I received this email from the city today and wanted to share it with others:
If you could send the email below to the NACs in an effort to bring together a focus group on downtown retail and the topic of national/independent retail, that would be greatly appreciated. We would like a cross-section of residents from across the City. Also, I realize that it’s quick notice to meet this Thursday - if you don’t get a good response, we could also hold the meeting on Wednesday January 23rd, same time and place.
Good afternoon,
The City of Frederick Department of Economic Development and the Downtown Frederick Partnership have teamed up to explore the future of retail in Downtown Frederick. Through an extensive community outreach initiative, we are seeking input from a broad range of audiences through a variety of resources to determine what people love most about downtown; what they least like; what they want to see more of in downtown; and their opinions regarding the mix of national retail and independent merchants within Downtown.
The first 2 phases of this outreach are complete. During November and December DED and the Partnership collected over 1,000 responses to an online survey from people throughout Frederick County and the region and interviewed 315 customers on the sidewalks of Downtown. Our next phase is a series of focus groups, and we need your help.
Please join us on Thursday January 10th at 6:30pm for the Downtown Retailers focus group. The focus group will be held at City Hall, in meeting room 212.
Through this effort we hope to delve into the more complex, in-depth reasoning behind the results of the surveys. This is a critical piece of this effort and we hope that you will be able to participate. Please respond to this email at your earliest convenience with whether or not you can attend, or call me directly at 301-600-6362.
Best regards and happy New Year,
Heather
Heather Gramm, CEcD
Business Development Specialist
The City of Frederick Economic Development
101 N Court Street, Frederick, MD 21701
Phone 301-600-6362 or Fax 301-600-6363
Frederick: A Great American Business Destination
Fungusblogs
10 responses so far ↓
Gumby // January 7, 2008 at 6:35 pm
I think residents of Frederick who appreciate the independent (non-chain) nature of downtown need to attend this meeting and make their voices heard. All too often I have seen wonderful urban neighborhoods give way from small indie businesses (Cafe Nola, Frederick Fudge & Ice Cream) to corporate behemoths (e.g., Starbucks, Ben & Jerry’s << now owned by Unilever). With that potential change comes a loss in the local flavor and character of the town, not to mention most of the money leaving the local area. I seriously hope this is NOT what is being considered. Every time we take a visitor into downtown, they are envious for the vast number of small business that flourish downtown selling arts, gifts, antiques, clothing, jewelry and everything else from skateboards to eyeglasses. We need to preserve that foundation and keep the chains out of historic downtown.
dancing cucumber // January 8, 2008 at 8:22 am
I think a mixture would be nice, providing that the chain type stores selected are upscale.
The Dude // January 8, 2008 at 8:53 am
I enjoy the downtown area, but question the notion that buying from independent owners “keeps most of the money [from] leaving the local area.” My guess is that the great majority of these business owners purchase their business supplies and foods from national distributors and wholesalers, own foreign-manufactured cars, eat industry-produced foods, drink foreign-produced coffees and teas, dine at not a few chains, buy gasoline from major distributors and refineries, shop a great deal at Target, Macy’s, Sears, and perhaps even WalMart. Yes, buying from a downtown merchant helps that merchant, but I question the idea that that particular merchant shows (or can show) the same economic loyalties when spending her/his money. Let’s not fool ourselves into believing the money circulates over and over and over downtown–that we can “keep the money from leaving the local area.” That’s not the way our highly interdependent economy operates.
tom // January 8, 2008 at 11:18 am
As a local business owner I definitely make an effort to support the other local businesses. This is not always possible but a definite effort is made. I do this for a selfish reason: I want the businesses that I enjoy to be around for the next time I want a cup of coffee, a good sandwich or great advice. It is certainly not an act of charity.
dancing cucumber // January 10, 2008 at 9:04 am
I am curious what the outcome of the survey was?
Gumby // March 3, 2008 at 3:37 pm
With regards to national chains vs independently owned business, here are some basic facts to consider when it comes to how much money leaves the area vs what is likely to stay in this area.
First, what money is likely to leave the local area. Consider that most franchised chains pay branding/franchise fees of between 8-15% as well as additional national advertising allocations of 2.5-5%. While there may be some budget for local advertising, most of the ad budget would go to the national firm. Company-owned retail outlets typically offer centralized administration of accounting/payroll and IT services, thus minimizing the chance these services would be provided by a local firm. And nationally negotiated contracts for branded product inventory, branded packaging, and store fixtures is largely based on national pricing contracts, greatly minimizing the likelihood that a local company would provide these services.
I agree that national distributors may be used for some supplies, but most of the smaller retailers in town are purchasing at least some amount of their inventory locally, be it from artisans, bakeries, brewers, coffee roasters, or otherwise.
What $$ does stay in the local economy? Obviously paychecks provided to the store employees. Some ad revenue may be generated by local newspaper, TV, and radio. Local distribution from the warehouse to the store may be subcontracted to a regional independent transport operator. Local contractors may be employed for store construction and remodeling. And more generalized office supplies could likely be sought out from local businesses.
I’m not trying to say national chains are bad. But economic reasoning aside, their increased presence could potentially detract from the overall distinctive nature of downtown Frederick. Why would anyone travel here from DC or Baltimore to spend a day shopping in downtown Frederick if a growing number of stores were the same exact ones that could be found in their local mall? Velvet Lounge or Abercrombie & Fitch? Candy Corner or Godiva Chocolate? Cafe Nola or Au Bon Pain? Venuti’s or Olive Garden?
Guy // March 3, 2008 at 8:27 pm
@ Gumby, thanks for the well thought out post on local vs. chain. very good info for the next time we are trying to decide where to eat out.
Darrell Russ // March 4, 2008 at 9:09 am
As long as the national chains do not drive rents through the roof, I have no porblem. I remember when downtown was anchored by national retailers like Sears, JCPenney and such. They were anchors. I am hoping by having some national chains it will increase the business in downtown as a whole and be more like friendly competition. Starbucks has not kept me from Proof or Cafe Nola.
Cityside // March 4, 2008 at 11:40 am
Good points, Gumby. And Darrell. I was actually part of the focus group and the overall consensus seemed to support a mix, but with a preference for locally owned. A lot of it has to do with taking advantage of opportunities on a case by case basis, balancing the service provided with issues such as duplication of and competition with existing businesses. Starbucks is obviously a duplication. But, at the same time, if Trader Joe’s were interested in the Carmack Jay site, would it be in downtown’s best interest to turn away them away because they’re a chain?
Cygnus // March 4, 2008 at 2:47 pm
I’d love to see Trade Joe’s come here as much as anyone, but they’d be cramped at that Carmack Jay’s site with not much parking.
Which, come to think of it, is par for the course with most Trader Joe’s locations.
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