Friday, December 5, 2008

Specialty stores succeed with expertise, unique goods

Never mind the troubled economy. DeLallo's Italian Marketplace is as busy as usual for this time of year, as families plan Christmas dinners and shoppers buy gift baskets filled with pastas, cheese and sauces.

"We're doing very well. Our store is a destination for holiday shopping," said Anthony DiPietro, vice president of the Jeannette-based business. "Food is something that people don't sacrifice at holiday time, because it's something that brings people together."

As national store chains report sharp declines in sales and experts predict frugal spending this season, many of the region's small, specialty merchants that carry hard-to-find items say they're doing as well as or better than last year.


Customers at Carol's Needleworks in Bridgeville tell owner Carol Crowley they're making more handmade gifts this year, to save money. Yarn and needle sales are up, as is enrollment in her classes.

She's selling more of the items she makes to sell in the store. "Yarn is comforting, and people cocoon" during tough times, Crowley said Thursday, adding craft supply store chains are carrying less yarn, and that helps her business.

Riding jackets and equestrian-style clothing and home items are selling better than this time a year ago at The Horse and the Hound in Butler, owner Diane Weber said.

November sales were down, likely because a competing shop was closing and selling off stock, Weber said, but "December is picking up."

While small retailers can't discount as deeply or offer as much variety as big box stores, they can hold their own as consumers spend less by promoting their personal touch and expertise, as well as their unique merchandise, said Tony Gao, a marketing professor and retail expert at Northeastern University in Boston.

"In today's environment, your most loyal customers will give you more support than one-time customers," he said.

Chris Mollica of M&M Leather Goods said small businesses are "expected to do things better" than big ones, and many have become more competitive in price because they adjust more easily to their small markets.

One man bought three jackets yesterday at the Hempfield store that sells motorcycle-related clothing. Mollica, the vice president, threw in a can of water and stain repellant spray. "A big box wouldn't do that," she said.

Still, shoppers are being more careful. Instead of one shopper buying a coordinating men's shirt, sweater and pants at his Lapels A Fine Men's Clothier, Kevin Miscik observes family members splitting up the outfit, with each one buying one piece.

Miscik relies on the holidays to generate 40 percent of annual sales at his downtown Greensburg store, and so far his numbers are steady. This year, shoppers are looking for fewer, but better quality gifts, he said.

"One woman bought her husband a beautiful winter coat, for several hundred dollars. She didn't buy him five things," he said.

The principle applies as well to a pair of work boots as it does to a cashmere sportcoat.

Family members buy gifts at Hanna's Clothing Store in Carnegie for construction and other professionals who work outdoors, Phil Hanna said, because the clothing holds up and can be personalized with embroidery.

"This area isn't as depressed as the rest of the country," he said, and hundreds of laborers and tradesmen now are employed at the North Shore casino and transit tunnel construction sites, along with road projects. "As long as those guys are working, I'm busy," he said.

Mollica of M&M said more customers are using cash instead of credit cards, though sales have been strong. Manager Rena Agostinone of D's Six Pack, with locations in Regent Square and Monroeville, hasn't seen any drop in specialty beer sales, including mix-and-match six packs that are popular gifts.

Jack Miller had a "good year, despite the economy" at his Strawberry Crow shop filled with specialty furnishings and home items in Ligonier. The town is a destination tourist area, and that helps, he said.

Still, smaller shops in Sewickley have suffered in recent months as shoppers become more frugal, said Janet Daugherty of Tapas Inspired Handworks, which sells baby clothing and other handmade items by 150 crafters and artists.

"I see a lot of people looking, but not buying," she said. "This is one of the worst years in the 18 years I have been in business."

Loyal customers continue to visit her for gifts, including Dorothy Antonelli, who just bought jewelry there for two nieces and a granddaughter. She lives on Neville Island, not far from the Sewickley business district.

"I try to frequent the local people. I think it's important. You want to see them stay in business," she said.



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