Wednesday, February 13, 2008

Snowbird season isn't helping shops in tough economic times

The snow birds are back and season is in full swing but as shoppers visit area malls, retailers say the numbers don't add up.

Retailers and restaurant owners throughout Bonita Springs, Estero and south Fort Myers are feeling the effects of a season they hoped would boost sales and revenue.

But the downturn in the housing market, the area's overdevelopment and a slow economy have retailers scratching their heads.

The Promenade

"Our sales are down. There is no doubt about it. There has been a slight increase in sales but we are still down 30 percent over last year," said Dara Hall, the co-owner of Bonne Nuit in the Promenade at Bonita Bay in Bonita Springs. "The economy and the slump in the housing market is [sic] not helping the situation."

The situation, Hall said, is that her high-end linens and bathroom accessories are no longer a priority for shoppers.

"We have a very loyal customer base ... but the people who are coming down and buying their second or third home are just not there anymore," said Hall adding that the market being saturated with stores isn't helping either. "We are all feeling it ... even the restaurants but if people don't buy new homes they don't need what I sell."

Bell Tower Shoppes

That reality is the same for Eyetopian Optical who specializes in high-end eyewear at the Bell Tower Shoppes in south Fort Myers.

"We miss our snowbirds and we need more of them. But my units are down, my sales are down," said Craig Chasnov, who owns a store in Bonita Springs and one in Naples. "My average transactions though are still up 70 percent because people need their eyewear."

Chasnov, who attributes the lack of sales to the housing market, said, "The parking lot is just not as full at Bell Tower as it used to be. For every one shop that was here before, there is one more now."

The overdevelopment of strip plazas throughout the area is making the sales figures fall even steeper but retailers say that the empty plazas shows the impact of the economy.

"There is just so much building going on in retail strip malls that I wonder where they are getting the businesses to go there when it's not warranted," Hall said. "There is not enough people to support all the different stores because they are just popping up all over the place. It's hitting us hard."

Chasnov said, "It will be interesting in the next couple years ... there will be a lot more businesses going out of business than staying in."

Gulf Coast Town Center

The hit though isn't being felt by retailers alone, restaurant owners at Gulf Coast Town Center in San Carlos Park say their patrons are thinning as well.

"We have a lot of regulars from last year but it's a mall and it's grown now but we are seeing a drop in the amount of people here," said Dave Nais of the Islamorada Fish Company restaurant. "We are all seeing it and even the winter guests and locals say there isn't as many people."

The opening of new eateries at the mall has also placed a burden on Islamorada, Nais said, about the additional 18 places he competes with now.

"We expected the competition part in terms of sales but there is a difference in Lee County," Nais said about the restaurant that was the only one open a year ago. "It seems that people aren't traveling as much or they are here for shorter amounts of time."

The owner of 55 Degrees at Gulf Coast Town Center, is hoping to make it through their first season in one piece.

"The economy is definitely having an effect. I mean, this is our first season with snow birds but we aren't doing as expected," said Osmin Rodriguez, the owner of the wine and cheese seller. "January has been a pretty slow month and it's not the full swing season that we envisioned for sure but everybody is seeing that."

Coconut Point

A decrease in visitors hasn't helped Trek Bicycles at Coconut Point in Estero. Sales Associate Matt Erickson said sales of new bikes have slowed considerably.

"January has been slower than we expected but it's not dead by any means. People just aren't' buying new bikes," said Matt Erickson, a sales associate adding that the stores service department is busier than ever. "Our December was much busier but I think that people are saving their money a bit more."

Trek Bicycles numbers are good, Erickson said, but business is not what they saw last year.

Erickson said, "We won't really know until March if we had a good season or not. For now, we are steady but not like we are used to."

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