SAUCON VALLEY, Pa. — Rita Donnerstag, president of Douglas Cosmetics, beamed from ear to ear as she snipped the turquoise ribbon marking the official opening of the company’s latest store, a 3,000-square-foot unit in a massive new lifestyle shopping center that opened here Friday, Oct. 27.
She had every reason to smile.
Consumers are flocking to the store, excited to find brands such as Origins, Lancôme and Clinique merchandised together with premium scents ranging from Bond No. 9 to Vera Wang Princess under one roof. This up-and-coming market is starved for upscale retailing with the closest regional mall more than 20 miles away — and in need of a face-lift (coinciding with the opening here, the Lehigh Valley Mall announced expansion of more upscale tenants).
This new center, called the Promenade Shops at Saucon Valley, attracted so many customers for the grand opening that the mammoth parking lot couldn’t hold all the cars, and parking spilled out onto the street. The festivities were reminiscent of events in days gone by and included a marching band and local town officials.
Despite blustery weather the next day, more than 2,500 customers came through the door, many experiencing free makeovers provided by Clinique, Lancôme, Beauty Addicts, Anthony Logistics and Aging Experts Cellex C. “This is just the type of shopping center that works for us,” said Donnerstag at the grand opening. “We like the foot traffic here. We feel people will return for our great customer service,” she added.
This is Douglas’ 12th store in the U.S. as it tries to duplicate its success in Europe, where the company is the largest purveyor of cosmetics and fragrances with a store count approaching 900. Douglas has undergone slow and controlled growth in America but will kick into gear with three new stores set to launch in 2007. New stores are planned for Atlanta, Boston and in Florida. Douglas currently operates in Westport and Greenwich, Conn.; New York’s Grand Central Terminal; Westfield, N.J.; Washington, D.C.; Philadelphia, and Boca Raton and Winter Park, Fla.
The first U.S. store bowed in the Eighties, preceding other specialty beauty operators such as Sephora. The timing for more rapid growth is in tune with trends to bring European-style beauty retailing to America with European brands and merchants expanding at a fast clip in the U.S. Prior to now, American shoppers could not always grasp the more European style of Douglas. Industry sources estimate Douglas stores produce at least $1,200 in sales per square foot.
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The store here is the only beauty marketer in this huge lifestyle center complete with outdoor fireplace seating areas and an upscale three-floor restaurant with a huge bar on the roof. As one of the largest in Douglas’ American portfolio, the unit can experiment with new fixtures and larger tester tables. There’s also the opportunity for expanded merchandise, specifically private labels already sold in Europe.
According to Donnerstag, one key component of Douglas is the use of its own fixtures that create the heritage of each line. For example, the Origins corner of the store was constructed by Douglas staff, yet it clearly sends the Origins message to shoppers. Douglas keeps the control of designing fixtures while also staying true to brand identities. The brands are crucial to Douglas’ success and shoppers instantly connect with the store when they see brands such as Lancôme. Where Sephora is staking its growth on building new lines, Douglas is courting shoppers with lines they can’t always find in their backyards, such as Lancôme and Christian Dior. Company officials believe the store attracts shoppers looking to trade up from mass.
The “play” tables were getting lots of road tests on opening days, especially from a gaggle of 12-year-old gymnasts who wandered into the store after participating in the opening-day parade. When asked if that wasn’t the intended audience, company spokeswoman Barbara Lisi simply explained, “We love it. That’s where it starts.”
Unlike department stores, Douglas’ beauty advisers are trained across all lines and do not receive commission. Other amenities include free gift wrapping, free shipping and free gift-basket assembly. There are also large displays of unique gift items, often imported from Europe, including what Lisi called some of the “best mirrors” on the market. Douglas has a preferred registry program, one of the earliest in America, which gives shoppers a heads-up on special deals.
Like many retailers, Douglas is seeing a sales spike in skin care with brands including LaPrairie, Shiseido, Clarins and Biotherm. Other strong areas include fragrance, with thousands of scents for men and women. Also generating interest are new color lines such as Paula Dorf, as well men’s lines that receive more than eight feet of space. New to this store is an expansion of a private label called Beauty Systems in bath and body, plus the Douglas house label in hair care.
Although Douglas sells big-ticket skin care items, Donnerstag is interested in the sale of small toiletry products, too. “Those sales help ring up big sales at the end of the day,” she concluded.