Is Retail Dead?

This is just my own personal incessant babble about how I believe retail sales are changing. Dying really. Sure adults today are used to walking into a store, touching, trying on, testing, and buying products. But really, if I can walk into Macy's or Foot Locker and find my shoe size and then go buy online at Zappo's for $15 less; my question is, why wouldn't I?

I understand about supporting local businesses and community business. But really, folks. Our economy is consumer-driven. And if Foot Locker can't figure out how to compete with Zappos.com, then they've already lost my dollars and shame on them.

Here's the catch. The next-gen of adults will be plenty internet saavy. They already are. Maybe buying habits will include being okay with 3 day's wait for free ground shipping instead of this "instant gratification" thing we've been sold for years. I'm already very comfortable with it.

Why do I ramble about this? Because when I walk through the San Francisco Embarcadero Shopping Center and see so many vacant retail stores locations or even on Maiden Lane (prolly SF's most exclusive shopping addy), it saddens me. Because A Clean Well-Lighted Place for Books is gone for good- and that means no more book events (there) that I've cherished in the past (yes, I bought books from them for the signings to support them).

Acorn Books on Polk Street is also closing. They are calling it "retirement" and I'm not sure that means for the owners or the retail book industry in which they refer to. The good news (if this can be said to be such), is that everything is 50% off in their entire collection. I asked if they will sell the more precious collectibles through an estate auction or eBay and they said "no, everything will be sold here." That's amazing. They'll remain open through the end of September, unless everything is gone earlier. So spend a few bucks and do them some good. I'll miss Acorn, 'cuz they are one of the few sellers that has used books as well as antiquarian books for sale and completely indexed in their computerized inventory. Green Apple Books on Clement is the other.

Acorn and Green Apple just kick serious butt compared to Borders and Barnes & Noble. Used, new, collectible, bargains, and people that actually are highly literate working their. ha ha did you catch that typo, just funnin.'

Wherehouse closed their Van Ness location less than a year ago. Good Guys has closed all its 46 locations in California and Hawa'ii. Now, they're teaming up with CompUSA for in-store sales. But CompUSA will likely not do too well in years to come either.

None of this comes as a surprise to me, since I believe that only service industries and food industries will truly survive (and thrive) in local communities. Everything else will be "kiosk" shopping and big centralized DC's (distribution centers). Malls will likely be the exception.

Cost Plus closed its store in Colma across from the Target. I could expect some Pier1 stores to close also. If they can generate strong internet sales (some already have), they'll be around for years to come still. This is why Starbucks is so successful, you just can't download a cup o' joe yet. They could be on every three city blocks and stay busy. So could restaurant chains. And service businesses like auto repair and law firms.

What's next? Circuit City is on my cxl (cancel) list. Best Buy I might expect to last a bit longer. WalMart, Kmart, and Target have strong staying power due to kid's clothing, grocery and utilitarian things like light bulbs and ironing boards. Small independent antique stores, music stores, poster stores (like the former Prints Plus). Magazine/Newstands (3 closed on Upper Fillmore in the past two years).

We all understand how much it costs to have retail space: utilities, insurance, staffing, taxes, inventory, security, et al. Basically, business is now all about click and mortar. So, if you are like me and like to have choices, may I suggest you go out and patronize the places you want to keep around. Like the Castro Cheesery and Sidewalk Cafe if you want to keep caffeine alternatives to Starbuck's in your neighborhood. Good news is, supposedly, Slanted Door is slated to open a second location on Fillmore sometime, possibly by next year? I can't find much info on this (all I've found is on this page, near bottom). My guess is prolly slated to open by Spring 2007 in conjunction with Yoshi's West on Lower Fillmore.

I've got some kewl sites to blog, so check back soon, I'll get to it in a day or so. Cheers peeps.
(All images are taken from their respective websites)