[July 06, 2008]

Gallery owners aim to boost sales: Scottsdale sites see business slump despite Super Bowl

(Tribune, The (Mesa, AZ) (KRT) Via Acquire Media NewsEdge) Jul. 6--This year has been a rollercoaster ride for the downtown art district.

Overall sales revenue for the first quarter of 2008 was significantly down on Marshall Way and Main Street compared to the same time period in 2007, according to Scottsdale sales receipts.

Downtown was packed with Super Bowl revelers earlier this year. But the masses were not opening their wallets for art.

Gallery owners blame the faltering economy. "Everyone has been affected; every part of retail," said Beverly Roman, president of the Scottsdale Gallery Association and co-owner of the Robert Roman Gallery at Artspace on Sixth Avenue.

Scottsdale's downtown area comprises five districts -- Fifth Avenue, Marshall Way, West Main Street, Old Town, and Brown and Stetson. Four of the five districts posted sales declines during the first quarter of 2008 over the same period last year. The only district with a slight increase was Old Town, which increased from $26.6 million in sales to $26.8 million. The districts with the largest declines were Marshall Way and Main Street, home to a majority of the downtown galleries. Those sales declined 21 percent and 16 percent respectively.

"The economy is affecting business nationwide, including galleries. Galleries tend to be more at risk because the product they are representing is typically more of a discretionary item," said Robin Meinhart, Scottsdale's downtown liaison.

"People tended to come in (to downtown Scottsdale) for a few Super Bowl events and leave," noted Kathy Duley, vice president of the Scottsdale Gallery Association and co-owner of the Duley Jones Gallery on East Main Street. She said Scottsdale's pricier hotel room rates and packed flights around the Super Bowl may even have kept some of the regular winter art visitors away.

Part of the spring boost was due in part to increasing numbers of Canadian and European visitors capitalizing on the weak dollar, observed Duley.

But the rebound was shortlived for most. "The heat hit and with the economy, that was a double whammy for the galleries," said Trent Guerin, owner of the G2 Gallery on Marshall Way, who also saw his best results in spring.

While sales are historically slow in the summer for the downtown's more than 100 galleries, Roman said the gallery association is using its downtime to collaborate with city staff to ramp up for a strong fall and winter season.

As part of their long-term strategy, the Scottsdale Gallery Association's action group met with the city's Downtown Group earlier this month to discuss ways the city can better promote the district as a major destination for art and entertainment, said Roman.

The coalition of gallery owners is lobbying the city to recognize the art district boundaries of the Arizona Canal, Goldwater Boulevard, Scottsdale Road and just north of Osborn Road. The owners want the city to better identify the area with signs.

"When people visit Chinatown, they know they are in Chinatown," said Roman, who wants the same strong type of branding in the art district.

Roman said many of the coalition's ideas have already been incorporated into the draft of the city's downtown plan.

The gallery owners and city staff also have been collaborating on short-term strategies for increasing foot traffic in the area.

Meinhart said the Downtown Group has been working closely with the gallery association, providing marketing support and funds for the signature ArtWalks, including the Summer Spectacular ArtWalk on Thursday. The funding, she said, is mainly applied to advertising and entertainment for the ArtWalks.

The art district is also getting a helping hand from Sunrise Bank. The bank recently teamed up with the gallery association to develop a new credit card program that enables a percentage of sales to go into an art district marketing program.

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Copyright (c) 2008, The Tribune, Mesa, Ariz.
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