Efforts to save The Merc underway, holiday shopping to determine store’s future

Posted 10/6/15

“We have to increase sales or we will have to close our doors,” said John Wetzel, president of The Merc board. “I hate to sound cliché, but it is make it or break it and now or never.” 

The Merc isn’t part of a franchise, and the …

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Efforts to save The Merc underway, holiday shopping to determine store’s future

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Powell’s community-owned store, The Merc, could once again face some tough decisions at the end of the year if sales don’t pick up soon. 

“We have to increase sales or we will have to close our doors,” said John Wetzel, president of The Merc board. “I hate to sound cliché, but it is make it or break it and now or never.” 

The Merc isn’t part of a franchise, and the owner isn’t a billionaire somewhere far away — the store’s 429 owners are people with ties to the Powell community, and most live in the area. 

About 15 years ago, the old Stage department store closed and locals wanted to keep one going to help maintain downtown’s vibrance and provide residents with somewhere local to buy different styles of clothes.

“It is a community-owned store and the community is invested in it,” Wetzel said, estimating that The Merc is likely one of the longest-running community-owned department stores in the country. “Powell has been quite successful, but we are up against trends in retail marketing.” 

He estimated that if everyone in Powell spent $10-20 at The Merc between now and Christmas, the store would be able to continue. If there aren’t enough sales between now and the end of December, The Merc will have to close, Wetzel said. 

The situation didn’t happen all at once — it creeped in over the last few years. The store lost an average of $67,090 per year for the last five years.

 According to previous Powell Tribune coverage, The Merc’s year-end available cash statements were:

• 2010: $102,300

• 2011: $74,973

• 2012: $58,503

• 2013: $74,197

• 2014: $35,827

“We haven’t been turning a profit for years and have been slowly eating into reserves,” Wetzel said.

Shareholders were faced with the same situation last year and voted to keep the store open and asked shareholders to infuse funds into the shop. A new board of directors was brought in and The Merc shifted gears to cater more to female clientele. 

“We always pride ourselves on how you can come in and try it on and make sure you are happy with the clothing you are going to buy,” Wetzel said. 

So far, the changes have helped — but not quite enough and last year’s concerns are back. 

“The infusion of cash from investors helped, we got inventory in the store and feel we will have a good Christmas season,” Wetzel said. “We have invested a lot of money in new inventory and the store is well stocked.”

New items at The Merc include shoes by Bearpaw, Born, Sketchers and Klogs as well as new Surf Wyoming, Powell Panther and Northwest College gear for all ages and genders. 

“There are a ton of new fall shoes,” store manager Ronnie Sommerville said. “We brought back, by popular demand, Alfred Dunner and Tribal (clothing) lines for women. New winter coats, hats and scarves and a ton of new accessories.” 

The store is also selling consigned handmade quilts — one made of Denver Broncos shirts and jerseys and another with Minions. 

“We have consigned some things to involve the community,” Sommerville said. “Anything to draw someone in.” 

The store offers a price point that can fit anyone’s budget, she said.

“(We’ve had) a lot of luck with Surf Wyoming, got some Northwest (College) gear, UW gear, Powell Panther gear — that has been helpful, those lines have been pretty decent sellers,” Wetzel said. 

The store still sells men’s and children’s shoes, and basics for men such as socks, plain T-shirts and ties. 

“If The Merc goes out, it might be hard to find dark socks or the basics,” Wetzel said. He also noted that it is one of the few places in the area to rent a tuxedo. “Hopefully word of mouth will get out that inventory is better and prices are good — shoes and boots here are lower than they are in Billings. ... We feel confident we have decent merchandise and hope they will stop in and take a look.” 

The Merc expanded its hours to 9 a.m. to 4 p.m. on Saturdays and 9 a.m. to 6 p.m. on weekdays. Holiday hours will begin the day after Thanksgiving.

The store also has a Merc Loyalty Card program which offers cardholders a 5 percent discount on every purchase. It also offers gift certificates and participates in Powell Bucks. 

“The shareholders really believe in it and would hate to see it close,” Sommerville said. 

The Merc has several added-value customer service oriented events scheduled through the end of the year to try to boost sales. 

The following are some of the events and promotions coming up:

• Wednesday: Educators Appreciation Night for all employees of Park County School District No. 1 and Northwest College. Similar events will be held in the coming months for educators from communities surrounding Powell as well.

• Later this month: The Merc will participate in the Downtown Powelloween trick-or-treat event.

“It’s a chance to give back to the children of the community — and fun to see all the wild Halloween costumes,” Merc board member Toby Bonner said.

• November 4: Shareholders Night will be held from 6-8 p.m. so shareholders and Merc Loyalty Card members can shop late in the evening.

“It’s a way to offer specials to those who have backed the store financially and helped keep the doors open,” Bonner said.

• November 20: The adult version of trick-or-treat is the annual “Sample the Season,” and The Merc will showcase all new fall and winter items with adult treats for those out on the stroll.

• November 27: Black Friday specials will be available throughout the store.

• December 5-6: The first weekend in December is Country Christmas weekend in Powell and The Merc will have holiday specials that weekend and throughout December.

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