OKC Retail Update

[Hondo1]

Happy to see Trader Joe's on the list although I would be surprised if they committed without being able to sell wine, as their "Two Buck Chuck" is an iconic staple in their inventory (although at $1.99 a bottle, not sure how important it is from a profit standpoint). Probably a loss leader. I believe Trader Joe's is owned by one of the Albrecht brothers and affiliated with, or, is a part of the Aldi empire which is doing pretty well in Oklahoma. They might put in a store on the assumption the wine question will eventually come to fruition and pass, although references to the question stipulate wine being sold "in grocery stores of a certain size"....whatever that means. Trader Joe's might be too small to be included in this category. Trader Joe's, from my experience would greatly enhance the variety and selection of organic and natural food products at prices that would be strong competition to Whole Foods and Sprouts/Sunflower.

[Pete]

If I could choose one new store for OKC it would be Trader Joe's.

There is simply nothing like it and I know it would be an absolute smash.


Not only do they have great, unique products, they also have excellent prices. Between and TJ's & Costco, I rarely go to a traditional grocery store.

[metro]

In a lot of ways though, that makes it all the more impressive and gives more of a confidence boost to other national retailers if Lululemon succeeds.

Yes, but isn't the opposite also true? If it fails won't it discourage other national retailers?

[metro]

If I could choose one new store for OKC it would be Trader Joe's.

There is simply nothing like it and I know it would be an absolute smash.


Not only do they have great, unique products, they also have excellent prices. Between and TJ's & Costco, I rarely go to a traditional grocery store.

I thought they already confirmed they were scouting OKC location?

[Spartan]

Yes, but isn't the opposite also true? If it fails won't it discourage other national retailers?

Do you think they're going to fail in OKC?

[ljbab728]

Good point, Spartan. Other than national retailers that are failing everywhere, what national retailers have failed or are failing in OKC?

[rjstone208]

If I could choose one new store for OKC it would be Trader Joe's.

There is simply nothing like it and I know it would be an absolute smash.


Not only do they have great, unique products, they also have excellent prices. Between and TJ's & Costco, I rarely go to a traditional grocery store.

Tastes are individual obviously but when we were in San Francisco last summer went to the Trader Joe's near the hotel and were completely unimpressed. Store was smallish, prices were comparable to WF and didn't see anything that grabbed us. Walked around, looked, left and went to WF for goodies. Much rather see more WF in the metro.

[Pete]

Tastes are individual obviously but when we were in San Francisco last summer went to the Trader Joe's near the hotel and were completely unimpressed. Store was smallish, prices were comparable to WF and didn't see anything that grabbed us. Walked around, looked, left and went to WF for goodies. Much rather see more WF in the metro.

I felt the same way about TJ's the first few times I went; I just didn't get it.

But now I do and I shop there every couple of weeks and never go to Whole Foods, and both are very close to my house.


It's hard to explain Trader Joe's but most of what they carry you can't find elsewhere, have an incredible knack for delicious products, and it's all very reasonable, and often incredibly cheap.

Their stores are intentionally basic and on the smaller size, but their service is amazing.

[metro]

Good point, Spartan. Other than national retailers that are failing everywhere, what national retailers have failed or are failing in OKC?

Pottery Barn Kids comes to recent memory

[ljbab728]

Pottery Barn Kids comes to recent memory

I'm not familiar with Pottery Barn Kids and even though it may have closed they still show the OKC location on the company website. If it did close, however, that is not an OKC phenomenon as shown by this article from two years ago. Williams Sonoma, which owns Pottery Barn Kids, has been involved in store closings for some time.

http://retail.ocregister.com/2010/03...-stores/19929/

[Plutonic Panda]

Good point, Spartan. Other than national retailers that are failing everywhere, what national retailers have failed or are failing in OKC?

Sears is closing it's Qual Springs location in Jan. 2013

[ljbab728]

Sears is closing it's Qual Springs location in Jan. 2013

Notice that I didn't ask what national retailers are closing. I asked what national retailers are failing here that aren't failing everywhere. The Sears closing is not, as I've mentioned previously, an OKC phenomenon or problem.

[NWOKCGuy]

nevermind.

[vaflyer]

Pottery Barn Kids lease at Penn Square came up and they were out bid by Forever 21. Forever 21 wanted their space along with the fitness center above so they could put in a 2-story store. Thus, PB Kids did not fail in OKC but instead was a victim of OKC's success.

[metro]

Pottery Barn Kids lease at Penn Square came up and they were out bid by Forever 21. Forever 21 wanted their space along with the fitness center above so they could put in a 2-story store. Thus, PB Kids did not fail in OKC but instead was a victim of OKC's success.

But if they were doing exceptionally well, would they not have been willing to bid more to renew a lease?

[bluedogok]

But if they were doing exceptionally well, would they not have been willing to bid more to renew a lease?

It isn't always that simple.....sometimes a national will bid way beyond market rate for a specific space knowing others wouldn't pay that amount. National retailers can really skew the market rate. If PBK wanted a spot they can pay what they want but I don't think that is what they do with that particular franchise, I have seen them move around in the Simon malls that I worked on because someone else wanted the spot they were in. The main PB store probably has a different profitability ratio than PBK and they might pay more for the main store location.

[ljbab728]

It isn't always that simple.....sometimes a national will bid way beyond market rate for a specific space knowing others wouldn't pay that amount. National retailers can really skew the market rate. If PBK wanted a spot they can pay what they want but I don't think that is what they do with that particular franchise, I have seen them move around in the Simon malls that I worked on because someone else wanted the spot they were in. The main PB store probably has a different profitability ratio than PBK and they might pay more for the main store location.

And notice from the article that I posted about Williams Sonoma

The Internet and e-commerce have become the focus of our capital investment.

Again, OKC has nothing to do with this. It's a national focus.

[Pete]

I didn't realize that the person in charge of recruiting new retail to OKC for the Chamber, Alison Oshel, had left her position.

They just hired a new person who had a similar role in El Paso.

[HangryHippo]

Drawing on the retail experience of El Paso...NICE!

[ThomPaine]

Do you think they're going to fail in OKC?

I hope they don't, but I'm actually a little surprised that they would locate here considering OKC is the sixth worst city for obesity.

http://www.tulsaworld.com/news/artic...1_Oklaho299643

Maybe they are a harbinger of better fitness in OKC.

[okcpulse]

I hope they don't, but I'm actually a little surprised that they would locate here considering OKC is the sixth worst city for obesity.

http://www.tulsaworld.com/news/artic...1_Oklaho299643

Maybe they are a harbinger of better fitness in OKC.

The article was talking about the state, not OKC. Please read closer.

[ThomPaine]

The article was talking about the state, not OKC. Please read closer.

Doh! Sorry! OKC is in the bottom half, but not 6th worst. I was looking at two stories...

http://www.livescience.com/18889-cit...ity-rates.html

According to the latest poll, OKC has a 26.7% obesity rate, which is below the state average, and actually close to the national average.

I still hope this a sign of lower obesity and healthier lifestyle choices!

[soonerguru]

I didn't realize that the person in charge of recruiting new retail to OKC for the Chamber, Alison Oshel, had left her position.

They just hired a new person who had a similar role in El Paso.

Oshel seemed to be doing a decent job. Any idea where she landed?

When I first read the second part of your quote I thought it said "similar position in El Reno," and I was getting concerned. (smilie)

[soonerguru]

Oshel seemed to be doing a decent job. Any idea where she landed?

When I first read the second part of your quote I thought it said "similar position in El Reno," and I was getting concerned. (smilie)

Nevermind, I searched for Alison's LinkedIn and discovered her current job title is "Blissfully Unemployed." Burnout?

[Pete]

Some chain stores looking to expand into Oklahoma, according to*survey

In this 2008 file photo, A Costco store in Orem, Utah. Costco officials said in a survey that “the chain cannot do business in Oklahoma until some changes occur.” GEORGE FREY/Bloomberg News

By ROBERT EVATT World Staff Writer
Published: 8/28/2012**11:37 AM
Last Modified: 8/28/2012**11:56 AM

Charming Charlie, The Corner Bakery, Potbelly Sandwich Shop and Von Maur are actively looking to open Oklahoma locations, while Neiman Marcus, Nordstrom, Brooks Brothers and Costco have ruled the state out, at least for now.

That was the result of a survey conducted by Katherine Field Boccaccio, senior editor of Chain Store Age magazine, that examined restaurant and retailer attitudes toward the state.

Boccaccio presented her findings during the International Council of Shopping Centers IdeaExchange held Thursday in the Renaissance Oklahoma City Convention Center.

She said that of the 159 companies she interviewed, fewer than 20 percent have plans to enter the state.

Boccaccio said some of the bigger barriers include a lack of suitable locations, a lack of population density or a lack of confidence in the buying power of residents.

“A lot of companies pass on Oklahoma due to the perceived lack of income, even though the cost of living is lower and people have a lot of discretionary income,” she said.

At least for some companies, another stumbling block is the state’s alcohol laws.

Boccaccio said officials at BevMo!, a growing liquor chain, told her they can’t do business in the state due to the laws, though they would be very interested in expanding here should things change.

Costco officials told her that “the chain cannot do business in Oklahoma until some changes occur,” which she said suggested the alcohol laws were part of the problem.

Other stores, specifically The Container Store, are concentrating their growth in bigger areas, and some currently have no or slow expansion plans, Boccaccio said.

However, other companies expressed interest in coming here. She said officials at The Corner Bakery said they very nearly proceeded with plans to open restaurants in Tulsa, though plans with the franchisee fell through. They are now making new plans for a Tulsa entry.

Von Maur officials are interested in opening in Tulsa, although they have had trouble finding a suitable location, Boccaccio said.

H&M officials did not specifically mention Oklahoma, but she said they are looking at smaller cities within the region.

In-n-Out Burger officials told Boccaccio they will consider expanding to Oklahoma after they finish building out in the Texas area, a process that should take another five years.

Sur La Table will also evaluate Oklahoma within the next three to five years. Au Bon Pain would like to open here, although Boccaccio said distribution could be a problem for the eatery, and that they would need to open multiple locations simultaneously to make it worthwhile.

Companies that are looking to expand their existing presence in Oklahoma include Qdoba, Panera Bread, Children’s Place, Whole Foods Market, P.F. Chang’s, Sprouts, Walgreens and CVS/Pharmacy, Boccaccio said.

During her talk, she noted that the state is attractive to many companies because of its strong economy, solid middle-income population, low cost of doing business, the interstate highway system and its proximity to Dallas.

“The majority of businesses I interviewed for this survey consider Oklahoma to be an extension of Texas,” Boccaccio said.


Read more from this Tulsa World article at http://www.tulsaworld.com/business/a...0_Charmi357348