Posts Tagged ‘CHH’

Northern California Department Stores – I Magnin & Co – San Francisco

Saturday, March 26th, 2011

I. Magnin on Union Square – San Francisco

For years, I. Magnin & Company was the leading high fashion/luxury goods chain in the West serving the ‘carriage trade’ customer with exclusive fashion from leading designers. It earned these exclusive relationships by providing a facility and customer service that showcased the brands. She became known for bringing the latest fashions from Paris.

Magnin & Company was started in 1876 by Mary Ann Magnin and she named the company after her husband, Isaac Magnin. She came from the Netherlands and he from England. Her first store carried lotions and high-end clothing for infants. She then expanded into bridal. Her first store was located on Market Street. She later moved to 918-922 Market Street, right across from the Emporium. The new store was 10,000 square feet, two stories, and renowned for its elegant ladies room. In 1906 the company had a second location under construction on Grant Street but it never opened. The earthquake and fire destroyed both the Market Street store and the incipient one. Mrs. Magnin built a new store at the corner of Stockton and Geary Street. In 1948 that building was replaced with a new flagship store, dubbed the ‘White Marble Palace’ by Christian Dior.

Three of the Magnin’s sons (John, Grover, and Sam) joined the company. The fourth son, Joseph Magnin started his own company, J. Magnin.

In 1910, I. Magnin’s began opening boutique shops in luxury hotels in California. Eventually, there were six of these shops. In 1939, the company expanded into Southern California with its first store on Wilshire Boulevard, a block from the Bullock’s Wilshire store.

In 1944, Bullock’s Department Stores bought I. Magnin & Company and formed Bullock’s-I.Magnin. This partnership funded the new I.Magnin flagship store opened in 1948. It also led to the expansion of I. Magnin & Company to Santa Ana, Sherman Oaks, and Del Amo.

In 1964, Bullock’s-I.Magnin was acquired by Federated Department Stores in a hostile takeover. As a result, Bullock’s and I.Magnin’s became separate divisions of Federated. Federated did fund the expansion in the 1970’s of I. Magnin & Co into Chicago and Washington, D.C.

In the late 1970’s and the early 1980’s, Federated Department Stores realized that I. Magnin’s customer base was shrinking as the ‘carriage trade’ passed. The company realized that the younger customers were not shopping at I. Magnin’s. Management changes were made to attract the younger customer. These strategies did not provide the expected results and in fact, often resulted in offending the older customers. Sales continued to decline. High end boutiques were doing a better job of attracting the young and wealthy.

In 1988, Federated was taken over by real estate developer Campeau Corporation. In a settlement with the R. H. Macy Company which was also a bidder, Campeau sold the Bullock’s and I. Magnin’s divisions to Macy’s. The following year, Macy’s combined the Bullock’s Wilshire and I.Magnin’s divisions and started shuttering stores. The 1992 Rodney King riot in Los Angeles made it easy for the original Bullock’s Wilshire store to be closed.

The secret sauce for I. Magnin’s was creating an environment to showcase high fashion and luxury goods. Everyone who visited the San Francisco flagship I. Magnin store will tell you stories about the store, especially the marble ladies room with the gold plated fixtures. The store and all its facilities were elegant. Designers preferred to have their goods showcased at I. Magnin’s versus other retailers. And this set the company apart from all other department stores. In addition, the sales associates developed strong relationships with all the carriage trade customers and would call them to let them know about new goods and would hold those goods until the customer visited the store.

For a while, Rose Marie Bravo ran I. Magnin’s and she set plans in place to rebuild the chain’s image. After she left, the business again lost merchandising direction. In 1994, Federated Department Stores reached an agreement with the creditors of the R. H. Macy Company to buy it out of bankruptcy. Before the deal closed, they shuttered the remainder of the I. Magnin’s stores. Many of the stores were converted to Macy’s. The upper floors of the San Francisco flagship were converted to Macy’s; the lower floors became a duty free store.

What happened????…. For years the I Magnin & Company served the high end customers well. This was while the family was heavily involved in the business. In the 1960’s and 1970’s, the company continued to cater to the carriage trade but missed the growth of the baby boom generation. The company’s executives did not change their strategies, they just focused on the same for far too long until the high end and luxury specialty retailers had captured the younger wealthy customer. By the time Federated Department Stores recognized this, it was too late. I. Magnin & Company was seen by the customers as a store for the past generation. The company had lost its cache. Rose Marie Bravo did implement good strategies, but it was simply too late and the return on a turnaround simply was not a good investment. Many retailers fall into this trap. Federated put in an executive to reduce costs. This executive did not understand the importance of the sales people in the store. He implemented a plan to reduce full-time employees and add more part-time employees. This nearly resulted in the employee’s joining the union and definitely led to the departure of some of the best sales people and a serious decline in morale and customer service.

I knew I. Magnin & Company too well. Harriet, the aunt of a good friend of mine, worked in the candy department on the first floor at the Kearny Street entrance. She would tell us how it was her responsibility to let the management know when someone famous or a well-known customer would come in the door so they could be met and given individual service. Harriet showed us all around the store, including the ladies’ restroom.

Later, when I worked at Bullock’s, I shopped I. Magnin’s at the various stores. I had visited all except the store in Washington D.C. The stores were well maintained, elegant, and the customer service was exemplary. It was evident that the store in Chicago did not get the exclusive designer goods that were in the big stores in San Francisco and Los Angeles. Many of smaller stores (Del Amo, Sherman Oaks) also lacked the breadth of merchandise. At that time it was clear that the younger customer was not going to feel comfortable in that environment.

I had a great relationship with one of I. Magnin’s most delightful carriage trade customers. Mazie Donovan had inherited vast sums. Because she was virtually blind and lived near me, I used to do bookkeeping for her every week. She maintained strong relationships with the San Francisco flagship store even though she lived in Hermosa Beach. Ms. Jolly from the fur department would always call Mazie when she had some fur item she wanted Mazie to consider. I can remember the Russian Sable Bolero that Ms. Jolly sent to Mazie on approval which Mazie purchased. Within a week after a call from Ms. Jolly, Mazie would arrange a trip to San Francisco to see what was being held for her. I knew each trip would end with a new jacket or coat.

I have shared my memories. I trust you will too. Please leave them in the comments section below.

I. Magnin & Co. Union Square -San Francisco – mid 1950′s

I. Magnin & Co Collector’s Stamp 1930′s

I. Magnin & Co -Union Square San Francisco 1950′s – Macy’s Expanding

I. Magnin & Co Calendar 1912

The following postcards depict the store in Los Angeles at Wilshire Boulevard and New Hampshire, near Bullock’s Wilshire. This store had access to the affluent Hancock Park neighborhood.

Please keep in mind that these postcards are part of the Plummer & Associates collection. Please do not copy or reproduce any of these postcards without permission.

DEPARTMENT STORES OF NORTHERN CALIFORNIA – EMPORIUM – SAN FRANCISCO

Friday, March 11th, 2011

 

Emporium – Market Street – San Francisco – 1905 (pre earthquake)

THE EMPORIUM – SAN FRANCISCO – CALIFORNIA’S LARGEST AND AMERICA’S GRANDEST DEPARTMENT STORE…..

The Emporium in San Francisco was the first and later became the largest and for many years the most important department store in San Francisco. The store, because of its size and convenience to transportation, helped turn Market Street into a shopping Mecca. The store offered popular or value priced merchandise. It also had special events to draw customers such as band concerts every Saturday night under the glass dome.

The original store was started in 1872 as the Golden Rule Bazaar. At the time, it was the only large store on the West Coast and was designed to serve those following the gold rush. It grew to operate out of three different buildings. During those years the store was operated by the Davis brothers.

In 1893Adolph Feist leased a building on Market Street with plans to open a major department store through a partnership with one of the major retailers in the East. When the partnership strategy failed he rented out space in the building to various small entrepreneurs. In 1896, the doors opened under the name The Emporium. Soon after, Mr. Frederick W. Dohrmann became involved. He was a German immigrant who had come to the S.F. Bay Area in 1860 and had proven himself successful in flour milling and pottery merchandising. He understood the possibilities of the original department store plan and ended up leading the 1897 merger of the Golden Rule Bazaar and the Emporium into one entity in the space that Adolph Feist had leased. He then brought his son, A.B.C. Dohrmann, in as the president.  The younger Dohrmann built the systems and procedures to allow the different departments to work together. The store quickly became successful under his leadership. He remained President until his death in 1914.

The Emporium suffered major damage in the 1906 earthquake and fire. While the store was being rebuilt, a temporary store was opened on Van Ness Avenue. A new building was built on Market Street. The new building had 775,000 square feet of floor space. It had a glass arcade, a glass dome, solid mahogany fixtures, and a new grocery department. The design was intended to make this store as glamorous as anything found in the East.

In 1927, the Emporium merged with H. C. Capwell & Co. based in Oakland. The new holding company was named Emporium-Capwell. The two different divisions operated independently for years only merging their New York and overseas buying offices. The Emporium started to grow with stores on the San Francisco Peninsula, Santa Clara County, Marin County, and Sonoma County. Capwell’s, on the other hand, opened stores in Alameda County and Contra Costa County.

The Emporium-Capwell company was acquired by Broadway Hale Stores in 1969. This put together Broadway (Southern California), Weinstock’s (Sacramento), Emporium (San Francisco) and Capwell’s (Oakland) into one holding company under the name Carter Hawley Hale Stores (CHH). CHH then went on a major acquisition binge which resulted in significant debt. The company filed for bankruptcy protection in 1991. In 1992, the Zell/Chilmark fund bought CHH and renamed it Broadway Stores as the company emerged from bankruptcy protection. In 1996, Broadway Stores was sold to Federated Department Stores and they closed all the various divisions and either converted the stores to Macy’s, Bloomingdale’s, or sold the facilities.

The downtown San Francisco store has mostly been converted into a Nordstrom’s anchoring the San Francisco Center mall.

What happened???? The Emporium remained a dominant department store chain in the San Francisco Bay Area until the 1970’s. Then Ed Finkelstein and Phil Schlein led a rejuvenated Macy’s organization which took the market by surprise. The new Cellar department and the fashion forward Juniors and Young Mens departments captured the youth and early adult markets. Macy’s also put money into the look of their stores setting them apart from the Emporium which did not have capital available for the stores as the parent company had to service its debt. By the mid-80’s, Macy’s was clearly the dominant player. Because Emporium was a value priced department store chain, they also faced pressure from Mervyn’s which offered better values and more convenience. The explosion of good specialty retailers also took market share. During the construction of BART, the downtown San Francisco store suffered as Market Street was a mess and this drove shoppers to the Union Square area. In the end, it was the recklessness of the parent company that destroyed the Emporium and all the other divisions of CHH.

I knew the Emporium well both as a young customer and later as a competitor. When I was a young child, I came with my parents to shop in San Francisco. Modesto was just 80 miles away, but in those days it was a major trip. We had our car serviced before we made the drive and we stayed in a hotel for three days while we shopped for back to school, Christmas, and for Spring/Summer. Although we shopped in many stores (White House, City of Paris, Macy’s, and Hale’s), the Emporium was the targeted store. Not only did it have the merchandise we could afford, but it was also a grand place to take children. During the holidays the roof had a children’s playground/amusement park. There was a Ferris wheel ride that hung out over the front of the store looking straight down at Market Street. There was also a small Southern Pacific passenger train that kids could ride. (The last time I saw the train it was at model train store in the Sunset District.) In those days, the store had a pet department with live animals which was also a playground for the kids. We usually ate in the mezzanine cafeteria. In the mid-70’s I shopped the Emporium when I worked at Bullock’s in Los Angeles and later when I was at Mervyn’s. In those days you could see a lack of excitement in fashion apparel, a decline in customer service, and, most importantly, a decline in the maintenance of the facilities.

NOTE:  I treasure my memories of this Grand Dame of Retail and hope you will too. Please feel free to leave your memories in the comments section below.

The Emporium – San Francisco – 1904 – Pre Earthquake

Emporium – 1910 – Note Earthquake Reconstruction on Roof Nextdoor

The Emporium – San Francisco – 1910

The Emporium – San Francisco – Holiday Greetings – 1910

The Emporium – 1911

The Emporium – Temporary Store on Van Ness – 1908

Emporium – Entrance Arcade – 1905 – Pre Earthquake

Ekmporium – Entrance Arcade – 1911 – Post Earthquake

Emporium – San Francisco – The Grand Staircase – 1915

The Emporium – Rotunda, Cafe, & Bandstand – 1908 – Pre Earthquake

The Emporium – Bandstand – 1906 – Note Sender’s Comments

Emporium – Rotunda – After Earthquake Reconstruction

Emporium – Pre 1906 – Women’s Cloaks & Suits

The Emporium – Juvenile Section – Pre 1906

The Emporium – Oriental Section – Pre 1906

Emporium – 1912- Cafe – Note Fire Sprinkler System on Ceiling

Emporium – Cafe – 1915

Emporium – 1908 Calendar – Sent from Temporary Store

The Emporium – 1908 Calendar – Sent from Temporary Store

Emporium – Postcard Calendar – 1909 – Sent From Temporary Store

The Emporium – 1920′s – Gloves Trade Card

The Emporium = 1910

The Emporium – 1920′s – Trade Stamp

The Emporium – 1906 After Earthquake and Fire

The Emporium – 1906 – Smoldering Fire

The Emporium – 1906 – After the Fire

The Emporium – 1906 – Another View After the Fire

The Emporium – 1906 – After The Fire Looking Through Former Entrance

Emporium – 1907 – Postcard Envelop Containing Earthquake and Fire Postcards

San Francisco City Hall

Emporium – Panorama of the City of San Francisco After Earthquake and Fire.

Emporium – 1906 Earthquake and Fire Burning the Metropolitain Temple

Emporium – 1906 Fire Destroys Concordia Club

Emporium – 1906 – Ruins of St. Ignatius Cathedral and College

Emporium – 1906 – Earthquake and Fire Refugee Camp

Emporium – 1906 – Refugee Camp in Cemetary

The Emporium – 1906 – The Entrance After Fire and Earthquake

These postcards are from the Plummer & Associates Collection. Please do not copy or reproduce without written permission from John Plummer.

NORTHERN CALIFORNIA DEPARTMENT STORES – H. C. CAPWELL – OAKLAND

Monday, February 21st, 2011

H.C.Capwell & Co – Opening 1912 – Oakland, California

Mr. H. C. Capwell, an immigrant from Michigan, opened a retail store in Downtown Oakland. For two years prior he worked in San Francisco for merchandising companies from the East Coast. His store opened in 1889 under the banner of “The Lace House”. Two years later he changed the name to H.C. Capwell.

As the company proved successful and Oakland grew, he opened a new big store at 20th and Broadway in downtown Oakland. This new store was of Beaux Arts design, built of brick, clad in terra cotta and six floors in height. With this store, Mr. Capwell set the tone for Oakland. On opening day, August 5, 1929, 10,000 customers waited for the doors to open.

Capwell’s, as the store was known to the consumer, was a mid-priced department store. In the 1930’s, the company also operated a grocery store in downtown called Capwell’s Central Market.

In 1924, Capwell’s merged with Emporium (San Francisco) to form Emporium-Capwell. The two remained separate entities under the same holding company. Capwell’s limited its expansion to the area near Oakland (Alameda and Contra Costa Counties)

The downtown Oakland store still stands. It remained a Capwell’s until 1989 when the name was changed to Emporium. Then, in 1996, when its parent company was sold to Federated Department Stores, the store was closed. It reopened months later as a Sears store and continues to operate as such. The building was severely damaged in the 1989 Loma Pieta earthquake. It was closed for six months until repairs were completed.

What happened???     Capwell’s, by merging with the larger Emporium, became the stepchild in the San Francisco Bay Area. Its major market was downtown Oakland which declined rapidly after World War II.. When Emporium Capwell was acquired by Broadway Hale, the Emporium got all the capital to expand throughout the market while Capwell’s struggled with its Oakland and Alameda base. Worse yet, the new parent organization, Carter Hawley Hale Stores, went on an ego driven path to acquire other retailers, leaving the company burdened with debt and unable to refurbish the stores to keep up with retailing trends. This eventually led to the temporary collapse of the parent company and an ill fated attempt to rebuild the company in a buyout by the Zell/Chilmark fund. In 1996, the parent company was sold to Federated Department Stores. With the sale many stores were converted to Macy’s and Bloomingdales or were sold to other retailers or for other uses.

As a child, I never visited Capwell’s but we always passed it on our shopping trips to San Francisco. Later, when I worked at Mervyn’s I shopped it as a competitor. I found that it was then just an Emporium under the Capwell’s banner. The downtown store’s façade was beautiful, but inside, the store was not clean and you could see the facility was expensed to death. It was a sad sight. The suburban stores were better, but still poorly maintained.

H. C. Capwell & Co. 1921

H.C. Capwell & Co.. Terrace Tea Garden – 1914

H. C. Capwell & Co. = Venetian Roof Garden – 1914

H. C. Capwell & Co. Roof Garden Showing Berkeley Hills – 1912

H. C. Capwell & Co. – Venetian Garden on Roof. 1918

H. C. Capwell & Co. – Childrens Play Room on Roof – 1912

I encourage all who have been a customer or part of the H.C. Capwell & Co. team to please leave your comments. It would be great to capture all the memories of this once great retailer.  John

Northern California Department Stores – City of Paris – San Francisco

Friday, January 28th, 2011

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CITY OF PARIS DRY GOODS COMPANY

City of Paris – 1904

Felix Verdier owned a silk-stocking manufacturing company in Nimes, France.  In 1850 he chartered a ship, Ville de Paris, to bring silks, laces, and fine wines, champagne, and cognac to San Francisco. His ship was met in the Bay by boatloads of newly wealthy 49ers, brandishing bags of gold. As the story goes, he sold all the products before the ship was even docked. Felix Verdier immediately returned to France and reloaded with fresh merchandise destined this time for the store he opened at 152 Kearney Street and named the City of Paris.

The City of Paris became the premier department store in San Francisco.  By 1896, a larger store in a Beaux-Arts design featuring an open atrium was built at Stockton and Geary Streets. In 1906, the big earthquake and resulting fires destroyed much of the store’s interior. A temporary store was established on Van Ness while the interior was redesigned by John Bakewell and Arthur Brown. Its open atrium was topped with a magnificent stained glass dome depicting the ship, Ville de Paris.

The rebuilt store became a showcase for retailing in San Francisco. It was opulent and continued to be stocked with merchandise of French design and manufacture. The liquor department was well regarded for its French influence as this was before the development of Napa Valley. Brentano’s took over the book department and became the largest volume bookstore west of Denver. Every Christmas season, the store set up a beautifully decorated tree in the Atrium. Herb Caen, the San Francisco Chronicle columnist, deemed it the official Christmas tree for San Francisco. Reportedly, he tree was 50 to 60 feet tall.

In the 1960’s, the City of Paris’ fortunes declined. It was no longer as highly profitable as consumer tastes changed and competitors became stronger. Macy’s, for example, had copied the basement theme of the Normandy Lane in the City of Paris and created The Cellar. (Later, Macy’s took The Cellar concept to their other stores and divisions.) The Verdier family decided to close the store in 1972. I think there are many who will remember the KFRC radio station studios which were on the first floor so pedestrians could see the studios through the window.

The City of Paris did open suburban branches. They opened one in Vallejo in the 1940’s. They also opened boutique shops in some of the better hotels. The branch stores never proved highly successful.

After the closing, Amfac bought the store in San Francisco and converted it to their Liberty House department store division. The new store was called Liberty House at the City of Paris. Liberty House quickly discovered that it was a difficult facility to operate on a profitable basis so they built a new store next door on Stockton Street. They sold the old building to Neiman Marcus who immediately announced plans to demolish the landmark building and replace it with a modern store.

The reaction in San Francisco to the announced destruction of this landmark was unbelievable. Herb Cain, the noted columnist, took on the fight as did many of the citizens of San Francisco. Although the building was not saved, an agreement was reached in which the dome and some of the important historic décor was saved and put into the new store. The replacement store is an important part of the retailing community in San Francisco as the dome has been preserved and Neiman Marcus is a respected retailer. The new fake tree at Christmas, unfortunately, does not meet the standards of the citizens who remember the old City of Paris tree.

What happened????     Many things worked in the favor of the City of Paris. The upscale shopping district moved from Market Street to the Union Square area. Unfortunately, City of Paris remained a small retailer with little market clout. In addition, consumer tastes were changing as apparel brands were becoming strong. American wines were also growing stronger. Most importantly, I. Magnin’s was located across the street and had captured the carriage trade. Macy’s California was under the leadership of Ed Finkelstein and he upgraded that chain from a promotional value oriented department store to one with style and a healthy upper moderate merchandise mix. He developed The Cellar concept and went after the younger customers with successful Junior and Young Mens departments. Most importantly, the Macy’s San Francisco main store was also on Union Square and its excitement drew many customers. I also believe that the succeeding family members did not have the interest or flair to take the store where it needed to go to be competitive.

I remember the City of Paris well. Every back to school season and for many Christmas seasons my family would visit the retail stores in San Francisco. The City of Paris store was something we always had to see even though we could not afford much of the merchandise the store carried. We always came to see the Christmas tree! When I was at Bullock’s I would continue to visit the store on trips to San Francisco. I watched the store in decline, but it was still an example to me of a store carrying unique product, with historic design and décor, and with superior customer service.

At the time the building was to be demolished, a colleague from Bullock’s was the head of Neiman Marcus. He could not understand why the citizens were so upset since the building was of a design that could not be operated on a profitable level. He did want the location so he worked to a compromise to save the dome and some of the decor. Most older San Franciscan’s still cannot accept the outside architecture of the store. To them the new building looks like a typical suburban store (without windows) plopped onto a city corner.

1906 – After the Earthquake and Fire. Structure Sound/Inside Burned

City of Paris – 1905 – Camp Crocker on Union Square

City of Paris – 1910 -Celebration

Union Square – 1904 – City of Paris

Union Square – 1915 – City of Paris (Note: Dohrman’s Across Street)

Union Square – 1944 – City of Paris – (Note: I Magnin Replaces Dohrman’s)

City of Paris – 1907 – Temporary Store After Earthquake on Van Ness

City of Paris – 1911 – After Earthquake Renovation

Rotunda 1915

City of Paris – Christmas Tree – 1911

City of Paris – Christmas Tree in Atrium

City of Paris – Christmas Tree – 1950′s

Christmas Tree 1961

 

I hope all who shopped or worked at the City of Paris Dry Goods Company will feel free to memorialize their impressions of this beautiful store by writing in the COMMENTS section below.

NOTE: Please do not copy any of these postcards without the written permission of John Plummer. These cards took years to collect.

OUR NEW BLOG: RETAIL HISTORY -1880 TO 1950 – DEPICTED IN POSTCARDS

Monday, December 13th, 2010

In January, 2011, we will launch our blog which will show the history of retailing in downtown North America. We will employ our collection of over 10,000 postcards of these famous stores. Our purpose is to bring to life these Grand Dames that existed in major metropolitan areas as well as in small town America. We also want to make this interactive so customers and associates of these retailers can memorialize their thoughts in the Comments Section for the Blog.

Our first series will be about the stores in Southern California. We will feature Los Angeles stores such as Goodman’s Department Stores, Coulter’s, Hamburger’s, May Company, Broadway, Bullock’s, Bullock’s Wilshire, I Magnin & Co, Desmond’s, Mullen & Bluett, and others. San Diego stores will be Marsten’s and Walker-Scott. Harris Stores in San Bernardino is another.

The second series will cover Northern California. This will include San Francisco Bay Area stores such as: City of Paris, White House, Gump’s, Emporium, Capwell’s, Kahn’s, Rhodes, Hale Stores and more. The Sacramento store, Weinstock-Lubin, and the Fresno’s Gottschalk’s will be included.

During the year we will continue to post blogs on other states and provinces in North America.

Collecting the postcards for these Grand Dames has been enormously satisfying. I don’t want this important part of retail history to be forgotten. I hope you will have as much fun reviewing this collection and adding your comments and memories of these institutions in the Comments/Leave A Reply section below. If you have postcards of any of these stores which are different from my collection I would be honored to have the opportunity to post your card on the Blog.

Elmira, New York

Note: Elmira, New York, like most small towns has variety (five & dime) stores next to local department stores. Sometimes they also had a chain department store such as J.C. Penney, Sears, and/or Montgomery Ward. The variety stores always had excellent real estate in the busiest part of downtown. The local department store catered to both value-oriented and upscale customers with their good, better, and best merchandising program. The rest of the stores included a local drug store, a millinery store, a gift store, a hardware store, an automotive tire & battery store, a cinema/theatre, a candy/soda fountain, a cigar/tobacco/news store, a feed/farm store, a cafeteria, auto dealerships, a barber shop, and a restaurant or two. Of course, there was always a grocery store.

Downtown areas in major metropolitain areas were different as the stores were bigger. Department stores were what we today would call a shopping center. They were large and catered to different customers (budget, moderate, and luxury).