In 1995, Mattress Giant had less than 50 in-line retail stores located in Texas and Florida. They had growth plans and a strong marketing plan, yet their real estate locations were detrimental to their success. We met with senior management and reviewed studies regarding store sales of retailer located in-line versus outparcel stores. We worked diligently with management to design a prototypical store design that makes it identifiable to customers nationwide. We analyzed each current location and determined where they needed relocations. We utilized demographic studies and examined traffic patterns to determine new locations.
In 1996, we embarked on a roll out of these new “branded” stores. The first free-standing store was in Boca Raton. We then worked on relocations within their existing markets. In 1997, the existing markets were somewhat saturated based on their desired demographics. We entered new markets with them in New England, Minneapolis, Chicago and Orlando. Gross sales of the free-standing units far exceeded projections and sales at existing relocated stores. The company has now grown to over 200 stores nationwide and is the leading bedding retailer in the U.S. We remain the preferred developer for the company.
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