Cabela's megastore masters sports and entertainment - Brief Article - Statistical Data Included

DSN Retailing Today, Nov 20, 2000 by Mike Duff

DUNDEE, MICH. -- Mass sporting goods retailers have been testing new store formats and marketing strategies for the better part of the last decade, and most are still searching for the right combination that will compel consumers to beat a path to their door. However, one concept, the destination megastore, is slowly emerging as a winner among sporting goods consumers. Few have mastered the format as well as Cabela's.

The destination megastore, a hybrid of traditional retail merchandising and amusement-park entertainment, is by no means the cheapest way to do business. But when you take a trusted name like Cabela's, add a mountain, a walk-through aquarium exhibit and two 20-ft. fighting grizzly bear statues in your store, you're almost bound to draw your target audience.

Cabela's is among the biggest and most spectacular examples of retail as entertainment in the United States. The company's latest store, which debuted Sept. 15 in Dundee, Mich., is a 225,000-sq.-ft extravaganza with an 180,000-sq.-ft main floor and a 45,000-sq.-ft balcony. The store and surrounding parking lot, including a special section for recreational vehicles, covers 56 acres. Dundee is the seventh store Cabela's operates. The others are in Sidney, Neb.; Kearney, Neb.; Prairie du Chien, Wis.; Owatonna, Minn.; East Grand Forks, Minn.; and Mitchell, S.D.

While the company began in 1961 in a classified ad offering hand-tied fishing flies, Cabela's has mostly been known as a cataloger, and it brings a strong sense of presentation to retail. Cabela's draws consumers to its Dundee store with a unique combination of features and services:

* Mountain. A 35-ft. structure surrounded by various stuffed and mounted trophy animals, including two fighting bull moose, a 60-ft. stream, a trout pond and running waterfalls.

* Gun library. A collection of art and literature for gun enthusiasts and arms historians alike.

* Gift area.

* Aquarium. A 65,000-gallon tank stocked with 24 species of game fish.

* Bait shop. A huge selection of shiners a and worms.

* Auditorium. Provides a meeting place for schools and business groups.

* In-store deli. Serves smoked buffalo among its selection of sandwiches, and includes a 250-seat cafe.

* Bargain Gave. Stocked with returned and discontinued products at significantly undercut price points.

* Training. Interactive fire-arms and archery laser training systems, as well as a mini electronic shooting gallery.

* Service Bay. Boating, automotive and all-terrain vehicle accessories sold and installed.

The store features specialized hunting, fishing, camping and other outdoor equipment, but generally offers familiar labels such as Columbia sportswear and a large array of Cabela's private-label clothing and other products.

The stores, said Joe Arterburn, communications manager for Cabela's, draw consumers familiar with the company through its catalog, but a lot of customers are new and drawn by the various exhibits the stores mount. "A lot of the shoppers know us from [outside our] catalog, but as word gets around the stores draw in a lot of new customers."

The Dundee store debuted to huge crowds when it opened on Wednesday, Aug. 30. Visitors on opening day were estimated at 16,500. The total number of visitors for the first six days, through Labor Day, Sept. 4, was over 206,000.

Cabela's, according to the company, is expected to draw six million visitors a year, which would make it Michigan's single most popular tourist attraction. And that's not just wishful thinking. "That came from state officials because of the expected number of visitors predicted, and what it would draw in a year compared to other attractions in the state," said Arterburn.

Of course, not all the stores do the same amount of traffic or business. While the company doesn't release sales figures, he said the smallest store-- Kearney. Neb., at 40,000 sq. ft.--isn't quite the sight that Dundee is. However, it does feature scaled-down versions of the exhibits at Dundee. Cabela's certainly doesn't want to bore its fans.