Our future cities: Applebee's, farmers/flea markets and UPS trucks

By John McGory

 

Last week our blog discussed whether small Ohio downtowns were dying due to the impact of Internet commerce or if creativity could keep them alive.  One of the towns mentioned was Westerville, my home town. 

Yesterday at the library I noticed that last week’s Business First of Columbus had a front-page spread on how great Westerville’s core business area was doing. 

Well, we both can’t be right.  So let’s dig a little deeper into the impact of the Internet on bricks-and-mortar business locations. 

It wasn’t that long ago when headlines across America screamed that big-box retailers were the end of small downtowns and mom-and-pop businesses.  Large selections and low prices were kicking small town businesses where it hurt.  City councils and zoning commissions made life hell for those looking to locate a WalMart or Best Buy in their towns.


The superstore isn't so super anymore

Fast forward to today and look at what is happening to those same big box retailers:

The office supply retailer, Staples, is reducing the size of 39 of its 440 stores by about 10,000 square feet apiece.  They plan on subletting the space to other tenants including Amazon.com.  Amazon plans on installing lockers for customers to pick up online orders.

Best Buy is closing 15 of its 230 stores.

Office Max and Office Depot merged.

WalMart is testing the use of lockers for online purchases by its customers.  It is also substantially increasing its online selections. 

The US Census had retail e-comerce increasing approximately 16 percent from 2011 to 2012. 

The bottom line is big box retailers hurt small town America with lower prices and greater selection.  Big box retailers are now getting a taste of their own medicine through Internet competition.  They cannot compete with the Internet’s array of products and services, the selection and price. If big boxes were bad for small towns, then the Internet is ominous.

The problem for not only small town Ohio but strip center owners, suburbia and job seekers is the array of services and products online continue to grow.  We outlined last week a number of typical small town bricks-and-mortar businesses that are getting pummeled by the Internet.  That list will grow.

Welcome to the neighborhood!

I live in Uptown Westerville and love it.  I patronize our businesses and have brought a substantial amount of business to town through events.  But it is painfully obvious that our community and communities around the world have to wake up to reality.

People aren’t riding into town once a month to pick up their fixins’ anymore.  Small downtowns and brave store owners need to draw people through events and entertainment or face a slow and painful death.


So I was wrong.  The Internet isn’t only killing small downtowns but it has its eye on malls, strip centers, suburbia and jobs.   It doesn't take a rocket scientist to figure out stuff is cheaper if you don't have a store and employees.

The only way to fight it is through creativity.  People will come out if the allure is great enough.  Without some sizzle our small towns will consist of McDonalds, Applebee’s, several churches, farmers and flea markets, a BP gas station and a lot of UPS trucks. And that is depressing. 

FYF Events is a central Ohio promotions/event company that promotes being Forever Young and Fun. We create, partner, organize and manage events for business and pleasure. Contact John McGory at fyfevents@gmail.com 614-581-3610 or on Twitter@FYFEvents. We love small businesses!

Is small downtown Ohio dying?

By John McGory

More signs popping up

Is small downtown Ohio dying?  Is “eventing life” the only hope to bring back excitement and customers?

Small downtown Ohio is going through another tough stretch.  Vacant store fronts are growing in numbers in downtowns such as Bexley and Westerville.  If urban living is more hip than ever then what gives?

Starting in the 1960s, small town Ohio began to take it on the chin from new suburban shopping centers.  Large chains such as JC Penney, Sears and Kroger began putting small town shops out of business with larger selections and lower prices.

Small downtowns deteriorated until public and private dollars began to revitalize them in the 1990s and 2000s.  Customers came back but in small numbers and most towns continued to see a brisk turnover in shops.

Today towns face a growing number of shops closing without replacements.  Why?  Internet shopping is the culprit.

Let’s take a look at a few typical small town businesses and today’s competition: 

The eye doctor is competing against Zenni.com where you can get a pair of prescription glasses for $8

Book stores are going up against Amazon.com and digital books

Furniture stores are competing with manufacturer-direct operations

Online and insurance company pharmacies are taken a huge bite out the local market

Wine, cigars, wedding dresses and real estate agents can all be found online

Online banking is reducing the need for local bank branches

Can small businesses and communities fight back?  Not on price or convenience.  Internet shopping has forever changed the pricing and selection landscape.  Many items are simply going to be cheaper and with more options online than in a small store or even many larger ones.

Eventing life can fill the streets

The only advantage the actual stores have is the ability for people to personally “experience” the buying process.  Our company talks about “eventing life.”  Small town Ohio and many other small towns across the world are going to have to embrace this concept. 

What is eventing life?  Towns and stores are going to have to continually create reasons for customers to come in to shop. 

These can’t be once-a-month affairs.  It has to be a steady stream of events that get people off their computers and into the streets.  It is going to take a real effort to create a new sense of community.

This is the only hope for small towns and local businesses.  Without a strategic plan to attract, entertain and sell customers on paying a little more for the experience of shopping in downtown Ohio, the time has come to turn out the downtown lights.   

FYF Events is a central Ohio promotions/event company that promotes being Forever Young and Fun. We create, partner, organize and manage events for business and pleasure. Contact John McGory at fyfevents@gmail.com 614-581-3610 or on Twitter@FYFEvents. We love small businesses!