Shopping Centers Today

FEB 2015

Shopping Centers Today is the news magazine of the International Council of Shopping Centers (ICSC)

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big-box version would be unwieldy, and so they are going for a midsize compromise. Co-tenants will also be important in the store rollout, he argues. At Westgate, an HEB Central Market that Ballard says "has saved us countless thousands of marketing dollars" and a Whole Earth Provision Co. store complement his own store, while a Regal cinema is an additional draw. Instead of 10 different products available in each category, as with the Home Depot model, TreeHouse customers encoun- ter three carefully curated best-in-class offerings — labeled "bet- ter," "best" and "exceptional"— that balance performance with price, Ballard says. Those offerings must first go through a strin- gent screening process based on health impact, performance, sustainability and corporate responsibility. TreeHouse employees, who undergo rigorous screening and about 100 hours of annual training and who earn at least $15 per hour, never launch into enviro-lectures. In fact, the words "sustainable" and "green building" are nowhere to be found on the store signage. "What we do try to do is tell people some- thing they can't 'unhear,'" Ballard said. The naturally lit aisles are spacious, the store displays are sim- ple and inviting, and the in-store signage is written in succinct, easy-to-understand language, some of it tongue-in-cheek, with such quips as "No Trees Were Harmed in the Making of These Floors" and "Counter Culture: Granite Isn't the Only Option." Boone, whose intuition 35 years ago that Americans needed more compartmentalization led to creation of The Container Store, started thinking the same thing about green-product re- tail soon after he co-founded the Texas Business for Clean Air coalition in 2006. "I got to thinking, 'Where in the world would I go if I wanted to make my house more energy-efficient?'" he told U.K. newspaper The Guardian. As it happens, not all TreeHouse offerings are 100 per- cent green. For instance, the store sells the highest R-value (a measure of thermal resistance) spray-foam insulation, which is petroleum-based, because shoppers will simply go elsewhere if they can't get it here, says Ballard. On the other hand, tiling must have a minimum 40 percent recycled content, a thresh- old that will rise in the years to come, he says. TreeHouse's offerings must prove to be more than a novelty, Ballard says. "They must be a clear win for consumers," he said. Two of the most successful store products are small ones: a plant- based household lubricant that rivals WD-40 and a PolyWhey clear-coat furniture finish made from recycled whey protein. The store cites its social values as a rationale for not open- ing for business on Thanksgiving Day and Black Friday. Those days should be spent with family, the company notes. This year TreeHouse will roll out a rainwater-harvesting sys- tem using galvanized metal cisterns holding up to 2,500 gallons, with roof-water diverters, plus other bells and whistles. "Most urban water use is on landscaping, and I think this program is going to help us make a real dent in that area," Ballard said. The store is quick to provide practical advice and readily allows customers to book staffers for complimentary in-store consultations on color coordination, roofing, solar power and more. Employees also distribute tax forms for federal energy credits and help to facilitate the use of Austin's many green in- centives. One customer traveled 30 miles to TreeHouse on a fact-finding mission for a healthy-home makeover she is plan- ning as a help to her chemically sensitive child. The store is saving her "hours and hours of legwork," the customer says. There is no standard customer profile, but TreeHouse pa- trons are typically college-educated, mid-to-high-income home owners between 25 and 55, from various walks of life, Ballard says. Some are designers or architects who use TreeHouse as a sort of one-stop showroom. "They don't have to take their clients to the paint store and to the flooring store and other stores," Ballard said. "They just bring them here." S C T For information, contact Jason Ballard, president and co-founder, at jballard@treehouseonline.com; (512) 861-0712, ext. 256. 30 S C T / F e b r u a r y 2 0 1 5 r e T a i l i n g T o d a y

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