Cape County breaks billion-dollar mark, again

Retail sales steadily increase

By Mark Bliss

Special to Business Today

Cape Girardeau County topped the billion-dollar mark in retail sales last year. It was the second year in a row that sales by the county's more than 470 retail businesses made it to the billion-dollar level.

Local economist Bruce Domazlicky said retail sales totaled $1.05 billion in 2001. He said that figure is based on sales tax figures.

Much of the sales were generated by major retailers in Cape Girardeau, including Wal-Mart and Schnucks.

"This area is the promised land," said Paul Harper, supermarket manager for the Schnucks store in Cape Girardeau.

Harper said the abundance of stores draws shoppers from a wide area. "You can shop all around, make a day of it," he said.

But it's not just groceries and clothes that generate sales.

"Automobile sales have been pretty strong despite the slowdown in the economy," Domazlicky said. Furniture and appliance sales have been healthy too, spurred on by new construction, he said.

The Cape Girardeau economy also benefits from good wages. Domazlicky, a Southeast Missouri State University professor, estimates the county's per capita income at just under $27,000.

"That and population are the two things that really drive retail sales," said Domazlicky, who directs the university's Center for Economic and Business Research.

The Cape Girardeau area is a major retail center. People throughout the region come to the city to shop.

Some shop here because they work here, Domazlicky said.

"There are almost 14,000 people a day who commute to Cape Girardeau for jobs," he said. "With that many people commuting every day, that leads to more sales for everything from food to anything else people might buy."

Restaurant sales are a big factor too.

Better, not bigger

H. Weldon Macke, Cape Girardeau County auditor, sees the visible signs of a healthy economy, everything from crowded restaurants to parking lots filled with cars with out-of-state license plates.

"We do a lot better than even some of the larger counties," Macke said.

The county last year had 130 clothing stores, more than 50 gasoline stations, 60 motor vehicle and parts dealers, 30 auto dealers, 42 furniture and home furnishings stores and 15 grocery markets, most of them in the city of Cape Girardeau.

Jim Govro, mall manager for Westfield Shoppingtown West Park, said the mall stores generate a lot of retail sales. West Park currently has 85 tenants, plus two major department stores.

"You will find that our shoppers spend more money per capita in Cape Girardeau than any place else," said Govro.

The mall stores and other retailers attract shoppers from throughout Southeast Missouri as well as Southern Illinois, western Kentucky, northern Arkansas and western Tennessee.

Govro said 235,000 people live within a 10-county area of Southeast Missouri and Southern Illinois. Many of them come to Cape Girardeau to shop, he said.

"We get people who drive here every day from Dexter, Kennett and Malden," he said.

Recreational events such as soccer tournaments bring people to Cape Girardeau, helping to generate more sales.

Parents and teams spend money. "They shop. They eat. It is not rocket science. It is sheer numbers," Govro said.

Medical facilities, the Show Me Center and Southeast Missouri State University also draw people to the city. "It is fabulous for business," he said.

"When we grow retail, it is good for everybody," he said.

Job creation

Retail sales create jobs and also generate tax dollars for local governments.

Retail businesses in the county employ about 6,000 people and have an annual payroll of more than $88 million.

Macke said the county government has seen its sales tax revenue climb from $4.98 million in 1999 to $5.35 million last year.

Much of the tax revenue is being paid by shoppers from outside the county, he said. "So much of our money comes from somewhere else."

Mark Bliss is a staff writer at the Southeast Missourian.

Retail sales in Cape Girardeau County

2001 $1.05 billion

2000 $1 billion

1999 $998 million

1998 $940 million

1997 $880 million

1996 $850 million

1995 $820 million

1994 $780 million

1993 $690 million

1992 $644 million

1991 $613 million

1990 $611 million

Source: Southeast Missouri State University's Center for Economic and Business Research