Published on 510report.org on Nov. 3, 2008
Photos and Story by Tyler Sipe
The local thrift store industry typically says Christmas comes in October, when sales are buoyed by Halloween.
But area thrift stores have seen a mixed bag of tricks and treats as a result of the nation’s economic woes.
Two Fremont stores, locally owned Jack’s Army Navy Surplus and the national organization Society of St. Vincent De Paul, both said sales have declined compared to 2007.
Thrift Town employee Leah Bautista sorts and prices toys and books.
However, California based Thrift Town said sales have been strong, following a national trend among thrift retailers of brisk growth during a slumping economy.
Kim Peterson, manager of the Thrift Town in Fremont, said the number of walk-ins visiting the 12,740 square foot store increased by about 95 percent during the 4 pm to 8 pm hour during the third quarter of this year.
Out of the 15 Thrift Town stores, the Fremont location was recognized for having the largest sales growth during the second quarter ending in June. The store also reported sales growth in the third quarter of 9.3 percent from 2008 to 2007.
“We’re getting a lot of new faces,” Peterson said. “We’re seeing more diverse groups of people, not just those on a fixed budget.
“We’re seeing a lot of BMW’s, Mercedes’ and Lexus’ parked outside, too.”
Wendy Steinmetz, vice president of marketing, said the Roseville company had its fifth best weekly performance in its’ 37-year history from Oct. 12-18.
Steinmetz said the company, which has stores in four states, had third quarter growth of 3 percent from the same time last year. The four Thrift Town locations in the Bay Area performed even better, with sales climbing 8 percent during the third quarter compared to 2007.
“A lot of new people are checking us out with the bad economy,” Steinmetz said. “And we are hoping our Halloween customers and our new customers will see a lot of value and decide to do more Christmas shopping at Thrift Town.”
Thrift Town’s improved sales performance follows national trends.
The nation’s two largest charitable resale organizations, The Salvation Army and Goodwill Industries International, reported year-to-date sales increases of 6 percent to 15 percent, as cited by the Associated Press.
The AP also cited a national industry survey of 200 thrift stores, with nearly two-thirds reporting increased sales over last year. The average sales increase of the stores was about 35 percent.
However, Jack Luttiell, owner of Jack’s Army Navy Thrift Store in Fremont, said his thrift store business has been hit hard by the economy.
Luttiell said he blames the sales and customer decline on the high cost of gasoline.
“I make about $14,000 during October,” said Luttiell, who has owned the thrift store for 18 years. “This Halloween (season) I’ve made only a couple thousand dollars in sales.”
Katherine Miller, director of development and communications for the Society of St. Vincent de Paul of Alameda County, said the organizations four Bay Area stores have seen a decrease in business from the same time last year.
Miller said that in the past 15 years, St. Vincent de Paul has decreased the number of East Bay store locations from eight to four. She cited increased competition from new thrift store vendors and discount retailers like Wal-Mart and IKEA.
“We’ve realized that there is a lot of opportunity for us with the bad economy,” Miller said. “We’re focusing on new ways of increasing our revenue opportunities, including expanding the sale of electronic and technology devices.”
Miller said an additional challenge is the decrease in number of donations.
Thrift Town’s Steinmetz agreed, stating people are holding onto their belongings longer because of the economic downturn.
Washington High School English Teacher Ray Anderson said he shops at Thrift Town five days a week, picking through the racks finding rare and vintage items to sell on the online auction site E-Bay.
Anderson said he’s been an avid thrift store shopper for the past six years, but in the past three months, the quality and quantity of goods has been harder to find.
Washington High School teacher Ray Anderson shops at Thrift Town five days a week, looking for items to sell on the auction Web site E-Bay.
As a result, he has cut his spending at Thrift Town from $100 a week to about $50 a week.
“Today, everybody and their grandmother seems to be shopping at thrift stores,” Anderson said. “It’s much more difficult these days. You’ve got to hop on it.”
Oakland resident Marc Anthony, 43, who was shopping at Thrift Town for dress clothes, said he began thrift store shopping over the summer after his employer cut his full time job to 20 hours a week.
“I have to dress like I have money,” said Anthony, who works as a retail sales manager. “But I have two homes, can’t pay my car insurance or car tickets and am having trouble putting food on the table for my wife and two kids.
“So the thrift store is the best bang for my buck.”