Published: July 11, 2008 10:27 am      

Consignment stores in Southern Indiana do big business as economy slows

Rita Naville has seen generations of families come through her consignment shop, Clothes Cottage, in the past 25 years. She knows birthdays, and anniversaries, children and grandchildren.

“We’ve seen the second generation of families — the parents who were originally customers, now their children are bringing stuff in here,” she said. “I love the work, I like the people.

“It’s never been work for me from day one — I thoroughly enjoy it.”

And that’s a good thing, because as the economy gets tighter, Naville has seen an increase in business.

“People need their money for gas and food, so they’re shopping at consignment stores to save.”

The economic crunch — high gas prices, high food costs, and an even higher cost of living — is leading many people to consignment stores, in search of not only cheap prices, but as a way to make a little money.

While retail stores are suffering, consignment stores are seeing an increase in sales and customers. A survey conducted by the National Association of Resale and Thrift Shops found that among resale stores, 75 percent saw on average a 30 percent sales increase from April 2007 to April 2008.

“People who previously gave away clothing, household goods and furniture are seeking other ways to dispose of unwanted items during an economic pinch,” said Adele Meyer, executive director of the association. “Some may donate merchandise to a not-for-profit thrift shop and take advantage of tax deductions.

“Others may choose to sell or consign merchandise at a local resale shop — turning their no longer needed items into cash.”

And many residents in Floyd and Clark counties are choosing to turn the stuff sitting around their homes into extra income. Southern Indiana consignment shops — such as Annie’s Corner in Jeffersonville, Once Upon a Child and Plato’s Closet in Clarksville, and Clothes Cottage in New Albany — have seen an increase in sales rather than a decline as the economy weakens and expenses in other areas grow.

Annie’s Corner owner Brenda Shuman has seen more sales than consignors, “because of the economy,” she said.

And shoppers can’t beat the prices. Shuman sold a pair of $450 Manolo Blahnik high heels for $70, and they had never been worn.

“The woman that bought them said, ‘If I can’t wear them, my daughter can,’” Shuman said. “It’s like Christmastime, you never know what you’re going to find.”

Consignment stores sell everything from clothes to jewelry to swimsuits to wedding dresses. Some specialize in furniture, while others, like Once Upon a Child, specialize in baby gear.

Local shops Clothes Cottage and Annie’s Corner differ in how they operate from chains Plato’s Closet and Once Upon a Child.

Consignors at Clothes Cottage or Annie’s Corner drop off merchandise, are given an account, and as their clothes sell, they can pick up a check each month.

“I know people’s (account) numbers like I know the ABCs,” Naville said. “We pay once a month what sold the previous month. We do the pricing and we are selective; we want what’s in style, it has to be clean, and we prefer name brand.

“A lot of people like really high-end clothing, but just refuse to pay $50 or $60 for a blouse when they can get one in here for $10,” she said.

At stores such as Once Upon a Child and Plato’s Closet, which are operated by the same company, the consignment works differently. Those stores pay “consignors” up front, giving them cash on the spot for the merchandise they bring in, and keep the profit from the sale.

At Once Upon a Child in Clarksville, manager Patty Prather has seen a huge rise in sales and in the items that are brought in to the store.

“We have been very, very busy because of the economy — we buy more and sell more,” she said. “People are looking more for bargains and being more thrifty. And people are selling things they probably would have held on to for longer; they’re selling clothes they might have kept for a younger child.

“People are desperate, they’re hungry for gas and food and other expenses.”



IF YOU GO

Clothes Cottage

• Hours: Monday through Saturday, 10 a.m. to 5 p.m.

• Location: 2545 Charlestown Road, New Albany

• Clothes Cottage, in honor of its 25th anniversary, is holding a month-long sale. Everything in the store will be 50 percent off from July 12 to Aug. 15. Clothes Cottage accepts clothes for consignment by appointment.

Annie’s Corner

• Summer hours: Wednesday through Friday, 10 a.m. to 6 p.m. and Saturday, 10 a.m. to 4 p.m. Annie’s Corner accepts clothes for consignment by appointment.

• Location: 839 Spring St., Jeffersonville

Once Upon a Child

• Hours: Monday through Friday, 10 a.m. to 8 p.m.; Saturday, 10 a.m. to 6 p.m.; and Sunday, noon to 6 p.m.

• Location: 650 E. Lewis & Clark Parkway, Clarksville

Plato’s Closet

• Hours: Monday through Saturday, 10 a.m. to 8 p.m. and Sunday, 10 a.m. to 6 p.m.

• Location: 650 E. Lewis & Clark Parkway, Clarksville