65,000 new store builds over next two years, aka 65,000 places to scheme in screens
August 7, 2009 by Dave Haynes
Lyle Bunn sent me an interesting link to a retailing story on Thursday, but it has taken until now for me to actually read it through. VERY interesting stuff for anyone chasing retail.
Recession, whatever. There are still almost 65,000 new stores expected to open in the US over the next two years, according to research from RBC Capital Markets and Retail Lease Trac.
The research shows that the 2,000 retailers the firms are tracking plan to open 64,926 stores over the next 24 months. That is down 5.7 percent year-to-date from a high of 68,854 that the firms counted in January.
The firm planning the greatest number of openings in the next 24 months is Quiznos. The other top 25 expanding retailers can be viewed in the accompanying chart.
According to RBC’s report, “We feel it is important to emphasize that, as the data below suggests, retailers continue to open stores even in difficult times. Shopping preferences will change with the times, with the health of the economy, with the availability of credit, and with the consumer’s confidence. Each evolution of retailing will see new winners, but the successful concepts will still seek the best real estate where shopper traffic is highest and the retail experience the best.”
Why mention this?
New build stores are the lowest hanging fruit for digital sign installs. The wiring and capex can be built in and pretty much buried in the store capital construction costs, which gets a big objection out of the way. You also get better conceived and executed installs when the screens are part of the plan, not just added on after the fact.
Game Stop is already hooked up with Reflect Systems, which is probably liking the idea of 1,000 new units over the next couple of years, but I don’t think Quiznos is doing DS as yet.
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