Stores grow with Las Vegas

Growth in double-digit figures has marked the two years since Craig and Donna Staack opened their first Lane Home Furnishings store in the Henderson area of Las Vegas.

That was the couple's plan as they looked at the fast-growing metro area's demographics and selected sites. They also saw double-digit growth in their second dedicated Lane store, which opened in December 2004 in Las Vegas. A third store is set to open in the Centennial Hills area in the third quarter of this year.

"I think we're a comfortable place to shop," Craig said. "We're a dedicated Lane Home Furnishings store. That translates through selection of product, quality of product and value of product — and backed bya strong brand name."

Craig credits product selection, quality, value and the backing of Lane's strong brand name as the basis of their stores' success. Lifestyle collections in vignettes include both furniture and accessories in the stores, which range from 14,000 to 20,000 square feet and are supported with a nearby 34,000-sq.-ft. warehouse.

Area rugs, lamps and tabletop rank as their best-selling accessories, which Donna orders and buys at the markets in Las Vegas and High Point, N.C. Those accents include lines from National Geographic Home, Eddie Bauer, Robert Idol, Murray Feiss, Toyo and Sphinx by Oriental Weavers.

Offering accessories is important not only for add-on sales, but in overall presentation to "wow" consumers as they enter the store, Craig said. "I think of it as the sizzle that sells the steak," he said.

In addition to maintaining high standards for presentation and making customers feel comfortable in their stores, the Staacks stress good delivery and conduct post-delivery follow-up.

"When you leave that house, the customer should be left with a good impression," Craig said.

Women in the 35–55 age range are considered target customers, he said.

They keep track of customers and have kept lists of them from the first day. They use direct mail advertisements to booster ads broadcast on TV.

Both Craig and Donna work in the stores alongside approximately 30 employees. Finding good employees presents an extremely tough challenge, Craig said, because of the Las Vegas area's low unemployment rate. They search for people with retail experience, but realize finding those with retail experience related to home furnishings is difficult. Ongoing monthly training and a lot of support from Lane help them shape their sales staff, Craig said. To keep good employees, they offer a benefit package including health insurance, dental and vision. A 401K plan is to be implemented soon, he said.

Besides recruiting good employees, soaring fuel costs present another challenge, Craig said. "The fuel surcharge is bothersome," he said. "There's obviously a squeeze on margins, but it's something we haven't yet passed on to our customers."

When asked what advice he would give other retailers, Craig laughed and said he recommends "a good lawyer and a good accountant." More seriously, he suggested they set and maintain high standards while staying focused on customer satisfaction.

"I think it really comes down to presentation and value," he said.