Clover opens in downtown Philly with upscale look

Discount Store News, August 21, 1995 by Dawn Wilensky

PHILADELPHIA -- Clover, the quiet mid-Atlantic regional discounter based here, this month drew a melting pot of shoppers to the first discount store in the country located within an enclosed downtown shopping mall in a major metropolitan city.

In opening its second store in the past three months, Clover unveiled a two-level, upscale unit that features a strong signage program, fashion-forward products and a merchandise mix designed to capitalize on throngs of inner-city mall shoppers.

The grand opening was sensational. It exceeded our expectations and our plans for the day," said Lou Busico, vice president, general merchandise manager of hard lines. "We have high hopes for the store because the demographics are great and we have everything we think our consumers will want."

The 130,000-sq.-ft. store, located in The Gallery at Market East mall in downtown Philadelphia, is the chain's 27th and second largest unit. It occupies space left vacant more than two years ago by Stem's and before that, by Gimbels in '86. The mall is anchored by JCPenney and Strawbridge & Clothier, Clover's parent company, and contains more than 170 shops, services and restaurants, which will inevitably generate additional traffic.

Company executives are confident that the new location will prove lucrative since it boasts a solid mix of soft lines and hard lines and emphasizes categories lacking in the mall stores with which it shares space.

"Clover provides a merchandise mix not already widely available at The Gallery, including many types of home furnishings, automotive items, lawn & garden equipment and many lifestyle products, all priced at discount store prices," said Warren White, general manager.

In addition, it is within walking distance of City Hall and the Pennsylvania Convention Center, thus able to draw commuters, residents and area workers on their lunch hours. These consumers can even pick up a cold drink from Clover's first 12-ft. refrigerated case located in an area called the Candy Shop.

While the store has many of the features unveiled at Clover's Wilmington, Del., unit in June, it is decidedly boutique-oriented, with departments like domestics, jeans, greeting cards, picture frames and cosmetics getting special treatment.

The domestics department is "our crowning achievement," according to Busico. "We've gotten the department right through good execution, which will result in great sales and profits."

A strong fashion message is delivered in domestics, with stylized endcaps, in-store vignettes and colorful signage.

Its jeans department, too, has a fashion flair, with a merchandising display that teams a folded merchandise presentation with lifestyle photography for brands like Riders, Chic and H.I.S.

And in greeting cards, the chain makes a powerful statement with a colorful presentation of cards, wrapping paper and party goods dominated by Gibson Greetings.

Something new for Clover is the Frame Shop, which it tested in one store but rolled out in the new store. The department is stocked with between 350 and 400 skus of Intercraft products only and is positioned adjacent to a One-hour Photo Shop, only the third of its kind in the chain.

"We only put the photo department in those stores where the demographics warrant it," Busico said. He reported that the store maxed out on the one-hour film developing during the first day, Besides processing, the department also offers digital enlargements.

The cosmetics department features a new endcap strategy that combines rounded displays, upscale signage and innovative point-of-purchase.

Industry leaders like Maybelline, Cover Girl, Almay, Revlon and Max Factor each have a full run of products in the department, utilizing unique merchandisers that allow the consumer to have hands-on exposure to the products. Going forward, the company plans to expand the number of fashion endcaps in the department.

A serviced fragrance counter adds a finishing touch to the department. Designer fragrances are housed under glass.

Clover is well-positioned to cater to discount store shoppers who want a department store environment, as well as attract crossover shoppers due to its proximity to Strawbridge & Clothier. "Our research indicates that when we are located near a Strawbridge Clothier store, customers will shop at both stores on a regular basis. We are good for one another," White said.

The regional has also taken pains to micromarket to its demographically diverse customer base.

Throughout the store, there are examples of merchandise that caters to its large African-American audience.

In greeting cards, for instance, the chain stocks a line of cards by Allison Greetings and Gibson geared specifically to African-Americans. In addition, framed art with African-American images, apparel brands like The African Village and a wide selection of health and beauty care, cosmetics and hair care appliances geared to those consumers are well represented.

Unlike other some regional chains that have dramatically scaled back on hard lines, Clover has remained committed to its hardware, sporting goods and automotives departments. Each are stocked with wide and deep selections of many of the top brands.