PacSun’s New Vibe

Pacific Sunwear of California Inc. (Anaheim, Calif.) has said it will refocus on the core surf/skate apparel market that once vaulted the specialty chain into dominance.

The specialty retailer’s plans will center largely on the in-store environment, according to the Daily News Record, with 75 stores slated for overhaul in 2008 and another 75 in ‘09.

DNR reports the new stores will have improved sound systems, darkened ceilings and premium light fixtures. Display tables will feature dark, curved wood paneling, to evoke the retailer’s special surf/skate vibe. New stores will be anchored by a T-shirt “rotunda” with logos of key labels like Hurley, Fox and Quiksilver placed at eye level to the consumer.

The visual height of in-store branding will vary to attract both teens and juniors, a market that has grown slightly from 43 percent in 2006 to 46 percent last year. The company is aiming at bringing that number to a full 50 percent of sales for 2008.

“For the first 25 years, being a great retailer was enough,” PacSun division president Thomas Kennedy told DNR. “Now you have to be a great brand. We thought that because we sold brands we couldn’t be a brand, but look at Target and Neiman Marcus.”

The retailer’s business has been facing competition in recent years from surf/skate competitors like Zumiez Inc. (Everett, Wash.) and surf-inspired chains like the Hollister division of Abercrombie & Fitch Co. (New Albany, Ohio).

PacSun recently scaled its shoe business to less than 6 percent of overall sales, giving it greater flexibility to offer seasonal merchandise in the back wall area of the store once dominated by footwear. “We have gotten great response to technical outerwear and we need to give that a home for three months,” Kennedy told DNR.