THE VIRGINIAN-PILOT
Copyright (c) 1996, Landmark Communications, Inc.
DATE: Sunday, September 15, 1996 TAG: 9609140507
SECTION: BUSINESS PAGE: D1 EDITION: FINAL
SOURCE: BY STEPHANIE STOUGHTON, STAFF WRITER
DATELINE: CHESAPEAKE LENGTH: 114 lines
Katie Wynne knows she's choosy when buying everything from rattles to strollers for her 2-month-old son, Justin. But so what? It's her baby, her first child, and she thinks he deserves the best.
And the best is certainly what he's getting. In the past year, the Virginia Beach mother has probably shopped at 15 to 20 baby stores, spending about $1,000.
Wynne, who shopped at discounter Target's Chesapeake store last Sunday, is among thousands of consumers feeding South Hampton Roads' growing children's and infant's retail market. The region has one of the highest rates of families with young children in the state.
And retailers are beginning to take notice.
``We knew there was a high concentration of kids in the market,'' said Steve Freehauf, assistant director at Norfolk's Super Kmart, which opened last month. ``It exceeded our expectations.''
Just how big is the baby market in South Hampton Roads?
Locally, there were 15,666 infants less than age 1 in 1990, according to the U.S. Census Bureau. If each family spent $3,330 on baby items - the average amount for the infant's first year - it would have generated $52.2 million in sales.
The children's market probably isn't too shabby, either, judging from census figures.
About 22 percent of the region's residents were age 13 and under, while the state's share was about 19 percent in the 1990 U.S. Census. Among South Hampton Roads cities, Chesapeake had the greatest percentage of kids, followed by Virginia Beach.
``The population here is younger, partly because of all the military people,'' said Gerald Divaris of Divaris Real Estate Inc. in Virginia Beach. ``There's a lot of baby production here.''
And there is nothing more pleasant to many retailers than the sounds of bawling babies, tottering toddlers and scampering schoolchildren. Those sounds mean parents, friends and family will be shopping for baby showers, kids' birthdays and more.
``There are so many things you have to get,'' said Beverly Butler, a spokeswoman for The Gap Inc., which will open its first local GapKids in Virginia Beach in the fall.
``You need hundreds of dollars for the basics. And then there are the cute things. You've got to get the cute things.''
Nationwide, birthrates have been declining, said Marcia L. Aaron, an analyst with Alex. Brown & Sons Inc. in San Francisco. There were 23.7 births per 1,000 people in 1960, but only 15.2 births per 1,000 U.S. residents in 1994.
At the same time, people have been spending more money on kids, she said.
``The baby market is still quite robust,'' she said. ``You have fewer kids per household. But you have older parents who are more established. You have two working parents feeling guilty for not having as much time with their kids.''
In South Hampton Roads, chains such as kids' clothing retailer Gymboree Corp. and Burlington Coat Factory Warehouse Corp., which has a large baby furniture selection, have been benefiting from the local baby boomlet for years.
``It's a very strong market for us,'' said Patrick Venditti, district manager for Burlington, N.J.-based Burlington Coat Factory.
But new companies moving into the market are only recently discovering the untapped baby and kids market. For example, managers at discounter Target Stores, which entered the Hampton Roads market in July, didn't expect the big crowds of customers stocking up on strollers, kids' clothing and toys.
``We seem to keep our infant and toddler area packed,'' said Denette Bulls, a merchandise manager for Target Stores' Chesapeake outlet.
Locally, the competition for parents' dollars may get tougher. Already, every retailer from discounter Hills Stores to Hecht's department store sells kids clothing and supplies. Now, there are two Baby Superstore outlets. Next to move in is GapKids, which plans to open its first local store in Virginia Beach's Lynnhaven Mall in mid-November.
Real-estate officials say they expect other kids' retailers to follow.
If there are any clear victors, they'll likely be the companies that best cater to consumers' needs and offer new, different formats, retail analysts said.
But it's not easy to please parents or parents-to-be, several retailers said.
``Pregnant women are some of the toughest shoppers,'' said Vendetti of Burlington Coat Factory. ``They have time - nine months - to shop around. They competitor shop.''
Even more parents take time to carefully check out products to ensure their children's safety.
While browsing last week at a Chesapeake shopping center, Sue Yarrington was eyeing a new, rugged stroller that would allow her to walk or jog while carting her 3-year-old son. But she passed on it for the time being because she had heard of other parents having problems steering the stroller.
Still, parents such as Yarrington appreciate the extra attention. They've noticed that there are more retailers catering to them, offering special products tailored to their needs. Even retail employees are often trained to handle questions on dozens of different types of strollers, cribs and car seats.
``It's excellent,'' said Yarrington, of Virginia Beach. ``It really has improved, especially for the active parent. I wish they had this stuff three years ago.'' ILLUSTRATION: Color photo
BETH BERGMAN/The Virginian-Pilot
JORDAN AUSTIN/Model
Graphics
THE PERCENTAGE OF THE POPULATION 0-18
VP
A YOUTHFUL REGION...
Led by Chesapeake and Virginia Beach, South Hampton Roads has a
higher than average proportion of youths.
SOURCE: 1990 U.S. Census, Weldon Cooper Center for Public Service
[For complete graphics, please see microfilm]
KEYWORDS: STATISTICS POPULATION YOUTH by CNB