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Buxton Economic Report Highlights Community Growth Potential

 

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Cheyenne Robinson, liaison to the City of Lamar from the Buxton Company, presented an analysis of surplus and leakage spending in Lamar and Prowers County during a meeting with Prowers Economic Prosperity, PEP, board members this past Tuesday, April 4th.  Her meeting with PEP offered a continuation of the information on the local retail sector, presented the previous evening to the Lamar Redevelopment Authority.

Robinson displayed a graph of leakage sales versus local retail surplus as well as potential sales by major store types. The display shows the dollar values of potential sales, how much could be spent on local commodities versus estimated sales, and how much is actually being spent annually.  A percentage of less than 1.0 constitutes leakage while a score above 1.0 indicates a surplus.  An index of 0.7 shows that demand exceeds sales in a category by 30% meaning consumers are leaving the area to make a purchase.  An index of 1.3 indicates that sales exceed demands by 30%, and shows that consumers are coming from outside the area.

Store Type Potential Sales Estimated Sales Surplus / Leakage

Mtr Veh Parts & Dealers

37,821,850 25,862,863

0.7

Furn & Home Furn Stores 3,616,730 2,923,832

0.8

Elect & Appliance Stores

3,735,889 1,473,916 0.4
Build Materials/Garden 10,749,232 7,939,896

0.7

Food & Beverage Stores

24,655,062 58,336,280 2.4
Health & Personal Care 11,104,255 3,527,245

0.3

Clothing & Accessories

10,749,513 3,065,550 0.3
Sports-Hobby-Music 3,285,597 4,367,393

1.3

General Merchandise

25,285,948 42,985,511 1.7
Misc Store Retailers 4,400,050 5,487,764

1.2

Foodservice & Beverages

19,398,611 13,462,268 0.7
Total 154,800,737 169,432,518

1.1

Robinson told the board the category with highest leakage is clothing and accessories. She said, “We’re working with a number of clothing retailers to help try to cut that leakage.”  She pointed out the surplus in the food and beverage store category, explaining that some of the surplus is from locals as well as day-shoppers plus consumers from outside the county boundaries who have traveled to our area to make a purchase.  She pointed out that the surplus doesn’t mean that additional, future demand has peaked.  Robinson said Buxton has compiled sixteen pages of detailed information on demands for specific goods and services for the county.

Three categories of key consumers in the county were also detailed by Robinson, compiled from 71 different types of buyers. Upscale, more mature baby-boomer aged buyers were termed as the, ‘Age of Aquarius’ and comprise 2% of U.S. households, but make up 6% of the visitors to Lamar.  She said they tend to be, “More affluent, savvy-investors and a highly-educated type of customer.”  Another type was listed as, ‘Home and Happiness’, again in the baby-boomer age category and also 2% of U.S. shoppers, but in Lamar they are 18% of the day-trippers who generally shop within a 16 to 200 minute drive from the center of the community.  Robinson explained they may be more of the hunting, fishing and outdoors type of person who comes to the area and has more experience with a rural lifestyle and family values.  The last category was termed, ’Cheerful Americans’ and comes from an older, middle-class household and makes up 1.56% of the households in the country, but makes up 14% of the local residents within Prowers County.  “They are more practical and priorities-based consumers with blue-collar jobs and live within their means and are typically more rural residents,” she explained.

Robinson noted that Angie Cue, Community Development Manager for Lamar, will attend the annual International Conference of Shopping Centers in Las Vegas next month. “All the major players in the industry will be there, from retailers to developers, brokers to other cities that will attempt to attract business development.  About 40,000 attendees are expected.  The retailers and developers come to finalize deals they’re been working on for some time.  Communities are there to network and showcase their availabilities,” she told the board, adding, “If they’re considering a venture in Colorado, our job will be to represent Lamar.”

The PEP board voted to approve funding for the new executive director, Eric Depperschmidt, to attend the three day convention as well. The board also decided to produce a number of flash drives depicting the advantages of locating a business in the county.  It was pointed out that as a marketing tool for conventions; hardly anyone uses cds or hard copy handouts anymore.

By Russ Baldwin

 

 

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