Smaller retailers undaunted by Home Depot
Published 12:00 am Wednesday, February 27, 2002
Reaction to Home Depot’s opening is varied among area businesses most likely to be affected; owners of some hardware stores and lumber yards expect more competition, but say they will probably see little change in others.
Wednesday, February 27, 2002
Reaction to Home Depot’s opening is varied among area businesses most likely to be affected; owners of some hardware stores and lumber yards expect more competition, but say they will probably see little change in others.
At least one business owner sees a potential positive impact on everyone, including himself, if Home Depot can spur more area residents to shop in Albert Lea, instead of driving to Menards or other big box stores in Mason City, Mankato or Rochester.
&uot;At least in part, we see this as an opportunity to keep more Albert Lea and southern Minnesota shoppers in the area,&uot; said Dennis Raleigh, owner of Raleigh’s Ace Hardware on North Bridge Avenue.
Rick Stoneman, co-owner of Stoneman’s Lumber in Emmons and Conger, agrees -&160;sort of. He thinks he will see less spontaneous, walk in business, but he isn’t certain that many of those customers actually shop locally all that much to begin with.
&uot;For the most part we don’t see them taking much or any of our existing business. I see that kind of customer as someone who would have driven to Mason City or Mankato anyway,&uot; said Stoneman.
At Albert Lea’s Hardware Hank store, located at Skyline Mall, the perception is that their customers shop partly for convenience.
&uot;I don’t think my customers are going to drive all the way across town, walk a half mile through a parking lot and store, just to make a $10 or $15 purchase,&uot; said Bill Souba, owner of the business.
&uot;From Home Depot’s location, they are going for business off the interstate more than anything else,&uot; said Souba.
For retailers like Raleigh, Stoneman and Souba, personal service is one of the ways they can offer something that a giant retailer like Home Depot cannot. It’s something that’s even been showing in Ace’s radio ads.
&uot;When you call us on the phone or walk in to the store, you’re more than likely to find an owner – me or my wife Deanne – than when you go to a big store,&uot; said Stoneman.
&uot;People like to come into a business and get taken care of by people they know,&uot; said Souba.
&uot;They would probably like to take some of my customers, but we offer personal service the moment you walk in the door. Customer service is a very important part of what we do,&uot; said Raleigh.
Starting the week that Home Depot opened, the ads for Ace Hardware have been making a point of reminding listeners of the advantages of a small business like his.
&uot;If I was afraid of Home Depot I would have closed up six months ago,&uot; he added.
Raleigh, his wife and their children moved to Albert Lea eight years ago to open up the store, and he shows no signs of giving up. He even thinks that there might be opportunities for businesses like his in the community that didn’t exist before Home Depot opened.
&uot;I’m confident that people will continue to rely on small businesses. Big boxes like Home Depot can fill a niche in town, but they can’t do everything,&uot; Raleigh said.