Arizona Republic from Phoenix, Arizona • Page 72

JoUCpJLI Business editor, Karen Fernau 444-7934 MiHAIMIllllMliiW Ul.HlullliW EAST VALLEY fiesta Mall rides Arizona Mills challenge nicely 'MM Close Stock TICK MM Changs Daily 52-week Vol HI Lo 195 AOFlex Solutions AFLX 0 8 1981 30 13 Wit Action Performance ACTN 0 -1 2785 39 ZlZ 287b America West Air AWA -1 7ie 4388 31 Vie 12 1 Amtech Systems Inc ASYS 0 -Vie 246 313hs 1613i CerprobeCorp CRPB 0 -1 Vie 1328 2714 97e 3 Fst American Health FAHC 0 V16 8 ,512 2V 39 InsighJ NSIT 0 -1 2042 45V4 15Va 2314 lnter-Tel INTL 0' 1058 32 15Ve MicroAge MICA 0 Vi 2440 29 10Vie 27 Microchip Tech MCHP 0 -1 3969 .49 2Q3 1011ie Mobile Mini MINI -'Vie 1258 1214 3 11 New West Eyeworks NEW! 0 -74 374 5V 3'Vie Reconditioned Sys RESY Vie 13 4'2 1V 29Vie SpeedFam Interna 7 SFAM 0 -'Vie 12031X60 II 19'iS 19V2 Three-Five Systems TFS 120 267e 12'. I i IT tre. Regional Interest 43Vie AlliedSignal Inc ALD -11ie 16491 4716 31' 50V4 Boeing BA -7ie 56564 60' 42 80 Intel Corp INTC 0 -216 207890 102 67 50Vie 'Medtronic Inc MOT 20161 58 32 56318 Motorola Inc MOT -1 26319 90V2 52 433ie Orbital Sciences 1 ORBI -4Vie 12416 50 14V 1ie Piranlnt PRAN 5 1 15 Simula Inc 7" SMU -Wn 432 24 13T.X 51 Vie TRW TRW -Vie 4004 615ie 50'2 87 Vie UAL UAL -2Vie 4832 101 70'A 48 Varian Associates VAR 1006 67 45 Markets: NYSE, NASDAQ A AMEX S'- -i A1 1 nr. I 1 I said, the biggest threat Arizona Mills poses is from discount stores like Ross or the JC Penney outlet, which have no presence at Fiesta Mall; "Then there is the restaurant and entertainment portion, because Arizona Mil's does have its own niche there," she said. "We don't have a theater, we don't have theme restaurants like they do." Also, it soon became clear that Arizona Mills appealed to tourists, a market that Fiesta Mall has never really pursued.

Seven to 10 percent of the Fiesta Mall's traffic is tourists, Hunter said. "We really cater to the residents that live here and the people who spend their winters here, rather than somebody who is coming through for the weekend," Hunter said. "Prior to the Arizona Mills mall opening, people here on vacation would go to Scottsdale Fashion Square for that daylong shopping excursion. That's why Arizona Mills didn't affect us so negatively, because that's not what we're known for." While the differences between the two malls are significant, economic consultant Debra Roubik said another important reason why Arizona Mills didn't devastate smaller malls like Fiesta is because there are enough retail dollars to go around. "It's a reflection of the overall strength of the Phoenix market," Roubik said.

"When you have a growing market, as we do, all you're doing is spreading out the sales between locations. Also, if Arizona-Mills is filling a different niche, it's not like other malls are competitors. Arizona Mills is just skimming growth off of all the other malls." Looking back. Hunter said Fiesta Mall and its occupants no doubt CANADIAN STOCK REPORT I Vf" I Dave CaiiThe Arizona Republic Fiesta Mall geared for a loss of business that never came. "Through the holidays we were down 3 percent in traffic," says Sheila Hunter of Fiesta Mall marketing.

For the month of March, however, traffic is up 2 percent." Slock Volume Close Change Stock Volume Close Clwi; Alcan 4805 46.30 Laidlaw 19752 1945 735 BCEInc 20967 60.60 Newbridge 4269. 38 20 BankMtl 7726 76.75 Nor Tel 5527 87.50 Bank 17896 39.00 PetroCCV 3980 23.60 Barickgld 12466 32.15 PowrFin 1174 56.00 BombdrBf 7886 36.70 Royal Bnk 7152 83.75 CIBkCom 19912 48.90 Seagram 4409 56.15 .20 CP Ltd 5903 42.30 Shell Can 240 25.25 ImascoL 3080 55.40 ThomCor 3232 42.30 ImperialOil 479 79.00 TorDmBk 16679 63.10 7 -50 i i I a By Janet Perez Special for Th Republic Fiesta Mall was braced for a hurricane and got a gentle tropical shower instead. In the weeks before the shopping behemoth Arizona Mills mall opened in November, store owners and managers at Fiesta Mall took all the hype to heart and prepared for a lean holiday shopping season. After all, Fiesta Mall is the only mall in the Valley directly in Arizona Mills' line of fire. Today, Fiesta Mall not only has survived the Arizona Mills challenge, it's even seeing slight increases in its traffic.

"Through the holidays we were down 3 percent in traffic," said Sheila Hunter, marketing director for Fiesta Mall "That was actually less than we anticipated. For the month of March, however, traffic is up 2 percent. Our traffic is back up, our sales never were down, so all in ail, we've handled it pretty well." Hunter attributes Fiesta Mall's health primarily to the fact that shoppers soon realized that Arizona Mills appeals to a different kind of customer. "The comments we received from shopper focus groups is that a concept like the Arizona Mills is great if you just want to go for a day of bargain shopping, but you're not looking for something in particular," Hunter said. "If you need a black dress for Saturday night, you know you'd better go someplace like a Fiesta Mall, where you know you can find it.

"If you don't have much time, vou're going to go where it's familiar. That's definitely an advantage we have." For specialty-store owners, Hunter Presented as a public service by The EraiPS ttMJ? Omd when Superstition Springs Mall opened," Hunter said. "Again, that's because it's a more like animal to us than the Arizona Mills. Also, the strip centers across the street are as much competition as the Mills is five miles away. We have to be constantly prepared for somebody chipping away at that dollar." 1 w-j over-prepared for the opening of Arizona Mills.

But once the initial hubbub and curiosity surrounding Arizona Mills died down, Fiesta Mall occupants remembered what they had known all along: that their strongest competitors have always been their more modest neighbors. "We actually took a bigger hit ilTljh(-rn iiall lihmianliTa Anrow Ripibuc ftvt 01998 Phoenix Fire-PAL Organization. All rights reserved..