Forever 21 in SLO to bounce out after 2 yrs? Macy's in? (Fresno: coupon, rent)

[FresnoFacts]

Originally Posted by the city

And those towns are way larger than San Luis Obispo.

You missed the point, I was just correcting your statement that it was 2nd largest. If you are trying to compare population size then Hanford's Forever 21 is 80,000 sq ft in a city only a little larger than SLO but without the large college age demographic. Chico is about 85,000 sq ft.

But, Forever 21 is moving to become more department store style with the larger stores. More variety, more different departments, etc. The question on many analysts and investors minds is can they make it work long term instead of the old smaller store size.

Originally Posted by the city

Sure we have more of the type of shoppers who would shop there, but really do we have enough?

Its not about how many in an age group demographic, its about their shopping habits.

Forever 21 relies on more frequent shopping habits than other stores. They want customers who like to shop often and walk out with purchases each time, not someone who comes by only 2 or 3 times a year for a new shirt or pair of pants.

F21 turns over all inventory in a store about every 5 or 6 weeks, faster than other stores. The business model is to get shoppers back frequently to buy whats new before its gone.

The question is not just the age demographics but how often they shop and do they spend each time.

Originally Posted by the city

I know some high schoolers who don't like that store because they dress more conservatively.

LOL, and many years ago when SLO had to rely on Rileys Dept Store the comments were that it was too conservative styled, not trendy enough. Can't please everyone.

[ferretkona]

Originally Posted by the city

If Sear's failed I would have guessed because of bad management or people prefer another store. ..

Dude, wake up!
Sears does a daily sales of $50,000 per store. These stores have sold them selves over 100 years. A monkey could manage these stores but not in the middle of the congo.

Originally Posted by the city

I just want Macy's here. And just that. I didnt care about Target or anything else..

Sears did not survive. JC Penny's, Target, Mervin's, Walmart all target the same demographic. Poor town. Your need/desire/obsession with Macy's is tiring.

[.highnlite]

I will say this about the San Luis Obispo store, I do not know if it was badly run, but, the various department heads were really bad. After a couple experiences there in tools and garden, we switched to the Santa Maria store, which was a better experience.

[the city]

Originally Posted by .highnlite

I will say this about the San Luis Obispo store, I do not know if it was badly run, but, the various department heads were really bad. After a couple experiences there in tools and garden, we switched to the Santa Maria store, which was a better experience.

Heh heh. You so amuse me. The fact you don't mind shopping in Santa Maria and prefer some stores in Santa Maria over SLO. Some people dont ever dare going into Santa Maria, and especially the mall. Kudos to you.

[the city]

Originally Posted by FresnoFacts

You missed the point, I was just correcting your statement that it was 2nd largest. If you are trying to compare population size then Hanford's Forever 21 is 80,000 sq ft in a city only a little larger than SLO but without the large college age demographic. Chico is about 85,000 sq ft.

But, Forever 21 is moving to become more department store style with the larger stores. More variety, more different departments, etc. The question on many analysts and investors minds is can they make it work long term instead of the old smaller store size.

Its not about how many in an age group demographic, its about their shopping habits.

Forever 21 relies on more frequent shopping habits than other stores. They want customers who like to shop often and walk out with purchases each time, not someone who comes by only 2 or 3 times a year for a new shirt or pair of pants.

F21 turns over all inventory in a store about every 5 or 6 weeks, faster than other stores. The business model is to get shoppers back frequently to buy whats new before its gone.

The question is not just the age demographics but how often they shop and do they spend each time.

LOL, and many years ago when SLO had to rely on Rileys Dept Store the comments were that it was too conservative styled, not trendy enough. Can't please everyone.

I would have liked Rileys. But it was very small. It's where Sport's Authority is now as JCPenney's is where Ross is now.

My point is SLO's store should be around 50,000-85,000 sq. ft. for Forever 21. And it's more about Forever 21 having alot of trendy clothing.

Macy's=piano players; F21=loud hip music
Macy's=dresses and collared shirt employees, F21=young college students wearing whatever

Macy's=larger selection of brands and focus on different ages and older
Forever 21=larger selection of f21 brands and focus on trendy clothing for women mostly and some children and men's

Not to mention, some college students can't get to Forever 21 everyday. You have to drive there. Which makes downtown, so easy for college students walking or riding bikes or taking the bus there.

I just don't see a 105,000 sq. ft. Forever 21 making it long term in SLO. Mervyn's spot would have worked better. But Kohl's is doing great. It's like Sear's where they sell clothes for everyone, but at discounted prices. It's great for the middle class.

Forever 21 would be great in downtown.

[jifie]

Originally Posted by the city

Heh heh. You so amuse me. The fact you don't mind shopping in Santa Maria and prefer some stores in Santa Maria over SLO. Some people dont ever dare going into Santa Maria, and especially the mall. Kudos to you.

May I ask why?

[FresnoFacts]

Originally Posted by the city

I would have liked Rileys. But it was very small. It's where Sport's Authority is now as JCPenney's is where Ross is now.

I seem to also remember Rileys stores at University Square and in Morro Bay.

Originally Posted by the city

Macy's=piano players; F21=loud hip music
Macy's=dresses and collared shirt employees, F21=young college students wearing whatever

Macy's=larger selection of brands and focus on different ages and older
Forever 21=larger selection of f21 brands and focus on trendy clothing for women mostly and some children and men's

Again different customer markets and different business plans.

People make different choices, that is why every restaurant is not Taco Bell (see the movie Demolition Man for the reference ).

Doesn't mean one store prevents the other. Rather that Forever 21 sees enough profit in what they currently do in SLO.

But Macys analysis is that they should invest their new store money in other regions (Chicago and Milwaukee so far this year) that they think will do better for them than SLO.

Originally Posted by the city

Forever 21 would be great in downtown

I just don't see the city allowing construction of an 80,000 sq ft store downtown (if I remember right that is about the size of the entire Downtown Center complex that Copelands built). A single store that size is out of scale for the downtown SLO area.

But, downtown SLO used to be unique to shop but is now becoming loaded with chain stores. My wife and I as visitors see no reason to spend money at the same stores we have at home. We instead spend close to home if we want to shop those same chain stores. (on recent trips nearly all of our spending including on clothing was in the local independent stores in those areas, not the chains we see at home) Fewer local stores in downtown SLO means fewer reasons for us to even visit and shop in the remaining local downtown stores.

Doesn't mean locals don't benefit from access to chain brands opening in different SLO centers. But why should we waste our vacation time and vacation money at a SLO store when we have the same store at home? That means less outside money is spent adding to the SLO city and county economy.

[.highnlite]

Originally Posted by the city

Heh heh. You so amuse me. The fact you don't mind shopping in Santa Maria and prefer some stores in Santa Maria over SLO. Some people dont ever dare going into Santa Maria, and especially the mall. Kudos to you.

Here is the list of stores I have been into in Santa Maria in the past 6 months, I am not much of a go shopping sort of person.

Vallarta, a great Mexican supermarket.
CalCoast Tractor, the local John Deere Store
Home Depot.

That is it.

As for San Luis,

Costco
Home Depot
Noble Power equipment, chain saw stuff.
Army surplus store (where I get my MRE's)

[jifie]

Originally Posted by .highnlite

Here is the list of stores I have been into in Santa Maria in the past 6 months, I am not much of a go shopping sort of person.

Vallarta, a great Mexican supermarket.
CalCoast Tractor, the local John Deere Store
Home Depot.

That is it.

As for San Luis,

Costco
Home Depot
Noble Power equipment, chain saw stuff.
Army surplus store (where I get my MRE's)

Ugh, I've always wondered why people eat those things when they don't have to.

[the city]

Originally Posted by .highnlite

Here is the list of stores I have been into in Santa Maria in the past 6 months, I am not much of a go shopping sort of person.

Vallarta, a great Mexican supermarket.
CalCoast Tractor, the local John Deere Store
Home Depot.

That is it.

As for San Luis,

Costco
Home Depot
Noble Power equipment, chain saw stuff.
Army surplus store (where I get my MRE's)

I am very surprised to hear you go to the Santa Maria Home Depot. Which is next to Wal-Mart and in the biggest shopping mall in Santa Maria. In a town, you dont like as much as SLO you still go there.

Originally Posted by jifie

May I ask why?

Because he does not like Santa Maria for being a sprawled out city, but yet he shops at Sears at their mall and Home Depot in their biggest strip mall which are both products of sprawl along their freeway.