Wednesday, December 16, 2009

Changing the look of business in Noe Valley

Recently several large businesses have opened in Noe Valley and are threatening the existence of local stores. The opening of a new grocery store in a neighborhood that has a history of mom and pop stores and non-national chains doesn't usually go over smoothly. When it comes to Noe Valley however, there appears to be an exception. Small business owners like James Omar of the Shufat Market and Charles Kung of the 24th Street Cheese Company want to keep big chain stores out of the neighborhood, but most people in the area are all for the opening of the Whole Foods.

On Sept.30, Whole Foods opened its doors at 3950 24Th St. Since it's arrival in their neighborhood, Whole Foods has received an overwhelmingly positive welcome from the local residents. The small parking lot in front of the store is typically full of cars (how do we know that?), with a line forming down 24Th street and the picnic tables out front are equally full with mothers and strollers on sunny days. "Ultimately customers will determine what business will stay and what will go", said Jack Epstein of Chocolate Covered, the only chocolate shop in Noe Valley.

Most of the smaller stores in Noe Valley will not be able to compete with Whole Food's prices but they can compete for better service by gaining loyalty from customers. This is what several businesses like Bernie's coffee shop and Drewes Brothers Meats are doing. Employees at Bernie's greet each customer when they come in the door, most of them by name, and provide each customer with a sort of personalized experience. This is what Bernie Melvin believes is the key to the success of her coffee shop.

For other stores, offering things like classes for customers and other promotional rebate programs can help build loyalty allowing their bussiness to thrive.

Other Businesses Like PlumpJack Wines are taking what some consider the fight to distributors to get better prices or exclusivity on certain items.

"People should spread their purchases around", said manager Elio Longobardi of PlumpJack wines, who lives in Noe Valley. He shops at Whole Foods, Drewes Brothers Meats, and Noe Valley Bakery.

Still no matter what some small businesses do they are still going to take a big hit and not be able to compete with Whole Foods.

Charles Kung has owned the 24Th Street Cheese Company for 23 years and has recently had to borrow money from his father to keep the business going.

"I'm just waiting for my slow death" said Kung, who is adamantly against Whole Foods opening. He went on to say that people in the neighborhood don't care if small businesses survive.

The future of businesses in Noe Valley will be determined buy customers but small businesses need to realize that they have influence on their customers as well. The power to survive during hard economic times and competition with big business lies with the people.

1 comment:

  1. Hey, you still hanging out in Noe Valley. I miss my morning coffee!!! Thanks for all your hard work this semester. I'll be sending an email with evaluation and grades sometime later today or tomorrow. Happy New Year! Yvonne

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