“Retail Follows Roofs”
I never heard the saying above, but it certainly makes sense. Growing up in suburbia in the late ’60s and through the ’70s, I witnessed a retail cycle this story discusses. I watched as the small old main streets in the San Fernando Valley were killed off by shopping malls. Now, three decades later, many of those main streets are bouncing back thanks to ample free parking and how easy they make it for shoppers to drop in for the few things they need.
There’s a swing back to preserving main streets, and even building new ones. People want to shop near where they live. So many new-home builders are including retail centers in their new developments. Here in San Diego County, the city of Chula Vista has a thriving old downtown that’s constantly being renovated, and new “town center” shopping centers in the housing developments that have sprung up on the city’s outskirts. So whichever side of town you live on, there are plenty of shopping choices.
I mention all of this because I meet so many retailers who are so focused on their product offerings, they fail to choose the best location for their store. I know a small art gallery owner who has a fantastic selection of contemporary oils and watercolors. He got a great deal on a store in the suburbs, but sales have always been sluggish. I suggested he move closer to downtown San Diego, with its thriving nightlife and stores that stay open late to draw in the foot traffic. He would find many more potential customers there. But he’s afraid of high rents downtown and the hassle of moving. So, he struggles to get by in the suburbs, where he lives.
I think every retailer should examine the importance of location before the next lease renewal. Check out your competitors in a neighborhood you’d like to move into. Visit the area at all hours of the day and night.
I’m doing that myself, as a matter of fact. I’m in a location I love, but I know I’ll save a bundle on rent by moving about 10 miles away. And I’ll draw in more potential customers as well. Yes, moving is a hassle. I’m not exactly “following the roofs,” but I tell my retail clients that’s what they should do if they want to stay in the retail game for good.


Jeff Grant's Retail Blog
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