Domain kicks off expansion drive
By Clint Engel -- Furniture Today, September 3, 2001
NORWOOD, Mass. — Domain Home Fashions has opened its third Manhattan store, the beginning of an aggressive expansion and renovation plan that should push the Top 100 company to about 30 stores and $70 million in annual sales by this time next year.
The fashion-forward, 24-store retailer will hold a grand opening Sept. 6 at the new 6,300-square-foot Domain at 101 West End Ave. and 66th St. in New York.
This is just the beginning of a growth push for the upscale, Northeastern retailer, which has remained fairly quiet on the expansion front in recent years. Among the six stores Domain plans to add in the next 12 months: a 6,400-square-foot store under construction in Marlton, N.J., scheduled to open Nov 25; a 7,000 square-foot Domain in Princeton, N.J., set to open in March, and a 7,300-square-foot store in Chester, N.J., opening in June.
Domain also has relocated its Hartsdale, N.Y., store, replacing a 5,500-square-foot unit with an 8,000-square-foot store — its largest to date. Jim McCullagh, president and chief operating officer, said annual sales in Hartsdale should top $4 million, or more than double the volume of the old location.
One new store in Virginia and two in Maryland are in the works, but leases have yet to be signed and McCullagh declined to disclose details.
On the renovation side, Domain completely reworked the interior of its Tysons Corner, Va., store. One addition was track lighting with cone-shaped downlights to better highlight goods. Along the perimeter walls, Domain added elaborate crown and base molding, and a series of pilaster columns now project from the wall to enhance room settings.
Cashier stations were redesigned to look more like pieces of furniture, and include updated flat-screen IBM computers.
Over the next 12 months, Domain will renovate the interiors and exteriors of its Montgomery Mall stores in the Washington suburb of Montgomery County, Md., its Burlington Mall store in Burlington, Mass., and its Freehold and Bridgewater, N.J., stores.
Exterior improvements include new signage with backlighting to better emphasize the store brand.
Domain has plans 12 months out for a few more fill-in stores in existing markets and is looking at a few new markets as well, but McCullagh said it's too early to elaborate.
"The ultimate goal for the in-store environment of Domain is a look and ambience consistent with the classic design and feel of our furnishings," said Domain founder and Chief Executive Officer Judy George. "That means a warm, welcoming and more traditional palette of neutrals and greens."
With the expansion and updates, Domain should grow to 29 or 30 stores by the end of its fiscal year next June 30, McCullagh said. Sales in calendar 2002 should be at about $75 million, up from $62 million in 2000.
He said that Domain can pursue an aggressive growth strategy now because it finally has an adequate infrastructure in place. Last year, the retailer relocated its distribution center to a much more efficient, 145,000-square-foot center in Edison, N.J. The new warehouse has a capacity of more than 2 million cubic feet and the potential to carry Domain to the $100-million plus sales range, McCullagh said.
"To expand without having that piece of the puzzle in place would be suicide," he said.
At the Manhattan and Hartsdale stores, Domain is holding month-long grand opening celebrations and is premiering exclusive collections, including its Barrister home office offering and several English and French-inspired upholstery groups.
Key suppliers to the company include Vanguard, Alexvale, Southern Furniture, Natuzzi and Century.
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