The success of a small business during a pandemic: orders multiplied by five and even managers made it to production

There was a window to export

Here in the Širvintos district, at the company located in the village of Kabalda, we are visiting on a weekday afternoon. Evelina Buividienė, director of the company, greets us and invites us to sit down.

As you enter, embroidered pictures can be seen on the meeting room walls, displaying colorful bouquets of flowers, and on the table there are also examples of embroidery sets, which the manager immediately displays.

“The set includes an embroidery, a canvas, a thread, a scheme,” he explains.

Riolis, as he begins to say, was founded in 1996 in Russia. It is an old family business, whose executives brought the idea of ​​embroidery kits from Spain. The UAB Riolis opened in Lithuania a decade ago, in 2010. This is said to have been done to open up export markets throughout Europe.

“When we opened the office we rented a space and a warehouse. We brought cargo from Russia, everything was already done and we lived like this for about 4-5 years.

Unfortunately, not everything was as optimistic as we imagined the walls would open and everyone would knock to buy. It took customers 3-4 years to find out what a brand is and what its quality is. During that period, our first clients appeared in America, then other doors were opened ”, says E. Buividienė about the beginning of the company’s existence.

After 5 years of existence, the company began to produce embroidery kits in the Širvintos district itself, and later, as he explains, the acquisition of these premises followed, which we visited that day.

Anguishing herself in the position of director of such a company, she herself openly says that she initially had doubts.

“I am a post-Soviet child and I was really afraid of quality. I was wondering if the Russian company would really maintain quality, but I can really be proud and confidently say that they have cleared my doubts,” he opens.

Exports to 45 countries

Today, embroidery kits are exported from the Širvintos district to 45 countries, as evidenced by the huge map hanging on the wall of the meeting room, studded with colored flags. Exporting countries include Australia, Japan, China, South Africa and others.

“And only 1-2 percent remain in Lithuania. Products,” explains the manager and says that in the Lithuanian market, women are more engaged in other crafts, weaving rather than embroidering.

According to E. Buividienė, the largest target market in the future, which will be further conquered, is the United States. According to her, there are still a number of supermarkets, on the shelves of which these kits would surely find their place and buyers.

“It just came to our attention then. We had a good client in Turkey, but the manager changed. Turkish women embroider a lot,” he adds.

When asked what is the company’s relationship with Russia in general today, the manager says that it is minimal and that the managers are far from regulating the life of the company.

“We call, they know our actions, where we are going, who are the main clients, but otherwise we have total independence and confidence.

The company in Russia works more with its market, as well as with Ukraine and Belarus. We don’t fly to those markets, ”says the manager.

Sold five times more

E. Buividienė says that recent times have not been easy for the company either, because while most companies reduced their production and revolutions, the opposite happened in his company.

“The number of orders for us through COVID-19 has multiplied by five. Most of the embroidery kits were bought by Americans. In Europe, the orders grew around 3 times, mainly in Germany, England and France.

We came to work one morning, inhaled, exhaled, and realized we didn’t have that ability. We also got to the machines ourselves – both the production manager and myself.

Everything has been going on for 3 months since the beginning of March, ”he said of the sudden increase in demand for COVID-19 products.

The manager says that during the pandemic, the company also worked overtime, then worked two shifts, looking for additional employees.

“When the pandemic was declared, we were all safe, we did not know what would happen. We started cleaning, disinfecting, keeping all distances.

Then, through acquaintances, we began to look for people, temporary workers, for whom we could have the guarantee that they are not going anywhere, they have no contact. We had manicurists and hairdressers. During that time, we went from 15 employees to 30. They joined the machine, and so on. ”, Says E. Buivydienė about this period.

First, according to her, the company found and hired 6 to 7 employees, and soon after, when the first wave subsided, they began looking for them at the Employment Service.

“It just came to our knowledge then. We didn’t all stay, some were hired temporarily, now we have about 20 permanent employees,” he explains.

Speaking about the increase in the number of orders, the manager says that exports to the United States are the ones that increased the most.

“As for what we talked to Americans, in the first few months they got a lot of benefits, people sat at home, invested in their hobbies.

<..> Although sales increased 5 times, what we earned as a company increased 2-3 times compared to last year. For the moment, the situation has already stabilized ”, he says, explaining that the number of orders in the company is strongly influenced by seasonality.

“In summer, we look more at marketing, at social networks, because in summer people spend more time in nature, so sales are much lower.

Then, from the end of September, the season begins and lasts until the end of April, the beginning of May, but this year it was not like that. It all started in March, I was angry and the landing only started in the middle of the summer. This month, September, it was already similar to last year, we started on the same path ”, he says.

It is true that E. Buividienė says that she is worried about the second wave.

“It’s important that we’re prepared for it, because all the time, customers haven’t even realized we’re in trouble. There were really stressful, sleepless nights here for everyone at the time, how to sail that ship so they don’t know it will crash, but we sail ”, he assures.

E. Buividienė adds that the company’s plans will include a new product soon, but that it will not be able to reveal it yet.

“I don’t want to lose sight of it, it will be a different product. We have a store on the second floor, so there is an opportunity to expand, but it will probably be necessary to build annexes, ”he says.

According to data provided by Sodra, in August the company had 22 insured employees, whose average salary before taxes amounted to 1109.63 euros. In March and April, average wages were higher, averaging EUR 1,396 and EUR 1,421 per role.

The average salary before taxes in August was 822.96 euros. The company’s sales revenue in 2019 amounted to EUR 500,001 – 1,000,000.