Bonanza: a consumer's gold mine wifh everything under one roof

f-|NE OF THE largest retail building v materials lavouts in the entire West continues to demonstrate-in the view of its owner, Jerry Kritzer-what can happen in sales when the consumer hag "a complete store under one roof.t''

Bonanza Home Center, located in the iSan Fernando Valley area of Los Angeles, opened this April for the customer who wanted to save time in shopping and money *hilebuying. Bonanza owfer Jerry Kritzer, explained it r ' this way: mrgnons,

"First, there was the tre' mendous growth factor in the area. We opened our doors to a multitude of doit-yourself customers who, frankly, needed our store."

The Bonanza store features , everything from plywood to ornamental ceiling lamps to filet That's right-filet mignons!

A large supermarket section handles all the popular brands of canned goods, dairy products and a host of other grocery items found in most large chains. Separated from the main store by turnstiles, the market comprises several thousand square feet of space.

Bonanza utilizes to advantage a number of carefully thought-out merchandising ideas which attract the eye and "direct" the customer to a plethora of items he night need. Large, IVestern-motif signs hang suspended from the ceiling and designate shopping areas at Bonanza.

Bonanza's philosophy of selling the consumer is simple: give him everything he needs and wants in one big package. In other words, stock under one roof every do-it-yourself household item in demand, create good floor prornotion, and push those special sales.

Contemporary displays, designed by professionals, invite the eye to an assortment of merchandise that in more spartan surroundings, possibly might go unnoticed. A large inventory of panels and cut-to-length lumber line two entire walls at Bonanza. A whole section features fixed louvered door*-for the customer who's additionminded. pansion is necessary in a large operation such as his. oolt's no longer hard to be a professional this or that,'o smiles Kritzer, who says business so far this year is 'ogood and looking upward."

Does Bonanza have any local competition ?

"Yes," Says Kritzerr" and they keep us on our toes. But the trick with us was that we knew that techniques of merchan' dising are pretty much the same. I think the big difierence between Bonanza and the competition is that Bo' nanza used these techniques imaginetively and, well, the competition didn't."

Kritzer is not new to the retail building materials business. He and terrY Callner opened a Bonanza Home Center in Campbell, Calif., (see The Merchatt, June, 1965). That facility was a "mere" 30,000 sq. ft. It was a successful venture.

Other departments include paint, plumbing supplies, ornamental wares, gift and novelties, radio and television, recordings, and a drug store.

Prices in most lines are competitive, but special sales in some departments keep floor men busy most of the time.

"An occasional blight existed, partly due to tight money, but homeowners have one thing in common: they take pride in fixing up their houses."

Bonanza's immediate plans call for in. vesting a more concerted efiort in the home improvement end of the business. Kritzer plans to counsel his customers in the methods of dealing with the bank, so that they may be able to understand the value of money loaned for building improvements. With such an added service, the customer is assured that Bonanza has taken personal interest in him.

With a staff of 60. and an outside lumber yard measuring an additional 10,000 square feet" Bonanza's Kritzer still insists that ex-

He was president of ABC Stores and first executive v'p at Gem Inter' national (responsible for as many as 30 of their outlets). Kritzer established Gem's frrst store in San Juan, Puerto Rico.

This enterprising retailer takes pride that in Bonanza's northern California store, 25,000 do-it-yourself items were sold under one roof at all times. It was at this facility that he began to see backup inventory as part of floor displays. This,. contended Kritzer, eliminates warehousing merchandise.

Bonanza's latest expansion is a eomplete outdoor nursery. It will include-as usualeverything from fertilizers, rakes and hoses, to pygmy pines, rubber gloves and a sales stafi to o'show them how to do it."

An interesting point that Kritzer made some time back was that the non-foods volume of his Reseda unit was a projected 4 million dollars! This projection took into consideration nearly $750,000 annual sales in major appliances and home entertainment equipment.

Although Kritzer did not reveal his volume intake in dollars at this meeting, he did say that the store's selling 'oformat" was based on computerized projections rvhich u orked excet'dingll u'ell at his northern fat'ilitr.

"This kind of plojection at l('ast tells ortc uhat lrt' mar- reasonalrlv t'rpect irr tt'rnrs of tt'trrrns on his inrt,stnr('llt""" Klitzt'r' imyrlit'rl irr his eryrlanation.

Iiorranza's populalitv u ith tlrt, on-rvheels trtrde certairrll is irr sorn('nl('asur-e tlue to llrr' [a, ilitv's rrlru-littgr' .,'r'r i,, :lalion which is lotated adjat'ent to tht' stort"s vast parking- area in [r'ont of tht' maiu lruil<lirrg. Tht' serlice is elfit'ierrt anrl sc'ores of automobiles fill-rrp undel its roof.

Here's o moss merchondiser who slocks everylhing from filets to fertilizers

A husiness hased on a preliouslv chartt'tl course ('an't realll lose. savs Kritzer. All tht' merchantliscr nt,ed do is duplicate the e[forts in his latest fac'ilitr l'ith those erpended in the prt'rious operation-in tlris cast' Kritzer's northcrn Ctrlifornia stolt'.

"A t'en. dt'linite chairr oI ert,rrts must lrt' mairrtairred lretn een thc dealt'r'. his stafI. arr<l his good rel)('at ( ustom('rs. \\thr'? 'fltt'se t ustomt'rs who tomc l,ack o[tt'n t<r lruy presumalrll tell tlrt'ir f riends rntl neighlrors alrout oul olit'ratiorr. the friends tell otht'rs-this is the i'haiu that cannot lrt' hroken"" Kritzer erplained o\'('r- ('offee.

Somc of his c'ustomer-conr enience features in the Campbell storc in northern California lvere unusual. Turnstiles. suecial groc{,r} carts tand h.alr -,lrrtv r-arl.. for .peeial ilem-. toot. arrd fir*.h",',kouf stanris \,\'ere a {eu'. Even though Bonanza's customers were invited encouraged-to bron'se. if thev rvere pressed for time all thcv needed do rr'as hail one uf tlre store's "Bonanza Boys," a uniformed clrstomer helping force recruited from local hig-h school and college students.

Kritzt'r is a bus)- man. He aluavs has 1,t,,'n. Borrarrza's sorrllrcln Culiforrria stor,.. whit'h can lre reat.hed lrr- tl're major [reeways pointing rvestu'ard f rom don ntowrr Los Angeles. keeps hirn on the nrrr.

0UTD00R TUMBER YARI) is unique feature at Bonanza Home Center. Customers can drder whatever