to let people in in shifts – there simply wasn’t enough room in the shop with its 1200 m2… Then Mr Larsen started smiling. It turned out that in Poland not everybody has a car, and as the shop was located in a big shopping centre outside of town, the customers had to wait until the busses started running – and they didn’t start running until 8.00 am… They ran to the factories, but not to the shopping centre as all the other shops did not open until 8.00 or 9.00 am. It all had a happy end. Turnover was more than satisfactory when we closed the shop at 8.00 pm… A new big country with 40 million potential customers was in motion… 167 HELLO MY NAME IS LARS LARSEN A New Shop Every Week, but in Need of Challenges! For the first couple of years the Polish shops had most of their goods delivered from Denmark – a relatively expensive solution, which we had chosen to use until we were certain that JYSK had a future in Poland. Today they have their own central warehouse, and in 2005 we will finish building a brand new warehouse that will deliver to all of Poland, the Czech Republic, Slovakia and Hungary. An investment of more than DKK 100 million, so I suppose I must believe that these exciting new EU countries have a big future ahead of them… By 2000 we had reached more than 300 shops in Germany and we continued opening more than one shop a week – very successfully. However, the German management needed some new challenges and had heard that I was about to ”sell” Austria to a franchisee and they would not accept that. They thought that Austria was their domain as Austria is also a German-speaking country – and that it would be possible to use almost the same product line as in Germany. Therefore they got Austria – on one condition – that they would not slow down expansion in Germany. On April 4th, 2000 – shortly after the opening in Poland – it was Austria’s turn to have its first JYSK shop – which is called ”Dänishes Bettenlager” – just like in Germany. In order to save costs, their goods are delivered from one of our German warehouses and all financial management etc. is also carried out from our German main office. This has proved to be a clever move. Even though it is never easy opening shops in a new country, Austria is in fact the country where we started making money the fastest. Already after 3 years – and 30 shops – we had a profit – a fantastic piece of work from the German-Austrian organisation, which rapidly opens one shop after the other. In 2004, we will reach 50 in Austria and 500 in Germany. Their aim is to have doubled these numbers by 2009. If everything goes according to plan, this part of the organisation will open the first shops in Italy a couple of years from now – starting in the northern part of Italy – in South Tyrol, to be more precise, where they also speak German… Then we’ll have to wait and see if they’ll also learn Italian. In 2003 it was then time for the Czech Republic and things are looking very promising – professionally run by Roman Puri in cooperation with the Nordic organisation. This was, in fact, the first country in JYSK Nordic where we were hit by the language barrier. Previously we had been able to speak Danish with all the countries, but A shop in Austria with the beautiful Alps in the background now we had to start using English. We had 168 I H A VE A GO O D O F F E R been privileged in that we could communicate in Danish with Norwegians, Swedes, Finns and Danish-speaking Poles. I am convinced that in -23 years we will have reached 50 shops in the Czech Republic, after which it will only be natural for Roman to move on to Slovakia. I wonder if these 2countries will not reach the first 100 shops in few years’ time. And It Goes On In 0 205 we will start up in Hungary, and it’s set to be England’s turn in 0 207. A major challenge with a huge potential where there ought to be room for at least 500 JYSK shops… Why such a rush – am I suffering from delusions of grandeur?Well, perhaps. But that is not the only reason. If I don’t, somebody else will. In ten years time the whole world will be one big market place where it’s essential to have enough strength to survive – and I do want to survive… One Small Failure However, not everything comes to me that easy… I have also had my share of failures… Even in the bedding industry. In 19 87 I opened a shop in Fuengirola on the Costa del Sol in 1 69 HELLO MY NAME IS LARS LARSEN Southern Spain together with a former supplier – and friend – Finn Skovgård. He wanted to retire from the Danish rat race and settle down on the Costa del Sol. However, he was worried that he would be bored and so he suggested opening a JYSK shop down there together. About 50,000 Scandinavians were living in the area, so it ought to be a good market. I accepted, and then we started up. His sales went well and I sent him more and more goods. Occasionally he also did send me a bit of money. However, I soon realised that his debt kept on growing, and so I had to go to Spain to see how things were. I was not met by an inspiring sight. I immediately saw that there were not goods to the equivalent value of what I was owed. I spoke to other Danes around town who told me that my ”good friend” Finn Skovgård was doing fantastically well. He had bought a big new villa and had no fewer than 3 big cars – among these a Mercedes. However, he did not have the money to pay me – and that was the end of that adventure – with a deficit of about DKK 1 million. I tried to get the money back, but soon realised that it was not so easy in the Spain of more than 15 years ago, after which I wrote off the money. I had become all the wiser – and was reminded of what a wise man once said: ”If you want to keep your good friends – never lend them money” – or something like that. However, I did not lose interest in the Costa del Sol and quickly found another Dane who would like to run Jysk Sengetøjslager in Spain – and today we still sell well down there. So I dare say I have recovered the money… But I have never since allowed anybody credit – not without having a banker’s guarantee. When I Became a Manufacturer for DKK 498 It was also during the ’80s that I tested my skills as a furniture manufacturer. As previously mentioned, the furniture factories were very reluctant to sell furniture to people like us who only wanted to ”give” it all away – at unrealistically low prices – and therefore wouldn’t pay a good price either. However, I did find a manufacturer of beds in North Jutland, who was willing to deliver to us - namely ”Toudal Møbelfabrik” in Nørresundby. He had good prices and soon we were his biggest customer… until he went bankrupt. Perhaps his prices were a bit too cheap. But I suddenly had a major problem. We sold quite a lot of his beds and so we could not be without them. So there was no other way but for me to buy the factory so that 170 I HAVE A GOOD OFFER supplies would not stop. I established a partnership with 2 of the senior employees, as I will probably never be much of a manufacturer. We distributed work so that I helped market their products – i.e. for all the beds they produced extra over and above the deliveries to JYSK. The beds would, first and foremost, be sold at the Danish furniture fair, where purchasing agents from many countries were present. The problem was – and this is, in fact, still the case today – that at a fair you are not allowed to put prices on the products. However, products are always more interesting when you can see the price. So I pondered a lot over how we could bend this rule – legally – and thereby be the only one at the fair with prices on my products… The solution was to rename the factory and give it a new logo. I called it ”Møbelfabrikken 498,- kr.” – and the logo was a bank note saying DKK 498. Our assortment was different models of beds which all cost DKK 498. In this way all the purchasing agents could see the price of our beds from a distance. We simply put up big posters with our company logo and that was totally legal… Our sales person was, in fact, my future partner in Spain, Mr Finn Skovgård. Anyway, I was fully convinced that I did not have a future as a manufacturer and stuck to being a businessman, which is why I sold my share of the factory to my partners after a couple of years. However, I managed to save my supplies of beds and managed to get the factory going. This was the closest I came to becoming a manufacturer… The Perfect Argument for Free Abortion Although – I did also have a time as a manufacturer of blankets and curtains… This was a somewhat situation to the beds. Together with a blanket and curtain factory in Skjern, we had developed a brand new curtain system. It meant that the curtain looms could weave a fully finished curtain – with running strings and the lot – ready to hang up. It became a huge success for JYSK and we sold about 50,000 sets of curtains a year. The loom could only make them in dralon and acrylics Helge Tofting – has other skills besides making curtains 171 HELLO MY NAME IS LARS LARSEN with different striped patterns or in one colour. In the middle of this success the factory went bankrupt and I could not get the curtains from other factories. They were the only ones who were able to produce them. So there was no other way… I had to start up as a manufacturer again. After some years, dralon and acrylic curtains went out of fashion. Now we could only sell cotton curtains. I sold all the looms and then decided to turn the factory into a workroom so that JYSK could offer ready-made curtains in just the width and length people wanted – and with different types of running strings. People could choose from several hundreds of different curtain materials – of course a bit cheaper than others. After only a few years this workroom – ”Ready Made”, I named it – has become by far the biggest in Denmark. Ever since I took over the factory, the former owner, Helge Tofting, has been working as a managing director and he has kept on developing new exciting products – among these pelmets and, of course, sets of curtains – tailored for any window… The business in Skjern is certainly doing well. Helge Tofting is a man with a lot of self-knowledge. On his business card he has a picture of himself – with the caption: ”Helge Tofting – the perfect argument for free abortion”. But one thing is certain – despite his looks, he and his employees deliver superb curtains… And at the end of the day I suppose that’s what matters. There was, in fact, also a mattress factory in Zealand, which I bought for the same reason as the other two factories. JYSK sold an incredible amount of a specially made foam rubber mattress named ”Super Quick”. When the factory experienced money problems and was about to close down, I had no other choice but to buy the factory so that production could continue - and JYSK could continue selling the popular mattress. In order to increase the production of this special type of mattress, I gave the company a new name: ”Marie Tudor of Scandinavia”. It was made in different qualities to the rest of the mattress market – i.e. my colleagues/competitors. However, they never became very keen on buying their mattresses from me, so after a few years I decided to have the mattress made at 172 I HAVE A GOOD OFFER our main supplier of foam rubber mattresses, K.B.E. in Maribo. After that I closed down the factory and continued our successful sales without being a manufacturer myself. In 1999 I bought another Danish company, ”Kronborg”, which is one of Denmark’s bestknown soft furnishings brands. The advantage with this company was that it did not make products itself so I did not have to become a manufacturer once again. The attentive reader has probably noticed that the title of manufacturer is not exactly one of my favourites. I prefer being a free bird who can always do business where it is most profi table. It is not always certain that you can produce goods cheapest yourself - on the contrary. Today ”Kronborg” is an integrated part of JYSK and a name we cherish. The name can only be used for to produce goods of a quality that I can personally vouch for. In 1994, I invested in a very exciting company – ”Back Tee”, which specialises in golf clothing. Today they sell in 10 countries – and, hopefully, in many more countries in a few years’ time. To assist in this, I’ve entered into a partnership agreement with the golfer, Thomas Bjørn, who is now world famous. Thomas will give advice on the comfort of the clothes and be a guarantee of their quality and performance. At the same time, he will guide Himmerland Golf & Country Club on ways to improve its golf courses. I have great expectations of this partnership and it will contribute to making ”Back Tee” known internationally. 173 HELLO MY NAME IS LARS LARSEN The World’s Biggest Quilt Scandal In the ’80s I did a lot of business with the world’s biggest quilt factory – ”Nordisk Fjer” – which had factories spread over most of the world. A company of which Denmark was proud and which, in our trade, has the same position as, for example, ”Carlsberg” has in beer. Nordisk Fjer was listed on the stock exchange, but it was run by just one person – Johannes Petersen - who considered the company his personal property. Being one of their biggest customers, I was invited to their headquarters in Frihavnen in Copenhagen once a year for a good dinner. It always consisted of roast duck – a by-product from his down production, as he always said. Usually his only trusted employee – Inga Lydia Rasmussen – also participated. However, none of the directors that I normally dealt with were present and I wondered about that and asked several times whether it wouldn’t be fair for them to be involved. But no, this meeting was only for the ”top management” where we’d discuss international strategy and visions for the future. Out of a general interest in my big suppliers I had studied Nordisk Fjer’s fantastic internationalisation closely. I have to admit that I, as did many others in the trade, wondered at the figures that appeared in the annual accounts year after year. In the late ’80’s it was a common subject of conversation in the trade that something was very wrong. However, every year the accounts were backed by the board – and were approved by the accountants without any annotations. At the same, yet another director started attending our meetings – the now deceased director Basse from Magasin. The meetings were no longer annual, but almost quarterly. Now it was time to discuss ”real business” – together we would conquer the USA. Nordisk Fjer had factories there, but felt their market share was too small and therefore suggested that we created a national chain of shops together, whose main product would be products from Nordisk Fjer. The meetings became more and more intensive and were in the future to be held in London, so that nobody learned about them. I did not quite understand the reason for all this secrecy. However, later I realised that Johannes Petersen was trying to establish whether he would be able to get hold of some of all my money. As somewhat naïve thought, which remained a thought, as the bubble burst in 1990. It turned out that this grand Danish company had made a living from lying and swindling for several years. The company had obtained billion DKK loans on the basis of forged accounts with inflated results –Johannes Petersen had created turnover and ”earnings” by selling the stock and machinery at ridiculously inflated prices – from one company to the other in his worldwide company. Johannes Petersen himself had such charisma and charm that nobody could contradict him – not even the company’s board or the auditors. 174 I H A VE A GO O D O F F E R But in 1990it was over and Johannes Petersen realised that the game was up. However, he was too proud to be accountable for one of the biggest stock exchange scandals in Danish history. He shot himself and that was the end of the roast duck in Frihavnen. I did not intend to give up the USA on account of that though - and as previously mentioned I started up on my own that very year. In spite of huge deficits it was probably cheaper than a partnership with Johannes Petersen - and Nordisk Fjer. 175 HELLO MY NAME IS LARS LARSEN A New Management Structure is Necessary Ever since JYSK started up in 1979, and up until 1995 I was involved in everything in the company. I was the Managing Director, Purchasing Director, Human Resource Director, Marketing Manager, Warehouse Manager, Logistics Manager, Analysis Manager, Communication Manager, Shop Design Manager, Sales Director, etc. The only things I left to other people were finance and IT. Naturally, I could not perform all these jobs on my own and was surrounded by plenty of competent employees who gave me an incredible amount of support. However, they did consult me regarding just about everything. However, in 1995 I realised that my company had, in fact, become a big international group with a turnover of several billion DKK and that a completely new managerial structure was necessary for JYSK to continue developing and become even bigger and even more international. The first step was taken on 1st October 1995, by hiring a purchasing director for JYSK. We chose Jan Bøgh who, until then, had been a purchasing director with Metro Danmark and who wanted to come back to Jutland after 3 years in Copenhagen. We had many suitable applicants, but I had no doubt that Jan was just the right person for taking over this important job from me. However, Jan had some misgivings about taking over my most important job. Before accepting the job, he wanted to make certain that I was serious about it. I must have been able to persuade him that I was, because he started on 1st October 1995. There was plenty of work for him; JYSK had just started using bar codes on all the goods, and it was far from working the way we wanted it to. On the whole, we were years behind with IT – and everything related to stock control systems. Until then I had more or less simply memorised what we had in stock. However, every six months we were able to form a general idea of our stock. Then it was time for stocktaking where all the goods were counted by hand… It was always incredibly interesting to find out what we had in stock. I always thought that being a purchasing director meant that you needed to do all the purchasing yourself, but that’s not how Jan saw it. For a former Metro chef, it was management tools that mattered. Then you could hire people to do the purchasing. However, as a manager you also had to know everything about the products – from the construction of the textiles - the compositions of down – the structure of a mattress – to the stability of furniture. Within a few months he knew more about our products than even experienced purchasing agents… That made people respect him. At this time I had 6 purchasing agents. All of them were incredibly independent – as their old boss, Lars Larsen, had many irons in the fire and therefore had much too little time to organise the purchasing function. This independence became the reason why most of them left JYSK. Now they had a new boss who wanted to change their – more or less – self-appointed tasks. One by one they were replaced by new employees who took it for 176 I HAVE A GOOD OFFER granted that the boss decided on the division of responsibilities. Only 2 of them survived. One of them was my son Jacob who had just started a month before Jan and had, therefore, not yet fallen under the ”bad influence” of the others. The other person was Lars Herluf – purchasing agent for quilts, pillows and mattresses – by far the biggest and, for that reason, most important area. An area that I have never quite given up, so the division of responsibilities between Lars and I was a bit special. I helped him with the purchasing and he helped me with a bit of everything. I guess you could say the he was my personal assistant and I was his purchasing assistant. A division of labour Jan Bøgh. that, in fact, worked until 2002, when Lars Managing Director of JYSK Nordic Herluf decided to become self-employed. By then he had been working for me for 12 years. At first he helped in the USA, and later I brought him back to Silkeborg to work as my ”secretary” and purchasing agent for quilts. Do You Want to Talk - or Do You Want to Do Business? Jan Bøgh was probably right to a certain extent to have misgivings about a businessman and owner of JYSK being not supposed to interfere with the purchasing department. It was impossible and at first it was probably an advantage for Jan to have me by his side so that he could consult me regarding various problems. For example, I remember the first time Jan came along to Thy to visit our biggest supplier of mattresses. We were going to negotiate prices for the coming year and look at new types of mattresses. Now, both the owner of the factory, Hans Oluf Thøgersen, and I are inhabitants of Thy, so we understood each other – and as Hans Oluf was also a man of few words, we did not do much talking that day. We did have both morning coffee and lunch, and when we drove back in the afternoon, Jan cautiously asked me how we had done. He felt that very few words had been exchanged. Fortunately, I was a native and could, therefore, tell my new purchasing director that everything had gone according to plan. He did not quite understand how we could agree on 27 different products and even add a new mattress to 177 HELLO MY NAME IS LARS LARSEN our assortment at an extra favourable price in so few words. Then I told him about the many years that we had worked well together, and explained to him that continuing this way did not require much conversation… I think he is still wondering about that one… Another time he and our purchasing agent for bed linen went to Odense to see Nordisk Textil with whom I had also worked right from the beginning. Unfortunately, I did not have time to attend this meeting, so when our new purchasing director arrived at the factory, the only comment the sales director and the managing director had was: ”Oh – is it just you?”… Meaning that I normally participated in these meetings. In India, Jan also had start-up problems. He was very proud of his new IT initiatives and gave the Indian supplier a row because his system wasn’t able to ”communicate” with ours. To this the Indian replied that they had long since upgraded to a newer version… Or how about Mustajab from Pakistan who sent one container of goods after another – without having received any orders for the goods… He couldn’t see any problem in that. He always settled that with Mr Larsen. He needed to send the goods from Pakistan at a certain time to avoid customs duty. If he had not sold it, he just sent it to me anyway and then we ”haggled” over the prices the next time he came to Denmark. This was not quite what the former purchasing director at the German owned Metro was used to… In fact Jan’s most important task in the first years was to limit our purchases. Until then we had purchased in abundant quantities when the right offer came along – without quite realising how much space it took up – and whether we had enough similar products. Tough Bøgh, Mr Popular and the Businessman With me helping out in the purchasing department, there was also more time for Jan to build up his management tools – such as SAP, SBOSS and many others. At the same time, he also introduced a number of new guidelines for our suppliers. For example, they could no longer send us goods until they had received the final order. They could be fined for just about everything – and so they were… Goods that arrived too early – goods that arrived too late – delivery of the wrong goods – bad quality etc. At one point both the suppliers and I thought that these fines would become JYSK’s biggest source of income in the future. However, all these measures were simply introduced to correct our old bad habits. But year 1 at JYSK was definitely not the year that Jan became Mr Popular. On the contrary, I often heard people refer to him as ”Tough Bøgh ”. But deep down purchasing agents and suppliers both knew perfectly well that it was a necessary process. However, even though Jan was very ”cool” and seemed to have everything under control, I did occasionally observe that he was human after all. Not least when it came to his great sense of humour – a gift that has always been highly appreciated at JYSK – and then his small ”blunders”. He was not proud of them… And perhaps they only occurred because things were new to him. 178 I HAVE A GOOD OFFER In his previous job he was used to sitting behind his desk, organising everything – and then leaving it to the purchasing agents to travel the world and find what he needed to organise. At JYSK I insisted that he came along to purchasing fairs and visited factories, so that he got to know our suppliers better and, in so doing, knew what they represented. That was how I had always worked, and I also believed that in many countries it was easier to get an extra couple of percent discount if ”the big boss” was there and showed an interest in the factory’s products. It was on these trips that I noticed his lack of experience… We were going to a fair and met at Karup airport. Jan had his wife Lene drive him there, kissed her goodbye and then went inside to check in. Here they asked him if he didn’t have any luggage. After that we only saw the back of Jan – out he went on the road chasing Lene. But no – she had left and so had Jan’s suitcase. It was still in the car… And Lene did not have a mobile phone. I guess you could say that Jan had a double purchasing trip – first for clothes and toiletries – and then furnishings. On our next trip we went to East – to visit Hong Kong and some other places – and this time Jan brought along his luggage but threw away the luggage receipt… However, he did manage to find it again after having searched for an hour in every single wastepaper basket at Hong Kong airport. All that travelling took some getting used to… Jan Bøgh keeps himself in shape. You need to be fit to take over the “The Businessman’s” job! 179 HELLO MY NAME IS LARS LARSEN Father and son We Both Feel Good about It As previously mentioned, my son Jacob had just started in the purchasing department when Jan was appointed purchasing director. I quickly made an unwritten agreement with Jan to train Jacob in all the facets of purchasing. It was my clear stance that he certainly should not work under his dad’s wings. By 1998 Jan had been assigned so many new tasks that we had to get a new purchasing director, and Jan was promoted to Strategy and Development Director – with a clear declaration of intent that, in 2000, he would take over my job as managing director. At this time Jacob was only 26 years old and not quite ready to take over Jan’s job. So, together Jan,, Jacob and I hired a new purchasing director – Tom Gravesen – and Jacob was appointed product manager. This set up only lasted until 2000, when Jan took over as managing director and quickly decided to stop working alongside the purchasing director. Jacob was now 28 and had more experience. I had a in-depth talk with Jan who worked well with Jacob, and 180 I HAVE A GOOD OFFER he believed that, with some support from him, Jacob would be able to carry out the job, so that’s how it ended up… The son had now taken over an important part of his father’s job – and we both felt good about that… In fact, our managing director was pleased. Now he could get involved in developing his purchasing director – especially in the administrative and managerial part of the job – while the father could be his sparring partner regarding products and business acumen. It has in fact worked well ever since, and I am convinced that it will also work for many years ahead. Personally, I have always considered purchasing and sales to be among the most important functions at JYSK, and I can tell that Jacob does not just follow in my footsteps, but is constantly working on developing the purchasing organisation so that it is up-to-date and geared for JYSK’s continuing great expansion in both old and new markets. They work hard on developing the assortment but also on making sure that it meets our customer’s needs and desires and that prices remain the best in the market. At the same time, they also work intensely on marketing – so that it also keeps up with the times. Many people have probably noticed a boost and a freshness in our advertising leaflets, reflecting the new generation. I am the guarantee that we will not forget all our ”good old customers” who have created our success. The way I see JYSK in future, the assortment will become even bigger and more varied with room for the young generation, but certainly also for the rest of us. There has to be something for every taste – and of course a bit cheaper than others. An Improvement of 50% Is not Bad at All For those of you who never visit JYSK, I’d like to recommend it. You will be pleasantly surprised. Among our new slogans you will find words like ”Design does not have to cost you extra”. In the ”days of old” JYSK did its purchasing according to what could be found at the right price. Today our size makes it possible for us to design the goods ourselves – without paying more for it. Another important area that our new purchasing director focuses on is safety of delivery. It’s no good for us to advertise good, nice, smart and cheap goods if they’re not in the shop when people want to buy them. I have to confess that that was often the case only a few years ago. With new technology – and IT that can tell the purchasing department what has been sold on a daily basis - the safety of delivery is also improved. Previously it was not uncommon for us only to be able to deliver 6 times out of 10… Today we are able to deliver 9 times out of 10 – and you can’t get much better than that. There will always be unpredictable things that even the finest IT systems can’t do anything about - things like power failure, fire, flooding and all sorts of other accidents – both at Danish factories and on the other side of the world. But an improvement of 50% is not bad at all… 181 HELLO MY NAME IS LARS LARSEN Before … and now Hopefully We’ll Last the Next 25 Years With this renewal of the design – and a bigger assortment - I felt that it was also time for a new design for our logo. For 25 years we have been named Jysk Sengetøjslager – and that has worked well – especially in Denmark. However, as we have spread out in Europe, we have had to translate our company name to the most incredible names in each country – and so it was impossible to carry out international marketing. In most countries we were called Jysk and then the word Sengetøjslager was translated. By deleting the word sengetøjslager and being named simply JYSK, we kept the recognition of the company name – and also shortened it drastically. We also kept part of the goose, yet another recognition factor – and to show that we are still down quilt specialists . By removing the somewhat old-fashioned headboard and font, our new logo became a reality. A logo that is meant to indicate a new way of thinking, new design and a new future, and which we hope will last for the next 25 years. 182 I HAVE A GOOD OFFER You Can Only Die from Stress and Old Age But back to 1st January , 2000 when Jan Bøgh takes over the management of the company, and I become executive chairman for JYSK Holding. A nice and relaxing job where I have time to see everything from a bird’s eye perspective… I can now participate in what I feel is necessary, but also in the things that I find the most interesting. A fantastic position of freedom that I would recommend to stressed-out company owners and other people in leading positions where work pressure has become too hard. Start passing things over to the next generation as early as possible – that way it can be carried through better. For my part, I started on the process when I turned 50, and I am actually proud of that. Many people wait until there is no going back – and that is far too late. I have always lived by a philosophy that says that you can pretty much only die from stress and old age. I believe that many diseases are caused by stress. When the whole mechanism has to do more than it can cope with, things go wrong. And I don’t want to put myself through that so there is almost only old age left – and that can be used for many lovely things. For example pursuing your hobbies. But as a ”young pensioner” you can also continue at the company at a lower pace and work on the things you do best and pass your experience on to the next generation. I am privileged in that I can decide on the pace of my retirement myself – and I would not be surprised if I am still working at the company 20-30 years from now. Then it would not be because I have to be there, but simply because I like it. A privilege that, unfortunately, very few people get but which I think politicians ought to consider. I think this formula would benefit the whole of society. You cannot set fixed time frames for the pension ages of all citizens. Some people get worn down earlier than others and other people do not even want to become worn down and have made financial arrangements, so that they can partially opt out at a young age. If legislation was introduced that focused on the individual, I believe it would be possible to make pension age a far more individual thing– and even benefit society. However, it is a long process that would take generations to implement. That is why it is important that we get started on it – so that we will not have to put up again and again with various stopgap solutions that save individual politicians instead of saving individual citizens. And thank you, but no – I do not intend to go into politics in my old age. I want to work with what I like… Anyway, back on track. As well as myself, I also took along a few employees to JYSK Holding – among these Kjølby, who will in future use his knowledge and experience of keeping track of the finances of the whole group. He will have his hands full as we will soon start showing double figured billion DKK sums. A number that is so big that not even I understand it… A few years ago a wise man tried to explain it to me when I reached the first billion. He said that the number was so big that, even if I started now, I would not even be 183 HELLO MY NAME IS LARS LARSEN able to count to it in the course of the rest of my life – even if I lived to be old. I guess it’s a good thing we have calculators and computers nowadays… Our Danish management consists of Financial Director Henrik Naudndrup, Managing Director Jan Bøgh, Businessman Lars Larsen, Logistics Director Henrik Bøgelund and Purchasing Director Jacob Brunsborg New Times Ahead At the same time as were getting organised in Holding, Jan Bøgh started getting organised in JYSK Nordic. We had agreed that new measures were needed when he took over, so that we were ready for the further expansion. He introduced so many new concepts that I did not even know existed: We got a Financial Manager from IKEA, an IT Director from Mærsk, a Logistics Director from Lego, a Human Resource Director, a Retail and Market Director, an Analysis Manager, a Marketing Manager, a Media and Event Manager, a Concept Development Manager, a Project Manager, a Shop Operations Manager, a Regional Manager, a Communication Manager, a Property Manager, a Country Manager – and many more new managers and directors. I was almost worried there would be no work left for Jan… But there was – plenty of work – just keeping track of all these managers… 184 I HAVE A GOOD OFFER But joking aside, not a single manager has been hired who I’d go without. In fact, I did authorise every single one of them. However, with all these new managers coming onto the scene, there were, of course, also people who had to take a step back. That was not all fun… Nearly everybody had been at the company for 15-20 years and had worked themselves to the bone for me – often 24 hours a day. I could not just fire such employees. Together Jan and I found their strongest sides and then created a new ”sub manager” job for them. A job that most of them accepted – without being happy about it – but today they enjoy it. Deep down they knew that with a company of this size we needed specialists with the right qualifications. A few of them chose to leave JYSK and you can’t really blame them for that. We were all ”self-made” – and had more or less been randomly assigned a field of activity when the company was still small, which we then performed to the best of our abilities. As the company grew, these ”home-made” managerial titles did of course become increasingly more difficult to perform. Language skills became increasingly important and IT technology had to be learned and implemented in our daily work. Even Lars Larsen had to surrender and step back, but I would rather do that than die from stress… Now we experienced people can once again do what we do best – to the benefit of the company – and ourselves. Then Jan Bøgh and the other specialists will have to do the hard work – and consult us experienced people when experience is necessary… It does happen regularly. Fortunately, that will never go out of fashion… 185 HE L L O M Y N AM E I S L ARS L ARSE N Businessmanship – Colleagueship – Team Spirit In connection with Jan taking over my job, we decided to write down the vision and strategy of JYSK as well as the basic values on which it was all based. All managers had to write down what they thought I meant. We expressed it as if Jan had turned me upside down onto my head and shaken me so that all my thoughts, visions and values etc. fell out of me – after which we wrote it all down. Everybody agreed that it was incredibly important to commit it to paper – especially as the company was growing and spreading over several frontiers. The result of all this was a bulky piece of work that we embodied in a ”goose egg”, and we 186 I HAVE A GOOD OFFER called our values KKK which stands for Købmand – Kollega – Korpsånd. (Businessmanship - Colleagueship – Team spirit) The three K’s are very easy to understand and work as the basic values at all levels of the company. Of course it is all about being a good businessman, making the customer happy with their purchase and preferably having a twinkle in your eye. Colleagueship is essential in our shops. It is this teamwork of both old and young employees together that can make our daily work more fun and easier for each other, and ultimately also for our customers. And then there is of course team spirit. It should be fun and give a certain pride to be part of a big, successful international company and for it not to feel remote and distant. Three values which are all down-to-earth and a natural extension of our culture and history. We called the 2-year long phase before Jan took over after me an anchoring of things – not a change. It was important for us both that the ”spirit of JYSK” remained in the company and was carried on into the new countries… I hope we have succeeded. In any case, I can tell that it also lives in the best of health in the new countries – such as Poland, Austria and the Czech Republic where business acumen, team spirit and colleagueship is also part of daily life. Over the past 25 years many people have asked me: ”How do you cope with it – how can you manage it – how is it even possible?” To this I can only reply that it has only been possible with the help of competent and loyal employees. For a company this big, it is even more important than at small companies that all employees are considered equal players – nobody is worth less than their boss. This is my understanding of the spirit of JYSK. All employees are part of the chain – and all parts are equally important. If even one part is weak, the whole chain might fail. I am convinced that all my many thousands of employees work on the basis of this philosophy – that every single one of them has a vital function, which helps create international business success. At JYSK we only have one major function: to please our customers. We fight to do that every single day by finding the right product, at the right time and at the right price. Or as we say at JYSK: by giving them a good offer! Thank you for your attention… and I’ll see you at JYSK. Lars Larsen 187 HELLO MY NAME IS LARS LARSEN Logos over… 188 I HAVE A GOOD OFFER …the last 25 years 189 SKAGEN SANDVIG ALLINGE HIRTSHALS GUDHJEM HASLE SVANEKE HJØRRING FREDERIKSHAVN RØNNE NEXØ SÆBY BRØNDERSLEV LÆSØ HANSTHOLM NØRRESUNDBY AALBORG SKALBORG THISTED HIMMERLAND NYKØBING M GOLF & COUNTRY CLUB AARS HURUP ANHOLT HADSUND HOBRO SKIVE LEMVIG RANDERS STRUER VIBORG BJERRINGBRO GRENAA HOLSTEBRO HADSTEN HAMMEL SILKEBORG ÅRHUS EBELTOFT IKAST HELSINGØR HERNING HELSINGE RINGKØBING ODDEN SKANDERBORG SKJERN HUNDESTED HILLERØD FREDERIKSVÆRK NYKØBING S ODDER BRANDE SAMSØ HORSENS JUELSMINDE TAASTRUP ISHØJ KALUNDBORG VARDE FREDERICIA BRAMMING VEJEN ESBJERG MIDDELFART MIDDELFART KØGE SORØ KERTEMINDE RINGSTED SLAGELSE ODENSE HASLEV RIBE VOJENS NYBORG KORSØR HADERSLEV ASSENS NÆSTVED SKÆLSKØR LOHALS FÅBORG NORDBORG AABENRAA SVENDBORG VORDINGBORG TØNDER SØNDERBORG BAGENKOP HØRSHOLM FREDERIKSSUND BALLERUP HOLBÆK KØBENHAVN ROSKILDE GLOSTRUP GRINDSTED VEJLE HUMLEBÆK NAKSKOV MARIBO NYKØBING F RØDBYHAVN GEDSER HELLO MY NAME IS LARS LARSEN An environmentally friendly book The paper in this book has been produced from raw products that come exclusively from environmentally certified Scandinavian forestry. No materials or chemicals that are harmful to the environment have been used in the production of this book. 192 An autobiography by Lars Larsen Lars Larsen became known throughout Denmark when, in the middle of the ’80s, he went on national TV and gave viewers a good offer. In the book, Larsen tells of his childhood and his modest beginnings, of starting up Jysk Sengetøjslager with money he had borrowed, of his time with Larsen Travel, of dreams, failures and experiences, great and small, on the road to JYSK becoming an international group of companies with almost 1000 shops in 18 countries. An adventure stretching out over only 25 years. Lars Larsen has written the book himself and, in so doing, reveals a whole new side to himself. FORLAGET HANSEN MEJLGADE ISBN: 87-91532-03-5