« September 21, 2003 - September 27, 2003 | Main | October 5, 2003 - October 11, 2003 »
October 3, 2003
Investing in local retail
If you've been tracking the local vs. national retail economic impact numbers, you may want to know just how to bring in the best local retailers that outshine even the top-performing nationals.
You need to start with the best talent...and they can be found with the right talent agents. Here are a few that these progressive CoolTown investors are looking to form a collaborative work team with:
National Main Street Center: No organization is more involved in revitalizing main streets, nor does anyone have a larger network of future retail entrepreneurs to find talent in.
Michael Shuman: He wrote the book on growing local businesses, literally: Going Local: Creating Self-Reliant Communities in a Global Age
EntreWorks Consulting: Focused on the fast-growth trend of entrepreneurial economic development, this firm builds entrepreneurial communities that prosper from collaborating its assets.
Finally, a "casting director" from a firm that specializes in building main streets of local-only retailers.
How does this all come together? That story is outlined, but yet to be published.
Posted by Neil | Link to Article
October 2, 2003
Better than Target?
Target is easily the department store of choice by urbanites and creatives (who endearingly pronounce it tar-ZHAY) simply because it combines two of their favorite qualities - affordability and classy talent-over-big-name design.
Still, if such a national chain is still sending most of a community's dollars out of town, is there any viable alternative?
How about a department store that stocked what you wanted, say, because you owned it?
Residents of Plentywood, Montana did just that - establishing a 10,000 sf community-owned store where residents bought 18 shares in the venture for $10,000 a piece. (Many single shares are owned by groups of five or six people.)
It inspired nearby residents of Malta, Montana to open their own department store, selling shares for $500. It's not only been profitable, but it actually anchors the downtown.
Organizers in Powell, WY did likewise and has turned a profit, avoided debt, includes a board of directors made up of local merchants, and a manager who is a veteran retail buyer.
Two more are underway in the area.
Residents in Plentywood refer to their store as "our store" - not "the store" or "that store." Where's "our store" in our town?
Image: How about a department store that featured locally-made clothes inspired by designs from around the world?
Posted by Neil | Link to Article
October 1, 2003
Selling music - locally
The next generation of music buyers won't be shopping at Wal-mart and Best Buy, they'll be visiting their local music store or staying at home.
Local music stores
What if you could walk into your local neighborhood music store and listen to the hottest new local area artists - live? What if that music store turned into a live band juke box? That's the idea behind the fast-growing trend of independent music alliances, typically about 30-40 non-competing small music stores, with the first being the Coalition for Independent Music Stores. Record labels pay the stores to promote new talent to specific audiences, which is important because...
Digital music stores
More and more music is downloaded every month, purchased or not. The main reason most music is downloaded illegally is because music lovers don't have the option to buy music digitally. Pioneers like the Apple Music Store will change that. What this means is that music buyers will find it superior (and cheaper) to buy songs online rather than at national chains, but still visit local stores to get live and direct info on new music and artists. By the same token, you should be able to vote online for the kinds of bands you want to hear live at your local music store, just the same way people are voting by the millions for the next American Idol.
By the way, Amoeba Music in San Francisco is a great example of a CoolTown music store.
Posted by Neil | Link to Article
September 30, 2003
"Secede from Starbucks Nation"
Would you believe that's a city campaign slogan? Excelsior, Minnesota.
"We're just against the proliferation of sameness," said Linda Murrell, the city's Chamber of Commerce director. Not surprisingly, the first ads were geared to a younger audience. Also, downtown Excelsior activity is reported to have increased noticeably as several entrepreneurs are now interested in locating there.
Sure, you say, but Excelsior is a town of only 3000 people. Read on...
Buoyed by strong resident support, San Francisco Board of Supervisors President Matt Gonzalez has proposed "tripwire" legislation that would require notification of residents living within 150 feet of any proposed new "formula" business at least a month before a building permit could be issued. Starbucks was specifically singled out.
I've personally lived in San Francisco - I can see this happening... residents burned down a Burger King after it moved in over their opposition.
As for my current neighborhood, Starbucks only moved in for the first time a couple of months ago, but that was only after numerous independent businesses failed at the cursed spot on 18th and Columbia in Adams Morgan, DC. Local merchants had their chance. Still, Starbucks shouldn't charge $6/hr. for wireless internet that the nearby (and much cooler and more popular) Tryst offers for free (and it just about costs them that much as well).
Put it this way, how uncool would it be if the cast of Friends met up at Starbucks instead of the Central Perk? (image above)
Posted by Neil | Link to Article
September 29, 2003
Buying in your local community
If you believe that what goes around comes around, you may think twice about shopping at a big box. A CoolTown's 'coolness' stems from being expressive of the people who live, work, play and employ there, not from a corporation on the other side of the country looking to mass produce its product.
A recent study tracked eight locally owned businesses and a major big box retailer in Maine. The results:
Revenue spent within the state:
Local businesses: 53.3% (44.6% spent within the immediate area)
National chain: 16.1%
Local revenue lost if national chains captured all retail growth in next four years:
$23 million
Percentage of revenue spent on charities/community programs
Local businesses: 0.4%
Walmart: 0.1%
A similar study in Austin had the following results:
Local economic return from $100 spending
Local businesses: $45
National chain: $13
Local economy revenue gain if just $100/household was redirected to local businesses:
$10 million
Posted by Neil | Link to Article
