With Amazon booming and online shopping becoming the norm, brick-and-mortar retail is under pressure. How many retail clothing stores can you name in Detroit? While there are some real gems, these businesses face significant challenges.
But local shops offer something that big-box stores simply cannot. No one knows their community better than a local business owner. This deep understanding of the neighborhood and its residents allows these businesses to tailor their offerings in ways that large corporations – and certainly online options – can’t. These other shopping experiences may offer convenience, but they will never be able to replicate the authentic community-driven experience provided by small businesses.
Detroitisit spoke to four of these Detroit store owners — Gretchen Valade, Mary Capicchioni, Lee Padget, and Rachel Lutz — about how they’ve each built loyal local customers and how they keep people coming through their doors despite the convenience of e-commerce.
According to Valade, founder of Eugenie, the retail clothing scene is limited. “We are few and far between,” she said. “There are very few brick-and-mortar stores in Detroit compared to other cities.”
Old Soul Vintage owner, Capicchioni shares Valade’s concerns. “Detroit needs more retail,” she says. “Detroit is experiencing a revival in many ways and new restaurants and bars open every day, but when it comes to clothing, local residents often have to travel to nearby cities to find what they need.”
For Padget, who owns Busted Bra Shop, the Detroit retail landscape is both exciting and challenging. “I think Detroiters love to shop local and often follow the journeys of their entrepreneurial store owners,” she says.
However, online shopping and national brands do provide significant competition for independent stores. We’ve been battling online shopping for several years.
Rachel Lutz of The Peacock Room agrees that the rise of fast fashion, online shopping, and evolving foot traffic patterns have all been challenging. “It’s been disheartening to see many fellow boutiques close,” she said.
THE PEACOCK ROOM
Lutz, however, remains hopeful that shoppers will continue to crave the in-person experience. She says, “There are still plenty of people who want to see and feel what they’re buying, and a desire to discover thoughtfully selected goods by a savvy shop owner.”
All four business owners agree that location plays a crucial role in their stores’ successes and struggles.
Valade attributes much of her success to the synergy between Eugenie and nearby businesses in the West Village. “Being in a neighborhood where people live and work has been very beneficial to us,” she said. “We are also very fortunate to be on a wonderful street surrounded by other small businesses that support one another and that are so fantastic that people will drive to the neighborhood to visit and support them.
Foot traffic is also essential for Busted Bra, which has six stores in total. Padget says she chose her newest location in the Jefferson Chalmers neighborhood specifically for its accessibility and ample parking. “Our clients love the new location and the parking is awesome.” she says, “Our clients did not appreciate the expense of parking in Downtown, so we really are in a better spot for our Busted employees and clients.”
OLD SOUL VINTAGE
Capicchioni chose the Cass Corridor because she says she feels at home. “The musical history here is great,” she says. “Our shop is a few feet away from the old Cream Magazine offices.” The downside is the lack of density there. “I have some great businesses nearby like City Bird and Nest and also Rocco’s and Canine to Five, but my location specifically does not get much foot traffic.” She’s tried to mitigate this challenge by offering a 15% discount to students to encourage visits from Wayne State University, which is nearby.
Lutz is a second-generation tenant in both buildings where her two stores are located – the Park Shelton and the Fisher Building. “My parents lived in the Park Shelton in the 1970s, and had businesses in the Fisher Building in the 1960s-1980s,” she said. “How could you not want to be in such gorgeous historic spaces?”
She said each location is different in terms of foot traffic and business, but says, “It’s always within my control, reaching more than just the people who happen to walk by.”
To that end, Lutz has generated a strong customer base both in local community and outside of it. “About half of our customers are local,” she said. “We’ve built a more remote customer base through word of mouth, which I’m proud to say because this says we’re filling a neighborhood need, as well as drawing people to the area.”
While all of these business owners have faced challenges in the retail landscape, they also see opportunities to make an impact.
“I think a lot of the time people think of Detroit shopping as Detroit-Made and Detroit memorabilia, however more and more small businesses are opening that are bringing a national and global perspective, which is great for the city,” said Valade.
LEE PADGET, BUSTED
“Great opportunity lies in collaborating with local businesses, artists and influencers,” said Padget.
Lutz says it’s about having great product. “There is always a market for the remarkable, period,” she says. “Have remarkable product and a remarkable team presenting it, and people will support it.”
When asked what advice they would give to someone starting an independent retail store in Detroit, the responses were unanimous: passion, perseverance, and a community mindset are key.
Valade says, “Make it clear from the outside that you are a business open to the community.”
Know Detroit, says Lutz. “Know it really, really well. Talk to other shops in the area and feel it out, if it’s the right market for what you want to offer. Observing the neighborhood and understanding what people are looking for is crucial for success.
Capicchioni says it’s about persistence. “Don’t give up,” she says. “Keep pushing because you will be told no so many times. Everyone has an opinion, but you need to keep focusing on your end goal.
Padget says to lean into other small local businesses. “Entrepreneurship is not about doing it alone,” she says. “Local artists are fabulous to hire for PR and decor. Their creations can make your space unique and memorable. Buy local art. As a local business always support other local businesses.”
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