Ross goes further upscale in prototype - Ross Stores Inc., off-price apparel retailer

Discount Store News, Sept 25, 1989 by Pamela Meek

Ross Goes Further Upscale in Prototype

NEWARK, Calif. -- Featuring items like leather outerwear in young men's and more departmentalization throughout, Ross Stores' new prototype takes the apparel off-pricer that much further beyond the one-time industry norm of a bare-bones, bargain basement atmosphere.

Introduced this year at eight new locations, the new format is designed to take the 147-store chain based here into the '90s by "adding a little excitement," according to company spokeswoman Katie Loughnot.

Just last year, Ross introduced a new interior which the company said was simply an update of its existing format. While the interim look brought a brighter color scheme, enhanced merchandise presentation and new fixturing to the stores, the changes instituted this year go much further, creating a decidedly fresh and different prototype for the off-pricer.

One of the most significant changes is the presentation of Ross' cosmetics, H&BA and accessories. Once spread throughout, the categories now come together in one location at the front and center of the store.

Fine jewelry and higher-end cosmetics and fragrances are presented first in a department store style, with the use of two large, fully-serviced gold-trimmed glass cases. The selection includes silver, 14k gold and fresh water pearl jewelry, designer watches by Bill Blass, Monet and Guess?, Glycel, Lancome and Clinique cosmetics, and Perry Ellis, Passion, Obsession, Opium, Poison and Gucci fragrances.

Although fine jewelry is still an experiment in a limited number of stores, Ross has found success with cosmetics and H&BA, introduced approximately two years ago.

Behind the glass-encased merchandise, Ross stocks lower-end fragrances, cosmetics like Clarion, L'Oreal and Almay, salon-formula hair care products such as Paul Mitchell, Aussie and Infusium, along with facial soaps, potpourri and cosmetic bags.

A divided cosmetics wall partially breaks off this front area from the remaining accessory selection consisting of hosiery, bodywear, hand bags, belts, hats and scarfs. Small partitions are used to segment these categories.

Clearer departmental definition is also a key feature of the prototype. Like many off-price chains, Ross once had little departmentalization, and visibility was clear from one end of the store to the other. Although actual walls have not been employed, Ross is using fairly substantial chrome and wood partitions to delineate the various departments: accessories, juniors, misses sportswear, large sizes, petites, dresses, children's, shoes, lingerie, men's furnishings, men's and young men's.

Ross uses lifestyle posters, traditional graphics and some creative, colorful signs to help identify departments. Within young men's, called "Attitudes for Him," Ross has also instituted its "Leather Shop" and "Locker Room."

The leather selection clearly offers Ross' highest-priced apparel, with men's long leather coats at $235 and $255, and short bomber jackets at $225. Although most of the selection is men's, the leather selection also includes a few women's skirts priced around $47. According to Loughnot, the "Leather Shop" is starting out strong, and stores that have demographics to support it, will include the shop.

Ross' new "Locker Room"--which is also found in the boys' department--supplies the chain with an opportunity to sell college and professional sports apparel and accessories. Both local and national team names are featured on T-shirts, shorts as well as fleecewear.

Merchandising Techniques

Throughout the store, Ross is using improved merchandising techniques to enhance its selection. Although some straight racks are still used, the stores also use a considerable number of four-way and waterfall displays, along with tri-split rounders.

Loughnot also pointed out that the chain has refocused its inventory to a more narrow and deep approach, which she said helps provide some consistency and makes Ross a "destination store."

Because of a general tightening of its inventory, Ross' new prototype is smaller than the previous norm, although actual selling space is only slightly decreased. Previously, the stores averaged 30,000 square feet with 25,000 square feet of selling space. The new prototype is 26,000 square feet, with 24,000 square feet of selling space.

Yet, despite the changes and updates, Ross has not abandoned its off-price niche. The layout is still a racetrack design, and both signs and price tags point out the savings customers are receiving on name brand merchandise.

Ross will roll out the new prototype to 10 more new stores this fall. Between remodels and new locations, the chain expects to have some 55 percent of its stores reflecting the new prototype by the end of 1991, and 80 percent of its stores under the new format by the close of 1993.

PHOTO : As part of its new prototype stores, Ross has added a collection of leather outerwear in

PHOTO : its `Leather Shop,' which is within its new young men's department, called `Attitudes for

PHOTO : Him.'