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"Location, location, location" One of the most important decisions a retailer makes is where to put their store. Location influences where customer's shop and the type of customers who shop there. A competitive advantage is also created because competitors can not copy the location, they must locate their store at the next best location.

Wal-Mart's logo makes the store recognizable from every street corner and intersection. The Wal-Mart this post is about is in Raleigh, NC and located on New Bern Avenue.

Basic and traditional types of retail locations include freestanding, city/town business districts and shopping centers. This Wal-Mart is uses the freestanding location type. "Freestanding" means the store is isolated from other retailers (physically not connected) and can be found near other freestanding retailers or shopping centers. Some advantages and disadvantages are highlighted below and can also be seen in the Google Maps screenshot.

Advantages

• Parking will never be a problem here, the parking lot is huge! Other retailers have parking lots nearby if customers ever needed a place to park, but they probably won't run out of parking spaces anytime soon.
  
• Pedestrian traffic is high in this area. The intersection can lead to Raleigh (turn right), Knightdale (turn left) and even Garner (go straight).
  
• Convenience. This is the closest Wal-Mart for people in eastern Raleigh and a 10-15 minute drive away from many neighborhoods. A Starbucks with a drive-thru and a gas station are nearby and city buses are also welcome.
  
• Few restrictions. This is a 24 hours Wal-Mart.

Disadvantages

• Pedestrian traffic. High traffic means potential customers drive by every day. But the street is also a highway...with street lights every 5 minutes. Pedestrians, cars, city buses and trucks are a lot for someone to handle. Rush hour, weekends and evenings (trucks) sometimes make the drive to Wal-Mart a bigger headache than it should be.

Overall, this location works for Wal-Mart and it was a wise choice by the company. It should also be mentioned that the only other big box retailer Big K-Mart went out of business right before the Wal-Mart was built. That is another factor that has probably helped fuel business in this area.

Source(s): Google Maps, Wal-Mart [logo]

Eddie Bauer is owned and operated by Eddie Bauer Holdings, Inc. (EBHI) and sells outerwear, accessories and other items for men and women with an outdoors lifestyle. (S&P, 2009)

Like many retailers in the spiraling economy, Eddie Bauer has not been spared of falling stock prices and value. In mid-year 2005, the company had stock prices near $30 per share (chart 1) but today, their stocks are trading under 60 cents (chart 2). Cost reductions of $15 million, 193 job cuts, reduced executive salaries as well as board member compensations are some steps the retailer has taken to brace itself against the downward economy. (Saranow, 2009)

Source(s): Eddie Bauer, First Ascent, Stock Information [charts], Blogging Stocks

Saranow, J. (2009, Feb. 27). Eddie Bauer Returns to Roots. Wall Street Journal, pB8. Retrieved from ProQuest database.

Standard and Poor's. (2009, Mar. 05). Eddie Bauer. Business Summary. Retrieved from http://www.netadvantage.standardandpoors.com/.

Rugged Wearhouse's website defines their target market as the young, contemporary adult who enjoys a relaxed and informal lifestyle. The merchandise inside their stores have a casual and contemporary flair to them and is meant to appeal to families, "mothers, daughters, fathers, and sons...". This description is basic but can be expanded with something called VALS (Values, Attitudes and Lifestyles).

VALS is used by companies to help identify "current and future opportunities by segmenting the consumer marketplace on the basis of personality traits that drive consumer behavior." Based on the answers to the VALS Questionaire, a person is put into one of the eight segments determined by the two dimensions of Primary Motivation and Resources. What in particular about the self or the world is the meaningful core that governs a person's activities? That is used to find a consumer's primary motivation. Personality traits and specific key factors determine a consumer's resources.

The eight segments a consumer could belong in are the Innovators, Thinkers, Achievers, Experiencers, Believers, Strivers, Makers, and Survivors. Each segment is motivated by one of three things, ideals, achievement and self-expression.

• Ideals: Thinkers, Believers
• Acheivement: Achievers, Strivers
• Self-expression: Experiencers, Makers
• Innovators are motivated by all three in varying degrees
• Survivors do not have a strong primary motivation because their main focus is meeting needs and not fulfilling desires

Ideally, Rugged Wearhouse would like consumers who fall into the Thinkers, Experiencers, and Believers segments. The reasons I shop at Rugged Wearhouse are because I like their merchandise and their prices. After taking the VALS Survey I was put into the Strivers (primary) and Achievers (secondary) segments. As a regular consumer, I see the type of people who shop there and would say Rugged's consumers come from the Innovators, Experiencers, Strivers, and Survivors segments.
I did not think I would belong in these two segments but the VALS website states "the details that are literally unlike you may identify a basic tendency that you express in some other way". An individual's VALS type only shows what attributes they share with other consumers in that same segment. It does not mean all consumers within one segment resemble or relate to everything in the type's description. To take the VALS Survey and find more information about the VALS Type, click on the source's link.

Source(s): Rugged Wearhouse, VALS Survey, VALS Types

The History of Rugged Wearhouse

The history of Rugged Wearhouse is fairly short compared to other retailers. The retailer is owned by Gabriel Brothers, Inc. and their first store opened in Frederick, Maryland in 1996. During the late 1990s, the retailer opened 15 more stores in Maryland and Virginia and have expanded into the southern east coast. They also have stores in North and South Carolina, Georgia and Alabama. Rugged Wearhouse considers its target market young, contemporary adults and carries a merchandise mix of casual, contemporary items. These items are meant to appeal to "mothers, daughters, fathers, and sons...anyone who enjoys today's relaxed, informal lifestyle." Besides apparel, Rugged Wearhouse also sells home furnishings, accessories (shoes, jewelry, handbags, etc.) and lifestyle products in some of their stores.

Source(s): Rugged Wearhouse, Gabriel Brothers, Frederick, Maryland

5 Things About Rugged Wearhouse

Not everyone will fall in love with this retailer as I have, but for those who love it, they could probably agree with my 5 reasons why...


PRICE
This place is very, very affordable. Someone new to the Rugged Wearhouse experience might be a little shocked when they first see the prices. They are listed drastically lower than department store prices and even lower than stores such as TJ Maxx and Burlington Coat Factory. The highest priced item I have encountered was a Baby Phat dress for about $36. These are the listed prices BEFORE any discounts are applied, that makes it even better! It is important to note that prices are dependent on the brand name and what type of item it is (shoes, tops, jeans, etc.) but a majority of items can be found under $10.

MERCHANDISE
The merchandise at Rugged Wearhouse are brand name items and include clothes, shoes, home and bath items, and accessories (belts, purses, etc.). The average shopper will recognize most of the brands they have but some brands may not be as familiar. This is how the fun begins. There is no end to what can be found at this retailer but it does take a patient shopper.

1) All items should be checked for any noticeable defects. If you really like it but their is a defect, ask for a discount (in most cases they will give it to you).
2) Take the time to try items on just to be safe. The items you have may be from different brands and they may not size their clothing the same.
3) Some of their items are unique and should be bought right away, it won't be there if you try to come back!


SALES, SALES, SALES!!
It has already been mentioned that their prices are very affordable but like every other retailer they still have sales. The only difference is that Rugged Wearhouse has prices that actually look like sale prices. When they are having a clearance sale, I have been able to find items for as low as 50 cents! It is important you definitely want an item you buy on sale because all sales are final! I have also noticed that they don't have STOREWIDE sales, so sale items are always clearly marked to avoid any confusion.

LOCATION
Rugged Wearhouse is not located in every state and is mostly in the eastern part of the country. Stores are usually located inside a shopping center in major cities and towns near the main college or university. Location is important to me because if I buy it in Greensboro and need to return it, I have a lot of choices. The added convenience of being able to return an item across the state (locations include Raleigh, Cary, Kernersville and Winston-Salem) is nice.

STORE LAYOUT
Rugged Wearhouse does not try to be a department store in terms of store layout. Each location has a different layout but all areas of the store are clearly marked for easy identification. New and seasonal items are also put towards the front of the store where there is more usually more space.

Source(s): Flickr